Sherwin Williams : 2023 Investor Sustainability Summary - Metrics at a Glance

The Sherwin-Williams Company -

Investor Sustainability Summary

Topic	Metric	2021	2022	2023
Sustainability Reporting
	2023	Sustainability Report		2023 Sustainability Report
	2023	SASB Index		2023 SASB Index
	2023	TCFD Report		2023 TCFD Report
	2023	GRI Index		2023 GRI Index
General
	Total Employees	61,626	64,366	64,088
	Total Employees (Full-Time Equivalent)	51,116	53,505	64,051
Company	Net Sales (Millions)	$19,944.6	$22,148.9	$23,051.9
	Total Shareholder Return	See page 85 of our 2023 Sustainability Report for Shareholder Returns
	Number of Sites (includes manufacturing/distribution sites and global stores, branches and blending facilities)	5,271	5,383	5,478
Environmental

General Environmental

Emissions and Climate Change

ISO 14001 Certified Sites1 - # (%)	43 (36%)	44 (36%)	47 (39%)
Environmental Management Policy			Global Environmental, Health and Safety Policy
Scope 1 (Direct CO2) GHG Emissions (metric tons CO2e)	387,908	427,035	434,541
Scope 2 (Indirect CO2) GHG Emissions (metric tons CO2e)	271,935	278,837	265,782
Total Scopes 1 and 2 CO2 emissions (metric tons CO2e)	659,843	705,872	700,323
Emissions Reduction Goal		Reduce absolute Scope 1 and 2 greenhouse gas emissions
		by 30% by 2030 (2019 baseline)
	Our 2030 Scope 1 and 2 emissions reduction goal reflects a science-based
Science-Based Target	approach influenced by the Paris Agreement and its goal to limit
		global warming to well below 2.0 degrees Celsius
VOC Emissions (metric tons)	1,879	1,723	1,603
SOX Emissions (metric tons)	243	255	319

1 This only applies to manufacturing and distribution facilities.

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Topic

Metric

2021

2022

2023

Emissions and Climate Change (continued)

Energy

Renewable Energy

Water

Waste

NOX Emissions (metric tons)	3,992	4,180		5,138
Climate Change Strategy		Yes - see pages 70-74 of our 2023 TCFD Report
CDP Climate Change Disclosure2		CDP Climate Change Response
CDP Climate Change Score2	B-	C	C
Total Direct Energy Consumption (Scope 1) (Gigawatts)	1,534	1,736		1,770
Total Indirect Energy Consumption (Scope 2) (Gigawatts)	742	749		723
Total Energy Consumption ((Gigawatts))	2,276	2,485		2,493
Total Direct Energy Intensity (Scope 1) (Megawatts/metric tons produced)	0.41	0.44		0.47
Total Indirect Energy Intensity (Scope 2) (Megawatts/metric tons produced)	0.20	0.19		0.19
Total Energy Intensity (Megawatts/metric tons produced)	0.61	0.63		0.66
Renewable Energy (Gigawatts)3	1.29	0.41		0.92
Renewable Energy Percent of Total (%)	0.17%	0.05%		0.13%
Renewable Energy Goal		Increase electricity from renewable sources to 50%
	of total electricity usage by 2030 (2019 baseline)
Water Withdrawn (m3)	3,526,124	3,869,286		3,943,481
Water Consumption in Production Facilities (m3)	997,052	836,685		813,106
Water Intensity (m3/metric ton production)	0.93	0.98		1.05
Water Consumed in Production Facilities and Sourced from Regions with High or Extremely High Baseline	20.98%	20.77%		24.43%
Water Stress
CDP Water Disclosure2		CDP Water Security 2023
CDP Water Score2	C	C	C
Wastewater Discharge (m3)	2,529,072	3,032,601		2,797,492
Waste Reduction Goal	Reduce waste disposal intensity by 25% by 2030 (2019 baseline)
Waste Reduction Strategy		Yes - see pages 24-25 of our 2023 Sustainability Report.

