Tiffany & Co.
Corporate Responsibility

Our Sustainability Commitment

For over 175 years, Tiffany & Co. has looked to the beauty of the natural world for design inspiration. We also look to the bounty of that world for the precious materials that give form and life to our designs.

We believe we have a moral imperative to help sustain the natural beauty that inspires our designers, customers and employees.

Corporate responsibility is fully integrated into every aspect of Tiffany & Co. While we are proud of the results we have achieved, we recognize that there is much more to be done. We want to share our accomplishments, challenges and agenda for change, and we look forward to continuously reporting on our efforts and progress.

Responsible Sourcing

Tiffany & Co. aspires to have traceability of all materials used in our products to ensure they meet our environmental and social standards.

Industry Leadership

Tiffany & Co. is proud to work collaboratively within the jewelry industry and with civil society to address key sustainability issues.

Charitable Giving

Tiffany & Co. supports the communities in which we operate, through our local corporate giving programs and through The Tiffany & Co. Foundation’s global philanthropic activities.

Governance

Tiffany & Co. understands the importance of being a responsible corporate citizen.

World of Tiffany

Tiffany cultivates a positive workplace for our employees and strives to protect and sustain the global communities in which we operate. We also implement programs to reduce our Company’s environmental footprint.


CEO Message

For over 175 years, extraordinary designs, impeccable craftsmanship and rewarding customer experiences have been at the heart of Tiffany & Co., our brand and how we operate. Our founder, Charles Lewis Tiffany, recognized that “Nature is our best designer,” and that fact remains visible today in so many of the designs you will see in our stores. For all of us here at Tiffany, we understand that an integral part of our brand vision is helping preserve the natural beauty that so clearly inspires us. We also understand the unequivocal expectations of our customers that we operate responsibly, that we protect the environment and support our local communities.

Over the past 15 years, our Company has made a strong, industry-leading commitment to socially and environmentally responsible business practices. On behalf of Tiffany & Co., I invite you to review the content of our third annual corporate responsibility report to learn about our social and environmental challenges, what we have accomplished and what remains to be done. We are proud to share our 2012 performance, our progress and our positions on the key issue areas facing our industry.

Our Responsible Sourcing efforts are at the core of our sustainability efforts. We remain committed to sourcing the highest quality diamonds from mines that we know and investing in diamond-producing countries, through our investment in diamond cutting and polishing facilities, in the communities that host these facilities, and through philanthropy. We also remain committed to helping the Kimberley Process adapt to a changing global environment, in particular recognizing the need to strengthen the KP’s ability to address human rights abuses wherever they occur. Failing that, we will work through industry initiatives and our own supply chain to provide the assurances the Kimberley Process cannot.

We have begun the process of setting goals around our practices and our performance, both process-oriented and quantitative, to further embed sustainability into the core competencies of our business. We are re-evaluating long-standing programs within our operations to determine how, in a constantly changing, global environment, we can best adapt to future social and environmental challenges.

We continue to improve that which is within our direct control, but we cannot act alone, and do not. Civil society continues to be a critically important stakeholder for us; we value the role that NGOs play in public dialogues and the scientific or investigative research they produce. We have for many years valued the opportunity to engage directly with NGOs that aggressively challenge industry, recognizing that all businesses require a social license to operate.

Through our initiatives to ensure the protection of the environment, respect for human rights and support for the communities in which we operate, we aspire to conduct our business in a manner we all can be proud of. Those practices have become an integral part of the Tiffany brand promise. It is not only the right thing to do; it is the smart thing to do. It distinguishes us from our competitors, resonates with our customers and creates long-term value for our shareholders.

Michael J. Kowalski
Chairman and CEO
Tiffany & Co.


Governance

Tiffany & Co. adheres to sound corporate governance principles and is structured to enable continued improvement and leadership on key sustainability issues.

Our Directors, officers and employees are
committed to the ethical principles embodied
within our practices, guidelines and standards.

BOARD OF DIRECTORS
Tiffany & Co. is governed by a Board of Directors elected by the Company’s stockholders. In 2012, the Board consisted of nine Directors. Seven of the nine Directors were affirmatively determined as “independent” by the Board, in that none of them had a material relationship with the Company (directly or as a partner, stockholder or officer of any organization that had a relationship with the Company) and in that each also met the requirements to be considered “independent” under the New York Stock Exchange Governance Rules.

Qualifications for the Board of Directors are available in the Proxy Statement on the Tiffany & Co. Investor Relations website.

The Board is responsible for oversight of the Company’s strategy and operations and establishes committees, as appropriate, to address specific areas of the Company’s business. The Board also delegates certain authorities to the Company’s Chief Executive Officer, who then may delegate authorities to other members of Management of the Company. Michael J. Kowalski currently serves as Chairman of the Board of Directors and also as the Company’s Chief Executive Officer.

The Board meets regularly, receives updates from committees of the Board and Tiffany & Co. Management on a wide variety of topics throughout the year and reviews actions recommended for approval. Full details on the Board of Directors, its activities, committees, composition and compensation can be found on the Tiffany & Co. Investor Relations website.

CORPORATE SOCIAL RESPONSIBILITY COMMITTEE OF THE BOARD
Based on the importance of sustainability and corporate responsibility to Tiffany & Co., the Board of Directors established a Corporate Social Responsibility Committee (CSR Committee) in 2009.

The role of the CSR Committee is to review and evaluate Management’s goals, initiatives and practices for social responsibility and to recommend goals, initiatives and practices for social responsibility to the full Board of Directors.

The Committee identifies key environmental and social responsibility issues that may affect the business, brand image and reputation of the Company and provides oversight of corporate responsibility programs. To view the full charter and mission of the CSR Committee, visit the Tiffany & Co. Investor Relations website.

Realizing the importance of corporate social
responsibility to the sustainable growth of
the business and our ongoing commitment to
grow Tiffany’s business in an environmentally and
socially responsible manner, the Board of Directors
established the Corporate Social Responsibility
Committee to ensure that we remain committed
and focused on these endeavors.

— Lawrence K. Fish, Chairman – Corporate Social Responsibility Committee, Tiffany & Co. Board of Directors

INTEGRATING SUSTAINABILITY AND CORPORATE RESPONSIBILITY
Corporate responsibility has long been a priority of Tiffany & Co.; however, as external awareness and leading practices have evolved, we have enhanced our management structure and internal processes to enable continued improvement and leadership on key sustainability issues.

Tiffany & Co. corporate responsibility efforts are highlighted by the leadership of our Chairman and CEO, Michael J. Kowalski. Our Vice President of Global Sustainability & Corporate Responsibility, reporting directly to the Chairman and CEO, oversees the Global Sustainability & Corporate Responsibility Department and monitors sustainability efforts for the Company.

The Global Sustainability & Corporate Responsibility Department works to ensure that Tiffany & Co. operates in the most responsible manner. The Department works collaboratively with our internal and external stakeholders to continuously improve corporate responsibility performance and play a leadership role within the industry.

POLICIES AND PROCEDURES
The Tiffany & Co. Code of Business and Ethical Conduct for Directors, the Chief Executive Officer, the Chief Financial Officer and All Other Officers of the Company provides principles which these persons are expected to adhere to and to advocate in the performance of their corporate duties.

The Tiffany & Co. Business Conduct Policy sets forth expectations of Tiffany employees, including compliance with all relevant laws and regulations. This policy prohibits payment of bribes or the acceptance of payments or other inappropriate gifts. It also sets expectations in areas such as potential conflicts of interest and political contributions. All employees are required to review the policy upon hire and thereafter on an annual basis to make sure that they understand these standards. Except where prohibited by local law, employees must confirm their understanding of the policy and either confirm their compliance with this policy or report any exceptions or violations of which they are aware.

Tiffany provides employees with means to anonymously report ethical or other concerns. These mechanisms are available globally, except where prohibited by local law. Matters reported through these mechanisms are evaluated and, if necessary, investigated as appropriate.

Tiffany & Co. is focused on implementing and enhancing our policies and procedures relating to environmental protection and social impacts. Key practices, embedded within our operations, include:

  • Employee training on, and acknowledgement of, the Tiffany & Co. Business Conduct Policy.
  • Employees whose responsibilities may involve interactions with government officials annually undergo training on the Foreign Corrupt Practices Act.
  • Responding to matters raised through the Company’s confidential reporting mechanisms (reviewed by the Audit Committee of the Board of Directors).
  • The Company’s Vendor Code of Conduct, acknowledged by vendors involved in the Company’s manufacturing and merchandise sourcing processes.
  • The Social Accountability Program, under which the Company and vendor manufacturing facilities are reviewed.
  • Tiffany & Co. Responsible Jewellery Council Code of Practices Policy – Worldwide, which states how Tiffany & Co. conducts our operations in accordance with the RJC Principles and Code of Practices.
  • Tiffany & Co. Safety, Health and Environmental Policies and Procedures for retail and non-retail locations.

Additionally, the Tiffany & Co. Internal Audit Department, which reports to the Audit Committee of the Board of Directors, provides independent, objective assurance and control advisory services to the Company to evaluate the effectiveness of risk management, control and governance processes. The Internal Audit Department also provides oversight and guidance to ensure compliance with applicable laws, regulations and company policies and to foster a positive and ethical work environment for employees.

POLITICAL CONTRIBUTIONS AND LOBBYING
Tiffany & Co. has advocated for a number of important policy decisions before various United States government authorities. For example, Tiffany & Co. has lobbied for the reform of U.S. mining laws to advance more environmentally responsible mining techniques, to encourage the environmental reclamation of historic mines and to protect areas of exceptional natural or cultural value from mine development.

The Tiffany & Co. Board of Directors adopted the Tiffany & Co. Principles Governing Corporate Political Spending on November 17, 2011. These principles apply globally to Tiffany & Co. and its controlled affiliates. The 2012 Annual Political Spending Disclosure was reported to the CSR Committee of the Board in March 2013 and can be found on the Investor Relations website.


Corporate Responsibility
Objectives

Tiffany & Co. understands that our business activities affect the earth, its resources and the communities where we operate. We will continue to lead our industry by conducting our business ethically and maintaining our standards for quality, design and sustainability.

This ensures that we strive to:

  • Protect the interests of stockholders through responsible business decisions that reflect the integrity of the brand in both the short and long term.
  • Enhance the communities in which we source, operate and sell our merchandise.
  • Improve the environmental performance of Tiffany & Co., our supply chain and our industry.

We will achieve these results by:

  • Continuously improving the corporate responsibility programs in all aspects of our business.
  • Setting corporate responsibility goals and targets and measuring performance.
  • Working with our employees, supply chain, stockholders, local communities and civil society to strengthen our social impact and minimize our environmental impact.
  • Complying with all applicable legal requirements, industry best practices and meaningful and rigorous voluntary standards.

We will focus our efforts on:

  • Responsible mining
  • Responsible sourcing and packaging
  • Sustainability advocacy
  • Local community development
  • Human and worker rights
  • Environmental performance
  • Environmental risk reduction
  • Occupational health and safety


Industry Leadership

Tiffany & Co. collaborates with other
forward-looking leaders in the jewelry industry and
with nongovernmental organizations in order to
positively influence the entire jewelry supply chain.

Conducting business in an environmentally and socially responsible manner has long been an integral part of our commitment to stakeholders. We recognize that stockholders consider environmental and social performance in the value of a company. We value engagement with all of our stakeholders and Tiffany & Co. collaborates with nonprofit organizations on environmental and labor issues, with mining companies on high standards for supply chain management and with fellow jewelers to increase consumer confidence in the sector.

Tiffany & Co. focuses on issues that we believe are important to our business and to our customers. We work to ensure that the environmental and social standards of our operations are as exacting as our standards of product design and quality.

In 2012, our multistakeholder engagement was formally recognized when Tiffany & Co. was listed in the FTSE4Good Index®. FTSE4Good® is a highly respected socially responsible investment index which selects companies based on their track record on environmental sustainability, human rights, countering bribery, supply chain labor standards and climate change.

RESPONSIBLE MINING STANDARDS
Tiffany & Co. plays a leading role in working closely with the mining industry, jewelry industry associations (such as Jewelers of America) and concerned nongovernmental organizations (such as EARTHWORKS and Human Rights Watch) to encourage responsible mining practices.

Tiffany & Co. has been an industry leader and an
ally in pushing for more responsible mining and
metals production and in taking action to protect
Alaska’s Bristol Bay watershed from large-scale
mineral development.

— Jennifer Krill, Executive Director, EARTHWORKS

In 2003, Tiffany & Co. helped lead a pioneering multistakeholder conference—including NGOs, retailers, investors, insurers and technical experts—to identify best practices across the entire jewelry supply chain. The resulting dialogue led to the publication of the Framework for Responsible Mining: A Guide to Evolving Standards. The Framework’s goal was to advance productive debate—and, ultimately, action—by governments, retailers, civil society, the mining industry and others.

Tiffany & Co. was the first jeweler to embrace the objectives of EARTHWORKS’ No Dirty Gold campaign in 2005, which established aspirational social, human rights and environmental standards for the extraction of gold that retail jewelers can use as they seek responsible mining sources.

Tiffany & Co. continues to co-host, and participate in, multistakeholder dialogues convened by NGOs on a variety of issues affecting our industry and beyond. Through these dialogues, Tiffany & Co. hopes to continue to lead the jewelry industry in issues of responsible sourcing.

