Clorox Corporate Responsibility 2010

2010 Corporate Responsibility Report
BeWell, Every Day Day.
About This Report
Since we started our business in 1913, corporate responsibility (CR) has been at the core of The Clorox Company. Its part of our DNA and a driver of engagement for Clorox people around the world. We are pleased to share our first in-depth CR report, which provides our key stakeholders shareholders, employees, consumers, customers, government and nongovernment organizations, business partners and community members a detailed account of our CR progress and future commitments. Our report content and structure are based on our recently formalized CR strategy that outlines our focus in five key areas or pillars Performance, Products, People, Planet and Purpose. You can read more about our pillars in our CEO letter on pages 34 and in our CR strategy overview on pages 78. Were in the early stages of formal CR reporting and establishing a comprehensive data-collection system. We will continue to build these processes with the goal to expand our reporting globally including the communication of additional goals, targets and indicators in future reports. We have not sought external assurance for this report. Our content has been thoroughly reviewed by Clorox Legal and Internal Audit teams to ensure our data is accurate. Data measurement and calculations are based on ongoing, internally tracked information by various Clorox organizations. Environmental data provided in this report is a combination of internal and third-party compliance tracking and measurement.
Reporting Period
Unless otherwise noted, data in our report covers our wholly and majority-owned operations during fiscal year 2010 (July 1, 2009, through June 30, 2010), with the exception of our environmental sustainability data, which is tracked on a calendar-year basis. In some instances, we have included data from previous years to show year-over-year comparisons. We plan to issue an abridged CR report every year and an in-depth, comprehensive report every other year.
Global Reporting Initiative
Our CR report was developed according to the Global Reporting Initiative (GRI) G3 guidelines, which provide a recommended framework and indicators for reporting. We are reporting against a GRI-checked application level of B. A table outlining the location of GRI standard disclosures is located on page 54. More information on the G3 Guidelines and application levels is available at www.globalreporting.org.
Share Your Feedback
Questions or comments about Cloroxs corporate responsibility report can be directed to responsibility@clorox.com. We also invite your to share your feedback by taking a brief survey at http://www.surveymonkey.com/s/CloroxCR. For every survey completed by Dec. 31, 2010, we will donate $5 to the American Red Cross International Response Fund, up to $10,000.
Contents
Chairmans Message 3|About Clorox 5|Performance 6|Corporate Strategy 7| Stakeholder Engagement 15|Products 18|People 29|Planet 37|Purpose 49| GRI Content Index 54
The Clorox Company | 2010 CRR 1
Stop Germs
Eighty percent of germs are spread by touch. Clorox regular bleach and our disinfecting products provide an affordable and widely available solution that can literally help wipe away the germs that cause some of the worlds most prevalent bacterial and viral-born infections.
Apply
Liberally
Beeswax, botanical oils, herbs, flowers and minerals. Burts Bees natural personal care products use the best ingredients nature has to offer and each product is made with The Greater Good in mind.
Pour Responsibly
Preserve is a registered trademark of Recycline, Inc.
Better taste, less waste: Its so easy to achieve with Brita water-filtration products. Just one Brita filter and a reusable water bottle can help eliminate the need for 300 half-liter plastic bottles of water. And Brita filters are recyclable thanks to our partnership with Preserve.
Clean Naturally
Setting the bar for a natural kind of clean. The Green Works brand makes natural cleaning possible through its line of cleaning products using biodegradable plant-based cleaning ingredients that get the job done.
2 The Clorox Company | 2010 CRR
Donald R. Knauss, Chairman and Chief Executive Ofcer
Safeguarding Family Well-Being, Every Day

At The Clorox Company, a quote by Rose F. Kennedy is special to us all: Life isnt a matter of milestones but of moments. This simple truth serves as a source of inspiration for the corporate mission statement that our employees know by heart and take pride in: We make everyday life better, every day. Our mission statement is a reflection of our belief that each of our products has a meaningful impact on consumers everyday lives. Our namesake bleach and disinfecting products help kill germs that make people sick. Green Works cleaners and Burts Bees products address consumers growing desire for naturally derived products. Brita water filters make tap water taste great and help reduce bottled water waste. And Hidden Valley dressings helps kids eat their vegetables. For generations, our products have been a part of the moments of day-to-day family life. While our lives are accentuated by the occasional milestone, it is the everyday moments that nurture our families, define who we are and give texture and meaning to our lives.
Our Focus on Family Well-being
Our mission statement is a reection of our belief that each of our products has a meaningful impact on consumers everyday lives.
Our corporate responsibility initiatives tie back to our mission statement and reflect what our people and products do best. That is why the cornerstone of our corporate responsibility efforts and our purpose is: We safeguard family well-being, every day. This statement supports our long-standing history of providing everyday disinfecting products for use in homes, schools and
Safeguarding Family Well-Being, Every Day

hospitals and for aid in global pandemics and natural disasters. It speaks to our employees volunteerism and giving activities and our support for K-12 education, various charities and other community programs. And it conveys our commitment to creating more sustainable products and our goal to play an even greater role in public health through our infection prevention platform. When we thought about who benefited the most from our social impact, we realized it was the whole family: the nuclear family, the multigenerational family, the single parent family, the domestic partnership even the family pet. No matter what kind of family you have, our products and the partnerships we have developed from the American Red Cross and Sierra Club to Childrens Health Fund and the American Society for the Prevention of Cruelty to Animals are all focused on supporting your well-being.
The Five Pillars of Cloroxs Corporate Responsibility

We have defined our commitments in five critical areas: Performance Achieve financial success with transparency, strong governance and corporate responsibility embedded in our operations Products Deliver responsible products, made responsibly People Promote diversity and inclusion, opportunity and respectful treatment for everyone who touches our business Planet Shrink our environmental footprint while we grow our business Purpose Safeguard family well-being, every day These pillars represent areas where our business and social imperatives intersect. They serve as the foundation of our corporate responsibility strategy, which we formalized this year. We understand that now, more than ever, the choices we make can have a significant impact on people, our planet and our communities. I believe our strategy and our commitments will guide our company toward long-term, sustainable growth, while enabling us to positively contribute to the communities in which we conduct business. For The Clorox Company, corporate responsibility is an ongoing commitment and a journey. We are pleased with our progress so far, but we have more to accomplish and a lot to learn as well. In the meantime, everyone at Clorox is committed to earning your trust, every day.
Donald R. Knauss
Chairman and Chief Executive Officer
Please take the time to share your thoughts, ideas and questions with us at responsibility@clorox.com.
Making Everyday Life Better, Every Day for Nearly a Century

Our History: Clean Beginnings
The Clorox Company was founded in 1913 in the San Francisco Bay Area city of Oakland, Calif. We started with just one product, Clorox bleach, made from the salt marshes of San Francisco Bay. It was initially an industrial-strength liquid germicide sold to Oakland laundries, breweries, walnut processing sheds and water municipalities and was delivered by horse-drawn wagons. In 1916, we began bottling a household solution of bleach that quickly gained popularity as an effective laundry additive, stain remover, deodorant and disinfectant. In 1921, the first cargo of Clorox bleach destined for Eastern store shelves was loaded aboard ship at the Port of Oakland. By 1928 thanks to extensive national advertising and salespromotion campaigns stressing its purity, versatility and dependability Clorox bleach had become a commonplace sight in American families laundry rooms, kitchens and bathrooms. That year, the company went public for the first time. Our stock began trading on the San Francisco Exchange. By the mid-1950s, we had established the largest market share of bleach in the U.S. and have never let go of this leadership position.
Clorox Today: Global Reach

Since our early days of manufacturing just one product, we have grown into a global company, manufacturing and marketing some of consumers most trusted and recognized brand names: our namesake bleach and Cloroxbranded cleaning products; Green Works natural cleaners; Poett home care products; Fresh Step cat litter; Kingsford charcoal; Hidden Valley and K C Masterpiece dressings and sauces; Brita water-filtration systems; Glad bags, wraps and containers; and Burts Bees natural personal care products. In fact, nearly 90 percent of the brands in our global portfolio are the No. 1 or No. 2 market-share leaders in their categories. With approximately 8,300 employees worldwide, we manufacture products in more than two dozen countries and market them in more than 100 countries. Clorox is headquartered in Oakland, Calif. and trades on the New York Stock Exchange under the symbol CLX.
Be Accountable
Performance
Achieve financial success with transparency, strong governance and corporate responsibility embedded in our operations
A cross-functional team helps ensure we are looking at corporate responsibility from multiple perspectives. From left to right: Brian Hayle, Deborah Napierski, Kathryn Cauleld, Mary OConnell, Aileen Zerrudo, Chris Merhige, Janki Darity, Bill Morrissey, Sheldon Quan, Victoria Jones and Greg van Buskirk.
CR OVERVIEW
Integrating Corporate Responsibility Into Our Business

Trust is the foundation on which we have grown our business since Clorox was founded in 1913, and we understand its something we must continue to earn. Thats why we have stepped up our efforts in corporate responsibility, establishing a formal strategy that is integrated into our business and reflects the social and environmental issues we have identified as company priorities based on internal and external feedback.
Assessment and Research Helps Identify Key Priorities

Our CR strategy and pillars are based on an extensive review and assessment of all facets of corporate responsibility at Clorox involving the following inputs: M ateriality assessment to better understand and prioritize our corporate responsibility issues, including strengths and gaps, for the company and our stakeholders Global study to gain insights into the perspectives of a broad spectrum of external stakeholders regarding Clorox products, communications and business practices, as well as on global trends and issues Corporate responsibility and philanthropic/strategic cause benchmarking among our peers to assess investment levels and focus of cause programs Third-party moderated interviews with Clorox employees to understand their perspectives on our corporate responsibility initiatives, especially cause programs Formal development of a corporate responsibility strategy by a cross-functional team, including Community Relations, Corporate Communications, Eco Office, Global Product Stewardship, Global Strategic Sourcing, Government Affairs, Human Resources, Legal and Public Relations
Don Knauss (right) accepted the Foreign Policy Associations (FPA) Corporate Responsibility Award from Sierra Club Chairman Carl Pope. The FPA recognized Clorox for making natural cleaning mainstream through the launch of the Green Works brand, as well as for our longtime commitment to corporate responsibility.
CR OVERVIEW
Integrating Corporate Responsibility Into Our Business

Clorox Mission
We make everyday life better, every day
Corporate Responsibility Goals
Contribute to economic profit growth Positively impact the perception of our brands and company Contribute to employee engagement Positively impact millions of families, globally
Strategies
Performance Achieve nancial success with transparency, strong governance and CR embedded in our operations
Commitments
Integrate CR into our corporate strategy, with board oversight; continue to adopt best practices. Increase transparency of company policies, practices and product ingredients. Communicate proactively and respond to stakeholder reports and inquiries regarding CR. Continue to strengthen strong enterprise risk management programs and capability, with board oversight. Continue to meet strict science-based safety criteria, while promoting alternative methods to safety testing. Provide best-in-class disinfecting solutions. Provide plant-based alternatives to conventional product offerings. Reduce environmental impact of our product offerings.
Recent Performance Highlights

Delivered strong FY10 financial performance. Developed formal CR strategy integrated into our business. Recognized for corporate governance practices. Established formal Ingredients Inside product ingredient communication program in the U.S. and Canada.
Products Deliver responsible products made responsibly
Formalized growth platforms addressing infection prevention and sustainability. Purchased Caltech Industries, Inc. to further expand our business in health care settings. Introduced Burts Bees natural acne care and toothpaste and Green Works natural laundry products. Halfway to goal of making sustainability improvements to 25 percent of product portfolio by 2013 (versus 2009 baseline). Met diversity targets, with U.S. representation of managers and above rising to 22 percent for minorities and 40 percent for women. Established supplier diversity goal to grow expenditure to 5 percent by 2015. Introduced global supplier code of conduct.
People Promote diversity, opportunity and respectful treatment for everyone who touches our business
Require employee certification of compliance with company policies on diversity, human rights and labor issues. Assign accountability for CR commitments. Drive supplier code of conduct, supplier diversity and add eco criteria to supplier selection. Increase global participation in employee resource groups.
Planet Shrink our environmental footprint while we grow our business
Expand public environmental commitment statements. Developed an environmental sustainability strategy Reduce GHG, energy, water and solid waste in our linked to Cloroxs business strategy. manufacturing and distribution footprints. S ince 2007, reduced GHG emissions by 7 percent, Embed eco criteria in core business processes. energy use by nearly 5 percent, water use by more than Drive environmental sustainability throughout the workplace. 8 percent and solid waste by 9 percent (per case sold). Developed sustainability programs in the workplace, including establishing eco employee volunteer groups, switching company cars to hybrids and securing LEED-EB platinum certification for our corporate office. Implement a global strategic cause platform focused on infection prevention. Build on The Clorox Company Foundations focus on K-12 education in underserved communities. Enhance engagement and extend impact through employee, customer and community involvement. In FY09 and FY10 alone, donated more than $7 million in cash grants to nonprofits, schools and colleges; donated more than $16 million worth of products to nonprofits and disaster relief efforts.
Purpose Safeguard family well-being, every day
CR OVERVIEW
Different Perspectives Inspire Progress Toward a Common Goal

