13 FLEET FUEL Fleet fuel is our third most significant transportation cost, after labor and vehicles, and the largest contributor to our operations’ greenhouse gas emissions, representing 62% of our carbon footprint. As a result, improving our fleet fuel management is both a financial opportunity and a way to advance our strategic vision for reducing our carbon emissions. We use an integrated approach to fleet fuel management that combines associate engagement and training, low-carbon technologies, and strategically located redistribution centers. Reducing our carbon intensity and achieving greater fuel efficiencies help reduce costs, mitigate risks associated with fuel price volatility, hedge against carbon taxes and align our operations with the transition to a low-carbon economy. In fiscal 2021, 48.7 million gallons of diesel were consumed throughout our operations. To reduce the carbon intensity of our operations, we have employed the following efficiency and low-carbon strategies that, assuming current business conditions, can achieve a 20% reduction in gallons of diesel consumed per delivered case within the next 10 years: RENEWABLE & ALTERNATIVE ENERGY We are currently exploring and evaluating technology for powering tractors and trailers with electric and alternative fuel solutions. PFG actively monitors the evolution of low-carbon technologies for powering freight transportation and has identified the opportunity to pilot electric trailer refrigeration technology for reducing fuel usage and carbon emissions associated with fleet refrigeration, commencing in fiscal 2022. FLEET LIFECYCLE MANAGEMENT PFG actively manages the lifecycle of the vehicles within its fleet and implements a comprehensive strategy for vehicle replacement, incorporating fuel efficient vehicles that improve the overall fuel economy and operational efficiency of our fleet. ROUTE OPTIMIZATION We continue to implement route optimization best practices and training initiatives using RoadNet technology that enables PFG to select the most efficient routes for product distribution. Route optimization, in conjunction with strategically located redistribution centers, allows us to minimize our miles traveled, time spent on the road, fuel usage and our carbon emissions on a per-case basis.