Plastic Bags In 2021, we recycled more than 5 million pounds of plastic film, bags and wrap. When a customer leaves our store, the plastic bags they’re holding are made from 30-50% recycled, unbleached plastic. Customers can also drop plastic bags in the in-store recycling bins and leave their hangers with us to reuse and recycle. Paper Bags Stores in select markets have eliminated the use of plastic bags at checkout and now offer paper bags. While our plastic bags are fully recyclable through our store take-back program, paper bags can be recycled in customers’ curbside bins. Customers can find out how to recycle their bags by referencing the How2Recycle® label on each of our bags. Reusable Bags In 2020, we made it even easier for customers to cut back on their plastic waste by offering reusable bags for sale in all stores. Our reusable bags will be updated quarterly with new prints to excite and engage our customers into becoming more sustainable. Gift Cards We are currently exploring the elimination of plastic gift cards and moving toward paper gift cards. With paper being recyclable, this could eliminate more than 20 tons of plastic from landfills. Our e-gift cards are also a convenient zero-waste option for customers. Fabric Scraps The business of influencing fashion yields thousands of fabric scraps. Associates in fabric cutting locations are sorting scraps and recycling them. Depending on the scrap size and design print, material is reused or turned into things like building or automobile insulation. Paperless Options We also reduce waste by reminding Kohl’s Card holders they can opt for paperless billing. Since 2014, we have issued more than 350 million electronic credit card statements. More than one-third of all cardholders now receive their statements electronically. Additionally, all customers can opt in to receive e-receipts when they shop in store. Plastic & Paper Waste Management Our associates and customers play a key role as we work to increase our diversion rate. We ensure teams are equipped to take action with training opportunities, regular and strategic communication on our recycling commitments and rewards for high-performing locations. Our customers are provided with recycling resources in our stores and can opt for paperless receipts and credit statements. We are constantly exploring ways to eliminate waste and empower our associates and customers to recycle. Environmental Sustainability 2021 ESG REPORT 21