At Clorox, our CEO and a steering committee of senior leaders from various areas of the company oversee corporate responsibility. While each person brings a unique perspective to shaping CR for Clorox, the team shares the common goal of driving progress against our commitments.
What is Cloroxs approach to corporate responsibility?
BENNO DORER: SVPGM, CLEANINg DIvIsION Its having a strategy that goes beyond compliance and risk mitigation to deliver real value to our company and to the stakeholders who touch our business, including shareholders, business partners and communities. For example, one of our business growth platforms infection prevention leverages the strength of our disinfecting capabilities to address public health concerns around seasonal flu, pandemics and the rising incidence of hospitalacquired infections. While its a business driver for the company, it has a meaningful social dimension as well. JACKIE K ANE: SVPHR & COrpOrATE AFFAIrs Another area in which corporate responsibility creates value is employee engagement. We hear time and again that Clorox people are proud to work here because they know we live by our core value of doing the right thing. For example, employee volunteers around the world have stepped up to support our environmental sustainability efforts. We now have a formal waste reduction program at our headquarters, and employees at other Clorox locations are conducting dumpster dives to assess how much waste can be diverted from landfills.
Cloroxs corporate responsibility strategy and commitments are governed by our CEO and CR steering committee made up of members of Cloroxs executive committee. The Clorox board of directors provides oversight. Left to right: Wayne Delker, senior vice president chief innovation ofcer; Laura Stein, senior vice president general counsel; Benno Dorer, senior vice president general manager, cleaning division; Jackie Kane, senior vice president human resources and corporate affairs.
CR OVERVIEW
Different Perspectives Inspire Progress Toward a Common Goal

Where have you made the most signicant progress? LAURA STEIN: SVPGENErAL COUNsEL Having a formalized corporate responsibility strategy was an important step. We now have a strategy that is integrated into our business and a framework to hold us accountable for our commitments, goals and metrics. Weve also received positive feedback on Ingredients Inside, our product ingredient communication program that addresses consumers interest in knowing what goes into the products they use in and around their homes. We worked closely with the Sierra Club to take this step and continue to engage with NGOs, industry associations and regulatory agencies on how our program, and the product ingredient communications efforts of the industry as a whole, can evolve. WAYNE DElKER: SVPChIEF INNOvATION OFFIcEr Driving growth behind sustainable products is a top priority. We continue to invest in our natural platform with the Green Works and Burts Bees brands, and our increased focus on innovation is also looking at sustainability in terms of product development and packaging. For example, by concentrating our formula for JACKIE K ANE Weve made progress on our diversity initiatives. We exceed the U.S. Census in all categories and have been recognized for having a strong representation of women in management. The 2009 UC Davis Study of California Women Business Leaders ranked Clorox 14th out of 400 companies in California for having women in director and executive positions. In addition to employee-related diversity initiatives, were accelerating our efforts in multicultural marketing and product development to address the unique needs of different consumer segments.
How are you addressing consumer interest in sustainable products?
Clorox 2 stain fighter and color booster we are reducing the amount of water used in manufacturing this product by 54 percent, resin needed for bottles by 36 percent and diesel for shipping by 160 million gallons per year. We have a public goal to make sustainability improvements to 25 percent of our products by 2013 (versus base year 2009).
Whats your response to concerns about cleaning product safety? And how do you reconcile having a portfolio that includes bleach and natural products?
WAYNE DElKER Product safety is a top priority at Clorox. For years we have applied sound scientific evidence to our product evaluation processes. Before we bring any product to market, our Global Product Stewardship organization evaluates a products safety, quality and regulatory compliance, looking at human and environmental health. We take great care in choosing ingredients for our products. For example, we have guidelines against the use of such ingredients as alkylphenol (APs) or alkylphenol ethoxylates (APEs), phthalates and synthetic musks.
We developed Green Works products because we recognize a growing number of consumers prefer naturally derived cleaning products and we wanted to give them a choice. We are proud of the consumer response to the Green Works line and its position as the No. 1 natural home care brand. We are also proud of the role bleach has played in public health for generations. It has a history of use in places where killing germs is critical: hospitals, nursing homes, child care centers, schools, restaurants and more. Clorox regular bleach remains one of the most affordable and effective disinfectants available worldwide. BENNO DORER Another challenge were exploring is expanding our infection prevention platform into our social cause efforts. We have a long history of donating bleach and other disinfecting products to help with disaster-relief efforts globally, particularly for sanitizing water. In addition to being there when disaster strikes, Id like to see us working more closely with public health agencies, schools and NGOs to help support prevention of infection on a global level. This way our social cause focus for the company will be more strategically linked to our core strengths as a business.
What is your biggest challenge for corporate responsibility in the future?
LAURA STEIN One of our challenges is that we are establishing a comprehensive data collection system for CR particularly in our international locations. As we continue to grow our presence outside the U.S., we will need to continue to build these processes so that we can expand programs like product ingredient communication and our overall CR reporting.
PERFORMANCE
The
Clorox
International
21%
At-A-Glance
Company
Fiscal Year Ending June 30, 2010
Sales By Category
Home Care
16% K
Natural Personal Care Water Filtration
3% 4% 9%
10%
Laundry
J I
4% 3%
Auto Away From Home

H
Dressings & Sauces

7% 13% 10%
Cat Litter
Bags & Wraps
Charcoal
Sales
$5.53 billion
Employees 8,300 Manufacturing Plants Markets Served 41 100+
Please see The Clorox Company 2010 Annual Report at www.TheCloroxCompany.com for more information on our companys performance and goals.
PERFORMANCE
$4.85
The Clorox Company: At-A-Glance

3-Year Total Shareholder Return: Since Inception of Centennial Strategy
10% 0% -10% -20% -30% -40% 2007 2008 2009 2010
Clorox: 10% Peers: 4%
S&P 500: -27%
June 30, 2007, through June 30, 2010 (assumes reinvestment of quarterly dividends). Peer companies: An average of 18 consumer packaged goods companies, excluding Clorox, used for financial benchmarking purposes.
Net Sales
(in billions) $5.27 $5.45 $5.53
Net Cash Provided by Operations

(in millions) $819 $738 $709 $730 $501
Net Earnings
(in millions) $603 $537 $461
2007 2008 2009 2010
2007 2008 2009 2010
2007 2008 2009 2010
Diluted Net Earnings Per Share

(in dollars) $4.24 $3.79 $3.24 $3.23 27%
ROIC1
Economic Prot 2
(in millions) $433 23% $379
21%
22%
$363 $376
1. Return on invested capital (ROIC) is a non-GAAP measure that is calculated as earnings before income taxes, excluding restructuring and asset impairment costs and interest expense; computed on an after-tax basis as a percentage of adjusted average invested capital. See reconciliation of ROIC in Exhibit 99.2 on Form 8-K filed on August 3, 2010, for the fiscal year ended June 30, 2010. 2. Economic profit (EP) is used by management to evaluate business performance. EP represents earnings from continuing operations before income taxes, noncash restructuring-related and asset impairment costs, and interest expense, after tax, less capital charge. See reconciliation of EP in Exhibit 99.3 of the companys Annual Report on Form 10-K for the fiscal year ended June 30, 2010.
2007 2008 2009 2010
2007 2008 2009 2010
2007 2008 2009 2010
PERFORMANCE
Centennial Strategy Guides Clorox Toward True North

At Clorox, our True North, a shared destination for all our people, is about delivering double-digit average annual economic profit growth by the companys 100th anniversary in 2013. Weve developed four key strategies to get there:
1. 2.
Be a high-performance organization of enthusiastic owners

Our No. 1 strategy is about Clorox people. We have great people. We know that if everyone is engaged on an emotional and rational level and working well together, we can accomplish just about anything. It starts by following some of the principles of high-performance teams. We are committed to the business and to each other, owning our individual performance, as well as the team as a whole. We also ask employees to think of the company as his or her own business. How would they feel if their name were on the sign in front of the building? This is our Clorox. Everyone is asked to speak up and contribute if they want their company to succeed.
Win with superior capabilities in Desire, Decide and Delight (3Ds)
There are three moments of truth when a consumer can choose our product; we call these the 3Ds: Desire, Decide and Delight. Desire: Creating demand for our product Our focus on consumer insights helps us understand what consumers really care about in their everyday lives. This helps ensure that the ways we talk to consumers about our products in print, on TV, on the web, in the store address their needs. Decide: Making the choice at the store shelf Our success in the store, where most purchase decisions are made, is driven by our strong partnerships with retail customers and in-store communications that help address shoppers needs. Can shoppers find the product category? Does our brand stand out from others? Which product has the best combination of quality and price? Our expertise in consumer insights and category advisory services help optimize the shopper experience with plans for assortment, merchandising, pricing and shelving. Delight: Building brands consumers love Once the product is in the home, theres still a critical test: how does it perform? Our goal is to have products that are consistently highly rated and exceed the consumers expectations.
PERFORMANCE
Four Key Strategies
3.
Accelerate growth both in and beyond the core

Were constantly looking to enhance the performance of our existing brands. For example, we can branch into new categories, where our familiar brands can carry a lot of weight. We can increase or extend into new channels where we sell our products, such as selling to hospitals and other healthcare facilities. We can also expand the range of products we offer in the countries where we do business. Were also strategically tapping into consumer megatrends to guide us in our investments in innovation or acquisition of new businesses where we see potential for growth.
4.
Megatrends Point the Way to More Growth
Were leveraging four consumer megatrends that drive key areas of our corporate strategy, guiding our investments to drive growth of our business, including product innovation, marketing communications and retail activities. Health and Wellness Addressing the global need for healthy homes and public places, including schools and hospitals Sustainability Focusing on consumers personal environments whats in them, on them and around them Multicultural Addressing the unique needs of multicultural consumers Affordability/Value Delivering high value to consumers through a balance of product performance and price
Relentlessly drive out waste

Our focus on reducing waste helps drive real competitive advantage for Clorox. For example, our ability to save money helps to offset inflation and capture savings that can be used to invest in growth. Becoming more efficient in how we do business helps us save time, money and resources that can be redeployed to work that drives the highest value for the company.
Clorox ranked No. 7 among our top strategic partners in the most recent Cannondale Associates PoweRanking* survey, which asks retailers to rank more than 100 manufacturers on a number of dimensions.
*PoweRanking is a registered trademark of Cannondale Associates.
PERFORMANCE
Understanding, Sharing and Taking Action From Stakeholder Engagement

Its important that we understand the perceptions, concerns and priorities of everyone that touches our business. Thats why we actively engage with a variety of stakeholders through open dialogue or through partnerships and board and committee memberships. Stakeholder engagement enables us to listen to, learn from and exchange ideas with people on topics that impact our business and industry, as well as on global issues such as public health and sustainability. We also engage with industry trade associations and all levels of government around the world on policy, legislation, regulatory and related matters that have the greatest impact on our business.
We engage with our stakeholders in many different ways. For example:

Shareholders: We hold annual meetings during which we inform our shareholders about our company strategy, financial performance and business growth objectives. We also report our performance through such communications as our quarterly conference calls and annual report. Employees: We conduct regular employee engagement surveys where we look at engagement in two ways: rational and emotional. In other words, we ask employees if both their heads and hearts are in the game. We believe a person who is engaged emotionally and rationally will be better able and willing to perform to their potential. We also conduct quarterly, global town hall meetings where we share important company information and invite employees to ask questions or share thoughts with our CEO and other executives. Consumers: We talk to consumers through in-home studies, focus groups and surveys to better understand how they use our products so we can continue to deliver high-quality products that address their needs. Public Health Community: We are active participants in a number of public health organizations because we believe our disinfecting capabilities can help make a positive difference in issues such as infection control. NGOs: We meet with NGOs on a variety of issues, including sustainability and product safety.
Communities: We make a positive impact on our communities through The Clorox Company Foundations support of K-12 education and through employee volunteerism. We also respond to our communities in times of natural disaster by providing financial aid and donating trash bags, bleach and other disinfecting products to help with clean-up efforts and sanitization needs.
Clorox is also a member of organizations that are related to our business and priority issues.
Public Health: Association for Professionals in Infection Control and Epidemiology, Inc (APIC), Society for Healthcare Epidemiology of America (SHEA), American Society for Healthcare and Environmental Services Industry: Consumer Specialty Products Association, American Cleaning Institute, Grocery Manufacturers Association Environmental Sustainability: U.S. Environmental Protection Agency Climate Leaders, Design for Environment and Waste Wise and Smart Way Shipper Programs; Sustainable Packaging Coalition; Natural Products Association Diversity/Inclusion: Executive Leadership Council, Hispanic Advisory Council, Minority Corporate Counsel Association, Out & Equal Workplace Advocates, National Minority Supplier Development Council Community: Boston College Center for Corporate Citizenship, Bay Area Corporate Volunteer Council, Entrepreneurs Foundation, Northern California Grantmakers
PERFORMANCE
Governance and Ethics

