2023

Enabling Healthy
Communities
Environmental, Social andGovernance (ESG) Report#WeAreWBA

Overview

Governance

Healthy and Inclusive Workplace

Healthy Communities

AppendicesSustainable Marketplace

PAGE 56

PAGE 20

PAGE 97

Healthy Planet

PAGE 70

PAGE 29

Walgreens Boots Alliance, Inc.
("Walgreens Boots Alliance" or"WBA” or the "Company") is an
integrated healthcare, pharmacy
and retail leader with a long-standing
heritage of caring for customers
and patients.
References in this Environmental, Socialand Governance Report ("ESG Report" or"Report") to the "Company," “WBA,” “we,”“us,” or “our” refer to Walgreens Boots
Alliance, Inc. and and its subsidiaries, andin each case do not include unconsolidated
minority-owned entities and majority-owned
subsidiaries acquired during the fiscal year.

Environmental, Social and Governance Report 2023

OVERVIEW

About This Report 
A Message to Our Stakeholders 
Q&A With Our ESG Committee Chair 
Our Purpose, Vision and Values At a Glance
Fiscal 2023 Achievements
and Recognition 
Our Approach to ESG 
ESG Materiality Commitments and Progress 
Stakeholder Engagement

3
4
5
6
6
7
9
11
14
16

GOVERNANCE

Corporate Governanceand Risk Management
Health and Safety 
Information Security
Patient and Customer Privacy

22
25
27
28

PAGE 83

HEALTHY COMMUNITIESA Letter From Alethia Jackson
Health Access and Awareness
Partnerships for Good
Corporate Donations
and Supporting Causes
Information and Education

30
31
42
46
52

HEALTHY AND
INCLUSIVE WORKPLACE

A Letter From Una Kent
Energy and Emissions
Waste and Plastics

A Letter From Rajnish Kapur
Our Owned Brands
Responsible SourcingSustainable Materials
Sustainable Packaging

APPENDIXA Letter From Sal Venegas
57
Employee Health, Safety and Well-being 58
Diversity, Equity and Inclusion (DEI)
61
Employee Engagement and Development 68

HEALTHY PLANETSUSTAINABLE
MARKETPLACE

71
72
78

Global Reporting Initiative (GRI) Index
Sustainable AccountingStandards Board (SASB) Index
Task Force on Climate-Related
Financial Disclosures (TCFD) Response
United Nations Global Compact(UNGC) Index
Management Assertion Table
Assurance ReportBasis of Presentation
Legal Notice

84
85
88
91
94

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110
111
116
117
119
121
128

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Overview

Governance

Healthy Communities

Healthy and Inclusive Workplace

About This Report
FOR MORE ABOUTTHIS REPORT
For additional information
or inquiries on this report, pleasecontact us at ESG@wba.com.

GRI 2-3, 2-5

Walgreens Boots Alliance, Inc. publishes this report on anannual basis to transparently disclose its Environmental, Socialand Governance ("ESG") targets and achievements. This report
includes forward-looking statements made pursuant to the safe harborprovisions of the Private Securities Litigation Reform Act of 1995. Seecautionary note regarding forward-looking statements on page 128.

Reporting standards
Our ESG Report has been prepared in accordance with the Global Reporting
Initiative ("GRI") Universal Standards. The Report also contains disclosures
following the Sustainability Accounting Standards Board ("SASB"), and the Task
Force on Climate-Related Financial Disclosures ("TCFD") reporting standards
and definitions, and this report serves as the Company's Communication of
Progress as a participant of the United Nations Global Compact ("UNGC").

Reporting period
The reporting period covered in this report is September 1, 2022 to August 31,
2023, unless otherwise stated. Our fiscal year ends on August 31, and references
herein to “fiscal 2023”, “fiscal 2022”, and “fiscal 2019” refer to our fiscal years
ended August 31, 2023, August 31, 2022, and August 31, 2019, respectively.

Reporting boundaries1
The performance and other data contained in this report focus on theachievements and plans of Walgreens Boots Alliance, Inc. and its subsidiaries.
More on our approach to ESG reporting can be found on page 9.
On June 1, 2021 the Company completed the saleof the majority of the Company's Alliance Healthcare
business as well as a portion of the Company’s
retail pharmacy international businesses in Europe(“discontinued operation”) to Cencora, Inc. (“Cencora”),
formerly known as AmerisourceBergen Corporation.
Disclosures in this report reflect continuing operations
only. Certain prior period data, primarily related to
discontinued operations, have been recast to conformto the current period presentation.

1

Environmental, Social and Governance Report 2023

Reporting assurance
Deloitte & Touche LLP reviewed specified indicators within this report inaccordance with attestation standards established by the American Institute ofCertified Public Accountants (AICPA). Deloitte & Touche LLP has been ratified
as our independent registered public accounting firm at our annual meeting ofstockholders. Their limited assurance report can be found on pages 119-120.

Healthy Planet

Sustainable Marketplace

Appendices

Data management process
We have a company-wide approach to recording, measuring
and reporting ESG performance, including a set of reporting criteria
and a set of ESG measures and performance indicators. Across all of ourbusinesses, we capture data on corporate giving, carbon emissions, energyuse, waste by disposal method, employee retention and diversity, and use
the data to inform and assist in the development of individual ESG programs.
In addition, in the U.S. Retail Pharmacy and U.S. Healthcare segments we
capture data on employee race and ethnicity, and for our owned brands wecollect data on palm oil and packaging. In January 2023, Village PracticeManagement Company, LLC ("VillageMD") acquired WP CityMD TopCo"(Summit Health-CityMD"), a provider of primary, specialty and urgent care.
Consistent with past acquisitions, we take one calendar year to integrate alldata capture and reporting processes. As such, Summit Health-CityMD data
included in this report is limited to workplace figures. All Summit HealthCityMD data will be presented in the fiscal 2024 report.
The data presented within this report reflects the operations of thecompany during fiscal 2023 and was produced in accordance with theBasis of Presentation, which can be found on pages 121-122 of this report.
Our Statement of Greenhouse Gas (GHG) Emissions for fiscal 2023 andits limited assurance from Deloitte & Touche LLP can also be found on
pages 119-120.
ESG performance data are collected comprehensively on an annual basis.
All submissions by individual businesses are prepared by local financeand ESG champions and are reviewed by executives and senior financeleaders. In fiscal 2016, WBA collected environmental and social data acrossits operations for the first time, forming the baseline for our fiscal 2017
and fiscal 2018 CSR Reports. We reset baselines for our environmental
performance metrics in fiscal 2019 because, for the first time, we included
energy and waste data from 1,932 Rite Aid stores. This was done to provide
meaningful comparatives as required by the GHG Protocol. While most of ourenvironmental performance data has a 2019 baseline year, there are a few
exceptions which are clearly stated.
Every effort is made to ensure that we report accurate data, and our
processes are designed to support this. In cases where we become awareof updates to data from previous years, we consider providing updated datain subsequent reports if the changes result in a discrepancy that is material.
In these cases, we provide details in the footnotes of our data tables.

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Healthy Planet

Sustainable Marketplace

Appendices

A Message to Our Stakeholders
GRI 2-3, 2-22

It is a great honor to introduce our 2023 Walgreens Boots Alliance ESG Report in this landmark year, as Boots celebrates
its 175th anniversary. It is a milestone that reinforces the vital role our incredible team plays in local communities acrossthe world, serving the health and well-being of our patients and consumers.
Our company’s heritage and longevity are a testament to the hundredsof thousands of passionate people who work with us today and all of
those who, throughout our history, have made us what we are. We are
truly standing on the shoulders of giants.
It also provides us with a rich and unique opportunity to build uponnearly two centuries of insight into the ever-changing needs ofconsumers and the critical role we play in providing access to trusted
pharmacy and healthcare services in the communities we serve andbeyond. At a moment when, across the globe, we face significant
challenges, we have never been more confident that our commitment
to people and the planet will help us show up to meet, and exceed, theneeds of our customers, patients, team members and communities forthe future.
To succeed, we are committed to remaining agile. This provides us
with an opportunity to bring fresh leadership and insight, while notwavering from our deep-rooted commitment to healthy communities,
a healthy planet, a healthy and inclusive workplace and a sustainable
marketplace.
In a world where topics such as climate change, affordable healthcare
and cost of living impact healthcare systems, and in turn our consumers
and our teams every day, we have stayed committed to addressing
every opportunity we must improve health outcomes and overall
well-being.
On climate change, our goal is clear. By 2030 we are targeting a
30 percent reduction of total Scope 1 and 2 emissions from a 2019baseline. We will meet this by reducing our energy, waste, plastics andother raw materials.
Our consumers, patients and our team are all feeling the challenges
of inflation and access to affordable healthcare. As a responsible

Environmental, Social and Governance Report 2023

employer, we are focused on creating a safe and inclusive place towork, with competitive compensation and attractive benefits. Our work
to contribute to a fair and equitable world, building a truly inclusive
culture and fostering a diverse workplace has been recognized by
the National Organization on Disability, the American Association forPeople with Disabilities, Seramount Top Companies for Executive
Women, Stonewall, and others. We understand the need to keep
up this work, as we continue to make investments that improve theprospects and environment for our people and our consumers.
We cannot achieve this alone, and indeed, our unwavering commitment
to the United Nations Sustainable Developments Goals underscores
the power of great partnership in its 17th goal, Partnerships for theGoals. We work with many long-standing partners whose commitment
to improving healthcare support and outcomes in local communities
remains unwavering.
As we take a moment to reflect on the progress we have made, we
are focused on our legacy for the future; addressing the most urgent
needs for our people, patients and consumers today. We look forward
to working with you over this next year as we continue to build on
our progress, and appreciate your thoughts, feedback and ongoingcollaboration.
January 24, 2024

Stefano Pessina

Tim Wentworth

Executive Chairman
Walgreens Boots Alliance, Inc.

Chief Executive Officer
Walgreens Boots Alliance, Inc.

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Overview

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Q&A With Our ESG Committee Chair
GRI 2-22

This is a significant year for WBA as Boots celebrates
175 years while Walgreens and Farmacias Benavides are
123 and 107 respectively. What is the secret to this longevity?
To understand this requires us to look back at where we started. Everyday, I take inspiration from the incredible people who founded ourcompany or who have shared their passion and vision over the years.
From John Boot to Charles Walgreen, we have remained committed
to providing trusted pharmacist support to bring affordable community
healthcare to all.
Our vision today remains to be the leading partner in reimagining local
healthcare and well-being. Our health-centered ESG strategy plays an
integral role in our ambition.
At the heart of that responsibility is delivering affordable, accessible
and quality healthcare and we have always understood the power ofpartnerships to achieve this. We have many long-standing partnerships
such as Vitamin Angels (globally and U.S.), Macmillan Cancer Support(UK), European Organisation for Research and Treatment of Cancer –EORTC (Europe and beyond) and Fundación Alma (Mexico). Over the
past eight years, we have donated $373 million1 to support the healthand well-being of the communities we serve.
It is the dedication of our team members that brings these partnerships
to life. They are on the front lines, and we thank them for their efforts.

Speaking of team members, what do you value mostabout their contribution?

Our people make us who we are: the service we give, the products
we make, the positive impact we have; it is their desire to innovate andimagine the future that ensures we continue to move forward. Take,for example, our brands Liz Earle, Soap & Glory and 17 which have allachieved Cruelty Free International Leaping Bunny approval, and, thisyear, following huge strides in packaging in 2022, No7 launched its
most inclusive skin care range yet: Future Renew.
Creating a culture where innovation thrives has always been in our
DNA; in 1934 Boots introduced the five-day working week and were1

Cash and Non-cash valuation of community contributions. Further details on page 46.

Environmental, Social and Governance Report 2023

early pioneers of extended education for young employees. Today,
we believe that providing learning and development opportunities
for our 331,000 team members is no less essential. Since launchingin 2013, Walgreens University has provided training, leadershipdevelopment and career advancement for team members at all levels.
My roots are in pharmacy, and with our experienced leaders, I am
committed to fostering an environment for personal and professional
growth for the long term.

Last year you set ambitious health equity goals.
How have you performed?

We introduced goals on key ESG topics including reduction of carbon
emissions and waste as well as driving our inclusive culture with afocus on women in leadership, supplier diversity, people of color andpeople with disabilities. I am pleased to confirm that we exceeded mostof our goals2, including a nearly 3 percentage point increase in U.S.
team members identifying as having a disability and continued strong
progress to reducing carbon emissions by 25 percent from our 2019baseline. I invite you to read more in this Report.

What does the future hold for ESG at WBA?

Our health-centered ESG strategy remains as relevant today as it
always has been. In 2023 we completed our first forward looking
double materiality assessment which, once again, reinforced our
focus supporting the health and well-being of people, patients andcustomers, communities and planet. It is my continued pleasure to
Chair the WBA ESG Committee and I would like to thank the WBA
Board, my fellow committee members, our teams and our incredible
partners around the world for their unwavering commitment.

Ornella Barra
Chief Operating Officer, International and Chair of
the Environmental, Social and Governance Committee

2

U.S. People of color goal partially achieved.

5Governance

Overview

Healthy and Inclusive Workplace

Healthy Communities

Healthy Planet

Sustainable Marketplace

Appendices

Our Purpose, Vision and Values
GRI 2-22

At a Glance1

OUR PURPOSE

More joyful lives through better health

GRI 2-1, 2-2, 2-6, 3-3, 201-1

OUR VISION

To be the leading partner in reimagining
local healthcare and well-being for all.

Headquartered in
Deerfield, Illinois

More than
331,000 employees

A presence innine countries

Approximately 13,000
stores and pharmacy
locations globally

1 manufacturing facility,
53 distribution centers,
10 micro-fulfillment centers,
1 prescription mail service facility
and 50 principal office facilities

Sales of $139.1 billion
in fiscal 2023

OUR VALUES AND BEHAVIORS

Walgreens Boots Alliance takes seriously its aim of morejoyful lives through better health, reflected in our core values:

COURAGEOUS

CONNECTED

Challenging the statusquo, addressing conflictdirectly and driving
informed risk-taking

Reflecting the communities
we serve, understanding
the needs of others andinnovating together

COMMITTEDCURIOUS

Leading with integrity,
building on our legacy
and striving boldly
toward the future

Continuously learning andadapting, following the scienceand the data and creating
paths where none existed

Walgreens Boots Alliance is an integrated healthcare, pharmacy and retail leader serving millionsof customers and patients every day, with a long-standing heritage of caring for communities. A trusted,
global innovator in retail pharmacy with approximately 13,000 locations across the United States,
Europe and Latin America, WBA plays a critical role in the healthcare ecosystem.
The Company is reimagining local healthcare andwell-being for all as part of its purpose – to create morejoyful lives through better health. WBA is going beyond
pharmacy to coordinate with health plans and healthsystems, as well as with providers to engage patientsin underserved communities to help improve the qualityof care and outcomes, while also lowering overall costs.
The Company offers a connected healthcare experiencethat can help drive better outcomes within communities,
as it continues to accelerate the shift to value-basedcare, which prioritizes the quality of patient care overthe quantity of services provided. Our deepened focus

1

Environmental, Social and Governance Report 2023

on healthcare includes expanding services acrossprimary, multi-specialty and urgent care providers
serving patients in traditional clinic settings, inpatients’ homes and virtual platforms.
The Company operates in three reportable segments:
U.S. Retail Pharmacy, International and U.S. Healthcare.
Our retail and business brands include retail drugstores
Walgreens, Boots, Duane Reade and Benavides andproduct brands include No7, Soap & Glory, Free &Pure, NICE!, Liz Earle, Botanics, Sleek MakeUP and
YourGoodSkin. For more on WBA owned brands
see page 85.

As of August 31, 2023. On October 31, 2023, the Company completed the sale of Farmacias Ahumada business in Chile.

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Healthy and Inclusive Workplace

Healthy Planet

AppendicesSustainable Marketplace

Fiscal 2023 Achievements and Recognition
GRI 3-3, 413-1

Healthy Communities

Healthy and Inclusive Workplace

Helping communities thrive by improving the health of our neighbors is at the heart ofWBA. Whether we are investing in programs to support people living with health conditions
or addressing availability of vaccines, vitamins or mental health services, we understandthat it takes advocacy, collaboration and leadership to build healthy communities.

When we can be our full selves at work, we create an environment that is welcoming
and inclusive. Throughout WBA’s history, we have worked to ensure our team members
feel supported and celebrated, knowing our strength as a business lies with our people.

In fiscal 2023, our partnership with Vitamin Angels
achieved a major milestone celebrating 10 yearsof partnership and reaching over 400 million
women and children with life-changing vitamins

Over the past eight years, WBA has donated$373 million1 to support the health and wellbeing of the communities we serveAward winning DEI strategy Disability:IN recognized Walgreens
as its 'Employer of the Year'

Page 46

Page 61

Page 48

Boots hascompletedover 100,000
appointments for
the NHS research
program Our Future
Health which aims todevelop new ways
to prevent, detectand treat diseases

In its 14-year
partnership, Boots
UK and Macmillan
Cancer Support
have raisedalmost £22 million($26,739,000)

Boots Soltan brandno longer produces
sunscreen with SPF
under 30 for adults
to encourage sunsafety as part ofour longstanding
partnership with
Macmillan Cancer
SupportPage 49

Page 49

In fiscal 2023 WBA introduced
Health Equity goals for Peopleof Color, Women in Leadershipand individuals with disabilities,
committing to achieving more
equitable representation throughout
the organization

Since the inceptionof our partnershipwith The Hygiene
Bank, Boots & No7
Beauty Company
have donated over
1.5 million products
to over 700
donation locations
across the UK

Boots UK and No7 Beauty Company continued
their focus on supporting people throughmenopause by becoming the first health andbeauty company to receive a menopausefriendly employer accreditation
Page 59

Page 61

In fiscal 2023,
Walgreensdistributed flu shot
vouchers worth over$1.8 million to bringour total since 2019
to $8.6 million

Over 400
Walgreens locations
offered free HIV
testing on National
HIV Testing Day
on June 27, 2023

Boots Ireland raised
funds for 340 nights
of care ($135,000)
for the Irish Cancer
Society Night
Nursing service for2023 Daffodil Day

Walgreenshas engaged
200,000
students throughExpressions since
the program
began in 2009

Across WBA, Business Resource Groups(BRG) continue to flourish. More than 6,200
employees have joined at least one of our 24
BRGs. We recently introduced two new groups

The Prince's
Trustpartnershipwith Boots UK
has supported
over 500 young
people throughemployability
programs since
its inception

Page 39

Page 36

Page 50

Page 53

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Page 49

Page 36

Page 50

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Environmental, Social and Governance Report 2023

WBA once
again achievedBronze status
in the Stonewall
Equality Index and
Boots placed 139th
in the Stonewall
Workplace Equality
Index (UK) for
LGBTQ+ inclusion
Page 61

Cash and Non-cash valuation of community contributions. Further details on page 46.

7Overview

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Healthy Planet

Sustainable Marketplace

AppendicesFiscal 2023 Achievements and Recognition
GRI 3-3, 413-1

Healthy Planet

Sustainable Marketplace

The climate crisis is also a health crisis, presenting even greater challenges for the healthand well-being of our communities. As leaders in our industry, WBA remains committed
to meeting our reduction targets for emissions, waste and plastic and expanding efforts
around recycling and awareness of our impacts.

WBA expects products are produced in responsible ways and has the same expectations forour suppliers. As our products have grown over the years, we continue to use our influence
to prioritize sustainability and fair labor practices in their production. WBA’s goals help keep
us and our supplier partners accountable and we are encouraged by our shared progress.

Following the introduction of Health Equity
Goals in the first year, WBA globally met its
targets which include targets associatedwith waste and emissions
Page 70

Boots Thailandchanged fromoffering plastic
to paper carrierbags in stores
Page 82

Recycle at Boots
scheme expanded
into Republic of
Ireland with afurther 50 store
locationsPage 82

Boots no longer sells wet wipes
made with plastic fibers. In fiscal
2023, Boots sold over 800 million
wipes from 140 product lines
across its skincare, baby, tissue andhealth care ranges and is actively
supporting a UK ban on plastic wipes

WBA continued to grow and expand
supplier participation in our online sustainability
assessment tool THESIS growing by 68% for
owned brands. Suppliers engaging with thetool now represent over $1.3B cost of goods

Page 82

WBA reported out to Roundtable on Sustainable
Palm Oil (RSPO) as an entire organization for
the first time. Boots and No7 Beauty Company
exceeded 80% physically certified RSPO palm
oil in their owned brand products

Walgreens
exceeded its
target of spending$700 million withdiverse Tier 1
suppliers in the
U.S. by $26 million

Boots ownedbrand cottonwool products
are now Global
Organic Textiles
Standard(GOTS) certified

Page 90

Page 93

Boots Ireland achieved zero waste to landfill
for the second consecutive year

Boots UK reduced food waste by
36%, keeping Boots UK on track withthe goal to reduce food waste by
50% by 2030

No7 Beauty
Company launched
its most inclusive
skincare brandyet: Future Renew

Liz Earle Beauty
Co and the World
Wildlife Fund(WWF) createda three-year
partnership torestore biodiversity

Expanded Boots and No7 Beauty Company
owned-product categories made from recycled
or natural materials, including reusable makeup
remover pads, cleansing pads, reusable baby
wipes, lipsticks, compacts and Botaniq eyewear

Page 80

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Page 95

Page 87

Page 94

In fiscal 2023, the Environmental Protection
Agency (EPA) again named Walgreen Oshkosh1
a SmartWay High Performer
Page 77

CO2

In fiscal 2023 WBA reduced Scope
1 and 2 carbon emission by 3.7%,
bringing our reduction to 25%
compared with our 2019 baseline.
This represents over 80% completionof our goal of 30% reduction by 2030
Page 75

1Page 88

Page 92

The 17. brand has joined Liz Earle,
Botanics, A Little Something andSoap & Glory in achieving Cruelty
Free International Leaping Bunny
approval
Page 91

Walgreen Oshkosh is a subsidiary of Walgreens.

Environmental, Social and Governance Report 2023

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Overview

Our Approachto ESGGRI 2-5, 3-3

A healthy and inclusive
planet for all

Governance

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

AppendicesSustainable Marketplace

At WBA, our health-centered ESG strategy is concentrated on four focus areas: Healthy Communities, Healthy and Inclusive Workplace,
Healthy Planet and Sustainable Marketplace. All of our ESG efforts are embedded in our broader business strategy and are at the centerof our corporate vision to be the leading partner in reimagining local healthcare and well-being for all.
Our drive to deliver healthcare and support for local and global communities
stems from our business values and is evidenced through our day-to-day
operations. These essential commitments shape our approach to ESG, whichis central to fulfilling our purpose to help people live more joyful lives throughbetter health. Healthcare is at the center of our ESG framework, reflecting ouroperations and our corporate vision to be the leading partner in reimagining
local healthcare and well-being for all. Our corporate responsibility efforts areembedded in our business strategy, which includes commitments to serve
the needs of every community and create greater access to care. WBA
operates a fast-changing global business that continues to affect thehealth and social landscape.
We continue to provide essential products and services while remaining
diligent in our responsibility to keep our people and customers safe,

HealthyCommunities

as well as updating our ESG programs to reflect the changing needsof global communities. As demand for sustainable products continues
to grow, we have expanded our goals across No7 Beauty Company andwithin owned brands to reduce negative impacts on the planet and improve
our responsible sourcing practices. More information on this can be foundin the Sustainable Marketplace section of the report.
Our ESG strategy includes permanent, ongoing consultations with arange of stakeholders who have joined us in agreement that we can havea profound impact on the world by working to improve health access andaffordability, with a particular emphasis on health equity. We are increasingly
aware of the links between the environment, climate change, equity andhealth. Our sustainability targets on emissions and plastics supporta healthy planet and healthy communities.

Improving health equity
and societal well-being

Reducing theenvironmental impact of ourbusiness, including waste,emissions and plastics

Healthy
PlanetProviding quality, safe
products and services toour customers with a focus
on traceability, transparency
and ethical sourcing

Sustainable
Marketplace

Joyful lives,
Better health

Healthy
and Inclusive
Workplace

Environmental, Social and Governance Report 2023

Creating a DEI-centeredculture and positive
workplace environment that
supports the health and wellbeing of our team members

9Overview

Boundaries for information presented
within this report are evaluated basedon the location and level of impact
WBA has on each ESG material topic.
Details on the boundary for each topic
can be found in the relevant sectionsof the report.

Governance

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

Appendices

Our approach to reporting
GRI 2-5

WBA continues to enhance the transparency and credibilityof its ESG disclosures using widely accepted sustainability
reporting standards that provide confidence in our ongoing
corporate responsibility efforts and progress.
Global Reporting Initiative (GRI)
Consistent with past reports, our fiscal 2023 report has been preparedin accordance with the GRI Universal Standards.

Sustainability Accounting Standards Board (SASB)
This is our fourth year reporting against the SASB Standards, andour second since SASB was made part of the International Sustainability
Standards Board (ISSB) of the IFRS Foundation. We disclose metrics aspart of the drug retailers industry, which includes companies that operateretail pharmacies and distribution centers that supply retail stores.

Task Force for Climate-Related Disclosure (TCFD)
We report in alignment with the Task Force on Climate-Related Financial
Disclosures (TCFD) recommendations. To meet these guidelines, we are
actively analyzing scenarios to identify and assess climate-related risks
and opportunities, as well as evolving our governance, strategy, risk
management, metrics, and targets accordingly.

United Nations Global Compact (UNGC)
WBA is a participant in the UNGC, a voluntary leadership platform of
responsible business practices. The UNGC is a call for companies to aligntheir operations and strategies with 10 universally accepted principles in
the areas of human rights, labor, environment, and anti-corruption, and to
take action in support of goals and issues embodied in the United Nations'Sustainable Development Goals (SDGs).

Environmental, Social and Governance Report 2023

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Appendices

ESG Materiality
GRI 2-25, 2-29, 3-1, 3-2, 3-3

Keeping with best practices in sustainability reporting, WBA
conducts a materiality assessment at least every three years
to understand our impacts, encourage insightful stakeholder
dialogue, inform our sustainability strategy and form the basis
for our ESG reporting. We systematically survey a range of global
stakeholders to understand the issues they see emerging overthe next decade that will potentially impact WBA and theirinteraction with the Company.
This report was prepared using WBA’s 2020 materiality assessment andincludes the 2020 matrix. Our sustainability strategy during the fiscal period
was guided by the materiality assessment conducted in 2020 (see our2021 ESG Report for topic definitions and more information).
Consistent with best practices, the 2020 assessment was reviewed at
the beginning of fiscal 2023 to ensure that the material topics outlined
represented our most significant impacts.
In response to this review, WBA conducted a new ESG materiality assessment
which was finalized at the end of fiscal 2023. It is our first materiality
assessment to consider double materiality by identifying ESG topics that are
most material from both financial and impact perspectives to our Company.
The assessment was conducted in alignment with leading market practicefrom the Global Reporting Initiative (GRI) and the European Union Corporate
Sustainability Reporting Directive (EU CSRD). The 2023 matrix will be
published in next year’s report.

Environmental, Social and Governance Report 2023

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AppendicesSustainable Marketplace

Materiality matrix
The matrix at the right shows
the results of our 2021 materiality
assessment that identified the issues
most material to the business froman ESG perspective.

Access to affordable and quality healthcare
Reduce negative impacts of plastic

3

1
2

Employee health, safety and well-being

5
4

Healthy Communities

Data privacy and security 7
Employee wages and hiring practices 14
8 Waste management

Healthy and Inclusive Workplace
Healthy Planet

Governance and Economic

DISCOVER
To preview the WBA 2023 Double
Materiality matrix visit the Report
Resources page on our website.

Importance to Stakeholders1

Sustainable Marketplace6

Human rights
15 Product packaging
9

Product labeling and transparency

17
16

21

29

Customer responsibility

Animal testing

Product safety

Responsible andethical supply chains

Diversity, equity and inclusion

10 Prescription drug abuse

Environmental impacts of materials

Consumer health education and marketing 11
18 Cancer care and prevention

19

Energy use and climate impacts 13
Corporate governance

12 Community engagement and partnerships

20 Product end-of-life
Healthcare antimicrobial stewardship28
22 Chemical use and management
23 Supplier diversity and inclusivity
27 Geopolitical events and trends

Talent and development 26

24 Innovation and digitalization

Stakeholder transparency 25
32
30 Water consumption and use
Tobacco sales
31 Public policy practices
Moderate Priority
Importance rankings are based on the weighted average
from four sources of stakeholder input: consumer survey(50%), internal stakeholder survey (20%), external
stakeholder survey (20%), Datamaran inputs (10%).

1

Environmental, Social and Governance Report 2023

High

Very High

Significance of Walgreens Boots Alliance’s Impacts

12Overview

Governance

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

AppendicesWBA 24 Priority Topics alignment to the United Nations Sustainable Development Goals

1 Access to affordable and quality healthcare
2 Product safety
3 Reduce negative impacts of plastic
4 Responsible and ethical supply chains
5 Employee health, safety and well-being
6 Diversity, equity and inclusion
7 Data privacy and security
8 Waste management
9 Human rights
10 Prescription drug abuse
11 Consumer health education and marketing
12 Community engagement and partnerships
13 Energy use and climate impacts
14 Employee wages and hiring practices
15 Product packaging
16 Environmental impacts of materials
17 Product labeling and transparency
18 Cancer care and prevention
19 Corporate governance
20 Product end-of-life
21 Customer responsibility
22 Chemical use and management
23 Supplier diversity and inclusivity
24 Innovation and digitalization

Environmental, Social and Governance Report 2023

13

Overview

Governance

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

AppendicesCommitments and Progress

HealthyCommunities
Improving health equity
and societal well-being:– A specific focus on healthequity addressing accessto local, quality healthcare– Partnerships and investmentsthat focus on creating
meaningful impact in thehealth of our communities

Our Targets
Achieved in fiscal 2023:
Walgreens: Raise more than $25 million
for the Susan G. Komen and The Leukemia
and Lymphoma Society.
Exceeded.

By fiscal 2024:
WBA: Provide 100 million vaccinations
for children in developing countries through"Get a Shot. Give a Shot." and the UN Foundation.
On track.

By fiscal 2025:
WBA: Help 500 million women and children
by providing vitamins and minerals throughVitamin Angels.
On track.

Environmental, Social and Governance Report 2023

Healthy andInclusive Workplace
Creating a DEI-centeredculture and positive
workplace environmentthat supports the healthand well-being of ourteam members:

Our Targets
In fiscal 2023:
WBA International: Maintain baselineof women in leadership from fiscal 2023.
Exceeded.
Walgreens: Increase women in leadership by 2.1
percentage points over previous year’s baseline.
Exceeded.

