Capital One

RATING

SECTOR

Banking

WEBSITE

CONTACT

Capital One Financial Corp
1680 Capital One Drive
McLean, VA 22102-3491
United States

Tel: 0344 481 2812
Email: enquiriesUK@capitalone.com

STOCK EXCHANGE

LISTING

EMPLOYEES

51,985

CHIEF SUSTAINABILITY OFFICER

Andrew Green

AWARDS

  • Black EOE Journal 2020 Best of Bests Top Employers, Top Supplier Diversity Programs and Top LGBTQ+ Friendly Companies
  • Equal Opportunity Magazine Top 50 Employers
  • Fairygodboss Best Companies for Women  
  • Best Finance Companies for Women
  • Forbes Best Employers for Diversity
  • Fortune 100 Best Companies to Work For
  • Fortune Best Workplaces in Financial Services & Insurance
  • Fortune World’s Most Admired Companies
  • G.I. Jobs Military Friendly Employers Bronze Designation & Military Friendly Spouse Employers
  • US Veterans Magazine Best of the Best Top Veteran-Friendly Companies
  • Women’s Choice Awards: Best Companies for Women, Best Companies for Millennials
  • Working Mother Best Companies for Multicultural Women
  • 2017 Green Power Leadership Award

CONTENT SOURCE

FURTHER READING

Report created by Ellie Weiss

Capital One

SECTIONS :  Sustainability Targets    Evaluation  •  Key Points  •  Overview

 

Company Activity

Capital One Financial Corporation is an American bank holding company specializing in credit cards, auto loans, banking, and savings accounts, headquartered in McLean, Virginia with operations primarily in the United States.

It operates through the following segments: Credit Card, Consumer Banking, and Commercial Banking. The Credit Card segment offers domestic consumer and small business card lending, as well as international card lending to businesses. The Consumer Banking segment consists of branch-based lending and deposit gathering activities for consumers and small businesses. The Commercial Banking segment comprises lending, deposit gathering, and treasury management services to commercial real estate and industrial customers. 

Company Sustainability Activity

Capital One is committed to taking deliberate, thoughtful actions to reduce its emissions and address climate change. 

In its 2019-2020 Corporate Social Responsibility Report, The Power of Persistence, Capital One announces the Capital One Impact Initiative, a new five-year, $200 million commitment to advancing the goal of sustained socioeconomic mobility. The bank’s Mission to Change Banking for Good includes removing barriers to opportunity and creating pathways to financial success that will help enable vibrant futures for all.

This commitment is built upon three core pillars: 1) advocating for an inclusive society; 2) building thriving communities; and 3) creating financial tools that enrich lives.

 

Highlights

  • Have 100% renewable energy since 2017 through RECs
  • Part of RE100 to further their renewable energy commitment
  • Part of EPA Green Power Partnership to promote the production of renewable energy 
  • Participate in GFTN to more sustainably source their paper
  • Conserved over 10,000 acres of forest in the U.S.
  • LEED-certified 63% of their buildings, as of 2019
  • Encourage eco-friendly transportation through shuttles and car charging stations
  • Support diversity and inclusion in the workplace 

Targets

  • 50% reduction of campus landfill waste by 2025
  • Reduce Scope 1 Direct Emissions by 50% by 2030
  • Continue to purchase 100% Renewable Energy while increasing location-aligned procurement by 50% in the markets where they operate by 2030
  • Reduce Scope 3 Emissions by 50% by 2030

