OPERATIONAL EXCELLENCE
CUSTOMER-CENTERED INNOVATION
DATA SUMMARY
GRI INDEX
INTRODUCTION
PEOPLE-FIRST CULTURE
Air Quality We manage our emissions of volatile organic compounds (VOCs) and hazardous air pollutants (HAPs) as required by the Clean Air Act and regulated by the U.S. EPA. We have reduced our VOC and HAP emissions in the U.S. by 97 percent and 99 percent, respectively, since the 1990s, thanks to investments in new technology and process improvements. Although we experienced an increase in VOC and HAP emissions this year due to increased production, today’s emissions are well below our compliance requirements and remain negligible. Water Conservation We leverage lean manufacturing practices, facility upgrades, shared best practices, and conservation efforts to reduce our water consumption and secure our water supply. In 2025, we reduced our water use by 2 million gallons across our footprint and improved water intensity by 10 percentage points, signaling our continued progress in decoupling water use from business growth. Across our footprint, we use the following measures to reduce water consumption at our sites: • Closed loop cooling systems, including cooling towers, a dry cooler system, and an evaporative fluid cooler • Cleaning and inspection enhancements • Recirculation and recycling in operations processes • Low-flow devices on faucets and bathroom fixtures At our Aguascalientes, Mexico, facility, we advanced water conservation efforts by optimizing water use in cleaning processes – evaluating operational requirements, experimenting with reduced cleaning to a single shift, and measuring impact – as part of our alignment with SDG 6: Clean Water and Sanitation. We also installed water catchers at the facility to further reduce consumption.
Supply Chain Management We partner with suppliers who share our commitment to reliability, integrity, and responsible business practices. Our Supplier Code of Conduct, which is embedded in our contracts with suppliers, sets clear expectations for environmental compliance, human rights, labor and employment practices, and continuous improvement. We prioritize suppliers that align with these standards and actively work to reduce their environmental impact across the value chain. As part of our commitment to be responsible stewards of the environment, we maintain membership in the Sustainable Supply Chain Alliance (SSCA), an organization of public utilities and suppliers that works to advance sustainability best practices. We also take the following steps to reduce the impact of our supply chain and sourcing efforts: • Sourcing regionally to reduce emissions from transportation and support the local economy • Driving circularity by promoting efficient materials use, mitigating waste in packaging, and exploring recycling outlets for different materials • Mapping efficient routes and optimizing load size to drive energy efficiency and reduce emissions
Review our environmental data in our Sustainability Data Summary.
S&C 2025 Sustainability Report 15
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