– Ensures employees are cared
for as whole people andprovided with an opportunity
where they can show up as
their authentic selves

Walgreens: Increase representation of people
with disabilities across the Company by 0.7
percentage point over previous year’s baseline.
Exceeded.

– Reflects the diversity ofperspectives, backgrounds
and cultures in the communities
where we live and work

Walgreens: Increase people of color by 0.7
percentage point over previous year's baseline.
Partially achieved, 0.5 percentage point.

14

Overview

Governance

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

AppendicesCommitments and Progress

Healthy
PlanetReducing the environmental
impact of our business,
including waste, emissions
and plastics:– Continuing to reduce andoptimize use of energy across
our operations– Reducing the negative impactsof plastics and waste in ouroperations and seeking toincrease reuse, recycling,
recycled content and recovery
to enable circular systems

Our Targets
By fiscal 2030:
WBA: Reduce absolute Scope 1 and Scope 2
global carbon emissions by 30 percent, as
compared with 2019 baseline.
On Track.
Boots UK: Reduce food waste by 50 percent
from the 2015 baseline, as part of WRAP Food
Waste Reduction Roadmap.
On Track.

By fiscal 2040:
British Retail Consortium Climate Roadmap,
Boots UK: Support the UK's wider net zerotransition by collaborating with other UK retailers
on a roadmap for the industry to achievecomplete net zero emissions by 2040,
including net zero Scope 2 emissions
by 2030 and Scope 1 emissions by 2035.
On Track.

Sustainable
Marketplace
Providing quality, safe
products and services to ourcustomers with a focus on
traceability, transparency
and ethical sourcing:– Managing the end-to-end
sustainable lifecycle of ourowned brand products– Addressing environmental
and social impacts andopportunities by increasing
traceability, transparency anddiversity across our suppliers
and within our supply chain

Our Targets
Achieved in fiscal 2023:
Boots and No7 Beauty Company: Achieve 80
percent certified RSPO (Roundtable on Sustainable
Palm Oil) palm oil through physical certification.
Exceeded.
Walgreens: Source 100 percent of palm oilfrom Roundtable on Sustainable Palm Oil (RSPO)
certified sources, physically certified and credits.
Achieved.
Each following year, Walgreens aims to increase
the physical certified portion by 5 percent.
On Track.
Walgreens: Increase spend with Tier 1 diverse
suppliers to $700 million, from $625 million in
fiscal 2022.
Exceeded.

By fiscal 2025:
Boots and No7 Beauty Company: Achieve the UK
Plastics Pact 2025 targets: 30 percent reductionin plastic packaging compared with fiscal 2018baseline; 100 percent of plastic packaging reusableor recyclable by consumers; and achieve 30 percent
average recycled content across plastic packaging.
On Track.

By fiscal 2030:
Walgreens: Achieve 30 percent reduction in plastic
packaging compared with fiscal 2020 baseline; 100percent of plastic packaging reusable or recyclable
by consumers; and achieve 30 percent average
recycled content across plastic packaging.
On Track.

Environmental, Social and Governance Report 2023

15

Overview

GET IN TOUCH
We are always open to stakeholder
feedback on our ESG reporting andstrategy. Substantive issues brought
to our attention by stakeholders are
escalated to our ESG Committee.
One way to reach us is by email
at ESG@wba.com.

Governance

Healthy Communities

Healthy and Inclusive Workplace

Stakeholder
Engagement
GRI 2-12, 2-28, 2-29, 3-1, 3-3

Engaging and collaborating with our stakeholders helps us
address the most relevant ESG issues for our Company anddeliver products and services that make positive impacts inthe communities we serve. We regularly consult with our internaland external stakeholders across a range of sectors, geographiesand organization types and sizes to receive their feedback on our
strategy and performance in the areas where we have the greatest
impact. Each of these engagements seeks the stakeholder’sunique and valued opinion on specific areas. However, certain
topics are addressed across groups given their propensity
to touch every area of our business, such as: health equity;
healthcare costs; DEI; responsible and ethical sourcing; andprescription drug and opioid abuse. These topics have a broad
impact across all business areas, so we require all stakeholders
to provide feedback on our approach and management.

Healthy Planet

Sustainable Marketplace

Appendices

Nongovernmental organizations
Our relationships with nongovernmental organizations (NGOs) and longstanding charity partnerships are cultivated in the areas we desire to makethe greatest impact: removing barriers to access and identifying social
determinants to improve health equity. Other topics we have engaged withpartners on at the national and international level include poverty, disease
prevention, mental health, dementia and cancer. Through these partnershipsthat often span years, and even decades, we can define areas of need andadvance our mutual goals. Through the support of and interaction with NGOs
and charity partners, we are prioritizing our efforts on the factors where we
can have the most positive impact.
Our engagement with stakeholders is done through regular surveys,
conference participation and meetings. We met with key charity partners
and NGOs at least quarterly in fiscal 2023. Discussions covered a rangeof topics including climate impacts and reduction strategies, our supplier
diversity, product considerations (labeling, ingredients, transparency,
safety) and community engagement and partnerships. These engagements
translated to a number of actions, chief among them including a carbon
emissions reduction target, a vaccine equity initiative in the U.S. to address
vaccine hesitancy and expanded mental health training for employees
and pharmacists.

Stakeholders impacted by and who influence our business, such as
customers, stockholders and nonprofit groups, frequently approach
us with issues during our regular engagements. During fiscal 2023, wemeaningfully engaged stakeholders proactively on numerous matters forwhich we can have significant impact and are aware of evolving expectations.
This proactive engagement covered topics such as health equity; vaccine
equity; plastic packaging; beauty industry sustainability; and DEI.
In the following pages (16-18) you will find the form and frequency ofengagement with key categories of stakeholders during fiscal 2023, their
expectations, matters they raised and actions we have taken to address them.

Environmental, Social and Governance Report 2023

16

Overview

Governance

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Investors and lenders

Internal stakeholders

We hold frequent dialogue with investors and lenders through regular
outreach via our investor relations and governance teams, annual meetings
and quarterly earnings calls. We also conduct proactive outreach to ourfinancial stakeholders. Ahead of our annual meeting of stockholders, we
conducted robust shareholder engagement to gain insight into institutional
investors’ view of our ESG and compensation practices and to continue tostrengthen the Company’s relationships with key shareholders. Discussions
centered around executive compensation, climate risk and transparency,
leadership diversity, supplier inclusion, prescription drugs and other pressing
issues. A major part of these conversations focused on how we set priorities
and goals, as well as identifying areas to drive impact and progress. Our
engagement with these stakeholders reiterated the importance of manyof our existing ESG programs and strategies.

We focus on improving the health and well-being of our employees
through comprehensive benefits, inclusive culture building and opportunities
for career development. We strive to mirror the communities we serve andknow that the needs of our team members reflect those of their communities.
To engage on issues that matter most, we keep an open dialogue with
employees at all times through annual employee surveys and offer informal
platforms for discussion. We also provide performance reviews anddevelopment programs and hold regular listening sessions. In practice, ourinternal engagement leads to training and upskilling, modifications to benefit
offerings and financial and mental health support. Our Business Resource
Groups (BRGs) are another way we engage with internal stakeholders
to directly tie back to the business. Employees can connect with others
having similar experiences, which fosters a sense of community and creates
additional leadership opportunities for team members to express insights
to management.

Government bodies and agencies
Government bodies and regulatory agencies are a priority stakeholder
group for WBA. We frequently engage with government institutions andagencies across all levels — national, international, and local — aroundaffordable access and quality healthcare, transparency, prescription
drug abuse, affordability, sustainability and workforce development.
We worked closely with governments and municipalities to reachunderserved communities and address accessibility barriers. These
efforts are especially crucial at a local level where our collaboration withmunicipalities gets at the heart of improving health at personal levels.

Environmental, Social and Governance Report 2023

Sustainable Marketplace

Appendices

WBA conducts twice-annual employee feedback surveys and regularperformance reviews and appraisals, in addition to quarterly town halls
and regular email and bulletin board communications. These engagement
methods cover topics including employee health, safety and well-being,
and talent development and compensation practices.

Communities
Our local communities are the foundation of our business; when they
thrive, we thrive. Our ESG strategy is designed to improve societal healthand well-being while providing economic opportunities in our communities.
Our engagement with these priority stakeholders spans hundreds ofgrassroot organizations, retail pharmacy operations, partnerships withtrusted institutions and intentional outreach through ESG initiatives andmedia engagement. Our dialogue with these groups seeks to eliminate
barriers to access and address the needs of communities, like prescription
drug affordability and vaccine equity. Understanding the needs of andcollaborating with these stakeholders is core to our success as a business.
We rely on our communities to help us identify growth opportunities andsupport one another to overcome challenges by taking our listening
exercises and engagements as seriously as possible. Our employees
are also a key pillar of our community engagement due to their dedication
to volunteering time and funding in the places where they work and live.

17

Overview

Governance

Healthy Communities

Healthy and Inclusive Workplace

Sustainable Marketplace

Appendices

Suppliers

Academics

Our desire for responsibility extends throughout our value chain andbeyond. We pride ourselves on creating and building close relationships
with suppliers and how they reflect our values. We understand the link
between ethical behavior, sustainability and respecting human rights whenit comes to implementing our ESG strategy. As such, our Supplier Code of
Conduct clearly outlines our expectations informed by regular assessments,
policies and communications. Through our Global Supplier Sustainability
Program, annual supplier conferences, regular surveys (some of which include
sustainability components), risk assessments and trainings, we routinely alignwith stakeholders by sharing our ESG goals. Responsible sourcing at WBA
means collaborating with suppliers to respect and maintain human rights
and improve diversity, in addition to prioritizing operational sustainability.

Our engagement with academics is primarily focused on building a stronger,
more diverse pharmacy talent pipeline. Additionally, the research done bythis group is a key factor in addressing the world’s most pressing health andwell-being challenges. Whether supporting ongoing research partnerships
and presentations or participating in conference and roundtable speaking
opportunities, our academic stakeholder engagement is critical to achieving
our ESG strategy.

Another crucial part of our engagement with suppliers is to ensure safety
in the products and services we consume and sell by auditing the facilities,
policies, procedures and practices of our suppliers. We consider these quality
control activities to be indicative of something more than a license to operate— we require these standards of all our supplier partners, whether evaluatedwithin a quarterly business review or a single interaction.

Patients and customers
We maintain regular contact with our customers and patients throughpurposeful stakeholder engagement and daily interactions to understandwhat they need from us. These groups provide valuable insight into
opportunities for us to foster trust while holistically serving the whole patient.
Our interactions with these groups are a dialogue that gets to the heart ofour purpose: creating joyful lives through better health. Engagements focus
on healthcare and service needs, front of store products, payment options
and optimizing benefits from insurance providers. Through surveys, social
media, retail pharmacy interactions and our ESG initiatives, these groups
provide input on everything from our community partnerships to healthcare
accessibility and product transparency.

Environmental, Social and Governance Report 2023

Healthy Planet

Media
Media plays a critical role in educating the public about health issues
and communicating accurate health and science information is critical to
public health and safety. As such, we prioritize close relationships with key
media to properly reach customers and patients around the healthcare topics
they need to know about. In addition to providing educational resources
through our media contacts, these stakeholders help us tell our businessstory to target audiences. We are in constant communication with the media
to properly disseminate our message and understand public sentimentthrough regular, proactive outreach conducted by our media and investor
relations teams, in addition to individual meetings.

Peers and industry groups
We are constantly engaging with our peers and industry trade groups.
Through collaborative projects, meetings and regular dialogue, individualinteractions and more, we discuss retail and pharmacy topics. From solving
industry challenges as a retailer to minimizing virgin plastics in supply chains,
we lean on our peers and fellow industry groups to help us move forward.
We are collectively pushing one another to improve our sustainability, accessto healthcare, data privacy and security, removing barriers and more. These
engagements keep us accountable to one another and result in a more
successful business operation and happier customers.

18

Overview

Memberships and associations
GRI 2-28

WBA, its businesses, andemployees participate in numerous
nongovernmental and advocacy
organizations, industry associations,organizations and networks. This
collaboration is central to our corporate
responsibility and ESG agenda because
we cannot make meaningful change
on our own. Select memberships
and associations include:

Governance

Healthy Communities

Healthy and Inclusive Workplace

Sustainable Marketplace

Appendices– American Pharmacists Association (APhA)– Irish Business and Employers Confederation and Retail Ireland (IBEC)– American Society of Health-System Pharmacists (ASHP)– Irish Organic Association– Beyond 34: Scaling Circularity for a Sustainable Economy– Irish Pharmacy Union– Black Young Professionals (BYP)– British Beauty Council– British Retail Consortium (BRC)– The Business Council– Business for Societal Impact (formerly the London Benchmarking
Group (LBG))– Business in the Community (BITC)– Business in the Community Ireland (BITCI)– The Business Roundtable– National Association of Chain Drug Stores (NACDS)– National Council for Mental Wellbeing– National Association of Specialty Pharmacy– On-Pack Recycling Label (OPRL)– Palm Oil Transparency Coalition (POTC)– Pharmaceutical Society of Ireland (PSI)– Pharmacist Advice and Support Service (PASS)– Pharmacist Support– Carbon Disclosure Project (CDP)– Pharmacy Technician Certification Board (PTCB)– Community Pharmacy (CP) England; CP Northern Ireland; CP Scotland;
and CP Wales– Proprietary Association of Great Britain (PAGB)– Purple Tuesday– Company Chemists Association (CCA)– RangeMe– Cosmetic, Toiletry and Perfumery Association (CTPA)– REPAK– Cosmetics Europe– The Council for Responsible Nutrition– Cruelty Free International Leaping Bunny– The CSR & ESG Board– Diversity in Retail– EcoBeautyScore Consortium– EuroCommerce– European Retailers Palm Oil Group– Forum for the Future– Global Reporting Initiative (GRI)– Global Organic Textiles Standard (GOTS)– Global Shea Alliance (GSA)– Henpicked– HITRUST– How2Recycle™
– International Federation of Pharmaceutical Wholesalers (IFPW)

Environmental, Social and Governance Report 2023

Healthy Planet– Retail Energy Forum– Retail Excellence Ireland– Retail Industry Leaders Association (RILA)– Retailer Palm Oil Transparency Coalition– RE-TURN– Roundtable on Sustainable Palm Oil (RSPO)– Stonewall– Sustainable British Beauty Council (SBBC)– Sustainable Medicines Partnership (SMP)– Sustainable Packaging Coalition– Sustainable Packaging Initiative for Cosmetics (SPICE)– Sustainable Procurement Pledge (SPP)– The Sustainability Consortium– United Nations Global Compact (UNGC)– U.S. Business Action to End HIV– International Health Partners– U.S. Environmental Protection Agency (EPA) SmartWay Program– Industry Council for Packaging and the Environment (INCPEN)– Waste and Resource Action Program (WRAP)– Institute of Corporate Responsibility and Sustainability (ICRS)– World Wide Fund for Nature (WWF)19

GovernanceOverview

Governance

Governance

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

Appendices

The Nominating and Governance Committee oversees the ESG agenda on behalf of the board of directors (Board) and receives updates on the full range of activities
undertaken by the Company, including, but not limited to:

GRI 2-9, 2-10, 2-12, 2-13, 2-14, 2-23, 2-24, 2-26, 3-3

We are committed to transparent
reporting in all aspects of our business,
including around our ESG activities andgoals progress. As we continue ourtransformation to a healthcare company,
we are increasingly focused on healthequity and ESG. Our ESG strategy
is a key pillar of our purpose and isoverseen by the WBA ESG Committee,
which reports on a bi-annual basis to
the WBA Nominating and GovernanceCommittee of the Board.

Conducting a WBA-wide materiality assessment
at least every three years

Ongoing review of ESG-related policies and publicationof policy statements

Tracking ESG-related long-term strategic partnerships
and their impact

Monitoring and benchmarking best industry ESG practices

Managing WBA’s engagement with external stakeholders
and other interested parties regarding ESG-related matters

Continuing limited assurance by Deloitte & Touche LLP
for certain reported data and disclosures

Integrating ESG processes into WBA’s broader business,social and environmental risk management program andreputation management priorities

Participating regularly in various external ESG disclosure surveys

Ensuring WBA is taking appropriate measures to successfullyprioritize and implement ESG projects

Assessing the outcomes of our organization’s impact on
the economy, environment and people in coordination with
the WBA ESG committee

Reporting progress against WBA Health Equity Goals quarterly
to WBA Board

Environmental, Social and Governance Report 2023

21

Overview

Governance

Healthy and Inclusive Workplace

Healthy Communities

Corporate governance and risk management
MORE INFO
More information on material risks
is included in WBA’s most recently
filed 2023 Annual Report.
More information on the
Board’s involvement, evaluation,compensation, tenure, gender,
ethnicity and conflict-of-interest
processes can be found in the2024 Notice of Annual Meeting
and Proxy Statement.

Our commitment to strong governance and risk management
processes is clearly prioritized. We are dedicated to continuously
looking for ways to improve these practices because they are
essential to achieving our objectives and being a responsibleorganization.
Much of our governance work is underpinned by our health equity framework
where we seek to prioritize key areas that impact health and well-being,
especially for disproportionately impacted, underserved communities andrecognize the irrefutable connection between the health of people and thehealth of our planet. This is of the utmost importance to our organization andhas the support of leadership at all levels.
Our board of directors, comprised of a majority of independent directors, isactively engaged in strengthening our governance practices and providing
oversight of the Company’s strategic, operational, potential and actual
risk and financial matters. This engagement enables the Board to fulfill its
fiduciary duties to our stockholders and steer the long-term success of theCompany. 36 percent of the board are female and 100 percent of our board
are over the age of 50.

Board diversity matrix
The table below provides certain highlights of the composition of our Board
members as of December 8, 2023. Each of the categories listed in the tablebelow has the meaning as it is used in Nasdaq Rule 5605(f).

Board Diversity Matrix (as of December 8, 2023)
11
FemaleMale

Non-Binary

UD2

Gender Identity
Directors

4

7

-

-

African American or Black

1

-

-

-

Asian

-

1

-

-

White

3

6

-

-

Demographic Background

Board and senior leadership diversity disclosure is GRI 405-1
specified disclosure and is within the Deloitte & Touche LLP
review scope as detailed on pages 119-120.
2
UD = undisclosed
1

Environmental, Social and Governance Report 2023

LGBTQ+

1

Sustainable Marketplace

Appendices

Our Board’s oversight extends to our ESG program. Biannually, theNominating and Governance Committee, made up of independent
directors, reviews our ESG reporting policies and activities and assesses
our risk management in those areas.

GRI 2-9, 2-10, 2-12, 2-13, 2-14, 2-23, 2-24, 2-26, 3-3, 405-11

Total Number of Directors

Healthy Planet

The Audit Committee regularly reviews and discusses the key risks
identified in the Company's Enterprise Risk Management (ERM) programwith leadership, their potential impact on us and our operations, and ourrisk mitigation strategies and related disclosure matters. These risks may
be related to climate change, sustainability and other ESG-related matters.
The Governance Risk and Compliance Committee, composed of senior
management, works in tandem with the Audit Committee to ensure all levelsof leadership are involved in the discussion and articulation of WBA’s top
risks. We routinely evaluate our risk mitigation activities, and when risks are
identified above a certain threshold, WBA works to develop action plans
with timelines and responsibilities that are monitored and reported uponfollowing implementation.
The WBA ESG Committee plays a key role in providing further oversight andgovernance of our ESG program. This committee meets four times a year toreview our ESG program, policy statements, evolving ESG-related regulations,social and environmental risks and progress toward achieving our ESG goals,
including our goal to drive responsible sourcing practices throughout our
supply chain, protecting human rights and engaging with suppliers aroundethical and environmental issues. Ornella Barra, Chief Operating Officer,
International, chairs this committee. Members of this committee include
other senior executives from across our key businesses and departments(operations, legal, human resources, accounting, finance, public affairs andcommunications). The WBA ESG Committee sets and approves our ESG
commitments and targets and oversees our progress. The committee also
approves the outcome of our regular assessments, annual objectives and
ESG Report. Our ESG governance was further strengthened during fiscal
2023 in our International segment when senior leaders from No7 Beauty
Company, Global Sourcing and International Retail came together to form
the Sustainability Committee.
We recognize in our fiscal year 2023 Annual Report that the long-term
effects of global climate change present both physical risks (such as
extreme weather conditions or rising sea levels) and transition risks (suchas regulatory or technology changes), which are expected to be widespreadand unpredictable. We disclose more information on the actions taken
stemming from the completed climate scenario analysis and identified
risks and opportunities within the TCFD Response of this report on page
111 and within our Annual Report on page 23. The Company will monitor
best practices for disclosing physical and transition risk and opportunities
associated with climate change and will continue to evolve our reporting.

22

Overview

Governance

Healthy Communities

Healthy and Inclusive Workplace

Policies
GRI 2-23, 2-24, 2-27, 3-3, 403-4

WBA is committed to creating a clean, safe and respectful environment
for our entire value chain. We understand good governance is underpinnedby accessible, objective policies and clear behavior expectations that areconsistent throughout the organization, regardless of geography or level.
As such, we have outlined how we expect our people to behave throughrobust organization-wide and business segment-specific policies thatincorporate internationally accepted human rights. These policies are
how we hold ourselves to a high standard of conduct.
Our Company's policies cover a range of topics, from environmental impact
and compensation to data privacy and procurement practices. We arededicated to upholding and implementing new policies where needed
because clear guidance is a pillar of successful governance. New policies
are developed in accordance with regular due diligence that cover a rangeof topics, including human rights. Internal policies are reviewed at least every
two years, while external policies are reviewed annually. These documents
are made available to all relevant parties through our intranet and corporatewebsite, including external partners and suppliers. Functional leadershipwithin WBA for each of our internal policy commitments rests with designatedemployees at the executive level as delegated by the Board to the WBA
Finance Committee, CEO and Global CFO, in addition to segment CFOs
and other relevant management. Each business must also have executives
at the Operating Committee level responsible for implementation andmanagement of all internal policies.

Healthy Planet

Sustainable Marketplace

Appendices

As a community pharmacy and healthcare provider, everything we do,everything we sell, every supplier we work with and everything in between
has a far-reaching impact. We are committed to respecting and upholding
the dignity, well-being and human rights of every individual affected byour business activities, including our patients and customers, employees,
suppliers and local communities. This commitment applies to all Walgreens
Boots Alliance affiliates and extends to respecting all internationallyrecognized human rights as detailed in the United Nations Guiding Principles.
Our Human Rights Policy Statement is based on the International Billof Human Rights and adopts the core labor standards from the United
Nations’ International Labor Organization. This commitment also extends
to fairly compensating our people. Please see page 101 for additional
information on our living wage efforts.
All of these values and more are explicitly laid out in our ESG Policy
Statements, which are available on our website. These statements shape
our approach to our sustainability and ESG activities and help ensure
we are working the right way.

We require all team members to familiarize themselves and comply withrequirements of all internal policies, in addition to following our Code of
Conduct and Ethics, Ethical Trading Standards, standards for Enterprise Risk
Management Policy, Environmental, Health and Safety and all published WBA
internal controls relevant to their operational duties. We hold presentations andtraining with relevant parties, as stipulated in select policies, with frequency
dependent on business and role. These accountability actions and our workwith accredited third-party auditors and extensive organizational policy libraryavailable to relevant stakeholders are how we hold ourselves accountable.
First and foremost, we prioritize creating and encouraging a safe environment
for employees, customers, patients, contractors and suppliers across all ourbusiness segments. We continuously work to improve our management ofhealth and safety guided by the WBA Health, Safety and Environmental (HSE)
Committee and WBA HSE policy. Within the WBA HSE policy, employees canfind guidance on reduction and mitigation processes, in addition to guidanceon determining corrective actions for workplace incidents and investigations.

Environmental, Social and Governance Report 2023

23

Overview

Governance

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

Appendices

Code of conduct and ethics
GRI 2-26, 3-3

The WBA Code of Conduct and Ethics is our compass for how we behave.
It guides us as a company, a team and individuals to make ethical decisions
that stay true to our values while abiding by the laws and regulations in theplaces where we do business. We rely on our code to support us in doing
what is right in our fast-paced, dynamic environment. The code also supports
strong governance of our behaviors and our approach to ESG.
The code extends to our Board; Company officers; team members; teammembers of our subsidiaries; officers and employees of any business inwhich WBA or a subsidiary has a controlling interest; and parties acting on
behalf of WBA or its subsidiaries, including consultants, agents, suppliers,
intermediaries or representatives. We expect everyone at WBA to read,understand and commit to complying with our code.
As part of our “speak up” culture, our confidential Compliance andEthics Hotline and online portal wba.ethicspoint.com are available forany team member to raise concerns about inappropriate business conduct
or unethical behavior. The hotline is managed by an independent third
party and is available 24/7 in local languages.
We expect our people to behave ethically and responsibly when acting
on our behalf and as their own representative. This extends to all levelsof our organization, including our Board. Further guidance on conflictsof interest at the Board level can be found within section 16 of the WBA
Corporate Governance Guidelines and in the 2024 Notice of Annual
Meeting and Proxy Statement.
More information on our corporate governance guidelines and the codeof conduct, including mechanisms for reporting suspected violations of theCode of Conduct and Ethics, concerns about ethics and questions about
applying our code, can be found on our corporate website here.

Environmental, Social and Governance Report 2023

24

Overview

Governance

Healthy Communities

Healthy and Inclusive Workplace

Health and Safety
DISCOVER
Please see pages 16-19 for how
we have engaged with priority
stakeholders on health andsafety matters.
Please see page 58 for further details
on employee and workplace safety.

GRI 2-26, 3-3, 403-1, 403-2, 403-3, 403-4, 403-5, 403-6,
403-7, 416-1, 416-2, 417-1, 417-2, 417-3

WBA is committed to creating and encouraging a safe environment
for employees, customers, patients, contractors and suppliers acrossall our business segments. We continuously work to improve ourmanagement of health and safety guided by the WBA Health, Safety
and Environmental (HSE) Committee and WBA HSE policy. Within
the WBA HSE policy, employees can find guidance on reduction
and mitigation processes, in addition to guidance on determining
corrective actions for workplace incidents and investigations.

Patient safety: Pharmacy dispensing

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Annual pharmacy operations reviews include the following:

Monitoringprocedures forthe professional
qualifications forpharmacists andpharmacy-related
employees

Processes tofacilitate compliancewith pharmacy
staff professional
development
requirements

GRI 3-3, 416-11, 417-1

Dispensing and distributing pharmaceuticals is the most significant part of ourbusiness, with 62 percent of our sales in fiscal 2023 coming from the sale anddistribution of prescription medications and pharmacy-related services. Millions
of people count on us to safely dispense medications and we deliver on thatpromise everyday. Patient safety lies at the heart of our management of pharmacy
operations. We strive to be the industry leader by continuously seeking ways tominimize risks to patients in our dispensing and pharmacy services.
In fiscal 2023, we continued providing pharmacists with training on how toappropriately manage clinical considerations in patient drug therapy throughour clinical decision support software. In addition, we provide our pharmacists
with a robust drug information library to help support their professional
practice decisions.

GRI 416-1 required disclosures are within the Deloitte& Touche LLP review scope as detailed on pages
119-120.

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All WBA pharmacy dispensing businesses annually review and evaluate
pharmacy operations for compliance with our Pharmacy Operations Governance
Policy. During fiscal 2023, the WBA Patient Safety Forum continued to convene
representatives from all pharmacy dispensing businesses to share best practice
operations, facilitate a culture of openness and shared learning, and develop
innovative patient safety solutions. The forum included senior leaders andexecutives across the Company, including International Public Affairs, Pharmacy
Quality and Patient Safety and Ethics and Compliance, among others.

AppendicesCompliancewith safe storage,
preparation,
dispensing,compounding
and saleand supply
of medicinal
products

Mechanisms forcompliance withstandard operatingprocedures
across dispensing,
pharmacist control
checks, patient
counseling,
record keeping,management ofcontrolled drugs andnarcotics, medicines
date checking,quality assurance,
error management
and other issues

Processes to help
ensure concerns
about pharmacy
professionals’
fitness to practice
are referred tothe appropriate
regulatory bodywhen requiredby law

Recording,managing andreporting ofdispensing errors,
including a formal
review process andaction planningto minimize therisk of such errors
occurring

Additional information on patient safety can be found on the following page.

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There are also obligations on pharmacists to confirm products are sourced
via a licensed and legitimate supply chain.
Our pharmacy systems are designed for the safe dispensing of medications.
Our standardized dispensing processes detail each step in the fulfillment
process, from receipt of prescription through consultation and dispensingof the medication. There are multiple digital safety checks, including bar
code scanning, safety-enhancing automation processes and digital safety
alerts utilizing cutting edge technology. To help ensure patient safety, ourprescription labels are designed to meet both regulatory requirements
and our internal standards. Descriptions of medications are affixed to eachprescription dispensed, and each prescription is dispensed with a patient
leaflet that informs patients of the name and use of the medication, potential
adverse reactions, information about drug interactions, safe medication
disposal and other important health information. At Walgreens, thisinformation is available in 14 languages, and additional services areavailable for hearing and visually impaired patients.
In fiscal 2023, we operated 10 microfulfillment centers supporting roughly
4,000 stores. By the end of fiscal 2024, we plan to operate 14 centers tocontinue driving significant efficiencies and cost savings.
All WBA businesses must have documented processes in place to facilitate
the collection of key performance metrics on health and safety, including
pharmacy incidents. Safety performance is supported by robust systems
such as continuous quality improvement (CQI) programs, procedures andmonitoring to reduce and prevent incidents.
Our CQI programs support and uphold our long-standing patient safety
culture by empowering and encouraging all team members to reportpharmacy incidents, near misses and overall safety opportunities to the U.S.
Patient Safety Research Foundation, a patient safety organization listed with
the Agency for Healthcare Research and Quality (AHRQ). Multiple safety data
sources are reported and analyzed, and opportunities for process, systems,
physical environment and educational materials are constantly evaluated.
Technology and process solutions as well as ongoing team member activities
and training are developed based on the evaluation of results.

GRI 416-1 required disclosures are within the Deloitte &Touche LLP review scope as detailed on pages 119-120.

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Walgreens continues to maintain National Association of Boards of Pharmacy(NABP) accreditation for Durable Medical Equipment, Prosthetics, Orthotics
and Supplies (DMEPOS). It is also accredited for Community Pharmacy, being
recognized for an advanced level of patient care services, quality and safety.
In addition, Walgreens has current chainwide Community Based Specialty(CBS) Utilization Review Accreditation Commission (URAC) accreditation for
specialty pharmacy as well as Accreditation Commission for Health Care (ACHC)
accreditation for select CBS sites. URAC and ACHC are independent third-party
organizations that provide healthcare accreditations based on industry standards.