Tiffany & Co. is a founding member of the Responsible Jewellery Council (RJC). The RJC is an international nonprofit organization established to reinforce consumer confidence in the jewelry industry by advancing responsible business practices throughout the diamond, gold and platinum jewelry supply chain. The RJC developed the Principles and Code of Practices which outline responsible business practices to which all RJC members must adhere. In 2011, Tiffany & Co. received RJC Member Certification for our global operations through 2014, demonstrating that we operate in conformity with the RJC Principles and Code of Practices. To obtain a copy of the Tiffany & Co. RJC Code of Practices Policy, please email CSR@Tiffany.com.

Further, to develop globally recognized responsible mining standards, Tiffany & Co. is a participant in the Steering Committee of the Initiative for Responsible Mining Assurance (IRMA). IRMA seeks to establish a voluntary system of environmental, human rights and social standards for mining operations to be launched in 2015, and works to provide:

  • A certification standard developed through a multistakeholder approach with participation from mining companies, retailers, nonprofits, labor groups and indigenous peoples.
  • Independent third-party verification.
  • Fair and equitable distribution of benefits to affected communities while protecting their rights.
  • The avoidance of, and effective responsiveness to, potential negative impacts to the environment, health, safety and culture.
  • Enhancement of shareholder value.

Tiffany & Co. is hopeful that by working collaboratively with a diverse group of stakeholders, IRMA will be successful in developing a consensus-based, third-party certification standard for responsible mining.

STATEMENT ON HARD-ROCK MINING
Tiffany & Co. publicly and actively opposes inappropriate mine development on environmentally and culturally sensitive lands. For example, in 2004, through a full-page advertisement in The Washington Post, Tiffany & Co. urged the United States Forest Service to deny a permit for the proposed Rock Creek Mine in the Cabinet Mountains Wilderness in Montana.

In the U.S., Tiffany & Co. supports the reform of the General Mining Law of 1872 and legislation to assist in cleaning up abandoned hard-rock mines. We agree with many in the environmental community, the mining industry and Congress that an overhaul of federal mining law is long overdue. Tiffany & Co. also understands that achieving mining law reform will require hard work, negotiation, compromise and creativity in a public, transparent process.

We believe that mining on our public lands should be a privilege and must be carefully measured against alternative uses, including recreation and conservation. Most importantly, we recognize that some public lands are simply not suitable for mining, and that their value for recreation and conservation is far greater than their value as a source of minerals.

If reforms are to succeed, we believe that taxpayers must be fairly compensated for minerals taken from public lands, protection of the environment must be enhanced and business certainty for companies and communities dependent on mining must be improved.

The toxic legacy of abandoned mines in the American West is also a matter of great concern to Tiffany & Co. We support the important work of “Good Samaritans”—government entities, NGOs, private parties and other organizations—who voluntarily clean up mine-related pollution. We are encouraged by recent Environmental Protection Agency (EPA) policy changes to provide additional legal protections for these "Good Samaritans" and are hopeful that these changes will prove effective on the ground. Still, we recognize that much work remains to be done to effectively deal with these mines and to establish a permanent source of funding for their cleanup.

THE TIFFANY & CO. FOUNDATION RESPONSIBLE MINING PROGRAM
The Tiffany & Co. Foundation strategically supports the Company’s core values through focused philanthropic giving. One of the Foundation’s key grantmaking areas is Responsible Mining. As a part of this program, the Foundation supports the development of standards for the responsible mining of precious metals and gemstones at both an artisanal and large-scale level. The development of consensus-based third-party standards is a long-term process, but essential in moving the industry towards a responsible and sustainable future.

Complementary to the Company’s sourcing practices, the Foundation supports nonprofit organizations working directly with artisanal mining communities around the world to improve working conditions and provide equitable livelihoods. The Foundation supports civil society, local communities and governments as they remediate land and watersheds affected by historic mining. Further, the Foundation values the role that conservation organizations play in their scientific and ecological assessments of potential mining sites. Through a multilayered approach, the Foundation’s grantmaking complements the Company’s leadership to rectify historic legacy issues, engage current mining communities and encourage careful consideration for mining in the future.


Responsible Sourcing

Tiffany & Co. is committed to obtaining
precious metals and gemstones and crafting
our jewelry in ways that are socially and
environmentally responsible. It is simply the
right thing to do; and our customers expect
and deserve nothing less.

— Michael J. Kowalski, Chairman and CEO, Tiffany & Co.

Tiffany & Co. has long recognized the challenges and complexities of obtaining precious materials that have been mined, processed and crafted in an environmentally and socially responsible manner. We recognize the importance of having a clear understanding of the origins of the materials contained in our creations so that we can best meet those challenges.

Tiffany & Co. actively engages with the mining industry, nongovernmental organizations and local communities to develop responsible operating standards. We have a comprehensive program to ensure that human rights and workers’ rights are respected throughout our supply chain and to encourage and support community development in the regions where we source our raw materials. We believe that industry and communities can work together to find a balance that will lead to more sustainable practices in the future.

Preservation

Tiffany & Co. is committed to minimizing our environmental footprint and protecting the natural world.

Responsible Mining

Tiffany & Co. strives to source our diamonds, metals and gemstones in a responsible manner.

Beneficiation

Tiffany & Co. believes that diamond-producing countries should derive economic and social value from their natural resources.

Paper & Packaging

Tiffany & Co. has a long history of adapting environmentally-responsible innovations into our packaging and continuously seeks to improve the environmental attributes of our blue boxes, blue bags and catalogues.

Other Materials

Tiffany & Co. ensures that products bearing the Tiffany & Co. name meet our standards for quality and responsible sourcing.

Supplier Responsibility

The Tiffany & Co. Social Accountability Program ensures that suppliers operate in a responsible manner and in compliance with the California Transparency in Supply Chains Act and other applicable sourcing regulations.



Preservation

Tiffany & Co. is committed to minimizing
our environmental footprint and protecting
the natural world.

We believe that there are certain special places where mining simply should not take place. We say this in spite of its importance to our business and the economic and social benefits that mining can contribute to communities. Through the years, we have worked to ensure that these special places are permanently protected from mining and preserved for the enjoyment of future generations.

  • In 1996, Tiffany & Co. urged the United States Department of the Interior not to allow the construction of a gold mine that threatened Yellowstone National Park.
  • In 2004, Tiffany & Co. urged the U.S. Forest Service, through a full-page advertisement in The Washington Post, to deny a permit for the proposed Rock Creek Mine in the Cabinet Mountains Wilderness in Montana because it would threaten the region’s water and wildlife.
  • Tiffany & Co. has supported Congressional efforts to reform the General Mining Law of 1872 and impose more stringent environmental oversight of mining on public lands. Tiffany & Co. continues to work toward the reform of this antiquated law.

Tiffany & Co. has made sustainability an operating premise of its basic business model. From its commitment to sourcing minerals, to its pioneering work to clean up abandoned hard-rock mines in the West, to leadership in advocating that some places such as the headwaters of Bristol Bay in Alaska should never be mined. In a very real sense, the partnership between Trout Unlimited and Tiffany & Co. is helping to protect and restore the lands and waters that sustain us as a nation.

— Chris Wood, President/Chief Executive Officer, Trout Unlimited

BRISTOL BAY, ALASKA
Tiffany & Co. is raising awareness of the risks associated with the development of the proposed Pebble Mine in Bristol Bay, Alaska: home of the world’s most productive salmon fishery. The proposed Pebble Mine would be among the world’s largest open-pit gold and copper mines. Despite the best of intentions, more than 175 years of experience sourcing precious metals tells us that there are certain places where mining cannot be done without forever destroying landscapes, wildlife and communities. We believe Bristol Bay is one such place. Tiffany & Co. was one of the first jewelers to sign the Bristol Bay Protection Pledge, and declare that should the proposed Pebble Mine be developed, we will not source gold from it. In 2009, Tiffany & Co. placed an advertisement in National Jeweler magazine to increase awareness in the jewelry industry about the proposed mine. Further, in 2010, Tiffany & Co. placed a full-page ad in National Geographic magazine to increase broader public awareness of this issue.

Tiffany & Co. Chairman and CEO Michael J. Kowalski, who has made several visits to Bristol Bay, explains:

There are some special places where mining clearly does not represent the best long-term use of resources. In Bristol Bay, we believe the extraordinary salmon fishery clearly provides the best opportunity to benefit southwestern Alaskan communities in a sustainable way. For Tiffany & Co.—and we believe for many of our fellow retail jewelers—this means we must look to other places to responsibly source our gold.

Tiffany & Co. is proud to work with Bristol Bay native communities, concerned scientists, sport and commercial fishermen, the conservation community and the many Alaskans committed to protecting this pristine and productive ecosystem.


Responsible Mining

Tiffany & Co. strives to source diamonds, gemstones and precious metals from mines that conform to high standards of social and environmental responsibility. We source metals and diamonds used in Tiffany & Co. owned and operated manufacturing facilities directly from known mines when possible.

Vertical integration helps us ensure quality and chain-of-custody for our products. Tiffany & Co. collaborates with other forward-looking leaders in the jewelry industry and with nongovernmental organizations in order to maximize our influence throughout the supply chain.

We are most concerned about the impact of large, industrial-scale mining activities. Tiffany & Co. firmly believes in the following core principles for the responsible development and operation of large-scale mines:

  • New mine development or expansion of existing mines should never occur in areas of high ecological or cultural value. Specifically, mines should never be developed in World Heritage Sites, protected areas categorized by the International Union for Conservation of Nature (IUCN) as I-IV, Alliance for Zero Extinction Sites or Key Biodiversity Areas.
  • Air, water and soil contamination should be prevented.
  • The principle of informed community participation in mine development and expansion should be embraced.
  • Workers’ rights, labor standards and human rights should be respected by all parties.
  • Mine operators should provide for appropriate and fiscally sound guarantees to cover the costs of mine closure, cleanup and restoration.
  • Mine wastes (tailings) should not be placed in rivers, streams, lakes or ocean waters and should be disposed of responsibly.

We believe that the most important contribution we can make to advance a responsible sourcing agenda is to use the Tiffany brand to encourage jewelry consumers to demand responsibly sourced materials.

In order to further an industry-wide movement towards responsible sourcing, Tiffany & Co.:

  • Works with fellow jewelry retailers, the jewelry supply chain, mining companies and civil society to heighten public awareness of responsible mining issues and support the development of broadly acceptable standards for responsible metal and gemstone mining.
  • Raises our voice to publicly oppose new mine developments that threaten places of high environmental and cultural value.
  • Participates in public policy debates as advocates for enhanced regulatory oversight of the mining industry, where we believe additional oversight is in the public interest.
  • Continually refines our long-term sourcing strategy so that Tiffany & Co. may serve as a model for the responsible sourcing of diamonds, gemstones and precious metals.

For further information on how we procure our mineral resources, please see:


Metals

The silver, gold and platinum sourced directly by Tiffany & Co. for use in its own workshops come from two principal sources: in-ground, large-scale deposits of metals that have been responsibly mined and metals from recycled sources. We obtain our directly sourced metals primarily from the U.S. in order to minimize environmental and social risks in our supply chain.

We are also exploring the possibility of sourcing responsibly managed, artisanally mined metals. The formalization of the artisanal mining sector has the potential to dramatically improve working conditions and wages for its miners. We believe that a sustainable future for precious metal consumption ultimately depends on the responsible development of all three sources of metals: large-scale, recycled and artisanal.

Tiffany & Co. is committed to using the influence of the Tiffany brand among consumers, and within the jewelry industry, to support responsible sourcing practices in the large-scale, recycled and artisanal mining sectors.

Tiffany & Co. manufactures approximately 60% of our merchandise at Tiffany & Co. owned and operated manufacturing facilities. In 2012, we traced 98%* of raw precious metals procured by our manufacturing facilities directly to a mine or recycler.

Metals
Metals
SILVER
In 2012, Tiffany & Co. purchased the raw silver used in our own manufacturing facilities from two U.S. sources. 83%* of this silver was sourced from the Bingham Canyon Mine in Utah as a by-product of an open-pit copper mine. We procured the remaining 17%* from recycled sources.

GOLD
In 2012, Tiffany & Co. purchased the raw gold used in our own manufacturing facilities from two U.S. sources. 43%* of this gold was sourced from the Bingham Canyon Mine in Utah as a by-product of an open-pit copper mine. We procured the remaining 57%* from recycled sources, up from 52% in 2011.

The Bingham Canyon Mine is an existing mine that produces gold as a by-product of copper mining using a non-cyanide leaching extraction method. While there are legacy environmental issues from over a century of mining at Bingham Canyon, the mine’s owners deserve recognition for acting responsibly and aggressively to address these issues.

PLATINUM
In 2012, Tiffany & Co. purchased the raw platinum used in our own manufacturing facilities from two companies. 72%* of this platinum was sourced from Stillwater Mining in Montana. We procured the remaining 28% from a U.S. refiner which sources platinum from a mixture of mined and recycled sources.

Platinum Purchased
Platinum Purchased

VENDOR-CRAFTED JEWELRY AND COMPONENTS
As noted above, Tiffany & Co. manufactures approximately 60% of its merchandise in its own manufacturing facilities and predominantly purchases the raw metals directly. Tiffany & Co. also purchases from third-party vendors certain components for use in internal manufacturing as well as certain finished goods, and the silver, gold and platinum in these components and finished goods are independently sourced by these third-party vendors. We are working with our vendors to increasingly supply them with precious metals from the same sources that we procure our metals. These vendors participate in the Tiffany & Co. Social Accountability Program and operate in accordance with Tiffany & Co. standards for quality and environmental and social responsibility.

