Assurance statement

Independent assurance statement by Deloitte & Touche LLP to Cadbury Schweppes plc on the Corporate and Social Responsibility web-report October 2006.

We have been engaged by the Board of Directors to perform limited assurance* procedures at Group Head Office level on Cadbury Schweppes plc (“Cadbury Schweppes”) Corporate and Social Responsibility Report 2006 (“the CSR report”).

What we looked at: scope of assurance work

The subject matters selected for this assurance engagement are defined below. For each of these, our objective has been to review whether Cadbury Schweppes' descriptions within the CSR report are not materially misstated.

Our Business Principles

We have reviewed the approach undertaken by management in relation to the communication and sign-up process of Cadbury Schweppes' Business Principles as described in Our Business Principles.

Ethical sourcing

We have reviewed the approach undertaken by management in monitoring the performance of its supplier assessment programme as described in the section Monitoring performance in supplier Assessment with regards to:

The percentage of identified Tier 1 and Tier 2 suppliers with whom Cadbury Schweppes has engaged and risk assessed; and
The number of procurement people trained on Cadbury Schweppes supplier assessment and communication processes.

Environment, health and safety

We have reviewed the processes and systems used by management to collect, aggregate, validate and report the following environment, health and safety performance data as described in the sections Independent assessment and Our environmental performance:

CO₂ equivalent emissions (kg/tonne finished product);
Energy consumption (kWh/tonne finished product);
Water consumption (m³/tonne finished product);
Wastewater discharge (m³/tonne finished product);
Solid waste (kg/tonne finished product);
Percentage of manufacturing by tonnage covered by an externally certified Environmental Management System (EMS);
Fatal accidents (number of); and
Lost time injury frequency rate (per 200,000 hours).

Community investment

We have reviewed the processes and systems used by management to collect, aggregate, validate and report the following community investment data as described in Our investment in communities world–wide:

Total community investment spend (in £ and as % of pre-tax profit);
Spend by theme e.g. education and enterprise, health and welfare, environment, other (£);
Spend by type e.g. donations in cash and management cost, donations in kind, and donations in employee time (£); and
Spend by region (£).

Employee climate survey

We have reviewed the approach taken by management to design, undertake, analyse and report its annual employee climate survey including the scores on commitment and engagement as reported in the sections What our people are saying and Our global employee climate survey.

CSR report compilation

We have reviewed the processes and systems used by management to collate, validate and report Cadbury Schweppes’ CSR practices and performance as described at the bottom of the Home page.

What we found: our conclusions

Based on the assurance work we performed, we are not aware of anything that causes us to believe that the management assertions on the subject matters defined above are materially misstated.

What we did: assurance standard and procedures

We conducted our limited assurance* work in accordance with the International Standard on Assurance Engagements 3000 (ISAE 3000) issued by the International Auditing and Assurance Standards Board (for further information see www.ifac.org/IAASB). This standard requires that we review the systems, processes and controls that deliver the information in the areas of the CSR report specified above.
Our approach has been to understand and test on a sample basis the processes undertaken by Cadbury Schweppes plc at Group Head Office level to deliver such activities and performance and report it in the CSR report. Our assurance work consisted primarily of making inquiries of company personnel and carrying out analytical procedures and sample tests at Group Head Office level and covered the practices and performance of 2005 only (except for the “Our Business Principles” subject matter which we reviewed for 2005 and 2006).
A limited assurance* engagement is substantially less in scope than a reasonable assurance* engagement. Accordingly we do not provide reasonable assurance on those matters specified in this statement.

Responsibilities of Directors and independent assurance provider

The Directors are responsible for the preparation of the CSR report and for the information and assertions contained within it. They are responsible for establishing and maintaining appropriate performance management and internal control systems from which the reported information is derived. Our responsibility is to independently express a conclusion on the reliability of management‘s assertions in the areas identified above.
A multi-disciplinary team of CSR assurance specialists performed the engagement in accordance with Deloitte's independence policies, which address and in certain places exceed the requirements of the International Federation of Accountants (IFAC). We confirm annually to Cadbury Schweppes whether there have been any events, including the provision of prohibited services that could impair our independence or objectivity. There were no such events or services during the last year.
This statement is made solely to Cadbury Schweppes in accordance with our engagement letter for the purpose of the directors' governance and stewardship. Our work has been undertaken so that we might state to the company those matters we are required to state to them in a limited assurance statement and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Cadbury Schweppes for our work, for this statement, or for the conclusions we have formed.

Deloitte & Touche LLP

London, United Kingdom

25 October 2006

*The different levels of assurance engagement are defined in the International Standard on Assurance Engagements 3000 (ISAE 3000) issued by the International Auditing and Assurance Standards Board. Reasonable assurance is similar to the audit of financial statements; limited assurance is similar to the review of a six-monthly interim financial report.

This independent assurance statement gives no assurance on the maintenance and integrity of the website, including controls used to achieve this, and in particular whether any changes may have occurred to the information since first published. These matters are the responsibility of the directors but no control procedures can provide absolute assurance in this area.