1. CDP scoring is based on previous year's data.
2. Renewable Energy includes on-site generation and procured renewable energy credits.

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Topic	Metric	2021	2022	2023
Social

Workforce

Belonging & Culture

Women in Workforce	24.5%	23%	25%
Women in Management	26.4%	26%	26%
Minorities in Workforce (U.S. Only)	35.2%	36%	38%
Minorities in Management (U.S. Only)	27.7%	29%	30%
Workforce Age Group 70+	0.9%	0.92%	1.35%
Workforce Age Group 60-69	6.6%	6.28%	8.13%
Workforce Age Group 50-59	15.7%	15.46%	15.96%
Workforce Age Group 40-49	20.1%	20.01%	21.06%
Workforce Age Group 30-39	26.6%	26.23%	27.26%
Workforce Age Group 20-29	28.8%	29.20%	25.10%
Workforce Age Group Under 20	1.3%	1.90%	1.15%
Voluntary-Regrettable Turnover (for Full-Time Only)	12.3%	13.1%	10.8%
The Sherwin-Williams Company 401(k) Plan Common Stock Ownership	7.9%	7.6%	7.3%
Equal Opportunity Policy		Equal Opportunity Policy

2023 Engagement Survey: We collaborated with a third party to conduct our global engagement survey. Our goal was to leverage the voice of our employees and quantify our progress toward creating an inclusive culture that empowers everyone to learn, grow and achieve their career aspirations. We earned a favorable engagement score of 76%, which serves as an affirmation of our existing efforts. We compare scores against past results and are committed to using the data to drive continued progress through a formal action planning process. We regularly seek employee feedback through various forms of formal and informal employee listening and plan to conduct the global engagement survey every two years.

The following results from our 2023 all-employee engagement survey reflect our efforts in fostering an inclusive, supportive culture.

• "Managers treat our employees with dignity and respect." - 90% favorable response
• "Sherwin-Williamsis a safe place to work." - 84% favorable response
• "I can be myself at Sherwin-Williams." - 80% favorable response
• "I would recommend Sherwin-Williams as a place to work." - 80% favorable response

Conscious Inclusion Education & Training equips employees with inclusive leadership behaviors and resources to improve performance, drive business growth and enhance customer experience. The sessions and resources are designed to help leaders become mindful of unconscious perspectives and provide them with practical actions they can take to create and lead more inclusive cultures.

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Topic	Metric	2021	2022				2023
	Days Away Restricted or Transferred (DART) Rate (Total incidents per 200,000 hours worked)	0.58	0.87				0.84
Occupational Health and Safety
Recordable Case Rate (Total number of employees with recordable incidents per 200,000 hours worked)	0.81	1.29				1.18
	Health and Safety Policy		Global Environmental, Health and Safety Policy
Human Rights	Human Rights Policy		Code of Conduct,	Human Trafficking Policy
Conflict Minerals Policy				Conflict Minerals Policy
Community Engagement	Total Corporate Foundation and Other Giving	$6,425,865	$6,944,238				$6,498,431
Community Engagement			Community Engagement
Products
Quality and Safety	Research and Development Costs (Millions $)	$115.9	$119.3				$196.6
Sustainability by Design	Our Sustainability by Design program embeds life cycle thinking, which considers impacts throughout our value chain, into the earliest stages of our product innovation and development processes. From initial
concept through commercialization, we identify ways to incorporate sustainability attributes into our products, with a focus on climate/carbon impact, resource conservation and formula stewardship. For more
	on our Sustainability by Design program, see page 13 within our 2023 Sustainability Report.
Product Sustainability	Sustainability Product Listing
Supply Chain
Supply Chain	Supplier Guidelines/Code of Conduct		Supplier Code of Conduct
Governance
Ethics	Business Ethics Policy				Code of Conduct
	Size of the Board	11	11				11
	Independent Directors on Board - # (%)	10 (91%)	10 (91%)				9 (82%)
	Independent Lead Director	Yes				Yes	Yes
Board of Directors	Gender Diversity - # (%)	3 (27%)	3 (27%)				4 (36%)
Racial/Ethnic Diversity - # (%)	4 (36%)	4 (36%)				4 (36%)
	Board Average Age	61.8	62.8				62.2
	Board Average Tenure	6.2	6.8				6.5
	Mandatory Retirement Age	72	72				72