POSITION ON CONFLICT MINERALS
Tiffany & Co. has taken a global approach to addressing the most pressing social and environmental issues facing the mining sector, with a focus on precious metals and gemstones. We believe that participating in, and supporting, rigorous standards-setting efforts and advocating for more effective oversight will lead to improved mining conditions globally, in the long term.

We have long recognized that in some places mining has been associated with violence, human rights abuse and environmental degradation. However, when managed responsibly, mining can be a source of social and economic development. The situation in the Democratic Republic of Congo (DRC) and its adjoining countries represents both the challenge and the promise of mining. While recent estimates indicate that only 1-2% of the world’s gold comes from this region, we are committed to doing our part to contribute to a solution in the region—both through our own voluntary initiatives and by complying with the conflict minerals diligence and disclosure requirements of Section 1502 of the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank). While our company-wide conflict minerals compliance process addresses gold, tantalum, tin and tungsten—the minerals identified by Section 1502 of Dodd-Frank as “conflict minerals”—we believe that, as a jeweler, we have the most significant opportunity to address the impact of gold sourcing.

Tiffany & Co. has longstanding relationships with most of its vendors and manufactures over 60% of its merchandise in its own manufacturing facilities. For the majority of our gold, Tiffany has knowledge of the mine, smelter or refiner from which that gold is sourced. In connection with our requirements under Dodd-Frank, we developed a process to evaluate the risk of whether the gold, tantalum, tin and tungsten in our supply chain was originating from the DRC and its adjoining countries and fueling conflict in that region. Tiffany & Co.’s disclosure under Dodd-Frank, including both the Form SD and the Conflict Minerals Report, can be found on the Investor Relations website.

The Board of Directors of Tiffany & Co. has also adopted a Conflict Minerals Policy for the company. This policy sets forth the Company’s expectations that its applicable vendors complete annual training on the policy, submit an annual conflict minerals survey and source from a smelter or refiner that has obtained a “conflict-free” designation with an independent private sector audit, such as those from the Conflict-Free Smelter Program, the “Good Delivery” list of the London Bullion Market Association and the Responsible Jewellery Council’s Chain-of-Custody Standard. This policy also includes a mechanism for vendors, employees and others to report concerns regarding potential policy violations. The Tiffany & Co. Conflict Minerals Policy does not ban our vendors from sourcing minerals from the DRC or adjoining countries; we believe such a ban would adversely impact the mining communities and businesses operating responsibly in the region.

Further, the Conflict Minerals Policy articulates principles for responsible gold mining to our vendors. Specifically, we encourage them, when selecting sources and mines of origin for gold, to evaluate potential sources by reference to the Golden Rules. The Golden Rules are a set of criteria for more socially and environmentally responsible mining, developed by EARTHWORKS’ No Dirty Gold campaign. Tiffany & Co. was the first jeweler to embrace the principles of the No Dirty Gold campaign in 2005, and the Golden Rules are based on broadly accepted international human rights laws and basic principles of sustainable development.

*Metric included in the Report of Independent Accountants


Tiffany Diamonds

Tiffany & Co. is committed to sourcing our
diamonds in the most ethical and environmentally
responsible manner.

To help maintain the integrity of our supply chain, Tiffany & Co. established Laurelton Diamonds in 2002, a wholly owned subsidiary that procures rough diamonds and manages our worldwide supply chain that sources, cuts, polishes and supplies finished diamonds to Tiffany & Co.

Over the last few years, Tiffany & Co. has financed diamond mines to assure access to high-quality diamonds. Specifically, we finance projects in Sierra Leone and South Africa, which allows us access to a new supply of diamonds that meet Tiffany & Co. standards and allows for increased traceability.

Tiffany & Co. sources the majority of our rough diamonds directly from mines in Australia, Botswana, Canada, Namibia, Russia, Sierra Leone and South Africa. We purchase rough diamonds only from those countries that are participants in the Kimberley Process Certification Scheme (KPCS).

Further, in 2012, Tiffany & Co. received 100%* of rough diamonds either directly from a known mine or a supplier with multiple known mines. These diamonds are cut and polished at Laurelton Diamonds facilities in Belgium, Botswana, Namibia, Mauritius, South Africa and Vietnam or approved subcontractors. These subcontractors participate in the Tiffany & Co. Social Accountability Program and uphold our standards for quality and environmental and social responsibility. In addition, Laurelton Diamonds plans to open a new cutting and polishing facility in Cambodia in 2013.

In recent years, approximately 50%-60% (by dollar value) of the polished diamonds used in our jewelry have been produced from rough diamonds that the Company has purchased. Tiffany & Co. purchases the remaining polished diamonds from third-party suppliers that comply with the World Diamond Council’s System of Warranties, which was developed to extend the KPCS assurance to polished diamonds and assure diamonds are from conflict-free sources. Our polished diamonds are sourced in accordance with Tiffany & Co. standards for quality and environmental and social responsibility, through participation in the Tiffany & Co. Social Accountability Program.

Tiffany & Co. believes that diamonds should benefit the economies and societies of diamond-producing countries. For information on our manufacturing operations and training programs in Botswana, Namibia and South Africa, please see the Beneficiation section of this website.

THE KIMBERLEY PROCESS
The Kimberley Process Certification Scheme (KPCS) is an international cooperative monitoring system created by governments, industry and civil society to eliminate the flow of “conflict diamonds”—rough diamonds that are smuggled by rebel movements to finance wars against legitimate governments. The KPCS requires participating countries to tightly control the import and export of rough diamonds. Also, the KPCS requires governments to establish control systems over private sector trade in rough diamonds. To comply with this process, rough diamonds may only move among participating countries in sealed containers with accompanying documentation evidencing that the diamonds are “conflict-free.”

We applauded the creation of the KPCS, built upon the cooperative efforts of governments, the diamond industry and nongovernmental organizations. We are encouraged by the progress that has been made since the system was put in place in 2003. Nevertheless, it is clear that much work remains to be done.

Most importantly, Tiffany & Co. believes—along with many in the diamond industry—that the Kimberley mandate should be expanded to ensure that human rights abuses are not associated with diamond mining in any member country. We also urge changes in the peer review process to provide for compliance assessment and monitoring that is independent and avoids conflicts of commercial and political interests. Finally, we believe it is prudent to reconsider the current “consensus” decision-making process that governs the Kimberley Process and has, at times, proven challenging for appropriate and timely responses to noncompliance.

Tiffany was quick to respond to the human rights
crisis unfolding in Zimbabwe’s diamond fields.
It publicly assured its customers that it would
not buy diamonds from Zimbabwe and urged for
reforms to the Kimberley Process so that it
could better safeguard human rights. Tiffany is an
example that other retailers should follow.

— Arvind Ganesan, Director – Business and Human Rights, Human Rights Watch

CONCERNING ZIMBABWE
Regarding the widely reported human rights abuses in the Marange diamond district of Zimbabwe, Tiffany & Co. joins with other responsible jewelers in condemning those abuses and urges other industry participants to refuse to purchase diamonds sourced from this district. Although the quality of Marange diamonds generally falls below Tiffany & Co.’s minimum quality levels, and in 2012 Zimbabwe was re-instated as Kimberley Process compliant, we have advised all of our business partners of our zero tolerance policy for diamonds of Marange origins.

*Metric included in the Report of Independent Accountants


Gemstones

Tiffany & Co. has strict protocols for the sourcing of gemstones. Tiffany & Co. currently sells over 100 varieties of gemstones in relatively small quantities as compared to the quantities of diamonds the Company sells. Due to the highly fragmented and complex nature of the gemstone industry, traceability levels are not the same for gemstones as they are for diamonds and precious metals.

Tiffany & Co. continuously reviews our supply chain to attempt to find ways to achieve greater transparency and better assure responsible sourcing.

BURMESE GEMSTONES
Rubies are among the world’s most desirable gemstones and many of the finest specimens are mined in Burma (Myanmar). In 2003, the United States enacted the Burmese Freedom and Democracy Act in response to that nation’s human rights violations, forbidding the importation of products from Burma, including jadeite and rubies. In 2008, the passage of the Tom Lantos Block Burmese Junta’s Anti-Democratic Efforts (JADE) Act strengthened this prohibition and closed a major loophole in the previous law that had permitted the importation of Burmese rubies and jadeite if they were cut and polished in other countries.

Tiffany & Co. is one of the few retail jewelers that has long respected both the letter and the spirit of the 2003 Act. Since that time, Tiffany & Co. has refused to buy gemstones that we can reasonably identify as being of Burmese origin, regardless of where the gems are cut or polished. While the U.S. government has recently relaxed the ban on most imports from Burma, prohibitions on the importation of jadeite and rubies from Burma remain in effect.


Beneficiation

Investing in Diamond-producing Communities

To help maintain the integrity of our supply chain, Tiffany & Co. established Laurelton Diamonds in 2002, a wholly owned subsidiary that procures rough diamonds and manages our worldwide supply chain that sources, cuts, polishes and supplies finished stones to Tiffany & Co.

Tiffany & Co. recognizes that diamond-producing countries are entitled to benefit from their diamond resources; we support producer country beneficiation. We believe that diamond activities should be used to further develop and sustain economies, to create employment opportunities and to support the broader social goals of communities and nations.

Our first investment in a producer country was in Yellowknife, Canada in 2002. Since then we have invested in cutting and polishing operations in the following diamond-producing countries: Botswana, Namibia and South Africa. In Calendar Year 2012, we provided over $90 million* in beneficiation to the local economies, including payments to local suppliers, payroll, donations and taxes. This figure rose from $63 million in 2011 due to an increase in purchases of rough diamonds from these three countries.

In order to further invest in these communities, we hire local employees to work in, and ultimately manage, our facilities. Laurelton Diamonds provides on-the-job training for employees, to provide a lasting impact on the development of the country. Our facilities have custom-designed, state-of-the-art equipment and our employee development and training programs are designed to equip the local workforce to meet Tiffany & Co.’s exacting quality standards. Local employees make up 90%* of the workforce in Laurelton’s facilities in Botswana, Namibia and South Africa. Additionally, the Tiffany & Co. Social Accountability Program includes Laurelton Diamonds facilities to ensure that employees are offered a safe and respectful working environment.

Beneficiation2013
Beneficiation2013

Tiffany has worked with outside contractors and academics to ensure that we provide our skilled workforce fair wages for its work. In 2009, we began to conduct living wage studies at each Laurelton Diamonds location to ensure that trainees are paid above minimum wage in the area and that skilled workers receive salaries at and above the living wage. Tiffany defines a living wage as the rate, which is required to support an employee, meet financial obligations of the employee’s dependents and provide some discretionary income. The living wage reflects the expectations of the particular society at the time the calculation is made. In 2013, Laurelton management will conduct an in-depth analysis of our living wage program to ensure that it is meeting its intended goal to provide workers with fair and equitable compensation.

*Metric included in the Report of Independent Accountants


Paper & Packaging

Tiffany & Co. is committed to sourcing our
packaging materials and producing our
catalogues from responsible sources, including
Forest Stewardship Council™-certified forests
and recycled materials.

Tiffany & Co.’s iconic blue box and blue bag are central to our brand. Therefore, we are committed to the responsible sourcing not only of our jewelry, but also of the bags and boxes in which it is presented to our customers.

BLUE BAGS AND BLUE BOXES
To ensure that the paper for our iconic blue boxes and bags is responsibly sourced, 100%* of paper suppliers of Tiffany Blue bags and Tiffany Blue Boxes in 2012 were Forest Stewardship Council™ (FSC®)-certified. The FSC® is an independent, nongovernmental organization established to promote the responsible management of the world’s forests, evaluating both forest management activities (forest certification) and the tracking of forest products through factories to the marketplace (chain-of-custody certification). FSC® certification assures that wood and paper products come from renewable and well-managed resources.

There has been a significant proliferation of regulations and restrictions regarding shopping bags in cities around the world and we are pleased with the increased attention to the potential impacts of packaging. We continuously strive to improve the environmental performance of our packaging materials and are proud of what we have accomplished.

We recently introduced a new Tiffany Blue bag, with 50% post-consumer recycled content in selected cities in the United States. Based on the success of this program, we plan to roll out these new bags in additional cities in the U.S. and abroad.

In 2012, more than 89% of the materials used to produce the Tiffany Blue Box originated from recycled sources, including 81% from post-consumer recycled content. Tiffany & Co. plans to continue to source environmentally responsible paper for our blue bags and boxes.

Tiffany & Co. has demonstrated proactive
leadership in minimizing its forest footprint.
Tiffany & Co. responds quickly to global supply
chain challenges; we’ve seen the company fast
track a review of its suppliers and eliminate
controversial fiber and suppliers in its
procurement. This leadership was further
evidenced when it engaged peers publicly,
describing what Tiffany & Co. had done and
why, and encouraged its colleagues to join in
helping to protect endangered forests in
Indonesia and around the world.

— Lafcadio Cortesi, Forest Campaign Director, Rainforest Action Network

CATALOGUES AND COLLATERAL
Working with FSC®-certified paper suppliers and using recycled content are primary considerations in the production of our major catalogues and collateral. The vast majority of our catalogues are produced centrally using paper from FSC®-certified paper suppliers. Our goal is to use 100% FSC®-certified paper in all of our print pieces. As Tiffany & Co. continues to expand globally, we are reviewing our printing policies to ensure that locally procured materials maintain high standards for using responsibly and sustainably sourced paper.