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Appendices

Product safety
GRI 3-3, 416-11, 416-2, 417-1, 417-2, 417-3

At WBA, product safety is the foundation to our commitment to our customers.
We ensure our owned brand products — spanning health, beauty, home andcleaning products, food, paper goods and other categories — are rigorously
analyzed for compliance with all applicable laws and regulations along with
our own high performance, safety, and quality standards. We proactively seek
feedback on our products and services, and address those incidents that
don’t meet our customers’ needs, expectations and our own high standards.
Manufacturers of our owned brand products use a third-party product testinglab that we select to validate safety and quality before our products reachour customers and patient.
We have established a multistage product testing program to ensure
products are tested across the full product lifecycle. Our program builds
in required and periodic testing from independent third-party laboratories
validating that quality, safety, compliance and applicable regulatory standards
have been satisfied, including but not limited to analytical tests (chemical /composition), performance tests (durability / functionality), packaging
validation (labeling) and flammability standards. See page 96 foradditional information on our marketing and labeling practices.
Our suppliers are expected to implement best practices, including clearly
defined and well-documented good manufacturing and quality processes,
training and record keeping. Through our rigorous supplier and vendor
qualification process and factory assessment process, we evaluate our
suppliers' ability to deliver consistent, safe and quality products. WBA
reserves the right to audit supplier manufacturing sites of products in
non-regulated categories.
Our Quality team helps ensure customer feedback is actively reviewed
and analyzed. If we learn about an issue with one of our products, ourquality incident process is activated and we systematically investigate, takecorrective action, and, when necessary, quickly withdraw the product fromour stores and e-commerce platforms. If a product needs to be withdrawn
from the market, we ensure it is not sold by issuing a lock on the product at
our distribution centers, at point of sale in the store and online. We take ourcustomers’ safety seriously, and understand their desire to know more about
the products they used and consume, and so provide information for any
recalled owned brand products. These details are available anytime on
our websites for Walgreens and Boots.

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Information
Security
GRI 3-3, 418-1

Governance

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Appendices

We understand the importance of ensuring the integrity of data and the protection of our customers, patients, employees and Company
information. The Company's security processes and controls for information technology (IT) systems and resources; our business; andemployees, contractors and third parties help ensure the confidentiality, integrity and availability of our IT systems are maintained.
During fiscal 2023, the Global Chief Information Security Officer role reported
directly to Walgreens Chief Information Officer and the International Chief
Information Officer who jointly oversaw the security of the Company's
computer systems, data, networks and other assets, with oversight from the
Audit Committee. The Walgreens and International Chief Information Officers
reported to a member of the Executive Management team and into the Audit
Committee. The Company conducts multiple information security audits andvulnerability assessments on different sections of our IT systems, data andnetworks on at least an annual basis. WBA also has an information security
incident response team and maintains a data security event plan to effectively
manage and respond to information security incidents.
Our global information security policies, which are based on industry
frameworks such as the National Institute of Standards and Technology
and the International Organization for Standardization, set the complianceguidelines for our people, processes and systems. At the request of
our business partners, WBA also engages with HITRUST, a third-party
organization, to assess the security and privacy controls around Walgreens

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patient data. HITRUST certification is valid for two years and was lastrenewed in December 2023. WBA works with an independent assessor to
conduct interim assessments to ensure continued adherence to HITRUST
requirements. Additionally, Walgreens is subject to an annual Payment
Card Industry (PCI) assessment that includes a review of our policies andprocedures to protect Walgreens customer credit card data.
Building and nurturing a culture of security is key to protecting information.
New employees receive training on a variety of issues, including security
and privacy. This training is embedded in our security fundamentals training,which is refreshed on an annual basis. This training applies to pharmacists,
pharmacy technicians, retail team members and team members at our
support offices.
We also build awareness about phishing through regular employee
campaigns. Training and information is available to employees on our
corporate intranet sites. Additionally, we use screen savers, timely internal
news articles and other communication channels to engage employees
about the importance of being alert to cybersecurity risks.

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Appendices

Patient andCustomer Privacy
GRI 3-3, 418-11

As a global healthcare leader and retailer, personal information
is provided to WBA through purchasing and filling prescriptions,enrolling in promotional and loyalty programs, registering on our
websites or otherwise communicating with us. We are committed
to protecting patient and customer privacy and data with leading
data protection standards.
The Global Chief Privacy Officer oversees the privacy of WBA’s patient,consumer and employee data, with oversight from the Audit Committee.
We conduct privacy impact assessments regularly. Our privacy program
reporting is shared with the Audit Committee on a routine basis.
We are transparent with our customers about how we use their data.
Statements are posted on our websites and include information aboutdata usage and safeguards. We publish our policies about individual
rights requests regarding the use and deletion of personal information
for customers in applicable jurisdictions. We comply with EU and UK law
on data protection and privacy. Our policy is to notify all data subjects ofreportable data incidents in accordance with applicable laws. In the U.S.,
where approximately 80 percent of the WBA personal health data resides,
the Health Insurance Portability and Accountability Act (HIPAA) privacy rule
compliance program incorporates administrative, technical and physicalsafeguards. Under our HIPAA policy, we receive written authorization from thedata subject where required, and collection and processing are limited to thestated purpose. We also have a program to receive, investigate and respondto privacy complaints.
Annual privacy training is mandatory for applicable team members, including
pharmacy, retail and support office. Applicable U.S. contractors are legallyobligated to receive privacy training.
We also have policies and procedures in place that govern data transfers
to third parties, including appropriate methods and controls, such as
standard contractual clauses.

GRI 418-1 required disclosures are within the Deloitte & Touche LLP review scope as detailedon pages 119-120.

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HealthyCommunities
Our Targets
Achieved in fiscal 2023:
Walgreens: Raise morethan $25 million for theSusan G. Komen and The
Leukemia and Lymphoma
Society. Exceeded.

By fiscal 2024:
WBA: Provide 100 million
vaccinations for children
in developing countries
through "Get a Shot.
Give a Shot." and the UN
Foundation. On track.

By fiscal 2025:
WBA: Help 500 million women and children by providing vitamins
and minerals through Vitamin Angels. On track.

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Appendices

A Letter From...

Alethia Jackson
Senior Vice President of ESG and Chief DEI Officer, Walgreens Boots AllianceIn this milestone year, I feel privileged to be part of an incredible team that follows a long tradition of healthcare pioneers,
who are committed to enabling healthier communities across the U.S. and around the world. Community is the backbone of
our society and as recognized by the World Health Organization, health is the underpinning of productive, resilient and stableeconomies. Our commitment to championing healthier communities is of critical importance to current and future generations.
We understand that our work globally entails us taking a local
approach to meeting the specific needs of communities and that’s
where partnerships are invaluable. Over the past eight years, WBA
has donated $373 million1 to support the health and well-being of
the communities we serve. Our work includes partnering with ourconsumers, governments, charities, non-governmental organizations,industry bodies and other healthcare providers on disease prevention,
detection, treatment, and education. We have also worked closelyalongside our partner organizations to address social determinants ofhealth, support people living with cancer in the U.S., UK, and Ireland,
Mexico, Thailand and across Europe, and support youth mental
health and awareness across the U.S. Together with our partners weare uniquely able to support our patients, our consumers, and ourcommunities and have a long-term impact.
Our work with our partners and in our stores provides tangible andvisible examples of what we mean by health equity. Our ambitions
are bold. This includes overcoming barriers to medication adherence,
providing greater access to care regardless of an individual’s personal
background, addressing cost challenges or providing vaccine or

testing equity. This work is embedded in who we are as a company.
Every day our team members engage with patients and customers
globally and seek to improve their health and well-being. In 2023,
the World Health Organization (WHO) confirmed climate change as
an urgent threat to pregnant women, newborns and children and I
am enormously proud to mark our 10-year anniversary with Vitamin
Angels. With the support of our customers, team members and theirincredible network, we have helped reach over 2.6 million expectant
mothers and their babies in the U.S. and Puerto Rico, and over 400
million women and children around the world with life-changing
vitamins and supplements.
I invite you to read in this chapter all that we have done to build
on our long and rich heritage of reimagining how local healthcare
improves societal health and well-being, and what we are doing toenable communities to bring about more joy through better health.

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Cash and Non-cash valuation of community contributions. Further details on page 46.

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Appendices

Health Accessand Awareness
GRI 3-3, 203-1, 203-2, 413-1

Health equity
GRI 3-3, 203-1, 203-2, 413-1

We strive to provide essential care to the communities in which we areembedded. As one of the world's largest providers of pharmacy and other
healthcare services in local communities around the world, WBA understands
the needs of the communities we serve. WBA is uniquely positioned to makean impact on healthcare access and affordability. You can learn more about
our endeavors to improve access to healthcare for millions of people on
the following pages. These efforts are reflected throughout our businessactivities, advocacy work and ESG initiatives.

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GovernanceChampioning health equity
GRI 3-3, 413-1

The COVID-19 pandemic taught us valuable lessons about theimportant role our stores, services and pharmacy team play in the healthof our communities. We see our pharmacists as our frontline educators.
They are not only accessible in the communities where they work but
are also often active and trusted members of those communities.
Walgreens and other pharmacies were able to make a huge impact
throughout the COVID-19 pandemic. Between February 2020 and
September 2022, it is estimated that services provided by pharmacies
such as administering vaccines and antiviral medications helped to saveover 1 million lives and avoid over 8 million hospitalizations in the U.S.
Through new policy changes coming out of the COVID-19 pandemic,
Walgreens will continue its work to increase access to vaccinesand healthcare services and reach underserved communities.

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Appendices

The Company established three pillars by which weensure our care remains accessible to communities:
Access:78 percent of Americans live within 5 miles of a Walgreensor Duane Reade retail pharmacy. For those who do not, we
continued the effort to go the extra mile to reach medicallyunderserved communities with our mobile clinics. Our coachbuses outfitted for health providers traveled coast to coast,meeting people where they were while distributing thousandsof vaccines and other services.
Partnerships:
We understand that to reach those who need the most help,
we cannot work alone. In fiscal 2023 the Company hosted over
1,000 clinics to address vaccine hesitancy and provide vaccines —working with community organizers and faith-based organizations
to major companies. These events and partnerships have been
instrumental in breaking down barriers and providing the tools
needed to engage communities and overcome obstacles to care.
Additionally, these partnerships will be leveraged across other
health services.
Education and information:
We are committed to ensuring our communities have accessto the information necessary to promote good health outcomes.
Because our pharmacy team members live and participate in thecommunities they serve, they are seen as a credible source of
information among their community members. Our pharmacy teammembers are actively combating misinformation and encouraging
healthcare access.
Across these pillars, Walgreens is focusing on 4 key activation areas:social determinants of health, vaccination and testing, medication
adherence and chronic care management and wellness and care.
In fiscal 2023, Walgreens launched the Health Equity Champions Network.
Health Equity Champions connect team members and customers to thework Walgreens does in health equity and serve as a point of contact
for health equity work in their region.
The work we have done to establish internal forums for improved awareness,transparency and knowledge sharing regarding health equity is demonstrativeof our organizational focus on health equity and empowering each employee
to be a health equity ambassador.

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Appendices

To help address heath inequity in the communities we serve, Boots
established the Health Equity Stakeholder Group in 2021. This groupoutlined four key themes that would guide store activities and internal
initiatives to promote health equity across Boots UK:
As the largest pharmacy in the UK,
Boots is uniquely positioned toaddress health equity and create
greater access to health services
across the country.

Turning awareness into advocacy:
Ensuring all Boots communications are written through the lensof promoting equity in its education programs and services.
Black, Asian and Minority Ethnic (BAME) inequalities:
Recognizing the disparities in access to healthcare among
Black, Asian and minority ethnic communities in the UK andworking to achieve parity, especially in the treatment andprevention of COVID-19.
Digital inequalities:
We are committed to improving digital access to healthcare.
Recognizing that — as of the latest Ofcom technology tracker
data published in 2023 — seven percent of UK households do
not have internet access, Boots is committed to maintaining
care options that do not exclude those without digital access.
Local solutions:
Our pharmacists live and work in their local communities. We
want our local teams to keep us apprised of inequalities they may
encounter and feel empowered to suggest their own ideas about
how to tackle them. At the same time, we will continue to empower
our team members with research from our partners, including The
Kings Fund, and shared best practices to address inequities together.
At the start of the 2022 calendar year, we established a network of
Health Equity Champions across Boots UK. These champions work acrossthe support office and stores to help ensure that new initiatives meet thestandards of Boots' efforts to address health inequities. Whenever we launcha new initiative, the champion will ask their Boots team members to completea Health Equity Assessment Tool (HEAT) to test the accessibility of the service
in a range of scenarios, ensuring it has the best chance of reaching
all members of the community.
In May 2023, Boots attended and presented at the NHS England HealthInequalities Improvement Board on “Improving Equity Access to Healthcare
through Boots.” In the presentation, we discussed how Boots aligns with healthequity goals from the NHS and is working to increase access to vulnerable
communities, improve health outcomes and lower the cost of care for all.

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AccessGRI 3-3, 203-1, 203-2, 413-1

Overcoming barriers to medication adherence

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Appendicesand continuous glucose monitoring (CGM) devices to its New to Therapy
pharmacy program in addition to anti-anxiety medication, anti-psychotics
and anti-depressants.
Walgreens works to improve medication adherence, manage chronic
disease and overcome barriers to care through numerous programs,
which are detailed in this section.

GRI 3-3, 203-1

The failure to take medications as prescribed is associatedwith adverse health outcomes and rising healthcare costs.
WBA strives to improve medication adherence by addressing
systemic barriers to care. Barriers can include everything froma misunderstanding of prescription interactions with other drugs
to a lack of access to transportation. Lack of insurance, financial
insecurity, inconvenience and forgetfulness are also commonly
identified as factors in adherence failure.
Our pharmacists and healthcare providers take the extra step to help ensure
adherence among their patients. Analytics help us predict the patients most
likely to become non-adherent and identify custom ways to reach them andhelp them maintain their regimen. Adherence programs for the most complex
treatments and disease-state management programs include phone, virtualand in-person consultations to address potential side effects and offer
remedies, digital solutions including medication synchronization, delivery,
consultations and patient education and efforts to connect patients
to financial assistance to help them stay on track.
Our pharmacists are continuously learning and updating their training
on common chronic conditions including hyperlipidemia and diabetes
management. Recognizing that diabetes, high cholesterol and hypertension
are prevalent among Americans, we tailored specific programs to help
improve outcomes for patients living with these disease states. Across these
conditions, Walgreens PDC (Proportion of Days Covered) rates improved by
0.3% in fiscal 2023 compared to fiscal 2022. PDC is a common measurement
for adherence referring to the percentage of time a patient has medication
available based on refill records.
Medication non-adherence remains a significant barrier to positive healthoutcomes for those with mental health conditions. To help support greater
adherence, outcomes, and lower overall costs for patients and payers,
Walgreens has added oncolytics, estrogen hormones, antiandrogens

Environmental, Social and Governance Report 2023

Walgreens Chicago Health Incubator
GRI 3-3, 203-1, 203-2, 413-1

The Walgreens Chicago Health Equity Incubator is a pilot program designed
to address health inequities and impact patient outcomes. Driven by a crossfunctional team of individuals across pharmacy operations, data analytics
and involved pharmacies, the program is designed to create direct lines
of communication between patients in vulnerable communities andproviders who can interpret feedback into actionable change.
The first phase of the pilot launched in August 2020 and focused on
Chicago's South and West Sides. Phase 1 focused on diabetes outreach,
pediatric asthma consultations and reducing delayed medications pick up.
The incubator moved from its first phase, where outreach concentrated
on prescription management for patients living with diabetes and asthma,
to its second phase in July 2022, when a mental health wellness checkfor patients new to mental health prescription therapy was added to theprogram. The pharmacies involved are situated in underserved areas where
mental health disparities may be worse due to institutional racism, healthinsurance access and coverage, inadequate care and treatment and culturalacceptance, among other social determinants of health. The program has
now expanded beyond the South and West Sides of Chicago to include
pharmacies in Texas, Arizona, Nevada and New Mexico, for a total of nearly
50 pharmacies offering proactive mental health support to patients.
Between July and December 2022, more than 1,200 wellness checks
were made 45 days post pick-up across Chicago-area pharmacies. Of thepatients who received a 45-day outreach call, they were more likely to refill
their medication when due and did so within fewer days than patients who
did not receive an outreach call. The proportion of patients in the initiative
who refilled their medications within seven days of the outreach call roseby 8.7 percent.

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Transforming access
GRI 3-3, 203-1, 203-2

Furthering our commitment to increasing access to carefor everyone, continues to be a priority for WBA.
The U.S. Healthcare segment was launched in fiscal 2022 to facilitate WBA's
consumer-centric healthcare strategy in the communities we serve across the
U.S., which includes investment in Village Practice Management Company,
LLC ("VillageMD"), Shields Health Solutions Parent, LLC ("Shields"), CCX
Next LLC ("CareCentrix") and the company's organically grown healthcare
business. The U.S. Healthcare segment plans to become a leading providerof local clinical care services by leveraging its consumer-centric technology
and pharmacy network to deliver value-based care. In addition to theinvestments within U.S. Healthcare the company also plans to continue totransform its core pharmacy and retail business and its goal is to provide
better consumer experiences, improve health outcomes and lower costs.

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Appendices

Boots works closely with the NHS on its Core20PLUS5 initiative.
Core20PLUS5 is an approach designed to reduce healthcare inequalities
at both the national and system level. The name Core20PLUS5 comes fromthe population groups identified as vulnerable and lacking healthcare
access, and the five clinical areas of focus. Core20 represents the mostdeprived 20 percent of the national population as identified by the national
Index of Multiple Deprivation (IMD). PLUS population groups should be
identified at a local level, mostly likely minority communities, people withdisabilities and multiple long-term health conditions. The five clinical areasof focus are maternity care, severe mental illness, chronic respiratory
disease, early cancer diagnosis and hypertension.
In Germany, Alliance Healthcare Deutschland provides pharmacy teams
with high-quality training content onsite and online to provide the best careto patients and customers. At the end of fiscal 2023, more than 10,000
people in Germany were trained on topics such as long-COVID, diabetes
prevention and “Digital Pharmacy.” More than 90 percent of the people
trained work in our customers’ pharmacies.

This strategy is foundational to WBA as a leading provider of local clinicalcare services and addresses all dimensions of physical, emotional andmental health. We will continue to leverage our consumer-centric technology,
pharmacy network and partnerships to deliver and enable others to deliver
value-based care, including vaccinations, diagnostic testing, chronic caremanagement and specialty management.
Walgreens Health Corners and Health Advisors provide accessible, local
healthcare services. Locations offer services ranging from preventive careand wellness checks to support with managing chronic conditions. Health
Advisors provide a range of health and clinical services that supplement
care received from primary care physicians and specialists.
Through the Walgreens and VillageMD coordinated care model, patients
receive full-service primary care alongside convenient and cost-effective
pharmacy services.
Walgreens and VillageMD are leveraging their combined expertise inpharmacy and primary care to deliver a series of programs that allow
physicians and pharmacists to collaborate closely and coordinate patientcare to help make healthcare easier and more accessible for improved longterm outcomes. With these programs, Walgreens and VillageMD can keep
patients more connected to care by delivering the right care, at the right time,with more personal service, and by encouraging the adoption of behaviors
that can help them get and stay healthy.

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Governance

Clinical trials and research
Walgreens launched its Clinical Trials business in June 2022 and remains
committed to increasing diversity in clinical trials and helping drive more
equitable and inclusive research. Walgreens combines its trusted relationshipwith patients in communities throughout the U.S. with health insights andproprietary selection software to proactively match potential patients to trials
across a range of disease areas. Walgreens looks forward to reaching eligible
patients for enrollment at the right time to deliver the right message andhelp orchestrate their participation seamlessly, addressing access barriers
through a compliant, validated and secure decentralized clinical trial platform
built on a rigorous compliance and regulatory framework to protect patient
privacy and security. This approach leverages owned and partner digital andphysical assets to directly engage patients at home, virtually or in person.
Collaboration with AllianceRx Walgreens Specialty Pharmacy, as well as
investments made by Walgreens Boots Alliance in VillageMD, CareCentrix
and Shields will also support new clinical trial approaches, particularly forspecialty treatments.
In one U.S. clinical trial for an Atherosclerotic Cardiovascular Disease(ACSVD) study, Walgreens leveraged real-world insights to identify
potential study participants within 20 miles of the research study sites.
This community-centered approach helped recruit high percentagesof historically underrepresented groups of participants: 17 percent ofparticipants were Black/African American and 19 percent were Hispanic/
Latino, significantly higher than historical national averages of clinical trial
participation (as of 2020, 8 percent and 11 percent respectively). In anotherstudy evaluating a next-generation monoclonal antibody for the potential
treatment of Alzheimer’s disease, Walgreens recruitment efforts resulted
in more than 21 percent of Walgreens recruited-patients self-reporting
they are Hispanic/Latino, nearly double the 2020 average of clinical trial
participation amongst the Hispanic/Latino population.
In the UK, Boots works with Our Future Health (OFH), a research
program partnered with the NHS. OFH aims to collect information frommillions of volunteers across the UK to help researchers find ways to prevent,detect and treat diseases earlier. OFH asks volunteers for permission tocombine the information and samples that they give with existing information
about them, including their health records. Volunteers are asked to go
to an OFH clinic to provide small blood samples and get some physicalmeasurements taken including blood pressure and cholesterol levels.

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Appendices

Boots has been an ideal partner to the OFH initiative due to its wide networkof pharmacies that are accessible to the UK population. Together with OFH,
Boots ran a pilot where we used our customer data to encourage volunteers
to get involved and provide samples of their biometric data. Following the
success of the pilot, we decided to roll out the program more widely andprovide OFH clinics in a number of our stores. Volunteers come to our storesto provide blood samples and physical measurements before completingthe online questionnaire. At the end of fiscal 2023, the pilot had expanded
to 70 stores, and now we have trained over 200 phlebotomists. Boots hascompleted over 100,000 appointments since the launch of the pilot.

HIV testing
Since the beginning of the epidemic more than 40 years ago, Walgreenshas supported those impacted by HIV/AIDS. Walgreens is committed toproviding education, tools, testing and support to help prevent HIV andconnect those living with HIV to care so that they live long, healthy lives.
In fiscal 2023, Walgreens expanded its support in HIV testing and treatment.
In December 2022, Walgreens became a founding member of the U.S.
Business Action to End HIV, a coalition of businesses seeking to scale up
key HIV prevention and treatment strategies to help end the epidemic by
2030. For the thirteenth year, Walgreens partnered with KFF’s Greater Than
HIV on the nation’s largest National HIV Testing Day event, bringing healthdepartments and community organizations into more than 400 Walgreensstores to provide FREE rapid HIV tests on June 27, 2023. Counselors werealso available to answer questions about HIV prevention and treatment
options, and provide referrals for pre-exposure prophylaxis (PrEP), FDAapproved medications that are highly effective in preventing HIV.
In March 2023, Walgreens launched a partnership with DoorDash andUber to offer Same Day Rx Delivery of medications for the prevention andtreatment of HIV. This service is available to eligible patients within 15 milesof thousands of participating Walgreens retail pharmacies nationwide.
Thousands of Walgreens pharmacists have undergone specialized training
for HIV and PrEP, which builds on the company's more than 300 specialty
pharmacies across the country, many of which offer specialized services
for HIV and PrEP.

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Sustainable Marketplace

Appendices

Cancer care

Vaccine equity

Boots is piloting a program for pharmacist referrals of suspected cancer
direct to primary and secondary care. These pilots will cover adults onlyand selected types of tumors reflecting symptoms most likely to present
in a pharmacy available test. By the end of fiscal 2023, the pilot included
12 pharmacies in the UK.

In April 2023, the U.S. Department of Health and Human Services announced
the CDC Bridge Access Program, a bridge program to help uninsured patientsobtain COVID-19 vaccines through December 2024. Walgreens will continue
to help provide vaccinations and care to uninsured patients through the helpof the bridge program to drive equitable access to vaccines and testing.

Boots has two pharmacists integrated into the Macmillan Clinical Advisory
Board as Macmillan fellows, who dedicate specific time to work at Macmillan.
Their work focuses on addressing the issues of delayed diagnosis andcanceled and rescheduled treatment that resulted from the COVID-19
pandemic. These fellows also work to improve access to Boots' partnershipwork with Macmillan and to increase the number of Boots Macmillan
Informational Pharmacists (BMIPs).

See more on childhood vaccinations and Get a Shot. Give a Shot.
on page 39.

Walgreens works with the Colorectal Cancer Alliance (CCA), the nation’slargest patient advocacy organization dedicated to ending colorectal cancer
and reaching those in need of a life-saving colorectal cancer screening.
Walgreens Find Care added a CCA tile to the platform that links
to CCA’s personalized quiz that helps people see what screening option
is best for them (e.g., at-home test, colonoscopy) and provides educational
resources. Walgreens committed $50,000 to support CCA on a targetedsocial media awareness campaign focused on driving people to the quiz.
Walgreens has recently partnered with organizations in the cancer space thatwork to provide support to cancer patients undergoing treatment. Walgreenspartnered with the Look Good Feel Better Foundation and committed$20,000 to the foundation to help individuals in cancer treatment findconfidence, normalcy and community through in-person and at-home virtual
programs. We sponsored free workshops, webinars and at-home programs
that offered lessons on skin and nail care, wigs and turbans, cosmetics,
accessories and personal styling – all with the goal of helping cancer patients
regain confidence and focus on becoming survivors. 15,000 patients,
survivors and supporters participated in these workshops.
Walgreens also sponsored a custom issue of Elephants and Tea magazine
in fall 2022. Elephants and Tea is a magazine for and by adolescent and young
adult (AYA) cancer patients, survivors and caregivers that tells their stories.
This issue focused on cancer treatment and fertility, and how young cancer
patients have to think about the future and their fertility when diagnosed withcancer. The issue included information on what patients should be aware ofwhen it comes to fertility and cancer treatments, how they can advocate forthemselves and personal stories from cancer patients about the conversations
they had to have around fertility while undergoing treatment.

Environmental, Social and Governance Report 2023

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Addressing the high cost of care
GRI 3-3, 203-1, 203-2

The rising cost of a prescription is an often-cited cause forpatients who fail to adhere to their medication regimen.
To address adherence issues and prescription abandonment, Walgreenscollaborates with other businesses and organizations in the pharmaceuticalsupply chain to make medications more affordable and accessible throughcopay assistance.
We believe drug prices should be transparent as they move through the
supply chain and that savings should be passed on to patients to lower
their out-of-pocket costs.
We are actively supporting legislation at the state and federal levels on
pharmacy benefit management reform, which could reduce the out-of-pocket
cost of prescriptions, in addition to insulin copay cap legislation. At the statelevel, Walgreens has advocated for expanding access to pharmacy services
and care for Medicaid patients, ensuring they can fill their prescriptions andreceive care, are covered by insurance and can be assisted by their pharmacyof convenience rather than the pharmacy designated by the state. In fiscal
2023, Walgreens specialty pharmacies helped 929,354 patients in the U.S.
secure more than $446 million in copay assistance for prescriptions.
Our team members are trained to identify where copay assistance may
be available at the point of sale. Our dedicated centralized support teams
proactively contact patients using our traditional retail pharmacies for copay
payments and plans that meet specific parameters. We aim to promoteseamless care for patients, assisting them in finding solutions in the face oflimited distribution drug networks, payer restrictions and other considerations.
In 45 states, Washington, D.C. and Puerto Rico, Walgreens Prescription
Savings Club offers savings of up to 80 percent compared to cash retailprices of prescriptions purchased at participating Walgreens. The discountprescription drug program applies to thousands of prescriptions, including
generic, preventive and lifestyle medications that insurance may not cover.
In Mexico, where out-of-pocket payments can present a barrier to care,
we operate national pharmacy chains that provide care within the context
of local healthcare operations.
The high-quality generics brand Almus sold in our Mexican chain Farmacias
Benavides has expanded to 288 products. In addition to our aim of making
treatment options available for all chronic conditions, we strive to keep pricing
affordable, so treatment is accessible for patients diagnosed with diabetes,
high cholesterol and high blood pressure.

Environmental, Social and Governance Report 2023

Scope of practice policy changes
The Preparedness (PREP) Act that provided liability protections to
manufacturers, distributors, states, localities, territories, tribes and licensed
health care professionals, including pharmacy professionals, during the
COVID-19 pandemic was extended to Oct. 1, 2024. Now, pharmacists
and technicians can continue to administer COVID-19 vaccines, testing
and treatments, as well as administering flu and childhood vaccines. Thisextension allows for greater access to these vaccines and services, as most
COVID-19 vaccine doses were administered at a local pharmacy, andat least 40% of U.S. pharmacies are in underserved and socially vulnerable
areas. Specific to Walgreens footprint, more than 50% of Walgreens arelocated in underserved communities experiencing health inequities
and/or healthcare access shortages, as defined by social vulnerability
index (SVI) score, income level, medically underserved area (MUA)
and/or health professional shortage area (HPSA).
We continue to advocate for and work to secure policy enactment thathas led to greater involvement of the pharmacist in vaccinations, testing,treatment, blood pressure, diabetes, HIV care and more.

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Community engagement

Flu prevention

Pharmacies are frequently the first point of contact for people
seeking care, whether preventive or in response to illness.
At WBA, we touch over 10 million patients a day in stores anddigitally. WBA’s locations in nine countries employ approximately
331,000 people, with more than 32,000 being registeredpharmacists. Our pharmacists work at the nexus of community
healthcare to provide education on chronic condition care andmedication management, administer vaccinations and partnerwith health systems to advance health and wellness.

GRI 3-3, 203-2, 413-1

Our team members who provide healthcare services in person, telephonicallyand digitally are the most accessible entry point for many patients seeking
access to healthcare. We are members of the communities we serve, andwe use our community insights and cultural competency to help ensure ourpatients’ questions are answered and needs are met. We see our role as anintegral part of the patient’s healthcare team and endeavor to personalize
care while strengthening relationships across the patient’s healthcare
network to improve health outcomes, especially for chronic andcomplex conditions.
Boots maintains its participation in the Hidden Disabilities Sunflower
scheme, through which patients with autism, chronic pain, dementia andvisual or hearing impairments can wear a sunflower lanyard to alert Boots
team members that they may need extra assistance in store or when
receiving a vaccine.
At a local level, we encourage pharmacists to share ideas on how
to increase accessibility for their own communities.

