Stakeholder Engagement

U.S. Environmental Protection Agency (EPA) ENERGY STAR®

Kohl's has been a member of the ENERGY STAR® program since 1998. All facilities Kohl's operates are entered into the ENERGY STAR® Portfolio Manager to measure energy efficiency. Each location is given a score, which serves as a valuable tool to help improve energy efficiency. Kohl's has more than 600 store locations that have earned the ENERGY STAR® label for superior energy efficiency in the retail sector.

EPA Green Power Partnership

Kohl's has been a member of the EPA Green Power Partnership since 2006. Kohl's achieved membership in the leadership circle for using at least 30% green power in 2009. Currently, Kohl's uses 100% green power in its operations through use of renewable energy credits and on-site solar generation.

Kohl's use of Green Power in kilowatt-hour (kWh)

Year	kWh Green Power	%
2007	201,376,000	20%
2008	236,017,000	20%
2009	851,478,000	71%
2010	1,367,376,000	100%
2011	1,420,080,000	100%

EPA WasteWise

Kohl's joined the WasteWise program in 2006 to formally measure and report its long-standing commitment to waste reduction and recycling. Currently, Kohl's recycles more than 150,000 tons of waste each year.

EPA SmartWay Shipper

In 2007, Kohl's joined the EPA SmartWay program to promote fuel efficiency and carbon-reduction strategies in shipping. Currently, Kohl's annually reports its domestic transportation, including rail miles, to move merchandise and fixtures to store locations. Besides reporting its own miles, Kohl's requires its carriers to be members of the EPA SmartWay program, which promotes overall fuel efficiency and innovation for U.S. carriers.

EPA Climate Leaders

Kohl's became part of the Climate Leaders program in 2007. This program works with companies in the U.S. to measure, report and reduce greenhouse gas emissions. The guidance for calculation of these emissions is based on the World Resource Institute protocols for emissions measurement. Kohl's measured its carbon footprint for the first time in 2007 and updates this annually to the Climate Leaders program.

Awards
EPA Green Power Leadership Award: 2007
EPA Green Power Leadership Award—Site-Generation: 2008
EPA SmartWay Shipper Excellence Award: 2008, 2009
EPA Green Power Partner of the Year: 2009, 2010, 2011
EPA WasteWise Green Purchasing Award: 2009
EPA ENERGY STAR Partner of the Year: 2010, 2011

Business for Social Responsibility (BSR)

In 2010, Kohl's participated in the BSR Energy Efficiency Pilot to engage with five factories located in China on energy efficiency education and action plans. The BSR sponsored four educational sessions for factories in China in both Guangdong and Shanghai to learn about energy programs and set action plans for future improvements. Kohl's is looking for ways to bring sustainability and business efficiency to its business partners in a worldwide marketplace. Through the membership in Business for Social Responsibility (BSR), Kohl's can leverage its resources to accomplish mutually beneficial goals.

The Nature Conservancy of Wisconsin

In 2011, Kohl's began a relationship with The Nature Conservancy of Wisconsin with an initial gift of $50,000 designated for planting trees in Kohl's home state of Wisconsin. As a result of this gift, trees will be planted in both the Baxter Hollow and Door County conservancy lands. Kohl's associates teamed up with Nature Conservancy volunteers to plant trees on three acres of lands in the Baraboo Baxter hollow lands.

Climate Counts

Climate Counts is a nonprofit organization that annually scores the world's most well-known companies on their commitment to addressing climate change. Launched in 2007, the Climate Counts Company Scorecard has gained strong worldwide media attention and has been widely acknowledged as one of the most useful and accessible tools for measuring corporate climate responsibility.

Kohl's is a member of the Climate Counts Industry Innovators Group (I2) - a group of companies that have recognized the program's potential to enable them to:

• Demonstrate environmental market leadership
• Develop a roadmap to guide company climate activities
• Deliver cost savings through reduced energy and resource use
• Increase brand value
• Provide consumer and stakeholder satisfaction

Carbon Mitigation Challenge

In 2011, Kohl's became a founding sponsor of the Carbon Mitigation Challenge organized by the Carbon Disclosure Project and World Wildlife Federation. As a "net zero" carbon goal setter, Kohl's is working with the CDP and WWF to encourage United States based Fortune 500 companies to establish carbon emissions reduction goals. Voluntary corporate emissions reduction in the United States will be collected and aggregated as a bold step to impact climate change.