In 2012, Tiffany & Co. produced catalogues with a minimum of 10% post-consumer recycled content. We also work to limit the number of catalogues produced and mailed. In addition to traditional catalogues, we provide email communications and electronic versions of catalogues for customers who prefer digital media. Additionally, Tiffany & Co. has participated in the Catalog Choice program since 2008, which allows customers to control the catalogues they receive.

Tiffany & Co. offers stationery made from 100% recovered cotton fiber, which is created exclusively for the Company.

PACKAGING
Tiffany & Co. has worked to minimize the environmental impact of our packaging materials, including corrugated boxes, tissue paper and bubble wrap. In 2012, Tiffany & Co. introduced more efficient packaging methods, which ultimately reduced our footprint. For example, products like our crystal and china are no longer packaged with tissue paper and are now protected by bubble wrap made with approximately 50% less raw materials compared to 2011. Further, the corrugated boxes, tissue paper and bubble wrap we use contain between 60–100% recycled content, and are recyclable where facilities exist.

*Metric included in the Report of Independent Accountants


Other Materials

Tiffany & Co. is more than the world’s finest jeweler; we offer an assortment of luxury goods and accessories, and we work to ensure that all merchandise meets the same ethical standards.

LEATHER
In 2010, Tiffany & Co. expanded our business to include leather handbags and accessories. In 2012, for our leather accessories line, we were able to trace the source of all leather, at a minimum, to the tannery and our exotic leathers to their farm of origin. We are working to further the traceability to ensure that all leather meets the most ethical and environmental sourcing standards.

Further, Tiffany & Co. is a member of the Leather Working Group. The Leather Working Group was formed in 2005 to create a protocol to accurately assess the compliance and environmental stewardship practices of tanneries and to promote sustainable and appropriate environmental business practices within the leather industry.

CORAL

Recognizing that unsustainable coral harvesting can damage critically important marine ecosystems, and that many coral species face a variety of threats, Tiffany & Co. has refused to use coral in our jewelry since 2002.

Tiffany & Co. works to increase awareness about coral conservation and the role that the jewelry industry can play in its protection. In the summer of 2009, Tiffany & Co. dedicated our store windows to an “Under the Sea” theme in order to demonstrate our commitment to, and increase awareness of, coral conservation. Additionally, Tiffany & Co. participated in SeaWeb’s Too Precious to Wear campaign, designed to create demand for coral conservation among consumers and retailers.

In 2008, Michael J. Kowalski, Chairman and CEO of Tiffany & Co., testified before Congress about the need for the protection of coral. We support the addition of red and pink coral to Appendix II of the Convention on International Trade in Endangered Species (CITES), which lists species that may be threatened if international trade is not controlled. The CITES Appendix II listing is not a ban or a closure of trade; rather, it is a mechanism that allows for careful monitoring and oversight, requiring that any trade be based on evidence that the species in question are not threatened by international commerce.


Supplier Responsibility

Tiffany & Co. facilities—including diamond cutting and polishing, jewelry crafting and distribution—operate at the highest standards. Rigorous standards are also used to evaluate Tiffany & Co. vendors. All of our suppliers are expected, at a minimum, to conduct business in an ethical manner and to comply with all applicable laws and regulations. Tiffany & Co. established a multidimensional Social Accountability Program that includes comprehensive guidelines for the manufacturing processes of the finished goods, components, leather, polished diamonds and packaging materials we procure, designed to ensure that vendors are held to the exacting standards that Tiffany & Co. is proud to uphold.

For example, the Tiffany & Co. Social Accountability Program helps to ensure that our suppliers protect basic human rights. This program reviews our suppliers’ performance in relation to: hours of work, wages and benefits, health and safety, freedom of association and collective bargaining, transparency, child labor, forced labor, harassment or abuse, disciplinary practices, discrimination and environmental protection.

To ensure that a supplier meets our rigorous demands, suppliers in the Social Accountability Program must abide by the Tiffany & Co. Vendor Code of Conduct—a document which communicates our values and expectations for our business partners. We hold our vendors to these same standards for their sub-contractors, which are disclosed and monitored through our Vendor Code of Conduct.

The Social Accountability Program includes a three-tier assessment process of suppliers:

  1. Vendors are required, when applicable, to complete an annual self-assessment of their performance against our Vendor Code of Conduct.
  2. Tiffany & Co. performs internal audits of our vendors.
  3. Tiffany & Co. contracts with a third-party social responsibility auditing firm to perform audits on our vendors.

Tiffany & Co. audits are conducted over a two-year cycle, and the current audit cycle is 2012-2013. In 2012, 61% of high risk vendors in the program were audited, and the remaining high risk vendors will be audited in 2013. The risk classification is determined by a vendor self-assessment, industry and geographic location.

When suppliers are found to be in noncompliance with Tiffany & Co. requirements, every effort is made to work with the vendors to correct their noncompliance. If the vendor continues to fail to meet our requirements, the relationship is terminated.

In 2012, Tiffany & Co. began an internal assessment of the Social Accountability Program, as our business and global supply chains continue to evolve. This ongoing process involves redefining and clarifying the scope of the program, criteria for inclusion and the process for introducing new vendors into the program, which will help us to further identify and assess risks in our global supply chain. We plan to report on our progress in our 2013 Sustainability Report.

CALIFORNIA TRANSPARENCY IN SUPPLY CHAINS ACT (SB657)
As referenced above, Tiffany has a comprehensive supply chain auditing program which addresses the risks of human trafficking and slavery for suppliers in the Social Accountability Program. Our audits are conducted both internally and by a third party. Third-party verification is required of all of our high-risk suppliers in the Social Accountability Program, determined by a vendor self-assessment, industry and geographic location.

Audits are conducted to evaluate compliance with the Tiffany Vendor Code of Conduct as well as local and international labor laws and regulations.

If a nonconformance is found, we have a corrective actions process to resolve the nonconformance. If nonconformances persist, Tiffany ceases to do business with the supplier.

Tiffany supply chain management have received training on our Social Accountability Program, which includes mitigating risks of human trafficking and slavery within our supply chain.


World of Tiffany

Tiffany cultivates a positive workplace for our employees and strives to protect and sustain the global communities in which we operate. The World of Tiffany section showcases our employees, our unique culture and our facilities’ environmental performance.

For over 175 years, Tiffany has offered our customers timeless style and quality. As the world’s premier jeweler and America’s house of design, we maintain a standard of excellence in each beautiful piece we create. These high standards extend to the commitment we make to our customers, the environment and the communities in which we work. They are also evident in the way we treat our employees and the benefits offered to them.


Our Employees

Tiffany aims to create an environment that recognizes and rewards creativity, initiative and dedication and respects diversity, dignity and shared values of community and family for all employees.

DIVERSITY
Tiffany honors the dignity of all people and respects the laws, customs and values of the communities in which we operate. At Tiffany, we believe a diverse workforce makes a difference. We recognize each employee’s knowledge and skills as an important source of organizational capability and competitive advantage. We welcome diversity in all forms and emphasize personal accountability and professionalism in a respectful and fair work environment.

We provide equal employment opportunities in compliance with applicable laws. It is the policy of the Company to provide equal employment opportunities to all employees and candidates for employment without regard to age, race, religion, creed, color, national origin, alienage or citizenship status, sex, marital status, sexual orientation, gender identity, genetic information or disability, to the extent permitted by applicable law. This policy applies to all terms and conditions of employment, including hiring, placement, promotion, compensation, transfer and termination. Further, the Company investigates all complaints of discrimination, to the extent permitted by applicable laws, and where necessary, takes action to eradicate all forms of such conduct.

Tiffany tracks the diversity of its workforce by gender, generation and ethnicity, where legally permissible, as self-disclosed by employees. The diversity of Tiffany’s workforce remained relatively consistent between 2011 and 2012.

Gender Diversity
Gender Diversity

Generation Gender
Generation Gender

charts Ethnic
charts Ethnic

In 2013, Tiffany & Co. joined over 100 other major corporations in an amicus brief filed with the Supreme Court of the United States urging the Supreme Court to recognize the fundamental right of all Americans to marry and supporting the position that laws that prohibit marriage by two people of the same sex discriminate against our employees (as well as our customers, clients, vendors and other business partners). Tiffany has long recognized same-sex relationships through our various benefits programs for our U.S.-based employees.

EMPLOYEE DIALOGUE AND ENGAGEMENT
Tiffany maintains ongoing communication with our employees. Information is shared using a variety of print, electronic and in-person communications. In addition, while an open door policy is encouraged in the workplace, Tiffany provides employees with means to report ethical or other concerns, anonymously if desired. These mechanisms are available globally, except where prohibited by local law; matters reported through these mechanisms are evaluated and, if necessary, investigated as appropriate. Employees are encouraged to take advantage of these resources to share their opinions and voice their concerns.

Tiffany conducts periodic employee surveys to measure critical aspects of our culture and climate. Surveys obtain feedback on topics such as management, employee engagement, communication and work processes. The 2012 Global Employee Survey had a 90% participation rate. Similar to the 2010 Employee Survey, results indicated that employees are engaged in important ways that are directly linked to our performance and productivity. For example, the results indicated that employees: feel motivated to go beyond what is expected to help Tiffany be successful, have good working relationships with their co-workers and are proud to work for Tiffany. Tiffany is also using the survey results to address identified opportunities for improvement. Tiffany plans to conduct an employee survey again in 2014.

Tiffany views leadership excellence as central to the attainment of business results that are aligned with our Company’s core values. To that end we have codified leadership expectations in the form of our custom-developed Tiffany Competency Model. The new Tiffany Competency Model clearly identifies employee behaviors that illustrate what success looks like, such as judgment and partnership. At Tiffany, we know that encouraging personal and professional growth in line with our values is key to individual and company success. As such, we hire, develop, reward and promote based upon the critical behaviors outlined in the model.

EMPLOYEE DEVELOPMENT
Tiffany is committed to ongoing training and development of our employees in all lines of our business. Our philosophy is simple: when an employee grows as a professional, we grow as a company. There is no better asset than a skilled, engaged and productive workforce.

Tiffany provides a variety of relevant educational resources including leadership, sales, technical and skill-based programs, through various learning methodologies and in multiple languages. Educational development is facilitated by both in-house programs and resources as well as external resources through our tuition reimbursement program for U.S.-based employees. In addition, in 2012, Tiffany began a partnership with the University of Phoenix to provide employees the opportunity to enhance their educational, professional and personal lives through higher education, by providing financial, technical and advisory support.

Tiffany employees enjoy a variety of career development opportunities. For some, it is an upward progression within their chosen field. For others, it is about moving across divisions or departments. For still others, mobility is literal: moving to a new location, a different state or continent to gain valuable experience, along with a different perspective on our business.

Tiffany is proud of its high proportion of long-tenured employees. This population helps the Company stay focused on our legacy and maintains our traditions while incorporating the next generation of employees into our Company.

Although Tiffany works to ensure the long-term success of our employees, like any business, we do have annual turnover. We analyze voluntary turnover across our operations, by geography and department, to understand how we can better foster talent.

We also take pride in hiring and training local staff and working to enhance the local communities in which we operate. For an example of how our Laurelton Diamonds division supports and partners with the communities in diamond-producing countries, please see the Beneficiation section of our website.

COMPETITIVE PAY, REWARDS AND BENEFITS
At Tiffany, we recognize the contributions employees make to the Company’s success and reward their contributions through competitive pay and rewards and country-specific benefits, which are designed to support both personal and family health and well-being, provide security in the event of disability and provide financial savings and retirement.

HEALTH AND WELLNESS
Tiffany invests in our employees’ health by providing a variety of on-site educational and activities-based programs and services designed to help employees live healthy and productive lives. To support this important core value, Tiffany operates eight nursing clinics at its larger operational facilities, as well as a physician-staffed medical clinic at its diamond polishing facility in Vietnam. These services provide employees access to free healthcare treatment and consultations while at work. Tiffany strives to respond to health and wellness needs specific to each location. For example, in 2011, Tiffany offered free rubella (German measles) vaccinations for employees working in our Vietnam diamond polishing facility in response to a local outbreak.

In 2010, Tiffany launched the Healthy Tiffany program in the United States to provide our employees with an internal resource for health, wellness and work-life balance. Healthy Tiffany provides support through both at work and off-site programs and classes such as meditation, nutritional counseling and fitness programs. Healthy Tiffany also promotes employee participation in community assistance programs such as on-site blood donation programs that are conducted during work hours. Due to the success of Healthy Tiffany among our U.S. employees, we have started expanding the program globally across the Company.

In addition, Tiffany provides support to employees and their families for emotional, family, financial and legal challenges through our Everyday Resources Program. Employees globally and their dependents have access to free, professional and confidential counseling services as well as online resources and information.

WORKPLACE HEALTH AND SAFETY
Tiffany assigns a high priority to the overall health and safety of our employees and their work environments. We strive to provide a workplace free from recognizable health and safety hazards, as well as retail stores that are safe for the public to visit. Tiffany works on integrating health and safety programming throughout the Company.

We have developed workplace health and safety policies customized for both retail and operational work environments, conducted internal and external assessments of our compliance with these standards and developed action plans to address any gaps. We monitor workplace incidents to identify and systematically work to eliminate root causes and related hazards. For example, Tiffany continues to develop new ergonomic tools, procedures and workstation designs for our master craftsmen to help reduce the risk of ergonomic-related injuries.

