AZEK Releases Inaugural Environmental, Social, and Governance (ESG) Report, Titled “FULL-CIRCLE”

The AZEK Company Inc. (NYSE: AZEK) ("AZEK" or the “Company”), the industry-leading manufacturer of beautiful, low-maintenance, and environmentally sustainable outdoor living products, including TimberTech decking and Versatex and AZEK Trim, today released its inaugural Environmental, Social, and Governance (ESG) report. Titled FULL-CIRCLE, the report details AZEK’s relentless commitment to recycling and sustainability, positive and inclusive social impact, and the Company’s promise to revolutionize the outdoor living industry into a more sustainable and innovative version of itself.

FULL-CIRCLE represents AZEK’s unique position to pursue sustainability and ESG-related initiatives that positively impact its products, its people and the planet. The report, published in alignment with the Sustainability Accounting Standards Board (SASB) reporting framework, includes both a retrospective view of AZEK’s recent environmental and social performance, as well as an ambitious outlook for the future.

“As we approach the one-year anniversary of AZEK’s IPO, I could not be prouder of what we have accomplished with respect to ESG stewardship. We believe in both transparency and accountability, as well as always doing the right thing, and this report is an important milestone on our journey. To see how far we’ve come – and knowing the positive impact we can make in the months and years ahead – is truly incredible,” AZEK CEO Jesse Singh said. “We are literally and figuratively building a brighter and more eco-friendly future, particularly through our unwavering focus on accelerating the use of otherwise landfill bound recycled materials to build our premium products. By harnessing our strengths, empowering our team to bring their full, authentic selves to work, setting both quantitative and qualitative goals, and improving how we measure progress on ESG-related initiatives, we are helping the global transition to a circular economy, and acting with purpose to lead and revolutionize the outdoor living industry.”

Highlights of the FULL-CIRCLE report include:

• AZEK’s commitment to use one billion pounds of recycled materials annually in the manufacturing of the company’s products by the end of 2026;
• An expansion of AZEK’s in-house polyethylene and PVC recycling capabilities;
• AZEK’s first carbon footprint inventory, including Scope 1, Scope 2, and Scope 3 emissions;
• Data on the reduction of AZEK’s carbon intensity by 9.2% from fiscal 2019 to fiscal 2020 as measured in tCO2e per $1 million net sales;
• AZEK’s commitment to set emissions reductions targets that are in line with the level of decarbonization required to meet the goals of the Paris Agreement;
• Results of the first ever peer-reviewed Life Cycle Assessment (LCA) comparing the environmental impacts of wood alternatives and conventional treated wood decking, which showed that TimberTech decking outperforms sustainably harvested treated pine on a 100-year total Global Warming Potential basis;
• A 45% improvement in safety performance from 2016 to 2020;
• Increasing the minimum wage of hourly employees to $15 by the end of calendar year 2021;
• Shifting resources amid the COVID-19 pandemic to produce antibacterial partitions, plastic sheets, temporary buildings, and other structures for medical use in facilities across the U.S.;
• Diversity data on the company’s workforce, across all levels;
• Fulfillment of the company’s commitment to The Board Challenge, a movement to improve the representation of people of color in corporate U.S. boardrooms;
• Joining the United Nations Global Compact initiative, a voluntary leadership platform for the development, implementation and disclosure of responsible business practices; and
• Adding ESG accountability as a component of individual performance and compensation under the company’s 2021 management annual incentive plan.

“Sharing our inaugural ESG Report marks an exciting milestone in AZEK’s purpose-driven corporate journey, showing our innovation, growth, performance, and fierce dedication to continuous improvement,” Amanda Cimaglia, Vice President, ESG said. “Under Jesse’s leadership and with strategic oversight from our board of directors, we remain steadfast in our pursuit of ESG excellence. Our business and sustainability goals are inextricably linked, and every day our team acts with integrity, purpose, and ambition to create a better future and lasting sources of value. But this report is just the start; we look forward to measuring and sharing the progress on our FULL-CIRCLE ambitions in the months and years ahead.”