World-Class Governance
Clorox maintains rigorous corporate governance practices and internal controls with oversight by our board of directors, chairman and chief executive officer, chief financial officer, general counsel and the other members of the companys executive committee. The boards responsibility includes overseeing managements operations of the companys business, monitoring the effectiveness of management policies and decisions, including the development and execution of its strategies, risk management activities and providing for management succession.
The quality of our corporate governance is rated stronger than 94.3 percent of S&P 500 companies and 98.5 percent of household and personal products companies according to RiskMetrics Group, which has rated more than 7,400 companies worldwide on corporate governance practices.*
Our board of directors is composed of individuals who, on the basis of their knowledge and experience, make valuable contributions to the overall conduct of the business. The nominating and governance committee is responsible for developing and recommending board membership criteria to the board for approval and periodically reviewing these criteria. Board candidates, including incumbent directors, are considered based upon various criteria, including their broad-based business skills and experiences, prominence and reputation in their professions, global business and social perspective, concern for the long-term interests of the stockholders, and personal integrity and judgment. In addition to the board and committees conducting self evaluations on an annual basis, the nominating and governance committee reviews general qualifications and expertise of each board member on at least an annual basis.
Management Development and Compensation Committee oversees management development and succession planning processes and approves compensation for executive management and various benefit plans for the company as a whole. Nominating and Governance Committee oversees the companys corporate governance practices, director nominations and board evaluation. Also oversees the companys compliance with certain legal and regulatory requirements and discusses with management the status of pending litigation, environmental issues and other areas of oversight as may be appropriate.
Executive Compensation
The board of directors management and compensation committee, composed entirely of independent directors as required by the NYSE listing standards and consistent with SEC rule 16b-3, reviews the design and implementation of our executive management program. The committee applies a rigorous and balanced approach to executive compensation, ensuring that compensation is tied to current and long-term company performance; is sufficient to attract and retain high-caliber, experienced leaders; aligns the interests of our executive officers with the interests of our stockholders; and is financially efficient, resulting in a reasonable level of costs that are supported by performance.
* RiskMetrics, December 2009
Committees of the Board of Directors

xecutive Committee acts for the board in certain E matters when the full board cannot be convened. Audit Committee oversees the integrity of financial statements, the companys accounting and financial controls, including independent and internal auditors. Finance Committee oversees and makes recommendations to the board with respect to the companys major financial policies and actions, including capital structure and borrowing.
PERFORMANCE
Our stakeholders are welcome to communicate directly to an individual board member, a board committee or to the board of directors as a whole.* Additional details on Cloroxs board of directors, including topics such as qualifications, performance evaluation and how we address potential conflicts of interest can be found at: www.CloroxCSR.com/guidelines.
Doing the Right Thing

Cloroxs code of conduct establishes the companys ethical and legal standards of behavior and business practices applicable to all our directors, executives, employees and contractors around the world. We require all Clorox board members, employees, as well as contractors, to undergo training and certify compliance with our code. Covering such topics as environmental safety and compliance, human rights, workplace behavior, antidiscrimination, harassment prevention, bribery and anticorruption, and political contributions, our code embodies Cloroxs commitment to doing the right thing every day. Clorox provides code of conduct training approximately every 18 months on a rolling basis. Training is conducted in English, Spanish and Chinese. In fiscal year 2010, 81 percent of all Clorox employees completed compliance training, which includes our code of conduct. Clorox has global compliance hotlines which allow our employees to anonymously raise questions or concerns or report misconduct. We protect any employee who reports misconduct in good faith. Cloroxs code of conduct can be found online at www.CloroxCSR.com/conduct.
Conventions, outlines our expectations that suppliers around the world share our commitments in the areas of human rights and labor, health and safety, the environment, and business conduct and ethics. Cloroxs standard supplier agreements require certification of material compliance with the supplier code of conduct, including our human rights clause that prohibits such actions as harassment or inhumane treatment, discrimination and involuntary or child labor. Cloroxs global supplier code of conduct is available in English, Spanish and Chinese. Cloroxs supplier code of conduct can be found online at www.CloroxCSR.com/business-partners.
* Correspondence to our board of directors should be sent to our headquarters address: The Clorox Company, c/o Secretary, 1221 Broadway, Oakland, CA 94612-1888.
OUR VALUES
At Clorox, our strong corporate values not only guide us in achieving widespread success, but also are the foundation of everything we do. Do the Right Thing The long-term health of our company depends on our integrity. At Clorox, we have a tradition of honesty, fair dealing and ethical practices. We strive to use facts to determine the right thing to do, and communicate openly about our choices. Stretch for Results Our success is measured by our ability to consistently win in the marketplace by exceeding the expectations of our consumers, customers, shareholders and each other. Take Personal Ownership Progress is not only driven by people who take personal ownership of delivering results, but by making the process to achieve these results as quickly, simply and effectively as possible. Each of us has a role in helping to ensure we deliver excellent results and achieve our goals. Work Together to Win Our success depends on productive collaboration among Clorox people, between our company and our business partners, and among our company and our communities. While individual ownership and contributions make a difference, teamwork is essential to achieving even greater results.
Working With Responsible Partners

Our commitment to ethical business practices and treating people with dignity, respect and equal opportunity extends to our business partners. Cloroxs supplier code of conduct addresses businesspractice standards of our third-party suppliers, their parent companies and affiliates. Our code, based on the International Labour Organization Core Labor
Be Trusted
Products
Responsible products made responsibly
PRODUCTS
Our Products Delight Consumers

Trust is the foundation of our business and the basis for every relationship formed between our brands and consumers. All our products must be made responsibly and deliver on our promise of getting the job done. We have been making high-quality products for close to 100 years with that in mind. Whether youre using Clorox regular bleach, Kingsford charcoal, Fresh Step cat litter or Green Works products, you can be sure that our commitment to quality, safety and efficacy go into everything we do. Our retail partners and consumers should never expect anything less. By upholding this trust, we fulfill our mission to make everyday life better, every day. For more than a decade, the American Customer Satisfaction Index has ranked Clorox among the top of our competitor group. This index, based on an economic model from the University of Michigan, measures the quality of our products as experienced by consumers and retail customers. In addition, nearly 90 percent of our global brands rank as the No. 1 or No. 2 market-share leaders in their respective categories, further underscoring the value consumers place on our brands.
Understanding What Consumers Want

Our ability to satisfy consumers and deliver true value is largely a result of the significant investment weve made in getting to know them at a deep and meaningful level. Through the work of our Global Insights organization, we gain a 360-degree view of the consumer, learning about her relationships with our brands, which product qualities really matter to her and how she shops for our products. These insights serve as the foundation of our Desire, Decide and Delight strategies, enabling us to address consumers effectively in marketing communications, work with our retail partners on enriching the consumer experience in store and develop products that consumers will love.
Anticipating Future Needs

A strong culture of innovation one in which new thinking leads to new product solutions that offer improved performance, convenience and affordability to consumers is another critical success factor in our ability to meet customer expectations. In recent years, we have accelerated our efforts behind innovation, particularly in the infection prevention and wellness and sustainability arenas.
PRODUCTS
Our Products Delight Consumers

We are increasing the pace of innovation through a more open and transparent process that extends beyond our own teams of scientists and marketers. CloroxConnects, for example, is an online resource through which individuals can share their own inventions. And partnerships with Edison Nation and Evergreen IP, companies that facilitate external idea solicitation and evaluation, are also helping to bring in more new ideas. For more information visit www.thecloroxcompany.com/innovation. Our efforts to accelerate innovation are paying off. We are sustaining annual growth from new products in the range of 2 percent to 3 percent of total company sales. Were meeting our benchmarks for the percent of sales from products that have what we call 60/40 product superiority, the ratio by which we measure consumer preference of our products against competing products. Our 60/40 performance has grown from 7 percent in fiscal 2004 to 47 percent in fiscal 2010, which puts us on a path to exceed our goal of greater than 50 percent by 2013.
Marketing Our Brands Responsibly

We are committed to marketing our brands in a responsible and truthful manner, adhering to the laws and guidelines of the Federal Trade Commission and other relevant governing bodies. We strive to communicate the benefits, performance and attributes of our products accurately and directly, with claims that are substantiated. It is also our policy to create and purchase advertising in such a way as to reach the designated target audience with maximum efficiency, using advertisements and media that are in keeping and consistent with the character and the values of our company. Our marketing communications avoid situations that exploit race, religion, national origin, sexual preference, overt sex or gratuitous violence.
PRODUCTS
T H E BL E AC H CYC L E
SALT
MUNICIPAL TREATMENT SEPTIC TANK
BLEACH MANUFACTURE
PRODUCT USE
The Power of Bleach
SALT of the Earth

Bleach is an essential product for whitening laundry, cleaning homes and disinfecting household and commercial surfaces. It sanitizes household items such as kids toys, baby bottles and pet bowls. You can even use bleach to keep cut flowers fresher longer. Most important, bleach continues to play a vital role in protecting public health it is one of the most effective disinfectants for killing germs that can cause life-threatening infections such as Clostridium difficile (C. diff), methicillin-resistant Staphylococcus aureus (MRSA) and the flu virus, including H1N1 influenza. There are many misperceptions about bleach, possibly due to the misnomer chlorine bleach. Clorox regular bleach, in fact, does not contain free chlorine. Our regular household bleach is made up of a 6.0 percent simple solution of sodium hypochlorite (oxygenated salt) and water. Upon use as a laundry additive or disinfectant, 95 to 98 percent of bleach rapidly breaks down into salt and water. Municipal wastewater treatment or septic systems effectively treat the remaining 2 percent to 5 percent of by-products. Household bleach does not contaminate water by producing dioxins. In addition, the European Commissions Scientific Committee on Health and Environmental Risks conducted a study on sodium hypochlorite that assessed all foreseeable scenarios in which trihalomethanes could be formed. These scenarios showed no significant adverse environmental impacts involving sodium hypochlorite*. Studies also have shown that there is no exposure to trihalomethanes in quantities above even the toughest standards such as California Proposition 65 Safe Harbor levels as a result of using household bleach. For nearly 100 years, Clorox regular bleach has been a staple in helping to keep whites white and helping to rid our homes of germs that can cause illness. Given its many practical household uses and its global disinfecting applications, we are confident that Clorox regular bleach will continue to be a dependable, salt-of-the-earth product for years to come. Visit www.FactsAboutBleach.com to learn more.
* European Union Risk Assessment Report: Sodium Hypochlorite, November 2007.
Anyone who has ever witnessed the power of bleach to transform laundry from soiled white to bright, clean white might be surprised to nd that it is simply a matter of salt and water at work. Clorox regular bleach traces its origins to the saltwater ponds of San Francisco Bay early in the 20th century. Using the abundant brine available in the ponds, company inventors ran an electrical current through a saltwater-based compound to produce sodium hypochlorite bleach. The resulting product was sold to industrial businesses for use as a disinfectant. Soon, a less concentrated version became a household cleaning staple. During the past century, liquid bleach has performed some very important tasks. In 1969, the Apollo space capsule was disinfected with bleach upon its return to Earth. During World War I in the days before penicillin the lives of some wounded soldiers were saved by the antibacterial properties of bleach. During World War II, bleach was used again to destroy bacteria. Today, bleach continues to be used to purify water and help control contamination in times of emergency, such as natural disasters.
Transitioning US Operations From Chlorine to High-Strength Bleach

