Kohl's Department Stores Releases 2012 Corporate Social Responsibility Report

Report highlights efforts in sustainability, community relations and social compliance

Kohl’s Department Stores (NYSE: KSS) has released its 2012 corporate social responsibility (CSR) report, providing updates on the company’s programs and accomplishments in sustainability, community relations and social compliance. The report is available for download on Kohl’s Investor Relations page under Corporate Governance and on KohlsGreen.com.

“In 2012, we continued to evolve and grow many of our programs, furthering the company’s commitment to our communities, business partners and environmental responsibility,” said Kevin Mansell, Kohl’s chairman, president and chief executive officer. “From associate volunteer efforts to educating our supply chain partners about sustainable practices, Kohl’s and our associates are dedicated to making a positive difference. I am proud to share what we have accomplished and our plans for continued progress in the years ahead.”

Kohl’s 2012 CSR Highlights

Sustainability: Kohl’s Cares®: Advancing Environmental Solutions: Kohl’s is committed to protecting and conserving the environment through solutions that promote long-term sustainability. Key strategies include supply chain collaboration, sustainable operations and stakeholder engagement.

• In 2012, Kohl’s expanded its commitment to supply chain sustainability to include analysis of 50 private brand vendors, as well as the company’s top 325 national brand vendors – representing approximately 90 percent of the company’s merchandise spend. The company also surveyed 38 non-merchandise business partners in the areas of transportation and consumables. Kohl’s leverages these scores in key areas of sustainability to foster consistent dialogue and education and to help vendors establish their own programs and commitments.
• As of the end of fiscal 2012, Kohl’s:
  • achieved 752 ENERGY STAR-certified locations, adding 75 stores in 2012 with a goal to reach 800 certified locations by 2015.
  • purchased more than 1.5 billion kWh of renewable energy credits, offsetting 100 percent of the company’s purchased electricity use and achieving net zero emissions for the third consecutive year.
  • operated 137 solar arrays at stores and corporate facilities, including 16 new locations added in 2012. The company also activated its largest solar location to date at its Edgewood, Md. e-commerce fulfillment center. Kohl’s aims to have 200 active solar arrays by 2015.
  • recycled more than 83 percent of all operating waste with a goal to recycle 85 percent by 2015.
  • rolled out electronic signs to all stores, saving nearly 35,000 sheets of paper per store each month. In addition, all stores are now able to provide e-receipts to Kohl's Charge customers.
  • achieved Leadership in Energy and Environmental Design (LEED) certification from the U.S. Green Building Council for more than 300 locations.
  • operated electric vehicle (EV) charging stations at 60 locations across 16 states for customers to charge their EVs for free while they shop.
• Kohl’s is also a member of the U.S. Department of Energy’s Better Buildings Challenge and has set a goal to reduce energy use by 20 percent in more than 112 million square feet of occupied building space by 2020.

Community Relations: Kohl’s is committed to giving back to the communities the company serves – not only through charitable donations and resources, but also with talent and time.

