Stewards of Life Out Here: 2021 Sustainability Report

A Message from Hal Lawton, President & Chief Executive Officer

If you spend much time at Tractor Supply—whether in our stores, our distribution centers or our store support center —sooner or later you’ll hear people talking about “Life Out Here.”

They’re not just talking about a place. They’re talking about a way of life and living – a self-reliant lifestyle and the genuine, authentic way that people share “Life Out Here” with families, friends and loved ones.

We help our Team Members, customers and communities pursue “Life Out Here” by living our Mission and Values every day, and by embedding sustainability in every aspect of our business. We believe we have a responsibility to live up to and maintain sustainability in all areas–from the way we treat our 46,000 Team Members to the way we tread lightly on the land.

Tractor Supply has a longstanding commitment to sustainability. Our Stewardship Program has been an evolving journey over the past 14 years, in which we have viewed sustainability as a process of continuous improvement, driving positive environmental and social change within our company and our communities.

In 2021, we continued to focus on driving positive change, most notably by advancing diversity, equity and inclusion for our team members and communities, and by announcing bold new environmental targets.

We aim to provide a welcoming and inclusive environment for our Team Members, customers, suppliers and communities. This year, we established comprehensive five-year diversity, equity and inclusion goals to support and advance underrepresented groups across our stakeholders:

• Double the number of stores where Team Members mirror the communities they serve,
• Increase People of Color at the manager level and above by 50%,
• Increase spending with diverse suppliers by 35% and
• Increase commitment to funding programs and education for Black and African Americans by 30%.

We are also proud of the actions we’ve taken to position ourselves as a retail leader in addressing climate change, helping to build a regenerative future by helping farmers, ranchers, and all those who enjoy living a rural lifestyle across the US succeed in their efforts to positively impact the land, air and water. In 2021 we set our boldest targets yet: committing to net zero emissions by 2040. To meet this goal, we will continue to increase our renewable energy use, invest in cleaner technologies, and design both our stores and distribution centers to maximize energy efficiency.

While we’re proud of the steps we’ve taken in 2021, we recognize that this is a journey. That’s why we are establishing a new water goal of reducing our company-wide absolute water footprint by 25 million gallons by 2025. Tractor Supply firmly believes in the importance of managing water sustainably and putting in the forethought and effort to build a better tomorrow for Life Out Here. This new goal is a key milestone in our sustainable journey, and is another reflection of our core Mission and Values coming to life and commitment to doing the right thing for our customers and the communities we call home.

We are passionate about Life Out Here, and we respectfully take on the duties and obligations that are required to truly be Stewards of Life Out Here – both now and in the future.

I invite you to read through this report and learn about the progress we have made on our sustainability journey.

View the full 2021 Sustainability Report here.

Tractor Supply

Tractor Supply

Tractor Supply Company (NASDAQ: TSCO), the largest rural lifestyle retailer in the United States, has been passionate about serving its unique niche, targeting the needs of recreational farmers, ranchers and all those who enjoy living the rural lifestyle, for more than 80 years.

Tractor Supply offers an extensive mix of products necessary to care for home, land, pets and animals with a focus on product localization, exclusive brands and legendary customer service for the Out Here lifestyle. With more than 46,000 Team Members, the Company's physical store assets, combined with its digital capabilities, offer customers the convenience of purchasing products they need anytime, anywhere and any way they choose at the everyday low prices they deserve. At March 26, 2022, the Company operated 2,003 Tractor Supply stores in 49 states, a customer mobile app and an e-commerce website at www.TractorSupply.com.

Tractor Supply Company also owns and operates Petsense, a small-box pet specialty supply retailer focused on meeting the needs of pet owners, primarily in small and mid-size communities, and offering a variety of pet products and services. At March 26, 2022, the Company operated 178 Petsense stores in 23 states. For more information on Petsense, visit www.Petsense.com

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