Slide 1: ESG Grows Our Business and Impact
ESG Grows Our Business and Impact Building a 100% Positive Future, Together May 31, 2023
Slide 2: Cautionary Statement
CAUTIONARY STATEMENT This presentation contains “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995 regarding items such as planet health, long- term potential of our business, including sales, operating income and earnings, and our sustainability, human c
Slide 3: Agenda
Agenda TOPICS PRESENTERS How ESG is core to our growth Our model: we grow as our impact grows Our progress as a 100% positive company CHRISTOPHE BECK EMILIO TENUTA Chairman & CEO SVP & Chief 100% positive environmental impact Sustainability Officer 100% positive people impact 100% positi
Slide 4: Protecting What's Vital
Protecting What's Vital™ PEOPLE HEALTH PLANET HEALTH BUSINESS HEALTH Help people thrive by Help the planet thrive by Help businesses thrive by protecting their individual protecting the earth's protecting their reputation health, the food they eat climate and its most and maximizing their and the sp
Slide 5: The World's Sustainability Company
The World’s Sustainability Company 47,000 40 170+ 1,200+ 1,000+ ASSOCIATES INDUSTRIES COUNTRIES SCIENTISTS DIGITAL EXPERTS WATER: FOOD: 1 MILLION 36% CUSTOMER LOCATIONS WORLD’S FOOD PRODUCTION CLIMATE: HEALTH: 22% 1.4 BILLION WORLD’S POWER PEOPLE PROTECTED 5
Slide 6: How We Drive Value: Ensuring The Best Outcomes
How We Drive Value: Ensuring The Best Outcomes BREAKTHROUGH ON-SITE TECHNOLOGY EXPERTISE BEST RESULTS AT LOWEST TOTAL COST (Reduced water, energy, waste impact) GLOBAL PREDICTIVE KNOW-HOW INSIGHTS 6
Slide 7: Protecting the World's Most Recognized Brands
Protecting the World’s Most Recognized Brands 7
Slide 8: Growing Fast By Growing Our Impact
Growing Fast By Growing Our Impact 70% of Total Sales Tied to Water WATER SAVINGS SALES Billion Gallons $Billions 15 200 12 100 9 2015 2016 2017 2018 2019 2020 2021 2022 2030 2015 2016 2017 2018 2019 2020 2021 2022 Future Saving water equaling the annual drinking water Excluding ChampionX needs of m
Slide 9: Delivering High Returns For Customers
Delivering High Returns For Customers SMALL RELATIVE COST MAJOR CUSTOMER BENEFITS $ BUSINESS OPERATIONAL ENVIRONMENTAL TOTAL VALUE OUTCOMES DRIVERS IMPACT DELIVERED Maximized outcomes Human Health Assets Water & Safety Food Safety Productivity Energy Total Value Minimized impact Brand Product Greenh
Slide 10: Building a 100% Positive Future by 2030
Building a 100% Positive Future by 2030 By Delivering on With a 100% Growing Fast Our Purpose Positive Impact 100% PEOPLE HEALTH +6-8% SALES GROWTH Protect 3B people from infections Committed to safety PLANET HEALTH 20% OI MARGIN Conserve enough water for Committed to equity 1B people Water/carbon p
Slide 11: Doing Well By Doing Good
Doing Well By Doing Good Advancing Collective Progressing Toward DE&I Leading on Disclosure Action on Water Goals Readiness Achieving 100% Engaging our Employees Earning Recognition for Renewable Electricity in Outstanding Ethics Europe 11
Slide 12: Positive Environmental Impact
Positive Environmental Impact EMILIO TENUTA Senior Vice President and Chief Sustainability Officer 12
Slide 13: Water: All We've Got Is Here
Water: All We’ve Got Is Here All water 860 miles Fresh water 4% 170 miles Lakes & rivers 0.1% 35 miles Source: U.S. Geological Survey, 2019 13
Slide 14: Water Demand vs Supply Gap
Water Demand vs Supply Gap If we continue the current path, the demand for fresh water will outstrip supply by 56% by 2030 WATER SUPPLY DEMAND TODAY DEMAND IN 2030 Source: World Resources Institute, 2020 14
Slide 15: Challenge & Opportunity for Industry
