48 2021 ESG Report Appendices Transparency Healthy workforce and communities Product impact Climate change Introduction Responsible supply chain reported that many of these roles were filled by women, persons aged 50+ and African Americans. These supported roles added wages, taxes and subsequent spend all totaling $951M in economic impact. As we move forward, continued insight into our year-over-year economic impact will help us shape how we interact with our communities in the future. The long-term goals of the Economic Impact project will allow us to demonstrate further ways in which our efforts translate into advocacy for diverse communities. Our impact campaign will measure various ways in which the BD Supplier Diversity program positively affects both upstream and downstream stakeholders. Effects include: • Impact on c ommunity – increasing economic and societal inclusion; • Impact of BD’s influenc e on suppliers to focus on economic and societal inclusion; • Impact of our c ustomers’ efforts to grow their own supplier diversity programs; • Impact on BD’s br and as a responsible corporation, raising our visibility and establishing BD as best-practice leader. We understand that improving our world starts with improving the world for others; our work is centered on doing just that. 16% 151% Year-over-year Diversity Spend Achievements 14% 59% 8% 21% – 39% – 7% 69% Percentage of change Percentage of eligible spend –50% 0% 50% 100% 150% 200% FY21 FY20* FY19* FY18 FY17 FY16 FY15 FY14 FY13 0% 5% 10% 15% 20% 25% 30% OUR 2021 SUPPLIER DIVERSITY, EQUITY AND INCLUSION IMPACT within U.S. & Puerto Rico $565M spent with woman-, minority-, veteran-, LGBT- and Disability- owned business suppliers 17% spent with woman-, minority-, veteran-, LGBT- and disability owned business suppliers $1B spent with small-business suppliers 31% spent with small-business suppliers 2,766 small and diverse-owned suppliers were partnered with * Fluctuations in div erse spend were observed in FY 2018 through FY 2020. This is due to (1) the implementation and normalization of a new classification validation system; (2) the integration of a supplier survey into our registration process for new suppliers; and (3) finalizing the merger of legacy BARD supplier and spend data into our existing systems. Supplier diversity Supplier diversity encompasses more than simply tracking spending or “doing the right thing.” It supports our business values and objectives. Being committed to supplier diversity entails developing and implementing strategies that align our supply base with the diverse customers, communities and patients we serve, as well as the diverse markets we seek. Having a successful Supplier Diversity program supports sustainable procurement efforts and is integral to how we support the economic empowerment of underutilized and underserved communities. Further details on our Supplier Diversity program can be found on our website . Working through the challenges brought about by the COVID-19 pandemic during the 2019 and 2020 fiscal years, we have maintained our investment in the importance of a diverse supply base. We introduced the BD Diverse Supplier Inclusion Portal to assist in more accurately capturing, tracking and reporting our impact with small and diverse-owned business suppliers, both Tier 1 and Tier 2 suppliers. Concurrently with our portal introduction, we extended our concerted effort to offer the best net payment terms to small-business suppliers, both diverse- and nondiverse-owned. Both efforts have increased accuracy in the identification of our small and diverse-owned suppliers, resulting in a more accurate picture of our diverse supply base and accomplishments, as well as our remaining opportunities. Economic impact BD understands the importance of quantifying the economic impact that our work has across the communities we serve. We’re proud to report that in FY 2020, we spent $502M with 1,660 small and diverse-owned suppliers, thereby supporting the maintenance of 1,702 jobs and the hiring of 280 additional persons. While the intersectionality of these hires varied, it was In FY 2021, our Supplier Diversity program spent $565M with diverse- owned business suppliers and $1B with small-business suppliers, impacting 2,766 suppliers in total. This reflects an average 33% increase in supplier diversity spend from FY 2020, across all categories of diverse-owned businesses and small business suppliers.