pg. 19

"HIGHLIGHTS:

2. Working with an energy procurement consultant, our retail stores have begun switching to 100% renewable energy, such as wind and solar power wherever possible"

pg. 21

"ENERGY

Our first focus on energy is identifying ways to increase efficiency wherever we can. Our global headquarters is LEED Platinum certified. Our kate spade new york offices and Jacksonville distribution center have both earned LEED Silver certification.

We also seek renewable energy solutions wherever possible. Working with energy procurement consultants, our retail stores have begun switching to 100% renewable energy, such as wind and solar power wherever possible. In order to further scale our renewable energy use, we use renewable energy credits (RECs). As defined by the U.S. EPA, RECs are “a market-based instrument that represents the property rights to the environmental, social and other non-power attributes of renewable electricity generation. RECs are issued when one megawatt-hour (MWh) of electricity is generated and delivered to the electricity grid from a renewable energy resource.” In FY20, our RECs made up 5.6% of our electricity consumption across our operations within the United States. We are working to increase the percentage of renewable energy used across our own operations.'