2023_sustainability_report

INTRODUCTION OUR PLANET OUR SUPPLY CHAIN OUR PEOPLE OUR COMMUNITY ABOUT THE REPORT

In creating our �rst Sustainability Report in 2022, our team experienced a really steep learning curve. The process was new and exciting and frustrating – all at the same time. Ultimately, we were extremely pleased with the report’s positive reception from our customers, our vendor community, our peers and numerous other stakeholders. Surprisingly, as we composed this second Sustainability Report, our sense of excitement remained, while the newness was replaced by growing con�dence… THE COMPOSITION OF A RESPONSIBLE ORGANIZATION Strategy & Sustainability VP’s Letter

Con�dence that pursuing sustainability is good for our business and for our planet Con�dence that the investments we make today to demonstrate responsibility in these areas will make us a stronger, more resilient, and more e�cient organization.

Con�dence that we’re on the right path

Con�dence that we’re building a strong foundation for measuring where we are in our Environmental, Social and Governance (ESG) journey, and

Creating our 2023 Sustainability Report has been akin to composing and performing a new symphony. We had to map out our musical score and account for all of the contributing elements that would make it successful. These elements included the new policies we’ve adopted, new sustainability-related indicators we were tracking, and new initiatives we were launching. With this score assembled, we then had to ensure we had all the right pieces of the orchestra in place and in tune. In our case, we had no wind instruments, percussion, or string instruments; the contributions came from our �eet operations, our facilities management, our waste and recycling e�orts, our health and safety team, our HR specialists, our legal counselors, our operational managers, and our executive leaders. Ultimately, all of these essential contributors came together, under our CEO’s baton, to present a symphony of progress, development and growing environmental responsibility. In this report you’ll read and see documentation of a portion of our e�orts. In addition to rich data points that report various ESG metrics, we’ve provided narrative interludes that provide a human face, a snapshot, a story that illustrates impact in ways that data can’t always convey. Like music, such human stories must be experienced, not just read. Parts Authority’s advocacy for Sustainability in the aftermarket industry has led to the music being heard and shared broadly and powerfully across the wider auto care industry. Last year’s publication of our Sustainability Report, with its accompanying request that vendors sign our Supplier Code of Conduct, coincided with the formation of the new Sustainability Committee of the Auto Care Association. This committee, which had its inaugural, in-person meeting in May 2023, comprises leading companies in the manufacturing, distribution and service segments of our business. I have the distinct honor of chairing this new committee, and you will �nd meeting highlights relating to this engaged and motivated group further in this report. One important point arising from these thought-leaders was the a�rmation that our industry is intrinsically sustainable, though rarely appreciated as such. The economic segment that is dedicated to maintaining and repairing motor vehicles has three signi�cant environmental impacts: 1. Keeping a vehicle running e�ciently reduces emissions.

2. Components that we provide are directly responsible for reducing emissions. 3. Each vehicle that stays on the road longer cuts down on the emissions generated from manufacturing a replacement vehicle.

7 Sustainability Report 2023: The Composition of a Responsible Organization

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