Tiffany & Co. aspires to eliminate all workplace hazards, accidents and incidences. We continue to increase awareness about the availability of health services resources, both in the U.S. and abroad. With a 2011 baseline, we seek to reduce our U.S. total recordable incidence rate—the number of recordable workplace injuries or illnesses per 100 full-time equivalent employees—to 1.0 by 2016. In 2012, the total recordable incidence rate in our U.S. facilities was 2.17*, which represents a 31.5% reduction from 3.17 in 2011. A large majority of the recorded incidents resulted in injuries that were not serious in nature and employees fully recovered.

OHS
OHS

These reductions were driven primarily by our manufacturing facilities, which achieved a 52% reduction from the previous year. These results were realized through the focus of dedicated staff reducing process-specific risks, as well as broader engagement at our facilities in promoting health and safety as a top priority. We have made significant progress towards our goal and will continue to evaluate and review our procedures, analyze behavioral patterns and improve our processes towards further reducing workplace incidents.

*Metric included in the Report of Independent Accountants


Building Footprint

Though our internal operations do not have a large environmental footprint, Tiffany & Co. continuously works to enhance the environmental performance of our facilities through energy conservation, green building principles, renewable energy use and proactive environmental management.

Since 2006, Tiffany & Co. has been a responding company to the CDP Investor Questionnaire, a voluntary disclosure mechanism, which gathers information on the business risks and opportunities presented by climate change, as well as greenhouse gas (GHG) emissions data from the world’s largest companies.

In 2007, Tiffany & Co. signed on to the United States Environmental Protection Agency’s (EPA) Climate Leaders program, an industry-governmental partnership that worked to develop comprehensive climate change strategies. At that time, we pledged to reduce our U.S. greenhouse gas emissions by 10% per square foot from 2006 to 2011.

As part of our commitment to protect future generations from the impact of climate change, Tiffany & Co. resigned from the U.S. Chamber of Commerce in 2009 to express our disappointment in the Chamber’s approach to legislation and regulatory efforts to address climate change.

GREENHOUSE GAS EMISSIONS
Although we are not a large GHG emitter, Tiffany & Co. is committed to understanding and reducing our impact on climate change. We completed our first U.S. inventory of Scope 1 (direct) and Scope 2 (indirect) GHG emissions in 2006 and for the rest of the world in 2010. Our global inventory includes emissions from more than 275 stores and boutiques; two warehouses in New Jersey; manufacturing facilities in Kentucky, New York and Rhode Island; six diamond division facilities and international offices.

In 2012, Tiffany & Co. received the EPA’s Excellence in Greenhouse Gas Management (Goal Achievement Award) for exceeding our goal of reducing U.S. greenhouse gas emissions per square foot by 10% from 2006 to 2011.

Through 2012, we reduced our U.S. emissions per square foot by 18.2% since 2006. Following the successful completion of our 2011 U.S. emissions reduction goal, Tiffany & Co. is re-assessing our global emissions portfolio and carefully reviewing the lessons learned from our energy efficiency projects in the U.S. By revisiting our energy reduction strategy, with a particular focus on our retail stores, we plan to develop new, meaningful emissions reduction goals for our global operations.

Green House USA
Green House USA

Our global Scope 1 and 2 emissions in 2012 were 44,511* metric tons of carbon dioxide-equivalent (CO2-e) in 2012; a 1.8% reduction from 2011. This reduction is equivalent to the carbon sequestered annually by 686 acres of U.S. forests.

The decrease is in part due to the consolidation of our New York headquarters. Further reductions over the last few years have been achieved through energy efficiency projects such as heating, ventilation and air conditioning improvements, lighting retrofits and the installation of energy recovery ventilators.

We continually monitor our emissions and look for opportunities to improve our efficiency. Following a pilot project in 2010, for example, we expanded an initiative to replace energy intensive lights in our retail displays with efficient LED strips. Over 25 U.S. retail locations installed the efficient lighting retrofits by the end of 2012, with an additional 14 U.S. locations planned for 2013. Tiffany & Co. is also looking to apply the lessons learned from these and other efficiency projects to our international operations.

For detailed information on our GHG emission reduction efforts and reporting methodology, please see our response to the 2013 CDP Investor Questionnaire at www.cdproject.net.

GREEN BUILDINGS
Tiffany & Co. is working to incorporate sustainable building design criteria into our facilities. For instance, we source and procure many building materials locally and use sustainable wood sources and recycled materials.

The Tiffany & Co. Santa Monica retail store was our first facility to obtain LEED (Leadership in Energy and Environmental Design) certification. In February 2011, it was certified as LEED-CI (Commercial Interior) Gold. LEED is the most widely used green building standard in the world. It incorporates environmental best practices for the real estate and construction industries, including specific ways to increase energy efficiency, improve water efficiency, use recycled materials and improve air quality.

In 2011, our three New York affiliate headquarters offices were consolidated into a LEED-CI Platinum office. This consolidation reduced the total annual Scope 1 and 2 emissions from our headquarters in 2012 by 23% compared to 2010. To further minimize our impacts, our office facility has occupancy and daylight sensors on our lighting, water efficient fixtures and a recycling and compost program. In 2012, as a part of this recycling and composting program, we diverted over 53,000 pounds of landfill waste from our New York headquarters.

Additionally, in 2012, our manufacturing facility in Kentucky was certified as LEED-NC (New Construction) Silver. Tiffany & Co. is working to incorporate lessons learned from these projects in our new building design and existing building retrofit guidelines.

RENEWABLE ENERGY
Tiffany & Co. generates and purchases renewable solar energy and purchases wind energy to help reduce carbon fuel-generated power and contribute to the electricity needs of our facilities. Beginning in 2006, we installed nearly 2 MW of solar power across our two distribution facilities in New Jersey. Additionally, a 250 kW photovoltaic system at our Rhode Island manufacturing facility became operational in 2012, making it one of the largest roof-mounted solar arrays in the state at the time.

The solar and wind energy purchased and generated by Tiffany & Co. in 2011 and 2012 helped to reduce the average greenhouse gas emissions equivalent to nearly 1,240 U.S. passenger vehicles.

Tiffany & Co. generated over 2,460 MWh of solar energy and purchased over 6,925 MWh of Renewable Energy Credits (RECs) from wind in 2011 and 2012. Together, these efforts reduced 5,944 metric tons of CO2-e emissions over two years. Tiffany & Co. is constantly evaluating additional opportunities to use renewable energy and reduce the energy footprint of our facilities.

ENVIRONMENTAL MANAGEMENT
Tiffany & Co. works to comply with all applicable environmental laws and regulations. In fact, in 2012, the New Jersey Department of Environmental Protection (NJDEP) recognized Tiffany & Co. for the voluntary and proactive environmental stewardship initiatives at our retail service center, recognizing that our water management and renewable energy practices surpassed compliance requirements.

In 2013, Tiffany and Company, along with over 128 private companies and 50 public entities, was able to reach a tentative resolution of certain third-party claims associated with an environmental lawsuit seeking to rectify contamination of the Passaic River. The underlying lawsuit was filed by the New Jersey Department of Environmental Protection in the New Jersey Superior Court in 2005 against the corporate successors of companies (not Tiffany and Company) who allegedly were responsible for contaminating the Passaic River with hazardous chemicals. In 2009, two of the defendants named in the underlying suit filed third-party claims against more than 300 cities, sewer districts, and private companies to require them to contribute to the cleanup. Tiffany and Company was named because it operated a factory in Newark until approximately 1984. The aggregate value of the settlement (spread over all settling parties) is over $40 million. A portion of these funds will be used for cleanup and for new public parks along the river. The agreement must still be approved by the court after a notice and comment period.

We have internal guidelines for our facilities and programs for our employees to ensure their knowledge of regulations, the proper disposal of waste and respect for local communities and environments. Tiffany & Co. works to ensure that waste is recycled where possible.

In 2010, we began a process to enhance the collection of environmental data from our global facilities. This includes the global collection of waste and water data. We monitor our performance and are looking for further opportunities to standardize best practices and enhance our environmental performance.

*Metric included in the Report of Independent Accountants

The Fiscal Year 2011 greenhouse gas emissions have been revised due to an error correction in the calculation of greenhouse gas emissions. As a result of the error related to 2011, emissions increased by 2.29% to 45,348 metric tons, and the Company does not believe the impact of the change to be material to the 2011 amounts previously presented.


Charitable Giving

Tiffany & Co. is guided by the belief that a
successful company has a responsibility to the
greater community.

Tiffany & Co. has a legacy of providing support for nonprofit organizations and engaging with civic institutions in the cities and communities in which we operate.

Tiffany & Co. has a longstanding history of civic engagement in our hometown of New York City. Tiffany & Co. was instrumental in expanding the Morgan-Tiffany Collection of Gems at the American Museum of Natural History. Both Charles Lewis Tiffany, the founder of Tiffany & Co., and Louis Comfort Tiffany were actively engaged at the Metropolitan Museum of Art, and many of Louis Comfort Tiffany’s works can be seen there today. Whether through the donation of archival pieces from the Company or through the participation in world’s fairs and expositions in the nineteenth century, Tiffany & Co. values the role that cultural institutions play in the world’s great cities.

As Tiffany & Co. continues to expand globally, our investments in charitable organizations are expanding as well. Tiffany & Co. continues this great legacy today through our corporate charitable giving programs and The Tiffany & Co. Foundation. Over the past few years, Tiffany & Co. has donated, on average, nearly 2% of pre-tax earnings to charitable purposes, including local community investments and contributions to The Tiffany & Co. Foundation’s endowment. In 2012, Tiffany & Co. made corporate contributions totaling nearly 1% of pre-tax earnings, down from 2011.

Community Involvement

Tiffany & Co. corporate giving and employee matching programs support the communities in which we operate.

The Tiffany & Co. Foundation

The Tiffany & Co. Foundation, an independent private foundation and separate legal entity from the Company, awards grants to nonprofit organizations dedicated to urban parks, coral conservation, responsible mining and excellence in design. The Tiffany & Co. Foundation is wholly funded by Tiffany & Co.


Community Involvement

Tiffany & Co. is guided by the belief that a successful company has a responsibility to the greater community. By supporting nonprofit organizations, Tiffany & Co. seeks to build strong relationships in our local communities and to support organizations that work to make these communities better places to live.

CORPORATE GIVING PROGRAM
Tiffany & Co. makes charitable contributions locally, throughout the world, based on the needs and priorities of the communities in which we operate. Through the donation of merchandise and monetary contributions, Tiffany & Co. invests in organizations working in a variety of fields: the arts, education, health and human services, the environment and other civic organizations. In 2012, Tiffany & Co. provided more than $5 million to nonprofit organizations through our global corporate giving program. This relative decline from $8 million in 2011 was due, in part, to a $1 million contribution in 2011 for Japan earthquake and tsunami relief efforts.

As Tiffany & Co. expands to new cities and countries, we believe that we must invest in these communities as they welcome us. We seek to build relationships with these communities and increase awareness about local organizations and their great work.

EMPLOYEE GIVING
The Tiffany Employee Giving and Volunteer Matching Programs are designed to support our United States employees in their charitable interests, and provide a match as employees donate personal funds or their time to 501(c)(3) nonprofit organizations. Tiffany values our employees, the skills that they bring and their passions for the issues of importance to them.

Through the Employee Giving Program, Tiffany matches U.S. employee charitable donations at a ratio of 1:1. Under the Volunteer Matching Program, for every 10 hours volunteered by our employees, the nonprofit organization receives $100. The Employee Giving and Volunteer Matching Programs award up to $1,000 per employee for charitable purposes per year, whether the employee donates time or money.

In 2012, 8% of U.S. employees participated in the Employee Giving Program, with over $139,000 in monetary donations matched. The Company also awarded $19,000 in monetary donations through the Volunteer Matching Program. These figures decreased from 2011 when the Company offered an enhanced match opportunity, but remain consistent with prior years.


The Tiffany & Co.
Foundation

The Tiffany & Co. Foundation works to protect
the beauty of nature and the creativity of
human nature.

The Tiffany & Co. Foundation was established in 2000 as the Company’s philanthropic arm. The Foundation provides grants to nonprofit organizations working in two main program areas: the environment and the arts. Specifically, the Foundation awards grants in the areas of urban parks, coral conservation, responsible mining and excellence in design.

The Tiffany & Co. Foundation is a separate legal entity from the Company, with its own governing board and an endowment from which it awards grants. Since the Foundation’s inception, Tiffany & Co. has contributed approximately $60 million to the Foundation’s endowment resulting in over $50 million in grants awarded through 2012.

Grant Making
Grant Making

2012 GRANTMAKING
In Calendar Year 2012, The Tiffany & Co. Foundation awarded grants totaling $5,820,000.* The Foundation’s 990-PF, the United States Internal Revenue Service’s Return of Private Foundation, can be found on Guidestar.

For more information, including program guidelines and a listing of the Foundation’s grantees, please visit www.tiffanyandcofoundation.org.

*Metric included in the Report of Independent Accountants


About This Report

Time Frame, Scope and Boundary

The Tiffany & Co. Corporate Responsibility Report is based on our performance for Fiscal Year 2012 (February 1, 2012–January 31, 2013). This online report is our third annual Corporate Responsibility Report, and we plan to report on our progress annually.

Our goal is to be open, transparent and honest in our reporting and to continuously improve our reporting over time. Tiffany & Co. reports on the corporate responsibility aspects of our business that we deem material to our business and our stakeholders. In 2009, Tiffany & Co. conducted a materiality analysis with assistance from BSR and input from nongovernmental organizations. Tiffany & Co. performs an annual review of this analysis. The framework for the materiality analysis includes a review of business risks and opportunities, priorities, industry benchmarks, CSR leader benchmarks, comparisons with leading reporting frameworks and stakeholder engagement.

