Engaging suppliers to reduce their own emissions is a key element in our strategy to achieve net-zero emissions. In our Decarbonization Plan, we set a target for 60% of our suppliers by spend covering purchased goods and services and capital goods to have science-based targets by 2025. As of year-end 2022, our suppliers by spend that have science-based targets increased to 49% and exceeded our internal annual target of 33%.

Our suppliers are held to standards sets forth in our Supplier Code of Conduct and Human Rights Statement. In addition, our Modern Slavery and Human Trafficking Statement is updated annually and describes our approach to preventing human rights violations in our workforce and supply chain.

As part of our due diligence process, we conduct sanctions screening on all new suppliers. We evaluate and segment applicable suppliers based on criticality and risk, and we screen all key suppliers² with Compliance Catalyst, a Moody’s tool powered by the Orbis and Grid databases on private companies. As of December 31 2022, we have assessed 100% of our key suppliers and have not identified any high-risk suppliers.