INTRODUCTION PEOPLE COMMUNITY PLANET GOVERNANCE APPENDIX logistics and transportation consumption per unit. We continue to utilize a pool and We continue to build out our regional distribution centers consolidation network to reduce the number of Less- (RDCs) strategy, where we locate RDCs in strategic than-Load (LTL) shipments moving between our suppliers geographic areas to serve our customers better. This and our store locations. strategy enables us to move our products more efficiently We are exploring additional opportunities to reduce and with lower overall carbon intensity. emissions and drive down fuel consumption, including Intermodal Transport optimizing the fulfillment process, electrifying trucks, reducing idling, optimizing store deliveries, and consolidating Our primary mechanism to reduce carbon emissions is to our overseas shipments. shift our product transportation from trucking to rail – a process that has been implemented since 2007. We are Electric Vehicle Charging Stations maximizing this mode of transportation where possible to In an effort to enable Associates to make sustainable make continual improvements as it relates to logistics and choices, we are working to provide infrastructure for electric transportation. vehicles (EVs). In 2021, we began the process of installing EV SmartWay charging stations to make it easier for corporate Associates to charge their vehicles at work. We will have four charging The U.S. Environmental Protection Agency (EPA) developed points for vehicles at our corporate headquarters in 2022, SmartWay to help companies identify and select products with the potential to add more in the future. and services that reduce transportation-related emissions. SmartWay transportation providers measure, benchmark, and report their emissions, allowing us to reduce the environmental impact of our supply chain. This positions us to make informed decisions about transportation-related emissions and to select more efficient freight carriers and transport modes. Optimized Shipping Consolidating our shipments has reduced the number of individual trucks transporting products to our stores, and consequently reduced our emissions and fuel Bed Bath & Beyond 2021 ESG Report 26