How2Recycle® As an active member of How2Recycle®, we empower our customers to recycle our packaging correctly. How2Recycle® provides a standardized labeling system that communicates recycling instructions on packaging where space allows. Environmental Sustainability 22 2021 ESG REPORT Packaging GOAL Reduce the amount of plastic and cardboard in Kohl’s-owned branded packaging. Label 100% of Kohl’s-owned branded packaging with the How2Recycle® label by 2025. Product packaging can have a significant impact on the environment and we are committed to taking steps to reduce our impact. Starting at the design stage, we consider the entire lifecycle of a package and are mindful to incorporate sustainable solutions. During development, we strongly encourage our suppliers to offer certified, recycled, recyclable, or reusable materials. Shipping Packaging Our merchant and logistics teams are working to reduce the amount of packaging used for product shipments to our customers, stores and distribution centers. New technology at select e-fulfillment centers allows us to right-size a shipping package by automatically trimming it to fit the merchandise. The trimmed pieces are then recycled into future packaging. Additionally, since 2011, Kohl’s has transitioned to only using green air pillows which break down faster in a landfill than traditional air pillows. These efforts also help control costs by reducing packaging materials and requiring less handling during the shipping process. Branded Apparel Packaging and Labels Since 2019, Kohl’s has been focused on reducing branded apparel packaging and labels by eliminating duplicative elements, evaluating size and paperweight and transitioning toward the use of certified paper for private and exclusive brands. Nearly 100% of our estimated 3 million pounds of branded apparel packaging paper has been converted to FSC-certified paper. We continue to convert materials by sourcing certified and recyclable solutions with the goal of converting all branded apparel product packaging and labels by 2025. Molded plastics are in progress of being converted to recycled content, and woven and printed labels on garments are on track to be reduced and converted to certified recycled content by the end of 2022.