Sustainable Marketplace

Appendices

WBA is committed to helping protect our communities from exposure
to the flu, which causes tens of thousands of deaths per year. Walgreenspledged to donate $5 million of free flu shot vouchers in the U.S. by 2024
and reached $6.8 million by the end of fiscal 2022. In fiscal 2023 alone, we
distributed vouchers equating to over $1.8 million, reaching a total of $8.6
million. Through flu equity outreach, including partnerships with community
organizations, HBCUs and federally qualified health centers, Walgreens
combats vaccine hesitancy. Since 2010, Walgreens has provided nearly
2 million free flu vaccinations to customers who present a voucher,helping address health disparities for underserved communities.
At the start of fiscal 2023 and this past flu season, Boots administered morethan 1 million free flu vaccinations on behalf of the NHS for those eligible andprivately for those who were not eligible for free vaccinations. Boots alsooffered free vaccinations to its 45,000 team members for the third consecutive
year and continued its Corporate Flu Vaccination Service for organizations
that wish to pay for and then offer their employees free flu vaccinations.

Initiatives to address health equity around the world
Flu prevention
Aside from work in the U.S. and UK, WBA works to increase flu vaccination
access abroad through partnerships and pharmacies in other countries.

Cardiovascular health in Germany
Community health fairs
Walgreens community health fairs give our employees the opportunity toengage with their neighbors on healthcare issues while meeting patientswhere they are and where they feel comfortable. They also offer an
opportunity for community members to access services and resources
including flu shots, health screening and educational information. Walgreensstores sponsored, participated and conducted a variety of health-focusedcommunity outreach events during fiscal 2023.

Environmental, Social and Governance Report 2023

To improve cardiovascular health awareness, Alliance Healthcare Germany
continued its collaboration with the German Hypertension Association
to provide online training and education for its teams.

Get a Shot. Give a Shot.
Since 2013, together with the United Nations Foundation (UNF) Shot@
Life campaign, we have helped provide over 93 million lifesaving measles
and polio vaccines to children around the world. For every vaccination
administered at Walgreens and Duane Reade pharmacies and clinics, thevalue of a vaccine is donated up to the donation maximum of $2.6 million per
year. WBA is on track to meet its goal of 100 million vaccinations by fiscal 2024.

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Digital Healthcare Access
Advances in digital healthcare access
GRI 3-3, 203-1

Universalizing digital access to healthcare and pharmacy products
is an integral component of WBA’s strategy to increase healthcare
access, particularly in medically underserved communities. Buildingon the efforts to serve our patients virtually during the pandemic,
we have expanded several tools to deliver care to our communities.
The Walgreens app has over 94 million lifetime downloads. Users canset pill reminders, refill by scanning prescriptions, combine family orders
and chat with a real-time, 24/7 pharmacist while eliminating the need to run
to the pharmacy for in-person consultations and prescription pickup, thanks
to the option for same-day prescription delivery. Approximately 113 million
members of the myWalgreens loyalty program receive additional savingson their orders.
The Boots Health Hub, a digital services platform serving Boots UK, gives
customers visiting boots.com access to over 80 healthcare services, including
healthcare tests, COVID-19 services, vaccinations, prescriptions, Livi’s online
general practitioner consultations and the Boots Online Doctor service.
Boots Online Doctor, a virtual service for more than 45 common healthcare
conditions, provides quick access to advice and prescription-only medicine
without having to see a general practitioner.
To improve cardiovascular health awareness, Alliance Healthcare Germany
continued its collaboration with the German Hypertension Association toprovide online training and education for its teams.
In February 2022, Boots became the first retailer in the UK and the Republicof Ireland to offer Recite Me technology in its online store, making it moreaccessible for the more than 13 million people in the UK and the Republic of
Ireland who experience barriers when shopping online. The Recite Me assistive
toolbar includes screen reading functionality, multiple reading aids and an ondemand live translation feature that boasts over 100 languages, including 35 in
text-to-speech. These features give website visitors the ability to manage how
they view and interact with content to suit their individual needs.
Benavides pharmacies in Mexico hosted eight online health forums overthe course of 2023, providing free access to expert information on diabetes,
chronic pain, sexual health and healthy motherhood.

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Digital healthcare access programs
Walgreens Patient Care Portal

Save a Trip Refills

A system that helps pharmacists identify and contact patients eligiblefor Medication Therapy Management Services and medication reviews
to connect them with appropriate interventions, including:

Allow customers to align multiple prescriptions to one date. More than
6.9 million patients were enrolled as of Aug. 31, 2023, saving threepharmacy trips a year on average.

• Comprehensive disease-state management• Proactive care for patients taking specialty medicationsfor HIV and chronic inflammatory disease

Walgreens Advanced Care Program
Applies predictive analytics to identify patients at higher riskof non-adherence, prompting holistic intervention and resolutionof barriers to medication adherence.

Walgreens Pickup and Delivery
A digital offering through which patients can prepay for medication andchoose their next-day delivery or pickup location on mobile devices. In fiscal
2023, Walgreens partnered with DoorDash and Uber to provide free delivery
for Paxlovid, a COVID-19 oral antiviral therapy, and free same-day deliveryof medications for the prevention and treatment of HIV.

Mobile Apps
The Thread
Walgreens' blog, The Thread, is a content hub for all things health,wellness and beauty with information on common health conditions
such as asthma, diabetes and cold and flu, plus articles on mental
health, stress, diet and fitness.

The Walgreens app is a free, five-star-rated mobile app that provides accessto digital resources, such as Rx Alerts, that remind patients to fill and pick up
prescriptions. For communities in the UK, the Boots app also allows patientsand customers to set up refill reminders and daily vitamin reminders.

New Medicines Services
Walgreens Find CareAn online tool that connects customers to doctors, therapists, dermatologists
and other health care providers in minutes. The Find Care platform1 provides
customers access to care in over 24 categories delivered by 65+ partners
engaged in local, virtual and asynchronous care. In fiscal 2023, there wereover 66 million visitors to the site.

New to Therapy

This KPI maps to Material Topic 1: Access to Affordable andQuality Healthcare and is within the Deloitte & Touche LLP
review scope as detailed on pages 119-120.

1

Environmental, Social and Governance Report 2023

A pharmacist-led solution through which Walgreens pharmacists engage
patients who are new to certain medication therapies, helping educate themon their medication and addressing any barriers or concerns to drive better
adherence and overall health. With Walgreens assistance, as of Aug. 31,
2023, nearly 46 million patients were enrolled in the pharmacy’s 90-day
refills program, making medication access more convenient.

In England, patients prescribed a new medicine for certain long-term
conditions such as diabetes, asthma or high blood pressure can accessa free NHS service to help get the most out of their medicine. The service
gives patients the chance to ask their pharmacist any questions, identify any
problems they are experiencing and find the easiest and most effective
way of taking their new medicine.

Free Online NHS Repeat Prescription Service
The Boots Free Online Repeat Prescription Service allows patients to ordertheir repeat prescription items online. Boots will send the request to thegeneral practitioner (GP) and, once approved, the electronic prescription issent directly to Boots for dispensing and collection or delivery, saving thepatient a trip to the GP.

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Partnerships for GoodDISCOVER
Below is a sample of thesepartnerships, and other informationon other partnerships can be foundin the "Supporting causes" section
on page 46.

GRI 3-3, 203-1, 413-1

We continue to engage in long-term partnerships at thenational and international levels to tackle health issues likepoverty, disease prevention, mental health, dementia and cancer
support. Our collaborations help improve the lives of hundredsof millions of vulnerable people, especially women and children.
In the area of cancer care, WBA focuses on creating innovative andmeaningful support for patients and their loved ones in three ways: assisting
people living with cancer, working with organizations that advance researchand supporting prevention programs. We work with cancer organizations
to train our pharmacists and beauty consultants so they can provide expert
advice and support to cancer patients, their families and their caregivers
when they need it most.
We also work with charitable partners that help empower young people
to reach their full potential. By providing lifesaving vaccinations, vitamins,
essential hygiene products and more, we are committed to supporting
the health and well-being of future generations.
Through our charitable partnerships, we aim to lead by example andbe a catalyst for others to do good. To maximize our impact, we createdseveral initiatives that our team members, customers, patients, suppliers
and local communities are empowered to support. These programs generate
enthusiasm, increase team member satisfaction and engagement and build
customer loyalty.

Partnerships Directory
WBA partners with many organizations to further drive access to healthresources and services to communities the Company serves across theglobe. These partnerships help support research and care for different
disease states, disease prevention, as well as drive greater access to various
healthcare resources and services. WBA partners with organizations bymaking product and monetary donations, helping with fundraising efforts
and creating resources with these partners to further their causes.

Environmental, Social and Governance Report 2023

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Disease State Partnerships
European Organisation For Research and Treatment of Cancer(EORTC)EORTC is an independent, non-governmental, non-profit cancer researchorganization. Over the past decade, WBA has supported EORTC in building
and developing the SPECTA platform into the leading pan-European
translational research infrastructure. In October 2022, we announced the next
phase of our partnership with EORTC, which is a goal to raise €1.8 million($1,906,000) in support of the E²RADIatE platform, aimed at defining optimalradiation oncology treatment strategies and interventions that can become
the new standard of care for patients through the performance of clinical trials.

Healthy Planet

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Appendices

Fundación Alma, Mexico
During fiscal 2023, Farmacias Benavides, WBA’s retail pharmacy chain in
Mexico, continued to raise funds for Fundación Alma, a charity that supports
uninsured or under insured women living with cancer through funding forreconstructive surgery, prosthetics, psychological assistance and other aid.
Since 2014, Farmacias Benavides has raised more than 8.9 million Mexican
pesos ($481,000) for Fundación Alma. On October 16, 2022, Farmacia
Benavides sponsored its annual Rose Fuerte race to raise money for
Fundación Alma. The race helped to raise 956,600 Mexican pesos ($52,000).
As of Aug. 31, 2023, Benavides has helped fund more than 176 reconstructive
surgeries and more than 1,331 prostheses through its partnership with
Fundación Alma.

Baan Gerda, Thailand
For more than a decade, Boots Thailand has supported Baan Gerda,
a nonprofit that supports children and orphans infected with HIV acrossThailand. In fiscal 2023, Boots Thailand raised over 1 million Thai baht($29,000) from customers via donation boxes across Boots stores inThailand and Boots products for Baan Gerda.

Look Good Feel Better

Thailand’s National Cancer InstituteSince 2016, Boots Thailand has worked in partnership with the National
Cancer Institute (NCI) to provide underprivileged individuals with specialist
cancer care, education and resources. In 2023, Boots Thailand donated over1 million Thai baht ($29,000) raised during the No Plastic Bag campaign forNCI to help procure medical equipment for treating cancer patients.

Environmental, Social and Governance Report 2023

Walgreens partnered with the Look Good Feel Better Foundation andcommitted $20,000 to the foundation to help individuals in cancer treatment
find confidence, normalcy and community through in-person and virtual
programs. Walgreens sponsored free workshops, webinars and at-homeprograms that ran from November 2022 through February 2023. They offeredlessons on skin and nail care, wigs and turbans, cosmetics, accessories
and personal styling – all with the goal of helping cancer patients regain
confidence and to focus on becoming survivors. 15,000 patients,
survivors and supporters participated in these workshops.

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AppendicesCystic Fibrosis Foundation
Walgreens continues to support the Cystic Fibrosis Foundation in the
pursuit of its mission to find a cure for the disease and advance high quality,
specialized care for the CF community. In 2017, Walgreens became the soleowner of Cystic Fibrosis (CF) Services, a specialty pharmacy for CF patientsand their families after the Cystic Fibrosis Foundation sold its ownership staketo Walgreens.

Dementia — Understand Together, Republic of Ireland
Boots Ireland has partnered with Dementia — Understand Together since
its launch in 2016. Understand Together is a public support, awareness andinformation campaign aimed at inspiring people from all sections of society
to stand together with the 500,000 Irish people whose families have been
affected by dementia. Boots Ireland aims to make its 94 stores across thecountry dementia-inclusive so people living with dementia can remain partof their own community, maintaining a better quality of life for longer. Boots
Ireland developed a dementia awareness e-learning module to upskill
team members. To date, 90 percent of Boots Ireland team members
have completed the module.

Donate Life America
Walgreens continuously partners with Donate Life America to raise money
and awareness around the importance of organ, eye and tissue donation
and becoming a donor.

Global Healthy Living Foundation
In July 2023, Walgreens announced its latest collaboration with the
Global Healthy Living Foundation (GHLF), in which we partnered with
GHLF to host a virtual health series to promote healthier living andprovide attendees with helpful resources and tips for managing theirhealth conditions. Speakers focused on everyday life areas like eating
well, staying active, managing stress, keeping up with vaccines andremembering to take prescribed medications.

Pancreatic Cancer Action Network
Walgreens continues to be a corporate partner of the Pancreatic
Cancer Action Network, which works to connect patients and healthcare
professionals to pancreatic cancer resources and improve outcomes.

Environmental, Social and Governance Report 2023

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Access Partnerships
United Nations Foundation, Get a Shot. Give a Shot.
WBA continues to support the United Nations Foundation (UNF) and its work
to increase access to vaccinations and primary care. From December 2022 toJanuary 2023, UNF and UNICEF focused on increasing vaccinations amongchildren in locations including Iran, Togo, Malawi, Zambia and others. Throughthis program they were able to deliver over 950,000 measles vaccinations
and 10 million polio vaccinations.

Mental Health America
Walgreens continues to partner with Mental Health America (MHA) to provide
resources for team members and the communities we serve. In fiscal 2023,
Walgreens partnered with MHA to launch a Back-to-School toolkit, which
provides a range of resources for parents, students, teachers, caregivers
and school personnel.

Congressional Black Caucus Foundation
and Congressional Hispanic Caucus Institute
In fiscal 2023 Walgreens hosted flu shot clinics in Washington, D.C. at theCongressional Black Caucus Spouses Community Breakfast and Health Fair
during the CBCF Annual Legislative Conference and at the Congressional
Hispanic Caucus Institute Leadership Conference.

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National League of Cities
Walgreens has partnered with the National League of Cities,
an organization comprised of city, town and village leaders that arefocused on improving the quality of life for their current and future
constituents. In fiscal 2023, Walgreens hosted a flu clinic at one of theirevents designed to educate attendees from city governments about
accessing the vaccines for their communities.

Woodland Environment Fund, Republic of Ireland
To commemorate 25 years of Boots operating in the Republic of Ireland,
Boots worked with the Irish Department of Agriculture, Food and theMarine to plant 11 acres of trees as part of the Woodland Environmental
Fund. Approximately 12,100 native Irish trees have been planted to help
afforestation and support biodiversity in the region. The site was further
enhanced in 2023 by the creation of a wetland. Wetlands are high priority
habitats, and this new wetland will enhance the site for attracting important
invertebrates like dragonflies and damselflies, priority birds like Grey Wagtail
and Snipe, amphibians such as frogs and makes a small contribution tofloodplain restoration. During 2023, the site was used to build awarenessof biodiversity and nature restoration through videos and newslettersand also onsite training with the leadership team.

National Minority Quality Forum and Faith Health Alliance
In 2020, the National Minority Quality Forum’s Center for Sustainable HealthCare Quality and Equity launched the Faith Health Alliance. The program
was designed to gather churches and faith leaders together to help improvehealthcare access in communities of color. Walgreens is a sponsor of theFaith Health Alliance and supports the alliance with financial contributions,as well as meeting with faith leaders to help educate them on topics suchas health screenings, vaccinations, counseling and medication assistance.
Leaders are then able to educate their congregations and help increase
access to important health services.

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DISCOVER
Corporate giving data is available
in the ESG section of our website.

Governance

Healthy Communities

Healthy and Inclusive Workplace

Giving Back: Corporate
Donations andSupporting Causes

Healthy Planet

Corporate giving — cumulative since fiscal 2016
400
350
300

GRI 3-3, 201-1, 203-1, 413-1

Our corporate giving strategy is focused on donating to organizations
with health programs that align with our core business and ESG priorities,
as well as groups that work on social welfare and education issues.
The Company has strong processes and policies in place to thoughtfully
manage community investments and maximize impact. Walgreens uses
a community investment management system to promote best practices,transparency, alignment with business units, compliance and consistentreporting across the organization.
Our team members remain committed as ever to our communities.
Walgreens offered its teams a variety of opportunities to participate involunteer events anchored in health and wellness, including physical andemotional well-being and skills development. These volunteer opportunities
took place in communities, at the Deerfield or downtown offices or remotely.
The Company’s direct contributions totaled $42.4 million in fiscal 2023.
Our accumulated giving since fiscal 2016, the first year that WBA collectedcompany-wide data, totals $373.3 million. We collect and report community
data in line with the model and methodology of Business for Societal Impact(formerly London Benchmarking Group).

Environmental, Social and Governance Report 2023

250
$ (millions)Through corporate donations, fundraising and volunteering,WBA’s businesses and employees give back to the communities
where we are proud to operate. By investing in our communities,
we maintain trust and support our brands’ reputations.

AppendicesSustainable Marketplace

200
150
100
50
0

Fiscal2016

Fiscal2017

Fiscal2018

Fiscal2019
Cash

How the Company
contributed infiscal 2023

4%

Fiscal2021

Fiscal2022

Fiscal2023

Non-cash

Areas impacted by theCompany's fiscal 2023
contributions

7%

62%

Fiscal
2020

27%

8%

5%

63%

24%

Cash

HealthIn-kindSocial welfare

Employee time

Education

Management costs

Other

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Supporting causes
GRI 3-3, 203-1, 413-1

WBA’s businesses are proud to support our long-term
partner organizations through fundraising campaigns each year.
Our businesses, community affairs and corporate responsibility
teams; retail pharmacies; and business resource groups (BRGs)
consult with our community and charity partners when deciding
to participate in fundraising.
We continue to work to eradicate the growing health inequities experienced
by children, families and underserved communities. We continue to offer
options for our employees, customers and patients to show their support
for our fundraising campaigns.
Causes impacted by the Company’s fiscal 2023 contributions$32.4 million
Red Nose Day$10.9 million

Vitamin Angels$6.1 million

LLS and Komen$1.1 million

American Heart Association

Environmental, Social and Governance Report 2023

$1.5 million(£1.2 million)

The Prince's Trust$887,000(£730,000)

Macmillan Cancer Support$364,000(€343,780)

Irish Cancer Society

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Appendices

Red Nose Day
We celebrated Red Nose Day for the ninth consecutive year as the exclusive
retailer of the nationwide campaign to help end the cycle of childhood
poverty. Red Nose Day has raised more than $365 million since launchingin the U.S. in 2015. Of that total, Walgreens has raised $200 million. The
campaign has impacted the lives of 32 million children.

Vitamin Angels, Global
Since 2013, Vitamin Angels and Walgreens have partnered to improvehealth and nutrition for pregnant women and young children in need.
Walgreens donates 1 percent of retail vitamin and supplement sales to Vitamin
Angels and in fiscal 2023, reached $10.9 million in donations from vitamin
sales. In addition to supporting their global programs that reach womenand children in 65 countries, Walgreens' partnership also supports Vitamin
Angels’ domestic prenatal program, reaching pregnant women in needacross all 50 U.S. states and Puerto Rico. There are approximately 1 million
underserved pregnant women in the U.S. with limited access to prenatal
vitamins and minerals. Through the support of our partnership, Vitamin
Angels reaches 250,000 underserved pregnant women per year, across all
50 states. In 2022, Vitamin Angels and Walgreens set a partnership goal to“DOUBLE OUR IMPACT” and reach 500,000 pregnant women in the U.S.
by the end of 2024.
Originally starting in 11 locations on the South and West Sides of Chicago,
the prenatal program has expanded to increase distribution in 12 additional
markets across the U.S. There were over 1,900 voucher redemptions after
launching on June 1, 2023.
In 2023, our partnership achieved a major milestone celebrating 10 yearsof partnership and reached over 400 million women and children withlife-changing vitamins.

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AppendicesSusan G. Komen and The Leukemia & Lymphoma Society, U.S.

American Red Cross and Walgreens Hawaii Wildfires Response

Walgreens collaborates with Susan G. Komen and The Leukemia &Lymphoma Society (LLS) to enable research on tough-to-treat cancers andincrease access to care. In 2019, Walgreens pledged to contribute more than
$25 million to the two organizations over a five-year period. We are proud
to report that we exceeded that goal in fiscal 2022.

Walgreens continues to partner with the American Red Cross to help
provide products and monetary donations to help aid in natural disaster
relief and support affected communities. In October 2022, Walgreens
donated $500,000 to the American Red Cross Hurricanes 2022 Fund to help
with relief efforts following Hurricanes Ian and Fiona that hit communities
in Florida and Puerto Rico.

For the ninth year, Walgreens team members participated in the annual
LLS Light The Night fundraising events. These events took place in markets
across the U.S. with more than 5,000 team members uniting to celebrate
those who are fighting blood cancers and honoring those we have lost.
In partnership with LLS, Walgreens has 77 LLS-certified blood cancer
pharmacies as of Aug. 31, 2023, with specially-trained pharmacists helping
patients manage side effects and adhere to medications.

Macmillan Cancer Support, UK
In fiscal 2023, Boots UK raised a total of £730,000 ($887,000) for Macmillan
Cancer Support. Now in its 14th year, Boots UK’s partnership with Macmillan
Cancer Support has raised almost £22 million ($26,739,000) to support
people living with cancer, including funding a Macmillan nurse for a year. We
have over 2,600 specially trained Boots Macmillan Information Pharmacists(BMIPs) who are now accessible through selected pharmacy stores. Boots
UK’s BMIPs are estimated to have collectively conducted almost 76,000
in-store and virtual conversations and consultations in fiscal 2023. For
those unable to visit a Boots pharmacy, they can access a Boots Macmillan
Information Pharmacist online from the comfort of their home. 2023 also
marks the 10-year anniversary of Boots Macmillan Beauty Advisors (BMBAs),
and we now have 585 BMBAs who are trained to support the physical side
effects of cancer, who this year have had around 27,500 conversations
with customers.
Boots also has two pharmacists integrated into the Macmillan ClinicalAdvisory Board as Macmillan fellows. They work at Boots and also dedicate
time to work at Macmillan. Specifically, these fellows work to address
the issues of delayed diagnosis and canceled and rescheduled treatmentthat resulted from the COVID-19 pandemic.
In July 2023, Boots UK launched the Soltan Skin Safety campaign inpartnership with Carol Vorderman, a UK media celebrity, to promote key
Boots, Soltan and Macmillan messaging such as Boots new Soltan Sun Safety
Advisors across stores, the Mole Scanning Service, Ongoing Macmillan
partnership and the three 3 Cs safety tips — cream, cover and check —to help keep customers and their families safe in the sun.

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Healthy Planet

Following the devastating wildfires in Maui, Walgreens donated $25,000
worth of products to the American Red Cross to deliver to survivors of
the fires. Walgreens customers in Arizona, California, Oregon, Hawaii andWashington were also able to contribute to the American Red Cross Hawaii
Wildfires Fund by donating in-store via PIN pad, which ultimately raisedover $500,000. Walgreens also made a $100,000 donation to The Hawaii
Community Foundation Maui Strong Fund and provided an additional$5,000 worth of products to the Na Aikane O Maui Cultural Center.
In addition to donations, Walgreens was on the front lines assisting community
members affected by the fires. We were one of the first corporations to offeraid, setting up pop-up stations in Lahaina to help residents fill prescriptions,and covered all copay costs for uninsured residents through a $1 million relief
fund. We also flew in seven Hawaii licensed pharmacists from the mainland,
24 technicians and three store managers to aid Maui Walgreens pharmacists
and team members. Maui Walgreens team members directly impacted by
the fires were able to access emergency relief funds through the Walgreens
Benefit Fund.

The Prince's Trust1
Since 2019, Boots UK has worked in partnership with The Prince’s Trustto empower the next generation. Together, they support young people incommunities across the UK get into work by providing opportunities that help
young people develop their skills, confidence and self-esteem, regardless ofbackground. To date, the partnership has supported over 500 young people
through employability programs, including Kickstart, Get Into and World ofWork programs. Boots UK and their customers have also raised over £2million ($2,431,000) for The Prince’s Trust since the start of the partnership.

The Prince's Trust will be renamed to The King's Trust.

1

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The Hygiene Bank

Irish Cancer Society

Since 2020, Boots, No7 Beauty Company and The Hygiene Bank haveworked together to provide essential toiletries and personal care products
to those in need across the UK.

Boots has partnered with the Irish Cancer Society since 2012, with the aimof increasing awareness, helping support people affected by cancer andpromoting cancer prevention. Both Boots pharmacists and Boots Cancer
Beauty Advisors have been given special training to be more comfortable,
confident and helpful when providing both medical and emotional support
to people living with cancer.

With the continuous cost-of-living challenge the number of people
in hygiene poverty has risen to 3.1 million UK adults.
Supporting hygiene poverty in local communities isn’t a new mission for Boots.
In fact, soap was one of the first non-medicinal products that Jesse Boot soldbecause he recognized that basic hygiene is the foundation of good health.
Since the inception of our partnership Boots and No7 Beauty Company havedonated over 1.5 million products and have over 700 donation locations
across the UK, a number which is continually increasing.
Boots believes that every child should have access to basic hygiene
products. Boots donated over 145,000 additional hygiene essential products
to The Hygiene Bank as part of a back-to-school campaign, which directly
benefited children and their families. In Ireland, Boots partnered with Hygiene
Hub, whose goal is to tackle hygiene poverty one helping hand at a time. In
fiscal 2023 1,100 kilograms of items were donated to the Hygiene Hub anddistributed to local organizations through donations made by customers, via
in-store drop-off points, and through direct donations by Boots.

Every year, we hold the Boots Night Walk in support of the Irish Cancer
Society’s Night Nurses, who provide end of life care to cancer patients in theirhomes. The 5K walk took place on September 9, 2022, and participants could
attend at Dublin’s Phoenix Park or remotely at their chosen location. This year,
the walk raised over $108,000 equating to 276 nights of care.
Boots also supports the Irish Cancer Society during its biggest
fundraising initiative which sees thousands of volunteers selling Daffodil
Day merchandise and collecting donations, with Boots stores also selling
Daffodil Day pins. The funds go towards providing vital support services tocancer patients and their loved ones, as well as funding life-changing cancer
research. In fiscal 2023, Boots Ireland customers and team members raised$135,000 for the Irish Cancer Society’s Daffodil Day.

Boots Charitable Trust
The Boots Charitable Trust is a registered charity established in 1970
that is wholly funded by Boots UK and currently supports work acrossNottinghamshire. The Trust offers grants of up to £10,000 ($12,000) for
projects addressing health access, social care and community development.
In fiscal 2023, the Boots Charitable Trust provided £250,000 ($304,000)
of funding to 28 different projects.

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AppendicesDonations through myWalgreens
GRI 3-3, 203-1

Using the Walgreens app or online capability on walgreens.com,
customers can donate their Walgreens Cash rewards (loyalty
rewards accumulated through Walgreens purchases) to local,
regional and national nonprofit organizations. Over 19,000
myWalgreens members have donated their cash rewards
to these organizations.
Walgreens features a rotation of local nonprofit organizations each quarterto customers based on their preferred store location. This allows customers
to support a variety of causes, as well as understand the important work
these nonprofits are doing in their local area. In fiscal 2023, customers
donated more than $100,000 through myWalgreens.

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Informationand Education
GRI 3-3, 413-1

Governance

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Appendices

Preventive health services
GRI 3-3, 413-1

Through our partnerships with government agencies
and nonprofit organizations, our businesses around theworld support efforts to educate and provide preventive
care to our communities.
Here are examples of these activities during fiscal 2023:
Health access: awareness and advocacy
GRI 3-3

We continue to advocate for policies that expand prescribing authority
for pharmacists to improve outcomes and increase accessibility to care.
This includes the ability to provide clinical advice and test and treat byinitiating certain prescriptions after an administered test registers positive.
It also includes advocating for pharmacy technicians, who are often
prohibited from performing responsibilities they are qualified to do, likeadministering vaccines. Allowing pharmacy technicians to fulfill these
responsibilities will provide pharmacists more time for patient care,thus improving patient outcomes.

Dementia awareness
Boots strives to ensure its community members living with dementia
feel supported and respected in store, which is why we make our storesas dementia-inclusive as possible. To help provide a dementia-inclusive
environment, Boots UK, Boots Opticians and Boots Ireland team members
are trained in understanding the common challenges a person living withdementia may encounter in a store environment. Those with training identify
themselves with a Dementia Friends badge in the UK and a Dementia
Understand Together badge in the Republic of Ireland. As of Aug. 31, 2023,
Boots UK and Opticians had more than 19,600 team members that identify as
Dementia Friends, with one in almost every Boots store available to support
customers, and over 1,900 team members (90% of team members) in Boots
Ireland. Boots Ireland was also awarded the Business Innovation category
in the National Age Friendly awards in October 2022 in recognitionof our work on the Dementia Understand Together campaign.

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Governance

Mental health awareness
Access to mental healthcare is growing in demand in the UK
and the U.S. On average, 1 in 6 people in England (UK) and 1
in 5 people in the U.S. struggle with a mental health condition.
We are striving to meet the needs of our team members,customers and patients.
On the heels of launching a workplace toolkit with Mental Health America(MHA), Walgreens launched its Back-to-School campaign with MHA in
August 2023. MHA’s Young Mental Health Leaders Council provided
feedback on the toolkit to make it useful and applicable for students.
Co-authored and sponsored by Walgreens, the downloadable collectionof articles, expert advice and resources offer support during the often
rocky back-to-school adjustment period. The resource is also being madeavailable at the more than 800 schools Walgreens partners with throughthe Expressions Challenge Initiative.

Healthy Communities

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Appendicesmedia arts, spoken word or creative writing. Students are asked to create
something inspired by the issues and topics impacting them, such as gun
violence, gender identity, self-esteem, social justice and more. 2023's
contest brought in more than 4,500 student art submissions from teens
across the U.S. More than 25 percent of entries addressed the topic ofschool shootings, while another 30 percent of entries tackled a topic related
to mental health. This year also saw another record with more than 46,000
votes received for People’s Champ winners.
Walgreens worked in collaboration with the National Council for
Mental Wellbeing and the American Pharmacists Association to developa specialized training for pharmacy staff in mental health literacy,
understanding risk factors and warning signs for mental health andsubstance use concerns and strategies for how to help someone in bothcrisis and noncrisis situations. Walgreens completed its first phase of Mental
Health First Aid training, administered by the National Council for Mental
Wellbeing, for pharmacists in 2020. This specialized training program wasthen opened to all Walgreens pharmacy team members in fiscal 2022.
Since then, more than 1,675 Walgreens pharmacy team members haveparticipated.
Boots UK pharmacists in England receive Zero Suicide Alliance training
as part of The Pharmacy Quality Scheme within the Community Pharmacy
Contractual Framework. In addition, Boots has more than 190 teammembers in key roles who have received Mental Health First Aider training
and over 2,000 managers who have received Mental Health Awarenesstraining to better support their teammates and themselves in their roles.
Through the Boots Health Hub, we offer a range of advice and support
including access to talking therapy via SupportRoom, allowing ourcustomers to access self help tools and communicate with a therapist,
coach or mentor via in-app messaging and one-to-one video sessions aswell as access to a virtual GP via Livi.

