Brown–Forman Corporation (BF-B) — ESG & Values Scores

Environment story

Brown–Forman discloses limited Scope 1 & 2 emissions data and provides no verifiable Scope 3 emissions figures despite supply-chain intensity in distillation, aging, and logistics. Net-zero target year is not disclosed in available filings, triggering a -15 penalty. The company reports positive initiatives in renewable energy (anaerobic digester at Jack Daniel Distillery operational in FY2026) and water stewardship partnerships, earning +5 impact credit. However, water risk remains elevated at Casa Herradura facility and in water-intensive bourbon aging regions; no quantified mitigation of excessive localized consumption is evident. Supply-chain sustainability (regenerative agriculture, sustainable forestry) demonstrates partial commitment but lacks third-party verification. No material litigation or fines for environmental violations reported, yet absence of transparent Scope 3 carbon disclosure and undefined net-zero credibility significantly constrains the score.

Criticisms on file

Absence of Scope 3 emissions disclosure and undefined net-zero target year
Source: BF-B_10k.txt; BF-B_proxy.txt — no Scope 3 or net-zero 2030/2045/2050 targets disclosed
Water consumption risk at Casa Herradura and in aged-whiskey distilleries
Source: BF-B_10k.txt Item 1A Risk Factors: 'water is an essential component of our products' and 'high-quality water could become scarce in some key production regions'
Supply chain climate risk largely unquantified; reliance on partnership disclosures rather than direct corporate measurement
Source: BF-B_10k.txt — initiatives documented but lacking independent audit or quantified baseline emissions

Disclosed initiatives

Byproducts to Energy

Anaerobic digester at Jack Daniel Distillery became operational in FY2026, converting distillery byproducts to renewable energy and fertilizer.

Partial reduction in operational energy costs and landfill waste; scope and quantified impact not disclosed.
Water Stewardship

Partnership with Waterplan to measure water-related risk at production facilities and identify opportunities to improve aquifer recharge rates at Casa Herradura facility.

Ongoing risk assessment; no quantified reductions in water consumption or recharge rates reported to date.
Sustainable Agriculture

Five-year commitment (FY2025) to expand regenerative agriculture practices among Kentucky corn farmers, led by Precision Conservation Management and coordinated by Kentucky Distillers Association.

Supply-chain carbon reduction potential; quantified baseline and targets not disclosed.
Sustainable Forestry

Coalition of Kentucky, Tennessee, and Alabama state forestry associations (supported by Brown–Forman) received National Fish and Wildlife Foundation grant to engage family forest landowners on sustainable white oak management in Cumberland Plateau.

Long-term supply-chain risk mitigation for barrel oak; no quantified impact on company sourcing.

Social story

Brown–Forman reports approximately 4,900 employees globally with 7% unionized workforce in the U.S. and low documented voluntary turnover among salaried staff. CEO-to-median-worker pay ratio is not disclosed in filings; without explicit data, no penalty is applied. The company emphasizes inclusive culture through ten Employee Resources Groups (ERGs) and highlights diversity as strategic priority, but executive and board diversity percentages are not quantitatively disclosed in available excerpts, preventing precise assessment. Supply-chain labor practices are not comprehensively audited; no cobalt, lithium, or conflict-minerals-sourcing issues are evident in spirit production, though third-party labor standards compliance is undocumented. No active union-suppression activities, strikes, or NLRB complaints within the last 24 months are disclosed. The company maintains a values-based ethics program with anonymous reporting channels and Code of Conduct in 13 languages. Overall, the social pillar reflects stable employment practices and stated commitment to diversity, but lack of quantified diversity metrics and third-party labor audits prevents a higher score.

Criticisms on file

Executive and board diversity percentages not disclosed in available filings
Source: BF-B_proxy.txt; BF-B_10k.txt — diversity stated as strategic priority but quantified percentages for women, URG in executive/board roles not provided in excerpts
CEO-to-median-worker pay ratio not disclosed
Source: BF-B_proxy.txt — compensation tables provided for named executives but median-worker compensation and ratio not disclosed
Supply-chain labor and human-rights auditing not documented
Source: BF-B_10k.txt Item 1A Risk Factors; no third-party audit of distributor, supplier, or agricultural-labor practices disclosed

Disclosed initiatives

Ten Employee Resource Groups (ERGs)

Open to all employees; focused on supporting diverse workforce development, cultural awareness, consumer engagement authenticity, and peer advocacy and support.

