2017 sustainability metrics - eaton.com

1 2017 sustainability metricsHealth and safety In 2017, we reduced the Total Recordable Case Rate (TRCR) by ( ) and Days Away Case Rate (DACR) by 12% ( ) compared to Recordable Case Rate Health and safety recordable cases are work-related injuries or illnesses as defined by the Occupational Safety and Health Administration (OSHA).Days away cases are injuries or illnesses involving one or more days away from work as defined by actual rateTRCR goalDACR actual rateDACR goalRate per 100 employeesDays Away Case Rate Rate per 100 employees20152 goalEATON 2017 sustainability metrics 2018 eaton . All rights tons of GHG per million dollars of sales (USD)20152 01620178419741, 010968824815 GHG generatedIndexed GHG generated20152 to sales, our greenhouse gas (GHG) generation decreased by in 2017 compared to 2016.

2 On an absolute basis, we decreased our GHG generation by 6,000 metric tons (from 974,000 to 968,000), or compared to the prior year. Since 2015, we have reduced the total amount of GHG generated by our operations from 1,010,000 metric tons to 968,000, which equals a reduction. Indexed to sales, we decreased our GHG emissions by over the gas generationEmission rates are generated using World Resources Institute-recommended CO2 conversion factors, which account for variations by region. These conversion factors are based on typical energy generation methods, such as those using fossil fuels or other energy sources. When we compare 2017 to 2016, sales from the manufacturing plants that make up eaton 's GHG profile increased by metric tons of GHG per 67.

3 5 Indexed GHG indirectIndexed GHG direct GHG indirectGHG direct eaton 2017 sustainability metrics 2018 eaton . All rights goal20152 01620175,16 45,0934,773 Water consumptionWater consumedThousand cubic meters of waterIndexed water consumedCubic meters of water per $1,000 of sales (USD)Water consumption data reported represent a majority of eaton s water consumption at manufacturing plants worldwide. Of the sites reporting, 16% were in Asia Pacific; 30% in Europe, the Middle East and Africa; 4% in South America; and 50% in North America. When we compare 2017 to 2016, sales from the manufacturing plants used to create eaton s water profile increased by to sales, our water consumption decreased by in 2017 compared to 2016.

4 On an absolute basis, we decreased our water consumption by compared to the prior year. eaton does not consume large volumes of water, therefore the majority of the decrease relates to reduction efforts of a few targeted plants. Since 2015, we have reduced water consumption from 5,164,000 to 4,773,000 cubic meters, which equals a reduction. Indexed to sales, we reduced water usage by over the period. Water consumedIndexed water consumedIndexed water consumed goalEATON 2017 sustainability metrics 2018 eaton . All rights 01620172,5682,4192,4241,6321,5881,579 Energy usedIndexed energy usedEnergy consumption data was compiled from a majority of eaton s manufacturing plants worldwide. Of the sites reporting, 17% were located in Asia Pacific; 29% in Europe, the Middle East and Africa; 3% in South America; and 51% in North America.

5 When we compare 2017 to 2016, sales from the manufacturing plants that make up eaton s energy profile increased by to sales, our energy use decreased by in 2017 when compared to 2016. On an absolute basis, our energy consumption increased by 5 million kilowatt-hours, or compared to the prior year. Since 2015, we have reduced the total energy used by our operations from 2,568 million to 2,424 million kilowatt-hours, which equals a reduction. Indexed to sales, we decreased usage by over the period. Energy consumption20152 0162017788078123123119 Million kilowatt-hours Kilowatt-hours per $1,000 of sales (USD)Energy directEnergy indirect9368 31845 Indexed energy directIndexed energy indirect454242 eaton 2017 sustainability metrics 2018 eaton .

6 All rights to landfill data were compiled from a majority of eaton s manufacturing plants worldwide. Of the sites reporting, 16% were in Asia Pacific; 30% in Europe, the Middle East and Africa; 4% in South America; and 50% in North America. When we compare 2017 to 2016, sales from the manufacturing plants used to create eaton s waste profile increased by to landfillIndexed to sales, our waste to landfill, which includes waste incinerated without heat recovery, decreased by in 2017 compared to 2016. On an absolute basis, we decreased our generation by (from 26,200 metric tons in 2016 to 25,000 in 2017), a total decrease of 1,098 metric tons. Since 2015, we have reduced the waste sent to landfill by our operations from 33,400 to 25,100 metric tons, which equals a reduction.

7 Indexed to sales, we reduced landfilled waste by over the goal20152 016201733. to landfillIndexed waste to landfillThousand metric tons of landfilled wasteMetric tons of landfilled waste per million dollars of sales (USD)Waste to landfillIndexed waste to landfillIndexed waste to landfill goalEATON 2017 sustainability metrics 2018 eaton . All rights , inclusion & diversity95,69629,92687,60728,2897,4811, 520583112255123(As of December 31, 2017)Total globalNumber of women28,73324,1164, of womenExecutivesBoard of directorsGlobal leadership teamManagersAll other employeesAll employees8,5822 %7, of minorities( only)Percentage of minorities( only)Bringing diversity to our leadership positions is a global priority, and in 2017 we increased the percentage of women and minorities holding executive and manager global employment diversityEaton global employment by age group19, , , , , , , , 0 %Number under 30 Percentageof under 30 Numberof 30-50 Percentageof 30-50 Numberof over 50 Percentageof over 50 Board of directorsGlobal leadership teamAll other employeesAll employees(As of December 31, 2017) eaton 2017 sustainability metrics 2018 eaton .

8 All rights and diverse businesses fuel the economy by creating jobs and delivering innovative solutions. We believe that encouraging these organizations to compete for our business benefits us and our communities. In 2017, we purchased more than $ billion in goods and services from small and diverse suppliers, about 12 percent of our total supplier spending. Compared to 2016 our spend with minority-owned firms increased by over 20 percent; our spend with women-owned business grew just over 3 percent; and our spend with veteran-owned businesses declined less than one percent. Overall, we increased our combined spending with minority, women and veteran-owned diverse businesses by almost 10 percent over the previous year.$117$1, $118$ 9 $ $ $ $ 2017spendPercentageof 2016spend2016actualMinority-owned businessWomen-owned businessSmall business(other than classified above)Veteran-owned businessSupplier diversityEATON 2017 sustainability metrics 2018 eaton .

9 All rights reserved.(In millions)In 2017, our charitable contributions were $ million. Of this, almost 60 percent went to health and human services; about 17 percent went toward education; 14 percent toward arts and culture; and the remaining supported civic and community efforts as well as global disaster contributionsCharitable contributionsMatching giftUnited WayInternationalGlobal disaster 0162017$ $ $ 2017 sustainability metrics 2018 eaton . All rights and human servicesCivic and community efforts and global disaster reliefArts and cultureAt eaton , we believe that power i s a fundamental p art of just about everything people do. T echnology, t ransportation, energy and i nfrastructure these are things the world relies on every day.

10 That s why eaton i s dedicated to helpi ng our customers find new ways t o manage electrical, h yd raulic and mechanical p ower more efficiently, s afely and sustainably. T o i mprov e people s lives, t he communities where we live and work, a nd the planet our f uture generations depend upon. Because that s what r eally matters. And we re here to make sure i t more at Eat mat ters*We make what matters work.* eaton is a registered trademark. All other trademarks are property of their respective us on social media to get the latest product and support inf ormation. Eaton1000 eaton BoulevardCleveland, OH 44122 United St 2018 EatonAll Rights ReservedMarch 2018