Progress

  • In March 2017, they met their commitment to 100% renewable energy through REC purchases 
  • In 2018, they reached carbon neutrality for Scope 1, Scope 2, and Scope 3 business travel emissions
  • Net Scope 1, 2, and 3 (in business travel) Greenhouse Gas Emissions are now at 0 metric tons
  • Total Electricity in mWh dropped from 426,593 in 2015 to 375,125 in 2019
  • Their REC Purchased in mWh went from 88,756 in 2015 to 375,125 in 2019
  • Environmentally preferred paper went from 79% in 2015 to 95% in 2019
  • Capital One reports covering 100% of their electricity demands by purchasing Renewable Energy Certificates (REC) and confirm its commitment has been met through a greenhouse gas reporting third party verification process
  • EPA Green Power Partnership: Capital one has been part of the Environmental Protection Agency (EPA) Green Power Partnership since 2010 and is one of the largest purchasers of green power among the Fortune 500 partners
    • The partnership helps build the American green power industry with more than 1700 partner organizations using billions of kWh of Green Power annually
  • They have been RE100 members since 2018, affirming their commitment to renewable energy
    • RE100 is a collaborative, global initiative through the CDP uniting more than 100 influential businesses committed to 100% renewable electricity, working to massively increase demand for, and delivery of, renewable energy
  • In 2012, they became a participant in World Wildlife Fund’s Global Forest & Trade Network (GFTN) to advance the environmental sustainability of their paper procurement practices
  • Capital One has increased their Forest Stewardship Council (FSC) certified and recycled content paper sourcing by more than 40% since they began participating in the GFTN
  • In 2015, they collaborated with The Nature Conservancy and World Wildlife Fund on the Southeastern U.S. Working Forest Easement Initiative to secure 10,000 acres of forest conservation in Georgia and Tennessee 
  • They are committed to sustainable building practices and earned U.S. Green Building Council LEED Silver certification for all new office construction and comprehensive renovation. 
    • 63% is LEED or Green Globe certified, as of spring 2019 
  • Green Teams: volunteer teams made up of associates to help create cooperative sustainability initiatives and lead community volunteer events
    • In 2018, more than 2600 Capital One associates dedicated more than 9100 hours on environmental projects and initiatives in their communities 
  • They have more than 100 electric vehicle charging ports at six office locations across the U.S.
    • They also encourage biking to and from work by offering showering facilities
    • Their shuttle buses provide a more eco-friendly commute for associates traveling between sites 
  • Their West Creek campus in Richmond, Virginia features a large community garden where associates can secure a plot to plant and harvest flowers, fruits, and vegetables
  • They are committed to diversity and inclusion with their pay equity commitment and allyship with associations focusing on LGBTQ+ rights, veterans, racial equality, and disabilities 
    • 52% of their workforce is female
    • 50% of their U.S. workforce are people of color 
    • Their work benefits include enhanced vacation, mental health support, flexible work schedules, adoption reimbursement, and family leave 

Certificates

UN Sustainable Development Goals

UN SDGs Compliance

Capital One does not clearly align with specific Sustainable Development Goals. Therefore, the Impakter Index team aligns current company-wide sustainability initiatives with the UN Sustainable Development Goals in the following section.

SDG 5: Gender Equality

  • They are committed to diversity and inclusion with their pay equity commitment and allyship with associations focusing on LGBTQ+ rights, veterans, racial equality, and disabilities

SDG 7: Affordable and Clean Energy

  • They cover 100% of their electricity demands by purchasing Renewable Energy Certificates (REC). They confirm their commitment has been met through a greenhouse gas reporting third party verification process
  • They have been RE100 members since 2018

SDG 8 Decent Work and Economic Growth:

  • Their work benefits include enhanced vacation, mental health support, flexible work schedules, adoption reimbursement, and family leave

SDG 10: Reduced Inequalities

  • They are committed to diversity and inclusion with their pay equity commitment and allyship with associations focusing on LGBTQ+ rights, veterans, racial equality, and disabilities

SDG 12: Responsible Consumption and Production

SDG 15: Life on Land

  • In 2015, they collaborated with The Nature Conservancy and World Wildlife Fund on the Southeastern U.S. Working Forest Easement Initiative to secure 10,000 acres of forest conservation in Georgia and Tennessee

SDG 17: Partnerships for the Goals

  • EPA Green Power Partnership: Capital one has been part of the Environmental Protection Agency (EPA) Green Power Partnership since 2010 and is one of the largest purchasers of green power among the Fortune 500 partners
 

Evaluation

Overall, Capital One has implemented strong initiatives to support its sustainability levels. They have projects that focus on different aspects of the UN SDGs; although they did not go as far as to specifically line up their projects with the UN SDGs. They have practices that cover areas such as diversity, strong workplaces, responsible consumption, and supporting life on land. 

The few targets they have are encouraging, but there is room for improvement. They report their progress on environmental KPIs which have been improving, except for in a few areas: such as paper use which has worsened over the years. 

Capital One has many awards and listings showing their work is being recognized by external sources; however, they have few certifications to give their projects more credibility. 

Capital One is doing well on sustainability initiatives and focusing on many important aspects of sustainability, however, they clearly have room to grow in targets and certifications.

Therefore, the company has been rated a C.

Analyst Outlook: Positive

The bank’s sustainability initiatives prove they are committed to improving their practices — and is confirmed by external sources. Capital One can receive a higher rating by using the UN Sustainable Development Goals throughout its initiatives.

 
 

Key Points

They encourage sustainable efforts through eco-friendly transportation projects as well as volunteer campaigns 

  • They source all of their energy from renewable sources
  • They financially support environmental projects
  • They partner with different groups for environmental as well as human rights projects
  • They have many strong awards and listings, but lack certifications
  • They report their progress but can improve in some areas
Share this Post