Walgreens continues to bolster Expressions, a platform established byWalgreens to educate, empower and equip young people and theircommunity with insights and resources on issues impacting teens. Since
its inception in 2009, Expressions has engaged over 200,000 teens andpartnered with 1,200 schools across 50 states and territories. Expressions
was created to empower teen participants to use art to voice opinions on
issues most important to them. The National Institute of Health has proventhat the therapeutic benefits of artistic expression have the potential todecrease anxiety and feelings of anger and depression.
Each year, Walgreens holds the Expressions Challenge, an artistic challenge
open for high school students to submit art in four categories for the chance
to win a monetary prize. Students can submit an entry for either visual arts,

Environmental, Social and Governance Report 2023

Boots Ireland continues to partner with See Change — The National Mental
Health Stigma Reduction Partnership. Eleven line managers received
training during fiscal 2023 in a Line Manager Mental Health workshop as
part of the See Change’s Workplace program, and 40 of our team members
attended a ‘Living with Mental Health’ session delivered by See Changeambassadors as part of Learning At Work week. Boots Ireland has proudly
supported the Green Ribbon campaign by promoting it to both customers
and team members across the country and was delighted to sponsor 10,000‘positiviTea’ packs to help promote National Time To Talk Day, which takes
place in September, a day designed to encourage all to take some time tocheck in on team members and friends. More than 38,000 green ribbons
were available to customers throughout all 94 Boots stores throughout
Ireland, which supported and promoted conversations on mental health.

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Supporting survivors of domestic violence

Smoking cessation

Boots continues to participate in the Ask for ANI campaign,
which allows those at risk or suffering from abuse to discreetly
signal that they need help and to access support. ANI is a code
word for “action needed immediately.” By asking for ANI, a
trained pharmacy team member will offer a private space to theperson and discuss whether they need to speak to the police
or would like help accessing support services such as nationalor local domestic abuse helplines. The scheme has been
introduced to complement the Safe Spaces initiative by the crisis
charity Hestia and its UK SAYS NO MORE campaign.

GRI 3-3

Since Boots launched the Ask for ANI campaign in partnership with
the Home Office in the UK in 2020, we have supported many people
experiencing domestic abuse through the scheme. The training is required
for all new pharmacy team members and the scheme is available at all Boots
pharmacies as well as in other community pharmacies.
Boots Ireland operates a similar campaign that initially began in 2020 amid
COVID-19 with Safe Ireland, a national social change agency. This campaign
has now been extended into a nationwide initiative by the Irish Pharmacy
Union, and Boots is now part of the Safe Pharmacy program, offering a safe
space in our pharmacies where persons experiencing domestic abuse canget access to a phone and contact details for local support services.

Environmental, Social and Governance Report 2023

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WBA is committed to our pharmacy services playing a role in helping people
quit tobacco. Walgreens and Boots pharmacists are trained to support apatient’s attempt to quit, and Boots offers a private Smoke Less service
as well as an NHS-commissioned service in some locations. In England,
Boots provides those referred upon leaving the hospital with a national NHS
commissioned service that supports patients to stop smoking. We also offer
digital support tools in addition to prescription and over-the-counter products.
Walgreens continues to offer a quit smoking page which provides resources
to help patients to find the expert tips, treatments and tools they need tostop smoking.
More than 483 team members completed a stop-smoking program during
fiscal 2023. The program includes a personalized plan, talking to a trained
pharmacist and receiving free nicotine replacement therapy patches or gum.
Walgreens has continued its policy of deemphasizing tobacco products
and does not sell e-cigarettes. We require age verification from anyone
purchasing tobacco products in our U.S. stores and maintain a zero-tolerance
policy prohibiting the sale of tobacco products to those under 21. Store teammembers are trained on this policy, and any team member violating the policy
is subject to immediate termination.

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Prescription
MisusePrevention
GRI 3-3, 203-1

Governance

Healthy and Inclusive Workplace

Healthy Communities

Walgreens maintains a Good Faith Dispensing policy, which provides thefoundation for our pharmacists to understand their roles and responsibilities
when dispensing prescriptions for controlled substances. This policy requiresa pharmacist to evaluate the patient, prescriber, drug, applicable law andsurrounding circumstances prior to making an appropriate professional
decision whether to dispense a prescription for a controlled substance.
Walgreens supports our pharmacists’ right to refuse to fill controlled substanceprescriptions in accordance with their corresponding responsibility, if, among
other reasons, prescribers do not provide sufficient supporting information.

Appendices

Walgreens continues to participate in the U.S. Drug Enforcement
Administration’s (DEA) National Prescription Drug Take Back Day, held
twice a year, when select Walgreens stores throughout the country serveas collection points for law enforcement to collect unwanted, unused or
expired medication for safe disposal.
Boots UK has developed and launched Patient Safety First materials on
opioids for its pharmacy staff. The learning modules focus on compassionate
care practices and help our team members understand substance misusefrom a holistic perspective while learning to recognize the symptomsof those who may be abusing.
The following are updates on our progress on ongoing initiatives
to combat prescription drug abuse in the U.S.:

SAFE MEDICATIONDISPOSALLIFESAVING OPIOID OVERDOSE
NARCAN® SPRAY

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Prescription misuse prevention is a priority for our pharmacy staff. Our status as a leader in the retail pharmacy industry and our expansive reach acrosscommunities allow us to play a significant role in addressing the opioid epidemic. The WBA board of directors continues to oversee our managementof risks related to the dispensing of prescription opioid medication and our multimillion-dollar effort to help combat overdose-related deaths.

Walgreens supports Centers for Disease Control (CDC) recommendations byeducating patients about naloxone, a lifesaving overdose antidote, when they
are dispensed high doses of certain prescription opioids and may be at riskof accidental overdose.

In fiscal 2023, Walgreens announced
it is taking an important step to increase
access to and education around naloxoneby announcing that over-the-counter (OTC)
NARCAN® Nasal Spray will be available at
Walgreens stores and online starting on
Sept. 5, 2023, with nationwide availability
on Sept. 7. To educate the public on how to
use this lifesaving nasal spray, Walgreens
is working with End Overdose, a non profit
organization dedicated to ending drug-related
overdose deaths through education, medical
intervention and public awareness.

Healthy Planet

NEARLY
1,550
safe medication
disposal kiosks
in Walgreens
locations

2.4M+
take-home safe
medication
disposal kits
shipped to stores
since May 2019576 METRICTONNESof unwanted
medication safety
disposed of in
fiscal 2023

TIME DELAY, HIGH-SECURITY
PHARMACY SAFES

2,468 METRICTONNESof unwanted
medication safely
disposed ofsince 2016

ALL
U.S. stores havesafes installed.

SIGNIFICANTLYREDUCED
pharmacy robberies
and burglaries andimproved teammember safety.

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Our Targets
In fiscal 2023:
WBA International:
Maintain baseline ofwomen in leadership fromfiscal 2023. Exceeded.

Walgreens: Increase
women in leadershipby 2.1 percentage points
over previous year’sbaseline. Exceeded.

Walgreens: Increase
representation of people
with disabilities acrossthe company by 0.7
percentage point overprevious year’s baseline.
Exceeded.

Walgreens: Increase
people of color by 0.7
percentage point overprevious year's baseline.
Partially achieved,
0.5 percentage point.

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A Letter From...

Sal Venegas
Interim Chief Human Resources Officer
In a world where we face unprecedented challenges, one thing could not be more certain. Our people are our greatest asset.
Therefore, it goes without saying that their health and safety is at the very top of our list of priorities. While our pharmacists andother team members in stores, laboratories, across our supply chain and in our support offices serve patients’ and consumers’
needs globally around the clock, we are totally committed to providing them with a healthy and safe workplace. We have listened
to thousands of team members and experts, and I am delighted that this year we can share important updates on new andexisting initiatives to do all we can to make our workplace a healthy, safe and inclusive one.
Our 331,000 team members are as diverse as the consumers they
serve, so we place enormous pride on ensuring that the support that
we offer represents their needs. Recognizing the importanceof a richly diverse workforce and an inclusive culture remains central
to our strategy, and as a responsible employer, we reimagined our
Employee Assistance program, provided new mental health support,
and for those who have felt the effects of the cost-of-living crisis
the most, made extra support available to working parents who
have needed us to show up for them. The recognition from globalorganizations that Stefano and Tim mentioned earlier reassures us allthat we are on the right track, but we will not stop there.
Our commitment to health equity is embedded into our culture ofinclusion, providing a guiding force that keeps us on track. I am thankful
to our partners and dedicated team members for their remarkableparticipation in our This is Me self-identification program which enables
us to better understand our people’s diverse needs, build connections
through similarities and find strength in our differences.

I am excited to share our progress, where we continue to strive tocreate an environment where our team members can be their own
authentic selves, providing additional levels of support, personallyand professionally.
Our team members play an active role in making these commitments
come alive, such as the Boots and Walgreens teams supporting
LGBTQ+ communities with new guidance, pronoun badges at Boots,
and for all our team members in the U.S. by breaking the Guinness
World Record for ‘most online guided meditations in 24 hours!’
Throughout our history, knowledge, learning and development haveunderpinned our growth. Continuing to invest in our amazing teamremains our utmost priority. Our business relies on their excellent
support for our customers and patients and we are committed toremaining at the forefront of empowering the next generation ofhealthcare and pharmacy leaders and professionals.

In fiscal 2023, we also saw the continuous growth of our thriving
BRGS, a global network of 24 BRGs and over 6,200 team members.

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Employee
Health, Safety
and Well-Being
GRI 2-26, 3-3, 401-2, 401-3, 403-1, 403-2, 403-3, 403-4,
403-5, 403-6, 403-7

Governance

Healthy Communities

Healthy and Inclusive Workplace

An undeniable correlation exists between employee wellness anda business' overall health. Health, safety and well-being are core
to WBA’s purpose and heritage to inspire more joyful lives throughbetter health. We recognize that each of our team members has
their own needs, challenges, hopes and dreams. We have createda workplace where team members feel supported, respected
and celebrated for being their authentic selves.

Workplace safety

Healthy Planet

Sustainable Marketplace

Appendicesand organized stockroom and lowering product stored in the stockroom.
Stores can effectively reduce the risk of an incident occurring and achievea safety focused stockroom environment.
Walgreens has programs in place to support customers and team members
through incident management. Our Customer Care Advocate Program
proactively offers support to customers who have reported an in-store
incident. Our Nurse Triage Program is an upstream process for teammembers that provides timely quality care following a workplace injury.
Through the service, team members with workplace injuries can call andspeak to a registered nurse to determine the appropriate first level of care.

GRI 2-26, 3-3, 403-1, 403-2, 403-3, 403-4, 403-5, 403-7

WBA encourages open dialogue and constructive feedback from ourstakeholders, including employees, to help ensure we achieve best practices.
We also require all segments, businesses and corporate functions to haveformal governance processes in place for health and safety matters in theoperations for which they are responsible. Please see page 16 for how
we have engaged with priority stakeholders.
To create a safe and productive workplace, employees across ourbusinesses are provided with avenues to report questions or concerns,
including contacting management; calling a toll-free, confidential hotline;
submitting an online report; contacting the Compliance Officer or department
and/or contacting human resources.
The safety of our employees is of the utmost importance to WBA. As such,
we routinely look for ways to prioritize safety and education trainings.
In fiscal 2023, Boots UK continued evolving our digital incident reporting
management system. We consolidated two third-party management systems
that managed different parts of the business into one, all-encompassing
system. This has helped to streamline the data collection process andmakes action against incident reports more effective.
In Boots stores, routine safety inspections enable a real-time view ofcompliance. This program continues to develop, and plans to simplify it
to be more practical and effective are being developed.
Boots UK is working with Primary Authorities to gain assurances aroundworkplace safety. Working alongside Primary Authorities has helped Boots
to review existing safety protocols and to work towards the developmentof new pieces of assured advice.
Maintaining a safe stockroom environment helps protect our Walgreensteam members, which is the reason for implementing our Safety Focused
Stockroom program. This program prioritizes maintaining a clean, neat,

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Employee health and benefits

WBA's comprehensive benefits packages are designed to support thefinancial, mental and physical well-being of employees and their families.
Our businesses continuously evaluate their benefits and well-being offerings
through measurement of utilization, cost modeling, competitive benchmarking
and annual team member surveys. Additionally, the board of directors
provides oversight of human capital matters with responsibility for
general oversight of compensation and benefits programs.

In the UK, Boots and No7 Beauty Company became the first health andbeauty businesses to achieve a Menopause-Friendly Employer Accreditation.
We were recognized for our approach to raising awareness, breaking down
stigma and building confidence on menopause in the workplace. This has
included training for individuals and managers, updated policy and guidancenotes, developing a support network and the business covering the costof HRT for those who chose to access it.

For full-time U.S. employees, Walgreens offers healthcare coverage,
insurance benefits and access to Life365 Employee Assistance Programs(EAP) and Be Well Connected, as well as paid parental leave, paid leave andpaid time off. Walgreens also offers robust Financial Well-Being programs
that include a 401(k) plan with company match and a stock purchase plan.
Continuing from the offering’s introduction last year, team members enrolled
in a Walgreens Health Plan were offered a new consolidated benefit
program through Vida Health, which matches participants with a healthcoach or therapist to help make lifestyle changes for a happier, healthierlife. Dependents of those enrolled in the Health Plan also receive accessto select benefits.

Beyond Walgreens, Boots UK and Boots Opticians, we continue to offer avariety of support services to team members around the world. For example,
in Alliance Healthcare Germany, all team members were again offered flu and
COVID-19 vaccinations.

Boots UK and Opticians offers a range of benefits to full- and part-time
employees, including EAP, loyalty awards, pension programs, life insurance
options and paid time off. In addition, using a flexible program, team members
can personalize voluntary benefits across health and well-being, travel,
lifestyle and financial categories. Other international WBA businesses,
including Thailand, also utilize EAP.

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Appendices

All of WBA’s businesses offer robust benefits and well-being programs
and, where applicable, healthcare for employees at the national, state or
regional level, because plan design, coverage laws and regulations varyby country, state or local level. Here, we will cover three of our largest
employers: Walgreens, Boots UK and Boots Opticians, which together
account for approximately 87 percent of our 331,000 employees.

Part-time Walgreens employees in the U.S. are eligible for several benefits,
including 401(k) with employer match, Prescription Savings Club, annual flu
shots, Be Well Connected, Life365 EAP and others.

GRI 401-2 required disclosures are within the Deloitte& Touche LLP review scope as detailed on pages 119-120.

Sustainable Marketplace

To support our goal of Health Equity, Walgreens launched a new virtual
primary care provider service in fiscal 2023. The program expands our healthcare ecosystem to ensure team members living in "care deserts" have accessto primary care providers. Many of these underserved populations include
traditionally Black, brown and rural communities. The new service is deliveredby Transcarent 98point6 and expands access to virtual primary care doctors
for those individuals without consistent access to in-person primary caredoctors. So far, there have been more than 4,200 interactions with steadymonthly increases between patients and doctors following the programs
launch in mid-fiscal 2023.

GRI 3-3, 401-21, 403-6

1

Healthy Planet

A new offering for 2023 was the development of a LGBTQ+ benefits guide for
all Walgreens employees. Walgreens Total Rewards Team created the guideto give team members an overview of the benefits that are typically importantto the LGBTQ+ community. This includes PrEP treatment and therapies, family
forming benefits and new innovations in health plans, among other benefits.

Supporting working parents
GRI 401-3

WBA prioritizes benefit offerings that allow team members to succeed bothat work and at home. In many cases, that means making space for family.
Both Walgreens and Boots offer competitive parental leave benefits
regardless of gender and inclusive of adoption and surrogacy.
In fiscal 2023, Walgreens made updates to their family forming benefits.
For fertility treatments, coverage was doubled from $25,000 to $50,000,
and the requirement of a ‘medically necessary’ diagnosis was removed.
A new offering this year includes surrogacy and adoption support.
Employees can receive $10,000 to cover costs of surrogacy or adoption.
Following a successful launch of the WBA Parenting/Caregiver businessresource group (BRG) in 2022, the group grew in fiscal 2023 to provide
communication and support for parents and caretakers across the network.
More information about the initiatives taken by the Parenting/Caregiver
BRG can be found on page 67.

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AppendicesMental health support for employees

Supporting employees in crisis

GRI 103-2, 103-3, 403-5, 403-6

GRI 403-5, 403-6

At WBA, we know that living a full, productive life depends on more thanour physical health – caring for our mental health is essential. We strive tofoster a workplace where every team member is supported and celebrated
for being their authentic self, is treated with dignity and respect and hasaccess to tools, resources and support for their well-being. We are focusedon building a culture defined by empathy, compassion and authenticity.

We recognize that many crises have financial impacts which have a direct
impact on the quality of life of our team members. Supporting team members’
financial health through their crisis greatly impacts their overall well-being,
including the need to mitigate stress and enable healthy choices.

In 2023, Walgreens expanded access to JourneyLive, an organization thatprovides resources and tools to support individuals on their mental healthjourneys. The program can now be accessed by all employees and thosein their direct ecosystem. This expansion was made to help employees andalso the people in their lives to symbiotically live happier, healthier lives.
Boots UK’s Mental Health First Aid training program continued in fiscal 2023
following its expansion to critical roles last year, which included pharmacy
support and supply chain management. In fiscal 2023, the program was alsorolled out fully in Boots Ireland with 60 trained Mental Health First Aiders.
Boots UK also delivered Mental Health In the Workplace awareness training
to over 2,000 managers in fiscal 2023, including managers in stores, supply
chain and support office. This training increases the confidence and capabilityof our leaders in respect of mental health and many delegates have reported
how the training has enabled them to better support team members.

The Walgreen Benefit Fund in the U.S. and the Boots Benevolent Fund in the
UK — both of which are non-profit entities and funded by charitable donations— assist current team members and retirees experiencing financial hardship.
During its fiscal year ending April 30, 2023, the Walgreens Benefit Fund
provided $2,713,535 in aid to over 1,922 applicants. The Boots Benevolent
Fund supported 241 employees with over £225,000 ($273,000) in grants
and interest-free loans for fiscal 2023 as of Aug. 31, 2023.

Walgreens, Boots UK and Boots Ireland continued to put emphasis onbuilding specialized expertise around mental health through expansion of
Mental Health First Aid training. The Walgreens program, in partnershipwith the National Council for Mental Wellbeing and American Pharmacists
Association (APhA), is a four-hour continuing education accredited course,which approximately 1,675 Walgreens pharmacy team members havecompleted to date.
To encourage engagement with team member resources and continue
reducing stigma around mental health, both Walgreens and Boots deployedawareness and prevention campaigns throughout the year. In May 2023,
Walgreens hosted a program for Mental Health Month in partnership with
Journey Live. As a part of the campaign, Walgreens facilitated an online
meditation event that broke the Guinness World Record for the “most views
for an online guided meditation video in 24 hours on a bespoke platform.”
A total of 14,460 Walgreens employees viewed the online guided meditation
video on May 22, 2023, earning Walgreens an official world record title.

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MORE INFO
For more information about
our supplier diversity efforts,
please see page 90.

Governance

Healthy Communities

Healthy and Inclusive Workplace

Diversity, Equity
and Inclusion
GRI 2-7, 3-3, 405-1, 413-1

Our global diversity, equity and inclusion strategy

Healthy Planet

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Appendices

Ranked 46 on the 2023 Fair360 (formerly DiversityInc)
Top 50 Companies for Diversity (Walgreens)2023 Seramount Top Companies for Executive Women

2023 NOD Leading Disability Employer

GRI 3-3WBA’s business, which includes more than 331,000 employees in ninecountries, consists of team members with a wide array of backgrounds,
cultures, experiences, insights and perspectives. It is our goal to ensure
our people feel safe and secure while being able to live their most authentic
lives as WBA employees. Our mission is to attract, develop and engage
employees and partners who reflect the diverse customers and communities
we serve. We believe diversity should be at the forefront of our work andit is a core driver of success for our businesses.
Expanded from fiscal 2022, our global DEI strategy is now centered onfour pillars: 1) building talented and diverse teams, 2) understanding ourenvironmental and social impact, 3) building inclusive brands and services,
4) and continuously learning.
During fiscal 2023, we put great effort into focus areas like leadershipaccountability and transparency in building talented and diverse teams,
the expansion of our business resource groups (BRGs), driving andenhancing supplier diversity initiatives and ongoing organizational
learning and awareness.
In fiscal 2023, Boots and No7 Beauty Company created a combined
Boots and No7 Beauty Company DEI Steering Committee. This change
reflects a new, “stronger together” business structure and integrated
DEI strategy. The new steering committee includes leaders from bothcompanies and seeks to integrate a comprehensive DEI strategy.
Our DEI efforts in 2023 were a success. Not only is our workplacestronger and more inclusive, but we have also received awards andrecognition, including:Awarded Disability:IN’s Employer of the Year for 2023.
Also, scored 100 percent for the seventh year in a row froma joint initiative of Disability:IN and the American Associationof People with Disabilities (Walgreens)

Environmental, Social and Governance Report 2023

2023 Seramount Inclusion Index – Pinnacle Index Company
Placed 139th in the Stonewall Workplace Equality Index (UK)for LGBTQ+ inclusion (Boots and No7 Beauty Company) andreceived a Bronze Award in the Global Index
The Pride Alliance UK BRG was shortlisted in the top 10
nominations for ‘Outstanding LGBTQIA+ Network of the Year’at British Diversity Awards in London and was a finalist for
Network of the Year at the British LGBT Awards
Boots and No7 Beauty Company was a finalist in the Menopause
Friendly Employer Awards for Best Training Initiative andBest-Trained Workforce

Fiscal 2023 workforce DEI goals
WBA International: Maintain baseline of women in leadershipfrom fiscal 2023. Exceeded.

Walgreens: Increase women in leadership by 2.1 percentage
points over previous year’s baseline. Exceeded.
Walgreens: Increase representation of people with disabilities
across the company by 0.7 percentage point over previous year’sbaseline. Exceeded.
Walgreens: Increase people of color by 0.7 percentage point overprevious year's baseline. Partially achieved, 0.5 percentage point.

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Governance

Leadership accountability model
At WBA, we believe all levels should be held responsible for developing aculture of inclusion. As such, we’ve tied certain ESG targets to compensationas part of our leadership accountability model. For more information on thesecompensation policies, please see our Proxy statement.

Diverse Advocate Program
Our leaders are equipped with the tools to develop and grow talent. We also
ensure that these leaders are fully engaged in the mentorship of individuals
at all levels across the business.
In fiscal 2022, Walgreens launched the Diverse Advocate Program pilot.
This program was designed to strengthen diverse representation in the
management-level talent pipeline through both mentoring and sponsorship.
Following the success of last year’s pilot program, in fiscal 2023, we fullylaunched the Diverse Advocate’s program at scale. A total of 45 leadersand 45 individuals across the business participated in the program.
Following a successful pilot in fiscal 2022, in fiscal 2023 Boots and No7
Beauty Company rolled out a reverse mentoring program for senior leaders.
By partnering them with a volunteer mentor from one of the businessresource groups, they share personal experiences, learn together and partnerin bringing about change, thus enabling an improved culture of diversity,
equity and inclusion.

Disability inclusion model
GRI 3-3, 413-1

Disability inclusion remains an increasingly important topic at WBA, andwe are doing everything possible to create a safe, inclusive and accessible
environment with the idea that not everybody works in the same way.
Walgreens continues to work with community organizations and vocational,
state and local agencies to support two signature programs helping increase
career opportunities for people with disabilities: Retail Employees with
Disabilities Initiative (REDI) and the Transitional Work Group (TWG).

Healthy Communities

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As part of the TWG program, Walgreens also provides a 13-week training
program by matching participants with job coaches using a combinationof classroom work and on-the-job training to prepare participants to become
temporary hires. Following the training program some participants are eligible
to become permanent team members at up to 13 Walgreens distribution
centers or regional warehouses across the U.S.
In fiscal 2023, Walgreens partnered with Neurodiversity in the Workplace(NITW), an organization which designs plans and programs for companies torecruit, attract, hire and retain neurodiverse talent. In fiscal 2023, Walgreens
hired its first cohort of program participants and is eager to see this program
continue to feed into the talent pipeline.
Walgreens was honored to be recognized as Disability:IN’s 2023 Employerof the Year following seven consecutive years of recognition from Disability:IN
and The American Association of People with Disabilities with a 100%
score on its Disability Equality Index. Walgreens has always placed a highimportance on disability inclusion with programs like REDI and TWG as wellas with partnerships with organizations like NITW and Turning Pointe Autism
Foundation. We look forward to continuing our disability inclusion efforts
and will actively seek out opportunities to expand our efforts.
In fiscal 2023, WBA launched a new Self-ID campaign entitled “This is Me.”The campaign was designed to encourage team members to voluntarily andconfidentially self-identify a disability, sexual orientation, gender identity andother self-identifications. Self-identification information helps us understandour workforce better – it informs our programs, services and benefits andhelps us create a more inclusive and accessible workplace in which everyone
has the opportunity to reach their full potential.
First introduced in July 2022 by Boots and No7 Beauty Company,
in FY23, we continued to develop the Workplace Support Passport tosupport conversations between team members and managers about
disabilities, medical conditions, impairments or other key life stages suchas transitioning, menopause or managing caring responsibilities. The
Passport has helped facilitate conversations between team members andmanagers about the adjustments we can make to ensure that everyone isequipped to carry out their role. Once the Passport is in place, it stays witha team member for as long as is relevant, making it easier to retain theiradjustments if they have a new manager.

Through REDI, Walgreens provides people with disabilities a three- to
six-week in-store training program. As part of the training, participants learn
valuable retail and customer service skills, qualifying hundreds of potential
employees for roles at our stores. In fiscal 2023, Walgreens rolled out thisprogram to more stores, bringing the number to 682, which has led to2,400 total participants since the project’s inception.

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GovernanceHelping young people from all backgrounds
gain professional experience
GRI 3-3, 413-1

WBA partners with numerous organizations, schools anduniversities to help provide meaningful job opportunities for young
people and support pharmacy training for students from diverse
backgrounds. Young people are the future and are essential
to the continued transformation and growth of our company.

Empowering Diverse Young Professionals
Boots and No7 Beauty Company are working with Black Young
Professionals network to highlight opportunities on their Support Officesite with the aim of increasing representation of Black talent, where thedata suggests our current representation could be more reflectiveof the communities in which we work.

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Walgreens Diversity Donation
During fiscal 2023, Walgreens awarded $8,475,000 in scholarships for pharmacy students at 132
schools. The awards range from $5,000 to $10,000. The goal of the Walgreens Diversity Donation
program is to support pharmacy schools that are intentionally working to provide underrepresented
minority students with positive and supportive educational experiences while partnering to increase
the overall enrollment of underrepresented minority students in the professional pharmacy program.

Boots UK and The Prince’s Trust
Since 2019, Boots UK has worked in partnership with The Prince's Trust to support young people
in communities across the UK, developing their skills, confidence and self-esteem, regardless ofbackground. To date, we have supported 500 young people through employability and insightopportunities. In fiscal 2023, Boots and The Prince's Trust supported 119 young people, including
76 young people who took part in Get Into programs, with 42 progressing into paid work. Boots
has also raised £1,198,000 ($1,456,000) for The Prince’s Trust this year.
Through a long standing partnership with Sudbury Prison, Boots has given employment
opportunities to 313 serving prisoner in our warehouse operations to date.
Boots UK and Speakers for Schools
Boots focused on tackling employability and generating a talent pipeline through education
programs that intercept young people at pivotal moments in their career journeys. Working withsocial mobility charity, Speakers for Schools, Boots had thousands of interactions with young people
across 64 schools focused on guiding them toward future-forward careers. In fiscal 2023, Speakers
for Schools offered a virtual meeting for parents and caregivers who play a significant role in guiding
young people through their career choices and outlook.
Business in the Community: World of WorkIn the Republic of Ireland, the Boots World of Work program hosts a series of workshops throughout
the academic year for students who are at risk of leaving school early. These workshops offer an
introduction to what it is like to work for Boots, and included sessions on sustainability and livinga healthier lifestyle. The program is currently active in eight schools across the country, and165 students completed the program over the 2022-2023 school year.

Skills for Chicagoland’s Future
For the ninth year, Walgreens continued to support Skills for Chicagoland’s Future, a nonprofit
organization helping tackle unemployment and underemployment in Walgreens’ home city of
Chicago. As part of its partnership, Walgreens has committed to a strategic recruiting relationshipto connect the unemployed to opportunities at Walgreens.
As of Aug. 31, 2023, Walgreens has hired more than 200 people in various store positions acrossthe Chicago area through the partnership. This includes a number of pharmacy tech apprentices
Walgreens helped to train and mentor through Skills’ Beyond the Diploma: Pivot to Success program.

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MORE INFO
Read more about our supplier
diversity efforts in Marketplaceon page 90.

Governance

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

Appendices

Environment and social impact

Continuously learning

A new core pillar of our DEI strategy is around environmental and social
impact. At WBA, we are working to more fully understand the intersectionof people and the environment and where we can fit in to support both. As
we continue to explore where WBA can make the most impact, we anticipate
developing a more comprehensive list of goals, programs and initiatives tosupport this effort. To read more about our environment and social impact
work, please see the Healthy Communities section of this report.

WBA continues to develop new training and development opportunities
for employees on issues related to DEI. As new topics arise, we want toensure employees are equipped with the knowledge to act inclusively
at work and beyond.

Inclusive brands and services

In fiscal 2023, Boots and No7 Beauty Company extended their reverse
mentoring program, ‘Inclusion in Action Partnership Programme,’ helps toconnect leaders within the business with members of our BRGs with the aimof creating partnerships whereby they can share personal experiences, learn
together and partner in bringing about change, thus enabling an improved
culture of diversity, equity and inclusion. Since the program launched, it has
been able to connect more than 40 senior leaders with a BRG mentor.

WBA seeks to create inclusive brands and services that are accessible.
By working with key partners and listening to the needs of employees andcustomers, we continually develop new opportunities to create inclusive
brands and provide services that are adaptable and accessible.
In 2023, we:Released new pronoun badges for team members at No7, Bootsand Liz Earle in Boots stores. This allows team members toproudly display their pronouns so that they can be addressedin accordance with their gender identity and creates a safe andinclusive environment for our customers and patients.

Working with Purple Tuesday, we conducted an accessibility
audit of 64 products across our health and beauty ranges tounderstand the strengths and challenges for disabled customers.
We’ll use these insights to create guidance and training for ourteams to continually improve our offering.

