INTRODUCTION PEOPLE COMMUNITY PLANET GOVERNANCE APPENDIX embedding environmental In 2021, buybuy Baby launched our first circular economy considerations into our supply chain initiative in partnership with GoodBuy Gear to take back We are committed to building a more efficient supply chain used baby gear in exchange for store credit to keep these while lowering emissions. To do so, we are embedding goods at their highest use for as long as possible. The environmental criteria into our regional distribution centers partnership offers a convenient way for our consumers to (RDCs), third-party logistics, and landlord agreements. upcycle their old baby gear, resulting in less landfill waste We select third-party logistics partners such as those that and a smaller product carbon footprint. serve our Frackville, PA, and Southern California RDCs that have strong environmental programs and we continue to Since 2014, our home goods donations evolve our working model together. have enabled us to divert more In 2022, we plan to introduce emissions data collection and than 145,00027 tons of waste from disclosure mechanisms into our request for proposal (RFP) landfills, positively contributing to our process for trucking transportation partners, allowing us to assess potential partners against their emissions. As we environmental goal of zero waste to modernize our supply chain, we will seek opportunities to landfill by 2050. operate RDCs in strategic locations to bring our products home faster and more efficiently — whether to the store or directly to our customers. Improving Inventory Efficiency reducing waste We are in the process of implementing dynamic allocation, supplier-to-distribution-center forecasting, and We are committed to reducing, reusing, and recycling automated ordering tools to better predict and respond to waste. Our goal is to divert 100% of waste from landfills in inventory turnover. This will foster more accurate product our own operations by 2050, and in 2021 we diverted 44% allocation and decrease inventory waste. of our operations’ waste. To deliver on this commitment, we optimize scheduled landfill trips and utilize our water compactor “on call” model. We are exploring additional We are committed to reducing our water footprint across waste diversion targets and supplier waste targets and are our stores, offices, and distribution centers. Given almost committed to providing waste solutions to our customers all of our water use comes from the plumbing in our stores, for durable product categories. warehouses, and offices, we plan to accomplish this by understanding and implementing relevant best practices regarding water consumption, including harvesting, low flow fixtures, and reusable water bottle filling stations. 27Includes total donations and liquidations since 2014, not just donations to Good360. Bed Bath & Beyond 2021 ESG Report 27