27 2021 ESG Report Introduction Climate change Appendices Transparency Healthy workforce and communities Responsible supply chain Product impact Water management Current status: Reduced by 23% 2030+ goal: Reduce water consumption by 40% by 2030 (from 2019 baseline, normalized to COPS) Operational improvements such as implementing water conservation and water reduction projects resulted in a decrease of water consumption for FY 2021. Several manufacturing sites implemented such techniques as rainwater harvesting and greywater re-use. We continue to actively encourage and provide awareness of current and future water reduction projects as part of our regional Sustainability Operations calls. Sites have the opportunity to highlight improvements, discuss challenges and solve problems. Water consumption data (including wastewater discharges) can be found in the data tables within the appendices . Further information regarding investments and projects initiated to reduce our water consumption can be found in the TCFD section of the appendices. Water is vital for sustaining healthy lives and the planet. Having access to a clean and sufficient supply of water is critical for our operations and the communities where we live, work and do business. Water quality and quantity are fundamental to ensure that the highest healthcare product safety standards are met. Water conservation is important to our operational strategy, especially for products that contain purified water. Freshwater is used in manufacturing, sanitation, sterilization, processing and cooling for our direct operations. Indirect water is used in the manufacturing and/or processing of many raw materials used in our products, such as resins, steel, packaging and electrical components. Recycled/brackish water is used in ancillary operations, such as cooling towers, because it does not meet quality standards for most other uses. Operating in accordance with local regulations, approximately 90 percent of water used at our facilities comes from, and is discharged to, third-party sources (such as local municipal water sources). We collect water-related data for total withdrawals from our sites worldwide through an online system. This data is monitored and reviewed on an ongoing basis. We are committed to responsible and sustainable use of water and strive to include water sustainability considerations in business decisions. We seek to achieve efficient use of water resources at our operational locations by investing in and using new technologies when feasible and implementing water conservation and water management practices. The central S&EHS team, led by our VP S&EHS, has direct responsibility for our water management strategy. The central S&EHS team provides guidance and tools, develops standards and supports development of water-related projects. Our 2030+ commitments established corporate-level water reduction targets. The central S&EHS team has established site roadmaps and site-level targets. These are tracked and monitored throughout the fiscal year. Updates are provided to integrated supply chain leadership at least quarterly and BD executive leadership semiannually. Water risk is considered part of business continuity planning. Water-related risks within operations are identified, assessed and addressed by the central S&EHS team. We use established water risk tools to evaluate the basin risk and operational risk at the corporate level as a screening tool. The results are provided to the Sustainability Operations Council, which also sets the strategy for prioritizing projects or providing insights for how to improve overall water management programs. Mitigation activities are implemented as part of business continuity planning. Efficiency audits are conducted at the site level to identify opportunities for reduction of water usage and consumption. These local site efficiency audits also include energy, waste and emissions to provide prioritization for conservation projects. These are projects that may reduce energy consumption along with having an impact on water reduction associated with it. Water-related issues (such as resilience to water scarcity and internal water efficiencies) are a part of our long-term business objectives. We see opportunities to continue to improve operational efficiencies. Further information about our water management strategy and programs can be found in our responses to the CDP (formerly the Carbon Disclosure Project). We recognize that water scarcity and water quality issues are impediments to our Purpose of advancing the world of health ™, because clean water plays a critical role in human health. Over the past four years, BD has worked with our NGO partner Planet Water to bring clean drinking water and hygiene education to people around the world. You can read more about our efforts on the BD Blog . Access to water, sanitation and hygiene is a human right.