Sustainability Newsletter - March 2024

Sustainability Newsletter Issue 1 2024 UK and reland

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Hello!

As we move into spring, we wanted to share an update on all the work that’s happening across the business as part of our ongoing sustainability journey. In our Planet section, we share the latest on our EV rollout, the energy saving initiatives that are helping us transform environmental performance at T2, and our new water-station project that’s cutting how much single-use plastic we waste. In People , you can see how we celebrated International Women’s Day and look back on what we’ve achieved one year after we launched our People Adding Value Everywhere (PAVE) programme. Last but not least, the Community section has a summary of the fantastic Race Across Britain event, which saw 27 teams from across the industry compete to cover the length of the country and raise funds for our automotive industry charity partner, Ben. Spoiler alert: two LKQ UK and Ireland teams won!

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2 | April 2024

2 | April 2024

Planet

Boosting energy efficiency across the network Saving as much energy as possible is a key part of our plans to become a more sustainable business and to do this, we’re investing in a range of improvements across the business. For example, the solar panel installation – as well as a new substation to operate them – is now in progress at T2. The panels will have the capacity to generate 3 megawatts of electricity, which will translate into a significant reduction in carbon emissions, as well as a major saving on our energy bills. In fact, as energy costs continue to climb, we expect to start seeing financial return on investment in around three years. Another innovation that’s paying dividends is our recent upgrade of the batteries in our narrow aisle forklifts in the warehouses. The new, more efficient Tensor batteries have a longer lifespan than those we used previously and also deliver longer run time, which means less charging. We expect this will save almost 40 tonnes of CO2 per year as well as a significant financial saving. We’re also reaping the benefits of the large LED installation we carried out last year – the data is in for 2023 and we can see a 7% decrease in consumption across the 169 sites where the lights have been put in place compared with 2022. That’s 450,279 kWh saved, which equates to 87.30 tonnes of CO2.

We’re electrifying As part of our commitment to reducing our carbon emissions - and the wider impact we have on the environment - we’re rolling out electric vehicles (EVs) at branches across our network. Many of our customers are in towns and cities, so carrying out a larger proportion of our last-mile deliveries using zero-emissions vans reduces the pollution we create in these areas, while also cutting our overall CO2 output. We now have 100 all-electric Vauxhall Combo-e and Vivaro-e vans across our commercial fleet and plans are in place to increase this number further in future. Additionally, more than 200 of our colleagues have now completed EV training and the feedback we’ve received from the branches using EVs has been very positive. As well as the van roll-out, we’re also trialling an exciting range of less traditional electric delivery vehicles at selected branches, including motor scooters, mini electric delivery vans from Runhorse and powered cargo bikes. If the trials go well, you could well see these kinds of vehicles being introduced in a branch near you soon.

We’re rolling out electric vehicles (EVs) at branches across our network.

The panels have the capacity to generate 3 megawatts of electricity, which will translate into a significant reduction in carbon emissions, as well as a major saving on our energy bills.

We expect this will save almost 40 tonnes of CO2 per year as well as a significant financial saving.

We now have 100 all-electric Vauxhall Combo-e vans across our commercial fleet.

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4 | April 2024

Planet

Say hello to sustainable pallet wrap In February, we officially launched our new sustainable pallet wrap following a two-year development period. Made from coated polyester mesh and polyester webbing, the pallet wrap can be reused up to 1,000 times, reducing our waste by up to seven tonnes annually. This saving of plastic waste is roughly equivalent to the weight of four cars and will also reduce our total emissions due to less empty vans on the road. To create the wrap, we partnered with brake supplier, TMD Friction, and have since rolled it out across our mutual supply chain to great success. This is the first time a reusable pallet wrap has been developed within our industry and we hope to introduce it to our wider supply chain in due course. As the scheme grows in the UK, TMD also anticipate the wrap will be extended to their European distribution centre in Romania so more countries can move towards a greener method of distributing parts to their customers.

Made from coated polyester mesh and polyester webbing, the pallet wrap can be reused up to 1,000 times, reducing

our waste by up to seven tonnes annually.

Global Recycling Day 2024 Both at work and at home, there are a numberof small changes you can make to increase your recycling levels and as part of Global Recycling Day in March, we shared our favourite five sustainable switches with colleagues: • Bring in your own water battle to top up at our water fountains rather than buying a plastic bottle • Use mugs and cups for tea and coffee rather than disposable paper cups • If you have to print a document, only print in black and white and use both sides of the paper • Instead of throwing away food waste, join sites such as Olio to give away excess food • Recycle your old toothpaste tubes, toothbrushes and electric toothbrush heads at your local dentist

Water good idea As part of our commitment to sustainability, we continuously review where we can make a difference and have decided to transition away from single-use water bottles by installing water stations in our branches. This is a great step to reduce our environmental footprint and we’re asking all colleagues to use reusable water bottles to support this initiative, as it not only helps reduce plastic waste but also promotes sustainability within our workplace. Last year, we purchased over 213,432 bottles of water across the network. With your help, we can now remove this single use plastic. Thanks for your support.

