Macy : 2023 Corporate Responsibility Report

2023

Corporate

Responsibility

Report

Contents

A Message from Our Chairman and CEO	02
Macy's, Inc. at a Glance	04
Mission Every One: Creating a Brighter Future with Bold Representation for All	05
Our Approach to Corporate Responsibility	06
Corporate Responsibility FY 2023 Highlights	08
People	09
Community	44
Planet	59
Governance	87
Appendix	93

ABOUT THIS REPORT

This report highlights our commitment to corporate responsibility, and it provides an overview of our multifaceted governance, oversight, policies, programs and performance related to corporate responsibility matters that are important to Macy's, Inc. and its stakeholders. Unless otherwise stated, this report covers Macy's, Inc.'s performance in fiscal year 2023 ended February 3, 2024, and included 53 weeks. Throughout this report, references to "Macy's, Inc," "we," "our," "us" and "company" refer to the Macy's, Inc. enterprise and references to "2023," "2022" and "2021" are references to the company's fiscal years ended February 3, 2024, January 28, 2023, and January 29, 2022, respectively. Our three nameplates - Macy's, Bloomingdale's and Bluemercury - are referred to as their own. This report reflects feedback received from our colleagues, customers, investors and other key stakeholders. We report using the following standards: the Sustainability Accounting Standards Board (SASB) and the Task Force on Climate- related Financial Disclosures (TCFD).

2023 CORPORATE RESPONSIBILITY REPORT 01

A Message from Our

Chairman and CEO

TONY SPRING

Chairman and Chief Executive Officer

Dear Stakeholders,

Earlier this year, we introduced our new strategy: A Bold New Chapter. It is designed to fundamentally reposition our company, enhance the customer experience, deliver growth and unlock shareholder value. Our teams are energized by the work as we accelerate our path to market share gains and sustainable, profitable growth.

As we implement the components of our strategy to create a more modern Macy's, Inc., our social purpose platform - Mission Every One - remains an essential part of how we operate as a business. Launched in early 2022, Mission Every One is built on the company's heritage of corporate citizenship and aims to direct $5 billion of our spend through 2025 to people, partners, products and programs that create a more equitable and sustainable future for all. In 2023, we continued to fuel these efforts. Through 2023, nearly $3.2 billion in spend has been directed towards our colleagues, suppliers, brand partners and communities.

We are pleased to provide the full scope of our corporate responsibility efforts in one consolidated report for the first time. Our 2023 Corporate Responsibility Report emphasizes our three pillars of impact - people, community and planet - and showcases the many ways we create a more equitable and sustainable future through stewardship of resources and maximizing our positive societal contributions.

2023 CORPORATE RESPONSIBILITY REPORT 02

People

We are a company defined by the dedication of our people. Across our portfolio of iconic nameplates, we commit to being the preferred employer everywhere we operate by enabling our colleagues to bring their best selves to work each day. We refreshed our established Colleague Resource Group ecosystem and expanded it to all Macy's and Bloomingdale's locations in 2023. Providing our colleagues with more opportunities to connect and support one another strengthens our relationship-focused culture, one of

our greatest competitive advantages.

Investing in our customers, our brands and the next generation of entrepreneurs is part of our DNA. For more than a decade, Macy's, Inc. has built a holistic ecosystem that provides suppliers with access to customers, education and capital. In 2022, we introduced S.P.U.R. Pathways, an innovative funding program to advance entrepreneurial growth. Since its inception, the program deployed $9.2 million in investment capital to underfunded and growth- stage businesses and entrepreneurs, creating new economic opportunities in our communities.

Community

We believe in the power of giving back as a core value. Our philanthropic investments fund programs that nurture the curiosity and confidence of young people, fueling their journey to be future leaders, and support mental health and well-being to help navigate the challenges of today and tomorrow. Through our social impact commitments, in 2023, we raised and directed $33.1 million to over 800 organizations in communities across the U.S. that support immediate need and long-term, sustainable solutions. Our colleagues volunteered 66,000 hours, including increased time for mentorship.