• Kohl’s Cares®: Kids Health and Education: Kohl’s supports kids' health and education initiatives in communities nationwide. With more than a decade of dedication and millions of dollars raised, Kohl’s aims to give kids a happier, healthier future.
  • Cause Merchandise Program: Since 2000, more than $231 million has been raised through the Kohl’s Cares cause merchandise program, including more than $22.8 million raised in 2012.
  • Hospital Partners: Kohl’s partners with more than 160 hospitals nationwide to help educate kids and their parents about injury prevention, childhood obesity, asthma, immunizations and more.
  • Scholarship Program: Since 2001, Kohl’s has recognized more than 17,500 kids with nearly $3.5 million in scholarships and prizes through the Kohl’s Cares Scholarship Program. In 2012, Kohl’s recognized more than 2,200 kids with more than $420,000 in scholarships and prizes.
  • Fundraising Gift Card Program: Since 2000, the Kohl’s Cares Fundraising Gift Card program has raised more than $38 million in fundraising dollars, providing a simple, effective way to help raise funds for schools and youth-serving nonprofit organizations.
• Hometown: Since 2000, Kohl’s and Kohl’s Cares have combined to give approximately $55 million to support charitable initiatives in the metro-Milwaukee area.
  • Kohl’s Cares®: Supporting Women’s Health: In Wisconsin, through Kohl’s cause merchandise program and partnerships with notable women's health organizations like the Southeast Wisconsin Affiliate of Susan G. Komen for the Cure and the American Cancer Society Midwest Division, Kohl’s continues to fund research, raise awareness and educate women about the importance of regular breast exams and breast cancer prevention.
  • In 2012, Kohl’s represented the largest corporate team at the Milwaukee events for the Susan G. Komen Race for the Cure and American Cancer Society’s Making Strides Against Breast Cancer walk with approximately 6,500 and 3,000 associates, friends and family participating, respectively.
  • In Wisconsin stores and at Kohls.com, Kohl’s showcased exclusive breast cancer cause merchandise from ELLE, Dana Buchman, FILA SPORT and LC Lauren Conrad with 100 percent of the net profit supporting the fight against breast cancer.
• Kohl’s Cares®: Associates in Action: Kohl’s associates are making a difference in the lives of children by volunteering for youth-serving nonprofit organizations and environmental initiatives. When a minimum of five associates from one Kohl’s location volunteer at least three consecutive hours of their time with a qualifying organization, associates help the nonprofit earn a grant.
  • Since 2001, more than 669,000 Kohl’s associates volunteered for more than 2.2 million hours during more than 114,000 events, resulting in more than $63 million in grants donated. In 2012, more than 160,000 Kohl’s associates volunteered for more than 528,000 hours during more than 28,000 events, resulting in more than $15.7 million in grants donated.
• Disaster Relief: Since 2001, Kohl’s has given more than $5.5 million toward disaster relief efforts. In 2012, Kohl’s gave more than $1.2 million toward these initiatives and donated to the American Red Cross in support of relief efforts following natural disasters. The company also encourages associates to volunteer in support of recovery efforts through Associates in Action.

Social Compliance: Kohl’s is committed to operating within the highest standards of social responsibility and holds partners to these same high standards through Kohl’s Terms of Engagement policy, which is available in full at connection.kohls.com under the “new vendors” tab. Among highlights for 2012:

• Kohl’s continued to emphasize open, ongoing communication with vendor partners through numerous individual training sessions for partners to promote understanding and compliance with Kohl’s requirements.
• Kohl’s is a member of the Sustainable Apparel Coalition Social/Labor working group.
• Kohl’s participated in the Better Factories Cambodia and Better Work Vietnam programs, which are focused on strengthening labor standards in export garment industries in specified countries.
• Kohl’s completed more than 3,700 factory monitoring visits to more than 2,100 facilities.

Additional information about Kohl’s efforts in the areas of sustainability, community relations and social compliance is available on Kohl’s Investor Relations page, Kohls.com/Cares and KohlsGreen.com.

About Kohl’s

Based in Menomonee Falls, Wis., Kohl’s (NYSE: KSS) is a family-focused, value-oriented specialty department store offering moderately priced, exclusive and national brand apparel, shoes, accessories, beauty and home products in an exciting shopping environment. With a commitment to environmental leadership, Kohl’s operates 1,155 stores in 49 states. In support of the communities it serves, Kohl’s has raised more than $231 million for children’s initiatives nationwide through its Kohl’s Cares® cause merchandise program, which operates under Kohl's Cares, LLC, a wholly-owned subsidiary of Kohl's Department Stores, Inc. For a list of store locations and information, or for the added convenience of shopping online, visit www.Kohls.com, join the discussion on Facebook (http://www.facebook.com/Kohls) or Twitter (http://twitter.com/Kohls) or get inspired on Pinterest (http://pinterest.com/Kohls) and Instagram (http://instagram.com/Kohls).