0 • • • Introduction Environmental Social Governance Indexes and Glossary Target Forward: Our Sustainability Strategy A Message From Our Chairman and CEO Q&A With Our SVP of CR Who We Are Target Forward: Our Sustainability Strategy ESG Priorities Stakeholder Engagement Progress Highlights Innovate to eliminate waste We plan to partner across the value chain to design solutions that eliminate waste, while providing ease and convenience. How we’re driving progress • Trained more than 3,000 team members and 1,000 vendor employees in our circular design principles since 2018. • Became a supporting partner of the Closed Loop Partners Composting Consortium , a cross- industry working group aimed at strengthening composting infrastructure in the United States. • Continued engagement with the U.S. Plastics Pact , with a focus on impactful 2025 targets such as eliminating a defined list of problematic or unnecessary packaging. • Joined our Consortium to Reinvent the Retail Bag founding partners, CVS Health and Walmart, to launch pilots of several innovations to replace single-use plastic bags. • Began to utilize Target’s Circular Design Guide, a web-based training hub for team members to learn about circular design and its impact, incorporating learnings to boost closed loop approaches for denim jeans in our Universal Thread line and shift to a durable, paper-based alternative for our Guest Service GiftCards. We commit to being a net zero enterprise 4 by 2040. How we’re driving progress • Joined the Business Ambition for 1.5 ° C and Race to Zero climate action across our sector and value chain. • Achieved a 32% absolute reduction in operational emissions, well on our way to achieving a 50% reduction by 2030. • Supported suppliers in adopting climate programs and setting emissions targets, earning recognition on the 2021 CDP Supplier Engagement Leaderboard. • Established projects and partnerships that are anticipated to result in purchasing more than 50% of our electricity from renewable sources , well on our way toward 100% by 2030. • Retrofitted our first net zero energy store , expected to generate up to 10% more renewable energy per year than needed to support its operations. • Diverted 68.2% of construction waste and 80.8% of operational waste from landfill. Accelerate opportunity and equity We aim to create an equitable and inclusive workforce and workplace. How we’re driving progress • Met or exceeded almost all of our 2019–2021 diversity, equity and inclusion goals in the workplace, inspiring a new set of goals for 2022–2024 to deepen our impact and elevate our equity. • Took our next meaningful step in leading the retail industry on wages in 2022, by setting a new starting wage range from $15 to $24 per hour. • Maintained 100% pay equity among women and men, and among BIPOC and white team members. • Improved access to more stable schedules and transparency around scheduling policies to accommodate team members’ desired hours, including a new mobile scheduling app that allows team members to conveniently add or swap shifts. We will help enable the vitality and resilience of our team and the communities we serve. How we’re driving progress • Provided 1,000 first-year students at HBCUs with $5,000 scholarships, plus mentoring, internship and networking opportunities; and expanded that commitment in 2022 with an additional $10,000 per student over the next three years. • Committed $100 million through 2025 to help fuel economic prosperity in Black communities across the U.S. This includes supporting local, Black-led organizations and being a founding supporter of the Pensole Lewis College of Business & Design , which offers free tuition to aspiring Black designers, engineers and leaders. • Launched a debt-free education assistance program for our U.S. part-time and full-time frontline team members to pursue degrees, certificates and other programs with no out-of-pocket costs. • Expanded access to comprehensive health benefits for hourly team members working a minimum average of 25 hours/week, with 20% of our team newly eligible for a Target medical plan. 4 Net zero , as defined, is achieved when a company’s scope 1, 2 and 3 emissions are reduced to a level that is consistent with a 1.5°C pathway, and any residual emissions are removed from the atmosphere through either nature-based or technological carbon removal solutions (e.g., forestry, regenerative agriculture, carbon capture technology), by no later than 2050. Target has committed to being a net zero enterprise by 2040 — zero waste to landfill in U.S. operations and net zero emissions across both our operations and supply chain, inclusive of scopes 1, 2 and 3. 2022 T to help drive meaningful arget ESG Report 7