Energy Management Energy efficiency is central to our strategy. We use both building automation systems and an enterprise-wide energy management information system to continually monitor our operating performance and to detect anomalies. Our energy management system provides daily operational information, which enables us to respond in real time to reduce energy consumption. We benchmark our energy management using the EPA ENERGY STAR Portfolio Manager online tool to measure and track our energy consumption to industry standards. Portfolio Manager enables us to compare each building’s performance against a yearly baseline, national medians or similar buildings in our portfolio. We regularly provide detailed consumption data to comply with state- and city- level building-energy benchmarking ordinances. LED Energy Savings Macy’s greatest opportunity for energy reduction continues to be our lighting. By the end of 2020, an additional 40 retail spaces were retrofitted leading to a reduction of about 5.6 million kWh or 3,969 metric tons of CO 2 e. Since 2010, Macy’s has reduced total energy consumption by more than 17.8% through LED lighting retrofits. Environment Macy’s is committed to minimizing the environmental impacts across our operations and supply chain and seek to responsibly manage the resources we consume and the waste we produce across our 727 stores and logistics network. To advance that commitment, in 2018, we introduced a number of Sustainable Stewardship Goals to be achieved by 2025, including reducing energy consumption by 10% and to increase our in-store recycling rate to 80%. The Environmental Services team is responsible for the development of Macy’s, Inc.’s environmental programs for all facilities across the company. These programs include policies and procedures which ensure compliance with federal, state and local environmental laws. LED Energy Savings Retail Spaces Retrofitted Annually Energy Reduction (kilowatt- hours in millions) Energy Reduction (percent) Carbon Reduction (metric tons)* 2010 95 19.9 1% 13,400 2 011 287 58 4% 41,000 2012 307 39.5 3% 27,000 2013 260 7 0.5% 4,950 2014 100 4.7 0.4% 3,300 2015 260 8.2 0.7% 5,800 2016 450 20 .1 1.7% 14,20 0 2017 660 18 1.7% 12,700 2018 50 12.3 1.3% 8,700 2019 133 29.9 3% 21,000 2020 40 5.6 0.7% 3,969 *CO 2 e calculated using EPA emissions tool | Sustainability Report 2020 Return to Table of Contents 17
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