Freightways Climate Statement

FINANCIAL YEAR ENDED 30 JUNE 2026
Climate Statement

This Climate Statement is structured around the
four mandatory sections of the Aotearoa New
Zealand Climate Standard 1 – Climate-related
Disclosures (NZCS 1), which are generally
based on the recommendations of the Task
Force on Climate-Related Financial Disclosures
(TCFD) that Freightways has reported against
in previous years. The order of the disclosures
in some sections differs from the order in
NZCS 1 for the purpose of readability.
Contents
About this Climate Statement ......................1
Governance ...................................................7
Strategy .......................................................11
Risk Management .......................................28
Metrics and Targets ....................................30
Assurance Report .......................................42
Appendices .................................................44

About this Climate Statement
Reporting entity
This Climate Statement is for the
parent company Freightways Group
Limited (the Parent) and its subsidiaries
(together referred to as Freightways
or the Group). The Parent is a Climate
Reporting Entity (CRE) under the
Financial Markets Conduct Act 2013.
This Climate Statement has been
prepared for the year ended 30
June 2026 (Reporting Period). The
scope of the reporting entity aligns
with that used for the Group’s 2026
Consolidated Financial Statements.
Compliance statement
and use of adoption
provisions
This is the Parent's third reporting
period under the Aotearoa New
Zealand Climate Standards (NZCS).
In preparing this Climate Statement,
Freightways has elected to use the
following adoption provisions:
ADOPTION PROVISION 2:
Anticipated financial impacts
This adoption provision exempts
Freightways from disclosing anticipated
financial impacts of climate-related risks
and opportunities reasonably expected
by Freightways. This provision also
exempts Freightways from disclosing
a description of the time horizons
over which the anticipated financial
impacts of climate-related risks and
opportunities could potentially occur.
For and on behalf of the Board of Directors.
Abigail Foote
David Gibson
ADOPTION PROVISION 5:
Comparatives for Scope 3
greenhouse gas emissions
This adoption provision permits
Freightways to only disclose one
year of comparative information for
disclosed Scope 3 greenhouse gas
emissions and exempts Freightways
from disclosing comparative Scope 3
greenhouse gas emissions information
for the Scope 3 categories not disclosed
in the second reporting period.
ADOPTION PROVISION 7:
Analysis of trends
This adoption provision exempts
Freightways from disclosing trends
relating to Scope 3 greenhouse gas
emissions categories not disclosed
in the second reporting period.
With those adoption provisions applied,
this Climate Statement complies with
the NZCS. This Climate Statement was
approved by the Board of Directors
of Freightways on 17 August 2026.
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01Freightways Climate Statement 2026

Important information for readers
Climate-related risk management
remains an emerging area, and often
uses data and methodologies that are
developing and uncertain. Freightways
started its public TCFD reporting a few
years ago. With the introduction of
mandatory reporting and Freightways
becoming a CRE, considerable effort
has been made to uplift the assessment
of climate risk. As a lean organisation,
this has involved engaging expert
external consultants to support with
analysis and processes. As part of that
engagement, Freightways has received
advice from external consultants
and used third-party sources of
information to inform internal
processes and contribute to parts of
the content of this Climate Statement.
This Climate Statement contains
forward-looking statements,
including climate-related metrics,
climate scenarios, estimated climate
projections, assumptions, forecasts
and statements of Freightways’ future
intentions and anticipated climate-
related impacts. These statements
necessarily involve assumptions,
forecasts and projections about
Freightways’ present and future
strategies and the environment in which
Freightways will operate in the future,
which are inherently uncertain and
subject to limitations, particularly to
inputs, available data and information
which is likely to change and is
inherently more uncertain than other
statements Freightways may make in its
annual reporting. Readers should make
their own assessments and not place
undue reliance on representations that
are necessarily subject to significant
risks, uncertainties or assumptions.
Descriptions of the qualitative impacts
of climate change draw on and / or
represent estimated impacts. In
particular, the risks and opportunities
described in this Climate Statement
may not eventuate or may be more or
less significant than anticipated and
comments about potential reactions
to those risks and opportunities
should be read in that light.
There are many factors that could cause
Freightways’ actual results and outlook
for the future to differ materially from
that described, including climatic,
government, consumer, technology and
market factors outside of Freightways’
control. Freightways also expects that
some forward-looking statements made
in this document may be amended,
updated, recalculated, and restated
in future documents as the quality
and completeness of its data and
methodologies continue to evolve and
improve. Freightways does not intend
to revise or update those statements
and opinions in this Climate Statement
after publishing this Climate Statement.
This disclaimer notice should be
read together with the limitations
identified elsewhere in this report
and, in particular, the limitations and
assumptions applied to methodologies
used by Freightways in the preparation
of quantitative information included
in this Climate Statement.
This Climate Statement is not an offer
document and nothing in this Climate
Statement should be interpreted as
capital growth, earnings or any other
legal, financial, tax or other advice or
guidance. To the extent permitted by
law, Freightways does not accept any
liability for any loss arising directly or
indirectly from any use of, or reliance
upon, the information contained in
this Climate Statement. Nothing in
this disclaimer limits Freightways’
obligations under applicable law. For
detailed information on Freightways’
financial performance, please refer
to the 2026 Annual Report.

Materiality
Freightways has followed the guidance
set out in Aotearoa New Zealand Climate
Standard 3 – General Requirements
for Climate-related Disclosures (NZCS
3) in relation to the application of
materiality. Information is considered
material where omitting, misstating
or obscuring it could reasonably be
expected to influence decisions that
primary users make on the basis of an
entity’s climate-related disclosures.
The primary users of this report are
expected to be existing and potential
investors, lenders, and other creditors.
Defined terms
Capitalised terms used but not otherwise
defined in this Climate Statement
have the meaning given to them in
NZCS. To help with terminology used
throughout this Climate Statement,
a glossary of key terms is included
as Appendix 1 on page 44.
Unless otherwise stated, all financial
values are presented in New Zealand
dollars (NZD) and all references to years
are to Freightways’ financial years.
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02Freightways Climate Statement 2026

2026 overview
Scope 3
greenhouse gas emissions
180,495 tCO₂e
▲

27.2% from 2025
1, 2
Scope 1
greenhouse gas emissions
37,531 tCO₂e
▲

5.4% from 2025
1

Scope 2
greenhouse gas emissions
5,414 tCO₂e
▼

9.1% from 2025
1

(location-based)
1
Comparatives are calculated using restated 2025 figures. Refer to the Restatements and Recalculations section on page 33.
2
In 2025 Freightways used adoption relief under NZCS 2 for Scope 3 categories 9, 10, 11 and 12. These categories were measured for the first time in 2026. This also includes Scope 3 emissions from VT Freight Express Pty Limited (VTFE) for the entire
Reporting Period. Refer to the Restatements and Recalculations section on page 33.
3
Freightways has reset its greenhouse gas emissions base year to 2026. The reported emissions intensity metric includes VTFE’s greenhouse gas emissions for the entire Reporting Period, including the period before Freightways acquired VTFE on
30 January 2026. However, consistent with the financial statements, the revenue used in the metric includes VTFE’s revenue only from the acquisition date. Consequently, the numerator and denominator cover different periods. If VTFE’s emissions
were included only from the acquisition date, the emissions intensity would be 29.2 tCO₂e per million dollars of revenue. Refer to the Emissions Intensity section on page 37.
4
As Freightways has reset its baseline to 2026, greenhouse gas emissions from VTFE’s operations have been reported for the entire Reporting Period, rather than from the acquisition date. Refer to the Restatements and Recalculations section on page 33.
Total reported
greenhouse gas emissions
4

223,440 tCO₂e
Emissions intensity
29.3 tCO₂e
▼

9.0% from 2025
1

per million dollars of revenue
3

(Scope 1 and Scope 2)
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03Freightways Climate Statement 2026

EXPRESS PACKAGE
AND BUSINESS MAIL
TEMPERATURE
CONTROLLED
INFORMATION
MANAGEMENT
WASTE RENEWAL
NZAUSNZAUSNZAUSNZAUS
1
Parcelair
save
BOARD
save
BOARD
KEY BRANDS OPERATED BY CONTROLLED BUSINESSES
BRANDS
OPERATED
BY EQUITY
SHARE
ENTITIES
FIGURE 1: FREIGHTWAYS' BRANDS
Figure 1 is illustrative in nature and is provided to support understanding of the key brands operated across the Group. It does not present a complete or exact representation of
all brands used across the Group.
1
Freightways Information Services is an internal shared services provider of information technology and advisory services to the Freightways Controlled Businesses.
Freightways’ family
of brands
Freightways Group Limited and its
subsidiaries across New Zealand and
Australia offer services in express package
and business mail, waste renewal,
information management, and temperature-
controlled services.
The members of the Group that are
subsidiaries, are referred to as the
‘Controlled Businesses’ and this term is
used throughout this Climate Statement.
Through the Controlled Businesses,
Freightways has an equity share in Upcycled
Building Materials Limited (38.51 percent),
Sweetspot Group Limited (33.3 percent) and
Parcelair Limited (50 percent). Freightways
does not have operational control of these
entities, so they are referred to as ‘Equity
Share Entities’ in this Climate Statement.
Freightways has grown organically and
through acquisitions and now, through
one or more of its Controlled Businesses,
operates in every major town in New
Zealand and every state in Australia. On
30 January 2026, Freightways acquired
the business and assets of VT Freight
Express Pty Ltd (VTFE). VTFE is a Victoria-
based business that provides express
delivery of parcels and palletised freight.
Freightways operates trusted brands
in the communities it serves – the key
brands are displayed in Figure 1. These
brands (except those identified as brands
operated by Equity Share Entities) are the
key brands operated by the Controlled
Businesses during the Reporting Period.
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04Freightways Climate Statement 2026

Scope 1Scope 2Scope 3 (relevant category)
This image is illustrative in nature and is provided to support understanding of the Group’s activities and related emissions. It does not present a complete or exact representation of all activities, businesses, brands, emissions sources, or
impacts. Please refer to pages 30 – 36 for information on reported and assured greenhouse gas emissions.
Across the Group, vehicle use makes up a large proportion of emissions. Where Controlled Businesses own or control vehicles, direct emissions from fuel combustion are reported
in Scope 1. Upstream emissions associated with the fuel are reported in Scope 3, category 3. Where pick-up and delivery services are provided by independent contractor drivers,
emissions from contractor fuel use are reported as Scope 3, category 4. The corporate function has not been included in this visual. Greenhouse gas emissions from fuel used in
company cars (Scope 1), purchased electricity (Scope 2), employee commuting, business travel, and maintenance services (Scope 3) are the main sources of corporate-related
greenhouse gas emissions.
Aircraft
Engineering
and Maintenance
PICK UP
FROM CUSTOMER
PROCESSING
EXPRESS PACKAGE &
BUSINESS MAIL
TEMPERATURE
CONTROLLED
DELIVER
TO CUSTOMER
Depots
Sorting Freight
Motorbikes
C3
C2
Courier Vans
C4
Linehaul Trucks
C4
Trucks
C4
Courier Vans
C4
Trucks
C4
Linehaul Trucks
Sold Jet Fuel
C4
C12
Airfreight
C4
Temperature
Controlled
Facilities
Forklifts
Third Party
Transport
C4
Third Party
Transport
C4
Third Party
Transport
C4
Third Party
Transport
C4
Trucks
(transport fuel
and refrigerants)
Trucks
(transport fuel
and refrigerants)
Linehaul Trucks
(transport fuel
and refrigerants)
Vehicles
ForkliftsRefrigerants
Vans
Linehaul Trucks
(transport fuel
and refrigerants)
Purchased Goods
and Services
C1
C2
Mail Sorting
and Data Printing
C3
C3
C3C3C3
C3C3
Packaging
Materials
C1
Aviation Parts
C1
C11
End-of-Life
Treatment of
Packaging
Airfreight
C4
Group activities and emissions impact at a glance
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05Freightways Climate Statement 2026

This image is illustrative in nature and is provided to support understanding of the Group’s activities and related emissions. It does not present a complete or exact representation of all activities, businesses, brands, emissions sources, or
impacts. Please refer to pages 30 – 36 for information on reported and assured greenhouse gas emissions.
*DOWNSTREAM GREENHOUSE GAS EMISSIONS – SOLD RECYCLED MATERIALS
Trucks
C3
PROCESSING
INFORMATION
MANAGEMENT
WASTE
RENEWAL
DELIVER
TO CUSTOMER
Trucks
Courier VansCourier Vans
ElectricityData centres
Electricity
Forklifts
See Downstream
PICK UP
FROM CUSTOMER
Forklifts
Stationary Fuel
Warehouse
Racking
C2
Document
Boxes
C1
Compactor
Trucks
Trucks
MEDICAL
WASTE
Electricity
Compactor
Trucks
C3
C3
C3
C3C3
C3C3
C3
C3
Equipment
C2
Waste sent for
Further Processing
C5
GLOBAL
MARKET
Downstream transportation
of sold materials
(port-to-port method)
C9
Compactor
Trucks
C3
Waste sent for
Further Processing
C5
C4C9
Category 10 is
only measured
where the
processor is
known
C10
End-of-life
treatment of sold
recycled materials
is excluded from
Category 12
Last mile delivery
is excluded from
Category 9
Group activities and emissions impact at a glance (continued)
Scope 1Scope 2Scope 3 (relevant category)
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06Freightways Climate Statement 2026