To provide leaders with the tools to succeed when developing an inclusive
culture, in fiscal 2023, Boots and No7 Beauty Company introduced a suite of
new DEI learning modules on Learning Hub. This covers key aspects of DEI
such as equity, empathy, privilege and allyship and specific modules suchas menopause and disability fundamentals.

After the success of Boots’ award-winning HUG (Hello, Understand, Go theExtra Mile) customer service training in 2018, we introduced HUG Inclusion.
This program extension has had a particular focus on disability with thee-learning helping store employees explore how they can create a more
inclusive shopping environment for all.
Walgreens expanded its disability inclusion and representation programs, withthe launch of a Support Center program to recruit and retain neurodivergent
talent in partnership with industry-leader Neurodiversity in the Workplace.
In support of this new initiative, Walgreens hosted Lunch and Learn sessions
to bring greater awareness and understanding of neurodiversity and tosocialize the new hiring initiative with support center people managers andthe HR community. Over 150 employees attended the three sessions withrepresentation from the U.S. Retail Pharmacy and U.S. Healthcare segments.

Improved training for B-Hive teams on inclusive and accessible
content creation to better reach and connect with a wider, morediverse audience in an authentic and inclusive way.

Boots partnered with RangeMe, the leading online platform thatstreamlines new product discovery between brands and retailers,to enable new, emerging and diverse brands to access Boots’buying teams.

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Governance

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

Appendices

Reporting on our progress
WBA published our latest EEO-1 data covering U.S. employees as of Dec.
31, 2022. The EEO-1 report is a mandatory annual submission to the U.S.
Equal Employment Opportunity Commission (EEOC). Large private-sector
employers are required to submit demographic workforce data, including
data by race/ethnicity, sex and job categories. It is important to note the
EEOC job categories do not match WBA’s workforce organization; therefore,
the diversity percentages in the EEO-1 report do not match the diversity
data we publish in this report.
In the UK, our businesses that are subject to the government’s gender
pay gap regulations publish annual reports. During fiscal 2023, Boots UK
published its Sixth Gender Pay Gap Report, which included actions taken
toward further reducing the pay gap, encouraging and supporting female
employees across the organization and inspiring everyone to reach theirfull potential. This report showed a median gender pay gap of 0 percent.
Boots continues to remain well ahead of the median national averageand is continuing to drive initiatives to maintain our progress in this area.

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Governance

Healthy and Inclusive Workplace

Healthy Communities

Healthy Planet

Sustainable Marketplace

AppendicesFiscal 2023 workforce and diversity data
GRI 2-7, 405-1

The following charts and tables show our progress against DEI targets and our workforce
by the numbers globally and in the U.S.1

Age group (%)

Walgreens pharmacists
by gender

Gender (%)

Female

<30

30-50

>50

M

F

UD2

Manager3

13

66

21

38

62

-

Non-manager3

42

36

22

28

72

-

All employees

38

40

22

29

71

-

54

46

-

Employee category

Senior Director and above4

Male

39%
61%

Racial and ethnic diversity of employees in our U.S. workforce as of Aug. 31, 2023
People of color (%)

White (%)

1%

Undisclosed (%)

Total U.S. workforce3

51

48

1

Managers3

41

59

1

Non-managers3

52

46

1

White

Senior Director and above4

24

72

4

People of Color

54%

Walgreens pharmacists
by race and ethnicity

Undisclosed

45%
Percentages may not sum to 100 percent due to rounding.
Totals showing zeros reflect rounding of amounts lower than 0.5 percent. UD = undisclosed
3
Fiscal 2023 data is GRI 405-1 specified disclosure and is within the Deloitte & Touche LLP review scope as detailed on pages 119-120.
4
Data is limited to the U.S. Retail pharmacy segment and U.S. Healthcare segment only. This data includes all employees at this job level who
are on payroll as of Aug. 31, 2023. This row of data does not fall within Deloitte & Touche LLP’s review scope.
12

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Business resource groups
In fiscal 2023, our business resource groups(BRGs) saw significant growth. More than 6,200
team members have joined at least one ofour 24 BRGs. We recently introduced Belong
at Boots Ireland and expanded Parent andCaregiving BRG in UK.
Our BRGs are active throughout the year,
raising awareness for the causes that mean
the most to them. They are active internallyas well as externally, participating in theirown communities outside of WBA.

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Appendices

Here is some background on each BRG and highlights of their achievements in fiscal 2023:

To build a cross-functionalteam that embraces AfricanAmerican culture with afocus on education andawareness, equity andadvancement.

To build leadershipcapabilities, strengthen
team member community,
increase business value andcelebrate diversity acrossthe Asian community.

To create a culture thatcelebrates differences,embraces diversity andfosters inclusivity at all levelsof Boots Ireland, and reflects
the communities we serve.

To engage our teammembers, customers andcommunities on topics
involving Racial, Ethnic andCultural Heritage, creating a
supportive environment for
all while promoting inclusivity
across all levels of WBA.

Engage, educate, andsupport individuals withdisabilities and allies by
providing informational
content, fostering an
inclusive workforce, andfurthering disability-related
initiatives.

To support team memberswith opportunities to engage
in sustainable practices,while driving change,business performance andenhancing brand reputation.

To attract and engage teammembers and partners
who reflect our diverse
customers and communities,
fostering an inclusive
culture, while driving
business performance.

To engage, retain anddevelop Latino teammembers at Walgreens anddeliver impact that mattersfor our business and diverse
communities.

To drive purposeful impact
while engaging, retaining
and developing thecapabilities of career
starters at Walgreens.

Being a voice for our
LGBTQ+ team members,customers and communities,
partnering with allies and topromote a supportive andinclusive environment.

To support team members
who are Veterans, Reserve
Forces, Military families andfriends and promote ourbusiness as a a supportive
employer and retailer ofchoice across all Militarycommunities

To be the global community
for women and allies in
Walgreens Boots Alliancethat inspires, develops,
advances, and supports
women in reaching theirfull potential throughcollaborative partnerships,
personal connections, andan engaged workforce.

To provide resources andcommunity for team members
who are caring for others intheir personal lives. Working
Parents & Caregivers
provides a space for all toconnect, network and support
each other as we navigate tobalance personal challenges
with professional life.

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Employee
Engagement andDevelopment
GRI 2-7, 2-8, 2-21, 2-30, 3-3, 201-1, 404-1, 404-2, 404-3

Governance

Healthy Communities

Healthy and Inclusive Workplace

As a global business with roles in pharmacy, retail, distribution,
fulfillment and corporate operations, WBA can impact prosperity
in communities worldwide by acting as an employer of choice.
We view this responsibility as caring for the whole team member
through six fundamental needs: physical health, financial wellness,authentic environment, purposeful work, connectedness andcareer growth.

Healthy Planet

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Appendices

All WBA segments, businesses and corporate functions are required to keep
up-to-date written policies defining the rights of each team member to tradeunion membership where statutorily or legally required, according to ourinternal human resources policy.
As of Aug. 31, 2023, 7.3 percent of WBA team members were coveredby collective bargaining agreements.

Employee hiring, retention and compensation
GRI 2-7, 2-8, 2-21, 2-30, 3-3, 201-1, 401-1

We understand that investing in and listening to our teammates is themost effective way to foster a great place to work, which translates directly
to our business success and ability to serve customers.
To ensure we are effectively meeting the needs of our team members andencouraging retention, WBA deploys significant tools and processes to gather
and respond to feedback. Our primary tool for understanding the state of
our workforce is our annual global team member engagement survey,“Our Voice. Our Future.”
We also recognize the importance of compensation in attracting and retaining
top talent. To meet our aim of offering competitive pay and benefits, thecompensation department conducts an annual pay analysis against key roles.
Boots UK partnered with the Armed Forces Covenant in fiscal 2023, whichseeks to ensure that those who served in the armed forces and their families
are treated fairly in the workplace. This further enshrines Boots' commitment
to treating veterans fairly and with respect following last year's creation of
Valour, a BRG that advocates for veteran representation across the business.
Since the Boots UK 50 Year Club was founded six years ago, the businesshas celebrated 72 team members with 50 years of service or more. During
fiscal 2023, 10 new team members reached their 50-year milestone.
Additionally, four team members have celebrated over 60 years of service.
Through a long-standing partnership with Sudbury Prison, Boots has given
employment opportunities to 313 serving prisoners in our warehouse
operation to date, allowing them to gain the opportunity of employment andearning and providing our operation with a pipeline of team members.
WBA respects and upholds the right of workers in conformity with local law
to be members of trade unions of their own choosing and to bargain
collectively, in accordance with the appropriate local laws.

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Employee training, learning and development
GRI 404-1, 404-2, 404-3

Learning and development are key to supporting team member development
and enabling the future of our business. To effectively live our vision toreimagine healthcare and leverage our talent network, WBA focuses efforts
on leadership development, store training and clinical preparation. Ourinternal functions work to align training and upskilling to the evolving
needs of the business.
We extend training opportunities across our organization and in stores,
support offices and distribution centers. During fiscal 2023, Walgreensfull-time equivalent team members received an average of 29 hoursof training per person.
WBA collaborates with internal and external experts to offer learning
through functional academies including the IT Academy, and in the UK
we offer the Myway Marketing Academy. The academies provide bestin-class learning tools to hone priority skills in highly competitive areas.
Throughout fiscal 2023, the programs evolved to provide specialized
learning on key topics including Cloud, Cyber Security, Project Delivery,
AI/Data and Digital Marketing in support of business strategy and goals.
Walgreens University continued to offer training, leadership development
and career advancement opportunities to team members at all levels. During
fiscal 2023, more than 14,500 team members participated in both in-person
and live virtual sessions. Walgreens University also partners with academic
institutions to offer tuition discounts. Since launching in 2013, Walgreens
University has provided team members with more than $11 million intuition discounts.

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AppendicesIn 2019, the first Irish national retail apprenticeship scheme was launchedwith Boots Ireland forming part of the steering committee and securinga pharmacy module as an elective element of the program. In fiscal 2023,
three apprentices graduated from the Boots Ireland scheme, bringing thetotal number to date to seven.
As a measure of WBA’s success and to continue developing team members
according to our objectives, we prioritize performance appraisals. At thestart of the year, team members set goals and are evaluated at ongoing
points throughout the year. Team members are also rated on performance
behaviors, which we have identified as driving culture and responsible
leadership. Emphasis is put on not only what our teams do, but also
how they do it.
In fiscal 2023, the LEAD program was launched, which is an organization
wide development program in Boots and No7 Beauty Company for leaders
who have aspiration to grow their careers into senior leadership roles,
building diversity of thought, people and commercial leadership capability.
Participants are connected to the senior leadership team through program
sponsorship and project work as well as being supported to maximizecoaching and mentoring opportunities.
In March 2023, WBA team members around the world celebrated
International Women's Day #embraceequity by hosting a selection of events
that explored the theme through key topics such as Workplace Wellness,
Allyship and Intersectionality. In addition, WBA participated in events that
support developing women in leadership. Benavides hosted the SpeakHers
Foundation networking event in Mexico focused on empowering andretaining women in leadership. The event had 120 participants.

Boots UK also puts emphasis on upskilling pharmacists in compliancewith changing requirements from the General Pharmaceutical Council (GPhC)
and NHS contractual requirements. In fiscal 2023 we trained over 250
phlebotomists to support an NHS research program, Our Future Health. We
also continue to support access to vaccinations for the UK population bytraining in excess of 4,000 Boots team members to support our Private and
NHS led services.
Boots UK grew participation in its apprenticeship programs to more than
800 team members across 16 programs, from entry level up to degreelevel, across supply chain, support office and stores. In fiscal 2023, theprograms grew to include the new optical assistant level three, data scienceand AI programs. New programs are continually developed in order to meetcertain needs of the business and to help with specialized staff retention.

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PlanetFiscal 2023 Progress
By fiscal 2030:
WBA: Reduce absolute
Scope 1 and Scope 2
global carbon emissions
by 30 percent, as
compared with 2019baseline. On Track.
Reduced emissions by
a further 3.8 percentage
points in fiscal 2023
taking cumulative
reduction to 25 percent

Boots UK: Reduce foodwaste by 50 percent fromthe 2015 baseline, as partof WRAP Food Waste
Reduction Roadmap.
On Track.

By fiscal 2040:
British Retail Consortium Climate Roadmap, Boots UK: Support the
UK's wider net zero transition by collaborating with other UK retailers on aroadmap for the industry to achieve complete net zero emissions by 2040,
including net zero Scope 2 emissions by 2030 and Scope 1 emissions by2035. On Track.

Overview

Governance

Healthy Communities

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Appendices

A Letter From...

Una Kent
Vice President of ESG and DEI, International Walgreens Boots Alliance
The climate agenda could not be more at the top of our minds since we published our last report. The summer of 2023 was Earth's
hottest since global records began in 1880, according to scientists at NASA's Goddard Institute of Space Studies (GISS) in New York.
Our amazing team members have had to respond to unprecedented events in our major markets, from catastrophic fire damage
in Hawaii, to flooding in Vermont as well as the effects of extreme heat across Southern Europe and air pollution in Thailand.
We recognize that the Climate crisis is a Health crisis.
The heat is on.
For these reasons, it is all our responsibility at Walgreens Boots
Alliance to remain committed and focused to the ambitious but very
necessary targets that we have set ourselves to achieve in the areasof carbon emissions reduction, plastic reduction and food waste
reduction. Together, we continue to make excellent progress towards
a reduction of our total Scope 1 and 2 emissions by 30 percent by
2030 from a 2019 baseline. This year, we further reduced emissions
by 3.8 percent reaching a 25 percent reduction since 2019.
Our actions over the past year as a leading company range from policy
to the practical. We continue to align our reporting to the likes of the
Global Reporting Initiative (GRI), and we continue to engage withorganizations such as the Retail Industry Leaders Association (RILA) in
the U.S. and the British Retail Consortium (BRC) in the UK to help guideour environmental work. With clear targets set and monitored rigorously
on a quarterly basis, we can hold our heads high. As we mark thisEnvironmental, Social and Governance Report 2023

anniversary year, I am heartened by our year-on-year progressagainst the initiatives and goals that we know move the needle
in this area. Four years ago, we were one of the first retailers toremove plastic bags in the UK, and today we remain committed todoing so across our global operations. Since 2019, we decreased
waste to landfill or incineration by 18 percent or 55,000 metric tonnes.
With our immense heritage and the scale of our business anddeep partnerships with suppliers and associations, our impact
makes a difference. Based on our progress to date, the transparent
governance and reporting that we have put in place, and a razorsharp focus on our goals, we can remain confident that we willreach our targets. Together we are committed to ensuring ouractions deliver both healthy people and a healthy planet.

71Overview

Energy andEmissions
GRI 3-3, 302-3, 302-4, 305-1,
305-2, 305-3, 305-4, 305-5

Governance

Healthy Communities

Healthy and Inclusive Workplace

Our carbon emissions target
GRI 3-3

At WBA, we believe there is an inextricable link between
the health of our planet and the health of our communities,
whether impacted by extreme temperatures, natural disasters,
airborne diseases or poor air quality. We also believe climatechange is caused by human activities and requires swift action
by corporations to do our part in reducing our footprint.
WBA has continued to execute against our global emissions reduction
targets, which include an ambition to reduce our total emissions by 30
percent by the end of fiscal 2030. At the end of fiscal 2023, WBA was able
to reduce our Scope 1 and Scope 2 emissions by 25 percent compared to
the 2019 baseline. Details on our progress against our emissions reduction
goals can be found on page 74.
To position WBA to meet our reduction targets, we continually seek
opportunities to advance energy efficiency in our largest business,
Walgreens. With more than 8,700 stores and clinics in the U.S., implementing
new strategies that reduce the energy consumption involved in maintenance,sourcing and other energy intensive activities is crucial to ensure we meetour 2030 goals.

Environmental, Social and Governance Report 2023

Healthy Planet

Sustainable Marketplace

Appendices

In fiscal 2023, Walgreens initiated a trial bulk fuel program in two California
distribution centers that replaced traditional diesel with renewable diesel. Thishas the potential to decrease transportation emissions in these locations by
75 percent. Given the positive impact of this program, WBA intends to roll it
out to other locations across the U.S. as additional supply becomes available.
In the UK, Boots has continued to limit the reliance on natural gas in its
stores. Our position is to not use gas in new stores, and we have active gas
to electric programs to support the transition away from gas. As part of that
program, Boots was able to remove natural gas from seven stores via HVAC
projects and significantly limited the reliance on gas in one additional store.
In fiscal 2021, Boots UK collaborated with other UK retailers on a roadmap
for the industry to achieve net zero emissions by 2040, including net zero
Scope 2 emissions by 2030, Scope 1 by 2035 and Scope 3 by 2040. Boots
Ireland signed up to the Business in the Community Ireland Low Carbon
Pledge to set science-based carbon emissions reduction targets by 2024.
This year, Boots and the No7 Beauty Company established a network of
Net Zero Leads across the business who are using baseline footprint data
for Scopes 1, 2 and 3, gathered in fiscal 2022, to develop an emissions
reduction plan. The Leads will meet monthly and are tasked with identifying
opportunities to reduce emissions in their business area, gathering data
to support annual footprinting and engaging and inspiring their teams
to reduce emissions.

72

Overview

Governance

Healthy Communities

Healthy and Inclusive Workplace

Climate reporting

Progress on water

As we continue to participate in the broader global effort to manage
environmental impact across our company, we recognize the nature of climate
reporting is evolving. Investors, regulators and consumers are requesting
comprehensive disclosures and transparency around how companies
manage their impact.

GRI 3-1, 3-3

At WBA, we see this as progress and a necessary step to drive accountability
and action against the climate crisis.
In fiscal 2022, WBA engaged with the Retail Industry Leaders Association
public comment to the U.S. Securities and Exchange Commission (SEC)
to inform potential mandatory climate reporting. While the SEC’s disclosure
requirement decision is yet to be released, we remain in support ofbusinesses reporting on their impacts to the planet.
We believe the company is well-prepared for any such rules as we currently
report in adherence to several disclosure frameworks that require us to makeclimate impacts and risks publicly available. We discuss climate change risks
and risks related to the evolving global ESG regulatory requirements andexpectations in our fiscal 2023 annual report, highlighting the ways in whichclimate change can materially impact our business. In addition, this ESG
report is written in alignment with the Task Force on Climate-Related Financial
Disclosures. We are actively analyzing scenarios to identify and assessclimate-related risks and opportunities, as well as evolving our governance,
strategy, risk management, metrics and targets accordingly.
WBA also continues to submit climate change disclosures to CDP on anannual basis. CDP submissions in the climate category are rated on a scaleof A to D- for completeness; assessment of environmental issues and risks;
and the extent to which a company has implemented actions, policies andstrategies to address these.

Environmental, Social and Governance Report 2023

Healthy Planet

Sustainable Marketplace

AppendicesDue to climate change, water availability is becoming less predictable,with implications for human health and food security. WBA understands theimportance of this topic. As outlined on page 88, our continued rollout ofWBA’s owned brand global Supplier Sustainability Program will give us anunderstanding of environmental and social issues relevant to our productcategories, including water.

Our progress
GRI 305-1, 305-2, 305-3

Most of our Scope 1 emissions (directly from sources controlled by theCompany) and Scope 2 emissions (resulting from purchased electricity,heat and steam consumed by the Company) are related to energy use forlight and heat. We also report business travel and the portion of downstream
transportation and distribution in our management of Scope 3 emissions(indirect emissions that are a consequence of Company activities but occur
from sources not owned or controlled by the Company). The Company
reports GHG emissions for entities for which it has financial control, as
defined by the Greenhouse Gas Protocol A Corporate Accounting andReporting Standard, Revised Edition, published by the World Resources
Institute/World Business Council for Sustainable Development (the“GHG Protocol”).
The Company has set fiscal 2019 as the GHG baseline year for Scope 1,
Scope 2 and Scope 3 emissions, and intends to report emissions against
this baseline year going forward. In fiscal 2023, WBA’s total carbon footprint
based on our stated scope on page 74 was 1.5 million metric tonnes of CO2e
(carbon dioxide equivalent), down 24.5 percent from our baseline year of
fiscal 2019, mainly due to energy efficiency projects across the Company. Of
the fiscal 2023 emissions, 86.4 percent were from energy emissions, including
89.2 percent electricity and 9.6 percent natural gas within energy emissions.
Separately, 12.0 percent of emissions were from product delivery and theremaining 1.7 percent of emissions were from business travel.

73

Overview

Governance

Healthy and Inclusive Workplace

Healthy Communities

Fiscal 2023 emissions data
DISCOVER
The tables and charts in thissection show details of emissions
data. Energy and emissions data
is available in the ESG sectionof our website.

Healthy Planet

AppendicesSustainable MarketplaceCO2e emissions from energy, by type1 (000 metric tonnes)

GRI 305-1, 305-2, 305-3, 305-4

Fiscal 2023

Fiscal 2022

Fiscal 2019% change fromfiscal 2019

Total CO2e emissions by source1

Electricity

1,164

1,231

1,631

(29%)

(000 metric tonnes)

Gas

125

130

133

(6%)

Other

16

16

17

(6%)

Total

1,305

1,376

1,781

(27%)

Fiscal 2023

Fiscal 2022

Fiscal 2019% change fromfiscal 2019

U.S. Retail
Pharmacy

64

68

108

(41%)

International

117

89

204

(43%)

U.S. Healthcare

89

-

-

NM

WBA

77

71

157

(51%)

Fiscal 2023

Fiscal 2022

Fiscal 2019% change fromfiscal 2019

1,305

1,376

1,781

(27)%

Product Delivery

181

178

180

NM

Business Travel

26

23

42

(39)%

1,511

1,577

2,002

(25)%

EnergyTotal WBACO2e emissions from business travel(per thousand employees, by segment1)

CO2e emissions by source in fiscal 2023

12%

1

2%

EnergyProduct Delivery
Business Travel

86%
1

Environmental, Social and Governance Report 2023

Fiscal 2023 data is a WBA specified disclosure and is within the Deloitte & Touche LLP review scope as detailed on pages 119-120 and page 8 of our fiscal 2023 GHG Statement.

74

Overview

Governance

Healthy and Inclusive Workplace

Healthy Communities

Healthy Planet

Sustainable Marketplace

Appendices

Scope 1, 2 and 3 GHG emissions
DISCOVER

Global CO2e emissions ('000 metric tonnes)

The tables and charts in thissection show details of emissions
data. Energy and emissions data
is available in the ESG sectionof our website.

1

Fiscal 2022

Fiscal 2019% changefiscal 2023
compared tofiscal 2019

Scope 1

296

298

313

(5)%

Scope 12 (Sales
to third parties)

27

25

32

(16)%

Gross Scope 12

323

323

345

(6)%

Scope 2location-based

1,151

1,218

1,617

(29)%

Gross Scope 1 and2 location-based2

1,474

1,542

1,962

(25)%

64

61

73

(13)%

Gross Scope
1, 2 and 3
location-based2

1,538

1,602

2,034

(24)%

Scope 2market-based

1,108

1,177

1,556

(29)%

Gross Scope 1 and2 market-based

1,431

1,500

1,901

(25)%

0.0163(35)%

Fiscal 2023

Scope 33

GRI 305-4: GHG Emissions Intensity('000 metric tonnes of CO2e per USD million sales)
Gross Scope 1 and2 location-based1

0.01060.0116

Fiscal 2023 data is a WBA specified disclosure and is within the Deloitte & Touche LLP review scope
as detailed on pages 119-120.
2
Includes Scope 1 emissions resulting from heat and electricity produced by our on-site Combined
Heat and Power plant in Beeston, Nottingham, UK and sold to third parties or the grid.
3
The Company is reporting on two of the fifteen Scope 3 categories. See Basis of Presentation.
1

Environmental, Social and Governance Report 2023

75

Overview

Governance

Healthy Communities

Healthy and Inclusive Workplace

Managing energy use
GRI 3-3, 302-4

During fiscal 2023, WBA focused on better predicting and adjusting toenergy needs across its businesses while continuing to monitor efficiency
performance for each business on weekly, monthly and annual cadences.
As energy accounts for most of our emissions, our strategy is guided by
efficiency and supplemented with renewable sources. We reduce ouroverall carbon footprint through management of equipment and systems
across retail locations, distribution centers and fleets. WBA’s businesses
invest in energy-efficient lighting, heating, ventilation and air conditioning(HVAC) units and refrigerators; engage and educate team members aroundenergy consumption; invest in photovoltaic systems; use alternative energy
management programs; and participate in demand-response curtailment
programs during peak periods.
To stay on the front end of sustainable solutions, Walgreens focusedon scaling up LED lighting replacements and designed a roadmap for
implementation of refrigerants as the Department of Energy phases out
certain refrigerants in favor of potentially lower global warming options.
Following the introduction of store-level energy budgets in fiscal 2022,
Boots UK continued to use the same process and is working to give wider
visibility to the program. In addition, Boots UK continued the implementationof metering systems to report on store-level consumption more accurately.
In fiscal 2023, Boots UK completed 80 electric and 27 gas meter exchanges.
In addition to metering changes, the business completed energy-related
retrofits and improvement projects in 671 stores.
Following the successful introduction of the Design Conformity ESC Carbon
Certification in fiscal 2022, the Boots property team has committed to
expanding this requirement into other store areas, including Fragrance.
6,000 displays are being updated with LED lighting saving an average energy
consumption reduction of 71 percent, or 111Kg CO2e per year. With a sevenyear life, this project is expected to save 4,662 tonnes of CO2e.

Healthy Planet

Sustainable Marketplace

Appendicesand investments in distribution networks that improve resilience.
Boots also sells surplus electricity back to the National Grid.
In fiscal 2023, Boots UK began working in partnership with Cadent
Gas through the East Coast Hydrogen scheme to develop the generationand distribution of hydrogen as a replacement for natural gas. The use ofhydrogen, initially blended with natural gas and eventually as a replacement
will reduce the total volume of gas consumed through the combustion
within the Energy Centre which in turn reduces Boots’ carbon emissions.
In Germany, Alliance Healthcare Deutschland has begun streamlining
warehouse operations which will reduce overall energy use. We haveconsolidated warehouse locations, prioritizing space in premium locations
and streamlining our warehouse footprint. Also at the warehouses, thecompany implemented a series of energy reduction initiatives including
the migration of smaller warehouses into bigger units which contributed
to a reduction in energy use year-over-year of 9.7 percent.

Responding to climate events
GRI 3-3, 305-5

With a large retail footprint, we understand our role and responsibility
in managing energy use within our communities, particularly amid
increased extreme weather and climate events. Due to Walgreenscontinued rollout of its advanced Energy Management System (EMS),
the business was able to continue its demand response program during
fiscal 2023, enrolling 1,025 locations across the country. In addition,
the EMS installations offer a more holistic view of store health and allow
for real-time adjustments to lighting, temperature, and refrigeration.
In fiscal 2023, there were 1,778 EMS installed, bringing the total to5,800 locations to date.

In 2023, Boots Ireland undertook a comprehensive LED upgrade work in
its stores and support office. This rolling program of works will deliver lower
energy consumption, increased energy control and brighter and more
attractive shops for our team members and customers.
The Boots UK Energy Centre, one of the largest in-house combined heatand power (CHP) plants in the UK, allows for greater energy security andcarbon emissions reductions than energy purchased from the National
Grid. Ownership of this energy management system leads to continuous
improvement through installation of new equipment, automated metering

Environmental, Social and Governance Report 2023

76

Overview

Governance

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Renewable energy

Fleet efficiency and electric vehicle charging points

Where strategically feasible, WBA looks to power its operations throughcertified renewable energy from wind, solar or hydro. During fiscal 2023,
7.0 percent of electricity consumed across WBA was from renewable sources.
In the Republic of Ireland, 100 percent of our Boots stores are powered bycertified renewable energy. In the UK, 97.8 percent of our stores are certified
renewable.

GRI 3-2, 3-3, 302-2, 302-4

At Walgreens we are evaluating our renewable energy strategy to identify
the process that allows the business to have the biggest impact across
our operational footprint, including locations under lease agreements.

Sustainable Marketplace

Appendices

WBA fiscal 2023 emissions from product delivery increased by 0.3 percent
compared with our baseline year of fiscal 2019.
To improve fleet efficiency, Boots UK implemented an all-day routing program
within the pharmacy supply chain, resulting in a 3.8 million reduction in miles
compared to fiscal 2022. Boots UK replaced 99 double deck wedge trailers
in fiscal 2023, with the new trailers allowing for increased capacity, meaning
fewer vehicles, decreased maintenance and less tire rubber. The business
continues to explore alternative fuels and currently utilizes three electricvans for pharmacy distribution. To contribute to additional vehicle efficiency,
Boots is planning to submit orders for additional hybrid vans.
The Walgreen Oshkosh1 truck fleet has participated in the U.S. Environmental
Protection Agency’s (EPA) SmartWay Program since 2005, which helps
measure fuel efficiency in the fleet and understand the supply chain’s total
impact on the environment. In fiscal 2023, the EPA again named Walgreen
Oshkosh1 a SmartWay High Performer based on continuous efforts to optimize
routes, reduce empty miles, and achieve miles per gallon improvements andintroduce equipment replacement strategies for fuel-efficient vehicles.
In fiscal 2023, Walgreens continued optimizing delivery routes andtesting new technologies to provide efficiencies. In a replacement for the
Aerodynamic EkoStinger program, Walgreens began implementing a trailer
skirting project which has the potential to increase fuel efficiency beyond theprevious program’s potential. Walgreen’s 2022 pilot program installing truckwings has evolved into a full-scale program, with 165 wings already installed
and a goal of 300 planned by the end of the calendar year.
Walgreens also plans to replace 321 trucks this year, which will lead toan overall improvement of fuel economy. The anticipated fuel economy
improvement for fiscal 2024 after the trucks have been replaced is a nearly
3 percent increase in fuel efficiency over previous years.
Also underway are plans to incorporate electric vans for WBA's operationsin Germany. This would enable us to drive down energy use and costs.

1

Environmental, Social and Governance Report 2023

Walgreen Oshkosh is a subsidiary of Walgreens.

