Environmental, Social & Governance

Mission Statement

Mission Statement

At Floor & Decor, our Environmental, Social and Governance ("ESG") strategy is centered around sustainability and our commitment to doing the right thing. Our efforts are focused on giving back to the diverse communities we serve, being environmentally conscious, and improving the lives of people connected to us.

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Our Corporate Responsibility

Environmental

75%

Stores with high-efficiency HVAC units

85%

Stores and distribution centers with LED lighting

2020

Formed a Floor & Decor Green Team focused on efforts to reduce our impact on the environment

Energy and Carbon Emissions
Energy and GHG Emissions 2017 2018 2019 2020
Total Electrical (kWH/yr) 81,063,613 93,073,639 100,890,533 102,520,267
Total Natural Gas (Therm/Yr) 369,195 656,607 970,212 1,010,704
Total Propane (Gallons/Yr) 333,153 371,162 394,076 428,092
Total Scope 1 GHG Emissions (CO2e)* 36,125 41,598 44,889 44,973
Total Scope 2 GHG Emissions (CO2e) 3,874 6,595 8,328 9,580
Total GHG Emissions (CO2e) 39,999 48,193 53,217 54,553
* Fugitive emissions resulting from the use of air conditioning equipment are not included as the Company evaluates their materiality for its operations.
* Transportation of products to distribution centers and to stores is completed via a 3rd party operator and classified as Scope 3 emissions.
Energy and GHG Performance Metrics
GHG Emission Intensity (CO2e/$ M Sales) 28.9 28.2 26.0 22.5
GHG Emission Intensity (CO2e/1000 SQ FT) 5.0 4.5 4.3 3.7
Retail Portfolio Energy Intensity (kWh/SQ FT) ** 1.13 1.04 0.96 0.87
** Retail portfolio excludes distribution centers, corporate office and other supporting properties.  SQ FT reported uses total retail store square feet.
Facilities

In addition to providing customers with sustainable and eco-friendly product choices, Floor & Decor is committed to operating its stores and distribution centers in a way that minimizes its carbon footprint.  Floor & Decor has invested in the systems and internal capabilities to efficiently manage this portfolio, positioning us for future commitments and achievement in the area of sustainability. This includes accomplishments in the areas of energy data capture, lighting, HVAC, and building controls that are highlighted below:

  • Data: Implemented a portfolio-wide energy information system in 2017, which captures energy and water usage data for all stores.  This has allowed Floor & Decor to track usage monthly and flag any facilities that are substantial outliers for investigation and correction.
  • Lighting:  85% of stores and distribution centers have LED lighting, which is up to 50% more efficient than typical fluorescent lighting systems.
  • HVACs: 75% of stores are equipped with high-efficiency HVAC units, delivering cooling and heating at efficiency levels 20% better than required by local building codes.
  • Building Controls: 99% of our stores controlled by an Energy Management System (EMS) to ensure that lighting and HVAC schedules can be managed centrally and only operate when necessary.
Transportation

The U.S. Environmental Protection Agency recognizes Floor & Decor as a Registered SmartWay® Transport Partner

SmartWay Logo

Floor & Decor became a SmartWay® Transport Partner in December 2020. Under the U.S. Environmental Protection Agency (EPA), SmartWay signifies a multi-level partnership between government, business, and consumers to reduce transportation-related emissions.

As a SmartWay Transport Partner, Floor & Decor is furthering our Environmental, Social, and Governance (“ESG”) strategy by focusing on sustainability and commitment to doing the right thing. Freight transportation is a large producer of air pollution contributing to smog, poor air quality, and greenhouse gas emissions. Improving efficiencies in Floor & Decor’s transportation system through the utilization of specialized lightweight equipment, allows us to transport more weight per shipment and the use of intermodal transportation have both taken trucks off the road. This not only reduces transportation-related emissions but also decreases our carbon footprint and improves air quality for future generations. Being environmentally conscious as we serve customers around the country is an integral part of Floor & Decor’s ESG strategy.

Social

$890k+

The West Fund Raised over $890,000 from our associates in need since 2015

2020

Appointed a Vice President of Diversity & Inclusion and enhanced training initiatives and launched a Women in Leadership program to support female leaders in our stores.

7,000

Donated over 7,000 medical masks to support hospitals during the Covid-19 pandemic

Diversity, Equity, and Inclusion Statement

“Going above and beyond to care for people is a part of Floor & Decor’s DNA, which is why we’re committed to making progress on our diversity, equity, and inclusion journey. I signed the pledge because the values of CEO Action align with the vision we have for our company in this area. I see this as an opportunity to learn from other companies while sharing our successful actions along the way.”

– Tom Taylor, CEO

The Oscar Mike Foundation's mission is to keep injured veteran's "On-the-Move" in all aspects of life. Recently, their headquarters and adaptive sports compound was in need of a little TLC. After learning that one of those needs was new flooring in the kitchen and bathroom areas, Floor & Decor and F&D Cares stepped up, replacing their old tile with wheelchair and pet-friendly NuCore®️️ waterproof flooring and more. The entire project was chronicled by Lifetime Television's Designing Spaces."

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Recognizing our Pro Premier Partners

Recognizing our Pro Premier Partners

Leanna Groudan (Ancon Real Estate) was the largest contributor of clean water in 2020
  • Leanna is from Venezuela and is aware of similar issues in her home country. Charity Water is an organization she donates 100% of their Pro Premier Rewards points to every year.
  • She loves the clean water initiative offered through Floor & Decor’s Pro Premier Rewards Program and has never experienced anything like this with other companies they work with.
  • She also loves our stores!

Floor & Decor Pro Premier members redeemed their points, amounting to 34,397 weeks of clean water in underdeveloped countries.

196

People gained access to one year of clean water

34,397

Weeks of clean water

Governance

Trade Partnerships

CTPAT

Custom Trade Partnership Against Terrorism (CTPAT): Through this voluntary program, Customs and Border Protection (CBP) works with the trade community to strengthen international supply chains and improve United States border security

The executive leadership and management at Floor and Decor are committed to upholding the security requirements of the CTPAT program. As a program partner, we have regular oversight to ensure that our supply chain remains secure.

California Transparency in Supply Chains Act Disclosure: The California Transparency in Supply Chains Act of 2010 seeks the elimination of slavery and human trafficking from product supply chains and requires that companies disclose their efforts to ensure that their supply chains are free from slavery and human trafficking.