Challenge & 33% Opportunity 150 Companies 41% for Industry Ag/Domestic Water Usage 66% 59% All others Industry 66% All others Industry 150 companies is driving water usage in impact 1/3 of industry high income countries water usage Source: Carbon Disclosure Project 15
Slide 16: At the Forefront of a Global Call to Action
At the Forefront of a Global Call to Action Ecolab influenced world leaders at First-In-A-Generation United Nations Water Conference 16
Slide 17: Ecolab is Building a 100% Positive Future
Ecolab is Building a 100% Positive Future Our 2030 Impact Goals focus on the impact we WATER FOOD can make: 300 BILLION 2 BILLION PEOPLE SAFELY FED WITH GALLONS CONSERVED HIGH-QUALITY FOOD IN OUR WORLD CLIMATE HEALTH 6 MILLION 90 BILLION METRIC TONS OF CO2e HANDS CLEANED AVOIDED IN OUR OPERATIONS 17
Slide 18: Positive Impact with Our Customers
Positive Impact with Our Customers Planet health People health WATER CLIMATE FOOD HEALTH 2030 GOAL: 2030 GOAL: 2030 GOAL: 2030 GOAL: 300 BILLION 6 MILLION 2 BILLION 90 BILLION gallons of water saved metric tons of CO2e avoided people provided high-quality and hands cleaned safe food Making progress
Slide 19: Positive Impact within Our Operations
Positive Impact within Our Operations Planet health People health WATER CLIMATE DIVERSITY, EQUITY AND INCLUSION SAFETY 2030 GOAL: 2030 GOAL: 2030 GOAL: 40% 50% 35% and 25% GOAL ZERO reduction in overall water impact reduction in CO2e management level gender and ethnic/racial diversity, respectively
Slide 20: Championing Water Stewardship
Championing Water Stewardship Alliance for Water Stewardship (AWS) Certified Ecolab facilities in China, Mexico, Brazil and the U.S. 8 Total AWS- certified sites 36 MEMBERS, $3.7T MARKET CAP GOALS (BY 2050): Nature-Based Solutions 1. Net Positive Water Impact Contributed to the Water Fund of São Pau
Slide 21: Positive Contribution Today, Even More by 2030
Positive Contribution Today, Even More by 2030 WATER CLIMATE Customer Customer Impact Impact Customer Impact Ecolab Ecolab Ecolab Enterprise Enterprise Enterprise Customer Customer Impact Greenhouse gas emissions Impact Water saved through use of Customer avoided through use of 2030 Ecolab solutions
Slide 22: Helping Sinopec Achieve Peak Performance While Reducing its Environmental Impact
Helping Sinopec Achieve Peak CASE STUDY Performance While Reducing its Environmental Impact Partnership Benefits: Sinopec's partnership with Ecolab improved water reuse and recycling, conserved energy, reduced emissions, increased >25% productivity, and saved costs. ANNUAL SAVINGS ANNUAL SAVINGS 630
Slide 23: Sustainable Solutions Take Loews Hotels to New Heights
Sustainable Solutions Take Loews CASE STUDY Hotels to New Heights Partnership Benefits: The hospitality company partnered with Ecolab for solutions that helped reduce water use, emissions, waste and wash time while continuing to provide a >25% stellar guest experience. ANNUAL SAVINGS ANNUAL SAVINGS
Slide 24: The Water-Energy Nexus Opportunity
The Water-Energy Nexus Opportunity Up to 75% of energy in manufacturing is Water Resilience driven by water Energy Credibility Greenhouse gas (GHG) emissions Profit 24
Slide 25: Ecolab Water for Climate: Bringing the Best of Ecolab Together
Ecolab Water for Climate: Bringing the Best of Ecolab Together Field Execution Total Plant Assessment ECOLAB3D Ecolab Global 3D TRASAR Intelligence Center 25
Slide 26: Positive People Impact
Positive People Impact LAURIE MARSH Executive Vice President, Human Resources 26
Slide 27: Building a More Inclusive Future
Building a More Inclusive Future Progress Towards 2030 DEI Goals: Women 2020 2022 2023 Goal 2030 Goal 24.1% 26.5% 28.0% 35% POC U.S. 17.2% 19.5% 20.4% 25% Black / AA 2.7% 3.7% 4.1% 6% 27
Slide 28: Bridging the Gap to Equity