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Topic

Metric

2021

2022

2023

Board of Directors Continued

Shareholder Practices4

Public Policy and

Political Engagement

Board Meetings Held	6	5	6
All Directors Attended ≥ 75% of Meetings			Yes
Independent Members on the Audit Committee - # (%)	6 (100%)	6 (100%)	5 (100%)
Audit Committee Meetings	5	6	5
Independent Members on the Compensation & Management Development Committee - # (%)	4 (100%)	4 (100%)	4 (100%)
Compensation & Management Development Committee Meetings	4	6	7
Independent Members on the Nominating & Corporate Governance Committee - # (%)	4 (100%)	4 (100%)	3 (100%)
Nominating & Corporate Governance Committee Meetings	4	2	2
Annual Board and Committee Self-Assessments			Yes
Orientation Program for New Directors			Yes
Equal Voting Rights (One Vote per Share)			Yes
Annual Say on Pay Voting Support	93.5%	92.4%	93.6%
Shares Outstanding as of December 31	261,143,805	258,875,999	254,543,290
Equity Reserved as % of Shares Outstanding	7.3%	6.9%	6.2%
Options Granted as % of Shares Outstanding	0.37%	0.39%	0.39%
Fair Price Provision			Yes
Mandatory Bid Provision			No
Majority Voting Standard			Yes
Classified Board			No
Proxy Access5			Yes
Shareholder Rights Plan			No
Political Action Committee			No
Public Policy and Political Engagement Statement		Code of Conduct,	2023 GRI Index

• Historical share and per share information has been retroactively adjusted to reflect the Company's three-for-one stock split effected March 31, 2021.
  5 The Company's Regulations provide proxy access rights to three-year, 3% shareholders for up to 20% of the board.

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Topic

Metric

2021

2022

2023

Compensation

Governance

Total Compensation Paid to Named Executives	$33,937,998	$26,559,481	$47,131,384
Total Salaries Paid to Named Executives	$4,652,263	$4,195,773	$4,578,397
All Other Compensation Paid to Named Executives		Summary Compensation Table, Proxy Statement
Total Compensation Paid to CEO	$15,843,760	$12,749,910	$19,281,779
Total Salary Paid to CEO	$1,368,231	$1,408,962	$1,478,462
All Other Compensation Paid to CEO		Summary Compensation Table, Proxy Statement
Executive Compensation Policies and Practices		Compensation Discussion and Analysis, Proxy Statement
Significant Stock Ownership Guidelines6		Yes
Double-Trigger Equity Vesting Upon CIC		Yes
Anti-Hedging and Anti-Pledging Policy		Yes
Clawback Policy		Yes
Total Executives	11	12	12
Female Executives - # (%)	3 (27%)	3 (25%)	3 (25%)
Sustainability Disclosures Independently Verified/Assured		No
UN Global Compact Signatory		No
Sustainability Oversight		Yes - see page 49 of our 2023 Sustainability Report
External Auditor		Ernst & Young LLP
Audit and Audit-Related Fees Paid to Auditor	$6,171,000	$6,398,000	$6,818,000
Non-Audit Fees Paid to Auditor	$1,023,000	$1,896,000	$1,714,000

6 Each independent director is required to own shares of common stock equal in value to a minimum of 7x the annual board cash retainer and hold all shares of common stock received upon the vesting of restricted stock units until the minimum share ownership requirement is met. Each executive is required to own shares of common stock equal in value to a multiple of his/her base salary, with 6x for the CEO, 4x for the COO and 3x for other executives.

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