The content of this website was derived in accordance with the Global Reporting Initiative (GRI) G3.1 framework and the United Nations Global Compact.

Tiffany & Co. has chosen to voluntarily report on our corporate responsibility performance. Tiffany & Co. has designed processes to collect and/or estimate, assess and report on this data. Tiffany & Co. Management is responsible for the completeness, accuracy and validity of the information contained in the 2012 Corporate Responsibility Report (website). We engaged PricewaterhouseCoopers LLP (PwC), our independent registered public accounting firm, to review and report on select sustainability metrics set forth in this report. The individual metrics that PwC has performed limited assurance over are marked with an asterisk (*) on our Definition of Metrics page and can be found in the Report of Independent Accountants. PricewaterhouseCoopers LLP’s Report of Independent Accountants on these assertions is included herein.

All of the consolidation and calculation rules are defined in the Fiscal Year 2012 Tiffany & Co. Corporate Responsibility Metric Collection Criteria Document (Criteria Document), which is updated annually. The Criteria Document provides global guidance on the data and information collected, including definitions, scope, units of measure, reporting period, calculation methodology and potential information sources. Corporate responsibility data can be measured using various measurement techniques. The selection of different but acceptable measurement criteria can result in materially different measurements. Standardized calculations have been used to convert units of measure where appropriate. A summary of the information in the Criteria Document can be found on the Definition of Metrics page of this website for metrics included within this report. The figures included in this report have been rounded to the nearest whole number unless otherwise indicated. The report covers Tiffany & Co. and its subsidiary operations, unless otherwise specified. Data was collected from all Tiffany & Co. global locations including retail stores, offices, manufacturing, distribution and warehousing locations. Data used in the calculation of metrics is obtained from direct measurements, third-party invoices or industry and geographic specific estimates.

Definition of Metrics

The corporate responsibility metrics that Tiffany & Co. collects form the basis of this report.

Global Reporting Initiative Index

Tiffany & Co. uses the Global Reporting Initiative (GRI) as a framework for the metrics in our report. Tiffany & Co. reports on specific indicators deemed material to our business.

United Nations Global Compact Communication on Progress

Tiffany & Co. is a signatory of the United Nations Global Compact.

Report of Independent Accountants

Tiffany & Co. obtained limited third-party assurance on selected reported metrics.

Report Archive

2011 and 2010 Corporate Responsibility Reports

Definition of Metrics

This table defines the corporate responsibility metrics reported in this website or used as a basis for the statements made in the website. Items with an asterisk (*) are metrics which have been assured, as indicated in the Report of Independent Accountants.

Governance

Term Definition
Business Conduct Policy Signatures The percentage of Tiffany employees who have signed and returned the Tiffany & Co. Business Conduct Policy acknowledgement and Officers Questionnaire on time. All employees are required to review the Business Conduct Policy annually and select officers of the Company complete the Officers Questionnaire on an annual basis.
Ethical Incidence The number of ethics concerns raised internally by type and rate of resolution.

Responsible Sourcing—Responsible Mining

Term Definition
Metals Purchased The weight in troy ounces of silver, gold and platinum procured by Tiffany & Co. either as a direct purchase from a mine, metal recycler, metal refiner or included in third-party manufactured components or finished goods.
Metal Traceability
Traceable to Mine (Direct Metals Purchased*) The weight in troy ounces of silver, gold and platinum procured directly from a mine as a percentage of the total weight of metals received as evidenced by the contractual terms with the supplier(s) or the details listed on the invoice received.
Traceable to Recycler (Direct Metals Purchased*) The weight in troy ounces of silver, gold and platinum procured directly from a recycler as a percentage of the total weight of metals received as evidenced by the contractual terms with the supplier(s), the details listed on the invoice received or a statement on the recycler’s website stating that metal they manufacture is 100% recycled.
Rough Diamonds Purchased The weight in carats of rough diamonds purchased by Tiffany & Co. from Botswana, Namibia and South Africa in the calendar year and from Belgium in the fiscal year as evidenced by the supplier invoice. This includes all rough diamonds directly procured by Tiffany & Co.
Rough Diamond Traceability
Traceable to Mine* The weight in carats, expressed as a percentage, of rough diamonds purchased by Tiffany & Co. from Botswana, Namibia and South Africa in the calendar year and from Belgium in the fiscal year which were purchased directly from a mine as indicated by either the contractual terms with the supplier which requires the diamonds to be purchased from a specific mine, the details listed on the invoice received or information available on the specific supplier’s website with respect to mining location.
Traceable to Source* The weight in carats, expressed as a percentage, of rough diamonds purchased by Tiffany & Co. from Botswana, Namibia and South Africa in the calendar year and from Belgium in the fiscal year which were purchased directly from a supplier that sources from multiple known mines, but is not traceable to a specific mine as indicated by either the contractual terms with the supplier which requires the diamonds to be purchased from specific mines, the details listed on the invoice received or information available on the specific supplier’s website with respect to mining locations.
Polished Diamonds Purchased The weight in carats of polished diamonds (both serialized and melee sizes) purchased by Tiffany & Co. in the calendar year as evidenced by receipts and Laurelton Diamonds or third-party supplier invoices.
Polished Diamond Traceability
Polished Diamonds from Internally Sourced Rough Diamonds The weight in carats, expressed as a percentage, of polished diamonds purchased by Tiffany & Co. in the calendar year from Laurelton Diamonds as indicated by receipts and Laurelton Diamonds invoices.
Third-party Sourced Polished Diamonds The weight in carats, expressed as a percentage, of polished diamonds purchased by Tiffany & Co. in the calendar year from a third-party supplier as indicated by receipts and the supplier invoice.

Responsible Sourcing—Beneficiation

Term Definition
Economic Beneficiation* The U.S. dollar equivalent of beneficiation paid during the calendar year by Tiffany & Co. within diamond-producing countries whose governments require beneficiation. This amount includes payments to domestic suppliers for rough diamonds, materials and services, taxes, community donations and payroll and benefit costs related to the Laurelton Diamonds facilities.
Social Beneficiation—Percentage Local Employees* The number, expressed as a percentage, of local employees who are employed by Laurelton Diamonds in Botswana, South Africa and Namibia as evidenced by Human Resources records, as of the end of the calendar year.
Worker Living Wage Percentage The percentage of Laurelton skilled employees earning a living wage. Laurelton Diamonds conducts living wage studies in each location where it operates to ensure skilled workers are paid a fair wage for their work. Tiffany has defined living wage as the rate that is required to support an employee, meet financial obligations of the employee toward his/her dependents and provide some discretionary income.

Responsible Sourcing—Paper & Packaging

Term Definition
Packaging Use The weight, expressed in short tons, of all packaging materials received by packaging type including blue bags, white bags, set-up boxes, c-fold boxes, corrugated boxes, tissue, flannels and pouches, bubble wrap and other packaging materials.
Catalogue and Collateral Paper Use The weight, expressed in short tons, of catalogue and printed collateral paper.
Paper Certification (Packaging*) The percentage of FSC®-certified paper suppliers of blue bags and boxes* or catalogue and collateral paper, based on supplier status, as of year end.
Recycled Content The percentage of recycled and post-consumer recycled material in packaging and catalogue paper.
Recyclability The percentage of packaging material that can be recycled by the end-user.

Responsible Sourcing—Supplier Responsibility

Term Definition
Percentage Vendor Code of Conduct Signatures The percentage of direct vendors, vendors providing finished goods and Tiffany recognizable materials (components, leather, diamonds and packaging) to Tiffany & Co., in the Social Accountability Program who have signed the Vendor Code of Conduct as of the end of the year.
Vendor Self-Assessment The percentage of Tiffany & Co. direct vendors in the Social Accountability Program who have completed a self-assessment against the Tiffany & Co. Vendor Code of Conduct during the two-year audit cycle (2012–2013).
Vendor Risk Level The percentage of vendors in the Social Accountability Program at each risk level (High, Medium, Low, Unrated) during the two-year audit cycle. The vendor risk level is calculated through a multilayered risk assessment process.
Audits The percentage of vendors in the Social Accountability Program that have undergone either an internal or third-party audit during the two-year audit cycle.
Vendor Compliance Status The number of vendors in the Social Accountability Program in each compliance level (Satisfactory, Minor Nonconformance, Major Nonconformance, Critical) at the conclusion of the year.
Noncompliance Supplier incidents of noncompliance by type of noncompliance (hours of work, wages and benefits, health and safety, freedom of association and collective bargaining, lack of transparency, child labor, forced labor, harassment or abuse, disciplinary actions, discrimination, environmental requirements or other) as determined by internal or third-party audits during the two-year audit cycle.

World of Tiffany—Our Employees

Term Definition
Ethnic Diversity (United States*) The diversity of the Tiffany U.S. workforce, including temporary and seasonal employees, according to ethnicity as self-reported and recorded by employees in the Company’s Human Resources systems from July 1-July 15.
Gender Diversity by Management Level* The diversity of the Tiffany global workforce, including temporary and seasonal employees, according to gender as self-reported and management level as recorded in the Company’s Human Resources systems, where permitted by local law.
Generation Diversity* The diversity of the Tiffany global workforce, including temporary and seasonal employees, according to gender and date of birth as self-reported and recorded in the Company’s Human Resources systems, where permitted by local law.
Total Recordable Incidence Rate (United States*) The number of recordable injuries or illnesses (based on the OSHA definition of a recordable incident) per 100 full-time equivalent United States employees, during the calendar year, as of May 6, 2013.
Voluntary Turnover The percentage of the global workforce voluntarily leaving Tiffany. Voluntary turnover includes all full-time employees. Laurelton Diamonds trainees are tracked separately.
Performance Review The percentage of Tiffany employees with annual management plans and annual reviews completed on time.

World of Tiffany—Building Footprint

Term Definition
Energy Use Energy use is expressed in MWh and represents all types of energy used by Tiffany & Co. (i.e., electricity, natural gas, fuel oil, heavy oil and steam). Data is derived from meters, utility invoices or estimations based on facility type, size and location.
Energy Costs The total cost in U.S. dollars associated with the energy used by Tiffany & Co. Data is derived from meters, utility invoices or estimations based on facility type, size and location.
Greenhouse Gas Emissions* The quantity in metric tons of carbon dioxide equivalent greenhouse gas emissions, including both direct (Scope 1) and indirect (Scope 2) emissions.
Greenhouse Gas Emissions per Square Foot* The quantity in pounds of carbon dioxide equivalent greenhouse gas emissions per square foot of operated space, including both direct (Scope 1) and indirect (Scope 2) emissions.

Charitable Giving

Term Definition
Charitable Giving as a Percentage of Pre-Tax Earnings Total contributions by Tiffany & Co. through our corporate giving program, Employee Giving and Volunteer Matching Programs and to The Tiffany & Co. Foundation endowment, as a percentage of fiscal year pre-tax earnings.
Foundation Grantmaking* The U.S. dollar amount of grantmaking that The Tiffany & Co. Foundation paid to United States nonprofit organizations during the calendar year.
Corporate Giving The total U.S. dollar contribution by type of donation (monetary, merchandise) and charity area of focus (i.e., arts, health) to local charitable organizations globally.
Employee Giving Program Total Tiffany & Co. contributions through the U.S. Employee Giving Program, tracked by the matching monetary donations, the number of unique employees participating in the program and the number of charities to which donations have been made.
Volunteer Matching Program Total Tiffany & Co. monetary contributions through the U.S. Volunteer Matching Program made to charities where U.S. employees have volunteered their personal time, tracked by the matching monetary donations, the number of unique employees participating in the program, the number of hours volunteered and the number of charities to which donations have been made.

Global Reporting Initiative Index

This report was developed in accordance with the Global Reporting Initiative’s G3.1 reporting framework. The Global Reporting Initiative (GRI) is a network-based organization that developed the world’s most widely used voluntary sustainability reporting framework. The GRI reporting framework is developed through a consensus-seeking, multistakeholder process. Tiffany & Co. is reporting on the metrics that we deem material. For further information on the Global Reporting Initiative, please see http://www.globalreporting.org.

Strategy & Analysis

Indicator GRI Description Response
1.1 Statement from the most senior decision-maker of the organization about the relevance of sustainability to the organization and its strategy. CEO Message
1.2 Description of key impacts, risks, and opportunities. For information on material risks to Tiffany & Co., please see the Tiffany & Co. 2012 Form 10-K.

A description of key corporate responsibility impacts, risks and opportunities can be found throughout the content of this website.