77Overview

Waste
and Plastics
GRI 3-3, 301-3, 306-1, 306-2, 306-3,
306-4, 306-5, 413-1, 417-1

Governance

Healthy Communities

Healthy and Inclusive Workplace

Waste management
GRI 3-3, 306-1, 306-2

Waste management is an important issue for WBA and our
stakeholders, who expect us to do what is reasonably within
our control to avoid waste associated with our operations andminimize any adverse impacts of waste through responsible
management and contributing to a more circular economy. WBA
continues to prioritize waste management and works to makeour business more sustainable by rethinking designs, reducing
consumption, recycling, composting, reusing materials andmeasuring our global waste generation and disposal.
This section of our report covers waste management, waste reduction
and recycling efforts; Zero Waste to Landfill (ZWTL) programs in certain areasof operation; and efforts to reduce the negative impact of plastics and waste
in our retail stores and distribution operations. Our work on plastic packaging
in our owned brands is covered in more detail in Sustainable Marketplace.
Waste is a local issue and is managed differently across geographies,
with an emphasis on partnership and overall waste reduction. In the UK,
the government-backed waste hierarchy provides a framework that promotes
waste avoidance, recycling and recovery methods over disposal in landfills.
Boots UK also engages environmental management systems and standards
to drive a culture of reducing general waste by effectively managing all
waste streams. In the U.S., the Environmental Protection Agency (EPA)
Non-Hazardous Materials and Waste Management Hierarchy is used toensure proper approaches are taken for different kinds of waste. Acrossthe world, WBA’s businesses engage with various vendor partners
to help ensure best practices are used when handling waste.

Healthy Planet

Sustainable Marketplace

Appendices

Walgreens continues to sponsor and participate in the U.S. Chamber ofCommerce Foundation’s Beyond 34: Scaling Circularity for a Sustainable
Economy, which aims to improve low U.S. municipal recycling rates bycreating scalable models for high-impact waste solutions. Walgreens wasinvolved in the program’s expansion in Atlanta, and plans to continue to behighly involved in future developments of this program.
Boots is part of the working group for the Government of Scotland’s deposit
return scheme for drink bottles. Together with Circularity Scotland and Zero
Waste Scotland, retailers are working to develop return points at stores totake back all types of drinking bottles to increase recycling.
Employee awareness and training is key to further progress on ourenvironmental targets and to ensure employees understand the impactsof their work on the environment. More than 520 Boots UK team members
have completed the Boots Environmental Experts (BEE) online training since
it was introduced in fiscal 2020. At Walgreens, our ESG Champions areprovided with information on active waste-related programs such as ZWTL
and Beyond the Bag in addition to their ESG training module courses, which
include health, safety and environmental compliance, energy and emissions
reduction, product sustainability and waste management. ESG Championsfrom the international teams meet regularly to discuss waste and share bestpractices on this important issue.

Tackling a challenge such as waste requires industry collaboration withretail groups and municipalities, especially due to continued uncertainties
in the global recycling market. Through organizations such as the RILA in the
U.S., Walgreens is supporting efforts to increase recycling and reuse in theretail industry. Walgreens is a member of the RILA Sustainability and Zero
Waste Committees that promote collaboration on key issues such as energyuse, greenhouse gas emissions reduction, regulation review and response,
waste generation reduction, and the circular economy. Walgreens has beena member of the Consortium to Reinvent the Retail Bag’s Beyond the Bag
Initiative, managed by Closed Loop Partners.

Environmental, Social and Governance Report 2023

78

Overview

Governance

Healthy and Inclusive Workplace

Healthy Communities

Fiscal 2023 waste data
DISCOVER
Waste data is available in the
ESG section of our website.

Healthy Planet

Sustainable Marketplace

Appendices

The fiscal 2023 recycling and reuse rates at our segments were as follows:• U.S. Retail Pharmacy 72 percent.

GRI 306-11, 306-32, 306-4, 306-5• International 88 percent.

Across all its businesses, WBA sent 253,082 metric tonnesof waste to landfill or incineration in fiscal 2023, a decreaseof 18 percent from the baseline year of fiscal 2019. The increasein waste to landfill between fiscal 2023 and 2022 is due to thefirst time inclusion of U.S. Healthcare data. WBA recycled orreused 661,600 metric tonnes of materials that were diverted
from disposal, an increase of 79 percent from the baseline year of
fiscal 2019. This increase is due to the addition of reuse data from
Walgreens and Boots UK, and any relevant enterprise acquisition
data. WBA has been focused on reducing waste to landfill andincineration as well as improving material diversion throughincreased reuse and recycling opportunities. We are proud of ourcurrent diversion activities, and are exploring new partnershipsthat would enable us to have more opportunities to reuse or
recycle materials.

• U.S. Healthcare 0 percent.
At Walgreens, VillageMD and Boots UK, waste data is received
from third-party suppliers on a regular basis. The data is evaluated forcompleteness. Portions of the data are estimated based on waste container
type and frequency of waste retrieval, particularly from Walgreens andVillageMD. We are continuously reviewing opportunities to enhance
our reporting processes.
During fiscal 2023, less than 0.1 percent of the total waste generated by
WBA was considered hazardous, and of that, 46.1 percent was recycled,
28.9 percent was incinerated, 8.1 percent was recovered via incinerationand 17.0 percent went to appropriate landfills in accordance with federal,state, and local regulations.

Waste by method of disposal(000 metric tonnes)
Fiscal 2023

Fiscal 2022

Fiscal 2019% change from
Fiscal 2019

252

240

307

(18%)

1

1

-

114%

253

241

307

(18%)

Fiscal 2023

Fiscal 2022

Fiscal 2019% change from
Fiscal 2019

Recycled3

347

354

369

(6%)

Reuse3,4

315

259

-

NM

662

613

369

79%

Landfill
Incinerated

Materials diverted from disposal

Environmental, Social and Governance Report 2023


Fiscal2023 data disclosed is GRI 306-1 and WBA specified disclosure are within Deloitte & Touche
LLP review scope as detailed on pages 119-120.
2
Fiscal 2023 data disclosed is GRI 306-3 and WBA specified disclosure are within Deloitte & Touche
LLP review scope as detailed on pages 119-120.
3
Fiscal 2022 amounts have been reclassified to the Reuse category.
4
Data is presented for Walgreens and Boots UK only. Reuse includes: pallets, totes and productdonation and liquidation.
1

79

Overview

GovernanceDiverting and reducing waste
GRI 3-2, 3-3, 306-1, 306-2, 306-4

WBA businesses continue to divert and reduce waste throughseveral ongoing programs, as well as new initiatives acrossoffices, stores and distribution centers.
For the fourth year in a row, less than 0.5 percent of Boots UK's operational
waste went to landfill. The reduction in the amount of operational waste islimited in scope to Boots UK-owned operations and does not include somethird-party-owned office locations. For the third consecutive year, Boots
Ireland achieved zero waste to landfill. The Walgreens support center and
WBA global headquarters in Deerfield, Illinois, continued the zero waste tolandfill program. The distribution centers and related facilities in the U.S.
and Puerto Rico also improved waste diversion rates. In fiscal 2023, over
98 percent of waste from distribution centers was diverted from landfill.
At Walgreens, the property team has been able to recycle materials thatare byproducts of upgrading stores and Walgreens properties. In fiscal 2023,
a total of 36,051 metric tonnes were recycled from projects led by the property
team. This includes 124 tonnes of HVAC components, 828 tonnes of LED
fixtures, 35,082 tonnes from parking lots and 18 tonnes of roofing materials.
Additional Walgreens achievements and initiatives in fiscal 2023
to divert items from landfills or to reduce waste include the following:Continued to expand our donation and liquidation program, which
diverts unsold or discontinued products such as food, toiletries
and household items from landfills. In fiscal 2023, Walgreens
donated and liquidated over 7,265 metrics tonnes of product.

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

Appendices

For 7 years, Boots UK has taken part in the Food Waste Reduction Roadmap
as part of the Courtauld Commitment 2030, led by sustainability and waste
nonprofit group Waste and Resources Action Programme. The goal of theroadmaps is to reduce food waste by 50 percent by 2030, in line with SDG
target 12.3; Boots is on track to meet this goal.

Existing Customer Case Study

Repurposing waste
GRI 306-4

As a part of WBA’s waste management initiatives, there havebeen opportunities to repurpose waste into usable products
and tools for customers and the business.
Along WBA’s operational supply chain, we have begun utilizing waste tocreate reusable tote bags that would have traditionally been waste products.

Existing Customer Case Study

Boots UK has begun a program reusing light fixtures and shelves in retailstores rather than purchasing new replacements. This does not impact theeffectiveness of the shelves or fixtures, as the reused fixtures and shelves
are refurbished.

Existing Cus

The Walgreens team continued looking into several different opportunities
to prevent operational waste and have begun work on several pilot programs.
In fiscal 2023, we began working with an existing waste partner, Effizient,
to repurpose recycled caps and bottles from Walgreens stores. Effizient wasable to create several operational prototypes of pallets and store carts thatcan be used by Walgreens facilities. We also work with Trex to divert waste
film from distribution centers that is used to create upcycled lumber. In fiscal
2023, 633 tonnes of waste film was committed to this program.

Following the expansion of the program in fiscal 2022, Walgreenscontinued to recycle stock bottle and caps at all micro-fulfillment
centers. Stock bottles are the plastic containers medications
arrive in before they are dispensed for patients. As the first fullyear of recycling these products, Walgreens was able to divert
552 metrics tonnes worth of stock bottles and caps.

Eliminated 937,000 pounds of waste through reusable productdisplay structures in retail pharmacies.

Environmental, Social and Governance Report 2023

80

Overview

Governance

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

AppendicesMarketplace recycling programs and initiatives

Boots ‘Be More’ initiative

GRI 3-3, 301-3, 306-1, 306-2, 413-1, 417-1

Boots UK has a sustainability initiative on boots.com called Be More, whichaims to help customers select products with one or more of the following
attributes: plastic free, recycled, reusable, vegan and cruelty free. The
shopping tool can be found at www.boots.com/sustainable-living as apermanent feature of the Boots online store. Currently, it features over 630
products, with more to be added on an ongoing basis. Customers can filter
their product searches by each Be More edit category.

In 2020, Boots UK and No7 Beauty Company launched an
innovative in-store program, Recycle at Boots, to make it easier for
consumers to give a second life to hard-to-recycle health, beauty,
wellness and dental product packaging. The innovative Recycle
at Boots scheme is the first of its kind in the UK, accepting all
products, including those not purchased at Boots, and utilizing
Scan2Recycle technology to encourage more sustainable habits.
In February of 2023 the program was launched in Ireland, and it is
the first and only comprehensive recycling program of its kind in
the country. The program is currently available in 701 Boots stores
across the UK and more than 50 stores in Ireland.

This edit requires products meeting certain criteria to be listed in the sectionof the website, providing customers with choice and transparency to help
them make informed decisions on products that meet their needs andpreferences. A product must meet WBA's minimum requirements for productsustainability, plus meet the specific criteria of the edit categories to be listed.
Boots UK plans to continue to evolve and expand these edits to showcase
products and brands that are working to be more sustainable.

Recycle at Boots allows customers to bring even the most hard-to-recycle
products into Boots stores to be recycled by Boots’ recycling partner, Metrisk.
Since the start of the program, more than 100,000 registered users havedeposited over 2.3 million beauty, health, wellness and dental products forrecycling, diverting 114 metric tonnes of plastic waste from landfills. Boots has
also shared learnings from the scheme with other companies and industry
groups, and it hopes to see the same levels of accessibility and transparency
rolled out across the industry.
In fiscal 2022, Boots launched the PenCycle scheme, a recycling initiative forpre-filled injection pens available in all pharmacies. Insulin pens are madeof 73 percent plastic and generally end up in a landfill or incinerated. Usersof Novo Nordisk’s pre-filled FlexPen and FlexTouch devices are now able torecycle their empty pens at any Boots pharmacy. In fiscal 2023, 3,024 pens
were returned, equivalent to 48.3kg of material that would otherwise havegone to landfill.
Since 2019, Boots Opticians have collected and recycled nearly 9 million
contact lenses, blister packs, and foil covers with the ACUVUE® Contact Lens
Recycling Programme, amounting to 53,925 kg of plastic.

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81

OverviewEfforts are underway to continue
to build a more circular economy
by rethinking how plastic is used in
our operations. More information on
plastics in our owned brands can befound on page 85 in the Sustainable
Marketplace section of this report.

Governance

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

Appendices

Progress on Plastics
GRI 3-3, 306-1, 306-2

Walgreens has been a member of the Consortium to Reinvent the Retail Bag since 2019, a collaboration with major retailers and nonprofit
organizations to identify, test, and implement design solutions and models that sustainably serve the purpose of the current retail bag. Alsoin 2019, Boots UK announced the elimination of plastic bags for its customers, switching to unbleached paper bags. More recently in fiscal
2023, Boots Thailand phased out plastic bags. Paper bags are now available for customers in Thailand.
Boots continued multiple plastic reduction programs through fiscal 2023, including:
Recycle at Boots is available in 700 stores across the UK and
50 stores in the Republic of Ireland. The scheme allows customers
to recycle health and beauty products, which are typically difficult
to recycle.

Since the end of calendar 2022, Boots has offeredcompletely plastic-free deliveries for its online orders.

At retail checkout, customers continue to be offered the optionof unbleached bags made from 100 percent recycled brown
paper printed with water-based ink. By switching to paper,
Boots estimates it has removed around 900 metric tonnesof plastic from store operations each year.

Boots continued its partnership with POPAI, an industry
body that supports manufacturers of point of sale andmarketing materials, and use of Sustain(R), a web-basedsustainability tool measuring the environmental impact of
in-store display units produced for Boots UK stores. Sustain(R)issues a rating for displays, which Boots UK uses to understandthe environmental impact and product marketing and workwith manufacturers to reduce impacts.

Boots pharmacies use recycled paper bags for most medication
pickup at stores and plastic bags made of compostable material
for medications dispensed from a central facility.

Wet Wipes Case Study
Given the scope of WBA’s global business, we have the privilege of choice when it comes to partnering with companies
and suppliers for stocking our retail stores. This choice allows us to influence the sustainability of certain products
purchased through those companies and suppliers.
In fiscal 2023, Boots issued a statement to their suppliers indicating that wet wipes made with plastics will no longer
be stocked on Boots UK shelves or sold online. This is in response to the pledge made in 2022, which commits Boots
to stop selling any wipes with plastic fibers. With more than 800 million wipes sold at Boots, this transition has ensured
the removal of a very significant source of micro plastic pollution of land, rivers and seas. Along with this commitment,
Boots has called on other retail stores to follow the same path in eliminating single use plastic wipes from their shelvesand has been actively engaged with the UK government to change legislation to ban the sale of plastic wipes in the UK.

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82

Sustainable
Marketplace
Fiscal 2023 Progress
Achieved in fiscal 2023:
Boots and No7
Beauty Company:
Achieve 80
percent certified
RSPO (Roundtableon Sustainable
Palm Oil) palm oil
through physicalcertification.
Exceeded 80
percent physicallycertified RSPO
palm oil in owned
brand products.

Walgreens: Source 100 percent
of palm oil from Roundtable on
Sustainable Palm Oil (RSPO) certified
sources, physically certified andcredits Achieved. Each following
year, Walgreens aims to increase
the physical certified portion by
5 percent. On Track.

Walgreens: Increase spend with Tier 1
diverse suppliers to $700 million, from$625 million in fiscal 2022. Exceeded.

By fiscal 2025:
Boots and No7 Beauty Company: Achieve the UK Plastics Pact 2025
targets: 30 percent reduction in plastic packaging compared with fiscal
2018 baseline; 100 percent of plastic packaging reusable or recyclable
by consumers; and achieve 30 percent average recycled content acrossplastic packaging. On Track. Our owned brands continued progress towardachieving the UK Plastics Pact targets

By fiscal 2030:
Walgreens: Achieve 30 percent reduction in plastic packaging comparedwith fiscal 2020 baseline; 100 percent of plastic packaging reusable orrecyclable by consumers; and achieve 30 percent average recycled content
across plastic packaging. On Track.

Overview

Governance

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

Appendices

A Letter From...

Rajnish Kapur
Senior Vice President and Chief Sourcing and Supply Chain Officer
Our brands are some of the most recognized and trusted in the world and it is our responsibility and privilege to ensure
the trust and special place they have earned in the hearts of our customers over the years never wavers.
I am immensely proud of the work our global team does every day
to ensure our owned brand products are ethically, responsibly
and sustainably sourced.
We have bold ambitions, which we cannot achieve in isolation.
I am grateful to our global supplier partners who share our commitment
to a sustainable marketplace and protecting our planet. We havealready come so far on our journey, and I look forward to seeing whatmore we can do, together.
Our annual supplier sustainability program, brought to life using
The Sustainability Insight System (THESIS), shows year over year
improvements in areas including suppliers using less plastic, setting
greenhouse gas emission goals and chemical footprint measurement.
WBA’s Product Sustainability Hub continues to be a critical enablerof the level of transparency we aspire to throughout our owned brandsupply chain. Information, data and certifications relating to palm oil,plastics, packaging and raw materials are just a few examples of thewealth of information suppliers share with us via our global hub.
We have made great progress this year including ensuring all cottonwool in Boots owned-brand products is Global Organic Textiles
Standard (GOTS) certified and I am delighted that we succeeded insmashing our target of spending $700 million with diverse suppliers in
the financial year by $26 million. Meanwhile, our No7 Beauty Company

Environmental, Social and Governance Report 2023

launched its most inclusive skincare brand, No7 Future Renew.
The Future Renew range has undergone the most extensive anddiverse testing program in No7’s history spanning 37 studies onover 4,200 people, including two clinical trials and 23 user trials.
Our team are an integral part of our journey and are as passionate
and demanding as our customers when it comes to protecting
our planet. Hosting our second sustainability survey during fiscal
2023 helped us to understand where to focus our efforts on
continued learning and development to empower our team tomake sustainability a key component of our sourcing decisions
and proactively work with suppliers on enhancements andimprovements in our ways of working.
WBA continues to be a Champion of The Sustainable Procurement
Pledge (SPP) sharing our experiences and learning from others in
our industry to collectively bring about change for good.
We have made strong progress in fiscal 2023 and I look forward
to leading our amazing teams to achieve similarly meaningfulprogress in the years ahead.

84

Overview

Governance

Healthy Communities

Healthy and Inclusive Workplace

Our Owned
BrandsSustainable Marketplace

Appendices

At a glanceGRI 2-23, 3-3

WBA and its owned brand productportfolio covers a diverse range ofcategories. We continually develop
and update our portfolio ingredientsand packaging to meet our own
evolving standards as well aschanging demands. As we look forways to innovate and improve, we arefocused on sourcing and packaging
these consumer goods safely,
responsibly, ethically and sustainably.

Healthy Planet

NO7 BEAUTY COMPANYWALGREENS OWNED BRANDS

No7 Beauty Company is a group of highly
respected skin care and beauty brands, some ofwhich date back to 1935. No7 Beauty Company
continues to develop products through worldclass innovation, sustainable sourcing practices
and industry-leading consumer behavior insights.
Guided by a bold roadmap, it pledges to achieve
its two overarching sustainability goals by 2030:

Walgreens, Nice! and Complete Homeare synonymous with quality and aim
to live up to our century-old code:
we believe that honest goods sold tohonest people by honest methods. Our
brands and products include a varietyof goods in numerous categories.

NEW

X2

1/2

the value we create forsociety, compared to 2022

the environmental impact
of new No7 Beauty
Company products, ascompared to 2022

BOOTS OWNED BRANDS
From healthcare and beauty
essentials to quality sunscreen,
Boots owned brands, including
Boots Soltan, Boots Brand
Healthcare and 17. provide
affordable, accessible products
customers know, love and trust.

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85

Overview

GovernanceSourcing standards and policies
GRI 2-23

Customers, team members and potential new hires are increasingly
demanding products that are ethically sourced and made with sustainable
materials. At WBA we are rising to this challenge and continuing to workwith suppliers who share common principles of fair and honest business;demonstrate a commitment to maintaining safe working conditions; fullycomply with all legal requirements; and comply with labor, health andsafety standards in the countries where they and we operate. Thismeans screening all suppliers and selecting partners that consider
social and environmental factors.
We prioritize this responsible supplier engagement and sourcing
practices through foundational standards, policies and core principles
that govern our interactions.

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

Appendices

Code of Conduct and Ethics
Our Code of Conduct and Ethics provides foundational standards that uphold WBA'scommitment to integrity across our businesses, including supply chain management.

Supplier Code of Conduct
Our Supplier Code of Conduct outlines our core principles for supplier conduct, including
compliance with laws and regulations; terms and conditions of employment; discrimination;harassment and retaliation; wages and benefits; child labor; health and safety; sustainable
development and environmental protection; data privacy; and anti-corruption and bribery.
We expect suppliers to operate in accordance with these principles and be open andtransparent to our assessment of their compliance with the code.

Modern Slavery and Human Trafficking Statement
Our Modern Slavery and Human Trafficking Statement details our commitment to eradicatingthese abhorrent practices, our policies, governance and training regarding these issues.

Human Rights Policy Statement
Our Human Rights Policy Statement contains our explicit commitment to respecthuman rights under international standards and protect labor and workplace rights.

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Overview

Governance

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Chemical use and management

Industry collaborations and partnerships

GRI 3-3

GRI 2-28

WBA’s existing Responsible Chemical Management Strategy Policy
Statement continues to govern and assert our commitment to proactive
responsible chemical management for all consumer-owned brand products
across baby, personal care, beauty and household care portfolios. Our
strategy drives innovation for safer alternatives and transparency around
our management practices.

We engage with numerous organizations, competitors, trade associations
and government entities to seek industry-wide solutions and take meaningfulaction toward sustainability. These engagements are crucial to WBA acting
as an industry leader and continuing to drive the industry forward. See
Stakeholder Engagement for a full list of our memberships and associations.

The Chemical Action List (CAL) goes beyond regulatory requirementsby adopting positions on chemicals that we have identified as causes
for concern. We conduct regular reviews of our categories andsubstances for new CAL inclusions.

EU EcoBeautyScore Consortium

Our CAL includes:
Prohibited List:
Chemicals on the list must not be present or intentionally added

Elimination List:
Chemicals to be eliminated within a defined time period

Stewardship List:
Chemicals that do not yet have a formal WBA decision onprohibition, elimination, or restriction will be closely monitoredwith the potential decision to add them to the Elimination List
initially, then ultimately to the Prohibited List at a future date

Sustainable Marketplace

Appendices

To further its efforts to encourage sustainable behaviors for consumers andhelp them make better-informed purchases, Boots and No7 Beauty Company
are signatories to the EcoBeautyScore Consortium. The consortium is acollaboration of major global cosmetics companies that seek to establish
a transparent global environmental impact scoring system. The scoring
system aims to provide consumers with clear comparable environmental
impact assessments to inform purchasing decisions. This will contribute tomeeting the growing consumer demand for increased transparency about theenvironmental impact of cosmetics products, including the formula, packaging
and product usage.

Sustainable Medicines Partnership
Walgreens is a collaborator of the Sustainable Medicines Partnership(SMP) and member of the Steering Committee. The SMP is a privatepublic collaboration executing projects to make the use of medicines
more sustainable. The partnership delivers evidence-based integrated
projects, including scalable solutions, frameworks, standards, metrics
and implementation toolkits.

World Wide Fund for Nature and Liz Earle
In fiscal 2023, Liz Earle Beauty Co. and World Wide Fund for Nature (WWF)launched a three-year partnership to protect the UK’s natural habitats
and help restore biodiversity for future generations. As part of this threeyear partnership, Liz Earle committed to raising funds for WWF to support
Seagrass Project and host overall awareness drives around the importanceof and need to protect biodiversity.

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OverviewResponsible
Sourcing

Governance

Healthy Communities

Healthy and Inclusive Workplace

Developing our people andsupporting a healthy planet

GRI 2-24, 3-3, 308-1, 308-2,
414-1, 414-2

Reinvent oursourcing model

Diversify and expand
our sourcing footprint

Third party
sourcing services

World classpartnerships

Evolveour capability

Cost of goods
optimization

Healthy Planet

Sustainable Marketplace

Appendices

Supply chain mapping and transparency
GRI 3-3, 308-1, 308-2, 414-11, 414-21

Our global Supplier Sustainability Program measures suppliers’
sustainability performance per product category with the support of an
online system used for data collection, analysis, reporting and scoring.
The program utilizes The Sustainability Insight System (THESIS), developedby the nonprofit organization The Sustainability Consortium, a holistic
sustainability assessment tool that gauges supplier practices, performanceand management on energy, water, ethics and more. We have seen yearover-year improvements with our participating owned brand suppliers inthe setting of manufacturing greenhouse gas goals and overall reductionof plastic usage.
THESIS is key when it comes to making sure suppliers are progressing
on their sustainability journey alongside WBA. It helps us understandwhere suppliers are in their sustainability journey and shares guidancewith suppliers on how to advance their own practices for year-over-year
improvement. This two-pronged utilization of THESIS helps competitively
drive the industry forward, as suppliers can compare themselves to peers
while holding themselves accountable. Improved supplier data collection
from the program has furthered our ability to identify sustainability
opportunities and risks at the product-category level. By identifying risk
and opportunities within our suppliers' practices and supply chains, it enables
us to better direct our efforts in supporting the development of our global
brands and supplier sustainability strategy by providing a clearer viewof how supplier engagement can be targeted.
In fiscal 2023, WBA continued to grow and expand supplier participationin the tool achieving a 68 percent increase in own brand suppliers completionof the assessment. This represented over $1.3B in cost of goods.

Developing our people andsupporting a healthy planet
1

Environmental, Social and Governance Report 2023


GRI
414-1 and 414-2 required disclosures are within the Deloitte & Touche LLP review scope
as detailed on pages 119-120.

88

Overview

DISCOVER
Please see WBA’s Modern Slaveryand Human Trafficking Statement
and Supplier Code of Conduct
for our policies around criticalnoncompliance and zerotolerance violations.

Governance

Healthy Communities

Healthy and Inclusive Workplace

Ethical sourcing standards
and supplier engagement

Healthy Planet

Supplier Compliance Assessments2
Fiscal 2023

% of total

Satisfactory

477

46

Needs Improvement

415

40

Critical

137

13

2

0

1,031

100

GRI 2-24, 414-11, 414-21

Aligning to our Ethical Trading Standards, we require suppliers to operatein accordance with the core principles outlined in our Supplier Code of
Conduct, and provide transparency in our Code compliance assessments.

AppendicesSustainable Marketplace

Our ethical sourcing program, led by teams of ethical trading experts withthe support of auditors and a small number of preapproved third parties,
helps ensure owned brand suppliers are aware of and compliant with our
ethical standards and expectations. This is achieved through a rigorous
onboarding process elevated by a supplier training webinar designed to
explain our standards and assessment requirements, share opportunities
for suppliers to enhance social and environmental compliance and provide
a forum for supplier questions. We assess 100 percent of our owned brandsuppliers for compliance to our Ethical Trading Standards through on-site
audits. For high-value goods not for resale (GNFR) suppliers, we use Global
Risk Management Solutions (GRMS), which includes screenings for socialand environment criteria. Supplier training webinars are held regularly inEnglish, Mandarin and Spanish. During fiscal 2023, 281 trainings sessions
were completed by 172 suppliers. Of those, 196 were hosted in English,
three in Spanish and 82 in Mandarin.

Satisfactory and Needs Improvement: Meets our ethical trading standards expectations
but could require differing levels of remedial corrective actions.

Our owned brand supplier compliance is monitored using a detailed
grading matrix that assesses factory social and environmental performancebased on internationally recognized standards, including the Ethical Trading
Initiative Base Code and International Labor Organization (ILO) Conventions
and Recommendations. Factories with identified non-compliances are
required to complete corrective and preventative action plans to resolve
the issues and are reassessed using a risk-based approach that focuseson improvement and compliance.

As the table shows, two zero tolerance violations were detected during fiscal
2023. Both were identified at potential new sites, and therefore we declined
to begin business with both sites. For sites with critical issues, suppliers havebeen required to develop and implement immediate remedial action plans toaddress identified noncompliance. Verification of actions taken are monitored
via submission of appropriate evidence and through on-site reassessment.

We publicly report our owned brands suppliers’ compliance with our
ethical standards. The following table provides a breakdown of our fiscal
2023 ethical compliance assessments on new and existing suppliersfor Boots UK, Walgreens and No7 Beauty Company-owned brands.

Zero Tolerance

Critical: Falls below the expectations of our ethical trading standards and requires immediate
remedial action to address critical noncompliance to enable new or ongoing business relationships.
Zero Tolerance: Issues identified that are not accepted or tolerated by our business and are related
to incidents of the following, but are not limited to, child labor, convict/indentured/forced labor,
corporal punishment, slavery and human trafficking, and acts of bribery. In all cases, we view theseissues as zero tolerance.

During fiscal 2023 we built upon our Human Rights policy by conducting
a risk mapping and horizon scanning exercise to identify the potential risk
across all areas where we operate, including our wider supply chain, owned
brands supply chain and operations in multiple geographies. Additionally,
the online platform used for WBA’s Supplier Sustainability Program has alsoenabled us to better identify modern slavery and human rights risks within our
supply chain by capturing social information in Tier 2, Tier 3 and raw materials
suppliers. Please read more about the Supplier Sustainability Program on
page 88.

GRI 414-1 and 414-2 required disclosures are within
the Deloitte & Touche LLP review scope as detailedon pages 119-120.
2
Totals showing - reflect rounding of amounts lower
than 0.5 percent.
1

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Overview

GovernanceSupplier diversity
GRI 3-3WBA is committed to inclusive communities and understands that when our
shelves are a reflection of our local communities, it benefits everyone. Thisis especially true when it comes to working with a diverse set of suppliers.
Walgreens remains committed to our goal to source goods and services fromsuppliers owned by women, people of color, veterans and service-disabled
veterans, people with disabilities and those who identify as LGBTQ+. Thisfocus will continue to provide financial opportunity to businesses owned
by people who may be socially or economically disadvantaged, helping
to address income and employment challenges that can serve as social
determinants of health.
WBA set a target to spend $700 million with diverse Tier 1 suppliers in the
U.S. by the end of fiscal 2023. This target was an increase of $75 million
compared with fiscal 2022. We exceeded our target by $26 million. To
promote accountability, we tied this to our health equities goals, encouraging
team members and leaders with purchasing authority and decisionmaking influence to consider diverse and small businesses for contracting
opportunities. In fiscal 2023, Boots partnered with RangeMe, the leading
online platform that streamlines new product discovery between brands
and retailers, to enable new, emerging and diverse brands to access Boots’buying teams. Additionally, to better understand its impact, Walgreens for the
first time conducted an economic impact study of its fiscal 2022 spend with afocus on diverse businesses. Findings from this report will help further inform
Walgreen's inclusive procurement practices and future spend strategy.