Oversight by the Board
of Directors
GOVERNANCE BODY
Freightways’ Board of Directors (the
Board) is responsible for the long-term
stewardship and resilience of the Group.
This covers setting and approving the
Group’s strategic direction, including
climate-related matters, and oversight of
climate-related risks and opportunities.
In July 2025, the Board Charter
was updated to reflect the Board’s
climate-related responsibilities,
alongside corresponding updates to
the Audit & Risk Committee (ARC)
Charter. These updates clarified
the allocation of responsibility and
oversight for climate-related matters
between the Board and the ARC.
The ARC is the subcommittee of the
Board responsible for overseeing and
making recommendations to the Board
on financial reporting, compliance, risk
management practices, and climate-
related reporting. In this role, the
ARC oversees the Group’s key risks,
including climate-related risks.
The People & Safety Committee
(PSC) is the subcommittee of the
Board responsible for overseeing
and making recommendations to the
Board on resourcing, diversity and
inclusion, remuneration (including
short-term incentives), and health
and safety matters. In this role,
the PSC may consider climate-
related matters in remuneration.
GOVERNANCE PROCESS
AND FREQUENCY
Climate-related risks and opportunities
are a standing item on the Board
agenda. Through this standing agenda
item, the Board met or received written
updates on climate-related matters 13
times during the Reporting Period.
The Board also receives annual reporting
from Management on the Group’s top
risks, including climate-related risks;
and annually reviews and approves
the Group’s Climate Statement and
Greenhouse Gas Emissions Report.
In addition to the general regular
reporting, the Board considered
climate-related matters through specific
approvals and decision papers during
the Reporting Period. This included:
• Approval of updates to the
Delegation of Authority Policy in
July 2025, requiring information
on climate-related impacts and
exposures to be included in new
business cases provided to the
Board for review and approval.
• Approval of the strategic
focus areas for the Group’s
Transition Plan in July 2025.
• Approval of two operational metrics
to guide the pace of transition in parts
of the Transition Plan in June 2026.
• Various board papers submitted
for approval addressed climate-
related impacts and exposures
where relevant.
The ARC has responsibility for climate-
related reporting and business risks,
including climate-related risks. In the
Reporting Period, the ARC met 9 times
to review Management’s progress
on climate-related reporting and
identifying and addressing climate-
related risks and opportunities.
BOARD SKILLS AND COMPETENCIES
The Board ensures that appropriate
skills and competencies are available
to provide oversight of climate-related
risks and opportunities through
training, engaging with internal and
external specialists, and taking
part in relevant external forums.
All directors are “supporters” of Chapter
Zero New Zealand, the New Zealand
Chapter of the Climate Governance
Initiative. During the Reporting Period,
all of the directors participated in
two targeted climate-related training
sessions facilitated by external advisers
to support ongoing Board capability and
oversight of climate-related matters.
Governance
07Freightways Climate Statement 2026
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The Chair of the ARC, Abby Foote,
has specific external governance and
facilitation roles that expose her on
an ongoing basis to the latest climate-
related developments in New Zealand.
She is a member of the Chapter Zero
New Zealand Steering Group and has
completed and been a facilitator for
the New Zealand Institute of Directors
Climate Governance Essentials course
and the Climate Change section of
the Advanced Directors Course.
The Board’s experience and training
is supplemented by dedicated
external support when required.
Details of the Directors’ broader
skills and experience (including in
relation to climate-related matters)
can be found in the matrix on page
33 of the 2026 Annual Report.
INTEGRATION OF CLIMATE
IN COMPANY STRATEGY
Board and ARC charters allocate
oversight and responsibility for setting,
monitoring progress against, and
overseeing achievement of metrics and
targets for managing climate-related
risks and opportunities. The Board has
responsibility for approving climate-
related metrics and targets. The ARC
has responsibility for reviewing and
recommending metrics and targets
to the Board, and for monitoring
any metrics and targets set.
The strategic focus areas of the Group’s
Transition Plan were approved by the
Board in July 2025. The Transition
Plan outlines Freightways’ focus
areas to enhance its resilience to
the changing climate and respond
to the risks and opportunities
that climate change presents.
In June 2026 two operational metrics
relating to light commercial vehicles were
approved by the Board to guide the pace
of parts of the Transition Plan. Group-
wide emission reduction targets have
not yet been set. Additional operational
metrics relating to heavy vehicles and
aviation emissions, and Group-wide
emission reduction targets will continue
to be analysed in future reporting
periods. The Transition Plan is detailed in
the Strategy section, on pages 21 – 27.
The operational metrics are detailed
in the Targets section on page 41.
MANAGEMENT REMUNERATION
Freightways’ PSC provides advice
and assistance to the Board in its
responsibilities relating to people
and safety.
Climate-related matters were included
in the short-term incentive (STI)
scheme for certain members of senior
management in the Reporting Period.
Climate-related performance metrics
formed part of the Chief Executive
Officer’s (CEO) and Chief Financial
Officer’s (CFO) STI in the Reporting
Period, each having a weighting of
7.5 percent. In the Reporting Period,
these climate-related performance
metrics were achieved in full.
Other members of the Freightways’
Senior Leadership Team (SLT), including
the General Manager – Express Package,
the General Manager – Freightways, and
the General Manager – Safety, as well as
most general managers of the Controlled
Businesses (General Managers) and
the Head of Sustainability & Climate,
had climate-related performance
metrics incorporated as a component
of their 2026 STI arrangements. These
metrics also cascaded through to the
STI frameworks applicable to relevant
team members in some cases.
The role of Management
MANAGEMENT-LEVEL
RESPONSIBILITIES
Freightways’ CEO and CFO have
delegated authority from the Board
to oversee the assessment and
management of consolidated risks and
opportunities across the Group (including
climate-related risks and opportunities).
The CEO is responsible for the integration
of climate-related considerations in
the overall business strategy and its
implementation. In the Reporting Period,
the CEO had oversight of the integration
of the Transition Plan in Freightways’
strategy, the climate scenarios
developed, and the establishment of
operational metrics in the Transition Plan.
Amongst the SLT, the CFO has primary
accountability for the identification
and management of all enterprise risks
(including climate-related risks) and the
preparation of climate-related reporting.
The CEO and CFO work with the SLT
and the General Managers to maintain
and update the Group’s strategic risk
profile, incorporating inputs from each
of the Group’s Controlled Businesses.
This consolidated strategic risk profile
is reported to the ARC on an annual
basis. This process is described in the
Risk Management section on page 28.
General Managers and the financial
controllers (Financial Controllers) of
Controlled Businesses are involved in
identifying, assessing, and managing
climate-related risks and opportunities
through the risk management process
and through the climate scenario analysis
process. They are also responsible for
implementing operational-level strategies
relating to climate matters and were
involved in developing the Transition Plan.
At the Group level, day-to-day
responsibility for managing climate-
related strategy and reporting is held
by the Head of Sustainability and
Climate, who reports to the CFO.
The frequency with which Management
engage with the Board and ARC is
described in the Governance process
and frequency section on page 7.
08Freightways Climate Statement 2026
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ANNUALLYOn an annual basis, the Controlled Businesses set business plans for the next year to give effect to the Freightways’ strategy. Climate-related items
are included. Relevant members of the SLT, including the CEO and CFO have oversight of business plans.
MONTHLY On a monthly basis, the Controlled Businesses provide financial and operational commentary to the CEO, CFO and other relevant members of
the SLT. These reports include details on physical climate-related impacts experienced at an operational level by that Controlled Business in
the prior month, detail on any low emission vehicles entering or being trialled in the fleet, and other climate-related updates as relevant.
REGULARLYA climate working group (Climate Working Group) supports climate-related workstreams, including climate scenario analysis, climate risk and
opportunity assessments, and financial quantification of climate-related impacts. This group includes the CFO, the New Zealand Group Financial
Controller, the Australian Group Financial Controller, the Head of Sustainability and Climate, and the Sustainability and Climate Manager. In carrying
out its function, the Climate Working Group worked with KPMG, an external consultant with New Zealand and Australian-specific climate expertise.
From May 2026, a due diligence committee was established to oversee the preparation of mandatory climate-related reporting requirements. This
committee includes the CFO, General Counsel, Head of Sustainability and Climate, external legal advisors and other members, including the CEO as
required. This committee met in May, July and August 2026.
AD HOCBusiness case templates for investments or spend requiring CFO and / or CEO approval include details of potential climate-related impacts, lower
impact alternatives considered and any climate-related exposures of new business cases. This information assists the CFO and / or CEO to have
regard to climate-related matters when making approval decisions.
In the Reporting Period, General Managers, Financial Controllers and relevant members of the SLT received externally facilitated training on
Freightways’ climate scenarios and the risks identified through the climate scenario analysis process.
In the Reporting Period, Financial Controllers and relevant team members responsible for the preparation of greenhouse gas emissions data across
the Group, received externally facilitated training on greenhouse gas emissions accounting.
PROCESS AND FREQUENCY OF CLIMATE-RELATED UPDATES TO MANAGEMENT
Climate-related updates are communicated to SLT members and senior management in several ways:
09Freightways Climate Statement 2026
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FREIGHTWAYS’ BOARD OF DIRECTORS
Responsible for directing and approving the strategic direction of the Group, for oversight of climate-related risks and

opportunities and for approving annual climate-related disclosures.
AUDIT & RISK COMMITTEE
Oversees and makes recommendations to the Board in relation
to financial reporting, compliance, risk management and
climate-related reporting. As part of its role, the ARC oversees
key risks for the Group, including climate-related risks.
PEOPLE & SAFETY COMMITTEE
Oversees and makes recommendations to the Board in relation to
resourcing, diversity and inclusion, remuneration (including short-
term incentives) and health and safety matters. As part of its role,
the PSC may consider climate-related matters in remuneration.
MANAGEMENT
Responsible for identifying and managing climate-related risks and opportunities, and the implementation of the Transition Plan.
CONTROLLED BUSINESSES LEADERSHIP
General Managers and Financial Controllers of the
Controlled Businesses oversee operations, financial
management and risk management of Controlled
Businesses including climate-related matters.
HEAD OF SUSTAINABILITY AND CLIMATE
Responsible for managing climate-
related strategy and reporting.
SENIOR LEADERSHIP TEAMCLIMATE REPORTING
COMMITTEE
CHIEF FINANCIAL OFFICER
Oversees financial management and risk
management for the Group, including climate-
related matters. Influences the allocation of
capital (including in relation to climate matters).
A due diligence
committee oversees the
preparation of climate-
related disclosures. This
includes the CFO, the
General Counsel, Head of
Sustainability and Climate,
external legal advisors
and the CEO as required.
OTHER EXECUTIVE LEADERS
Oversee climate-related risks and opportunities
relevant to Controlled Businesses, and

are jointly responsible for delivering
the Transition Plan.
CHIEF EXECUTIVE OFFICER
The CEO is responsible for the integration of climate-related considerations in the overall business strategy,
its implementation and for influencing the allocation of capital (including in relation to climate matters).
FIGURE 2: ORGANISATIONAL STRUCTURE
Organisational
structure
The organisational structure
showing climate-related
Management-level positions, is
illustrated in Figure 2.
10Freightways Climate Statement 2026
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Strategy
Current climate-related
impacts
No material physical or transitional
climate impacts were experienced
in the Reporting Period.
In the Reporting Period, acute
weather events were experienced
in the Freightways network in New
Zealand and Australia. While these
events potentially caused damage and
disruption to communities, customers
and teams in these locations, they did
not result in a material financial impact
to the Group in the Reporting Period.
In the Reporting Period, all fossil fuel
purchased for use in the New Zealand
road and air network, by both company-
controlled vehicles and the contracted
fleet (including aircraft), included an
amount passed through to address the
cost faced by the fuel provider to meet
its obligations under the New Zealand
Emissions Trading Scheme (ETS). The
ETS pass through cost to the Group in
the Reporting Period was not material.
Fuel price increases during the Reporting
Period, arising from geopolitical conflict,
have not been reported as current
financial climate-related impacts in this
Climate Statement because they were
not attributable to a climate-related
event. The financial impacts of these
increases were generally mitigated
through fuel surcharge mechanisms.
Scenario analysis
SCENARIO ANALYSIS PROCESS
In the Reporting Period, Freightways
updated its climate-related
scenarios and refined its climate-
related risks and opportunities.
Freightways engaged KPMG in New
Zealand and Australia to support the
development of its climate scenarios
and the use of these scenarios
to identify its climate-related
risks and opportunities through a
structured process. This included:
• Engaging key internal stakeholders
• Defining the scope and boundaries
of the analysis, including relevant
time horizons, conducting a
value chain mapping exercise
and ensuring Australian activities
were appropriately integrated
• Identifying and prioritising key driving
forces, including an assessment of
drivers identified in Freightways’
earlier climate scenario analysis
and the driving forces identified
in The Aotearoa Circle Transport
Sector Climate Change Scenarios
(Transport Sector Scenarios)
1

• Aligning with the Transport Sector
Scenarios where relevant, agreeing
the reference scenarios and
temperature outcome for the central
scenario and developing draft scenario
narratives and detailed parameters
• Qualitatively assessing the
resilience of Freightways’ business
model and strategy against the
new climate-related scenarios
• Presenting the scenarios to
Management, the ARC and the Board
for review and approval. In April
2026, the ARC approved the new
scenarios, agreeing they were relevant
and appropriate for assessing the
resilience of Freightways’ business
model and strategy to climate-related
risks and opportunities given they are
tailored to Freightways’ operations
and business model and underpinned
by a structured scenario development
process (as described here and
further in Appendix 2 on page 45).
1
The Aotearoa Circle. (June, 2024). Transport sector
climate change scenarios. Available here.
2
Freightways’ central scenario “Slow Followers” is
not aligned with the reference scenario or global
temperature outcome used in the Transport
Sector Scenarios central scenario “Short Detour”.
Freightways’ central scenario (Slow Followers)
uses reference scenarios and global temperature
outcomes largely based on the “Slow Followers”
scenario developed in The Aotearoa Circle’s Energy
sector climate change scenarios. Available here.
In 2024, Freightways
participated in the
development of the Transport
Sector Scenarios. Freightways’
updated scenarios consider the
Transport Sector Scenarios.
However, they are tailored
to the Freightways business
and its operation. To promote
greater differentiation across
the scenarios, Freightways’
central scenario differs from the
reference scenario and warming
outcomes in the Transport Sector
Scenarios central scenario.
2

11Freightways Climate Statement 2026
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The scenario analysis was conducted as a standalone process, and no in-house
modelling was undertaken. However, the new scenarios were used to provide a
framework for ongoing work to quantify anticipated financial impacts of climate-related
risks, used as reference scenarios for the hazard exposure assessment referred to
on pages 38 – 39, and considered as an input to Freightways’ assessment of climate-
related risks in its risk management process, described in the Risk Management
section on page 28.
DESCRIPTION OF SCENARIOS
Table 1 provides a summary of the three emissions reduction pathways used by
Freightways’ climate-related scenarios, the main assumptions underlying each pathway
and sources of data. A summary of each scenario narrative is included on the following
pages. More information on the emission reduction pathways used in the scenario
analysis is available in Appendix 2 on page 45.
The analysis used short (2027 – 2030), medium (2031 – 2040), and long-term time
horizons (2041 – 2050) to evaluate evolving transition and physical risks across
Freightways' diverse business units.
Climate-related scenarios
are used to provide a range
of plausible and challenging future
pathways based on assumptions
about external drivers, including
those that may give rise to physical
and transition risks. These scenarios
are not predictive or probabilistic,
nor do they represent the most likely
outcomes of climate change. Rather,
they provide reference points to
test the resilience of Freightways’
strategy and business model, support
the assessment of climate-related
risks and opportunities, and build
internal capability to respond to
an uncertain and evolving future.
12Freightways Climate Statement 2026
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1
The Fully Charged scenario is used to represent the 1.5°C scenario required in NZCS.
2
Relative to the pre-industrial baseline.
ScenarioScenarioFully Charged (SSP1-1.9)Fully Charged (SSP1-1.9)
11
Slow Followers (SSP2-4.5)Slow Followers (SSP2-4.5)Route to Overshoot (SSP3-7.0)Route to Overshoot (SSP3-7.0)
Temperature increase
2
2050: +1 .6°C
2100: +1 .4°C
2050: +1 .9°C
2100: +2 .7°C
2050: +2.1°C
2100: +3.9°C
Scenario archetype• SSP1 Sustainability – Taking the Green Road
• RCP 1.9
• NGFS Delayed Transition
• CCC High Technology, High Systems Change
• IEA Net Zero
• SSP2 Middle of the Road
• RCP 4.5
• NGFS Fragmented World
• CCC Low Technology, Low Systems Change
• IEA Stated Policies
• SSP3 Regional Rivalry – A Rocky Road
• RCP 7.0
• NGFS Current Policies
• CCC Reference
• IEA Current Policies
Physical impactsLowestModerateHighest. Climate and ecological tipping points
are breached.
Transition impactsModerate. Greatest in short-term.Highest. Greatest in medium-term. Lowest. Steadily increasing, but also
giving businesses more time to adapt.
Global policyImmediate and smoothDelayed and fragmentedInsufficient
Domestic policyImmediate and generally coordinated.
New Zealand moves ahead while Australia
lags. Carbon prices initially rise in line with
Slow Followers, before Australia catches
up, adopting stronger policy settings and
higher carbon prices in the medium-term.
Delayed and fragmented. Australia moves
ahead in the short-term while New Zealand
lags. Carbon prices rise initially, followed
by broader increases in both carbon prices
and policy coverage in the medium-term.
Insufficient. New Zealand and Australia
remain aligned with limited global climate
action. Carbon prices remain relatively low,
increasing only gradually over time, and
policy coverage expands only marginally.
Speed of technology changeFastest. Rapid adoption of low-carbon
fleet and fuel technologies, with high
variation in options. Early supply
competition eases in the medium-term.
Moderate. Slow in the short-term,
followed by a fast transition of fleet
and fuel technologies, with fragmented
supply and medium-term constraints.
Slowest. Gradual transition of fleet and
fuel technologies, while adoption of
other enabling digital and operational
technologies continues at a faster rate.
Energy profileFastest. New Zealand, followed by Australia,
rapidly expands renewable energy and
low-carbon fuel production, reducing
exposure to global fuel market volatility.
Moderate. Australia expands renewable
generation sooner, while New Zealand
remains reliant on imported low-carbon
fuels and fossil fuels for longer.
Slowest. Limited growth in domestic
renewable energy and low-carbon fuel
production prolongs reliance on increasingly
costly and volatile imported fossil fuels.
Land freight disruption Lowest. Early investment in resilience and
modal alternatives reduces disruption and
improves network reliability. Over time, both
countries maintain more resilient freight
networks, although Australia’s delayed
transition results in higher long-term costs.
Moderate. Australia strengthens resilience
through earlier investment, while New Zealand
faces increasing disruption and operational
volatility. The resilience gap widens over
time, creating growing disparities in network
performance and supply chain reliability.
Highest. Frequent climate disruptions reduce
network reliability, increasing delays, detours
and freight costs. Over time, infrastructure
stress further reduces reliability and
increases operating costs in both countries.
TABLE 1: OVERVIEW OF SCENARIOS
13Freightways Climate Statement 2026
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SHORT-TERM (2027-2030)
Global carbon pricing schemes gain traction, and
international trade rules begin to favour low-emissions
supply chains. In New Zealand, a series of extreme
weather events reinforces the need for decisive
climate action, accelerating policy implementation.
The New Zealand ETS expands to cover all domestic
emissions resulting in higher carbon prices.
Demand for low-carbon fleet technologies and
materials drives an early increase in costs globally. New
Zealand accelerates investment in rail electrification
and other low-emissions freight infrastructure,
while Australia initially lags due to fragmented
policy settings across states and slower national
coordination, remaining more reliant on hybrid
fleets and incremental freight improvements.
MEDIUM-TERM (2031-2040)
The 2030s see rapid global decarbonisation.
New Zealand largely completes its transition to
a low-emissions land freight system, including
the electrification of rail and coastal shipping.
The New Zealand ETS becomes linked to key
trading partners’ carbon markets, resulting in higher
carbon prices. Australia enters an accelerated
transition phase, with rising costs driven by stronger
carbon pricing and increased support for low-
emissions technologies and fleet transitions.
The electrification of New Zealand’s economy
and freight fleet places increasing pressure on
grid capacity, while investment in rail and coastal
shipping intensifies competition with road freight.
Australia continues to support bulk mining exports,
although demand for emissions transparency drives
diversification into lower-emissions sectors.
Physical climate risks continue to increase, but
earlier adaptation investment helps reduce
disruption across freight networks.
LONG-TERM (2041-2050)
By mid-century, net-zero is the global operating
reality. New Zealand’s land-based freight sector
is largely decarbonised. Carbon prices in New
Zealand remain high, but businesses have largely
adapted operating models and investment decisions
to reflect or reduce exposure to carbon costs.
Australia achieves net-zero too, but at a higher
cost. Some legacy infrastructure lingers, and while
advanced technologies are widespread, their
uptake in remote regions remains uneven. Carbon
price remains a significant operating cost.
Low-carbon technology is now easily accessible and
cheaper. In New Zealand, heavy road-based land fleets
are low emission, but still less energy efficient than rail.
Light commercial fleets reap the benefits of mature
charging networks and lower operating costs. Australia
eventually transitions to low emission trucks, beginning
with high-volume routes and then expanding outwards.
Physical climate impacts continue, but early adaptation
investment limits disruption and reduces long-term
recovery cost.
SCENARIO 1
Fully
Charged