Organizational Profile

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Indicator GRI Description Response
2.1 Name of the organization. Tiffany & Co.
2.2 Primary brands, products, and/or services. Tiffany & Co. 2012 Form 10-K
2.3 Operational structure of the organization, including main divisions, operating companies, subsidiaries, and joint ventures. Tiffany & Co. 2012 Form 10-K
2.4 Location of organization’s headquarters. New York, New York, U.S.A.
2.5 Number of countries where the organization operates, and names of countries with either major operations or that are specifically relevant to the sustainability issues covered in the report. Tiffany & Co. 2012 Form 10-K
2.6 Nature of ownership and legal form. Tiffany & Co. 2012 Form 10-K
2.7 Markets served. Tiffany & Co. 2012 Form 10-K
2.8 Scale of the reporting organization. Tiffany & Co. 2012 Form 10-K
2.9 Significant changes during the reporting period regarding size, structure, or ownership. Tiffany & Co. 2012 Form 10-K
2.10 Awards received in the reporting period. The following is a select list of awards and recognitions received during the reporting period:

Listed on the FTSE4Good® Index beginning in 2012

U.S. EPA Climate Leadership: Excellence in Greenhouse Gas Management (Goal Achievement Award)

Fashion Group International 2012 Sustainability Award

Luxury Briefing 2012 Commitment to Sustainability

Federal District Government of Mexico: Responsible corporate health and wellness commendation

New Jersey Department of Environmental Protection: Environmental Stewardship Award

Report Parameters

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Indicator GRI Description Response
3.1 Reporting period for information provided. Tiffany & Co. is reporting on our 2012 Fiscal Year (February 1, 2012–January 31, 2013) unless otherwise specified.
3.2 Date of most recent previous report. The Fiscal Year 2011 Corporate Responsibility Report was published in July 2012.
3.3 Reporting cycle. Annual
3.4 Contact point for questions regarding the report or its contents.
For information on how to contact Tiffany & Co., please see Customer Service.
3.5 Process for defining report content. About This Report
3.6 Boundary of the report. About This Report
3.7 State any specific limitations on the scope or boundary of the report. The scope and boundary of the report are defined in the About This Report section of this website. Any metric with a limited scope is defined in the discussion of that specific metric.
3.8 Basis for reporting on joint ventures, subsidiaries, leased facilities, outsourced operations, and other entities that can significantly affect comparability from period to period and/or between organizations. About This Report
3.9 Data measurement techniques and the bases of calculations, including assumptions and techniques underlying estimations applied to the compilation of the Indicators and other information in the report. About This Report
3.10 Explanation of the effect of any re-statements of information provided in earlier reports, and the reasons for such re-statement. The material issues to Tiffany & Co. and our positions on these issues have not changed from year to year.
3.11 Significant changes from previous reporting periods in the scope, boundary, or measurement methods applied in the report. Any explanation of significant changes from previous reporting periods is described in the discussion of that specific metric.
3.12 Table identifying the location of the Standard Disclosures in the report. This table was created to help the reader determine where specific GRI Indicators can be found within this website.
3.13 Policy and current practice with regard to seeking external assurance for the report. Tiffany & Co. engaged PricewaterhouseCoopers LLP (PwC) to provide limited assurance on selected sustainability metrics set forth within the Tiffany & Co. Corporate Responsibility Report. A copy of the PwC Report and Tiffany & Co. Management Assertion can be found in the Report of Independent Accountants.

Governance, Commitments, and Engagement

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Indicator GRI Description Response
4.1 Governance structure of the organization. A description of the governance structure of Tiffany & Co. as it relates to corporate responsibility can be found within the Governance section. Further information on governance at Tiffany & Co. can be found in the Tiffany & Co. 2012 Proxy Statement.
4.2 Indicate whether the Chair of the highest governance body is also an executive officer. Michael J. Kowalski serves as Chairman of the Board and Chief Executive Officer of Tiffany & Co.
4.3 For organizations that have a unitary board structure, state the number of members of the highest governance body that are independent and/or non-executive members. Governance
4.4 Mechanisms for shareholders and employees to provide recommendations or direction to the highest governance body. Governance
Tiffany & Co. 2012 Proxy Statement
4.5 Linkage between compensation for members of the highest governance body, senior managers, and executives (including departure arrangements), and the organization’s performance (including social and environmental performance). Tiffany & Co. 2012 Proxy Statement
4.6 Processes in place for the highest governance body to ensure conflicts of interest are avoided. Tiffany & Co. 2012 Proxy Statement
4.7 Process for determining the composition, qualifications, and expertise of the members of the highest governance body for guiding the organization’s strategy on economic, environmental, and social topics. Governance
Tiffany & Co. 2012 Proxy Statement
4.8 Internally developed statements of mission or values, codes of conduct, and principles relevant to economic, environmental, and social performance and the status of their implementation. Governance
4.9 Procedures of the highest governance body for overseeing the organization’s identification and management of economic, environmental, and social performance, including relevant risks and opportunities, and adherence or compliance with internationally agreed standards, codes of conduct, and principles. Governance
Tiffany & Co. 2012 Proxy Statement
4.10 Processes for evaluating the highest governance body’s own performance, particularly with respect to economic, environmental, and social performance. Tiffany & Co. 2012 Proxy Statement
4.11 Explanation of whether and how the precautionary approach or principle is addressed by the organization. Tiffany & Co. supports the precautionary approach to environmental challenges as defined under the United Nations Global Compact.
4.12 Externally developed economic, environmental, and social charters, principles, or other initiatives to which the organization subscribes or endorses. Tiffany & Co. has integrated, and is working to improve, many external, third-party initiatives that relate to the economic, environmental and social impacts of Tiffany & Co. Information on these initiatives can be found in the Industry Leadership, Responsible Sourcing and World of Tiffany sections of this website.

Since 2011, Tiffany & Co. has been a member of the United Nations Global Compact. Please see the United Nations Global Compact Communication on Progress section of this website.
4.13 Memberships in associations (such as industry associations) and/or national/international advocacy organizations. Selected memberships are listed in the Industry Leadership section and throughout the content of this website. The 2012 Annual Political Spending Disclosure can be found on the Investor Relations website.
4.14 List of stakeholder groups engaged by the organization. This information is reported throughout the content of this website.
4.15 Basis for identification and selection of stakeholders with whom to engage. Information on Tiffany & Co. practices for stakeholder engagement can be found within the Governance, Industry Leadership and About This Report sections of this website.
4.16 Approaches to stakeholder engagement, including frequency of engagement by type and by stakeholder group. Information on Tiffany & Co. approaches to stakeholder engagement can be found within the Governance, Industry Leadership and About This Report sections of this website.
4.17 Key topics and concerns that have been raised through stakeholder engagement, and how the organization has responded to those key topics and concerns, including through its reporting. This information is reported throughout the content of this website.

Performance Indicators—Economic

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Indicator GRI Description Response
EC1 Direct economic value generated and distributed, including revenues, operating costs, employee compensation, donations, and other community investments, retained earnings, and payments to capital providers and governments. Financial information can be found in the Tiffany & Co. 2012 Form 10-K.

Information on Tiffany & Co. donations and The Tiffany & Co. Foundation’s grantmaking can be found within the Charitable Giving section of this website.

Information on how Tiffany & Co. supports diamond-producing countries can be found within the Beneficiation section of this website.

The 2012 Annual Political Spending Disclosure can be found on the Investor Relations website.
EC2 Financial implications and other risks and opportunities for the organization’s activities due to climate change. For information on the financial implications and other risks and opportunities associated with climate change, please see the Tiffany & Co. response to the 2013 CDP Investor Questionnaire at www.cdproject.net.
EC3 Coverage of the organization’s defined benefit plan obligations. Tiffany & Co. 2012 Proxy Statement
EC4 Significant financial assistance received from government. Tiffany & Co. 2012 Proxy Statement
EC5 Range of ratios of standard entry level wage by gender compared to local minimum wage at significant locations of operation. Not disclosed
EC6 Policy, practices, and proportion of spending on locally-based suppliers at significant locations of operation. For information on the use of locally-based suppliers by Tiffany & Co., please see Metals and Beneficiation within the Responsible Sourcing section of this website.
EC7 Procedures for local hiring and proportion of senior management hired from the local community at locations of significant operation. Beneficiation
EC8 Development and impact of infrastructure investments and services provided primarily of public benefit through commercial, in-kind, or pro bono engagement. For information on the investments and impacts Tiffany & Co. makes in diamond-producing countries, please see the Beneficiation section of this website.
EC9 Understanding and describing significant indirect economic impacts, including the extent of impacts. Industry Leadership
Responsible Sourcing

Performance Indicators—Environmental

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Indicator GRI Description Response
EN1 Materials used by weight or volume. Tiffany & Co. does not disclose the exact quantity of materials that we use, as we find this to be proprietary.
EN2 Percentage of materials used that are recycled input materials. Information on the recycled materials we use can be found within the Metals and Paper & Packaging sections of this website.
EN3 Direct energy consumption by primary energy source. Building Footprint
Tiffany & Co. response to the 2013 CDP Investor Questionnaire at www.cdproject.net
EN4 Indirect energy consumption by primary source. Building Footprint
Tiffany & Co. response to the 2013 CDP Investor Questionnaire at www.cdproject.net
EN5 Energy saved due to conservation and efficiency improvements. Building Footprint
Tiffany & Co. response to the 2013 CDP Investor Questionnaire at www.cdproject.net
EN6 Initiatives to provide energy-efficient or renewable energy based products and services, and reductions in energy requirements as a result of these initiatives. Not applicable
EN7 Initiatives to reduce indirect energy consumption and reductions achieved. Building Footprint
Tiffany & Co. response to the 2013 CDP Investor Questionnaire at www.cdproject.net
EN8 Total water withdrawal by source. Tiffany & Co. started to collect water use data in 2010 from our global facilities. We do not report on water withdrawal at this time.
EN9 Water sources significantly affected by withdrawal of water. Not applicable
EN10 Percentage and total volume of water recycled and reused. Tiffany & Co. started to collect water use data in 2010 from our global facilities. We do not report on water reuse or recycling at this time.
EN11 Location and size of land owned, leased, managed in, or adjacent to, protected areas and areas of high biodiversity value outside protected areas. For further information on how we work to protect areas of high biodiversity value from the environmental impacts of mining, please see the Preservation and Industry Leadership sections of this website.
EN12 Description of significant impacts of activities, products, and services on biodiversity in protected areas and areas of high biodiversity value outside protected areas. A description of the potential impacts to biodiversity by raw material sourcing can be found within the Preservation section of this website. Information on how Tiffany & Co. works with our supply chain to minimize these impacts can be found within the Industry Leadership and Responsible Mining sections of this website.
EN13 Habitats protected or restored. Please see the Industry Leadership, Preservation and The Tiffany & Co. Foundation sections of this website for information on how Tiffany & Co. has worked on coral conservation, hard-rock mining reform and the preservation of areas of high ecological and cultural value.
EN14 Strategies, current actions, and future plans for managing impacts on biodiversity. Responsible Sourcing
The Tiffany & Co. Foundation
Industry Leadership
EN15 Number of IUCN Red List species and national conservation list species with habitats in areas affected by operations, by level of extinction risk. Not known
EN16 Total direct and indirect greenhouse gas emissions by weight. Building Footprint
Tiffany & Co. response to the 2013 CDP Investor Questionnaire at www.cdproject.net
EN17 Other relevant indirect greenhouse gas emissions by weight. Not disclosed
EN18 Initiatives to reduce greenhouse gas emissions and reductions achieved. Building Footprint
Tiffany & Co. response to the 2013 CDP Investor Questionnaire at www.cdproject.net
EN19 Emissions of ozone-depleting substances by weight. Tiffany & Co. does not have significant emissions of ozone-depleting substances.
EN20 NO, SO, and other significant air emissions by type and weight. Tiffany & Co. does not have significant air emissions.
EN21 Total water discharge by quality and destination. Tiffany & Co. started to collect water use data in 2010 from our global facilities. We do not report on water discharge at this time.
EN22 Total weight of waste by type and disposal method.
Tiffany & Co. started to collect waste data in 2010 from our global facilities. We do not report on waste data at this time.
EN23 Total number and volume of significant spills. Tiffany & Co. did not have any significant spills within this reporting period.
EN24 Weight of transported, imported, exported, or treated waste deemed hazardous under the terms of the Basel Convention Annex I, II, III, and VIII, and percentage of transported waste shipped internationally. Not disclosed
EN25 Identity, size, protected status, and biodiversity value of water bodies and related habitats significantly affected by the reporting organization’s discharges of water and runoff. Not applicable
EN26 Initiatives to mitigate environmental impacts of products and services, and extent of impact mitigation. Information on how Tiffany & Co. works to mitigate environmental impacts can be found within the Industry Leadership and Responsible Mining sections of this website.

Further, Tiffany & Co. crafts jewelry that lasts generations. It is our belief that our jewelry never reaches the end of its useful life.
EN27 Percentage of products sold and their packaging materials that are reclaimed by category. Tiffany & Co. does not have a take-back program to recycle our products or packaging. However, metals can be recycled, diamonds and gemstones can be reused and our packaging is recyclable where facilities exist.
EN28 Monetary value of significant fines and total number of non-monetary sanctions for non-compliance with environmental laws and regulations. Tiffany & Co. works to ensure compliance with applicable environmental laws and regulations. In 2012, we received one letter of non-compliance from the Rhode Island Department of Environmental Management for certain violations relating to the handling and storage of hazardous waste. These violations were remedied and controls were put in place to enhance the Company’s compliance program.
EN29 Significant environmental impacts of transporting products and other goods and materials used for the organization’s operations, and transporting members of the workforce. Not disclosed
EN30 Total environmental protection expenditures and investments by type. Tiffany & Co. does not currently disclose this indicator, as the costs are not material to our business.

Performance Indicators—Labor Practices and Decent Work

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Indicator GRI Description Response
LA1 Total workforce by employment type, employment contract, and region, by age group. World of Tiffany
Beneficiation
LA2 Total number and rate of new employee hires and employee turnover by age group, gender, and region. Not disclosed
LA3 Benefits provided to full-time employees that are not provided to temporary or part-time employees, by significant locations of operation. A description of Tiffany benefits by region can be found on the Tiffany Careers website.
LA4 Percentage of employees covered by collective bargaining agreements. Not disclosed
LA5 Minimum notice period(s) regarding operational changes, including whether it is specified in collective agreements. Not disclosed
LA6 Percentage of total workforce represented in formal joint management-worker health and safety committees that help monitor and advise on occupational health and safety programs. Locations have health and safety committees that participate in deployment of the location’s proactive safety efforts.

