Sustainability in Action

We have made significant progress and have taken dozens of tangible steps to reduce our impact on the environment. In part, we have:

LED Lighting

Macy’s, Inc. has entered a new phase of its industry-leading program to install energy-saving LED lamps in stores nationwide. The company has already installed more than 1.1 million LED lamps in substantially all Macy’s and Bloomingdale’s stores across America, cutting energy consumption used in lighting by up to 70 percent compared with conventional lamps replaced. New types of LED installations continue to be piloted and used in new stores and store remodel projects.

Solar Power

Macy’s was ranked as the 6th largest American company in total on-site installed solar capacity in 2014 by the Solar Energy Industries Association. The company is planning and developing 35 additional solar power arrays to be installed on the roofs of stores and distribution centers in California, Connecticut, Hawaii, Maryland, New Jersey, New York and other states in 2016. At year-end 2015, solar energy was being generated on 78 active installations at Macy’s and Bloomingdale’s facilities.

Sustainable Apparel Coalition

Macy’s Private Brands – the company’s product development organization – is a member of the Sustainable Apparel Coalition (SAC), a trade organization working to reduce the environmental and social impacts of apparel and footwear products around the world. SAC is comprised of brands, retailers, manufacturers, government, and nongovernmental organizations and academic experts, representing more than a third of the global apparel and footwear market. Private brands has rolled out the HIGG index (the SAC’s tool to assess sustainability) to 65 factories producing wearing apparel, footwear, and home textiles. We have validated results for the majority of those factories, and we will be rolling out the process to even more factories in 2016.

Packaging Reduction

Macy’s is reducing waste in the merchandise supply chain by standardizing the size of packing cartons, incorporating recycled polyester fibers in many woven garment labels, and minimizing packaging materials. Macy’s has led a process with a group of major home merchandise vendors to explore new ways to reduce waste and cost in product packaging in a manner that facilitates sharing and adoption of best practices.

Sustainable Transportation

Macy’s has transitioned cross-country shipments from over-the-road trucks to intermodal rail containers, which contribute less than 50 percent the amount of carbon dioxide per freight mile than trucks. In the last five years, annual intermodal use increased by 200 percent to nearly 48 million miles in 2015 and reduced carbon dioxide emissions by 97 million pounds. Merge centers have been introduced in our largest vendor shipping markets – California, New Jersey, North Carolina and Illinois. Multiple vendors are combined on a single truck to ensure full utilization of space for trailers going to a Macy’s distribution center. This has increased the number of cartons per trailer by 50 percent which means less carbon emitted.

Digital Receipts

Macy’s is driving adoption of digital receipts, which are available in all stores nationwide. When making a purchase, customers can choose to have a copy of their receipt e-mailed to them, thus eliminating the unnecessary use of paper receipts. Digital receipts are a convenience for many customers and support the company’s sustainability objective of reducing the use of paper in its business operations. In 2015, about 23 percent of all store transactions were paperless.

Project Linus Reduces Fabric Waste

When Macy’s Private Brands organization set out to find a way to make productive use of damaged product and fabric samples that were being discarded, they discovered Project Linus. The nonprofit organization – named for the famed Peanuts character and his trustworthy blanket – is dedicated to providing security through handmade blankets for ill or traumatized children and teens. Over the past five years, Macy’s Private Brands has dropped off fabric and product samples on a monthly basis. The result has been thousands of blankets that provide comfort and warmth to children when they need it most.

Electric Vehicle Charging Stations

Macy’s has an agreement with Volta Charging LLC to install up to 24 new free-to-operate electric vehicle (EV) charging stations outside 12 stores in northern California beginning in early 2016. All 24 charging stations are expected to be installed and operating by early 2017. Completion of these and other installations in the Los Angeles area will bring as many as 58 EV charging stations to customers at Macy’s and Bloomingdale’s store locations in California. Macy’s is pursuing additional free-to-charge EV stations outside Macy’s stores in other markets. In 2011, Macy’s became the first major depart-ment store to pilot the use of EV charging stations when it forged an agreement to install 16 charging stations outside five Macy’s stores and one Bloomingdale’s store in the San Diego area, which are currently being operated as part of the Blink Network. In 2014 and 2015, we significantly increased the number of installations. Collectively, these charging stations provide an added convenience to EV drivers and help promote the reduction of fuel consumption and the transition to clean, renewable energy.

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