S S P 1-1 .9
GLOBAL WARMING*
2050: +1.6°C
210 0: +1 . 4°C
NEW ZEALAND WARMING*
2050: +1.4°C
210 0: +1 .6°C
AUSTRALIA WARMING*
2050: +1.8°C
210 0: +1 .6°C
*Average trajectories of warming, relative to 1850-1900 baseline
14Freightways Climate Statement 2026
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SHORT-TERM (2027-2030)
By the late 2020s, global emissions peak following years
of delayed climate action, and fossil fuels still dominate
global transport energy. Both governments initially
prioritise cost-of-living pressures, although several
Australian states continue to advance decarbonisation
policies ahead of New Zealand. Political and economic
priorities limit investment in systemic change. Carbon
prices in both countries increase as governments rely on
the mechanisms for a climate response without systems
change. Australia expands carbon pricing policies,
increasing coverage across high-emitting sectors.
New Zealand conducts early trials of electric fleets
for short-haul routes where it provides immediate
cost-savings. In Australia, individual organisations
recognise the need to transition fleets consistently
across states to cut costs in the long-term.
MEDIUM-TERM (2031-2040)
By the 2030s, global decarbonisation accelerates,
but New Zealand lags behind Australia and the
rest of the world. Australia begins to implement
stronger climate policies under the pressure of
international carbon border taxes, and in the mid-
2030s, the federal government makes significant
effort to coordinate policies between states. This
includes increasing use of the Safeguard Mechanism
to target high emitting sectors including freight.
New Zealand follows Australia’s lead, but delayed
policy action and constrained access to technology
result in a more disruptive and costly transition. In
the late 2030s, the New Zealand ETS expands its
coverage, causing rapid carbon price increases.
Australia’s larger market improves access to low-carbon
fleet technologies and fuels. In New Zealand the heavy
road-based transport sector struggles for access.
Earlier resilience investment helps Australia manage
growing climate disruption, while New Zealand
experiences increasing network volatility.
LONG-TERM (2041-2050)
By mid-century, global warming reaches
approximately 1.9°C above pre-industrial levels
and continues to rise, with physical climate risks
intensifying. Ongoing adaptation investment is
required despite progress to reduce emissions.
Global and domestic carbon prices remain high and
2050 emissions targets force sectors to accelerate
transition to alternative fuels and fleet. This mostly
impacts the heavy road fleet. Australia continues to
decarbonise faster than New Zealand yet still lags
behind the rest of the world and both countries face
ongoing economic volatility as adaptation costs increase.
Australian heavy and light road freight is largely made
up of electric or new energy fleets, with the majority
of interoperability challenges resolved. Organisations
in Australia have benefitted from earlier investment in
low-carbon technologies, allowing operators to address
the remaining long-haul routes in all but the most
isolated locations. In New Zealand, heavy road freight
is mostly decarbonised by 2050 but the sector is more
expensive than in Australia due to a later transition.
SCENARIO 2
Slow
Followers

SSP2-4.5
GLOBAL WARMING*
2050: +1.9°C
2100: +2.7°C
NEW ZEALAND WARMING*
2050: +1.8°C
210 0: +2.4°C
AUSTRALIA WARMING*
2050: +2.2°C
210 0: +2.8°C
*Average trajectories of warming, relative to 1850-1900 baseline
15Freightways Climate Statement 2026
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SHORT-TERM (2027-2030)
Globally, momentum on international climate
collaboration stalls as nationalism and protectionism
rise. The New Zealand and Australian governments
prioritise adaptation spending and repair over
ambitious emissions reductions. Economic growth is
uneven but positive. Fuel security concerns reinforce
continued reliance on fossil fuels. Carbon prices
rise slowly in both New Zealand and Australia.
Investment flows to risk intelligence and network
optimisation technology rather than to transport
decarbonisation and charging infrastructure.
Fleet electrification is largely driven by global
technology trends and fuel prices rather than
domestic mitigation policy, so transition is
slow in both New Zealand and Australia.
MEDIUM-TERM (2031-2040)
By the early 2030s, global climate collaboration
has weakened further. Adaptation is prioritised as
the key climate response in both New Zealand and
Australia, focusing on sustaining GDP growth and
protecting critical infrastructure against escalating
climate impacts. Carbon pricing mechanisms in
New Zealand and Australia remain minimal and
stable, with few ramifications for high-emissions
sectors. Persistent resource constraints and supply
chain disruption contribute to elevated inflation.
Fleet transition remains slow and financially
burdensome without clear long-term signals for
investors. This is exacerbated in New Zealand as the
smaller market is of lower priority for access to a limited
supply of low-emissions vehicles compared to Australia.
LONG-TERM (2041-2050)
By the 2040s, escalating climate impacts and ecological
degradation increase the frequency and severity of
disruptions across freight networks. Extreme weather
events increasingly damage roads, ports and other
critical freight infrastructure, creating unpredictable
delays. Marginal rail and road routes have maintenance
support withdrawn and are subsequently closed
due to safety concerns. In Australia, heat causes
dangerous working conditions and therefore increases
downtime. New Zealand and Australia both miss
their 2050 net-zero targets as a result of continuing
slow and fragmented climate policy. Infrastructure
adaptation is underfunded, leaving critical assets
increasingly vulnerable to extreme weather and
climate-related disruption. Carbon prices remain
comparatively low in both New Zealand and Australia.
EV adoption accelerates during the 2040s as
technology advancement and mass-market adoption
in developed countries reduces costs. Heavy fleet
decarbonisation remains incomplete by 2050.
Almost all light-vehicles have transitioned, but this
is more coordinated in New Zealand where road
freight requires shorter distances than Australia.
SCENARIO 3
Route to
Overshoot

SSP3-7.0
GLOBAL WARMING*
2050: +2.1°C
210 0: +3.9°C
NEW ZEALAND WARMING*
2050: +2.1°C
210 0: +3.1°C
AUSTRALIA WARMING*
2050: +2.9°C
2100: +5.5°C
*Average trajectories of warming, relative to 1850-1900 baseline
16Freightways Climate Statement 2026
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TABLE 2: CL IMATE- REL ATED RISKS
PHYSICAL
Risk typeRisk descriptionFully Charged Slow Followers Route to Overshoot
AcuteWeather-related disruption to the
transport network and its value chain
SMLSMLSML
An increase in the frequency and / or
severity of extreme weather events may
lead to temporary or prolonged, cascading
or concurrent disruptions across
Freightways’ operations. This includes
weather-related impacts experienced
in Freightways’ value chain, resulting in
operational disruptions for Freightways.

Anticipated impacts
Freightways operates an integrated freight and logistics network that involves the collection, processing, and
delivery of goods across multiple transport modes and geographic regions. The increasing frequency and / or
severity of weather events – such as storms, flooding, heatwaves, and cyclones – could impact the continuity
and efficiency of these operations. Disruption may occur through direct damage to or restricted access to critical
infrastructure, including Group sites and depots, roads, ports, airports, and the fuel supply. Adverse weather
conditions can compromise the safety and operability of transport routes, resulting in delayed or suspended
operations, reduced capacity, and heightened risks for personnel operating in adverse conditions. In some cases,
roads or infrastructure may become impassable, and operations may need to be paused or altered at short notice,
affecting service reliability. In addition, severe weather can negatively impact network efficiency by increasing
the incidence of out-of-sequence routing, empty vehicle movements, or suboptimal freight consolidation. These
disruptions may result in a reduced ability to meet delivery schedules, spoilage of time or temperature-sensitive
goods, and operational inefficiencies.
Weather-related disruption has the potential to impact financial performance. Operational inefficiencies and service
interruptions can lead to increased direct costs, including additional fuel and labour expenses, higher vehicle
maintenance due to adverse conditions, and costs associated with rerouting or rescheduling freight. In some cases,
contingency measures may require the use of other freight modes (including increased use of airfreight), which can
increase costs per unit delivered. Revenue impacts could arise from delayed or missed pick-ups and / or deliveries,
or inability to operate a critical site. Financial impacts could arise from one large event or on a cumulative basis
throughout the reporting period.
RISK-R AT ING: Very high

High

Medium

Low


TIME HORIZON: Short (2027 – 2030), Medium (2031 – 2040), Long (2041 – 2050)
Climate-related risks
and opportunities
Freightways has identified 7 material climate-related
risks and 2 climate-related opportunities. Tables
2 and 3 summarise the climate-related risks and
opportunities Freightways identified under the three
selected climate scenarios. This assessment was
undertaken during the current Reporting Period using
updated climate scenarios, and accordingly some
risks, opportunities and ratings differ from those
reported in the prior period.
To assess anticipated impacts, these risks and
opportunities were considered against the internal
Group Risk Rating Matrix for each scenario and
time horizon. This assessment was qualitative
and judgement was applied when assessing risks
against the Group Risk Rating Matrix. The process
for assessing and identifying these risks is further
detailed in the Risk Management section on page 28.
The identified climate-related risks and
opportunities are considered over short (2027
– 2030), medium (2031 – 2040), and long-term
(2041 – 2050) time horizons. These time horizon
definitions are not linked to strategic planning
horizons or capital deployment plans as Freightways
does not adopt standardised time horizons across its
broader strategic and capital deployment planning.
Business case templates for investments or activity
needing CFO, CEO, or Board approval, require details
of climate-related impacts, lower impact alternatives
considered and climate-related exposures of new
business cases. Beyond this, climate-related risks
and opportunities do not formally serve as an input
to internal capital deployment and funding decision-
making processes.
17Freightways Climate Statement 2026
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Market
Energy market volatility and supply constraintsSMLSMLSML
Energy markets may be affected by the pace of electrification and the implications for electricity supply,
as well as the demand for liquid fossil fuels. This could affect the relative availability, cost and reliable
supply of diesel and electricity, increasing Freightways’ fuel and electricity costs and exposure to
operational disruptions where supply is constrained.
Anticipated impacts
Volatility and supply constraints in diesel and electricity markets may increase Freightways’ operating expenditure and affect the reliability of energy supply across its network.
This could result in higher fuel and electricity costs for transport operations, depots, handling equipment and any future charging infrastructure. Freightways may also face
indirect cost increases where energy market pressures are passed through by transport contractors, facility operators, or other suppliers. In some circumstances, constrained or
unreliable energy supply could disrupt operations, reduce efficiency, or delay the transition to lower emission vehicles. These impacts could reduce margin, increase operating
complexity, and require additional investment in contingency measures or energy resilience.
Market,
Policy &
Legal
Insurance availability, cost and retained riskSMLSMLSML
As insurance coverage becomes more expensive, restricted or unavailable for climate-exposed assets,
Freightways may be required to retain a greater proportion of climate-related risk through higher
deductibles, exclusions, self-insurance arrangements or captive structures.
Anticipated impacts
Increasing climate-related weather events may impact the availability and cost of insurance for Freightways. Insurers may place greater emphasis on the climate strategies of
policyholders, with a preference for businesses demonstrating effective climate risk management. Globally, increasing insurance claims from more frequent and severe weather
events may lead to higher insurance premiums for Freightways. These increased costs could reduce profitability and elevate operational risk if certain insurance products
become prohibitively expensive or unavailable. Freightways could reasonably expect insurance retreat by insurance providers for any sites, locations, or regions deemed by the
providers to be at a high risk of climate impacts. This could result in Freightways being required to self-insure certain excluded assets.
PHYSICAL
Risk typeRisk descriptionFully Charged Slow Followers Route to Overshoot
ChronicWeather-related damage to Freightways’ assets and inventory SMLSMLSML
An increase in the frequency and / or severity of extreme weather events may lead to damage and / or
destruction of assets, inventory, and property, as well as customer goods in transit or storage.
Anticipated impacts
An increase in the frequency and / or severity of extreme weather events could result in physical damage to the Group’s assets, including depots, vehicles, equipment, and
inventory. Such events could lead to partial or total loss of property, interruption of site operations, and longer-term degradation of infrastructure resilience. Damage to customer
goods in transit or storage, particularly perishable or high-value goods, may result in financial loss and disruption to customer commitments.
The financial impacts of such events could include increased costs for repair, replacement, or clean-up; higher insurance premiums or uninsured losses; and potential impairment
of fixed assets. Prolonged recovery times may also reduce operational capacity, delay revenue generation, and require additional capital investment to restore affected facilities
or improve future resilience.
TABLE 2: CLIMATE-RELATED RISKS (CONTINUED)
RISK-R AT ING: Very high

High

Medium

Low


TIME HORIZON: Short (2027 - 2030), Medium (2031 - 2040), Long (2041 - 2050)
TRANSITION
18Freightways Climate Statement 2026
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Risk typeRisk descriptionFully Charged Slow Followers Route to Overshoot
Policy
& Legal,
Technology
Regulation triggers accelerated transition to low emissions operating modelSMLSMLSML
Climate-related regulations could accelerate Freightways’ transition to a lower emission operating
model and lead to increased operational expenditure and / or capital expenditure.
Anticipated impacts
Increased stringency and uncertainty in climate-related policy and regulation may require Freightways to accelerate replacement or retrofitting of owned vehicles, warehouse
infrastructure and equipment, bringing forward capital investment and potentially shortening asset lives. For leased vehicles and facilities, evolving requirements may also
necessitate lease changes or early replacement, increasing total transition costs through lease modification, early exit or replacement. In the air network, the introduction of a
Sustainable Aviation Fuel (SAF) blending mandate (or similar) could increase operational costs.
Policy &
Legal
Carbon pricing regimes increase operational costs SMLSMLSML
Carbon pricing regimes in New Zealand and Australia may lead to increased operational expenditure.
Anticipated impacts
In New Zealand, increases in the price of New Zealand Units (NZUs) under the New Zealand Emissions Trading Scheme (ETS) may lead to increased operational expenditure,
including higher fossil fuel costs for use in company-controlled vehicles, as well as ETS cost passed through to Freightways from ground transport contractors and aircraft fleet
operations. Exposure to similar carbon pricing regimes in Australia would be additional and further increase operating expenditure.
Market &
Reputation
Inability to meet changing customer expectations SMLSMLSML
An increase in customers requiring low emission or climate-related services may result in a loss of
market share if Freightways cannot meet this demand.
Anticipated impacts
Freightways could face increasing pressure from customers seeking low emissions freight and services, driven by their own transition planning, regulatory obligations or
stakeholder expectations. Shifting expectations could alter shipment volumes, delivery frequency and network utilisation as customers adjust demand and supplier choices.
If Freightways is unable to meet this demand, it could lose business to competitors with more advanced or visible offerings potentially impacting revenue and market share.
TABLE 2: CLIMATE-RELATED RISKS (CONTINUED)
RISK-R AT ING: Very high

High

Medium

Low


TIME HORIZON: Short (2027 - 2030), Medium (2031 - 2040), Long (2041 - 2050)
TRANSITION
19Freightways Climate Statement 2026
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Opportunity typeOpportunity descriptionFully Charged Slow Followers Route to Overshoot
Resource efficiency, Technology Operational efficiency through electrification and optimisationSMLSMLSML
Electrification of vehicles and improved network optimisation could reduce
operating costs, improve asset utilisation and enhance service efficiency.
Anticipated impacts
Electrification of vehicles and improved network optimisation may reduce Freightways’ operating costs and improve overall efficiency. These measures
could lower per-kilometre costs, improve reliability, strengthen routing and load planning, reduce kilometres travelled and empty running, and improve
asset utilisation. Early adoption of electric vehicles may also support earlier access to vehicles and charging infrastructure and more favourable commercial
arrangements, helping manage transition costs and operational disruption.
Markets, Products & Services Preferred provider positioning in low-emission logistics SMLSMLSML
Demand for low-emission logistics may create opportunities for Freightways to
strengthen customer retention, enhance competitive positioning and support
revenue growth.
Anticipated impacts
Rising regulation and customer expectations for low-emissions logistics may increase demand for low-emission transport solutions. By proactively aligning
its services, Freightways could position itself as a preferred sustainable logistics provider, strengthening customer retention and competitive positioning,
enhancing resilience, and growing revenue through new or expanded offerings.
TABLE 3: CLIMATE-RELATED OPPORTUNITIES
OPPORTUNITIES-RATING: Very high

High

Medium

Low


TIME HORIZON: Short (2027 - 2030), Medium (2031 - 2040), Long (2041 - 2050)
TRANSITION
20Freightways Climate Statement 2026
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Transition Plan
CURRENT BUSINESS MODEL AND STRATEGY
Across the Group, Freightways picks up, processes and delivers physical and digital items providing a reliable and efficient service for customers. This business model covers four
key areas of activity:
EXPRESS PACKAGE AND BUSINESS MAIL
Freightways operates a multi-brand strategy in the Australasian
courier and business mail markets, catering to a range of
customer needs and delivery timeframes. The New Zealand
Express Package operations share branch networks, air
and road linehaul, and IT systems. These brands include
New Zealand Couriers, Post Haste, Castle Parcels, NOW
Couriers, SUB60, Security Express, Kiwi Express, STUCK,
Kiwi Oversize, Freightways Global, and Pass the Parcel.
Airfreight capability for overnight Express Package delivery
services is provided through the joint venture airline,
Parcelair, and internal linehaul service provider, Parceline
via an agreement with aircraft operator Texel Air.
1

