Stego Sustainability Report

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SUPPLY CHAIN

Efficiency and Emission Reduction Stego products are available to customers via varying channels, including through our robust network of trusted stocking distributors across North America and around the world. This helps ensure Stego products are readily available locally to commercial con struction teams, homebuilders, subcontractors/trades, and consumers. The majority of our stocking distributors are committed to purchasing full truckload quantities of Stego products. This greatly reduces the propensity for rush orders, project- specific or “as needed” orders, and other inefficiencies that contribute to GHG emis sions. We also have geographically strategic locations for our eCommerce channel fulfillment, helping reduce truck freight travel distance to customers. This includes inventory man agement to make every effort to ensure products ordered on eCommerce ship together from one location. For international orders, we utilize newly optimized pallet configurations to allow for double-stacked pallets in a container. This change improves our shipping efficiency and, in turn, reduces shipping costs and the carbon footprint of international orders by an estimated 20%.

Constant Improvement Although Stego continually evaluates and puts processes into place to improve logistics efficiencies (e.g., inventory and production management, software implementation, etc.) we know there is room for growth and optimization. We are continuing to better identify, quantify, and benchmark supply chain impacts so we can constantly improve.

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SUSTAINABILITY REPORT | 2023

CREATING BETTER SYSTEMS

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INTRODUCTION

OUR IMPACT

OUR RESPONSIBILITY