Planet

We believe that managing our environmental impact and caring for the people who make our products is key to the company's continued growth and success. We are committed to ensuring safety and security across our supply chain and, in 2023, 100% of the Macy's private brand suppliers managed by the Macy's Sourcing team completed zero tolerance training, which reinforces our Vendor Code of Conduct. In November 2022, we committed to set near- term company-wide emission reductions in line with climate science with the Science Based Targets initiative (SBTi), and we continue to integrate sustainable energy-management practices and infrastructure into our operations.

We could not have accomplished these results without the passion and commitment of our teams and partners across the entire Macy's, Inc. enterprise.

As we progress toward our ambitions and the promise of Mission Every One in the years ahead, we look forward to driving positive impact for our people, communities and planet.

TONY SPRING

Chairman and Chief Executive Officer

2023 CORPORATE RESPONSIBILITY REPORT 03

Macy's, Inc.

at a Glance

At Macy's, Inc., we help our customers express their unique style and celebrate special moments through our portfolio of iconic nameplates: Macy's, Bloomingdale's and Bluemercury. Our purpose is to create a brighter future with bold representation - so we can realize the full potential in every one of us.

Headquartered in New York City, our comprehensive digital and nationwide footprint empowers us to deliver a seamless shopping experience for our customers.

$23.1 billion

FY 2023 net sales

38.8%

FY 2023 gross margin as a percent of net sales

$105 million

FY 2023 net income

~85,500

Combined full-time & part-time colleagues*

718

Store locations across brands*

*As of fiscal year end February 3, 2024 Note: FY 2023 was a 53-week period.

Macy's is our largest retail brand, known for having the latest styles in fashion, beauty, home and beyond, as well as for hosting America's most beloved holiday events. Today, Macy's is powered by our industry-leading e-commerceplatform and national network of stores, offering a high- quality assortment of brands created and curated to inspire our customers while providing them value and seamless convenience.

Since their debut in 1872, Bloomingdale's has been a fixture of New York fashion. And 150 years later, it just keeps getting better. From premium luxury designers

to emerging contemporary brands and beloved private labels, we've created a space to discover and indulge your own unique style.

Bluemercury is recognized as a leading destination for luxury beauty and spa services. Designed as a haven for beauty aficionados

in 1999, we have always tried to provide an inclusive space for expert, personalized advice right in our customers' neighborhoods. As a part of Macy's, Inc. since 2015, we have expanded our specialty store nationwide,

and we continue to celebrate uniqueness and individuality.

2023 CORPORATE RESPONSIBILITY REPORT 04

Creating a Brighter Future with Bold Representation for All

Mission Every One, our enterprise-wide social purpose platform, builds on our heritage of corporate citizenship to achieve positive societal change. This commitment aims to create a brighter future with bold representation for all that empowers more voice, choice and ownership for colleagues, customers and communities.

OUR SIGNATURE COMMITMENT

$5 billion

of the company's spend through 2025 will be directed to the people, partners, products and programs that help create a more equitable and sustainable future.

OUR PROGRESS

Approximately

$1.8 billion

of spend was directed to Mission Every One in 2023, totaling approximately $3.2 billion since the program launched in early 2022.

OUR COMMITMENT PILLARS

People

We recognize and value the diverse community of colleagues and partners that fuels our mutual growth and innovation.

Community

We empower the curiosity and confidence of young people on their journey to become

the leaders of tomorrow.

Planet

We curate and create sustainable products and services so people and planet can thrive together.

This work is brought to life by initiatives across

diversity, equity & inclusion; sustainability and social impact.

2023 CORPORATE RESPONSIBILITY REPORT 05

Our Approach to Corporate Responsibility

We believe fashion and style have always been a force for change, and we have a unique role in leveraging our people to create a more equitable and sustainable future. Stewardship of resources and maximizing our positive social impact continue to be at the forefront of the organization. Proactively engaging on issues that span the breadth of our operations - transparency; product responsibility and supply chain management; resource management; human capital; diversity, equity & inclusion (DE&I); and building resilient communities - remains

a critical component of our Environmental,

Social and Governance (ESG) programs. Our relationships with our customers, colleagues, suppliers and communities drive our deep sense of stewardship in how we serve our stakeholders and underpin our commitment to promoting ESG across our global value chain.

We actively engage stakeholders to better understand the topics that are important to our Macy's, Inc. colleagues, customers, suppliers and communities. Both actions and reporting are guided by stakeholder feedback and third- party frameworks, including the SASB multiline and specialty retailers & distributors standard.