The national Australian network is operated by Allied
Express and recently acquired VTFE. The Australian network
includes a range of national and courier services.
DX Mail is a dedicated business mail specialist offering time
sensitive physical postal services in New Zealand.
It leverages the Express Package
network ensuring it can operate in a lean
manner. Dataprint offers mail house print
services and digital mail presentation
platforms across New Zealand.
TEMPERATURE
CONTROLLED
The New Zealand
Temperature Controlled
business is made up of
Big Chill Distribution
and Produce Pronto.
These businesses combine
a national refrigerated
linehaul fleet with an urban
chilled van network, to
offer national delivery,
same day delivery, third
party logistics (3PL) and
fourth party logistics
(4PL) services utilising
Big Chill Distribution
depots nationwide and
Produce Pronto depots in
Auckland and Wellington.
INFORMATION
MANAGEMENT
The Information
Management Group
(TIMG) operates in New
Zealand and Australia
offering physical
storage and information
management services, as
well as digital information
processing services such
as digitalisation, business
process outsourcing,
online back-up and
eDiscovery services.
In New Zealand
utilisation of storage
facilities is enhanced
through an eCommerce
3PL service, Stocka.
WASTE
RENEWAL
Shred-X offers document
destruction, eDestruction
and product destruction
services in Australia. It
also provides medical
waste collection and
processing services
under the Med-X brand.
In New Zealand, TIMG
provides secure document
and digital destruction,
alongside Information
Management services.
1
Freightways has access to capacity on four aircraft in New Zealand via various Aircraft, Crew, Maintenance and Insurance agreements (ACMI). Freightways does not have operational control of Parcelair Limited or these aircraft.
21Freightways Climate Statement 2026
1. ABOUT2. GOVERNANCE3. STRATEGY4. RISK MANAGEMENT5. METRICS & TARGETS6. ASSURANCE7. APPENDICES

Freightways’ strategy pursues growth
over three horizons across key areas
of activity: Horizon One focuses on
core business, Horizon Two builds on
core capabilities to provide additional
growth prospects and Horizon Three
focuses on innovation and identifying
emerging niches with revenue potential.
Transition Plan aspects
of the strategy
At the beginning of the Reporting Period,
the Board approved the strategic focus
areas of Freightways’ first Group-
wide Transition Plan. At the time of
this approval, it was also agreed that
the Transition Plan would form part
of Freightways’ existing strategy.
The Transition Plan outlines the
actions Freightways expects to take
to transition towards a low-emissions,
climate resilient future across its Group
Controlled Businesses. It is intended to
guide decision-making, in line with the
Group’s broader strategic and financial
goals. In implementing the Freightways
strategy, each member of the Group
will have regard to the strategic
objectives of the Transition Plan.
In developing its Transition Plan,
Freightways considered the IFRS
Foundation’s Transition Plan Taskforce
(TPT) guidance.
1
The Transition Plan
is formed around the three channels
recommended by the TPT to develop
a strategic and rounded approach:
1. Reducing emissions
2. Responding to climate-related
risks and opportunities
3. Contributing to an economy-
wide transition
The Transition Plan sets out Freightways’
strategic direction and key focus areas.
During the Reporting Period, Freightways
established two operational metrics
to support the transition of its light
vehicle fleet, and the New Zealand
contractor driver light vehicle fleet,
to lower-emissions alternatives.
The Transition Plan does not yet include
a Group-wide emissions reduction
target. This reflects the need for further
analysis of the Group’s operations that
rely on heavy vehicles. While operational
metrics have been established for
light commercial vehicles, further
work is required to assess the timing,
availability, operational suitability
and emissions reduction potential of
emerging low-emissions heavy vehicle
technologies across New Zealand and
Australia. This includes evaluating the
supporting infrastructure, investment
requirements and network design
changes needed to enable their adoption.
Freightways has begun aligning elements
of the Transition Plan with internal
decision-making processes through
updates to business case assessments
1
Transition Plan Taskforce (October 2023). Disclosure
Framework. Available here.
(refer to the Governance section on
page 9 – the Process and frequency of
climate-related updates to Management).
Beyond this, the Transition Plan is not
integrated into capital deployment and
funding decision-making processes.
A summary of the Transition Plan’s
focus areas, and the new operational
metrics, is provided in Figure 3.
22Freightways Climate Statement 2026
1. ABOUT2. GOVERNANCE3. STRATEGY4. RISK MANAGEMENT5. METRICS & TARGETS6. ASSURANCE7. APPENDICES

Across the Group, we pick up, process and deliver physical and digital items providing a reliable
and efficient service for our customers. Our Transition Plan is part of our growth strategy.
It has three pillars with focus areas in each.
Transition at least
75 percent of
Freightways’ light
commercial vehicle fleet
to low-emission vehicles
by 2032
Engage with contractor
drivers in the New
Zealand express
package network to
support the transition
of at least 75 percent of
light commercial pick-
up and delivery vehicles
to low-emission vehicles
by 2032
We move you to
a better place
FIGURE 3: FREIGHTWAYS’ TRANSITION PLAN FOCUS AREAS
Set Freightways’ Emissions Reduction Plan and related targets. Monitor through new governance channels and agreed metrics.
Emission Reduction Plan
Training and engagement will be available across the Group to increase awareness and engagement.
Education and awareness
1
P
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2
P
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3
P
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Reducing our emissions
Responding to our
climate-related risks
and opportunities
Contributing to an
economy-wide
transition
Controlled ground fleet transition: convert
a portion of the company-controlled ground
vehicle fleet to lower-emission alternatives
implementing what is technically feasible
and commercially viable. Understand and
implement on-site infrastructure to enable
a smooth transition.
Contractor ground fleet transition: support
contractor drivers to expedite the transition
to lower-emission vehicles through fair
payment terms, appropriate on-site
infrastructure and wrap-around support.
Aircraft modernisation: utilise a modern
and fuel efficient fleet.
Network efficiency: optimise network
through route, vehicle and load efficiency
initiatives.
Risk Management Framework:
mature the business risk management
framework to better accommodate
and address climate-related risks.
Network resilience: focus on operational
network agility through disaster preparedness
plans and exposure assessment for
critical sites, routes and infrastructure.
Meeting the needs of customers: understand
and meet the needs of our customers for
climate-related offerings and services.
Connect communities and support
companies: implementation of the
Freightways Transition Plan will contribute
to emissions reductions for users of its
services across communities and economies.
Advocate for maintenance of critical shared
infrastructure and the transport sector
energy transition: Freightways will advocate
for resilient and safe transport infrastructure
and policy settings.
Support the grid: understand opportunities
to increase renewable electricity supply
and gain price certainty through targeted
investment.
OPERATIONAL METRICS
23Freightways Climate Statement 2026
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1
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Reducing our emissions
Freightways’ greenhouse gas emissions
are outlined in the Metrics and Targets
section. Scope 1 emissions represent
around 16.8 percent and Scope 3
emissions represent around 80.8 percent
of Freightways’ total greenhouse gas
emissions in the Reporting Period.
In the Transition Plan, Freightways
has identified the main areas it will
focus on to reduce its emissions.
CONTROLLED GROUND VEHICLES
Emissions from the combustion
of fossil fuel in vehicles owned
or controlled by Freightways.
These emissions primarily relate
to operational vehicles used in the
Temperature Controlled, Information
Management and Waste Renewal
businesses, including large truck and
trailer units, waste collection trucks,
metro trucks, vans, cars, motorbikes
and forklifts. These emissions form
part of Freightways’ Scope 1 and
Scope 3, category 3 emissions. In the
Reporting Period, emissions generated
by fuel used in Freightways’ controlled
vehicles represented around 20 percent
of total greenhouse gas emissions.
Freightways’ Transition Plan focuses
on minimising these emissions by
converting a portion of the fleet to
lower emission alternatives. Table 9 on
page 40 details the energy profile of
company-controlled vehicles at year end.
In June 2026, the Board approved
an operational metric to transition
at least 75 percent of Freightways’
light commercial vehicle fleet to
low-emissions vehicles by 2032.
For the purposes of this metric, light
commercial vehicles include forklifts,
hoists, motorbikes, cars, utes and vans
owned or controlled by Freightways
businesses. Refer to the Metrics
and Targets section on page 41 for
more information on this metric.
Analysis of transition pathways for the
Group’s controlled heavy vehicle fleet
remains ongoing and, accordingly,
no equivalent operational metric has
been established for those vehicles.
ELECTRIFYING THE DX MAIL
POSTAL DELIVERY BIKES
During the Reporting Period, DX
Mail trialled four electric UBCO
motorbikes as a lower-emission
alternative to petrol motorbikes.
The electric bikes were economical
to run, had lower maintenance
costs, and received positive
feedback from riders, who found
them responsive and safer
due to improved awareness of
surrounding sound while on the
road. Following the successful trial,
DX Mail has ordered an additional
100 UBCO bikes for delivery in
the 2027 reporting period.
BIG CHILL TRIALS LOWER
EMISSION VEHICLES
During the Reporting Period, Big
Chill Distribution undertook a
small number of short-term trials
of low-emission heavy vehicles to
better understand their operational
performance and potential
integration within its refrigerated
transport network. These trials
were exploratory in nature and did
not involve financial commitments.
The trials included a Scania R 450E
battery-electric tractor unit, which
operated for approximately six
weeks, and a Schmitz Cargobull
electric trailer, which operated
for approximately 14 weeks.
24Freightways Climate Statement 2026
1. ABOUT2. GOVERNANCE3. STRATEGY4. RISK MANAGEMENT5. METRICS & TARGETS6. ASSURANCE7. APPENDICES

CONTRACTOR DRIVERS
Emissions from the combustion
of fossil fuel in the contractor
driver ground fleet.
Express Package businesses rely on
a network of third-party transport
providers, including independent
contractor drivers, agents, and linehaul
operators, to provide courier, road
transport, and linehaul services.
Emissions arising from these activities
are reported within Freightways’ Scope
3, category 4 emissions. During the
Reporting Period, emissions generated
by these third-party transport providers
represented around 39.9 percent of
total greenhouse gas emissions.
1

Freightways’ transition planning
considers emissions across this
network. However, near-term initiatives
are principally focused on contractor
drivers, where Freightways has
comparatively greater opportunity
to support and influence emissions
reduction outcomes. Freightways’
Transition Plan focuses on minimising
these emissions by working with
contractor drivers to encourage them to
transition to lower emission vehicles.
Contractor drivers have autonomy to
purchase the vehicle that best suits their
needs. However, Freightways has the
ability to influence this decision through
closer engagement, leveraging its scale
to allow contractor drivers access to
cost-effective and lower emission
solutions, and by providing a supportive
environment for contractor drivers
wishing to use a lower emission vehicle.
At the end of the Reporting Period,
30 contractor drivers in the Express
Package business were operating
electric vans and 7 contractor drivers
were operating hybrid vehicles.
In June 2026, the Board approved
an operational metric to engage with
contractor drivers in the New Zealand
express package network to support
the transition of at least 75 percent of
light commercial pick-up and delivery
vehicles to low-emissions vehicles by
2032. For the purposes of this metric,
light commercial vehicles include
contractor-owned or operated cars
and vans used to provide pick-up
and delivery services within the New
Zealand courier network. Refer to the
Metrics and Targets section on page 41
for more information on this metric.
Operational metrics for contractor-
operated light commercial vehicles in
Australia, and for contractor-operated
heavy vehicles, remain subject to
ongoing analysis and development.
NEW ZEALAND EXPRESS PACKAGE ELECTRIFICATION PROGRESS
During the Reporting Period, New
Zealand Couriers and Post Haste
increased the number of electric
vehicles operating in the contractor
driver pick-up and delivery fleet,
growing from three to 30 electric
vans. This progress was achieved
through a coordinated programme
designed to reduce barriers to
adoption and support contractor
drivers through the transition.
To encourage behaviour change and
improve electric vehicle affordability
for contractor drivers, several
initiatives were introduced, including
a time-bound early adopter payment
for contractor drivers who switched to
an electric van; negotiated discounts
on selected electric vans through
vehicle suppliers; and financing
arrangements with two providers
for eligible contractor drivers.
Alongside these initiatives,
electric van trials were arranged
to allow contractor drivers the
opportunity to experience electric
vans in real-world operating
conditions, supported by increased
engagement across the network.
The electric vans are performing
well in day-to-day operations,
demonstrating their suitability for
urban pick-up and delivery services.
Freightways will continue working with
contractor drivers, vehicle suppliers
and finance partners to support and
encourage further adoption of electric
vehicles across the network.

TESTING HYDROGEN-POWERED LINEHAUL VEHICLES
During the Reporting Period, Parceline worked with one of its linehaul contractors
and TR Group to trial a hydrogen-powered Hyundai XCIENT Fuel Cell heavy
vehicle in the New Zealand commercial freight network. Operating this vehicle
is intended to test the viability of the vehicle in the express freight network and
improve understanding of its potential role and integration into the network.
The vehicle will provide valuable insights into real-world performance, including
range, cost, reliability, refuelling requirements and network integration.
1
The 39.9 percent includes greenhouse gas emissions
from contractor drivers, agents and linehaul services
as these are the activities relevant to the Transition
Plan focus area for ground transport. Other third-party
ground transport emissions are not included in this
percentage. More information on Scope 3, category 4
is provided in the Metrics section on page 32.
25Freightways Climate Statement 2026
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AIRCRAFT
Emissions from the combustion of fossil fuel in the aircraft fleet used to support
the Express Package businesses.
These emissions form part of Freightways’ Scope 3, category 4 emissions. In the
Reporting Period, emissions generated from the aircraft fleet represented around
6.2 percent of total greenhouse gas emissions.
1

Freightways accesses airfreight services to support its Express Package businesses in
New Zealand through the joint venture airline, Parcelair, and aircraft operator Texel.
Freightways’ Transition Plan focuses on lowering airfreight emissions through
contracting for more modern, fuel-efficient aircraft to replace older Boeing 737-400
models currently used by the airfreight providers at the end of each contracted term.
1
Emissions related to the consumption of jet fuel are not included within Scope 1 emissions because Freightways
does not have operational control of Parcelair Limited or the aircraft operated for the contracted airfreight
services. A fixed percent of airfreight capacity on scheduled flights is made available to Freightways (and another
independent party) under various ACMI agreements. Under the ACMIs, Freightways does not have operational
control over the flight operations. Under the ACMIs, Freightways procures airfreight services and these emissions
are accounted for in Scope 3, category 4.
26Freightways Climate Statement 2026
1. ABOUT2. GOVERNANCE3. STRATEGY4. RISK MANAGEMENT5. METRICS & TARGETS6. ASSURANCE7. APPENDICES

Freightways has identified 7 material
climate-related risks and 2 climate-
related opportunities. These are
outlined in the Climate-related risks and
opportunities section on pages 17 – 20.
Addressing climate-related risks
and opportunities is a key objective
of the Transition Plan. The Risk
Management section on pages
28 – 29 outlines the processes in
place to identify, integrate and manage
climate-related risks. Continued
maturation of internal risk management
processes remains a focus area,
including engagement with Controlled
Businesses to strengthen understanding,
management and disclosure of
physical and transition climate risks.
Freightways continues to work on
formalising a Group-wide Emissions
Reduction Plan. In the Reporting
Period, operational metrics relating to
controlled and contractor light vehicle
fleets were set. Freightways continues
to work towards developing further
operational metrics. This is detailed
in the Targets section on page 41.
During the Reporting Period, the
Freightways Controlled Businesses
2
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Responding to climate-related risks
and opportunities
3
P
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Contributing to an
economy-wide transition
Freightways businesses connect and
serve communities across New Zealand
and Australia.
Freightways has identified the focus
areas it can influence to reduce
emissions in its operations. It also
relies upon infrastructure and energy
systems that it does not control or where
it has less direct influence. Transport
sector decarbonisation and operational
resilience will require coordinated
decision-making across the transport
and energy sectors supported by
governments. Freightways will continue
to advocate for coordinated and
appropriate policy settings.
Freightways is a signatory to the New
Zealand Climate Leaders’ Coalition,
which provides access to knowledge-
sharing, awareness-building and
advocacy support. In the Reporting
Period, Freightways has also supported
advocacy efforts in New Zealand
facilitated by Rewiring Aotearoa.
Freightways’ decarbonisation relies
on an energy system that can be
scaled and built to meet growing
electricity and charging needs. In the
Reporting Period, Freightways has
demonstrated operational resilience
and adaptability in responding to
numerous acute weather events
across the network. However,
improving understanding of the parts
of the business and network that are
most exposed and / or vulnerable to
physical climate impacts remains a
focus area. To support this work, in
the Reporting Period site assessments
were undertaken across premises
used by the Controlled Businesses in
New Zealand and Australia to evaluate
exposure and vulnerability to climate-
related hazards. Insights from this
assessment are provided in the Metrics
and Targets section on pages 38 – 39
and further information is included
in Appendix 3 on pages 46 – 47.
Understanding and responding to the
climate-related needs of customers
across the Group forms part of
this pillar. In the Reporting Period,
customer focused activity has centred
around providing robust emissions
reporting tools for customers of
certain Controlled Businesses.
commenced industry engagement
on public heavy vehicle charging,
begun planning for onsite vehicle
charging solutions and taken steps to
understand solar integration options.
All areas of the Freightways’ Transition
Plan will be facilitated by increased
climate-related education and
awareness across the Group. Targeted
climate-related training has been
delivered to a range of employees and
teams across the Group in the Reporting
Period. Continuing to build internal
capability and understanding of climate
change and how it impacts Controlled
Business operations supports all pillars
of the Transition Plan.
27Freightways Climate Statement 2026
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28Freightways Climate Statement 2026
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Risk Management
Processes for
identifying, assessing
and managing climate-
related risks
In the Reporting Period, Freightways
continued to mature the integration of
climate-related risk management into
its broader enterprise risk management
framework. Climate-related risks are
identified, assessed and managed
through a combination of the
Freightways’ Climate Risk Register, the
Freightways’ Corporate Risk Register
and the risk registers maintained by
each Controlled Business. Collectively,
these inform Freightways’ strategic
risk profile and support oversight
by the SLT, ARC and the Board.
During the Reporting Period, the
following process was followed:
• Updated climate scenarios were
developed and endorsed by relevant
members of the SLT, the ARC and
the Board. The climate scenario
analysis is described in the Strategy
section on pages 11 – 16. The
scenarios were used to identify,
assess and prioritise potential
physical and transition climate-
related risks and opportunities
over the short, medium and long
term. Climate-related risks and
opportunities were assessed
using the Freightways Group Risk
Matrix, which considers both the
likelihood and potential impact of
each risk. This process informed
the development of the updated
Freightways’ Climate Risk Register.
• General Managers and Financial
Controllers from each Controlled
Business participated in an
externally facilitated workshop to
understand the updated climate
scenarios and their potential
implications. The workshop provided
guidance on applying the scenarios
to identify climate-related risks
and opportunities relevant to each
business and promoted a consistent
approach across the Group.
• Each Controlled Business
maintains an annual risk register
identifying operational, commercial
and strategic risks relevant to
its activities. These registers
include inherent and residual
risk assessments, and mitigation
actions. Climate-related risks,
where relevant to the Controlled
Business, are identified and
assessed as part of this process
and incorporated into the relevant
Controlled Business risk register.
During the Reporting Period, all but
one Controlled Business adopted
Freightways’ new risk management
platform, improving consistency,
visibility and coordination of risk
management across the Group.
• The Freightways Corporate function
also prepares an annual Corporate
Risk Register, which captures
Group-level strategic, governance
and enterprise risks that cannot
be effectively managed by an
individual Controlled Business
alone. The Corporate Risk Register
includes inherent and residual
risk assessments and associated
mitigation actions. Climate-related
governance risks are considered
within the Corporate Risk Register
where appropriate, while detailed
physical and transition climate
risks are detailed through the
Freightways’ Climate Risk Register.
• The CFO reviews and synthesises the
Controlled Business risk registers,
the Corporate Risk Register and
Freightways’ Climate Risk Register
to identify common themes,
emerging risks and matters requiring
Group oversight. These inputs inform
the Group’s strategic risk profile.
• Members of the SLT, including
the CEO, review the Group's
strategic risks and associated
risk assessments before they are
presented to the ARC. In July
2026, the ARC considered the
outputs of the Group’s annual risk
assessment process, including
the Group’s strategic risks, and
provided an update to the Board.
Freightways will continue to mature
its enterprise risk management
framework, including the integration
of climate-related risks into strategic
decision-making and risk management
processes. Enhancing engagement
with Controlled Businesses, improving
the consistency of climate risk
assessment and strengthening the
identification, management and
disclosure of physical and transition
climate-related risks remain priorities
under the Group’s Transition Plan.

