Sustainability Report 2021 40 Engaging Leaders as Champions of Change As our Culture of Inclusion effort intensifies, Applied Materials’ leaders are investing in their own awareness as an essential component of driving change. In 2021, we launched our virtual, half-day Inclusive Leader Summits, experiential learning opportunities designed to reinforce and extend last year’s learnings about leading courageously on race and racial equity. Targeted at the 400 members of our Applied Leadership Group (ALG), the workshops achieved an 87% attendance rate, including leadership from our Europe and Israel operations. Fifteen of our U.S. leaders also participated in a pilot Coaching for Inclusion program through the Berkeley Executive Coaching Institute. Building on previous diversity training that focused on gaining a deeper understanding of inclusion challenges and making inclusion personal, the Berkeley program is designed to give leaders the skills and tools to learn across difference to drive meaningful, sustainable change. Its focus includes: > Building core capabilities and helping leaders develop an authentic leadership presence around DEI > Building empathy and an understanding of how DEI issues affect oneself and others > Becoming more conscious of how personal behaviors can unintentionally reinforce unproductive dynamics The program is delivered via an initial two- day session, coaching, independent study, and a follow-up workshop. For 2022, we intend to take this program global, training three cohorts of 21 leaders apiece, including in our Asia-Pacific operation. Our Inclusive Leader Action Guide, introduced in the first half of 2021, continued to serve as a resource for our executive staff and people managers, providing pragmatic strategies and best practices for becoming more inclusive leaders, partners, and change catalysts. These efforts build on changes introduced in prior years to help our leaders take Applied Materials in the direction we need to go— such as introducing diversity dashboards that allow U.S. leaders to track progress against diversity goals for each organization, and tying executive compensation directly to the achievement of our diversity objectives via our Corporate Scorecard. Our COI progress is shared on a quarterly basis with our Board of Directors. Over the past several years our Board itself has grown more diverse, and now consists of 40% women and 30% people of color. Workforce Diversity Recognition Applied Materials is consistently recognized for our efforts around workforce diversity and military veteran recruitment. Military Friendly Employer 100%-plus overall rating, exceeds every standard U.S. Veterans Magazine Top Veteran-Friendly Company Human Rights Campaign Foundation Corporate Equality Index, 100% overall rating Best Places to Work for LGBTQ+ Equality Woman Engineer Magazine Top 50 Employers INTRODUCTION PURPOSE PEOPLE Recruiting and Hiring Our Culture of Inclusion Learning and Development Employee Safety and Support During COVID-19 Occupational Health and Safety Human Rights PLANET PROGRESS