While Clorox bleach does not contain free chlorine, chlorine has been used as a raw material in household bleach manufacturing. In 2009, we began transitioning our U.S. bleach manufacturing processes to the use of high-strength bleach instead of chlorine. This change helps us to better ensure the supply of raw materials and provides another layer to our industry-leading security practices.
PRODUCTS
InfectionPrevention:
Our Heritage. Our Future.
It is seemingly harder than ever to stay healthy. The seasonal flu, emergence of antibiotic-resistant superbugs, infectious diseases such as severe acute respiratory syndrome (SARS) and H1N1 influenza underscore global health threats and the potential for pandemic outbreaks. We are reminded of the important role disease prevention can play in public health management. In order to prevent disease, however, it is essential to understand how it spreads. The fact isthat 80 percent of germs are spread by touch.* Consider that a person can touch up to 300surfaces in 30 minutes alone and you begin to understand the challenge of stopping the spread of infection. Of course, germs are not homebound organisms. The threat they pose in health care settings, in particular, is grave. Hospital-acquired infections strike one in 10 patients, are linked to 99,000 deaths annually in the U.S. and cost an incremental $10 billion in health care costs. An aging population is expected to add to this problem.
* Phillip M. Tierno Jr., Ph.D., in his book, The Secret Life of Germs (November 2001). U.S. Centers for Disease Control: The direct medical costs of healthcare-associated infections in U.S. hospitals and the benefits of prevention (2009).
PRODUCTS
Infection Prevention
Clearly, surface disinfection is essential to preventing the spread of infection. Given our strong heritage in manufacturing best-in-class disinfecting products, Clorox has a compelling value proposition to put forth in this cause. We believe our disinfecting products and their effectiveness at killing staph, salmonella and E.coli, influenza viruses, rhinovirus (one of the causes of the common cold) and numerous other harmful germs give us a unique responsibility. The swift response of Clorox during the H1N1 pandemic of 2009 is a good example of the role we can assume in times of public health crisis. During this time, we: Worked 24/7 to satisfy demand in Mexico for disinfecting wipes, which spiked 30 times higher than normal during the initial outbreak D istributed, in partnership with the National Education Association, canisters of Clorox disinfecting wipes to 100,000 U.S. teachers in four days E nhanced www.Clorox.com with a new section that provided tips for preventing the spread of H1N1 C reated educational materials for our customers to distribute to shoppers in their stores Partnered with the American Red Cross to develop public service announcements about flu preparedness. Insights gained from this experience, as well as the more predictable seasonal flu outbreaks, reinforce the need for infection prevention. In a world that becomes more closely connected every day, there is little doubt that infection control will be an ongoing global issue well into the future.
Clorox and Basketball Star Grant Hill Team Up to Educate About MRSA
Of all the superbugs those germs that have developed immunity to a wide number of antibiotics methicillinresistant Staphylococcus aureus (MRSA) is one of the most well known. In 2003, Grant Hill developed an MRSA infection on his ankle and grew seriously ill before making a full recovery six months later. Since 2008, we have been partnering with Grant on the STOP MRSA Now campaign to increase information about the illness through coalition-building activities, public service announcements and an informative website. The campaign also provides practical steps people can take to prevent the spread of MRSA, such as disinfecting hard surfaces with a bleach solution. Sodium hypochlorite, the active ingredient in bleach, helps prevent the formation of superbugs such as MRSA. It completely destroys a germs cellular structure, rendering it unable to mutate and transform into a superbug. For more information visit www.stopmrsanow.com.
PRODUCTS
Play It Safe, Every Day

Rigorous Standards Ensure Products Are Safe
Product safety is the cornerstone of trust between our brands and consumers. Indeed, all Clorox products must be assessed for human and environmental health risks before making it onto store shelves and, ultimately, into consumers homes. To this end, we maintain a rigorous, science-based assessment process to ensure our products are safe when used as directed. For our cleaning products, this process begins in the research and development phase where we analyze each of the materials that go into making a product. The next step is to initiate assessments of environmental and human safety. Scientists review each ingredient to determine its environmental impact, while toxicologists review available data for any health concerns. Also, as part of this phase, we conduct a global regulatory review to determine if any countries have limitations on the ingredients and formulations in question. Product safety analysis also includes a comprehensive exposure and risk assessment for all ingredients. This analysis considers both the short- and long-term impacts of these materials from incidental and accidental exposure, as well as the potential routes of exposure such as skin, eye, ingestion and inhalation. During the product evaluation process, if we identify an environmental or health risk that cannot be sufficiently mitigated, the formulation is halted. Using nonanimal product safety evaluations is the norm at Clorox. Animal testing is a very rare exception, used only when required by law or when all other efforts have been exhausted to establish a products safety profile; such instances require senior management approval, confirming there is no other way to proceed. Through our involvement with John Hopkins Center for Alternatives to Animal Testing, the Institute for In Vitro Sciences and other efforts, we actively support developing alternative testing methods. Ultimately, we intend all of our product development processes to satisfy all our evaluations, using only alternative methods to demonstrate the safety profile of a product and were actively working to that end. Once a product leaves a store shelf, we ensure that product labels clearly provide the information necessary to safely use, store and dispose of the product and its packaging. All of our product labels include clear directions for use, precautionary
Cris Spillet and other R&D employees thoroughly test and analyze all product ingredients to ensure Clorox products are safe when used as directed.
PRODUCTS
Play It Safe, Every Day

statements, first aid measures and storage and disposal instructions. Additional safeguards like child-resistant packaging areincluded where appropriate. Material safety data sheets (MSDS) provide guidance for and support the application of our products. Each Clorox cleaning and disinfecting product in the U.S. and Canada has an MSDS that is available at www.CloroxCSR.com/products-safety.
Strict Fragrance and Preservative Guidelines

We maintain strict guidelines about the use of fragrances and preservatives in our formulas. We require all fragrances purchased from thirdparty suppliers to comply with Research Institute for Fragrance Materials (RIFM) guidelines and recommendations, as well as International Fragrance Association (IFRA) standards. RIFM and IFRA define and regularly update the safe level of use for individual fragrance ingredients. Fragrances must not contain Alkyphenols (AP) or Alkylphenol Ethoxylates (APE), including, but not limited to, octylphenol ethoxylates and nonylphenol ethoxylates, musk ambrette, diacetyl, musk xylol and phthalates. Preservatives are necessary in some formulas to prevent the growth of microorganisms such as bacteria and mold. In such cases, we take great care in the concentration levels of any preservative that we use. In the U.S., we limit preservative levels to those approved by the EPA, typically in a range that does not exceed 0.1 percent to 0.2 percent and is well below the threshold for skin sensitization. Our products do not contain parabens, a class of preservatives the scientific community has been scrutinizing for possible carcinogenicity and estrogenic effects.
Regulatory Compliance
All products manufactured and distributed are subject to local, state, federal and other regulations. To comply, we perform safety tests, meet labeling guidelines of regulatory agencies and adhere to applicable regulations for all ingredients and ingredient formulations used in our products. We also ensure we meet or exceed local regulatory requirements in all markets where we operate or sell our products. U.S. products classified as antimicrobials, such as disinfectants or sanitizers, which represent approximately 27 percent of our U.S. product portfolio, are subject to registration with the U.S. Environmental Protection Agency (EPA). These formulations undergo detailed chemistry, efficacy and toxicology review by the EPA before approval for market. The EPA strictly governs the labeling and packaging of these products, with predetermined criteria based on the nature of the product.
PRODUCTS
Leading the Industry in Ingredient Transparency

Today, consumers want to know what goes into the products they use in and around their homes. We understand and recognize their desire for peace of mind regarding the substances that may come into contact with their families. The Clorox Company was the first in the cleaning industry to commit to voluntary ingredient communication in the U.S. and Canada. We began this process in 2008 with our Green Works line of naturally derived cleaners, which feature ingredients on labels. In 2009, we began listing the ingredients of our household and commercial cleaning and disinfecting products on our corporate website. We added auto care products and an extensive glossary of terms when we updated our Ingredients Inside program as part of our corporate responsibility website launch in February 2010. Our ingredient communication program has established Clorox as an industry leader in this space. We continue to actively work with industry and regulatory associations on product ingredient transparency.
To view the list of ingredients for Cloroxs cleaning, disinfecting and auto care products, visit www.CloroxCSR.com/ingredients-inside.
PRODUCTS
Mainstreaming Natural Products

As recently as a few years ago, if you wanted to purchase a tube of natural toothpaste or a bottle of natural glass cleaner, you likely had to find a natural foods store. If you lived in a rural area, then you might simply have been out of luck. Today, natural cleaners are no farther away than your local grocery store or mass retailer. With our Green Works line of naturally derived cleaners, we were the first major consumer packaged goods company to make natural cleaning mainstream. With an understanding of the consumer issues in natural cleaning and our strong heritage in manufacturing cleaning products, we decided to pursue the development of a product line that would address the needs of green-minded consumers. Our goal was to set an entirely new standard for natural cleaning. Our R&D team was challenged not with reformulating an existing product, but rather with creating an altogether new line of cleaning products using naturally derived, plant-based ingredients. The cost had to be reasonable and the natural product had to demonstrate it could really clean. Today, all Green Works products are recognized by the United States Environmental Protection Agencys Design for Environment program. And, the Green Works brand is the market leader in the natural home care category. Though the Green Works and Burts Bees brands each enjoy leading shares in stores today, their stories are different. The Green Works brand was created by a Clorox team of scientists and marketers. The Burts Bees was born in the back of a pickup truck in the 1980s, when founders Roxanne Quimby and Burt Shavitz teamed up to sell her beeswax candles and his honey at craft fairs in Maine.
PRODUCTS
Mainstreaming Natural Products
Defining Natural & Green

As one of the worlds leading natural personal care brands, the Burts Bees brand frequently found itself having to explain whats natural and whats not. Our research prior to the launch of the Green Works line showed similar confusion among consumers about the true meaning of natural and green product labeling. These insights prompted us to be extremely clear that Green Works products are derived from plant-based, readily biodegradeable cleaning ingredients. Green Works products are also recognized by the Environmental Product Agencys Design for the Environment (DfE) program and carry the DfE logo, which demonstrates that Green Works products meetthe programs stringent criteria for human and environmental health. The Burts Bees brand has also addressed the problem of label confusion by joining with other natural personal care companies and the Natural Products Association to develop standards regarding which ingredients can and cannot be considered natural, and ultimately, whether or not a product can be labeled as natural. As part of this process, the Natural Seal was developed to provide readily identifiable certification on product packaging for consumers. In order to meet the seals criteria, products labeled as natural must be: N atural: Made of natural ingredients and manufactured to maintain ingredient purity. S afe: Avoid any ingredient that research shows may have a suspected human health risk. R esponsible: Use no animal testing in its development. Sustainable: Use biodegradable ingredients and the most environmentally sensitive packaging.
Fast forward 26 years later and the Burts Bees brand is the leading natural personal care brand in the U.S. and growing rapidly in two dozen countries around the world. Clorox acquired the brand in 2007. Its original, iconic lip balm product is now joined by more than 100 other natural products ranging from skin moisturizers and shampoo to recently introduced acne solutions and toothpaste. Like the Green Works brand, the growth of the Burts Bees brand has tracked closely with consumers growing desire to provide safe and natural products for their families. From its humble origins, Burts Bees products can now be purchased in specialty and mass retail locations in the U.S. and abroad. Today, the Burts Bees and Green Works brands are providing natural, effective and appropriately priced products that are winning with consumers. These brands are also providing Clorox with a strong base from which to further develop awareness and acceptance of natural products in traditional retail channels and among mainstream consumers. From our perspective, this is the perfection intersection of social responsibility and business opportunity and we will pursue both with equal enthusiasm.
Be Inclusive
People
Promote diversity, opportunity and respectful treatment for everyone who touches our business
Many employees participate in employee resource groups, which aim to help develop and retain diverse talent by promoting, supporting and celebrating diversity. Left to right: Roma McCaig, Scott Willoughby, Diana Hernandez, Shaunte Mears-Watkins, Nicole Thomas and La Sondra Irving-Pippins.
Clorox Ranks High in Diversity Measures

At Clorox, diversity is much more than an initiative or a mission statement. Having a diverse workforce drives competitive advantage for us. We grow and learn more when we are around people with different perspectives and experiences. And, having a workforce that mirrors our consumer base allows us to gain better consumer insights and drive meaningful innovation in the marketplace. Creating a culture of inclusion is an integral part of Cloroxs history that is evident throughout the company. Our hiring and promotion decisions are based on employees abilities, and we expect our suppliers to adhere to those same standards. We strictly prohibit any discrimination on the basis of race, religion, national origin, gender, disability, age, marital status, citizenship status, veteran status, sexual orientation or status regarding public assistance.
PEOPLE
EQUALITY INDEX
A Report Card on Lesbian, Gay, Bisexual and Transgender Equality in Corporate America
Expanding Our Diverse Supplier Network

We are proud of the work we have done to date to build strong partner relationships with certified diverse companies. In the last year we have awarded over $11 million in new business to certified women- and minorityowned suppliers. We will continue to look for new opportunities with diverse companies. Accordingly, we are executing against a comprehensive strategy to grow our total diversity expenditure to 5 percent by 2015. Diversity and inclusion have been a fundamental part of Cloroxs success, and we will continually extend and improve our focus in these areas. Now more than ever, embracing diversity and inclusion across all areas is essential to our future.
2010
Clorox has earned a 100 percent rating in the Human Rights Corporate Equality Index CORPORATE for four consecutive years.
We are proud of the following facts about our workforce. These numbers exceed U.S. Census Bureau figures: 5 1 percent of all Clorox employees and 40 percent of our managers in the U.S. are women. In a 2009 UC Davis Study of California Women Business Leaders, Clorox ranked 14th out of 400 companies for having women in director and executive officer positions. 30 percent of U.S. Clorox employees and 22 percent of our U.S. managers are minorities, including Native American, Asian, African-American, Hispanic, Pacific Islander and multiracial.
Walmart Recognizes Clorox for Diversity In January 2010, Clorox received the Visionary Award for Diversity as part of Walmarts Martin Luther King Day celebration. Nominated by Walmarts associate resource group, Pride, the award recognized our efforts to integrate diversity and inclusion in the business.
PEOPLE
Clorox Ranks High in Diversity Measures