Likelihood: the probability of the risk occurring
Very LikelyMediumMediumHighVery HighVery High
LikelyLowMediumHighHighVery High
PossibleLowMediumMediumHighHigh
UnlikelyLowLowMediumMediumHigh
Very unlikelyLowLowLowMediumHigh
MinorModerateSignificantMajorCatastrophic
Consequence: the severity of the outcome if it occurs
CLIMATE SCENARIO ANALYSIS
In the Reporting Period, new climate scenarios were developed at the Group level. The scenarios were used to help
identify climate-related risks and opportunities across different time horizons. The scenarios and the process followed
are described in the Strategy section on pages 11 – 16.
HAZARD EXPOSURE ASSESSMENTS ACROSS GROUP SITES
In the Reporting Period, site assessments were undertaken across premises used by the Controlled Businesses in New
Zealand and Australia to evaluate exposure and vulnerability to certain climate-related hazards. Further information
on this assessment is provided in the Metrics and Targets section on pages 38 – 39 and Appendix 3 on pages 46 – 47.
GROUP RISK RATING MATRIX
The Group Risk Rating Matrix was used to guide an
assessment of the likelihood and consequence of
potential climate-related risks.
The likelihood ratings were applied to the time
horizons specified within the relevant climate
scenario. Consequence ratings considered a similar
range of impacts as other business risks such as
financial or reputational impact. However, climate-
related risks and opportunities were assessed
on a qualitative basis only and judgement from
Management was applied when assessing time
frames, likelihood and consequence of climate-
related risks.
VALUE CHAIN AND PRIORITISATION
Freightways has undertaken an assessment of its value chain to identify and assess climate-related risks and opportunities.
This assessment formed part of the process to develop its new climate scenarios in the Reporting Period. No material parts
of the value chain were intentionally, or are known to have been inadvertently, excluded from this assessment.
Risk ratings determined through the risk management process detailed above are used to prioritise risks in the Controlled
Businesses risk registers and the Group Risk Register. Climate-related risks are given equal weighting to other risks in this
assessment process.
29Freightways Climate Statement 2026
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Tools and time frames
Several risk identification tools and methods have
been used to identify and assess the scope, size
and impact of identified climate-related risks.
These tools and methods are described to the
right. Time frames used for the dedicated climate
scenario and climate-related risk analysis were:
• Short term (2027 – 2030)
• Medium term (2031 – 2040); and
• Long term (2041 – 2050).
These time frames differ from the likelihood ratings
in the Group Risk Rating Matrix, which does not
accommodate the temporal and chronic nature
of climate risk. The Group Risk Rating Matrix is
therefore not used on its own for climate-related
assessments. Judgement from Management
is required when comparing the time frames
over which climate risks might occur with other,
more conventional risks that the Group faces.

1
Freightways has applied an 11+1 methodology when preparing greenhouse gas emissions disclosures for the Reporting Period. Under this approach,
emissions for 11 months of the Reporting Period are based on actual activity data. Emissions for the final month are estimated using the average monthly
activity recorded during the preceding 11 months of the Reporting Period. The estimated activity is then converted to greenhouse gas emissions using the
same emissions factors and calculation methodologies applied to actual activity data.
2
In 2024 Freightways’ emissions were measured using ISO14064-1:2018 and the GHG Protocol. In 2025, Freightways elected to align with the GHG
Protocol. As Scope 3 emissions were not reported in 2024, this had no material impact.
Metrics and Targets
Greenhouse gas emissions
Freightways’ Scope 1, Scope 2 (location-based) and
Scope 3 greenhouse gas emissions for the Reporting
Period are set out in Table 4.
1

Freightways’ greenhouse gas emissions reporting has
been prepared in accordance with the Greenhouse
Gas Protocol: A Corporate Accounting and Reporting
Standard (2004) and the Greenhouse Gas Protocol:
Corporate Value Chain (Scope 3) Accounting and
Reporting Standard (2011) (together the GHG Protocol).
2

Any exclusions from reporting are disclosed and
justified. The measured greenhouse gas emissions
metrics in this section cover the Reporting Period.
PricewaterhouseCoopers (PwC) provided an unqualified
limited assurance report on each of the 2026 total
Scope 1, total Scope 2 (location-based) and total Scope
3 greenhouse gas emissions shown in Table 4. The PwC
assurance report is detailed on pages 42 – 43.
Freightways’ greenhouse gas emissions
inventory is measured in three scopes:
Scope 1 includes all direct emissions occurring
from Freightways’ operations, most notably
diesel, petrol, and natural gas use across owned
or controlled fleet and facilities. It also includes
emissions from refrigerant top-ups in chilled
facilities and fleet operated by the Group.
Scope 2 covers emissions from the generation
of purchased electricity consumed within Group
operations. Scope 2 emissions have been
measured using location-based emissions factors.
Scope 3 refers to all other indirect emissions that
occur as a consequence of Freightways’ activities
but occur from sources not owned or controlled by
the Group, across its value chain (both upstream
and downstream).
30Freightways Climate Statement 2026
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TABLE 4: FREIGHTWAYS’ 2024 – 2026 GREENHOUSE GAS EMISSIONS (tCO₂e)
1
202420252026
Scope 1
Mobile combustion32,92633,901
2
35,697
Stationary combustion89820790
Fugitive emissions1,173882
2
1,043
Total Scope 134,18735,604
2
37, 5 3 1
Scope 2
Electricity (location-based)5,0515,957
2
5,414
Total Scope 25,0515,957
2
5,414
Total Scope 1 and 239,23841,561
2
42,945
Scope 3
Category 1: Purchased goods and services-7, 3 4 3
2
7, 6 8 4
Category 2: Capital goods-2,94 4
2
3,129
Category 3: Fuel- and energy-related activities-9,913
2
10,334
Category 4: Upstream transportation and distribution
2
-95,331
2
115,552
Category 5: Waste generated in operations
3
-19,657
2
21,502
Category 6: Business travel-917
2
920
Category 7: Employee commuting-5,5846,047
Category 8: Upstream leased assets-Not applicableNot applicable
Category 9: Downstream transportation and distribution-Excluded – NZCS 26,431
Category 10: Processing of sold products-Excluded – NZCS 22,697
Category 11: Use of sold products-Excluded – NZCS 25,524
Category 12: End-of-life treatment of sold products-Excluded – NZCS 2126
Category 13: Downstream leased assets-202
2
482
Category 14: Franchises-Not applicableNot applicable
Category 15: Investments-5668
Total Scope 3 -
3
141,948
2, 4
180,495
Total greenhouse gas emissions (location-based)39,238183,509
2
223,440
1
The figures in the table may not add to the stated total due to rounding.
2
This 2025 figure has been restated. Please refer to Table 5 on page 33 for more information.
3
In 2024, Freightways did not report any Scope 3 emissions, relying on NZCS 2
adoption relief.
4
In 2025, Freightways used adoption relief under NZCS 2 for Scope 3 categories 9, 10, 11 and
12. Remaining Scope 3 emissions were subject to limited assurance provided by PwC.
UNDERSTANDING EMISSIONS FROM SOLD
RECYCLED MATERIALS
Certain Freightways Controlled Businesses, including TIMG New
Zealand and Shred-X, collect paper, cardboard and electrical
devices for recycling. These materials are shredded or dismantled
before being sold to third parties for further processing.
Category 9 (Downstream transportation and distribution)
emissions are estimated for recycled materials sold, based
on the country they are transported to (or assumed to be
transported to).
Category 10 (Processing of sold products) emissions are
estimated only where Freightways can reliably identify the
processor undertaking the next stage of processing. This
represents approximately 29 percent of the recycled materials
sold. The remaining 71 percent of recycled materials are sold
through brokers or other channels where Freightways cannot
reliably identify the ultimate processor, and the associated
category 10 emissions have therefore not been estimated.
Category 12 (End-of-life treatment of sold products) has not
been estimated for any recycled materials sold. Freightways
does not have sufficient information about the products
ultimately manufactured from these materials, the markets in
which they are sold, or the end-of-life treatment pathways that
apply. As a result, 100 percent of recycled materials sold have
been excluded from this category.
Further information on the exclusions, methodology, and
assumptions relating to categories 9, 10 and 12 is provided in
Table 6 on pages 35 – 36 and Appendix 4..
31Freightways Climate Statement 2026
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SCOPE 1
37,531 tCO₂e
17%
2%
81%
SCOPE 3
180,495 tCO₂e
SCOPE 2
– Location based
5,414 tCO₂e
Emissions snapshot
BREAKING DOWN SCOPE 3, CATEGORY 4
1
This percentage is aligned with the transport activities
covered in Pillar 1 of the Transition Plan detailed on pages
22 – 26. It does not include greenhouse gas emissions
from third-party international parcel freight, third-party
sea freight, third-party air freight, third-party road freight
or rail.
2
Emissions related to the consumption of jet fuel are not
included within Scope 1 emissions because Freightways
does not have operational control of Parcelair Limited or
the aircraft operated for the contracted airfreight services.
A fixed percent of airfreight capacity on scheduled flights
is made available to Freightways (and another independent
party) under various ACMI agreements. Under the ACMIs,
Freightways does not have operational control over the
flight operations. Under the ACMIs, Freightways procures
airfreight services and these emissions are accounted for
in Scope 3, Category 4.
2026 EMISSIONS SNAPSHOT
66%
of reported emissions
relate to fossil fuel used in
controlled vehicles, contractor
driver vehicles, agents,
linehaul, and the contracted
air fleet
1
Purchased goods and services
Capital goods
Fuel- and energy-related activities
Upstream transportation and distribution
Waste generated in operations
Business travel
Employee commuting
Downstream transportation and distribution
Processing of sold products
Use of sold products
End-of-life treatment of sold products
Downstream leased assets
Investments
2,697 tCO₂e
10
5,524 tCO₂e
11
126 tCO₂e
12
482 tCO₂e
13
68 tCO₂e
15
6,431 tCO₂e
9
6,047 tCO₂e
7
920 tCO₂e
6
3,129 tCO₂e
2
4
5
WASTE GENERATED
IN OPERATIONS
12% of reported Scope 3
21,502 tCO₂e
3
FUEL- AND ENERGY-RELATED ACTIVITIES
6% of reported Scope 3
10,334 tCO₂e
UPSTREAM TRANSPORTATION
AND DISTRIBUTION
64% of reported Scope 3
115,552 tCO₂e
PURCHASED GOODS AND SERVICES
4% of reported Scope 3
7,684 tCO₂e
1
1
2
3
4
5
6
7
9
10
11
12
13
15
SCOPE 3 CATEGORY
0
10,000
20,000
30,000
40,000
50,000
Third-party
international
parcel freight
Third-party
sea freight
Third-party air
freight
Third-party
road freight
Rail freightLinehaulAgentsContractor
drivers
Contracted air
fleet
1,924
7,907
2,261
245
4
24,665
16,751
47,837
13,958
Emissions tCO
₂
e
²
SCOPE 3 EMISSIONS
32Freightways Climate Statement 2026
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ANALYSIS OF TRENDS IN
GREENHOUSE GAS EMISSIONS
Total reported greenhouse gas emissions
increased by 21.8 percent to 223,440
tCO₂e compared to 2025. Of this increase,
6.6 percent (equivalent to 14,777 tCO₂e)
related to four downstream Scope 3
categories measured for the first time
in 2026. The increase also reflects the
inclusion of VTFE, which was acquired
on 30 January 2026. As Freightways
reset its base year to 2026, VTFE’s
emissions were included for the full
Reporting Period rather than only from
the acquisition date, which is in line with
the GHG Protocol for structural changes.
Excluding the new downstream categories
and the emissions relating to VTFE, total
emissions increased by 6.1 percent
from the previous reporting period.
Scope 1 emissions increased by 5.4
percent from the previous reporting
period, to 37,531 tCO₂e. This was
principally due to increased mobile
combustion emissions from the
Temperature Controlled business,
reflecting higher kilometres travelled and
sales volumes.
Scope 2 emissions decreased by 9.1
percent from the previous reporting
period, to 5,414 tCO₂e, despite electricity
consumption increasing. The reduction
was primarily due to updated electricity
emissions factors published by the New
Zealand Ministry for the Environment and
the Australian Department of Climate
Change, Energy, the Environment and
Water. It does not reflect lower
electricity use.
Excluding the new downstream
categories, Scope 3 emissions increased
by 16.7 percent from the previous
reporting period. The principal driver was
upstream transportation and distribution,
which increased by 21.2 percent from
the previous reporting period, reflecting
the inclusion of VTFE, higher Australian
linehaul and agent activity, and an
increase in the spend-based emission
factor applied to agent services. Category
5, waste generated in operations, also
increased by 9.4 percent from the
previous reporting period, partly due to
greater volumes processed by the Waste
Renewal business and a higher New
Zealand landfill emissions factor. Overall,
the movement reflects a combination
of business growth, increased transport
activity and emission factor changes.
RESTATEMENTS AND RECALCULATIONS
I
n preparing its 2026 greenhouse
gas emissions inventory, Freightways
reviewed previously reported greenhouse
gas emissions data for matters affecting
its accuracy and comparability. Previously
reported data is restated where a
material error is identified. Freightways
may elect to restate for errors that are
not material, and / or where changes
in data quality, methodology, available
TABLE 5: 2025 RESTATEMENTS
1