Corporate Responsibility Governance

We have embedded management of ESG matters at all levels of our company. The Board of Directors and the Macy's, Inc. leadership team take an active role in our ESG strategy and corporate responsibility programs. Macy's, Inc. leadership is responsible for the development and implementation of our ESG strategies and programs enterprise-wide. Ultimate oversight by our Board of Directors is included in its committee charters and practices.

We have established several Board-level and leadership- level committees and groups that champion the company's performance-driven culture and operating model that encourages lifelong education and empowers colleagues to be leaders regardless of title or function.

For more information regarding our oversight of climate-related risks and opportunities, see the TCFDin the Appendix.

2023 CORPORATE RESPONSIBILITY REPORT 06

Board of Directors	Responsible for oversight of corporate strategy,
	enterprise risk management framework,
	environmental stewardship, corporate governance
	policies and human capital management

ESG oversight responsibilities are included in Board committee charters:

NOMINATING AND CORPORATE GOVERNANCE COMMITTEE

• Responsible for overseeing the programs, policies and practices relating to charitable, political, social, environmental and human rights issues, impacts and strategies
• Responsible for overseeing the company's corporate governance

COMPENSATION AND MANAGEMENT DEVELOPMENT COMMITTEE

• Responsible for overseeing the company's strategy and initiatives in support of an inclusive corporate culture
• Reviews and provides guidance on the enterprise talent and people strategies
• Receives periodic updates and provides guidance on other programs and initiatives, such as labor relations, compensation and colleague engagement

AUDIT COMMITTEE

• Responsible for discussing policies with respect to the company's risk assessment and risk management, including possible risks related to data privacy, computerized information controls, cybersecurity and to consider any recommendations for improvement of these controls

Chairman of the Board and Chief Executive Officer	Sets the ESG vision and drives
	accountability across the organization

Management committees are under the direction and supervision of the CEO:

SUSTAINABILITY	DISCLOSURE COMMITTEE	DIVERSITY, EQUITY &
EXECUTIVE STEERING	• Leaders from Finance,	INCLUSION BUSINESS
COMMITTEE	COUNCIL (DEIBC)
• Leaders from Private Brand	Legal, Investor Relations	• Leaders from every
and Communications
Product Development	• Chief Operating Officer and Chief	department and division, as
and Operations, Legal,	well as the Diversity, Equity
Communications and the	Financial Officer works with the	& Inclusion team
Corporate Controller, as well	Disclosure Committee to engage
with stakeholders on ESG issues and
as the Sustainability team
provide feedback to management
	and the Board

CORPORATE STRATEGY GROUP (CSG)

• Leaders of all operating and functional divisions

The Sustainability Executive Steering Committee, Disclosure Committee and Corporate Strategy Group also approve the ESG strategy and priorities, guide risk management and link to growth opportunities

The DEIBC, the Disclosure Committee and the CSG work together to maintain our performance-driven culture and operating model that encourages lifelong learners and empowers colleagues to be leaders regardless of title or function

2023 CORPORATE RESPONSIBILITY REPORT 07

Corporate Responsibility FY 2023 Highlights

People

99% pay equity across gender and race maintained in 2023

89% engagement score for our 12th Culture Pulse Survey, completed in January 2024

100% of Macy's and Bloomingdale's colleagues have access to Colleague Resource Groups

100% of all Macy's, Bloomingdale's and Bluemercury store managers received store leader training on the Customer Bill of Rights

See Progress Report: People

Community

$33.1 million raised and donated to 800+ organizations across the U.S. 66,000 volunteer hours

$1 million funded for organizations advancing justice and equity in underserved communities

See Progress Report: Community

Planet

7,000+ product pages on macys.com and bloomingdales.com sustainability sitelets, meeting requirements of our sustainability pillars

100% of private brand suppliers sourced by Macy's Private Brand Sourcing, Product Development & Production team completed zero tolerance training, including transparency and business ethics, labor and health and safety

65% of waste from direct operations was diverted from landfills

See Progress Report: Our Sustainable Stewardship Ambitions

Governance

Established an Artificial Intelligence (AI) Policy that defines the use and implementation of AI across Macy's, Inc.

Highlights are enterprise-wide unless otherwise stated.

2023 CORPORATE RESPONSIBILITY REPORT 08