Gender Diversity
U.S.: 51% 40% Female Employees Female Managers
Global: 35% 38% 23% Female Employees Female Managers Female Executive Committee Members
Employees
Caucasian 70 percent Minorities 30 percent Asian 14 percent African-American 9 percent Hispanic/Latino 6 percent Other 1 percent
Managers
Caucasian 78 percent Minorities 22 percent Asian 11 percent African-American 5 percent Hispanic/Latino 5 percent Other 1 percent
21%
Committed to High Labor Standards

16% 16% A A 21% K
3% 4% 9%
We have nearly 8,300 employees around the globe from scientists to salespeople from production employees 10% B 10% B J 3% to packaging professionals. We are committedJ to the well-being of all Clorox employees worldwide, and, where I I 4% C 4% C 4% applicable, working with union representatives who work with approximately 6 percent of our workforce. D 3% D
9% H 3% H 7% 10% E 13% 13% G G 7% We adhere to all applicable labor laws and standards globally and are committed to offering competitive F F 10% compensation and benefits, supporting freedom of association and providing a safe work environment that prohibits child labor and forced labor. We expect these standards to extend to our business partners. E
U.S. Employee Turnover Total U.S. Population by Age Group

2.7% 2.3% 2.0% 1.5%
U.S. Employee Turnover Total U.S. Population by Gender

6%
Clorox Workforce by the Numbers (2010)
4,140
3%
4,099
0.6% 20s 30s 40s 50s 60s

Male Female
PRODUCTION EMPLOYEES NONPRODUCTION EMPLOYEES
Career Development is a Strategic Investment

At Clorox, were committed to developing our people. We focus on building the capabilities of Clorox people from their very first day at our company, as they evolve in their careers and as they grow into future opportunities. We believe that people development helps us attract and retain the best and brightest minds and maintain a competitive edge in the marketplace. We provide dozens of training programs, as well as internal and external development resources for employees, managers and executives.
PEOPLE
Strong Leaders Share Common Traits

At Clorox, we know that strong leadership is key to our success, and we focus on five key leadership traits. In fact, each year, Clorox recognizes outstanding leaders who demonstrate the Clorox leadership traits.
The Clorox Leadership Traits

I ntegrity Acting with integrity builds trust. At its foundation, integrity is about tellingthe truth and having the courage to stand behind what you believe is right. O ptimism Great people lead from optimism, knowing that a winning attitude creates positive energy and engagement Curiosity Ideas drive organizations and progress. Leaders can continue to get better at what they do only if they are truly curious about their craft. Compassion Compassionate leaders show people that they matter and treat them withrespect Humility Humble leaders are accessible and approachable. They are driven by the greater good, and they understand the value of others around them.
Learning to Lead
We focus on building great leaders through a number of programs, including the Diamond Leadership Institute (DLI). DLI aims to help Clorox employees realize their leadership potential. The four DLI programs currently offered by the company provide unique cross-functional experiences designed to develop leadership and management skills at all levels. All employees have a variety of other training programs at their fingertips. Clorox offers dozens of self-paced, online courses and hands-on, instructor-led courses on topics ranging from our company strategy and conflict management, to communicating effectively and presenting powerfully, to ergonomics and understanding financial statements and much more. Worldwide, 85 percent of Clorox employees receive annual training and career development reviews. We also understand that learning is a lifelong pursuit. Our education assistance program provides financial aid for employees seeking to continue their education by earning degrees or certificates from regionally and nationally accredited educational institutions. This program assists our employees in developing skills and knowledge that contribute to their current job and future career opportunities.
PEOPLE
Career Development is a Strategic Investment

Employees Connect to Strategy
We believe in helping our employees become more effective in their current roles and preparing them for continued career growth. Thats why development planning is an integral part of our performance management and planning (PMP) process. This is a highly important process that connects the work of our employees tothe achievement of the organizations strategic goals. It helps employees focus on the highest business priorities and increases productivity, employee engagement and sense of ownership. The purpose of the PMP process is to: P lan work results, review overall performance and skill proficiency E stablish and drive performance and development plans R eceive feedback and coaching on a regular basis Share information on career interests Make quality pay decisions All Clorox employees are covered by a predefined and standardized performance appraisal process, and more than 90 percent of employees receive regular performance reviews. We believe development is owned jointly by employees and managers, and all salaried employees are required to create and maintain individual development plans.
Training by the Numbers

Our nonproduction salaried employees have access to leadership and skills development training and education. Each year, the company offers more than 230 hours of leadership and management training programs, 160 hours of instructor-led classroom training and 10 hours of e-learning courses. Approximately 90 percent of nonproduction employees participate in the corporate training programs offered. Specialized function, departmentlevel and site-specific training is also provided across our sites. Our production employees and contract employees around the world complete skills certification courses, as well as safety and health training that aligns with federal, state and local requirements. We require an average of 20 hours of safety training for new employees and recurring annual, quarterly and monthly training on a wide variety of topics as determined by specific job requirements and tasks.
Recognition Encourages Continued Achievement

Clorox fosters a culture of recognition. We encourage and reward recognition not just from managers, but also among peers. We understand that we own each others success, and its making Clorox a better place to work. The Bravo recognition program in the U.S. provides tools and incentives to encourage peer-to-peer recognition, manager discretionary recognition and special purpose recognition programs.
Competitive Compensation Rewards Performance

We understand that our success depends on the people who work hard to build our brands and execute our plans. Thats why weve developed compensation plans to help us attract and retain great people by providing competitive pay and rewarding the performance of employees who make significant contributions to our success. There are three elements of compensation for Clorox employees in the U.S.: 1. Base pay Regular wages or salary, including vacation, holiday and sick pay. This is the fixed portion of an employees compensation for performing his or her job. 2. Incentive awards Stock-based awards, an annual cash bonus and sales-added compensation are variable, offered to eligibile employees based on competitive market practices. 3. Premium pay Overtime wages. Together, these elements are eligible pay upon which retirement contributions are based. Retirement at Clorox encompasses four components: 1. Employee 401(k) contributions 2. 4 01(k) match 3. Value sharing 4. Pension
PEOPLE
Employee Engagement Remains High

Employee engagement is critical to our success. Clorox surveys employee levels of engagement annually to determine whats working well and what can be improved. Each functional leader receives the results for his or her organization to help ensure continued engagement across the company. In 2010, a statistically representative sample of more than 2,200 employees from throughout the company completed the survey, and 81 percent reported being engaged or highly engaged, versus the benchmark* of 80 percent.
* Benchmark represents responses of employees at other organizations who participated in the same survey at different times. The benchmark group includes a variety of companies from manufacturing, retail, financial services, health care, high technology and telecommunications, and other types of organizations, such as public utilities and government agencies.
Clorox Employee Engagement

81% 75% 81%
2008
2009
2010
PEOPLE
Employee Safety and Wellness Are Top Priorities

Preventing injury and illness at work is an everyday focus whether someone is in the corporate office or on the front lines of a manufacturing facility.
Safety Efforts Achieve Gold Rating

Safety is paramount at Clorox and were proud of our strong safety record. We strive to maintain a safe working environment for our employees, and to operate and maintain all facilities and equipment in a manner that will protect the safety of employees and the public. The Corporate Health, Safety & Environment organization is responsible for assisting line management in achieving our safety goals. This includes providing support tools and resources, periodic evaluation of safety and health programs and recommendations forimprovement. Every Clorox supervisor in our manufacturing plants and other nonoffice locations is responsible for providing a work environment with safe operating equipment and safety training for every employee, as well as ensuring employees comply with safety rules and procedures. Each supervisor also has the responsibility, through personal example and involvement, to create a climate in which everyone shares a concern for their own safety and the safety of their fellow workers. Our safety performance over the past four years has been at world-class levels. In fiscal year 2010, Clorox had an overall recordable injury rate of 0.81*, versus the 1.0 world-class level. We continue to strive for zero incidents. Clorox completed fiscal year 2010 with zero Occupational Safety and Health Administration (OSHA) noncompliance fines, due to our ability to complete all regulatory tasks in a timely manner.
*
Safety is measured in accordance with U.S. Bureau of Labor Statistics instructions for calculating recordable injury rates.
Employees like Melanie Hansford contribute to creating a safe work environment and enabled Clorox to achieve a world-class safety record.
Employee Safety and Wellness

Preparing for Tough Times
We have an enterprise-wide crisis management program that includes tools and communications supporting welfare, emergency response, safety, disaster recovery and business continuity. The program includes workgroupbased plans to guide in resuming disrupted operations, emergency response teams to directly address certain emergencies, and a corporate emergency operations center to coordinate and allocate resources at time of crisis.
Preparing For and Preventing the Spread of H1N1

In the spring of 2009, a substantial outbreak of the H1N1 influenza virus hit Mexico, sounding alarm bells around the world. With flu season approaching and fears of a wide-spread pandemic growing, we quickly formed a team to develop internal preparedness and prevention plans. We were focused on two key priorities: First, sustaining the health and wellness of employees; second, developing contingency plans to minimize impact to the business in the event of widespread absenteeism. Cleaning protocols detailing how to disinfect hard surfaces, hand-washing guides and other wellness tips and tools were quickly posted throughout our facilities and office environments. We also developed a website dedicated to providing educational materials, prevention practices, H1N1 updates and public health resources to Clorox employees. We also created detailed contingency plans to prevent major business impacts, including developing policies that address time off and pay. However, these plans were never needed, as the majority of employees remained healthy and working throughout the duration of the H1N1 pandemic.
PEOPLE
Benefits Support Balanced Lifestyle

Clorox offers a broad range of competitive benefits that are available to full-time employees and their dependents, including children, spouses and same-sex partners. Our comprehensive health care coverage in the U.S. includes: Medical Prescription services Dental Disability Vision Counseling Cloroxs wellness programs encourage our employees to participate in preventative care, such as getting an annual physical, taking health risk assessments or participating in smoking cessation programs. These programs benefit employees by promoting good health and by driving down overall health care costs. Clorox offers weight-management resources, a quarterly health newsletter and several wellness incentive programs to employees, including a $125 incentive program for getting your annual physical. In addition to physical health benefits, we offer a variety of other benefit programs designed to assist employees and their families through different needs in life. For example, in the U.S., we offer employees and their immediate family members confidential counseling services through our Employee Assistance Program. We also offer adoption assistance and retirement savings programs. Clorox supports a balanced lifestyle by offering alternate work schedules where possible, such as job sharing, telecommuting and flexible hours, which allow workers to have a say in their schedules. We offer summer hours tooffice employees around the world, closing our offices for business at 12:30 p.m. local time on Fridays to give employees an early start to their weekends during the summer season. S hort- and long-term disability Life insurance A ccidental death and dismemberment
Be Mindful
Planet
Shrink our environmental footprint while we grow our business
Members of the Eco Network employee volunteer group including, from left to right, Dana Ginsburg, Aron Nussbaum and Suzanne Henricksen are helping to drive more sustainable choices like recycling and composting in the workplace.
Accelerating Our Eco Progress

Clorox has long been committed to reducing the environmental impact of our operations and the products we make. In recent years, we have accelerated this effort with the development of a global environmental sustainability strategy that articulates our objective to make environmental stewardship core to how we do business. We are making investments in more sustainable products, reducing the environmental footprint of our operations, driving toward a more sustainable supply chain, integrating environmental sustainability into our business processes and culture, and participating in industry sustainability initiatives. Cloroxs Eco Office, which was established in 2007, is leading this strategy. The Eco Office has been working with all facets of Cloroxs operations to advance our goals to reduce greenhouse gas emissions, save energy and water and decrease solid waste. At the same time, the Eco Office has engaged with our business teams to improve the overall sustainability of our products and packaging.
PLANET
The Eco Ofce, which reports to executive vice president Beth Springer (far right), is dedicated to making environmental stewardship core to our business. From left to right: Jamie Owen, Scott Mobley, Prashant Kripalani and Bill Morrissey.
PLANET
Corporate Scorecard Includes Sustainability Goals

Our board of directors nominating and governance committee oversees environmental health and safety compliance at our company. Specific sustainability priorities have been integrated into the Clorox corporate strategy, and environmental goals are part of the Clorox corporate scorecard on which annual executive evaluation and compensation is based. Cloroxs enterprise-wide environmental sustainability goals cascade down to our company operations and strategic business units that have their own specific sustainability commitments. A clear chain of ownership exists for each aspect of our environmental strategy, ensuring that Clorox will be able to drive sustainability improvements and climate change action throughout the organization over time.
Environmental System Tracks Compliance

Managing environmental compliance and tracking environmental metrics data is a critical part of implementing our environmental strategy. We use our own environmental management system (ETRACS) to track, report and ensure environmental compliance across our facilities. The system also drives sitespecific compliance activities and tracks the progress were making toward our sustainability goals.
Formal Assessment Gauges Environmental Impact