Scope / Category
2025 reported
(tCO₂e)
2025 restated
(tCO₂e)
Movement
(tCO₂e)
Impact on
Scope (%)Reason for restatement
Scope 1: Mobile combustion33,32733,9015751.6%Data error change
Scope 1: Fugitive emissions980882-99-0.3%Data error change
Scope 2: Purchased energy6,0585,957-101-1 .7%Data error change and emissions factor update
Scope 3: Category 1 (purchased goods and services)8,4737, 3 4 3-1,1 30-0.8%Methodology update
Scope 3: Category 2 (capital goods)2,5792,94 43660.2%Data error change
Scope 3: Category 3 (fuel-and-energy related activities)9,9179,913-40%Data error change and emissions factor update
Scope 3: Category 4 (upstream transportation and distribution)100,32695,331-4,995-3.4%Data error change and methodology change
Scope 3: Category 5 (waste generated in operations)19,09719,6575590.4%Data error change and methodology change
Scope 3: Category 6 (business travel)1,814917-897-0.6%Data error change
Scope 3: Category 13 (downstream leased assets)203202-10%Emissions factor update
information, activities or organisational
structure would improve accuracy or
comparability. Any required restatement
is reflected in the first climate statement
issued after the relevant matter is
identified. Restatements made in the
Reporting Period are detailed in Table
5. None of the restatements made are
individually, or collectively, material.
BASE YEAR
In accordance with the GHG Protocol,
Freightways has reset its base year to
2026 across all Scopes following the
acquisition of VTFE on 30 January 2026.
The reset establishes a consistent
baseline across the Group’s greenhouse
gas emissions reporting. For the purposes
of the 2026 base year, VTFE emissions
have been included for the full financial
year to provide a representative and
comparable baseline from which future
emissions performance and transition
activities can be measured.
1
Movement amount in tCO₂e may not add to stated total due to rounding.
33Freightways Climate Statement 2026
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OPERATIONAL BOUNDARIES
In accordance with the GHG Protocol,
Freightways’ greenhouse gas emissions
inventory is measured in three scopes:
Scope 1 includes all direct emissions
occurring from Freightways’
operations, most notably diesel,
petrol, and natural gas use
across owned or controlled fleet
and facilities. It also includes
emissions from refrigerant top-
ups in chilled facilities and fleet
operated by the Group.
Scope 2 covers emissions from the
generation of purchased electricity
consumed within Group operations.
Scope 2 emissions have been
measured using location-based
emissions factors.
Scope 3 refers to all other
indirect emissions that occur as
a consequence of Freightways’
activities but occur from sources
not owned or controlled by the
Group, across its value chain (both
upstream and downstream). The GHG
Protocol divides Scope 3 emissions
into 15 different categories.
The following Scope 3 categories are
measured in the Group’s greenhouse
gas emissions inventory:
• Category 1: Purchased goods and
services
• Category 2: Capital goods
• Category 3: Fuel- and energy-related
activities
• Category 4: Upstream transportation
and distribution
• Category 5: Waste generated in
operations
• Category 6: Business travel
• Category 7: Employee commuting
• Category 9: Downstream
transportation and distribution
• Category 10: Processing of sold
products
• Category 11: Use of sold products
• Category 12: End-of-life treatment of
sold products
• Category 13: Downstream leased
assets; and
• Category 15: Investments.
Categories 8 and 14 were considered
and assessed as not applicable to
Freightways in the Reporting Period.
EXCLUSIONS
Freightways seeks to quantify all material
greenhouse gas emission sources within
its reporting boundary using the best
available information. Before excluding
an activity, Freightways considers
whether a reasonable estimate can
be developed using available data and
recognised estimation methodologies.
Activities are excluded only where they
fall outside the reporting boundary, are
assessed as immaterial, or where the
available information is insufficient to
develop a reasonable estimate without
introducing uncertainty so significant
that the reported estimate would not
provide decision-useful information.
Exclusions are reviewed annually and
reassessed where improved data or
estimation methodologies become
available. Greenhouse gas emission
sources wholly or partially excluded
in the Reporting Period are detailed in
Table 6.
CONSOLIDATION APPROACH AND
ORGANISATIONAL BOUNDARIES
Freightways applies an operational
control consolidation approach
to determine the boundary of its
greenhouse gas emissions. All emissions
from operations over which Freightways,
or one of its subsidiaries, has control are
accounted for.
None of Freightways’ subsidiaries have
been excluded from the greenhouse
gas emissions inventory. Many do not
emit any greenhouse gas emissions (as
they do not have substantive physical
operations), and those that do are
reported within the Group. All Australian
and New Zealand Controlled Businesses
are within the operational control of
the Parent and have been included.
Freightways, through its subsidiaries,
has an equity share in Upcycled Building
Materials Limited (38.51 percent),
Sweetspot Group Limited (33.3 percent)
and Parcelair Limited (50 percent). These
Equity Share Entities are excluded from
Scope 1 and 2 emissions and accounted
for within Scope 3 on the basis that
Freightways does not have operational
control of these entities.
1
MATERIALITY THRESHOLD
Materiality is assessed by emission
Scope, with a materiality threshold set
at 5 percent of total emissions for the
relevant Scope.
1
Emissions related to the consumption of jet fuel are not included within Scope 1 emissions because Freightways
does not have operational control of Parcelair Limited or the aircraft operated for the contracted airfreight
services. A fixed percent of airfreight capacity on scheduled flights is made available to Freightways (and another
independent party) under various ACMI agreements. Under the ACMIs, Freightways does not have operational
control over the flight operations. Under the ACMIs, Freightways procures airfreight services and these emissions
are accounted for in Scope 3, category 4.
34Freightways Climate Statement 2026
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TABLE 6: GREENHOUSE GAS EMISSION SOURCES WHOLLY OR PARTIALLY EXCLUDED FROM FREIGHTWAYS’ GREENHOUSE GAS EMISSIONS INVENTORY
Emissions scope
/ categoryExcluded activityBasis for exclusion
Scope 1Fuel purchased using personal credit cards
that has not been reported.
Purchase records are not available for fuel acquired using personal payment methods.
Scope 3, category 4Contractor fuel purchases made outside the
Freightways fuel card system.
C
ontractor drivers may use both Freightways-issued fuel cards and alternative payment methods. Freightways cannot
determine which fuel purchases have been made outside the fuel card system or any fuel card purchases for personal use.
Scope 3, category 6Business travel paid using personal credit
cards that has not been reported.
Purchase records are not available for travel acquired using personal payment methods.
Scope 3, category 9Downstream transportation of exported
sold recycled materials from the destination
port to the final customer or downstream
processing facility, where Freightways
measures international transport using a port-
to-port methodology.
Freightways measures category 9 emissions from the port of departure to the destination port. Final-mile transportation
within the destination country is excluded because export volumes cannot be consistently traced to a final customer or
downstream processing location, and information on inland transport routes, modes and distribution arrangements is
not available. Freightways considered whether a reasonable estimate could be developed. However, the assumptions
required would result in uncertainty so significant that the estimate would not provide decision-useful information.
Scope 3, category 9Downstream transportation of aviation parts
where freight is arranged by the customer.
Freightways has assessed downstream transportation of aviation parts arranged by customers as immaterial.
Scope 3, category 10Processing of recycled materials sold where
the downstream processor, processing
method or applicable emissions factor is
unknown or cannot be reasonably inferred.
Where recycled materials are sold through brokers, Freightways generally does not know the downstream processor,
processing technology or resulting intermediate or finished products. Freightways considered whether generic secondary
emissions factors could be applied. However, processing emissions vary significantly depending on the processor,
location, technology and end product. In the absence of reliable information, any estimate would rely on unsupported
assumptions and would not provide decision-useful information. Accordingly, these processing emissions are excluded.
71 percent of recycled materials sold in the Reporting Period have not been estimated.
Scope 3, category 11Use-phase emissions associated with aviation
parts sold through regulated maintenance
services.
Only a subset of aviation parts sold by Freightways generate greenhouse gas emissions during their use phase. These
components may remain in service for several decades and are frequently reused, refurbished or transferred between
operators. Freightways is not the manufacturer or end user of these products and has limited visibility over how individual
parts are installed, operated and maintained throughout their useful lives. Freightways considered whether a reasonable
estimate could be developed. However, the assumptions required regarding product use, energy source, energy
consumption, operating conditions and service life would result in uncertainty so significant that the estimate would not
provide decision-useful information. Accordingly, use-phase emissions associated with these products are excluded.
35Freightways Climate Statement 2026
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Emissions scope
/ categoryExcluded activityBasis for exclusion
Scope 3, category 12End-of-life treatment of products
manufactured from recycled materials sold by
Freightways.
Freightways does not have sufficiently reliable information on the downstream processors, the products
ultimately manufactured from recycled materials, the markets into which those products are sold, or the end-of-life
treatment pathways available in those markets. Freightways considered whether a reasonable estimate could be
developed using secondary emissions factors. However, potential treatment pathways include recycling, landfill (with
and without gas capture) and incineration, each of which has materially different emissions factors. In the absence
of reliable information regarding the location and applicable treatment pathway, any estimate would rely on highly
judgemental assumptions and would not provide decision-useful information. Accordingly, these emissions are
excluded from the current reporting period.
Scope 3, category 12End-of-life treatment of aviation parts sold
through regulated maintenance services.
Aircraft components typically have long service lives and may be reused, refurbished, repaired or transferred between
operators across multiple jurisdictions before reaching end of life. Freightways does not have visibility over the ultimate
disposal pathways or treatment methods for these components. Freightways considered whether a reasonable estimate
could be developed. However, the assumptions required regarding product life, ownership, location and end-of-life
treatment would result in uncertainty so significant that the estimate would not provide decision-useful information.
Accordingly, these emissions are excluded.
TABLE 6: GREENHOUSE GAS EMISSION SOURCES WHOLLY OR PARTIALLY EXCLUDED FROM FREIGHTWAYS’ GREENHOUSE GAS EMISSIONS INVENTORY (CONTINUED)
SOURCE OF EMISSION FACTORS AND
GLOBAL WARMING POTENTIAL RATES
All emissions disclosed are expressed in
total tonnes of carbon dioxide equivalent
(tCO
2
e). The time horizon in all cases is
100 years.
Emission factors from a range of sources
were used to calculate the Group’s
greenhouse gas emissions inventory.
Emissions factors and the Global
Warming Potential (GWP) sources used
for the main emission sources covered by
Freightways’ greenhouse gas emissions
inventory are outlined in Appendix 4 on
pages 48 – 55.
1

METHODS, ASSUMPTIONS
AND UNCERTAINTIES
Greenhouse gas emissions accounting
generally relies on assumptions and
estimates that can lead to estimation
uncertainty. The effect of this
uncertainty is that measured emissions
might be over- or understated, so the
corresponding emissions data should be
interpreted accordingly. Appendix 4 on
pages 48 – 55 provides an overview of
the main emission sources covered by
Freightways’ greenhouse gas emissions
inventory, including calculation methods,
assumptions made, and an assessment
1
Freightways will incorporate relevant emissions factors released within one month of the end of the Reporting Period into its greenhouse gas emissions calculations where practicable.
Emissions factors released more than one month after the end of the Reporting Period will be applied from the subsequent reporting period.
of the level of uncertainty. In a few
cases, where it is available, supplier-
specific emissions data has been used
to improve greenhouse gas emissions
accuracy. In all other cases, a calculation
methodology has been applied for
quantifying greenhouse gas emissions
in accordance with the GHG Protocol.
This approach multiplies activity data
by an appropriate emissions factor.
36Freightways Climate Statement 2026
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1
Due to the reset of the greenhouse gas emissions base year, VTFE’s emissions have been included for the full Reporting Period, whereas its revenue is included only from the 30 January 2026 acquisition date. This timing difference increases
reported 2026 emissions intensity. If VTFE’s emissions were included only from the acquisition date, emissions intensity would be 148 tCO₂e per million dollars of revenue.
2
2025 figures use the restated 2025 greenhouse gas emissions values.
3
In 2024, Freightways did not report any Scope 3 emissions, relying on NZCS 2 adoption relief.
4
In 2025 Freightways used adoption relief under NZCS 2 for Scope 3 categories 9, 10, 11 and 12. Remaining Scope 3 emissions were reported.
5
Scope 3 categories 9–12 were reported for the first time in 2026 and contributed 14,777 tCO₂e. Reported Scope 3 and total emissions intensity are therefore not directly comparable with 2025.
TABLE 7: tCO₂e PER MILLION DOLLARS OF REVENUE
20242025
2
2026
Scope 128.52 7. 625.6
Scope 24.24.63.7
Scope 3-
3
110.1123.3
Total tCO₂e per million dollars of revenue
(Scope 1 and 2)32 .732.2
4
29.3
Total tCO₂e per million dollars of revenue
(Scope 1, 2 and 3)-142.3152 .7
1, 5
Other metrics
INDUSTRY-BASED METRICS AND
INTERNAL EMISSIONS PRICE
Freightways has not adopted industry-
based metrics to measure and manage
climate-related risks and opportunities in
the Reporting Period.
Freightways has not used an internal
emissions price in the Reporting Period.
EMISSIONS INTENSITY
In 2024, Freightways reported emissions
intensity based on its aggregated
Scope 1 and Scope 2 tCO₂e per million
dollars of revenue. Due to the expanded
scope of emissions measured and
reported in 2025, Freightways expanded
the assessment across measured
greenhouse gas emission scopes. In
2026, Freightways has reported a greater
range of Scope 3 emissions and the
assessment has expanded accordingly.
Table 7 outlines Freightways’ greenhouse
emissions intensity, measured in tCO₂e
per million dollars of revenue.
Scope 1 and 2 emissions intensity
decreased by 9 percent from 2025,
despite absolute Scope 1 and 2
emissions increasing by 3.3 percent.
Revenue increased by approximately
13.5 percent over the same period. The
decrease in intensity therefore primarily
reflects revenue growth rather than a
reduction in absolute emissions.
Reported Scope 3 emissions intensity
increased by 12 percent from 2025.
This increase principally reflects
the first-time inclusion of Scope 3
categories 9–12 and the acquisition
of VTFE in the Reporting Period.
1
Overall, total tCO₂e (Scopes 1 – 3) per
million dollars of revenue increased by
7.3 percent from 2025. When calculated
using Scope 1, Scope 2, the Scope 3
categories reported in both periods, and
excluding greenhouse gas emissions
and revenue associated with VTFE in
the Reporting Period, total emissions
intensity remained broadly stable
at 137.6 tCO₂e per million dollars of
revenue, compared with 142.3 in 2025.
37Freightways Climate Statement 2026
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EXPOSURE TO CLIMATE-RELATED
RISKS AND OPPORTUNITIES
Freightways’ assets and business
activities are located and operate
throughout New Zealand and Australia.
These assets and activities are exposed
to both physical and transition risk.
Vulnerability to physical risk
Freightways’ business model relies
on a transportation network and
infrastructure across New Zealand and
Australia to enable it to pick up, process
and deliver on behalf of its customers.
Freightways has conducted risk
assessments to consider the exposure
and vulnerability of its operating
premises to climate-related hazards.
During the Reporting Period, Freightways
worked with KPMG New Zealand
to undertake a high-level climate
hazard exposure and vulnerability
assessment of its operating premises.
This analysis replaced the Route and
Premise Assessment referenced in
Freightways’ earlier climate statements.
Climate hazard exposure data was
accessed through KPMG’s alliance with
ClimSystems, a climate intelligence
provider that uses global and national
data sets, such as the New Zealand
CMIP6 Climate Projections Dataset,
to provide exposure assessments.
ClimSystems was selected for its
extensive experience in climate
modelling and risk analysis, as well as
its ability to provide a consistent and
comparable climate hazard dataset
across Freightways’ operations in
both New Zealand and Australia.
Hazard exposure data was collected
across Freightways’ three climate
scenarios (SSP1-1.9 (Fully Charged),
SSP2-4.5 (Slow Followers) and SSP3-
7.0 (Route to Overshoot)) across three
time horizons – 2030, 2040, and 2050.
Further information on ClimSystems
methodology and data sets can be
found in Appendix 3 on page 46.
The analysis included both Freightways-
owned and leased sites. It did not
explicitly assess business disruption,
supply chain impacts, or the resilience
of individual buildings and controls.
However, these factors were considered
indirectly through a qualitative review
of each site’s strategic significance to
Freightways, together with consideration
of insured value. In the next reporting
period, Freightways intends to use the
insights from this assessment to further
examine the vulnerability of individual
buildings, premises, and controls.
Further information on the methodology and sources of information used in this
assessment is detailed in Appendix 3 on page 46.
Flood and coastal inundation were assessed as the physical hazards most likely to
impact the Group’s premises and its assets. Table 8 outlines the percent of sites across
the Group assessed as vulnerable to flood and coastal inundation.
The assessment followed a three-step process:
1. General exposure assessment: Identifying sites exposed to material physical
climate hazards using ClimSystems’ physical hazard modelling.
2. Materiality assessment: Reviewing the materiality of the tested hazards to
site and asset damage and identifying sites that could be materially exposed
to the material hazards; and
3. Vulnerability assessment: Using these results to identify assets or premises
potentially vulnerable to material physical climate-related risks. Due to data
limitations, this centred on a qualitative review of various aspects and site
features that could affect a site's vulnerability.
38Freightways Climate Statement 2026
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TABLE 8: PERCENT OF SITES ACROSS THE GROUP ASSESSED AS VULNERABLE TO FLOOD AND COASTAL INUNDATION HAZARDS
HazardExposure assessmentVulnerability assessment
FloodRoute to Overshoot scenario (SSP3-7.0)
Nine sites representing approximately 9.8 percent of total assessed sites were assessed as having
flood exposure in 2050. Of these, four were assessed as medium, four were assessed as high, and
one site was assessed as having very high flood exposure.
Fully Charged scenario (SSP1-1.9)
Seven sites representing approximately 7.6 percent of total assessed sites were assessed as having
flood exposure in 2050. Of these, four were assessed as medium, two were assessed as high, and
one site was assessed as having very high flood exposure.
Two sites were assessed as potentially vulnerable
under SSP3-7.0, representing 2.2 percent of total
assessed premises. These same two sites were
also assessed as potentially vulnerable under a
SSP1-1.9 scenario. The exposure rating was high in
each scenario for one of these sites, and medium
in each scenario for the other. None of these
sites are considered strategically significant.
Coastal inundation Route to Overshoot scenario (SSP3-7.0)
34 sites representing approximately 37 percent of total assessed sites were assessed as having
coastal inundation exposure in 2050. Of these, 32 were assessed as medium, and two were assessed
as having high coastal inundation exposure.
Fully Charged scenario (SSP1-1.9)
33 sites representing approximately 35.9 percent of total assessed sites were assessed as having
coastal inundation exposure in 2050. Of these, 31 were assessed as medium, and two were assessed
as having high coastal inundation exposure.
Two sites were assessed as potentially vulnerable
under SSP3-7.0, representing 2.2 percent of total
assessed premises. These same two sites were
also assessed as potentially vulnerable under a
SSP1-1.9 scenario. In each case, the exposure
rating was assessed as Medium. None of these
sites are considered strategically significant.
39Freightways Climate Statement 2026
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TABLE 9: PERCENTAGE OF COMPANY-CONTROLLED VEHICLES BY ENGINE TYPE (AT 30 JUNE 2026)
Vehicle Type
Total vehicle
count
Internal
combustion
engine
(%)
Hybrid /
PHEV
(%)
Battery
electric
(%)
Forklift / hoist42949%0%51%
Motorbike28299%0%1%
Car30223%76%0%
Ute933%67%0%
Van16799%0%1%
Truck / tractor unit371100%0%0%
Refrigerated trailer / reefer
2
12199%0%1%
Total1,68173%14%13%
TABLE 10: PERCENTAGE OF JET FUEL USED BY TYPE
Aviation fuel type (%)
Jet fuel (fossil)100%
SAF0%
Other0%
Vulnerability to transition risk
Freightways’ current business model relies on the use of fossil
fuel to generate revenue. As such, Freightways considers that all
its business activities are currently exposed to climate-related
transition risk.
Freightways assessed vulnerability to transition risk with
reference to the parts of its transport activities that continue to
rely on fossil fuels. Although fuel surcharge mechanisms allow
certain Freightways’ Controlled Businesses to pass movements in
fuel prices on to customers, these mechanisms do not eliminate
broader policy, technology, market and reputational transition
risks. Accordingly, company-controlled vehicles, third-party
transport services (including contractor drivers) and contracted
aircraft capacity that have not transitioned to low-emission
alternatives were assessed as vulnerable to transition risk.
At the end of the Reporting Period, 73 percent of company-
controlled vehicles used internal combustion engines and
continued to rely on fossil fuels to operate. This is detailed in
Table 9.
At the end of the Reporting Period, the New Zealand Express
Package transport network included 30 electric vans and 7
hybrid vehicles operated by independent contractor drivers.
Beyond these vehicles, no other low-emission vehicles were
known to have been used within the New Zealand and Australia
Express Package transport network, other than on a trial basis.
Table 10 outlines the percentage of jet fuel used within the
contracted aircraft network that was Sustainable Aviation
Fuel (SAF).
1
Climate-related opportunities
Freightways has identified climate-related opportunities to
develop new services and increase its operational efficiency.
These opportunities have the potential to impact all of
Freightways’ operations and activities. As such, all of Freightways’
activities could be aligned with climate-related opportunities.
1
Freightways has access to capacity on aircraft in New Zealand via various ACMI agreements. Freightways does not have operational control of
Parcelair Limited or the aircraft used for the contracted airfreight services. It can track exposure to jet fuel prices through contract terms with
the aircraft operators.
2
Non-refrigerated trailers are excluded from this table.
40Freightways Climate Statement 2026
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CAPITAL DEPLOYMENT
Freightways generally operates a
capital light business model, relying on
third-party transport providers across
its Express Package businesses and
a combination of leased and owned
vehicles across the other businesses.
In the Reporting Period, Freightways
made investments with climate-
related considerations, including
various electric vehicles, charging
infrastructure and replacement
equipment with better energy efficiency.
However, these investments were
not a financially material amount.
REMUNERATION
Management remuneration linked to
climate-related risks and opportunities
in the Reporting Period is outlined in
the Governance section on page 8.
Targets
During the Reporting Period, Freightways
established two operational metrics to
support the transition of its light vehicle
fleet, and the New Zealand contractor
driver light vehicle fleet, to lower-
emissions alternatives. These operational
metrics form part of the Transition Plan.
The operational metrics were approved
by the Board in June 2026. Together,
these operational metrics are estimated
to represent around 9.2 percent of total
2026 greenhouse gas emissions.
These metrics are described in Table
11 below.
The Transition Plan does not yet include
a Group-wide emissions reduction
target. This reflects the need for further
analysis of the Group’s operations that
rely on heavy vehicles. While operational
metrics have been established for
light commercial vehicles, further
work is required to assess the timing,
availability, operational suitability,
and emissions reduction potential of
emerging low-emissions heavy vehicle
technologies across New Zealand and
Australia. This includes evaluating the
supporting infrastructure, investment
requirements and network design
changes needed to enable their adoption.
These operational metrics cover
the period to the end of the 2032
financial year. Neither metric has any
associated interim target. In each
case progress will be measured based
on the percentage of electric or low-
emission vehicles in the in-scope fleet.
The metrics are operational metrics
– they are not absolute or intensity
emission reduction targets. Freightways
continues to consider how to set Group-
wide emission reduction targets, and
these metrics may form part of the
delivery of any emissions reduction
target set in future reporting periods.
Transitioning parts of the Freightways
network to low-emission vehicles will
displace the combustion of petrol and diesel in parts of the network. However, as Group-
wide emissions reduction targets have not been set, Freightways does not have an
understanding of how the metrics contribute to limiting global warming to 1.5ºC. No third-
party methodology has been relied on in setting these metrics, and achievement of these
metrics does not contemplate the use of carbon credits or other offsetting instruments.
TABLE 11: OPERATIONAL METRICS FOR LIGHT VEHICLES
MetricDependencies and details
Transition at least 75
percent of Freightways’ light
commercial vehicle fleet to
low-emission vehicles by 2032
This metric covers owned or controlled light commercial
vehicles in New Zealand and Australia. This includes
forklifts, hoists, motorbikes, cars, utes and vans.
Achievement of this metric is dependent on the availability
of fit-for-purpose electric vehicles across all classes,
sufficient charging infrastructure, and electricity network
capacity across New Zealand and Australia.
Where operational needs cannot be met with an electric
vehicle, plug-in hybrid vehicles may be considered a
suitable alternative.
At the end of the Reporting Period, electric vehicles
represented around 18.8 percent of the in-scope fleet.
Engage with contractor drivers
in the New Zealand express
package network to support
the transition of at least 75
percent of light commercial
pick-up and delivery vehicles to
low-emission vehicles by 2032
This metric does not include Australian Express
Package businesses.
This metric applies to vehicles owned or controlled by
contractor drivers providing pick-up and delivery services
to Freightways in light commercial vehicles, such as cars
and vans.
Low-emission vehicles means fully electric vehicles. In
cases where operational requirements limit electric vehicle
use, a plug-in hybrid electric vehicle may qualify.
Achievement of this metric is dependent on the availability
of fit-for-purpose electric vehicles across all classes,
sufficient charging infrastructure, and electricity network
capacity across New Zealand. It is also dependent on third-
party contractor drivers electing to transition to electric
vehicles.
At the end of the Reporting Period, electric vehicles
represented 3.1 percent of the in-scope fleet.
41Freightways Climate Statement 2026
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PwC New Zealand, PwC Centre, 10 Waterloo Quay
PO Box 243, Wellington 6140, New Zealand
+64 4 462 7000