Each location has various task, department, ad hoc and other committees to develop and implement health and safety programs based on the location’s strategic health and safety plan. These leadership groups include a cross-section of personnel from the facility.

LA7 Rates of injury, occupational diseases, lost days, and absenteeism, and number of work-related fatalities by region. Our Employees
LA8 Education, training, counseling, prevention, and risk-control programs in place to assist workforce members, their families, or community members regarding serious diseases. Our Employees
LA9 Health and safety topics covered in formal agreements with trade unions. None
LA10 Average hours of training per year per employee by gender, and by employee category. Not disclosed
LA11 Programs for skills management and lifelong learning that support the continued employability of employees and assist them in managing career endings, by gender. Please see the Our Employees and Beneficiation sections of this website and Tiffany Careers for further information on Tiffany training and career development programs.
LA12 Percentage of employees receiving regular performance and career development reviews. Employees receive annual performance and career development reviews.
LA13 Composition of governance bodies and breakdown of employees per category according to gender, age group, minority group membership, and other indicators of diversity. Information on the composition of the Board of Directors can be found on the Tiffany & Co. Investor Relations website.

Information on the diversity of our workforce can be found within the Our Employees section of this website.
LA14 Ratio of basic salary of men to women by employee category, by significant locations of operation. Not disclosed
LA15 Return to work and retention rates after parental leave, by gender. Not disclosed

Performance Indicators—Human Rights

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Indicator GRI Description Response
HR1 Percentage and total number of significant investment agreements that include human rights clauses, or that have undergone human rights screening. Not disclosed
HR2 Percentage of significant suppliers, contractors, and other business partners that have undergone screening on human rights and actions taken. For information on our Social Accountability Program, please see the Supplier Responsibility section of this website.
HR3 Total hours of employee training on policies and procedures concerning aspects of human rights that are relevant to operations, including the percentage of employees trained. Tiffany officers and employees perform an annual review of the Tiffany & Co. Business Conduct Policy. Beginning in 2010, English-speaking employees received online training on the Business Conduct Policy and this program has been translated for use by the vast majority of the Company. In 2012, those employees that did not receive the online training performed an annual review of the Business Conduct Policy in their local language.
HR4 Total number of incidents of discrimination and corrective actions taken. Not disclosed
HR5 Operations and significant suppliers identified in which the right to exercise freedom of association and collective bargaining may be at significant risk, and actions taken to support these rights. Please see the Governance section of this website and the Tiffany & Co. Investor Relations website for Tiffany & Co. policies in this area. Please see the Supplier Responsibility section of this website for an understanding of how this is reviewed within our supply chain.
HR6 Operations and significant suppliers identified as having significant risk for incidents of child labor, and measures taken to contribute to the elimination of all forms of forced or compulsory child labor. Tiffany & Co. facilities abide by our corporate standards and are not at risk for incidents of child labor. Information on the screening of our supply chain for these risks can be found in the Supplier Responsibility section of this website.
HR7 Operations and significant suppliers identified as having significant risk for incidents of forced or compulsory labor, and measures taken to contribute to the elimination of all forms of forced or compulsory labor. Tiffany & Co. facilities abide by our corporate standards and are not at risk for incidents of forced labor. Information on the screening of our supply chain for these risks can be found in the Supplier Responsibility section of this website.
HR8 Percentage of security personnel trained in the organization’s policies or procedures concerning aspects of human rights that are relevant to operations. Not disclosed
HR9 Total number of incidents of violations involving rights of indigenous people and actions taken. Information on how Tiffany & Co. supports indigenous rights and affected communities can be found within the Industry Leadership and Responsible Sourcing sections of this website.
HR10 Percentage and total number of operations that have been subject to human rights reviews and/or impact assessments. Information about our human rights review practices can be found within the Supplier Responsibility and Governance sections of this website.
HR11 Number of grievances related to human rights filed, addressed, and resolved through formal grievance mechanisms. Information about our grievances reporting mechanisms can be found within the Governance section of this website.

Performance Indicators—Social

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Indicator GRI Description Response
SO1 Percentage of operations with implemented local community engagement, impact assessments, and development programs. Beneficiation
Industry Leadership
Preservation
SO2 Percentage and total number of business units analyzed for risks related to corruption. Governance
SO3 Percentage of employees trained in organization’s anti-corruption policies and procedures. All employees are required to annually review the Tiffany & Co. Business Conduct Policy. In addition, employees whose responsibilities may involve interactions with government officials are required to annually undergo training on the Foreign Corrupt Practices Act. For further information, please see the Governance section of this website.
SO4 Actions taken in response to incidents of corruption. Governance
SO5 Public policy positions and participation in public policy development and lobbying. Governance
The 2012 Annual Political Spending Disclosure can be found on the Investor Relations website.
SO6 Total value of financial and in-kind contributions to political parties, politicians, and related institutions by country. The 2012 Annual Political Spending Disclosure can be found on the Investor Relations website.
SO7 Total number of legal actions for anti-competitive, anti-trust, and monopoly practices and their outcomes. None
SO8 Monetary value of significant fines and total number of non-monetary sanctions for non-compliance with laws and regulations. Tiffany & Co. was not subject to any significant fines or significant non-monetary sanctions for non-compliance with laws and regulations in 2012.
SO9 Operations with significant potential or actual negative impacts on local communities. A discussion of how Tiffany & Co. interacts with the communities where we operate can be found in:

Building Footprint
Responsible Sourcing
SO10 Prevention and mitigation measures implemented in operations with significant potential or actual negative impacts on local communities. A discussion of how Tiffany & Co. interacts with the communities where we operate can be found in:

Building Footprint
Responsible Sourcing

Performance Indicators—Product Responsibility

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Indicator GRI Description Response
PR1 Life cycle stages in which health and safety impacts of products and services are assessed for improvement, and percentage of significant products and services categories subject to such procedures. Responsible Sourcing
PR2 Total number of incidents of non-compliance with regulations and voluntary codes concerning health and safety impacts of products and services during their life cycle, by type of outcomes. Tiffany & Co. did not have incidents of non-compliance with regulations and voluntary codes concerning the health and safety impacts of products in 2012.
PR3 Type of product and service information required by procedures, and percentage of significant products and services subject to such information requirements. Tiffany & Co. is not currently required to report on the sustainability impacts of our products. Further information on the sourcing of our products can be found within the Responsible Sourcing section of this website.
PR4 Total number of incidents of non-compliance with regulations and voluntary codes concerning product and service information and labeling, by type of outcomes. Not tracked
PR5 Practices related to customer satisfaction, including results of surveys measuring customer satisfaction. Tiffany & Co. engages regularly with our customers. Customers can communicate with Tiffany & Co. through our Customer Service website, social media and in-person feedback at our stores.
PR6 Programs for adherence to laws, standards, and voluntary codes related to marketing communications, including advertising, promotion, and sponsorship. As a publicly traded company in the United States, we are subject to, and abide by, the rules of the Securities and Exchange Commission.
PR7 Total number of incidents of non-compliance with regulations and voluntary codes concerning marketing communications, including advertising, promotion, and sponsorship by type of outcomes. Tiffany & Co. did not have any incidents of non-compliance for marketing communications in 2012.
PR8 Total number of substantiated complaints regarding breaches of customer privacy and losses of customer data. Not disclosed
PR9 Monetary value of significant fines for non-compliance with laws and regulations concerning the provision and use of products and services. Not tracked

United Nations Global Compact -
Communication on Progress 2012

In 2011, Tiffany & Co. joined the United Nations Global Compact. The UN Global Compact is a strategic policy initiative for businesses committed to aligning their operations and strategies with ten principles in the areas of human rights, labor, environment and anti-corruption. The table below shows how we are communicating on progress for the Ten Principles. For further information on the UN Global Compact, please see http://www.unglobalcompact.org.

Human Rights

Global Compact Principles Communication on Progress
Principle
1
Businesses should support and respect the protection of internationally proclaimed human rights.
Tiffany adheres to key policies and procedures in order to safeguard human rights within the Company and throughout our supply chain. These policies and procedures are detailed on the Governance page of this website. Within the Company, we welcome diversity and strive to offer all employees an equitable and respectful working environment (see Beneficiation and Our Employees). The Company’s Social Accountability Program (see Supplier Responsibility) rigorously evaluates vendors, ensuring the protection of human rights in our supply chain. Beyond these spheres of influence, Tiffany & Co. is committed to protecting human rights throughout the industry and seeks to advance the highest standards in responsible mining (see Industry Leadership).
Principle
2
Businesses should make sure they are not complicit in human rights abuses.

Labor Standards

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Global Compact Principles Communication on Progress
Principle
3
Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining.
Tiffany recognizes and respects the importance of stringent labor standards to protect workers worldwide. The Tiffany & Co. Internal Audit Department provides oversight and guidance to ensure compliance with applicable laws and regulations to foster a positive and ethical work environment for Company employees (see Governance and Our Employees). The Company’s Social Accountability Program carefully monitors vendor performance in relation to labor standards, specifically evaluating freedom of association and collective bargaining, forced labor, child labor and discrimination (see Supplier Responsibility). Additionally, Tiffany & Co. supports the strengthening of industry-wide labor standards beyond our immediate operations (see Industry Leadership).
Principle
4
Businesses should uphold the elimination of all forms of forced and compulsory labor.
Principle
5
Businesses should uphold the effective abolition of child labor.
Principle
6
Businesses should uphold the elimination of discrimination in respect of employment and occupation.

Environment

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Global Compact Principles Communication on Progress
Principle
7
Businesses should support a precautionary approach to environmental challenges.
Tiffany & Co. draws on the natural world for both design inspiration and the precious materials used in our products. At the Company’s core is a commitment to preserve, protect and responsibly manage the environment on which we rely for our long-term success. The Company promotes environmental responsibility by leveraging the Tiffany brand. For example, the Company plays a leadership role in industry-wide collaborative efforts to prevent environmental damage across the supply chain (see Industry Leadership), raises awareness of risks associated with mining in ecologically-sensitive areas (see Preservation) and sources from mines which uphold high standards of environmental performance (see Responsible Mining). These efforts are strengthened by the Foundation’s support of scientific research, conservation and multistakeholder collaboration to promote the most environmentally-responsible standards in mining operations (see The Tiffany & Co. Foundation). In addition to addressing the impacts of mining, we are continuously looking to reduce our environmental footprint in other ways, from using recycled content and FSC-certified sources for our bags and boxes to reducing our greenhouse gas emissions (see Paper & Packaging and Building Footprint).
Principle
8
Businesses should undertake initiatives to promote greater environmental responsibility.
Principle
9
Businesses should encourage the development and diffusion of environmentally friendly technologies.

Anti-Corruption

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Global Compact Principle Communication on Progress
Principle
10
Businesses should work against corruption in all its forms, including extortion and bribery.
The Tiffany & Co. Business Conduct Policy sets forth expectations of Tiffany employees, including compliance with all relevant laws and regulations. This policy prohibits payment of bribes or the acceptance of payments or other inappropriate gifts. All employees are required to review the policy upon hire and thereafter on an annual basis to make sure that they understand these standards (see Governance). Within our supply chain, Tiffany & Co. requires vendors to annually review the Vendor Code of Conduct, which outlines expectations for ethical conduct and compliance with all applicable laws (see Supplier Responsibility).

Report of Independent
Accountants

Tiffany & Co. has chosen to voluntarily report on our corporate responsibility performance and has designed processes to collect and/or estimate, assess and report on this data. Tiffany & Co. Management is responsible for the completeness, accuracy and validity of the information contained in the 2012 Corporate Responsibility Report (website). We have engaged PricewaterhouseCoopers LLP (PwC), our independent registered public accounting firm, to review and report on certain performance metrics set forth in this report. A copy of their findings can be found within the Report of Independent Accountants linked below.

PricewaterhouseCoopers LLP’s Report of Independent Accountants


Forward-Looking Statement

This Tiffany & Co. Corporate Responsibility website, including documents or reports incorporated herein by reference, contains certain “forward-looking statements” concerning Tiffany & Co.’s goals, plans and projections with respect to corporate responsibility, policy, procurement, business risks and opportunities. In addition, Tiffany & Co. makes other forward-looking statements concerning corporate responsibility objectives and expectations. One can identify these forward-looking statements by the fact that they use words such as “believes,” “intends,” “plans” and “expects” and other words and terms of similar meaning and expression in connection with any discussion of future corporate responsibility initiatives and objectives. One can also identify forward-looking statements by the fact that they do not relate strictly to historical or current facts. Such forward-looking statements are based on Tiffany & Co.’s current plan and involve inherent uncertainties and assumptions that could cause actual outcomes to differ materially from the current or reported plan. The results of Tiffany & Co.’s ongoing business risk analysis could cause actual results to differ materially from any forward-looking statement.

Although Tiffany & Co. believes that we have been prudent in our plans and assumptions, no assurance can be given that any corporate responsibility goal or plan set forth in forward-looking statements can or will be achieved and readers are cautioned not to place undue reliance on such statements. Tiffany & Co. undertakes no obligation to update any of the forward-looking information on this website, whether as a result of new information, future events, changes in corporate responsibility objectives and expectations or otherwise.


Report Archive

Tiffany & Co. published its first annual Corporate Responsibility Report in 2011 based on Fiscal Year 2010 performance. A PDF of our previous reports can be downloaded below.

2011 Corporate Responsibility Report

2010 Corporate Responsibility Report