Bridging the Gap to Equity 2018, 2020, 2022 Equal Pay for Equal Work 100% Perfect Equal Pay & Pay Parity score Government-Initiated workforce + pay audits closed with no material findings 28
Slide 29: Creating a Workplace Where Everyone Can Thrive
Creating a Workplace Where Everyone Can Thrive April 2023 Employee Engagement Survey Results 89% 5% Response Rate 1% 2% 4% Engagement Retention Inclusion 29
Slide 30: Empowering Growth Opportunities from within Ecolab
Empowering Growth Opportunities from within Ecolab Total Value Delivered 30
Slide 31: Strengthening Our Supplier Diversity
Strengthening Our Supplier Diversity 2030 Goal 2022 Achievement DOUBLE Exceeded 154% our US spend with diverse stretch goal to double in diversity suppliers by 2022 spend by 2022 5X $262M 166% 2020 spend by 2030 vs. goal of $250M in Black and Hispanic-owned business spend 31
Slide 32: Recognized as an Employer of Choice
Recognized as an Employer of Choice 3rd year - Best Employers 2023 1st year America’s Greatest 4th year - Top Companies for Diversity Ranked on Index for 4th year Places to Work for Diversity for Diversity list 1st year - Best Employers for 1st year on top Companies for Ranked on Index for 2nd year,
Slide 33: Positive Governance Impact
Positive Governance Impact LANESHA MINNIX Executive Vice President, General Counsel and Secretary 33
Slide 34: Upholding our Values
Upholding our Values Modernized Code of Conduct in 2023 A 100-year legacy of growth by working together One of six companies awarded for 17 consecutive years with diverse Achieving Positive Impacts perspectives and 100% Code of 100% Regional 100% Committed doing what’s right Annual Conduct Complianc
Slide 35: Demonstrating Purpose-Driven Governance Practices
Demonstrating Purpose-Driven Governance Practices PROTECTING WHAT’S VITAL TO OUR SHAREHOLDERS, CUSTOMERS & SUPPLIERS DELIVERING Qualified and Robust Board Engaged Shareholder Strong Lead Independent ON Independence Board Rights Director COMMITMENT to strong governance ESG Metrics Extensive Pay for T
Slide 36: Strengthening Board Independence
Strengthening Board Independence Updated Corporate Governance Principles Board Leadership Rotations Rotated 80% of Robust Lead Independent Director responsibilities 5 Committee Chairs since 2021 Added Limits to Outside Boards for Directors Leadership 3 of 5 committee chairs are Rotations diverse
Slide 37: Elevating ESG Governance
Elevating ESG Governance AUDIT GOVERNANCE SUSTAINABILITY COMPENSATION & SAFETY, HEALTH EXECUTIVE ADVISORY HUMAN CAPITAL & ENVIRONMENT TEAM MANAGEMENT COMMITTEE BOARD OF DIRECTORS *Leading Board Safety, Health & Environment Committee Since 2011 37
Slide 38: Leading in Transparent Reporting
Leading in Transparent Reporting Global CDP Climate Reporting Change A List Initiative Ranked on World and North Reporting since 2010 American Indices Reporting since 2005 Recognized since 2014 Sustainability Task Force on Accounting Climate-Related Greenhouse Gas (GHG) Standards Board Disclosures V
Slide 39: ESG Grows Our Impact and Our Business
ESG Grows Our Impact and Our Business 39
Slide 40: Building a 100% Positive Future by 2030
Building a 100% Positive Future by 2030 By Delivering on With a 100% Growing Fast Our Purpose Positive Impact 100% PEOPLE HEALTH +6-8% SALES GROWTH Protect 3B people from infections Committed to safety PLANET HEALTH 20% OI MARGIN Conserve enough water for Committed to equity 1B people Water/carbon p
Slide 41: Doing Well By Doing Good
Doing Well By Doing Good 6% to 8% sales and 15% EPS growth ambition Protected enough water for more than 750 million people in 2022 On track to deliver positive water and climate contributions together with our customers by 2030 Living our purpose to be the world’s sustainability company 41
Slide 42: Ecolab - Protecting What's Vital
EC@LAB PROTECTING WHAT'S VITAL"