pwc.co.nz
Independent Assurance Report
To the Directors of Freightways Group Limited
Limited Assurance Report on Freightways Group Limited’s
Greenhouse Gas (GHG) Disclosures
Our conclusion
We have undertaken a limited assurance engagement on the gross GHG emissions, additional required disclosures
of gross GHG emissions, and gross GHG emissions methods, assumptions and estimation uncertainty (the GHG
Disclosures), as outlined within the Scope of our limited assurance engagement section below, included in the
Climate Statement of Freightways Group Limited (the Company) and its subsidiaries (the Group) for the year ended
30 June 2026.
Based on the procedures we have performed and the evidence we have obtained, nothing has come to our attention
that causes us to believe that the GHG Disclosures are not fairly presented and are not prepared, in all material
respects, in accordance with the Aotearoa New Zealand Climate Standards (NZ CSs) issued by the External
Reporting Board (XRB), as explained on page 1 of the Climate Statement.
Scope of our limited assurance engagement
We have undertaken a limited assurance engagement over the following GHG Disclosures on pages 30, 31, 34 to 36
and 48 to 55 of the Climate Statement for the year ended 30 June 2026:
• gross GHG emissions:
– Total Scope 1 of 37,531 tCO2e on page 31;
– Total Scope 2 (location-based) of 5,414 tCO2e on page 31; and
– Total Scope 3 of 180,495 tCO2e on page 31;
• additional required disclosures of gross GHG emissions on pages 30, 31 and 34 to 36; and
• gross GHG emissions methods, assumptions and estimation uncertainty on pages 36 and 48 to 55.
Our assurance engagement does not extend to any other information included, or referred to, in the Climate
Statement on pages 1 to 29, 32 to 33 and 37 to 47. We have not performed any procedures with respect to the excluded
information and, therefore, no conclusion is expressed on it. The comparative information for the years ended 30 June
2024 and 30 June 2025 disclosed in the Group’s Climate Statement is not covered by the assurance conclusion
expressed in this report.

2 PwC – Independent Assurance Report
Key Matters to the GHG assurance engagement
In this section we present those matters that, in our professional judgement, were most significant in undertaking
the assurance engagement over the GHG Disclosures. These matters were addressed in the context of our assurance
engagement, and in forming our conclusion. We did not reach a separate assurance conclusion on each individual
key matter.
Description of the key matter How our assurance engagement addressed the key matter
Key judgements, estimates and assumptions
relating to road freight emissions within Scope
3, Category 4: Upstream transportation and
distribution
Road freight emissions from contract drivers and
third-party providers within Scope 3, Category 4:
Upstream transportation and distribution account for
approximately 50% of the total Scope 3 emissions
and involve key judgements, estimates and
assumptions.
As disclosed in Appendix 4 on pages 50 and 51,
where fuel card data was available, road freight
emissions were based on recorded fuel
consumption. Where fuel card data was not
available or fuel consumption could not be reliably
estimated, the Group applied the distance-based
method, requiring assumptions about the distance
travelled and fleet composition (vehicle type, size
and age) to select appropriate emission factors.
Where distance-based estimates could not be
made, the spend-based method was applied.
This is considered a key matter because estimation
of road freight emissions requires significant
management judgement and these estimated
emissions are significant to Scope 3.
To evaluate the key judgements, estimates and assumptions relating to
road freight within Scope 3, Category 4, we:
• Enquired of management to understand the methodology used and
the basis for the key judgements made;
• Assessed alignment of the Group’s approach with the GHG
Protocol;
• Evaluated whether the Group’s methods for developing estimates
for fuel consumption, distance travelled, fleet composition and
spend are appropriate and had been consistently applied, where
relevant;
• Tested, on a limited sample basis against underlying records, the
distance (kilometres) travelled;
• Enquired of management regarding their determination of whether
the emission factors used reflect the appropriate vehicle type, size,
and age, and tested on a sample basis that these emission factors
were correctly applied;
• Performed analytical procedures by comparing the expected GHG
emissions emitted based on historical GHG emissions to actual
GHG emissions emitted and made enquiries of management to
obtain explanations for any significant differences we identified; and
• Considered the appropriateness of related disclosures for methods,
assumptions and estimation uncertainty relevant to these emissions
sources on pages 50 and 51.
Directors’ responsibilities
The Directors of the Company are responsible on behalf of the Company for the preparation and fair presentation of
the GHG Disclosures in accordance with NZ CSs. This responsibility includes the design, implementation and
maintenance of internal controls relevant to the preparation of GHG Disclosures that are free from material
misstatement whether due to fraud or error.
Inherent Uncertainty in preparing GHG Disclosures
As discussed on page 48 of the Climate Statement, the GHG quantification is subject to inherent uncertainty
because of incomplete scientific knowledge used to determine emissions factors and the values needed to combine
emissions of different gases.
Our independence and quality management
This assurance engagement was undertaken in accordance with New Zealand Standard on Assurance Engagements
1 Assurance Engagements over Greenhouse Gas Emissions Disclosures, issued by the External Reporting Board
(XRB) (NZ SAE 1). NZ SAE 1 is founded on the fundamental principles of independence, integrity, objectivity,
professional competence and due care, confidentiality and professional behaviour.
We have also complied with the following professional and ethical standards and accreditation body requirements:
• Professional and Ethical Standard 1: International Code of Ethics for Assurance Practitioners (including
International Independence Standards) (New Zealand);
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4 PwC – Independent Assurance Report
• Considered the presentation and disclosure of the GHG Disclosures.
The procedures performed in a limited assurance engagement vary in nature and timing from, and are less in extent
than for, a reasonable assurance engagement. Consequently, the level of assurance obtained in a limited assurance
engagement is substantially lower than the assurance that would have been obtained had we performed a
reasonable assurance engagement and does not enable us to obtain assurance that we would become aware of all
significant matters that we otherwise might identify. Accordingly, we do not express a reasonable assurance opinion
on these GHG Disclosures.
Inherent limitations
Because of the inherent limitations of an assurance engagement, together with the internal control structure, it is
possible that fraud, error or non-compliance may occur and not be detected.
Who we report to
This report is made solely to the Company’s Directors, as a body. Our work has been undertaken so that we might
state those matters which we are required to state to them in our assurance report and for no other purpose. To the
fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and
the Company’s Directors, as a body, for our procedures, for this report, or for the conclusions we have formed.
The engagement partner on the engagement resulting in this independent assurance report is Christopher Ussher.
For and on behalf of:
PricewaterhouseCoopers Wellington
17 August 2026

