Stanley Black & Decker, Inc. · NYSE:SWK
Stanley Black & Decker — ESG Presentation (September 2023)
24 slides from Stanley Black & Decker's sustainability presentation, September 2023
Slide 1: Investor Presentation: Strategy & ESG, September 2023
Investor Presentation Strategy & ESG September 2023
Slide 2: Cautionary Statement
Cautionary Statement This presentation contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact are “forward-looking s
Slide 3: Company Overview & Strategy
Company Overview & Strategy StanleyBlack&Decker
Slide 4: More Streamlined Company With Great Franchises
More Streamlined Company With Great Franchises Tools & Outdoor Industrial World-Wide Leader In Tools & Outdoor Highly-Engineered B-2-B Businesses Outdoor Power Infrastructure Equipment 26%1 25% 2022 Revenue1: $16.9B Power Tools & Equipment Market Cap: ~$14B 47% $14.4B Hand Tools, Storage & STANLEY E
Slide 5: Stanley Black & Decker Value Creation Model
Stanley Black & Decker Value Creation Model Strong, Innovation-Driven Businesses World Class Brands In Diverse, Global Markets Attractive Growth Platforms Powered By: Scalable, Defensible Franchises Key Long-Term Metrics: • Organic Revenue Growth*: 2-3x Market Differentiable Through Innovation • 35%
Slide 6: Transforming To Accelerate Organic Growth
Transforming To Accelerate Organic Growth Executing On Our Clear Vision And Strategy For Long-Term Success… Reduce Complexity – Invest In Core Growth Enhance ~$2B 3-Year Cost Savings $300M - $500M Shareholder Return Organic Revenue OPTIMIZE I N N O VAT I O N Growth* 2-3X Market C O R P O R AT E S T
Slide 7: Business Streamlining & Transformation On-Track
Business Streamlining & Transformation On-Track Supply Chain Transformation And SG&A Simplification Are On-Track For $2.0 Billion Annualized Savings By 2025… Progress Achieved Supply Chain Transformation (As Of 2Q’23) Cost Savings (Pre-Tax Run-Rate) Complexity Reduction (SKU Reduction & Platforming)
Slide 8: Our Approach To ESG
Our Approach To ESG StanleyBlack&Decker
Slide 9: Refined ESG Focus To Align With Our Current Portfolio
Refined ESG Focus To Align With Our Current Portfolio Transforming & Simplifying Refined ESG Focus Our Business Areas To Align ToBusiness With Our Drive Value For All Strategy & Stakeholders The UN Sustainable Development Goals As Part Of Our Ongoing Business Transformation, We Have Reviewed & Refin
Slide 10: Enduring Commitment To Responsible Action
Enduring Commitment To Responsible Action On Our Path To Fully Embed An ESG Focus Into Our Operations And Products, Milestone By Milestone, We Have Always Stood Out As A Responsible Business, One That Has Made It Possible For The Builders And Makers We Serve To Make Their Positive Contributions To T
Slide 11: Our 2022 Performance
Our 2022 Performance Delivered Well Against Our Previously Established Goals During 2022 We Initiated Our ESG Strategy & Goal Update To Reflect The Significant Outdoor Acquisitions And The Security Business Divestitures, As Well As To Align With Our Strategy As A More Focused Company 9 An Empowered
Slide 12: 2022 ESG Scorecard
2022 ESG Scorecard Continuing To Measure Progress & Hold Ourselves Accountable As Our Sustainability Journey Evolves 11 Energy intensity in kilo BTU demand per work hour; carbon intensity is CO2e in metric tonne emissions per thousand work hours 12 Water intensity in withdrawal gallons per work hour
Slide 13: Refreshed ESG Goals Focused On Impact
Refreshed ESG Goals Focused On Impact ESG Focus Areas Align With Our Go-Forward Business Strategy & The UN Sustainable Development Goals People Product Planet DE&I Scope 3 Scope 1 & 2 Achieve Our 10-Point Racial Equity Roadmap 67% Of Suppliers By Spend Will Set Scope 1 42% Reduction In Absolute Scop
Slide 14: Sustainably Driving Our Business And Operations
Sustainably Driving Our Business And Operations “Our success going forward will be powered by our end user obsession, sustainable innovation, and a thriving, inclusive culture of excellence that embodies these clear priorities.” – Don Allan Jr., President & CEO People Product Planet Advancing DE&I,
Slide 15: Governance
Governance StanleyBlack&Decker
Slide 16: Governance Policies Aligned With Best Practices
Governance Policies Aligned With Best Practices • Meeting Of Independent Directors In Executive Session At • Commitment To Balanced Board Refreshment With A Each Regularly Scheduled Board Meeting Mixture Of Director Tenures • Policy Against Hedging Or Pledging Of Company Stock • Independent Board, O
Slide 17: Proactive Alignment With Shareholders
Proactive Alignment With Shareholders ✓ Continuous Board Refreshment, Including The Addition Of Two Independent Directors And A New Independent Chair During 2022 ✓ Proactively Adopted A Proxy Access Provision ✓ Added SASB Disclosure As An Enhancement To Our Existing GRI-Based CSR Reporting ✓ Proacti
Slide 18: Board Independence
Board Independence Board Diversity ✓ Independent Chair Or Independent Lead Director Since 2000 Gender And Racial/Ethnic Diversity*(a) ✓ Offices Of Chair And CEO Separated In January 2017 40% Are Women, With One Veteran ✓ Independent Directors Meet In Executive Session At Every Regularly Scheduled Bo
Slide 19: Corporate Governance
Corporate Governance Board Composition And Governance Features Board Refreshment And Tenure1 ✓ Independent Chairperson Average Tenure Of 5 Years ✓ 5 New Non-Management Directors In The Last 3 Years ✓ Balance Of Institutional Knowledge And Fresh Perspective 6 <= 3 years ✓ Key Governance Features: 4 >
Slide 20: Independent, Experienced & Diverse Board Of Directors
Independent, Experienced & Diverse Board Of Directors Andrea J. Ayers Donald Allan, Jr. Patrick D. Campbell Chair President & CEO Retired SVP & CFO Stanley Black & Decker Stanley Black & Decker 3M Company Retired President & CEO, Convergys Corporation ✓ Expertise In Finance And Accounting And Deep ✓
Slide 21: Independent, Experienced & Diverse Board Of Directors
Independent, Experienced & Diverse Board Of Directors Adrian V. Mitchell Jane M. Palmieri Modjeh Poul Chief Operating Officer* & CFO President, Industrial Intermediates & Retired Executive Vice President, Health Macy’s, Inc. Infrastructure Care Business Group ✓ Leads All Of Macy's Finance Functions
Slide 22: Board Composition
Board Composition 20 As Of 2023 Proxy Statement Investor Presentation: Strategy & ESG 22
Slide 23: Committee Structure
Committee Structure Our Board Administers Its Strategic Planning And Risk Oversight Function As A Whole And Through Its Board Committees. It Is The Policy Of The Board That Every Member Of The Audit, Corporate Governance, Compensation And Talent Development, And Finance And Pension Committees Should
Slide 24: Management Compensation Aligned With Performance
Management Compensation Aligned With Performance Executive Compensation Philosophy Tenets Pay For Performance Competitive Pay Align Pay With Shareholder Interests Balanced Pay Mix - Majority Of Annual And Long-Term - To Attract And Retain High Caliber Executive - Our Compensation Program Is Designed
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