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6 | April 2024

People

Celebrating International Women’s Day

At the same time that we made our ’25 by 25’ commitment, we launched our broader People Adding Value Everywhere (PAVE) initiative. PAVE is our network of ambassadors who are dedicated to exploring the cultural challenges we face and driving change across the business. After a busy first 12 months, PAVE got off to a flying start in 2024 with more than 100 colleagues taking part in a training session for new champions. Our PAVE champions come from different areas and roles across the business and bring a diverse mix of ethnic, socio- economic, racial, neurodiverse and gender experiences. They’re supported by our working group, which coordinates peer support and mentorship, as well as creating and sharing events and webinars around our key focus areas of ED&I, carbon reduction and recycling, sustainability in the supply chain, talent pipelines, employee engagement and community support. With the help of our ambassadors, we’re advocating for gender diversity within LKQ UK and Ireland and ultimately helping to create a more flexible, diverse, and inclusive workplace, where everyone feels welcomed, valued and respected for who they are. We’re motivated and committed to creating an equal and equitable automotive industry and we’re going to continue to work for change in the year ahead.

International Women’s Day on March 8th was a chance to reflect on the progress we’re making to boost equality in our business and we marked the occasion across the week by highlighting many of our colleagues – including with social posts on our new LKQ UK and Ireland LinkedIn page and a panel event at T2. During the panel event, we were delighted to welcome fantastic guest speakers from across the industry. Chaired by Donna Fearnley and Liz Pawson-Poon from Charlotte Sweeney Associates, the speakers included Alex Jones from Messe Frankfurt, Louise Baker fromWomanic, Ellen Pulmer from Ben and our LKQ UK and Ireland colleagues Karena Shahid and Tina Parker. We know that the automotive industry has some catching up to do when it comes to attracting women into the workforce, developing their skills, and inspiring inclusion, but that’s what our ambitious ‘25 by 25’ initiative aims to address. We’re committed to ensuring that at least a quarter of our workforce is made up of women by the end of 2025 and that all women within our business feel valued, listened to, and championed.

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8 | April 2024

People

Welcoming young talent into the industry The theme of this year’s National Apprenticeship Week was #SkillsForLife and in February, we profiled a number of colleagues across the business on what they’ve taken away as key moments during past – and current - apprenticeships. From using setbacks as learning experiences to fostering positive work relationships and being adaptable, Natasha Emmott, Group Marketing Manager at Arleigh Group, Chris O’Rourke, Managing Director at LKQ Bodyshop, and Rio Campbell, Apprentice at LKQ Bodyshop, reflected on what newcomers can do when faced with a professional challenge. It was fantastic to see so many businesses within our industry coming together to shine a light on the importance of driving young talent into the independent aftermarket. Over the next few months, we’ll be launching several new opportunities – including internships, school safaris, and speaking slots at colleges across the UK – to encourage students to consider a career journey within automotive.

On the road with Ben

Over the last few months, the Ben Bus – which is sponsored by our garage concept, 1TEC Auto Hub – has been touring the UK, visiting Avonmouth, Sheffield, T1, and T2 to give colleagues the chance to learn more about the vital work Ben do. From supporting those who are struggling in the automotive industry to providing advice and guidance to their colleagues and families, Ben’s team work tirelessly to ensure our sector feels heard and supported. Ben’s new bus has seating inside for those who want to have a one-on-one chat with their team, as well as a small kitchen area for catching up over a cup of tea or coffee. To find out more about Ben, or to contact them for support, visit their website here.

Over the last few months, the Ben Bus – which is sponsored by our garage concept, 1TEC Auto Hub – has been touring the UK, visiting Avonmouth, Sheffield, T1, and T2 to give colleagues the chance to learn more about the vital work Ben do.

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10 | April 2024

Community

Race across Britain Last month saw Ben’s inaugural Race Across Britain event, in which 27 teams from the automotive industry competed to cover 1,300 miles using only public transport or by walking, running, or cycling – and all without the use of smartphones. Ultimately, two LKQ UK and Ireland teams – ‘The Mavericks’, comprised of Tony Shearer and Andy Southby, and ‘Skint Sprint Squad’, including Chris O’Rourke and Melanie Lowe – were crowned joint winners of the challenge after completing the journey in the quickest time. A huge well done team! The route began at the LKQ Academy at T1 in Tamworth and consisted of no less than six checkpoints, including landmarks such as the Angel of the North, Blackpool Pier, and The London Eye. As well as the fantastic wins for our colleagues, the event also raised more than £100,000 for Ben, which will be vital in helping it provide more support for those in our sector who are struggling or in crisis. Massive congratulations to all who took part. If you’d like to donate, it’s not too late to do so here.

The event also raised more than £100,000 for Ben.

The Branch Community Fund is back!

We’re committed to giving back to the communities in which we work, and the best way to do that is to enable each of our branches decide which causes they want to support. In 2023, we saw branches support local community groups, food banks, youth sports teams, and hospices. That’s why we’ve re-launched our Branch Community Fund again for 2024, which makes £500/€500 available to each branch to donate to whichever good cause they choose this year. So far, we’ve had 27 accepted applications.

You can split the budget of £500/€500 over multiple causes, for example, £300/€300 on a local scout’s club and on a £200/€200 local school garden. Ahead of funds being donated to causes, please ensure a Petty Cash form is submitted. Finally, once the donation has been agreed with your Regional Manager, the form should be sent to the P&L inbox: branchp&l@eurocarparts.com.

The Petty Cash form can be downloaded here.

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12 | April 2024

Get in touch

If you have a story or an achievement you’d like to share in this newsletter, let us know by emailing Central.Communications@eurocarparts.com. There are loads of ways you can get involved - for example, you could become a Sustainability Ambassador. If you’re interested, email lkq-ecp-sustainability@eurocarparts.com to find out more.

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