Clorox has developed a sustainability assessment process to better understand and manage the environmental impact of all our business. The assessment process a joint undertaking by business unit managers and the Eco Office examines the environmental impact at each stage of our products life cycles; identifies current and emerging stakeholder environmental concerns; and, through the lens of environmental sustainability, assesses potential cost savings and business growth opportunities, as well as business risk.
Cloroxs Eco Objective Make environmental sustainability core to how we do business Clorox 2013 Eco Goals Generate one-third of growth from environmental sustainability initiatives (versus 2007 baseline) Reduce the environmental footprint of our operations for each case sold by 10 to 20 percent (versus 2007 baseline) Make sustainability improvements to 25 percent of our product portfolio (versus 2009 baseline) Achieve an environmental stewardship reputation at consumer packaged goods exemplar levels Ensure environmental sustainability performance is a major contributor to employee engagement
Transforming to a More Sustainable Product Portfolio

Selling more than 1 billion products into the marketplace annually, Cloroxs greatest opportunity to reduce our environmental footprint lies within our own product portfolio. From 2005 to 2009 we made sustainability improvements to a third of our portfolio. In 2009, we took another look at our product portfolio and set a goal to make sustainability improvements to 25 percent of our products by 2013. We anticipate we will need to make improvements to more than 300 product items to achieve this goal. We aim to do this through the continued redesign of products and/or their packaging to reduce or enhance the sustainable nature of the materials used. Today, we are one of only a few consumer packaged goods companies to have set such a public goal. Some of our businesses have built sustainability into their core purpose
PLANET
The Burts Bees brand aims to maximize the overall well-being of people and the planet through The Greater Good business model.
Green Works naturally derived, plant-based cleaning and laundry products seek to meet consumers growing desire for natural products.
The Brita water-filtration brand educates consumers about the opportunity to reduce waste from disposable plastic water bottles.
Line extensions represent an opportunity for brands to incorporate sustainability enhancements
Kingsford competition briquets are made with 100% natural ingredients that make the coals burn hotter, provides great taste and results in less ash.
Glad compostable trash bags are made with renewable resources for use in municipal composting programs where available.
Fresh Step natural cat litter provides a product for cat owners who value a natural option.
Improving the sustainability of our core product offerings represents yet another opportunity
The Kingsford brand has recently launched a product improvement that also reduced the amount of raw material used in a briquet by 7 percent.
Glad ForceFlex trash bags are saving more than 1 million pounds of plastic film per year compared to regular trash bags, while also providing consumers with a stronger bag.
Clorox 2 stain ghter and color booster comes in a new concentrated version, reducing the amount of water used in manufacturing this product by 54 percent, resin needed for bottles by 36 percent and gallons of diesel for shipping by 160 million gallons annually.
PLANET
Packaging Changes Reduce Waste

Many Clorox Company brands have moved to more sustainable packaging. Package redesign, material reduction and increases in recycled content have led to measurable improvements. Today, 90 percent of our product cartons use 100 percent recycled material, and 85 percent of our packaging is recyclable. Also, nearly all of our U.S. retail display materials are made from 100 percent post-consumer waste. Some recent packaging improvements: Clorox regular bleach has reduced the plastic in its bottles by more than 5 million pounds annually All of our spray-cleaning products now use lighter, more environmentally efficient triggers that are better at preventing fluid leakage Burts Bees lip balm and lip shimmer products removed plastic wrapping to save more than 1,800miles of shrink-wrap film annually. As a member of the Sustainable Packaging Coalition, we continue to advocate for more environmentally friendly packaging throughout the consumer products sector and are committed to doing more by working to achieve the following packaging goals by 2013: Reduce packaging on more than one-third of our product portfolio (from 2005 to 2013) Have at least 90 percent of all our products in recyclable primary packaging (versus 85 percent currently) Identify alternatives to PVC for all packaging.
Green
PLANET
On Tap
One Brita pitcher filter can effectively replace as many as 300 standard 16.9-ounce bottles of water. And used Brita filters can now be recycled thanks to our partnership with Preserve, the leading maker of 100 percent recycled household consumer goods. Brita filtered water also offers an economical alternative to bottled water. The average Brita pitcher filters 240 gallons of water per year for about 19 cents per day, significantly less than the cost of a single bottle of water. Our Brita team is committed to raising awareness of these cost and environmental advantages. The brands FilterForGood campaign encourages consumers to sign an online pledge to reduce bottled water consumption in exchange for a Brita product coupon. Based on pledges to date, there are nearly 200 million fewer plastic water bottles in the world today: a number well worth raising a glass to.
An eco-friendly alternative to bottled water is as close as your refrigerator or kitchen sink, thanks to Brita waterfiltration products. Water is one of lifes most essential elements, but can be exposed to impurities that impact taste. From convenient faucetfiltration systems to filtered refrigerator pitchers, Brita offers an easy solution for people to enjoy healthier, bettertasting water. By encouraging people to drink more water, the Brita brand has a strong health and wellness component. When you add the brands environmental benefits, the overall value proposition becomes even more compelling. Consider the fact that Americans alone drank nearly 8.7 billion gallons of bottled water in 2008*, with most bottled water containers ending up in landfills.
* Beverage Marketing Corporation press release, Smaller categories still saw growth as the U.S. liquid refreshment beverage market shrank by 2% in 2008, March 30, 2009. www.filterforgood.com/facts. Preserve is a registered trademark of Recycline, Inc.
PLANET
Measuring, Managing and Minimizing Our Operational Footprint

Over the years, Clorox has become a highly efficient manufacturer through a continual improvement approach to our business. Today, these improvement efforts are aimed at further reducing our environmental footprint, with a focus on reductions in energy use and greenhouse gas (GHG) emissions, water use and solid waste to landfill.
Tracking to Meet or Exceed Our 2013 Goals
-20%
-10% -7%
-10%
-10% -8.5%
-9%
-4.5%
GHG
Energy
Water
Waste
PERFORMANCE TO DATE (2007 baseline) 2013 GOAL (per case of product sold)
PLANET
Greenhouse Gas Emissions and Energy Use Down

We are actively working to reduce our GHG footprint. Weve made a pledge to reduce our GHG emissions by 10 percent per case of product sold from 2007 to 2013. We also joined the EPAs Climate Leaders Program in 2008 and received EPA SmartWay Transport Partner certification this year as part of our commitment to reduce our GHG footprint.
Energy Consumption
1.87 818 1.86 823
In addition to these strategies, Clorox is exploring other innovative ways to reduce our GHG emissions. The Burts Bees business, for example, is purchasing renewable energy credits in the form of wind energy, while the Kingsford business is using renewable energy sources from its own manufacturing processes to reduce dependence on the electricity grid.
CO2 Equivalent GHG
GHG Emissions by Source

(000 metric tons) 600 595 204 201 561 187
787 1.78
600 595
561
1.37
2007 2008 2009 ENERGY CONSUMPTION (000 of MWh)
322 319 300 1.34 1.27
RATIO (MWh of energy Our recent GHG and per 1,000 cases) energy use reductions are due primarily to retrofitting 22 of our manufacturing plants, distribution facilities and major offices with energy efficient T5/T8 lighting and motion sensors. Were also moving 30 percent of our product distribution from trucking to more efficient intermodal rail.
74
2007 2008 2009 GHG (000 metric tons) RATIO (metric tons of GHG per 1,000 cases)
75
74
2007 2008 2009 SCOPE 1 SCOPE 2 SCOPE 3
Scope 1 GHG emissions are a direct result of Clorox operations. Scope 2 GHG emissions are indirect emissions from purchased electricity, heat and steam. Scope 3 emissions are associated with the distribution (by all modes of transport) of finished products by nonaffiliated carriers to regional distribution centers and to retailers.
We believe that science supports rising GHG emissions have a signicant impact on climate change and the environment. Clorox therefore supports congressional action on comprehensive national climate change legislation aimed at reducing aggregate emissions of greenhouse gasses over time without causing undue hardships for the U.S. economy. Clorox is also committed to doing its part to help address this issue.
PLANET
GHG Emissions by Gas Type (2009)
Other Gas Emissions and Particulate Matter

CO2 91 percent CH4 1 percent N20 7.5 percent HFCs 0.5 percent
In addition to GHG emissions, Clorox is committed to carefully monitoring and working to minimize other gas emissions and particulate matter. Our manufacturing processes use a minimal amount of fluorinated gases, primarily chlorodifluoromethane This gas is part of industrial refrigeration systems and works in a closed-loop system. We also monitor the use and release of volatile organic compounds, particulate matter, sulfur oxides and nitrogen oxides. Our plants comply with air permits that limit these pollutants based on federal, state and local government regulations. We are actively looking for technologies and efficiencies to further reduce particulate matter emissions in the future.
GHG Emissions by Segment

(000 metric tons) 600 595 561
22 51 22 52 21 48 183 14 61 14 61 14 58
202 198
On Track to Achieve Our Water-Reduction Goal

Clorox has made strong Water Consumption progress in reducing our 1,029 960 952 water use in the past two 2.35 2.17 2.15 years as a result of initiatives that addressed our water recycling infrastructure, upgraded equipment and replaced water-cooled with air-cooled compressor systems. Two of our Kingsford charcoal plants, for example, have each 2007 2008 2009 reduced water consumption CONSUMPTION by more than 30 percent. (millions of gallons) We believe these types RATIO (gallons of water per case) of initiatives, as well as By volume, most of the water consumed changes to manufacturing by Clorox is derived from city water utilities. facility water management A small fraction of our total water use is derived from surface and well water. practices, will enable us to meet or exceed our overall water-use reduction goal of 10 percent by 2013.
250 248 236 2007 2008 2009
HOUSEHOLD CLEANING LIFESTYLE TRANSPORT INTERNATIONAL OFFICES
While the Clorox GHG inventory has not been independently verified by a third party, our GHG inventory gathering process and calculations (for 2005-2009) were led and conducted by a third-party environmental services firm that has detailed knowledge of the operations and air emissions characteristics of the major Clorox manufacturing facilities and uses the methodologies and emissions factors from well-known GHG protocols, including those of the U.S. Department of Energy, World Resources Institute and EPAs Climate Leaders.
PLANET
Dumpster Dives Help to Reduce Landfill Waste

Cost savings initiatives and manufacturing excellence programs have helped Clorox build a solid record in the areas of reducing and reusing materials, but recent audits have found that we still send too much waste to landfills. dumpster dives, where employee volunteers literally dump and sort through trash, have been an effective initiative to raise Solid Waste awareness of what can be 13,893 12,590 12,783 recycled and to encourage 31.7 changes about what gets 28.4 28.9 deposited in the trash. Dives at our Tampa, Fla., and Amherst, Va., plants have led to reductions of waste sent to landfills of more than 50 percent. These achievements are helping us make progress 2007 2008 2009 toward our commitment TONS to reduce company-wide RATIO (tons of waste per million cases) solid waste by 20 percent (per case of product sold) from 2007 through 2013.
The vast majority of the solid waste that Clorox produces is nonhazardous in nature and we employ manufacturing practices that minimize such waste. The small amount of hazardous waste that we do produce is properly handled by approved vendors and properly tracked through its disposal process.
Biodiversity and Habitat Conservation

The preservation and protection of biodiversity and natural ecosystems go hand in hand with resource conservation. To this end, Clorox complies with global, federal, state and local biodiversity legislation and regulations and, whenever possible, goes beyond legal requirements to ensure that our manufacturing operations do not negatively impact biodiversity, natural habitats, wetlands, forest lands, fisheries or local plant and animal species. Our overall operational impact on biodiversity is insignificant, given the location and nature of our operations as well as the products we manufacture. The one exception is our plant in Aberdeen, Md., which manufactures bleach products. It is located on 150 acres of wetlands owned by Clorox that we are committed to protecting. In 1993, our Aberdeen plant, which resides on eight of these acres, was one of only three buildings worldwide to receive the Distinguished Environmental Planning Award from the Industrial Development Resource Council. We were selected based on our attention to energy conservation and preservation of this 150-acre wetlands area.
Cloroxs dumpster dives help divert waste from landlls.
PLANET
Encouraging Sustainable Workplaces and Habits

The ultimate success of our eco strategies requires that environmental sensitivity and best practices become an intrinsic part of the culture at Clorox. Every Clorox employee is called upon to support our commitments and goals in order for us to achieve them and to realize the potential of sustainable business opportunities. This process begins through our daily habits and in our workplace environments. In North America, for example, over the past two years Clorox has reduced paper use by 30 percent and converted all remaining paper to 100 percent recycled content. We have reduced business travel by 20 percent and converted company cars to hybrid vehicles. We are also proud that our corporate headquarters in Oakland, Calif., recently received platinum-level Leadership in Energy and Environmental Design (LEED) certification for an existing building (EB). Developed by the U.S. Green Building Council, the platinum LEED designation is the highest-level certification a commercial property can achieve. The Clorox Company building is one of only 38 buildings in the U.S. to achieve LEED-EB certification. We achieved this certification by decreasing the environmental footprint of our facilitys operations through dozens of building improvements over the last couple of years. Get caught green-handed turn off the lights stickers on 2,500 light switches in locations across Clorox facilities. The Eco Network has now focused its attention on waste reduction, in particular recycling and composting, at key Clorox sites like our Oakland general offices, where the network hopes to divert 90 percent of our waste from the landfill.
Eco Volunteers Go Global

