Climate Change Data

Environmental Metrics

ESG Focus Areas

• Our Tribe (employees)
• Our Products
• Our Sourcing and Supply Chain Relations

Environmental Achievements

• Completed a screening-level Life Cycle Assessment of WD-40 Multi-Use Product
• Reduced VOCs in WD-40 Multi-Use Product from 67% to 25%
• Smart Straw Next Generation reduced transportation miles by approximately 500,000 per year

Social Achievements

• 92.5% employee engagement (nearly triple the US average)
• No systemic relationship between gender and pay
• Various community involvement initiatives (e.g., Memory Making Fund donations, employee volunteering)

Governance Achievements

• Established a cross-functional ESG Team
• Conducted an ESG Materiality Assessment
• Published first ESG report

Climate Goals & Targets

Environmental Challenges

• Low aerosol can recycling rates (<5%)
• Improving diversity and representation of minorities and women
• Maintaining high engagement levels across all regions and departments

Mitigation Strategies

• Researching improved aerosol recycling solutions
• Implementing talent acquisition and candidate evaluation processes to reduce unconscious bias
• Ongoing monitoring and action planning based on biennial employee engagement surveys

Supply Chain Management

Supplier Audits: Approximately 20% of global contract manufacturers audited in the last 12 months; annual audits for strategic WD-40 Multi-Use Product concentrate blenders and contract manufacturers

Responsible Procurement

• Compliance with company's compliance standards, including anti-corruption, anti-slavery, and anti-human trafficking laws
• Conflict Minerals Policy Statement compliance
• SEDEX membership

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards: Core option

Sustainable Products & Innovation

• WD-40 Smart Straw Next Generation

Environmental Metrics

ESG Focus Areas

• Carbon & Environmental Impact
• Circular Supply Chain
• Diversity, equity, inclusion, and belonging (DEI+B)
• Supporting our tribe through ongoing programs
• Our commitment and actions in support of our communities
• ESG Risk Management
• ESG Reporting

Environmental Achievements

• Completed Lifecycle Assessment screening for WD-40® Multi-Use Product
• Completed an Organizational Life Cycle Assessment (“O-LCA”) for WD-40 Company
• Measured and established WD-40 Company GHG emissions baseline
• Used the O-LCA to model and identified possible actions that may be taken to make a material difference in our carbon outputs
• Examined the current state of the recycling of aerosol products in order to understand how WD-40 Company could positively increase the use of recycled aerosol product materials
• Developed WD-40 Specialist® Degreaser and Cleaner EZ-Pods with sustainability in mind (recyclable packaging, improves transportation and storage efficiency and costs, reduces plastic use when used as intended)

Social Achievements

• Conducted a global listening tour with employees, leaders and board of directors on DEI+B
• Defined what DEI+B means at WD-40 Company
• Designed and conducted the first DEI+B global survey
• Developed and conducted a 5-hour global diversity, equity, and inclusion learning experience with 98% participation
• Raised $92,000 for ChildHelp through a charity auction

Governance Achievements

• Expanded disclosures regarding board-level ESG oversight
• Further delineated ESG risks in the company’s enterprise risk management framework
• Developed additional policies and procedures that support our ESG risk management framework
• Expanded and enhanced ESG reporting to further document progress and increase transparency

Climate Goals & Targets

Environmental Challenges

• Reducing GHG emissions across Scope 1, 2, and 3

Mitigation Strategies

• Identify methods to reduce GHG emissions per Kg finished product by at least 10% through product design changes, supply chain collaboration, and Scope 1 and 2 source reductions.
• Select and implement a circular supply chain data acquisition, analysis and reporting platform

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI 1: Foundation 2021, TCFD

Sustainable Products & Innovation

• WD-40 Specialist® Degreaser and Cleaner EZ-Pods

Environmental Metrics

ESG Focus Areas

• Climate Change
• Inclusion and Belonging
• Supply Chain Sustainability
• Product Sustainability
• Governance

Environmental Achievements

• Reduced Scope 2 emissions by 40% compared to the FY19 baseline
• 100% of Tier 1 suppliers completed an environmental self-assessment
• Established a Sustainability Committee
• Implemented a carbon accounting platform
• Developed a Sustainability Lens for product innovation

Social Achievements

• 92.9% employee engagement (98% participation rate)
• Launched the Awardco employee recognition platform
• Updated Growth Rewards and Recognition Program
• Established Better Together Champions program to foster inclusion
• Instituted the Shadow Board of Advisors

Governance Achievements

• Established an ESG Board Advisory Group
• Created a new Conflict of Interest Policy
• Revised Gift Policy and Anti-corruption Policy
• Conducted screening of third-party distributors against sanctioned lists
• 100% completion of Code of Conduct training by employees

Climate Goals & Targets

Environmental Challenges

• Reducing Scope 3 emissions across the global supply chain
• Maintaining high employee engagement while adapting to change
• Harmonizing global ethnic reporting practices

Mitigation Strategies

• Developing a Responsible Sourcing Policy
• Engaging Tier 1 and Tier 2 suppliers in GHG emission reductions
• Investing in employee well-being initiatives
• Exploring alternative methods for global ethnic reporting

Supply Chain Management

Supplier Audits: 100% of Tier 1 suppliers completed self-assessment (FY24)

Responsible Procurement

• Distributor and Supplier Code of Conduct
• Responsible Sourcing Policy (to be launched in early FY25)

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Regulatory changes, market shifts

Opportunities

• Development of energy-efficient products

Reporting Standards

Frameworks Used: GRI Standards

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• WD-40 Specialist Degreaser & Cleaner EZ-Pods

Awards & Recognition

• Highest Achievement Award and four Gold Awards for WD-40 Specialist Degreaser & Cleaner EZ-Pods