Stated contribution to inclusive culture; quantified participation and effectiveness not disclosed.
Global Succession Planning and Talent Development

Robust succession planning, experiential learning opportunities, global project roles, technical upskilling, internal career pathways, and tracking of internal movement data.

Supports retention and development; quantified internal promotion rates not disclosed.
Total Rewards Framework

Globally consistent yet locally competitive compensation reviewed annually; roles priced via third-party salary surveys; internal pay-parity monitoring during annual and acquisition cycles.

Supports fair and competitive compensation; gender/racial pay-gap data not disclosed.
Values Drive Decisions Ethics & Compliance Program

Annual Code of Conduct certification in 13 languages; third-party anonymous reporting service; emphasis on non-retaliation and 'speak up' culture; manager training on values-based decision-making.

Supports ethical workplace culture; no quantified violation or retaliation complaints disclosed.

Governance story

Brown–Forman operates as a dual-class controlled company under NYSE rules, with the Brown family owning >50% of voting stock, triggering a -20 penalty for unequal voting rights. Board independence is stated as strong (multiple independent committees) but quantified independence percentage for the full board is not explicitly disclosed in available excerpts; assuming ~75%+ independence based on committee composition, no additional penalty is applied. The company discloses extensive lobbying and political engagement but does not isolate climate-deregulation or consumer-protection rollback spending; no material antitrust, financial-fraud, or privacy-related regulatory proceedings are evident. A credit-rating downgrade review in November 2025 is disclosed, though not an active downgrade. The company maintains robust governance infrastructure (Code of Conduct, ethics training, Risk Committee, Disclosure Controls Committee, whistleblower channels) but lacks explicit ESG lobbying-alignment disclosures. Overall, the dual-class structure and family control constrain governance score despite strong procedural governance and risk-oversight practices.

Criticisms on file

Dual-class share structure with Brown family supermajority voting control (>50%)
Source: BF-B_10k.txt Item 1: 'We are a controlled company under New York Stock Exchange rules because the Brown family owns more than 50% of our voting stock.'
Credit-rating downgrade review announced November 2025
Source: BF-B_10k.txt Item 1A Risk Factors: 'Any downgrade or announcement that we are under review for a potential downgrade of our credit ratings, as occurred in November, 2025...'
Lobbying and political-contribution spending not granularly disclosed for climate or consumer-protection deregulation alignment
Source: BF-B_proxy.txt — Political Engagement and Contributions Policy references trade associations and PAC contributions but granular climate-specific or deregulation-targeting spend not quantified

Disclosed initiatives

Corporate Governance Guidelines

Board-level risk oversight, strategic planning integration, and enterprise-risk-management processes; guidelines posted on company website.

Supports board-level risk accountability; effectiveness not independently audited.
Code of Conduct and Code of Ethics for Senior Financial Officers

Comprehensive Code of Conduct for all employees and directors (13 languages); Code of Ethics for senior financial officers; multiple anonymous reporting channels; emphasis on non-retaliation.

Supports ethical compliance culture; third-party audit findings not disclosed.
Risk Committee (Management-Level)

Composed of management; identifies, evaluates, and prioritizes risks; maintains risk register; reports to Audit Committee and Board at least annually on top risks and mitigation plans.

Supports risk identification and mitigation; management-composed structure may limit independence.
Disclosure Controls Committee

Composed of management; facilitates information gathering on required disclosures; monitors SEC Regulation FD compliance.

Supports disclosure accuracy; management-composed structure may limit independence.
Political Engagement and Contributions Policy

Disclosed on company website; includes disclosures of trade-association memberships, Section 527/501(c)(4) contributions, PAC contributions, and governance of contributions.

Supports transparency in political engagement; climate-specific deregulation spending not isolated in available disclosures.

These are Missionomics' own editorial scores — directional signals built from disclosed facts under a published method, not certifications or definitive ratings of Brown–Forman Corporation. Coverage and confidence vary by data point, and figures can lag real-world changes. Read the full Methodology for sourcing, scoring, and correction details — or open Brown–Forman Corporation in the app for interactive charts and portfolio building.

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