The Clorox Eco Network has no borders and has expanded throughout our global operations. For example, in Chile volunteers have combined their ingenuity and enthusiasm to make a sweeping difference literally. Employees came up with the idea of using simple plastics such as PET, packaging stretch film and plastic bags as raw material for the broom bases that Clorox makes. The initiative has enjoyed widespread involvement from employees and their families as employees not only collect plastic waste at work but also bring in plastic waste from home. The results have been so successful that the initiative is expanding plastic recycling beyond the walls of Clorox to include partnerships with customers, schools and nonprofit organizations.
Employee Volunteers Drive Green-Handed Ideas

One of our most successful employee involvement strategies to date has been to recruit those employees most passionate about positive environmental change. In 2008, we created the Clorox Eco Network, a global team of employee volunteers to help our company and fellow employees make sustainable decisions on behalf of the environment. The network serves as both a forum for new ideas and the driver of workplace eco initiatives. Recently, the network launched an intranet page to share green news and tips, orchestrated Earth Day celebrations across major Clorox sites and placed
PLANET
Greater Good
When Clorox acquired the Burts Bees brand in 2007, we acquired not only a leading natural personal care brand, but also an exemplar company in social responsibility. The Burts Bees team follows a business model dubbed The Greater Good that represents the highest ethical choice that can be made to maximize the overall wellbeing of people and the planet. The Greater Good adheres to a set of beliefs that helps guide the company and its actions, particularly as it relates to the environment. After all, the company was founded in 1984 on a foundation of earth-friendly natural personal care products. The business nurtures a cycle that is based on the belief that to take from nature, you must also protect and provide for nature. To this end, the business aspires to be the greenest personal care company on earth and is working toward a set of goals to achieve by 2020. Among these goals are a carbon-free footprint, utilization of 100 percent renewable energy, zero waste to landfills and Leadership in Energy and Environmental Design certification for all facilities. Already Burts Bees has achieved zero waste to landfill at its manufacturing, distribution and office facilities, and operating effectively in a carbon-neutral manner by buying renewable energy certificates and carbon offsets to offset their GHG footprint.
The
The Burts Bees business took employee involvement to a new level in 2009 with the launch of Live the Greater Good, a company-wide program that encourages employees to formally and continuously integrate environmental stewardship, social consciousness, natural wellness and world-class leadership into their personal and professional lives. As the Burts Bees brand expands its products around the world, the team is also exporting its greater good philosophy and finding that it resonates with international employees and consumers as well. This positive reception is largely due to the degree of customization that is encouraged in each country. The Burts Bees business introduces its greater good model and values in each country, and then its employees find ways to tailor it to their particular areas of interest and passions. In Australia, for example, educational programs and outreach efforts are largely focused on biodiversity, an area of great concern to Australian citizens. It is hard to think of a better example than the Burts Bees brand of the way good business and the greater good can complement each other and, indeed, grow and prosper together.
Be Committed
Purpose
Safeguard family well-being, every day
49 The Clorox Company | 2010 CSR Report
PURPOSE
Foundation Supports Youth and Cultural Programs

Founded in 1980, The Clorox Company Foundation is our formal philanthropic arm and has awarded cash grants totaling more than $80 million to nonprofit organizations, schools and colleges over the past three decades. The majority of these grants support innovative programs that serve youth, kindergarten through 12th grade education, and cultural and civic organizations. Much of the foundations work is centered in our corporate hometown of Oakland, Calif., but it also benefits local needs in other communities where our employees live and work. Clorox also has a long history of donating Glad trash bags, Clorox bleach and other disinfecting products to the American Red Cross to assist with disaster relief.
After Hurricane Katrina hit New Orleans and the Gulf Coast, for example, Clorox donated more than $2 million in cash and product toward relief efforts. We were also the first to step up and sponsor Mardi Gras in New Orleans that year, donating more than 1.3 million Glad trash bags to the department of sanitation for clean-up efforts. More recently, when southern Georgia was hit by severe flooding in 2009, Clorox sent more than twotruckloads of bleach to assist with cleanup.
Charitable Contributions
(in millions of dollars) $13.2 $1.8 $3.6 $14.1 $1.8 $3.5
15
12
$8.8 $7.8
6
CAUSE MARKETING DONATIONS FOUNDATION CASH GRANTS CORPORATE PRODUCT DONATIONS 2009 2010
The Clorox Company Foundation has awarded more than $80 million in cash grants since 1980.
PURPOSE
Employees Give Time and Money to Support Our Communities

At Clorox, our work force of more than 8,300 employees shares a common trait: a commitment to give back to others through our time and talents. Visit a company facility anywhere in the world and you will find an example of this commitment. Clorox employees build houses for Habitat for Humanity International, walk in fundraisers to support cancer research, provide legal expertise to victims of domestic violence and donate presents to impoverished families during the holidays. These examples are a small sample of the dozens of programs and opportunities that we support. In 2009 alone, Clorox people volunteered nearly 100,000 hours of their time to charitable organizations. K-12 education is our primary corporate focus. More than 100 Clorox employees volunteer each year for Junior Achievement, an organization dedicated to
educating and inspiring young people about the business world. We support Junior Achievement with employees who teach classes and through grants made by The Clorox Company Foundation. Another example of Clorox employees passion for supporting education is the Marcus A. Foster Educational Institute auction that 100+ volunteers coordinate annually. Now in its 19th year, the event regularly raises more than $70,000 for scholarships.
GIFT Campaign Matches Employee Contributions

Beyond their time, Clorox employees also donate their money to nonprofit organizations, and we are proud to match their generosity. In the U.S. and Canada, our Getting Involved for Tomorrow (GIFT) campaign matches employee contributions up to $2,500 per employee to nonprofit organizations of their choosing. Including the company match, the 2010 GIFT campaign raised $3.5 million. In addition, our higher education gifts program matches up to an additional $5,000 per employee to eligible U.S. higher education programs.
As part of our community outreach initiatives, employees spent a day planting trees in Oakland, Calif. From left to right: Herbert Lee, Bill Morrissey and Craig Wolfson.
Mary Jasso believes strongly in helping others. Thats why she volunteered to chair the Clorox Houston facilitys GIFT campaign many times during the past decade. After the devastation caused by Hurricane Ike in 2008, however, Mary and many of her fellow employees developed a first-hand understanding of the campaigns slogan, Follow your heart and Clorox will follow you. Through GIFT, employees can support The Clorox Employee Emergency Relief Fund (EERF) and the company will match dollar for dollar, up to $2,500. For employees like Mary who face unexpected expenses from emergency situations, EERF provides much needed help. After personally benefiting from EERF assistance, Houston employees showed their gratitude by reaching a 97 percent participation level in the next GIFT campaign, knowing their help would be there for those next in need.
PURPOSE
Immediately following the devastating earthquake that struck Haiti in January 2010, The Clorox Company Foundation donated $250,000 toward relief efforts. Though the dollars were critical, an equally important donation came in the form of more than 200,000 gallons of Clorox regular bleach. In Haiti, the level of destruction and lack of infrastructure made product donations almost impossible in the immediate aftermath of the quake. Our Clorox Caribbean team began working with the local Red Cross chapter, public health agencies, our Dominican Republic distribution partner and the Portugal Consulate to provide an initial donation of 415,000 150-ml sachets and 8,400 gallons of bleach. Another 100,000 gallons of bleach from our Port-au-Prince warehouse were also donated. From there, we turned to our plant in Puerto Rico to begin shipping additional supplies. Contaminated water and property left behind by natural disasters in Haiti and countless other places present an immediate public health threat. Clorox regular bleach can purify water and disinfect surfaces. For years, Clorox has partnered with the Red Cross to make bleach available as quickly as possible at the scene of countless disasters around the globe. We also have donated millions of Glad bags to assist with clean-up efforts.
Product and Cash Donations Aid Disaster Relief
H1N1 Response
Fast action is something of a core competency at Clorox. As the public learned of the H1N1 flu outbreak in Mexico in 2009, orders for bleach spiked. We activated our natural disaster contingency plans to ramp up production and coordinate distribution quickly. In addition, we donated roughly 20 truckloads of bleach through the Red Cross of Mexico, the Mexico Federal Health Secretary and the Mexican Social Security Institute.
PURPOSE
Brand Cause Marketing

Brands Support Causes Consumers Care About
More than ever, our brands are differentiating themselves in the marketplace by supporting the causes our consumers care about. The tie between our product and the cause, however, must be both a heartfelt and strategic fit. We make this determination by listening to our consumers. Considering what our brands stand for and evaluating whether or not the brand can play a functional role in supporting a cause, such as bleach disinfecting and purifying water during natural disasters. Here are examples of some of our brands latest cause programs:
Clorox Brand and the Childrens Health Fund www.facebook.com/clorox The Clorox brand has partnered with the Childrens Health Fund (CHF) to launch a new program as part of the brands commitment to healthier lives for families. Capitalizing on the power of social media, the brand created Connect Kids To Care and will donate $1 for each new fan on the Clorox Facebook page, up to $100,000. In addition, the brand is donating $500,000 over the next two years to CHF. Pine-Sol Brand and Powerful Difference www.powerfuldifference.com Dedicated to helping women make a powerful difference in their homes and communities, this Pine-Sol program honors women across the country. Through cash awards, scholarships and action kits, the Pine-Sol brand enables women to continue the work they are doing or to start new volunteer work. Green Works Brand and Sierra Club www.greenworkscleaners.com/partners The Green Works brand partnered with the Sierra Club as part of its launch in 2008. Green Works products proudly display the Sierra Club logo to demonstrate the brands commitment to supporting the oldest and largest grassroots environmental organization in the U.S. Hidden Valley Brand and the Love Your Veggies Campaign www.loveyourveggies.com This campaign was inspired by a study that found that children consume more vegetables when paired with a moderate amount of ranch dressing. Targeted toward parents and educators who are trying to get children to eat and enjoy vegetables, the Hidden Valley campaign includes an informative website and a grant campaign that supports innovative school programs. Glad Brand and Glad To Give www.glad.com/gladtogive Cookies for Kids Cancer is a nonprofit organization that raises money to support pediatric cancer research through bake sales. The Glad brand is donating $1 to the cause for every Glad box code entered online. It is also conducting a national contest for the best recipes for food-related giving programs and providing online support for those who want to host a bake sale. Fresh Step Brand and the ASPCA www.freshstep.com/aspca The Fresh Step brand supports the activities of the American Society for the Prevention of Cruelty to Animals (ASPCA) by donating 50 cents for codes entered from specially marked packages of its cat litter, as well as making it possible to convert points from its Paw Points loyalty program to donation dollars that benefit the ASPCA. Brita Brand and the FilterForGood Campaign www.lterforgood.com This campaign raises awareness of simple changes everyone can make to live more eco-friendly lives. A website offers Brita coupons in exchange for an online pledge by consumers to reduce bottled water waste and offers facts and tips for daily habits that can help the environment. Burts Bees Brand and The Greater Good Campaign www.burtsbees.com/c/commitment/greatergood.html The Greater Good commitment is Burts Bees business model that is designed to maximize the overall well-being of people and the planet. Through The Greater Good Foundation, the business gives 10 percent of all sales from www.burtsbees.com to worthy causes.
GRI Content Index

Strategy and Prole Disclosures
1. Strategy and Analysis
1.1 1.2 2.1 2.2 2.3 2.4 2.5 2.6 2.7 2.8 2.9 2.10 Strategy and Analysis Description of key impacts, risks, and opportunities Name of the organization Primary brands, products, and/or services Operational structure Location of organizations headquarters Countries of operation Nature of ownership and legal form Markets served Scale of the reporting organization Significant changes during the reporting period regarding size, structure, or ownership Awards received in the reporting period 3,4,7,8,15 7,8,15 5 5,11,12 1,11 5 11 5 11 11,12 1 7,14,30
Page #
2. Organizational Prole
3. Report Parameters
Report Prole 3.1 3.2 3.3 3.4 Reporting period (e.g., fiscal/calendar year) for information provided Date of most recent previous report (if any) Reporting cycle (annual/biennial, etc.) Contact point for questions regarding the report or its contents 1 N/A 1 1 responsibility@clorox.com 1,7,8,15 1 1
Report Scope and Boundary 3.5 3.6 3.7 3.8 3.9 3.10 3.11 3.12 3.13 Process for defining report content Boundary of the report Specific limitations on the scope or boundary of the report
Basis for reporting on joint ventures, subsidiaries, leased facilities, outsourced operations, and other entities 1 that can significantly affect comparability from period to period and/or between organizations Data measurement techniques and assumptions Explanation of the effect of any re-statements of information provided in earlier reports Significant changes from previous reporting periods Table identifying the location of the Standard Disclosures in the report Policy and current practice with regard to seeking external assurance for the report 1 N/A N/A 54-58 1
GRI Content Index Assurance
4. Governance, Commitments, and Engagement

