Boston, June 19, 2025 – Amcor*, one of the largest plastic packaging companies in the world, has agreed to assess whether its recycled content claims create financial risks for the company, and if so, to take corrective action. The move came in response to a shareholder proposal from Green Century°, which withdrew the proposal in exchange for Amcor’s commitment.
“We applaud Amcor for taking steps to ensure its recycled content claims aren’t misleading,” Leslie Samuelrich, President of Green Century Funds. “Investors need comprehensive and transparent disclosure of business risks in order to protect their investments.”
Recycled content is good – but ‘mass balance accounting’ obscures the facts
The use of recycled content in packaging is a key way to prevent new plastic from entering the environment. However, some companies, including Amcor, use a method called “mass balance accounting” to calculate recycled content. This alternative method can be used by companies to claim that a majority of a piece of packaging is made from recycled content in cases when traditional accounting methods would put that number at less than 10%. Consequently, mass balance accounting is potentially misleading to consumers, which can create compliance risks for companies since misleading environmental claims are illegal in the European Union, the United Kingdom, Canada and five U.S. states.
Effective solutions for plastics
Companies use mass balance recycled content claims, in part, because consumers increasingly are concerned about plastic. Plastic pollution has been doubling every six years in our world’s oceans, where it kills thousands of marine animals every year. Scientists have also linked plastic to human health problems.
Amcor has taken some action to reduce risks from its large plastic footprint. It offers paper-based alternatives to plastic in its Amfiber product line and discloses how much plastic it uses. Unlike many peers, Amcor also participates in the Business Coalition for a Global Plastics Treaty, an industry group that publicly supports the development of an ambitious, legally binding plastics treaty.
“We encourage Amcor to expand on effective solutions that meaningfully address risks associated with its plastic footprint,” said Frances Fairhead-Stanova, shareholder advocate with Green Century. “It’s good for business and good for the planet.”
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About Green Century Funds
°Green Century Capital Management, Inc. (Green Century) is the investment advisor to the Green Century Funds (The Funds). The Green Century Funds are one of the first families of fossil fuel-free, environmentally responsible mutual funds. Green Century hosts an award-winning and in-house shareholder advocacy program and is the only mutual fund company in the U.S. wholly owned by environmental and public health nonprofit organizations.
*As of 3.31.25, Amcor comprised 0.00%, 0.06%, and 0.00% of Green Century Balanced Fund, the Green Century Equity Fund, and the Green Century International Index Fund respectively. As of the same date, other securities mentioned were not held in the portfolios of any of the Green Century Funds. References to specific securities, which will change due to ongoing management of the Funds, should not be construed as a recommendation by the Funds, their administrator, or their distributor.
You should carefully consider the Fund’s investment objectives, risks, charges, and expenses before investing. To obtain a Prospectus that contains this and other information about the Funds please visit www.greencentury.com, email info@greencentury.com, or call 1-800-934-7336. Please read the Prospectus carefully before investing.
An investment strategy that incorporates environmental, social and governance criteria may result in lower or higher returns than an investment strategy that does not include such criteria.
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