LETTER FROM OUR CEO
of those tools, and in the last year or so, creating a culture where those tools were not only used, but where there was a collective ownership by all field and distribution center (DC) team members of our program. Of utmost importance was our leader-led coaching, which we expanded in 2022. This approach drove behavioral change and engagement with team members and reduced recordable incidents, increased cost savings and contributed to greater team member satisfaction. In fact, 19 DCs and over 4,000 stores and branches finished 2022 injury free. Beyond talent, in the past year, we built onto our already robust environmental sustainability program, continuing our efforts in energy conservation, recycling and the safe handling of hazardous materials. We delivered a new solar power agreement in New York. We also provided training to ensure safe handling of hazardous waste, and continued our longstanding partnership with the nonprofit, Good 360, to ensure unneeded products, including hazardous waste, stayed out of landfills and was instead put to good use to support educational training for aspiring automotive mechanics. From a community standpoint, we continued to leverage the work of our philanthropic foundation to ensure we are focused and diligent in giving back to the places where we live and serve. In the U.S., we experienced a worsening shortfall in auto technicians. In 2021 and 2022, the Advance Auto Parts Foundation (Foundation) and Advance gifted a total of $250,000 to Wake Technical Community College (NC) to fund diversity recruitment and scholarships for students in the school’s auto repair and collision degree programs. This year, we extended our support in this critical area to Broward College’s (FL) automotive technology program, gifting $300,000 over two years to fund recruitment, scholarships, staff development and much-needed tools and capital improvements. Our foundation also expanded its Community Giving Program, which enables team members to recommend nonprofits with which they are affiliated to receive gifts to continue their work. A total of 40 gifts were awarded to nonprofits in 20 states with many more to come. We unveiled a new portfolio of veteran nonprofits that received Foundation funds. Thanks to the generous contributions of our supplier partners, we raised more than $2 million to support our nation’s heroes in the areas of housing, employment and mental health services.
Whether it’s the way we care for our people, planet or community, we know we must think differently about how to best operate in such a dynamic and uncertain environment. This past year, we worked hard to simplify processes, hold ourselves accountable to delivering on our ESG goals and clearly define our path forward to sustain our momentum and safeguard our business for years to come. Simplification, accountability and future planning are three themes woven throughout this year’s corporate sustainability and social report. They are areas of great opportunity in helping us to adapt to the current environment and continue to deliver our corporate sustainability agenda. As the late American businessman Steve Jobs once said, “Great things in business are never done by one person. They are done by a team of people.” Our progress this year is the result of thousands of Advance team members who continue to make ESG a priority for our company. Together, we are building a better, more sustainable Advance, and I am proud of what we accomplished.
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2022 ADVANCE AUTO PARTS CORPORATE SUSTAINABILITY AND SOCIAL REPORT | 5
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