Governance 4.1 4.2 4.3 4.4 4.5 4.6 Governance structure Indicate whether Chair of the highest governance body is also an executive officer Number of members of the highest governance body that are independent and/or non-executive members Mechanisms for shareholders and employees to provide recommendations or direction to the board Linkage between compensation for members of the board, senior managers, and executives and the organizations performance Processes in place for the highest governance body to ensure conflicts of interest are avoided 16 4,16 16 17 16 17
GRI Content Index

Strategy and Prole Disclosures (continued)
4.7 4.8 4.9 4.10 4.11 4.12 4.13 4.14 4.15 4.16 4.17 Process for determining the qualifications and expertise of the members of the highest governance body for guiding the organizations strategy on economic, environmental, and social topics 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 Procedures of the highest governance body for overseeing the organizations identification and management of economic, environmental, and social performance Processes for evaluating the highest governance bodys own performance Explanations of whether and how the precautionary approach or principle is addressed by the organization
Page #
16 17 16 16 N/A
Commitments to External Initiatives Externally developed economic, environmental, and social charts, principles, or other initiatives to which the 1,15 organization subscribes or endorses Memberships in associations List of stakeholder groups engaged by the organization Basis for identification and selection of stakeholders with whom to engage Approaches to stakeholder engagement Key topics and concerns that have been raised through stakeholder engagement 15 15 15 15 7,8,15
Stakeholder Engagement
Economic Disclosures
Aspect: Economic Performance EC1 EC2 EC3 EC4 EC5 EC6 EC7 EC8 EC9 Direct economic value generated and distributed Financial implications and other risks and opportunities for the organizations activities due to climate change Coverage of the organizations defined benefit plan obligations Significant financial assistance received from government Range of ratios of standard entry level wage compared to local minimum wage Policy, practices, and proportion of spending on locally based suppliers Procedures for local hiring and proportion of senior management hired from the local community Development and impact of infrastructure investments and services provided primarily for public benefit through commercial, in-kind, or pro bono engagement Understanding and describing significant indirect economic impacts, including the extent of impacts 11,12 N/R 36 N/A N/R N/R N/R 50-53 N/R
Aspect: Market Presence
Aspect: Indirect Economic Impacts
Environmental Disclosures
Aspect: Materials Management Disclosures EN1 EN2 EN3 EN4 EN5 EN6 Materials used by weight or volume Percentage of materials used that are recycled input materials Direct energy consumption by primary energy source Indirect energy consumption by primary source Energy saved due to conservation and efficiency improvements Initiatives to provide energy-efficient or renewable energy based products and services, and reductions in energy requirements as a result of these initiatives 8,38-39 www.cloroxcsr.com/planet N/R N/R 43-45 N/R 43-45 44,47
Aspect: Energy
GRI Content Index

Environmental Disclosures (continued)
EN7 EN8 EN9 EN10 EN11 EN12 EN13 EN14 EN15 Initiatives to reduce indirect energy consumption and reductions achieved Total water withdrawal by source Water sources significantly affected by withdrawal of water Percentage and total volume of water recycled and reused Location and size of land owned, leased, managed in, or adjacent to, protected areas and areas of high biodiversity value outside protected areas Description of significant impacts of activities, products, and services on biodiversity in protected areas Habitats protected or restored Strategies, current actions, and future plans for managing impacts on biodiversity Number of IUCN Red List species and national conservation list species with habitats in areas affected by operations, by level of extinction risk Total direct and indirect greenhouse gas emissions by weight Other relevant indirect greenhouse gas emissions by weight Initiatives to reduce greenhouse gas emissions and reductions achieved Emissions of ozone-depleting substances by weight NOx, SOx, and other signicant air emissions by type and weight Total water discharge by quality and destination Total weight of waste by type and disposal method Total number and volume of significant spills Weight of transported, imported, exported, or treated waste deemed hazardous under the terms of the Basel Convention Annex I, II, III, and VII, and percentage of transported waste shipped internationally Aspect: Water 45 45 45 46 N/R 46 N/R N/R
Page #
N/R
Aspect: Biodiversity
Aspect: Emissions, Efuents, and Waste EN16 EN17 EN18 EN19 EN20 EN21 EN22 EN23 EN24 EN25 43-45 43-45 43-45 N/R N/R N/R 46 N/A N/R
Identity, size, protected status, and biodiversity value of water bodies and related habitats significantly affected N/R by the reporting organizations discharges of water and runoff Initiatives to mitigate environmental impacts of products and services, and extent of impact mitigation Percentage of products sold and their packaging materials that are reclaimed by category Monetary value of significant fines and total number of non-monetary sanctions for non-compliance with environmental laws and regulations Significant environmental impacts of transporting products and other goods and materials used for the organizations operations, and transporting members of the workforce Total environmental protection expenditures and investments by type 39-41 41 N/R
Aspect: Products and Services EN26 EN27 EN28
Aspect: Compliance
Aspect: Transport EN29 44
Aspect: Overall EN30 N/R
Social Disclosure: Labor Practices and Decent Work

Aspect: Employment Management Disclosures LA1 LA2 LA3 Total workforce by employment type, employment contract, and region Total number and rate of employee turnover by age group, gender, and region Benefits provided to full-time employees that are not provided to temporary or part-time employees, by major operations 8,31 www.cloroxcsr.com/people 31 31 34
GRI Content Index

Social Disclosure: Labor Practices and Decent Work (continued)
Aspect: Labor/Management Relations LA4 LA5 Percentage of employees covered Minimum of notice period(s) regarding significant operational changes, including whether it is specified in collective agreements 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 Rates of injury, occupational diseases, lost days, and absenteeism, and total number of work-related fatalities by region Education, training, counseling, prevention, and risk-control programs in place to assist workforce members, their families, or community members regarding serious disease Health and safety topics covered in formal agreements with trade unions Average hours of training per year per employee category Programs for skills management and lifelong learning that support the continued employability of employees and assist them in managing career endings Percentage of employees receiving regular performance and career development reviews Composition of governance bodies and breakdown of employees per category according to gender, age group, minority group membership, and other indicators of diversity Ratio of basic salary of men to women by employment category 31 N/R
Page #
Aspect: Occupational Health and Safety LA6 LA7 LA8 LA9 LA10 LA11 LA12 LA13 LA14 N/R 35 33,36 N/R 33 32-33 33 30-31 N/R
Aspect: Training and Education
Aspect: Diversity and Equal Opportunity
Social Disclosure: Human Rights

Aspect: Investment and Procurement Practices Management Disclosures 8,17 www.cloroxcsr.com/workplace-safety www.cloroxcsr.com/conduct Clorox suppliers: www.cloroxcsr.com/business-partners N/R 17 17
HR1 HR2 HR3
Percentage and total number of significant investment agreements that include human rights clauses or that have undergone human rights screening Percentage of significant suppliers and contractors that have undergone screening on human rights and actions taken 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 Total number of incidents of discrimination and actions taken Operations 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 Operations identified as having significant risk for incidents of forced or compulsory labor, and measures taken to contribute to the elimination of forced or compulsory labor. Clorox prohibits the use of child labor in its own operations and that of suppliers. Operations identified as having significant risk for incidents of forced or compulsory labor, and measures taken to contribute to the elimination of forced or compulsory labor. Clorox prohibits the use of forced compulsory labor in its own operations and that of suppliers.
Aspect: Non-Discrimination HR4 HR5 N/R 31 Aspect: Freedom of Association and Collective Bargaining
Aspect: Child Labor HR6 17
Aspect: Forced and Compulsory Labor HR7 17
GRI Content Index

Social Disclosure: Human Rights (continued)
Aspect: Security Practices HR8 Percentage of security personnel trained in the organizations policies or procedures concerning aspects of human rights that are relevant to operations Total number of incidents of violations involving rights of indigenous people and actions taken N/R
Page #
Aspect: Indigenous Rights HR9 N/R
Social Disclosure: Society

Aspect: Community Management Disclosures SO1 Nature, scope, and effectiveness of any programs and practices that assess and manage the impacts of operations on communities, including entering, operating, and exiting Percentage and total number of business units analyzed for risks related to corruption Percentage of employees trained in organizations anti-corruption policies and procedures Actions taken in response to incidents of corruption Public policy positions and participation in public policy development and lobbying Total value of financial and in-kind contributions to political parties, politicians, and related institutions by country 10,50-52 www.cloroxcsr.com/purpose N/R
Aspect: Corruption SO2 SO3 SO4 SO5 SO6 SO7 SO8 N/R 17 17 15 N/R
Aspect: Public Policy
Aspect: Anti-Competitive Behavior Total number of legal actions for anti-competitive behavior, anti-trust, and monopoly practices and their outcomes N/R Monetary value of significant fines and total number of non-monetary sanctions for non-compliance with laws and regulations N/R Aspect: Compliance
Social Disclosure: Product Responsibility

Aspect: Customer Health and Safety Management Disclosures PR1 PR2 Lifecycle 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 Total number of incidents of non-compliance with regulations and voluntary codes concerning health and safety impacts of products and services during their lifecycle, by type of outcome Type of product and service information required by procedures, and percentage of significant products and services subject to such information requirements Total number of incidents of non-compliance with regulations and voluntary codes concerning product and service information and labeling, by type of outcomes Practices related to customer satisfaction, including results of surveys measuring customer satisfaction Programs for adherence to laws, standards, and voluntary codes related to marketing communications, including advertising, promotion, and sponsorship Total number of incidents of non-compliance with regulations and voluntary codes concerning marketing communications, including advertising, promotion, and sponsorship by type of outcome Total number of substantiated complaints regarding breaches of customer privacy and losses of customer data Monetary value of significant fines for non-compliance with laws and regulations concerning the provision and use of products and services 10,24-25 www.cloroxcsr.com/products-safety 24-25 www.cloroxcsr.com/products-safety N/R
Aspect: Product and Service Labeling PR3 PR4 PR5 PR6 PR7 PR8 PR9 25 N/R 19-20 20 N/R N/R N/R
Aspect: Marketing Communications
1221 Broadway Oakland, CA 94612 510-271-7000 www.CloroxCSR.com
ListenWell
Please share your feedback on our report. We want to hear what you liked, what you didnt like, what might have surprised you about us and what you would like addressed in future reports. Please take a brief survey at http://www.surveymonkey.com/s/CloroxCR. To express our appreciation for your time and feedback, we will donate $5 to the American Red Cross International Response Fund for every survey completed by Dec. 31, 2010, up to $10,000.

Clorox Corporate Responsibility 2010

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Clorox Corporate Responsibility 2010

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2010 Corporate Responsibility Report

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The Clorox Company | 2010 CRR 1

2 The Clorox Company | 2010 CRR

Donald R. Knauss, Chairman and Chief Executive Ofcer

Safeguarding Family Well-Being, Every Day

Our Focus on Family Well-being

Safeguarding Family Well-Being, Every Day

The Five Pillars of Cloroxs Corporate Responsibility

4 The Clorox Company | 2010 CRR

Making Everyday Life Better, Every Day for Nearly a Century

Clorox Today: Global Reach

The Clorox Company | 2010 CRR 5

6 The Clorox Company | 2010 CRR

Integrating Corporate Responsibility Into Our Business

Assessment and Research Helps Identify Key Priorities

The Clorox Company | 2010 CRR 7

8 The Clorox Company | 2010 CRR

Integrating Corporate Responsibility Into Our Business

Corporate Responsibility Goals

Recent Performance Highlights

Products Deliver responsible products made responsibly

Planet Shrink our environmental footprint while we grow our business

Purpose Safeguard family well-being, every day

Different Perspectives Inspire Progress Toward a Common Goal

The Clorox Company | 2010 CRR 9

10 The Clorox Company | 2010 CRR

Different Perspectives Inspire Progress Toward a Common Goal

How are you addressing consumer interest in sustainable products?

What is your biggest challenge for corporate responsibility in the future?

Natural Personal Care Water Filtration

Auto Away From Home

Dressings & Sauces

Bags & Wraps

Employees 8,300 Manufacturing Plants Markets Served 41 100+

The Clorox Company | 2010 CRR 11

12 The Clorox Company | 2010 CRR

The Clorox Company: At-A-Glance

Clorox: 10% Peers: 4%

S&P 500: -27%

Net Cash Provided by Operations

2007 2008 2009 2010

2007 2008 2009 2010

2007 2008 2009 2010

Diluted Net Earnings Per Share

2007 2008 2009 2010

2007 2008 2009 2010

2007 2008 2009 2010

Centennial Strategy Guides Clorox Toward True North

Be a high-performance organization of enthusiastic owners

Win with superior capabilities in Desire, Decide and Delight (3Ds)

14 The Clorox Company | 2010 CRR

Four Key Strategies

Accelerate growth both in and beyond the core

Relentlessly drive out waste

Understanding, Sharing and Taking Action From Stakeholder Engagement

We engage with our stakeholders in many different ways. For example:

The Clorox Company | 2010 CRR 15

16 The Clorox Company | 2010 CRR

Governance and Ethics

Committees of the Board of Directors