3 PwC – Independent Assurance Report
• Professional and Ethical Standard 3: Quality Management for Firms that Perform Audits or Reviews of Financial
Statements, or Other Assurance or Related Services Engagements; and
• Professional and Ethical Standard 4: Engagement Quality Reviews.
In our capacity as auditor and assurance practitioner, our firm also provided audit and review services. Our firm
has also carried out an assignment in the area of executive long term incentives market practice benchmarking. In
addition, certain partners and employees of our firm may deal with the Group on normal terms within the ordinary
course of trading activities of the business. The firm has no other relationship with, or interests in, the Group.
Assurance practitioner’s responsibilities
Our responsibility is to express a conclusion on the GHG Disclosures based on the procedures we have performed
and the evidence we have obtained. NZ SAE 1 requires us to plan and perform the engagement to obtain the
intended level of assurance about whether anything has come to our attention that causes us to believe that the
GHG Disclosures are not fairly presented and are not prepared, in all material respects, in accordance with NZ CSs,
whether due to fraud or error, and to report our conclusion to the Directors of the Company.
As we are engaged to form an independent conclusion on the GHG Disclosures prepared by management, we are
not permitted to be involved in the preparation of the GHG information as doing so may compromise our
independence.
Summary of work performed
Our limited assurance engagement was performed in accordance with NZ SAE 1, and ISAE (NZ) 3410 Assurance
Engagements on Greenhouse Gas Statements. This involves assessing the suitability in the circumstances of the
Group’s use of NZ CSs as the basis for the preparation of the GHG Disclosures, assessing the risks of material
misstatement of the GHG Disclosures whether due to fraud or error, responding to the assessed risks as necessary
in the circumstances, and evaluating the overall presentation of the GHG Disclosures.
A limited assurance engagement is substantially less in scope than a reasonable assurance engagement in relation
to both the risk assessment procedures, including an understanding of internal control, and the procedures
performed in response to the assessed risks.
The procedures we performed were based on our professional judgement and included enquiries, observation of
processes performed, inspection of documents, analytical procedures, evaluating the appropriateness of
quantification methods and reporting policies, and agreeing or reconciling with underlying records. In undertaking
our limited assurance engagement on the GHG Disclosures, we:
• Obtained, through enquiries, an understanding of the Group’s control environment, processes and information
systems relevant to the preparation of the GHG Disclosures. We did not evaluate the design of particular control
activities, or obtain evidence about their implementation;
• Evaluated the Group’s organisational and operational boundaries to assess completeness of GHG emission
sources;
• Enquired of management about excluded GHG emission sources and assessed the appropriateness of the basis
for those exclusions;
• Evaluated whether the Group’s methods for developing estimates are appropriate and had been consistently
applied. Where we considered it to be appropriate, we tested, on a limited sample basis, the data on which the
estimates are based;
• Assessed a limited number of emission factor sources and reperformed a limited number of emissions
calculations for mathematical accuracy;
• Performed analytical procedures on particular emission categories by comparing the expected GHG emissions
emitted based on historical GHG emissions to actual GHG emissions emitted and made enquiries of management
to obtain explanations for any significant differences we identified; and
43Freightways Climate Statement 2026
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Appendices
Appendix 1: Glossary of terms
AACMIAircraft, Crew, Maintenance, and Insurance agreement
ARCAudit & Risk Committee
AR5IPCC’s Assessment Report 5
CCEOChief Executive Officer
CCCHe Pou a Rangi, the New Zealand Climate Change Commission
CFOChief Financial Officer
Climate Working GroupInternal working group, made up of the CFO, the New Zealand
Group Financial Controller, the Australian Group Financial
Controller, the Head of Sustainability and Climate, and the
Sustainability and Climate Manager
Controlled BusinessesA subsidiary of Freightways
CREClimate Reporting Entity
DDCCEEWDepartment of Climate Change, Energy, the Environment and
Water (Australia)
DESNZDepartment for Energy Security and Net Zero (United Kingdom)
E
Equity Share EntityAn entity in which Freightways, through a Controlled
Business, holds an ownership interest but does not have
operational control.
ETSNew Zealand Emissions Trading Scheme
FFinancial Controllers
Financial controllers of the Controlled Businesses
FreightwaysFreightways Group Limited and its subsidiaries. Also referred to
as the Group
GGeneral ManagersGeneral managers of the Controlled Businesses
GHGGreenhouse gas emissions
GHG ProtocolThe Greenhouse Gas Protocol: A Corporate Accounting and
Reporting Standard and Greenhouse Gas Protocol: Corporate
Value Chain (Scope 3) Accounting and Reporting Standard
GroupFreightways Group Limited and its subsidiaries. Also referred to
as Freightways
GWPGlobal Warming Potential
IIEAInternational Energy Agency
IPCCIntergovernmental Panel on Climate Change
MMFEMinistry for the Environment (New Zealand)
NNGFSNetwork for Greening the Financial System
NIWANational Institute of Water and Atmospheric Research
(New Zealand)
NZCSAotearoa New Zealand Climate Standards
NZCS 1The Aotearoa New Zealand Climate Standard 1
– Climate-related disclosures
NZCS 2The Aotearoa New Zealand Climate Standard 2
– Adoption of Aotearoa New Zealand Climate Standards
NZCS 3The Aotearoa New Zealand Climate Standard 3
– General Requirements for Climate-related Disclosures
NZDNew Zealand Dollar
NZUNew Zealand Unit (used in the ETS)
PParentFreightways Group Limited
PSCPeople & Safety Committee
PwCPricewaterhouseCoopers
RRCPRepresentative Concentration Pathway
Reporting PeriodThe period 1 July 2025 to 30 June 2026
SSAFSustainable Aviation Fuel
SLTSenior Leadership Team
SSPShared Socioeconomic Pathways
STIShort-term incentive
TTCFDTask Force on Climate-related Financial Disclosures
tCO₂eTonnes carbon dioxide equivalent
The Aotearoa CircleA public-private partnership, whose purpose is to restore natural
capital in New Zealand
TIMGThe Information Management Group
Transport Sector ScenariosThe Aotearoa Circle Transport Sector Climate Change Scenarios
TPTTransition Plan Taskforce
3PLThird-party logistics
4PLFourth-party logistics
VVTFEVT Freight Express Pty Ltd
44
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Appendix 2: Scenario analysis methodology and assumptions
Fully Charged (SSP1-1.9)Fully Charged (SSP1-1.9)Slow Followers (SSP2-4.5)Slow Followers (SSP2-4.5)Route to Overshoot (SSP3-7.0)Route to Overshoot (SSP3-7.0)
Temperature outcome2050: +1 .6°C relative to the
pre-industrial baseline
2100: +1 .4°C relative to the
pre-industrial baseline
2050: +1 .9°C relative to the
pre-industrial baseline
2100: +2 .7°C relative to the
pre-industrial baseline
2050: +2.1°C relative to the
pre-industrial baseline
2100: +3.9°C relative to the
pre-industrial baseline
Scenario archetype• SSP1 Sustainability – Taking the green road
• RCP 1.9
• NGFS Delayed transition
• CCC High Technology, High
Systems Change (HTHS)
• IEA Net Zero (NZE)
• SSP2 Middle of the road
• RCP 4.5
• NGFS Fragmented world
• CCC Low Technology, Low
Systems Change (LTLS)
• IEA Stated Policies (STEPS)
• SSP3 Regional Rivalry – A Rocky Road
• RCP 7.0
• NGFS Current policies
• CCC Reference
• IEA Current Policies (CPS)
Macroeconomic trends (SSP)Strong economic growth from transitionModerate to strong economic growthModerate, fossil fuel driven growth
Policy assumptions (SSP)Immediate and smooth. Rapid
change in the short-term.
Varies by country. Slow in the short-
term, then increases in the 2030s.
Insufficient, retroactive, and reactionary.
Speed of technology change (SSP)Fastest. Rapid adoption of low-carbon
fleet and fuel technologies, with high
variation in options. Early supply
competition eases in the medium-term.
Moderate. Slow in the short-term,
followed by a fast transition of fleet
and fuel technologies, with fragmented
supply and medium-term constraints.
Slowest. Gradual transition of fleet and
fuel technologies, while adoption of
other enabling digital and operational
technologies continues at a faster rate.
Carbon sequestration from afforestation
and nature-based solutions (CCC)
Lower exotic forestry. High native
forestry and nature-based solutions.
Medium exotic forestry. Medium native
forestry and nature-based solutions.
High exotic forestry. Low native forestry
and nature-based solutions.
Carbon dioxide removal (NGFS)Medium useLow-medium useLow use
Socioeconomic assumptions (SSP)Cost pressures spike in the short-
term, but the long-term benefits of
transition stabilise the economy, and
consumer sentiment, by the 2040s.
Rising costs and unreliable service
erode consumer confidence.
Society remains “business-as-usual” with little
consumer or behaviour change until the 2040s.
Physical risk severity (RCP)LowestModerateHighest. Climate and ecological
tipping points are breached.
Transition risk severity (SSP)Moderate. Greatest in short-term.Highest. Greatest in medium-term.Lowest. Steadily increasing, but also
giving businesses more time to adapt.
Energy pathways (SSP / CCC / IEA)Fastest. New Zealand, followed by Australia,
rapidly expands renewable energy and
low-carbon fuel production, reducing
exposure to global fuel market volatility.
Moderate. Australia shifts to renewable
energy sooner. New Zealand remains
reliant on imported low-carbon
fuels and fossil fuels for longer.
Slowest. Slow development of domestic
renewable supply in both New Zealand and
Australia. High reliance on fossil fuel imports.
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Appendix 3: Hazard exposure and vulnerability assessment methodology
Freightways worked with KPMG
New Zealand to undertake a high-
level climate hazard exposure and
vulnerability assessment of its operating
premises in New Zealand and Australia.
Climate hazard exposure data was
accessed through KPMG’s alliance with
ClimSystems, a climate intelligence
provider that uses global and national
data sets, such as the New Zealand
CMIP6 Climate Projections Dataset,
to provide exposure assessments.
ClimSystems was selected for its
experience and its ability to provide
a consistent and comparable climate
hazard dataset across Freightways’
operations in both New Zealand and
Australia. While the resolution of the data
is lower than some available national or
regional sets, comparability across the
portfolio was prioritised and data outputs
are sufficient to understand exposure
at each site across a range of hazards.
DATA SOURCES
All climate data sources used
by ClimSystems are publicly
accessible data sources. These
include (but are not limited to):
– CMIP6 climate models (Global)
– Ministry for the Environment
CMIP6 Climate Projections
Dataset (New Zealand)
– NZ SeaRise Sea-Level Projection
and Mapping Tool (New Zealand)
– Earth Sciences New Zealand
Flood Hazard across
Aotearoa (New Zealand)
METHODOLOGY
The assessment informed Freightways’
understanding of potential operating
premises vulnerability through a hazard,
exposure, vulnerability approach.
The analysis was a high-level, desk-
based assessment of potential
operating premises damage only, using
ClimSystems hazard exposure data
for 2050 under SSP1-1.9 and SSP3-
7.0 scenarios as a lower and upper
boundary, respectively. It did not
explicitly assess business disruption,
supply chain impacts, or the resilience
of individual buildings and controls.
The assessment followed a three-step process:
3. Vulnerability assessment: Using
these results to identify assets or
premises potentially vulnerable to
material physical climate-related risks.
Due to data limitations, this centred on
a qualitative review of various aspects
and site features that could affect a
site
’s vulnerability, such as:
• The ownership status of the site
and the length of duration of
leases – this was used as a proxy
for the speed and ease from which
Freightways could relocate from
the site if required.
• The Controlled Business operating
at each site – this was used
as a proxy for the potential
vulnerability of sites due to the
type of material stored and the
specific operating requirements at
the site.
• Known characteristics of the
site could affect that site’s
vulnerability.
• Review of each site’s strategic
significance to Freightways,
together with a consideration of
insured value.
Table 12 on page 47 provides an
overview of the process followed.
1. General exposure assessment:
Identifying sites exposed to material
physical climate hazards. Using
ClimSystems’ physical hazard
modelling, each site was assessed for
its exposure to the following hazards:
temperature variability, heat wave,
changing air temperature, wildfire,
heat stress, heavy precipitation
(rain), flood, sea level rise, coastal
inundation, storm (wind), cyclone,
landslide, land subsidence, and
coastal erosion. ClimSystems hazard
modelling produces risk rankings
(1-10) for hazard exposure based on
a risk matrix approach. Ratings of 1-3
were deemed ‘Low’, ratings of 4-6
were deemed ‘Medium’, ratings of
7-8 were deemed ‘High’, and ratings
of 9-10 were deemed ‘Very High’.
Material hazards were determined
as those meeting the ‘Medium’
exposure threshold and above.
2. Materiality assessment: Reviewing
the materiality of the tested hazards
to potential site and asset damage
and identifying sites that could be
materially exposed to the material
hazards; and
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Hazard1. Hazard materiality2. Exposure assessment3. Vulnerability considerations
Temperature VariabilityDeemed immaterial to site, asset, and inventory damageNot applicableNot applicable
Heat WaveDeemed immaterial to site, asset, and inventory damageNot applicableNot applicable
Changing Air TemperatureDeemed immaterial to site, asset, and inventory damageNot applicableNot applicable
WildfirePotentially material to site, asset, and inventory damageNo sites have medium, high or very high exposureNot applicable
Heat StressDeemed immaterial to site, asset, and inventory damageNot applicableNot applicable
Heavy precipitation (Rain)Deemed immaterial. Direct site or asset damage from
rainfall is not expected to be material for most sites given
assets are generally located within enclosed depot facilities.
Flooding from rainfall is covered under the 'Flood' hazard.
Not applicableNot applicable
FloodPotentially material to site, asset, and inventory damageSSP3-7.0: Nine sites assessed as having flood exposure in
2050. Of these, four were assessed as medium, four were
assessed as high, and one site was assessed as very high
flood exposure.
SSP1-1.9: Seven sites assessed as having flood exposure
in 2050. Of these, four were assessed as medium, two
were assessed as high, and one site was assessed as very
high flood exposure.
• Ownership status
• Nature of operations
• Known characteristics
• Strategic significance
Sea Level RiseDeemed immaterial for assessment as the effects of flooding due
to sea level rise are covered under the coastal inundation hazard.
Not applicableNot applicable
Coastal InundationPotentially material to site, asset, and inventory damageSSP3-7.0: 34 sites were assessed as having coastal
inundation exposure in 2050. Of these, 32 were
assessed as medium, and two were assessed
as having high coastal inundation exposure.
S S P 1-1 .9: 33 sites were assessed as having coastal
inundation exposure in 2050. Of these, 31 were
assessed as medium, and two were assessed
as having high coastal inundation exposure.
• Ownership status
• Nature of operations
• Known characteristics
• Strategic significance
Storm – WindDeemed immaterial. Recent experience indicates limited impacts
to sites, and hazard ratings do not increase from 2005 to 2050.
Not applicableNot applicable
CyclonePotentially material to site, asset, and inventory damageDeemed immaterial: Three sites assessed as exposed at
a 'medium' rating but hazard exposure does not increase
from 2005 to 2050.
Not applicable
LandslidePotentially material to site, asset, and inventory damageNo sites have medium, high or very high exposureNot applicable
Land subsidenceDeemed immaterial. Climate-related driver not separable from
other drivers of land subsidence.
Not applicableNot applicable
Coastal erosionPotentially material to site, asset, and inventory damageDeemed immaterial: Two sites assessed as exposed at a
'medium' rating but hazard exposure does not increase
from 2005 to 2050.
Not applicable
TABLE 12: HAZARD EXPOSURE AND VULNERABILITY ASSESSMENT METHODOLOGY
47Freightways Climate Statement 2026
1. ABOUT2. GOVERNANCE3. STRATEGY4. RISK MANAGEMENT5. METRICS & TARGETS6. ASSURANCE7. APPENDICES

Appendix 4: Greenhouse gas emissions, methodology, uncertainties and assumptions
11+1 METHODOLOGY
Freightways has applied an 11+1 methodology in preparing its greenhouse gas emissions disclosures as actual data for the month of June was unavailable within the reporting
timetable. Under this approach, emissions for the first 11 months of the reporting period are based on actual activity data, while emissions for the final month are estimated by
applying the average monthly activity observed during the preceding 11 months of the reporting period to the final month and calculating the associated emissions using the
applicable emissions factors. Reasonable enquiries were made regarding actual June 2026 activity relating to refrigerants, capital goods and other activities that could have one-
off elements. No material June-specific seasonal variations, acquisitions, operational changes or other one-off activities were identified that required adjustment to the estimates.
The use of the 11+1 methodology introduces estimation uncertainty. The estimation uncertainty relates to the calculation of emissions for the final month of the reporting period
where complete activity data was not available at the reporting date. Actual activity and emissions for the final month may differ from the estimate used due to operational or other
variations occurring during that month.
Sources for the emission factors and GWP rates used
• MFE (2026): Ministry for the Environment (New Zealand). 2026. Measuring emissions:
A guide for organisations: 2026 detailed guide. (GWP100, IPCC AR5)
• DCCEEW (2025): Department of Climate Change, Energy, the Environment and Water (Australia).
2025. Australian National Greenhouse Accounts Factors. (GWP100, IPCC AR5)
• DCCEEW (2024): Department of Climate Change, Energy, the Environment and Water (Australia).
2024. Australian National Greenhouse Accounts Factors. (GWP100, IPCC AR5)
• DESNZ (2026): United Kingdom Department for Energy Security and Net Zero 2026 Government
Greenhouse Gas Conversion Factors for Company Reporting (GWP 100, IPCC AR5)
• DESNZ (2021): United Kingdom Department for Energy Security and Net Zero 2021 Government
Greenhouse Gas Conversion Factors for Company Reporting (GWP100, IPCC AR4)
• thinkstep-anz. (2025). Emission Factors for New Zealand: Greenhouse Gas Emission Intensities
for Commodities and Industries. v3.0. Wellington: thinkstep-anz (GWP100, IPCC AR5)
• Climalife (2026): R-452A & R-449a product information. (GWP100, IPCC AR5)
• AR5: Intergovernmental Panel on Climate Change (IPCC) ‘Climate Change 2013: The Physical Science Basis’
• AR4: IPCC ‘Climate Change 2007: The Physical Science Basis’
• Supplier provided
• Customer provided
SCOPE 1
CATEGORYEMISSIONS SOURCE / ACTIVITY DATA SOURCE CALCULATION METHODOLOGY, ASSUMPTIONS, UNCERTAINTY
(QUALITATIVE)
EMISSION FACTOR AND GWP
Mobile combustionFossil fuel used in Group
owned and leased vehicles
Supplier data Fuel-based method. Fuel consumption (litre) per fuel type is sourced
from fuel card data and transaction reports. Low uncertainty.
MFE (2026). AR5.
DCCEEW (2025). AR5.
DESNZ (2026). Emission
factor: AdBlue. AR5.
Fossil fuel used in Group
owned and leased forklifts
Supplier dataFuel-based method. LPG (kg) and diesel (litre) consumption is sourced
from invoices. Low uncertainty.
MFE (2026). AR5.
DCCEEW (2025). AR5.
GHG emissions accounting is inherently uncertain because of incomplete scientific knowledge used to determine emission factors and the values needed to combine
emissions of different gases.
48Freightways Climate Statement 2026
1. ABOUT2. GOVERNANCE3. STRATEGY4. RISK MANAGEMENT5. METRICS & TARGETS6. ASSURANCE7. APPENDICES

SCOPE 1
CATEGORYEMISSIONS SOURCE / ACTIVITY DATA SOURCE CALCULATION METHODOLOGY, ASSUMPTIONS, UNCERTAINTY
(QUALITATIVE)
EMISSION FACTOR AND GWP
Stationary combustion Fossil fuel used in Group owned
and leased boilers, generators,
autoclaves and other stationary
equipment
Supplier dataFuel-based method. Natural gas (kWh, GJ), LPG (litre, kWh, kg), and
diesel (litre) quantities are sourced from invoices. Low uncertainty.
MFE (2026). AR5.
DCCEEW (2025). AR5.
DCCEEW (2024). AR5.
Fugitive emissionsRefrigerant used in owned and
leased air conditioning units
and temperature-controlled
depots and vehicles
Supplier data
Maintenance records
Top-up method. Fugitive emissions calculated using refrigerant top-
up quantities (kg) per refrigerant type sourced from maintenance
contractors, and invoices. Freightways relies on the refrigerant
quantities provided by maintenance contractors to be complete and to
include top-ups performed by sub-contractors. Refrigerant top-ups are
completed on an ad hoc basis. Freightways does not monitor top-ups.
Freightways has limited visibility over quantities used from on-site
stock. Refrigerant top-ups could be understated. Medium uncertainty.
MFE (2026). AR5.
Climalife (2026) R-452A &
R-449A product information.
AR5.
SCOPE 2
CATEGORYEMISSIONS SOURCE / ACTIVITY DATA SOURCE CALCULATION METHODOLOGY, ASSUMPTIONS, UNCERTAINTY
(QUALITATIVE)
EMISSION FACTOR AND GWP
Electricity Electricity used in owned and leased
sites – including offices, distribution
centres, branches, and depots
Supplier dataLocation-based method. Electricity consumption (kWh) is sourced
from electricity retailers. Low uncertainty.
MFE (2026). AR5.
DCCEEW (2025). AR5.
SCOPE 3
CATEGORYEMISSIONS SOURCE / ACTIVITY DATA SOURCE CALCULATION METHODOLOGY, ASSUMPTIONS, UNCERTAINTY
(QUALITATIVE)
EMISSION FACTOR AND GWP
Category 1
Purchased goods
and services
Purchased goods and servicesSupplier data
General ledger
Spend-based method. Purchased goods and services have been
measured at the vendor account name level. Emissions factors have
been applied against each account based on the main type of good or
service provided. Spend-based emissions factors have been used to
measure >99 percent of the category. Due to lack of Australian specific
emission factors, New Zealand specific emission factors were applied
to goods and services purchased in Australia. High uncertainty due to
the use of spend-based emissions factors and their allocation.
Thinkstep-anz (2025). AR5.
Category 2
Capital goods
Purchase of capital goodsFixed asset registers Spend-based method. Emission factors are applied to a general
category of spend based on the description in the fixed asset register.
Medium uncertainty due to the use of spend-based emissions factors.
Thinkstep-anz (2025). AR5.
Category 3
Fuel- and energy-
related activities
Electricity and natural
gas transmission and
distribution losses (T&D)
Supplier dataAverage-data method. Emissions from T&D losses are estimated based
on Scope 1 and Scope 2 data. Low uncertainty.
MFE (2026). AR5.
DCCEEW (2025). AR5.
49Freightways Climate Statement 2026
1. ABOUT2. GOVERNANCE3. STRATEGY4. RISK MANAGEMENT5. METRICS & TARGETS6. ASSURANCE7. APPENDICES