Better Health for All

The company's core products (timber, wood products, real estate) are considered health-neutral, and there is no evidence of revenue from products with negative health outcomes. The company does not offer health-related products or services to the public, making several KPIs not applicable. However, PotlatchDeltic was fined $225,000 by the EPA in May 2024 for Clean Water Act violations, including numerous stormwater violations from lumber facilities, with runoff containing zinc and other pollutants that can harm rivers and coastal waters.

The company agreed to extensive remedies, including facility improvements, a new filtration system, a 100-year conservation easement protecting 61.25 acres, and replacing four road culverts to improve fish passage.

Fair Money & Economic Opportunity

PotlatchDeltic Corporation operates as a Real Estate Investment Trust (REIT) focused on timberlands, wood products manufacturing, and rural real estate sales.

The company's core business activities do not involve offering lending or deposit services, consumer credit products, or other financial services to external customers. Consequently, all KPIs related to financial products, customer financial data, lending practices, and financial literacy initiatives for consumers are not applicable to its business model. While the company engages in charitable giving, provides retirement savings opportunities for employees, and has internal diversity and inclusion initiatives, these do not align with the rubric's specific definitions for community finance reinvestment, wealth-building outcomes for external underserved populations, or financial inclusion programs for customers.

Fair Pay & Worker Respect

PotlatchDeltic Corporation's CEO to median employee pay ratio was 78:1 in 2024.

In 2022, the company reported less than a 2% variance in median pay between men and women by pay grade. For health insurance, the company provides health care and other medical insurance programs that are the same for all salaried employees, including officers. Regarding labor violations, public records show one workplace safety or health violation in 2013 and another in 2003, but no significant infractions in the past two years.

Fair Trade & Ethical Sourcing

PotlatchDeltic reports that 100% of fiber consumption at its wood products facilities is certified for responsible sourcing, with 100% being SFI® Fiber Sourcing certified and 38% FSC® Controlled Wood certified.

Annual surveillance audits are conducted for SFI and FSC certifications, with full re-certifications every five years. The company also conducts annual internal audits at each forest district. PotlatchDeltic prohibits child and forced labor, and its Human Rights Policy states no incidents are mentioned, and proactive risk assessments are ongoing. Traceability systems are in place at all wood products facilities to track log purchases. The company's Human Rights Policy and Supplier Code of Conduct require suppliers to observe human rights, and 80% of wood products contractors have a code of conduct, while 78% have an anti-discrimination policy. The company made nearly $600,000 in charitable contributions to supported communities, but no percentage of procurement budget directed to diverse suppliers is provided.

Honest & Fair Business

PotlatchDeltic Corporation has a formal whistleblower policy with multiple hotlines, including a third-party option, for confidential and anonymous reporting by employees on concerns such as accounting, auditing, ethics, environmental, health & safety, and securities law compliance.

Safeguards against retaliation are outlined, and the policy extends to contractors and suppliers for environmental concerns. However, anonymity is not offered to third parties, and there is no evidence of independent investigation processes or metrics on policy effectiveness. The company states it seeks to ensure a majority of board members are independent and outlines criteria for director independence, but does not provide a specific percentage of conflict-free directors. A Corporate Conduct and Ethics Code is in place, requiring ethical conduct and compliance with laws, including the FCPA, and prohibits bribes and improper payments to officials, customers, or suppliers. However, there is no information on training frequency or effectiveness metrics for this policy. The company reports using GRI, SASB, and TCFD frameworks and references third-party ratings services, but there is no evidence of independent verification of ethical claims or compliance beyond these reporting frameworks.

Kind to Animals

PotlatchDeltic has demonstrated a measurable positive impact on wildlife conservation. The population of federally listed endangered red-cockaded woodpeckers on its Moro Big Pine Wildlife Management Area grew from 24 adults in 2003 to 80 adults in 2022.

The company manages 30,379 hectares (75,067 acres) of timberland with protected conservation status, including 6,459 hectares under a habitat conservation plan for the red-cockaded woodpecker. Additionally, 8,311 miles of streams are protected, and approximately 65% of rural land sales acreage since 2018 have been for conservation outcomes. In public policy engagement, the company actively engages in political processes and legislative advocacy, contributing $59,000 in direct federal contributions in 2022 and $5,400 to state industry association PACs. It participates in over 30 research organizations and coalitions and advocates for laws and regulations that protect fish and wildlife.

No War, No Weapons

The company's core business is timberlands, wood products, and real estate, with no evidence of defense-related activities.

The board oversees ESG and climate change risks and opportunities through committees, but there is no specific evidence of oversight over defense-related business activities, as none are reported in the provided articles.

Planet-Friendly Business

In 2023, the company's total Scope 1, 2, and 3 GHG emissions were approximately 3.2 million metric tons CO2e.

The company has set 2030 targets for a 42% reduction in Scope 1 and 2 emissions and a 25% reduction in Scope 3 emissions from a 2021 baseline, which it considers science-based and aligned with a 1.5°C pathway, but has not committed to seek validation by the Science Based Targets initiative within the next two years. A net-zero GHG emissions target is set for 2050. The company uses 48% renewable energy at its facilities. It diverts 99% of wood residuals and waste from disposal. In 2023, there was one Notice of Violation for air emission testing issues. In 2017, the company was penalized $225,000 for Clean Water Act violations. The company's timberlands are 100% certified to SFI Forest Management standards, and 70% are also FSC Forest Management certified. All wood products facilities are SFI Fiber Sourcing certified, and 100% of fiber consumption at Gwinn, Warren, and Waldo facilities is FSC Chain of Custody certified. Since 2018, approximately 65% of rural land sales acreage has been for conservation outcomes. The company has fully adopted TCFD recommendations and conducts comprehensive climate-related scenario analysis, including 1.5°C, 2°C, and 3°C+ pathways. The company collects target information from 50% of its suppliers by number, but no suppliers have SBTi-aligned targets.

Safe & Smart Tech

The company conducts annual cybersecurity awareness and incident training for relevant employees, including phishing simulations.

It performs vulnerability assessments, penetration testing, and network and endpoint monitoring. Laptops containing confidential information are required to have encrypted hard drives. The company monitors emerging data protection laws and implements changes as needed, and its policies require employees and third parties to treat customer information with care.

Zero Waste & Sustainable Products

The company has recycling and waste reduction programs at each facility, including partnerships for recycling various materials like cardboard, paper, plastic bottles, aluminum cans, and E-waste.

Hazardous waste management includes converting aerosol cans to a handheld compressor air sprayer and a policy to degrease material exclusively prior to combusting for energy recovery. Internal environmental compliance audits are conducted every two to three years at each mill. In 2022, one minor non-compliance was noted in internal audits. PotlatchDeltic has a goal to achieve reusing, recycling, or repurposing 99% of waste from operations by 2050. The Supplier Code of Conduct requires compliance with applicable environmental laws and operating permits.