STATEMENT: Green Century Climate Proposal Earns 22% of Votes at Timken

Media Contacts:

Andrea Ranger,, 781-349-2813

Pam Podger,, 802-299-9495

Boston, May 3, 2024 – Twenty-two percent of shares were cast in favor of Green Century’s° proposal asking The Timken Company* (Timken) to establish emissions reduction targets that align with the Paris Agreement goal of limiting global temperature rise to 1.5°C.

Timken set a 2022 goal to reduce its climate emissions by 50% by 2030, but its target does not include indirect sources of emissions that typically comprise about 70 percent of many companies’ climate emissions.

Further, Timken plans to cut carbon emissions per unit of revenue, which would allow it to generate more emissions if it earns more revenue. Because of that, its overall emissions reduction may be as little as 7% by 2030 or, worse, even increase.

“We’re looking for Timken to move from a laggard to a leadership position on climate and the clean energy transition,” said Green Century Funds President Leslie Samuelrich. “We appreciate the investors who stood with us in asking the company to accelerate and expand its efforts to cut its carbon footprint ,and we invite more to keep the pressure on Timken.”

Timken Flirting with Climate and Reputational Risk

Timken, headquartered in Cleveland, manufactures tapered bearings made out of steel. Its products are used by many industries including food and beverage, marine vessels, mining, agriculture, construction, commercial vehicles, and renewable energy systems. As of 2023, the company employed more than 19,000 people in 45 countries.

Timken has been recognized as one of America’s Most Responsible Companies by Newsweek, the World’s Most Ethical Companies® by Ethisphere, America’s Most Innovative Companies by Fortune and America’s Best Large Employers by Forbes.

Despite receiving multiple accolades, Timken is not fully addressing how its business contributes to climate change, which may hurt future profitability and make the company less attractive to investors. Companies with global operations and supply chains, like Timken, are vulnerable to a variety of climate impacts ranging from droughts and floods to hurricanes. Therefore, we believe concerted efforts to achieve economy-wide emissions reductions are paramount.

Timken is a supplier to the wind and solar industry, which comprised over 9% of its sales in 2023. Many companies across industry sectors are scrutinizing the sustainability of their supply chains, and renewable energy developers are sensitive about sourcing from suppliers that aren’t reducing their carbon footprints. If Timken does not take steps to reduce its climate emissions, it may incur reputational damage as its clients and investors may call out its refusal to adopt meaningful emissions reduction targets.

“Nearly 8,000 companies have now set or committed to set emissions reduction targets through the Science Based Targets initiative, which supports the goals of the Paris agreement,” commented Andrea Ranger, shareholder advocate at Green Century. “By holding back, Timken is creating risk for investors, especially when bold climate action is required.”

A sustainable 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.

About Green Century

°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 03.31.2024, The Timken Company comprised 0.00%, 0.02%, and 0.00% of the 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.

The percentage in favor was calculated by (i) dividing the number of votes in support of the proposal by (ii) the sum of the number of votes voted in support of and against the proposal. Abstentions and broker non-votes were not included in the calculation.

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, email, or call 1-800-934-7336. Please read the Prospectus carefully before investing.

Stocks will fluctuate in response to factors that may affect a single company, industry, sector, country, region or the market as a whole and may perform worse than the market. Foreign securities are subject to additional risks such as currency fluctuations, regional economic and political conditions, differences in accounting methods, and other unique risks compared to investing in securities of U.S. issuers. Bonds are subject to a variety of risks including interest rate, credit, and inflation risk.

This information has been prepared from sources believed reliable. The views expressed are as the date of this writing and are those of the Advisor to the Funds.

The Green Century Funds are distributed by UMB Distribution Services, LLC, 235 W Galena Street, Milwaukee, WI 53212. UMB Distribution Services, LLC is not an affiliate of Green Century or any of its affiliates. May 2024.