Associates at Kohl's care about the environment and consider it in their everyday decisions at Kohl's. They also come up with the best ideas to improve Kohl's as a green operation. Associates and the public can email their ideas to: green@kohls.com

Green Teams

Formation of internal Green Teams at Kohl's began in 2010 and will expand annually. Teams are formed of associates nominated by their management to gather monthly and discuss sustainability topics. Kohl's currently has teams in the operations areas and distribution centers. Teams play a large role in communicating sustainability strategy and information to their peers. The corporate teams are working toward improved recycling rates and achieving a paperless workplace. Distribution center teams volunteer in the community and work toward improved recycling rates. Kohl's believes the engaged associate will create a sustainable and productive workplace for years to come.

Sustainability Steering Committee

In 2012, Kohl's plans to develop a sustainability steering committee of 10 varied management board members from a wide variety of work pyramids. This team will meet quarterly to review sustainability progress and will be challenged to find ways to integrate sustainability and efficiency into all work processes at Kohl's. This is a leadership team that will identify long-term strategic sustainability goals for the organization.

Corporate Gardens

In 2009, Kohl's installed its first group of corporate vegetable gardens. Two of the gardens are located adjacent to the on-site daycare facilities and teach children of Kohl's associates about gardening and healthy eating. All three gardens are tended by Kohl's associate volunteers, and all the food grown is donated to the Milwaukee Hunger Task Force. In the first year, more than 600 pounds of healthy vegetables were donated.

Growing Power

Growing Power is a nonprofit urban agriculture farm in the city of Milwaukee, located about five miles east of Kohl's Corporate Campus. Associates at Kohl's engage with Growing Power in a variety of ways to support its mission. Here are a few ways Kohl's partners with Growing Power:

• Corporate Garden—use of Growing Power plants and compost
• Cafeteria Waste Composting—300 pounds per week of preconsumed organic waste are sent to Growing Power to help them "grow" soil
• Weekly Farmers Market
• Weekly Market Basket Program of healthy fruits and vegetables at an affordable price
• Associates in Action volunteer events

Every person can lend the environment a helping hand by focusing on green initiatives whether at work, traveling or at home. Here are ways that you can make a difference in your daily life.

• Bring your plastic bags to any Kohl's store to be recycled.
• Bring your own cloth or fabric bags when shopping. Purchase a Kohl's Reusable Shopping Bag with your next online order.
• Carpool to work and other events to save costs on fuel and car maintenance, and to reduce carbon emissions.
• Purchase renewable energy credits as part of your utility usage and receive a portion of your electricity from wind, solar or other renewable forms.
• Purchase a hybrid car and make home improvements that qualify for energy tax credits.
• Wrap your water heater (if it's more than five years old) in an insulating jacket to reduce 1,000 pounds of carbon emissions per year.
• Keep your water heater thermostat no higher than 120 degrees Fahrenheit to reduce carbon dioxide emissions by 550 pounds per year.
• Use efficient lighting. Replace incandescent bulbs with compact fluorescents. A 75-watt incandescent bulb can be replaced with an 18w compact fluorescent bulb. At a minimum, replace the bulbs in all lamps that are used 30 minutes a day or more. Replace regular incandescent lightbulbs with compact fluorescent CFL bulbs—they are far more efficient, lasting up to 10 times longer.
• Consider buying organic fruits and vegetables that are grown using earth-friendly farming and processing methods.
• Water your lawn and plants in the early morning when temperatures are cooler to minimize evaporation.
• Drive a car that is tuned up and has its tires properly inflated to save on fuel costs as well as reduce carbon dioxide emissions. A tune-up could boost your miles per gallon anywhere from 4 percent to 40 percent; a new air filter could get you 10 percent more miles per gallon. Take off your roof rack from your car when you aren't using it for more savings.
• Recycle aluminum cans, glass bottles, plastic, cardboard and newspapers that can reduce your home's carbon emissions by 850 pounds per year.