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

Appendices

diverse suppliers in our booths showcasing products such as Lorenzo’s
Frozen Pudding, ECOS, Black Girl Sunscreen, Urban Hydration and Billion
Dollar Beauty. Walgreens also had a presence at National Minority Supplier
Development Council (NMSDC), Women's Business Enterprise National
Council (WBENC) and the Disability:IN conferences in 2023.
We work with our Tier 1 suppliers to help them increase utilization of diverse
suppliers in their own supply chains. In fiscal 2023, Walgreens continued its
partnership with the Women’s Business Development Center, sponsoring
additional Top Shelf trainings. Designed to help minority-owned suppliers
grow into the mass retail market, the program has graduated 150 participants
since its launch. Walgreens requires its Tier 2 suppliers to report any
subcontracting that is done with diverse businesses. In fiscal year 2023,
our prime suppliers reported over $1.7 billion in spend with diverse suppliers.
To help Walgreens customers discover diverse brands, we also shared thestories behind the diverse businesses we work with in a series called Shelf
Life. In fiscal 2023, Shelf Life featured brands such as Black Girl Sunscreen,
Lorenzo’s Frozen Pudding and Gallery Candies.
WBA believes that supplier diversity delivers a compelling value proposition to
our company, to our patients and customers and to the overall business climate.

To support diverse suppliers, Walgreens rolled out new special payment
terms for diverse suppliers in fiscal 2023. This gives smaller suppliers moreleniency when it comes to traditional payment terms often exclusively
developed for much larger suppliers. Suppliers who do less than $5 million
in receipts and can prove their certification as a diverse brand are offered thenew payment terms. Walgreens is making additional updates to how diverse
spend is tracked to ensure the data can be used productively and that thesepayment terms are offered appropriately.
Walgreens also participated in several summits to help support and identify
new diverse suppliers. In March 2023, Walgreens hosted a Supplier Diversity
Virtual Summit in partnership with RangeMe. This summit expanded on
RangeMe’s work and connected Walgreens with a number of new diverse
suppliers. Walgreens also participated in the Black Women’s Expo in 2023,
an event Walgreens has sponsored for over 10 years. We showcased several

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90

Overview

Governance

Healthy Communities

Healthy and Inclusive Workplace

Sustainable Materials
GRI 3-3, 308-1, 308-2, 417-1

At WBA, we are committed to ensuring the ingredients andmaterials used within our owned brand products and packaging
are safe for our consumers, communities and planet. We strive to
reduce the environmental and social impacts of the ingredientsand materials we use by improving their traceability, implementing
third-party certification requirements, protecting the rights ofworkers and supporting the responsible sourcing of raw materials.

Data-driven decision making and materials traceability

Healthy Planet

Sustainable Marketplace

Appendices

Key raw materials
GRI 3-3WBA is committed to improving the traceability of raw materials used in our
products to reduce environmental and social impacts. We prohibit the use ofillegally cultivated and harvested sources. Threatened or endangered species
are not to be used in any of our products or their ingredients. We strongly
encourage sourcing of raw materials that have been independently certified
to a recognized environmental, ethical or social standard.
Certain raw materials utilized in our products and packaging are associatedwith higher environmental or social impacts, including conflict minerals,
palm oil, wood, pulp, paper and shea. In addition to our dedicated minimum
requirement standards for these ingredients, we annually report on theirsourcing to reaffirm our commitment to responsible sourcing practices
and track our continued progress.

GRI 3-3, 308-1, 308-2, 417-1

WBA continues to use our Product Sustainability Hub globally to bolster ourcollection of product-level sustainability data and supplier disclosures throughthe hub's interactive platform. Within the hub, suppliers are required to affirm
compliance with the global minimum product sustainability requirements,
share key raw-material sourcing information about our products as wellas the packaging and provide declarations on sustainability requirements.
The Product Sustainability Hub improves supplier transparency throughglobal and near-real-time reporting on key product sustainability attributes.
Some examples of information collected include data and certifications on
animal testing, palm oil, plastics (including single-use plastics), wood, pulp,
paper, cotton, high-risk minerals and other materials. For the natural materials
listed above, the Product Sustainability Hub collects information on countryof origin and the level of certification received for each commodity. Of
our active suppliers, 82 percent are providing WBA data via the ProductSustainability Hub.

Leaping Bunny is the globally recognizable gold standard
for cruelty-free consumer products that follows rigorous
criteria applied globally, extending over and above laws
governing animal testing, and include ongoing independent
audits. It is the best assurance for companies with a genuine
commitment to help ending animal testing.

1

Environmental, Social and Governance Report 2023

At WBA, we support calls for a global ban on animal testing and havea long-standing Product Testing Policy Statement. We do not conduct
animal testing on our owned brand products or on ingredients used in theseproducts. In addition, some No7 Beauty Company and Boots brands suchas Liz Earle, Botanics, 17, Soap & Glory and A Little Something have achieved
Cruelty Free International Leaping Bunny approval1.

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Overview

RSPO + PALM OIL SMALLHOLDERFUNDING INITIATIVE
Koperasi Jasa Mutiara Kongbeng
is an Indonesian smallholder
cooperative located in the East
Kutai region, East Kalimantan. Thisregional cooperative is comprised of
118 farmers and spans 621 hectares
to produce approximately 14,000
tonnes of palm fresh fruit bunches,annually. Through purchase of RSPO
Smallholder Credits directly from thecooperative, No7 Beauty Company
is encouraging the sustainableproduction and harvesting of palm.
This relationship is more than atransaction as the purchase funds
are used towards training in building
additional sustainable practices,
certification expenses, providing
personal protective equipment (PPE)for employees, funding more efficientfarming methods, driving gender
equity in palm farming and providing
social assistance to the community.

Governance

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

Appendices

Palm oil sourcing

Pulp and paper sourcing

Palm oil is the world’s most widely used vegetable oil with yields
outperforming other vegetable oils due to its efficient land use. However,in some areas this crop and its production has been linked with environmental
and human rights violations. Understanding its vital importance to many of our
products and the need to ensure sustainable farming practices, Boots was
one of the first retailers to join Roundtable on Sustainable Palm Oil (RSPO)in 2006. For the first time in calendar 2023, WBA submitted company-wide
owned brand palm oil data for calendar 2022 as part of the RSPO annual
reporting requirement. As another first experienced across the owned
brand organization reported in calendar 2023, 100 percent palm oil usedin calendar year 2022 was RSPO certified through the purchase of credits
or physical certification.

We are committed to working with our suppliers to help ensure wood, pulp
and paper materials used in our products and packaging are not contributing
to deforestation, ecosystem loss or illegal harvesting. Boots-owned brands
and the No7 Beauty Company require all wood, pulp and paper materials
come from verified recycled sources with at least 50 percent post-consumer
content or from responsibly managed forests.

WBA has aligned this report to our RSPO Annual Communicationof Progress submission and are reporting for calendar year 2022.

100% of palm oil in Walgreens Boots Alliance certifiedin calendar 2022

6%
19%
32%
43%

Shea sourcing
Some of our skincare and beauty brands, such as Liz Earle, use shea
butter as a moisturizer in skincare products. WBA has been a member of thenonprofit Global Shea Alliance (GSA) since fiscal 2019, supporting its mission
to promote industry sustainability, quality practices and standards aroundshea butter. Supporting the GSA allows us to help support women who
harvest shea in Ghana and to give back to communities that work inthe shea industry.

Palm oil derivatives
certified using
credits
Palm oil derivatives
physically certified
Palm oil used
as an ingredientphysically certified
Palm oil used as aningredient certified
using credits

Boots and No7 Beauty Company made a commitment to exceed 80 percent
RSPO physically certified palm oil and derivatives used in its owned brandproducts. We are pleased to announce we have exceeded this target in
fiscal 2023.

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Overview

GovernanceMineral sourcing
WBA is continuously working to ensure any high-risk or conflict minerals
in our products are obtained only from ethical sources and suppliers. This
commitment is consistent with our code of conduct and the Organization
for Economic Cooperation and Development (OECD) guidance for responsible
supply chains of minerals from conflict-affected and high-risk areas. We have
our Responsible Minerals Sourcing position statement posted in the ProductSustainability Hub to detail our expectation that suppliers fully disclose theuse of all mineral-based raw materials and component ingredients infinished products.
WBA strives to limit the use of mica and talc in many of our owned brandproduct categories due to the high risk of forced or child labor in theextraction of these minerals.
Specific updates and requirements for mica, talc and cobalt include:Mica:
In fiscal 2023, all our owned brand suppliers that use
mica in our products have confirmed their adherence tothe minimum requirements. We expect all mica in any of
our finished products to be sourced from a member ofthe Responsible Mica Initiative, or a supplier that provides
an appropriate independent third-party audit report orcertificate to demonstrate that responsible sourcing
practices are aligned with the OECD Guidance.

Talc:
Sources of talc should meet the requirements of the WBA
Chemical Action List (CAL), including the verification of no
impurities using approved testing methods. We demandthat our suppliers exercise appropriate due diligence
to confirm that any talc used is not sourced from illegal
mines.

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

Appendices

WBA prohibits the use of conflict minerals — tantalum, tin, tungsten andgold — where we have direct or significant influence on the manufacturingof finished products. To the extent that any conflict minerals are used as raw
materials or component ingredients in finished WBA-owned brand products,
we require suppliers to participate in annual due diligence efforts to confirm
that any conflict minerals are obtained from conflict-free sources or sources
certified by a third-party audit program.

Responsible procurement
Cage-free eggs
We recognize customers' preferences are changing with improved customer
access to sustainable and ethically sourced products in local communities.
In 2016, Walgreens committed to providing 100 percent cage-free shell andliquid eggs in stores across the U.S. by 2025 and were able to accomplish
this goal in calendar 2022 – two full years ahead of schedule. Since 2017,
Boots has only been offering free-range eggs and free-range egg-derived
ingredients for all owned brands and exclusive to Boots food products. We
continued these commitments and practices in fiscal 2023.

Cotton wool
Cotton wool has an immense environmental impact from water usage tobiodiversity degradation. Starting in fiscal 2023 and moving forward, Boots
will ensure all cotton wool products in owned-brand products are Global
Organic Textiles Standard (GOTS) certified, meaning the crop is farmed
without the use of toxic persistent pesticides or synthetic fertilizers. This
protects soil fertility, the environment and the health of the cotton farmers
and their families.
Additionally, in fiscal 2023, WBA strengthened our supply chain transparency
approach for products containing cotton due to the ongoing risk of forcedlabor and have required suppliers to report accordingly.

Cobalt:Cobalt is prohibited from use in our cosmetic products.
We set our expectation with suppliers for hard goods
to exercise appropriate due diligence to help ensure
any cobalt used is not sourced from illegal mines in
The Democratic Republic of the Congo.

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Sustainable
Packaging
GRI 3-3, 301-1, 301-2, 413-1, 417-1

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

AppendicesMeasuring our progress
WBA’s owned brands continued to make progress against our targets
throughout fiscal 2023. Through the implementation and execution of ourtools and programs, we engaged with more suppliers and are increasingly
proactive in reducing our impact through our sourcing practices.
Notable efforts and achievements include:

The issue of packaging waste continues to be a concern
for our industry. At WBA, we are doing what we can to help
address the negative impacts packaging waste has on theenvironment. We have made substantial strides around reducing
single-use plastic components in our packaging and haveswitched to alternatives, where feasible. Our efforts to makepackaging more sustainable span product design, industry
collaborations, customer education, improved supplier datacollection and more.

Environmental, Social and Governance Report 2023

Boots and No7 Beauty Company brands have expanded thenumber of products across categories produced from recycledcontent, recyclable or natural materials, including reusable makeup
remover pads, cleansing pads, reusable baby wipes, lipsticks andcompacts as well as eyewear brand, Botaniq.

To support National Recycling Week (Oct. 17 – 23) in the UK,
Boots ran an awareness campaign on the low recycling rates
for bathroom (50 percent) versus kitchen (90 percent) products
and shared take-home recycling kits and leaflets with tips alongwith other amplification tactics to maximize the campaign’s
effectiveness and staying power.

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Governance

Healthy Communities

Healthy and Inclusive Workplace

Packaging and product design
DISCOVER
More on WBA's efforts to findsolutions for single-use plastic
pollution can be found here.

GRI 3-3, 301-1, 301-2, 306-3

Healthy Planet

Sustainable Marketplace

Appendices

Metrics tonnes of packaging material in owned brand products(calendar year)3

WBA has established public goals to reduce plastic packaging by
30 percent by 2030 for U.S.-owned brands. In fiscal 2023, we continued
to make progress toward our target by further reducing plastic in ownedbrand product packaging and design.
We also have a target to ensure 100 percent of owned-brand plastic
packaging is reusable or recyclable and to incorporate an average of
30 percent recycled content across all packaging by 2025 for UK-owned
brands and by 2030 for U.S.-owned brands. In calendar 2022, Boots and No7
Beauty Company maintained their progress as compared to the year priorwith approximately 63 percent of our packaging material made from either
reusable or recyclable materials.

2022

2021

YoY Variance

Glass

1,244

1,313

(5.2)%

Metal

779

873

(10.7)%

Plastic1

12,83914,444(11.1)%

Wood, pulp
and paper2

18,97019,775(4.1)%

A key element of our plastic packaging efforts includes engaging andpartnering with suppliers to make innovative changes to packaging design,
including reducing total plastics by weight, increasing post-consumer
recycled (PCR) content and enabling higher recyclability rates. Wherever
possible, our new and relaunched products follow guidelines set for suppliers
around packaging type and amount of plastic content present, including thefollowing requirements to:
FUTURE RENEW
In fiscal 2023, No7 Beauty Company
launched No7 Future Renew, its
most inclusive skincare brand in
the company's history. The Future
Renew range has undergone themost extensive and diverse testing
program in No7’s history spanning
37 studies on over 4,200 people,
including two clinical trials and23 user trials. More than half (51percent) of the total testing groupwere people of color. This focus on
inclusivity is a key stepping stone inNo7's journey as a company and thefuture of skincare.

1. Optimize the amount of plastic used and minimize the numberof different plastics in the design of packaging components
2. Maximize the potential for plastic to be reused or recycled
by consumers
3. Use PCR wherever feasible, aiming for packaging with at least
30 percent minimum (by weight)
4. Seek to eliminate materials that hinder recyclability and unnecessary
single-use components and materials
Our owned brands continued progress toward achieving the UK Plastics
Pact targets. Boots and No7 Beauty Company joined Sustainable Packaging
Initiative for CosmEtics (SPICE), a collaborative initiative that develops
collective solutions for sustainable packaging for cosmetics in fiscal 2021.
Boots and No7 Beauty Company use the SPICE Tool and methodology toassess the environmental impact of cosmetics packaging across a product's
life cycle to inform decisions on product design developments.
 RI 306-3 specified disclosures for plastic only are within Deloitte & Touche LLP review scopeG
as detailed on pages 119-120.
2
Excludes pallets.
3
WBA owned brand packaging data is based on supplier responses within our Product Sustainability
Hub portal, of which 76% is actual and 24% is estimated.
1

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Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

Appendices

Product labeling
GRI 3-3, 417-1

WBA supplier agreements specify that suppliers must meet
regulatory requirements for labeling of ingredients on our owned
brand products. Under the minimum standard requirements, newand refreshed WBA-owned brand items must be reviewed to carrya How2Recycle™ label for U.S. products or an On-Pack Recycling
Label (OPRL) for UK products. We work with the Sustainable
Packaging Coalition on implementing the How2Recycle label on
an increasing number of our products. These labels are designed
to provide customers with clear advice on how to recycle. In the
UK, WBA has representation on the OPRL technical advisorycommittee, working on industry-wide solutions involving recycling
labeling. Through our Minimum Sustainability Requirements
and Labeling standards, Boots and No7 Beauty Company havemandated the use of "Do Not Flush" labeling on products
which have the highest risk of being inappropriately flushed.

Environmental, Social and Governance Report 2023

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Overview

Governance

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

Appendices

GRI Content Index
Walgreens Boots Alliance has carried out an ongoing exercise toalign our ESG reporting to the GRI Sustainability Reporting Standards(GRI Standards). This report has been prepared in accordance with the
GRI Standards: Core option. This GRI Content Index reflects the material
CSR topics that emerged in our most recent complete ESG materiality
assessment, which was concluded during fiscal 2021.

GRI Disclosure

References and responses

GRI 1: FOUNDATION
Reporting Principles and Requirements

Our Approach to ESG; page 9

GENERAL DISCLOSURESGRI 2: General Disclosures 2021
THE ORGANIZATION AND ITS REPORTING PRACTICES
2-1

Organizational details

At a Glance; page 6

2-2

Entities included in theorganization's sustainability
reporting

At a Glance; page 6

2-3

Reporting period, frequency
and contact point

About This Report; page 3
A Message to Our Stakeholders; page 4

2-4

Restatements of information

Direct Response: We did not make any restatements of information during thereporting period.

2-5

External assurance

About This Report; page 3
Our Approach to ESG; pages 9-10
Assurance Report; pages 119-1202024 Notice of Annual Meeting and Proxy Statement; page 40

ACTIVITIES AND WORKERS
2-6

Environmental, Social and Governance Report 2023

Activities, value chain andother business relationships

At a Glance; page 6
WBA 2023 Annual Report; pages 1-38

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GRI Disclosure

Governance

Healthy and Inclusive Workplace

Healthy Communities

GRI Disclosure

References and responses

Employees

Diversity, Equity and Inclusion; page 61 and 66
Employee Engagement and Development; pages 68-69
WBA 2023 Annual Report; pages 10-12
Direct Response:
Employees by gender and employment type 1,2 as of Aug. 31, 20233
Employment
type

All
(%)

Permanent(%)

Temporary(%)

Part-time(%)

Full-time
(%)

Male

29

29

30

26

31

Female

71

71

70

74

69

Undisclosed4

-

-

-

-

-

All employees

100

100

100

100

100

The table below shows the company's employees by region and by typeof employment type.
UnitedStatesInternational

U.S.
Healthcare

Total WBA

References and responses

2-9

Governance structure andcomposition

Governance; pages 21-22
Leadership Team

2-10

Nomination and selectionof the highest governancebody

Governance; pages 21-22
2024 Notice of Annual Meeting and Proxy Statement; pages 13-57

2-11

Chair of the highest
governance body2024 Notice of Annual Meeting and Proxy Statement; pages 39-40

2-12Role of the highest
governance body inoverseeing the managementof impacts

Stakeholder Engagement; pages 16-19
Governance; pages 21-22
2024 Notice of Annual Meeting and Proxy Statement; pages 39-40

2-13

Delegation of responsibility
for managing impacts

Governance; pages 21-22

2-14

Role of the highest
governance body insustainability reporting

Governance; pages 21-22

2-15

Conflicts of interest

2024 Notice of Annual Meeting and Proxy Statement; page 53
Code of Conduct and Ethics: Committed to Integrity; page 20

2-16

Communication of criticalconcerns

Direct Response: Critical concerns are elevated to the Board level through ourannual stockholder proposal exercise. The number and nature of the proposals canbe found in the 2024 Notice of Annual Meeting and Proxy Statement.

60

58

89

62

Part-time (%)

40

42

11

38

2-17

Collective knowledge of thehighest governance body

Permanent
employees (%)

2024 Notice of Annual Meeting and Proxy Statement; page 16
Code of Conduct and Ethics: Committed to Integrity; page 5

100

92

100

98

2-18

Temporaryemployees (%)

-

8

-

2

Evaluation of theperformance of the highest
governance body2024 Notice of Annual Meeting and Proxy Statement; page 50
WBA Corporate Governance Guidelines (Section 13)

2-19

Remuneration policies

2024 Notice of Annual Meeting and Proxy Statement; page 68

2-20

Process to determine
remuneration

2024 Notice of Annual Meeting and Proxy Statement; page 65

2-21

Annual total compensation
ratio

Employee Engagement and Development; pages 68-69
Direct Response: The CEO Pay ratio is 407:1. This is a year over year change of(42%) from fiscal 2022.

Employees of fully owned and/or consolidated WBA businesses; does not include employeesof companies in which WBA has equity method investments.
2
Does not include contractors because they are not included in our employee figures. Most of ouractivities are performed by employees, and seasonal variations do not cause significant variationin our employment figures.
3
Fiscal 2023 data within Deloitte & Touche LLP’s review scope as detailed on pages 119-120.
4
Totals showing zeros reflect rounding of amounts lower than 0.5%.

Workers who are not
employees

AppendicesFull-time (%)

1

2-8

Sustainable Marketplace

GOVERNANCE

ACTIVITIES AND WORKERS (cont.)
2-7

Healthy Planet

Employee Engagement and Development; pages 68-69
Direct Response: At the end of fiscal 2023, we have 21,957 non-employee workers.
Most of these non-employee workers are in the areas of IT and Accounting. We
have contracts with consulting services who directly employ these workers.

Environmental, Social and Governance Report 2023

STRATEGY, POLICIES AND PRACTICES
2-22

Statements on sustainable
development strategy

A Message to Our Stakeholders; page 4
Q&A with Our ESG Committee Chair; page 5
Our Purpose, Vision and Values; page 6

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Overview

GRI Disclosure

Governance

Healthy Communities

References and responses

Healthy and Inclusive Workplace

GRI Disclosure

STRATEGY, POLICIES AND PRACTICES (cont.)

STAKEHOLDER ENGAGEMENT (cont.)

2-23

MATERIAL TOPICS

2-24

2-25

Policy commitments

Governance; pages 21-23
Our Owned Brands; pages 85-86
Code of Conduct and Ethics: Committed to Integrity
Environmental, Social and Governance Policy Statements; page 9
Direct Response: Walgreens Boots Alliance does not have a policy regarding the
precautionary principle or approach. We are involved with a number of externallydeveloped initiatives, as listed in the Stakeholder Engagement section of thisReport.

Embedding policy
statements

Governance; pages 21-23
Responsible Sourcing; pages 88-90

Processes to remediate
negative impacts

ESG Materiality; pages 11-13
Direct Response: The latest WBA materiality assessment was conducted in 2020and looked ahead to the next several years. The scope of the materiality project,particularly during the interview and workshop stages, included consideration ofareas where Walgreens Boots Alliance has potentially negative impacts as well asactivities creating positive results. We place importance on the provision of effective
remedy wherever human rights impacts occur through company-based grievancemechanisms. We encourage anyone who works for or on behalf of Walgreens Boots
Alliance to speak up, without fear of retaliation, about any complaints or concerns they
may have in relation to human rights. We expect our suppliers and business partners
to make the same commitment. This is stated in the WBA Human Rights Policy
Statement. We commit to promoting a grievance mechanism for team members toraise complaints or concerns. We would never impede access to state-based judicial
or non-judicial mechanisms for individuals or communities who feel their human rights
have been impacted. Stakeholder feedback, particularly from patients and customers,
is captured and tracked across WBA.

Mechanisms for seeking
advice and raising concerns

Governance; pages 21-25
Employee Health, Safety and Well-being; pages 58-67
Code of Conduct and Ethics: Committed to Integrity

2-27

Compliance with laws andregulations

Governance; page 23
Direct Response: Record of non-compliance and legal disputes can be foundin our 2023 Annual Report.

2-28

Membership associations

Stakeholder Engagement; pages 16-19 and 87

2-26

Approach to stakeholder
engagement

ESG Materiality; pages 11-13
Stakeholder Engagement; pages 16-19

2-30

Collective bargaining
agreements

Employee Engagement and Development; pages 68-69

Environmental, Social and Governance Report 2023

Sustainable Marketplace

Appendices

References and responses

GRI 3: Material Topics 2021
3-1

Process to determinematerial topics

ESG Materiality; pages 11-13
TCFD Response; pages 111-115
Direct Response on In-store health services: New in-store health service
locations decreased 8 percent, driven primarily by the elimination of the Jenny
Craig partnership. We continue to expand diagnostic lab locations through ourcollaboration with LabCorp1.
This KPI maps to Material Topic 1: Access to Affordable and Quality Healthcare and is within the
Deloitte & Touche LLP review scope as detailed on pages 119-120.

1

3-2

List of material topics

ESG Materiality; pages 11-13

GRI 200 ECONOMIC STANDARDS SERIESECONOMIC PERFORMANCEGRI 3: Material Topics 2021
3-3Management of material
topicsAt a Glance; page 6
Our Approach to ESG; pages 9-10
ESG Materiality; pages 11-13
TCFD Response; pages 111-115

GRI 201: Economic Performance 2016
201-1

Direct economic value
generated and distributed

At a Glance; page 6
Giving Back: Corporate Donations and Supporting Causes; pages 46-51
Employee Engagement and Development; pages 68-69
WBA 2023 Annual Report; pages 1, 10, 47

201-2

Financial implications andother risks and opportunities
due to climate change

TCFD Response; pages 111-115
WBA 2023 Annual Report; pages 13, 20-21, 23

201-3

Defined benefit plan
obligations and otherretirement plans

Direct Response: Plan's liabilities vary by plan. In some cases a plan might befunded through a segregated plan trust or liabilities may not exist because a plan
might not be a pension plan. You can find information on plan liabilities in the fiscal
WBA 2023 Annual Report on pages 107-111. For the U.S., Puerto Rico, and WBA
Inc. participation rates are 49 percent, 70 percent and 37 percent respectively. For
Boots UK, the participation rate is approximately 70 percent.

201-4

Financial assistancereceived from government

Direct Response: The Company received nearly $57 million in tax credits infiscal 2023. The company has received tax holidays from Swiss cantonal income
taxes relative to certain of its Swiss operations. The income tax holidays expiredin September 2022. Upon expiration, a reduced tax rate was extended throughDecember 2029. The holidays had a beneficial impact of $9 million, $104 million

STAKEHOLDER ENGAGEMENT
2-29

Healthy Planet

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GRI Disclosure

Governance

Healthy Communities

References and responses

ECONOMIC PERFORMANCE (cont.)

Healthy and Inclusive Workplace

GRI Disclosure

Healthy Planet

Sustainable Marketplace

Appendices

References and responses

INDIRECT ECONOMIC IMPACTS (cont.)
and $118 million (inclusive of capital GILTI tax cost) during fiscal 2023, 2022, and2021, respectively. This benefit is primarily included as part of the foreign income
taxed at non-U.S. rates line in the effective tax rate reconciliation table in the
WBA 2023 Annual Report on page 106. WBA is a publicly traded company on the
NASDAQ and the Dow Jones Industrial Index. Norge Bank Investment Management
is a shareholder of WBA. Their current stake, shares owned, and value can be foundthrough online disclosures.
Omission: Explanation for Omission: WBA does not disclose financial assistancereceived by any government by country as this information could be used togenerate a strategic competitive advantage if shared publicly.
Reason for Omission: Confidentiality Constraints

Stakeholder Engagement; pages 16-19
Health Access and Awareness; pages 31-39
Partnerships for Good; pages 42-45
GRI 203: Indirect Economic Impacts 2016
203-1

Infrastructure investments
and services supported

Health Access and Awareness; pages 31, 34-35, 38
Digital Healthcare Access; pages 40-41
Partnerships for Good; pages 42-45
Giving Back: Corporate Donations and Supporting Causes; pages 46-51
Prescription Misuse Prevention; page 55

203-2

Significant indirect
economic impacts

Health Access and Awareness; pages 31, 34-35 and 38-39

MARKET PRESENCEGRI 3: Material Topics 2021
3-3Managementof material topics

At a Glance; page 6
Our Approach to ESG; pages 9-10
ESG Materiality; pages 11-13
Stakeholder Engagement; pages 16-19
Healthy and Inclusive Workplace; pages 58-67

ANTI-CORRUPTIONGRI 3: Material Topics 2021
3-3

GRI 202: Market Presence 2016
202-1

202-2

Ratios of standard entry level
wage by gender comparedto local minimum wage

Proportion of senior
management hired from thelocal community

Direct Response: Ratio of our standard entry-level hourly wage to local minimum
wage varies depending on minimum wage standards by location. For our U.S.
Walgreens business operating in all 50 states, our starting hourly wage for all teammembers is $15.00 an hour. The company consistently reviews wages guidelines tomake updates where needed.
In April of 2023 Boots UK applied wage increases to its payroll, enabling thebusiness to continue paying above the national minimum wage for those with six
months experience or more in the business.
Standard entry level wage does not vary by gender.
In addition, we strive to work with suppliers who maintain WBA’s commitment to fairwages and hours for all workers.
Direct response: For both U.S. and UK, 100% of senior management have been
hired from the local community. Senior management is Sr. Directors and above.
"Local" is defined by country, as we operate globally. Significant location ofoperation is based on sales.

INDIRECT ECONOMIC IMPACTS
GRI 3: Material Topics 2021
3-3Managementof material topics

At a Glance; page 6
Our Approach to ESG; pages 9-10
ESG Materiality; pages 11-13

Environmental, Social and Governance Report 2023

Managementof material topics

Our Approach to ESG; pages 9-10
ESG Materiality; pages 11-13
Responsible Sourcing; pages 88-90
Our Owned Brands; pages 85-87
Walgreens Boots Alliance Code of Conduct and Business Ethics; page 26

GRI 205: Anti-Corruption 2016
205-1

Operations assessed for risks
related to corruption

Direct Response: Please refer to the Code of Conduct and Ethics (page 21), 2024
Notice of Annual Meeting and Proxy Statement (pages 32-34, Risk Management)
and WBA 2023 Annual Report (page 14, 32, Risk factors) for how the Company
assesses and mitigates significant risks related to corruption.
Omission
Part of Disclosure Omitted: Total number and percentage of operations assessed
for risks related to corruption
Reason for Omission: Business confidential
Explanation for Omission: Reasons for limiting disclosure include, but are not limited
to, confidentiality.

205-2

Communication and training
about anti-corruption
policies and procedures

Direct Response: WBA strives to maintain high ethical standards. WBA’s Code of
Conduct and Ethics extends and is publicly available to all WBA officers, employees,
any officers or employees of a business or company in which WBA or any of its
subsidiaries has a controlling interest, and other parties acting on behalf of WBA
no matter where they are located in the world. A WBA employee is any employeeof Walgreens Boots Alliance, Inc. or any of its subsidiary companies. The Codealso extends to any officers and employees of a business or company in which
Walgreens Boots Alliance, Inc. or any of its subsidiaries has a controlling interest.

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GRI Disclosure

Governance

Healthy Communities

References and responses
It also extends to other parties acting on behalf of Walgreens Boots Alliance, Inc.
or any of its subsidiaries, such as consultants, agents, intermediaries or otherrepresentatives of WBA, including our board of directors. WBA strives to maintainhigh ethical standards and requires its employees and others doing business with
WBA, including its consultants, agents, intermediaries, and representatives, tocomply with all applicable anti-bribery and corruption laws and other regulations
that prohibit bribery, solicitation of bribery and the payment of kickbacks.
Each WBA business and corporate function is accountable for implementationof the Company’s policies on this issue, including ensuring ongoing, tailoredcommunication for relevant employees. Each business and corporate function mustalso ensure that appropriate training is available to employees and associatedpersons whose roles involve risk related to this area. The Company expects our
suppliers to adopt responsible processes and practices and the quality of goods orservices provided to us to meet the standards set out in the Code and applicablepolicies. It is WBA’s intention to source from suppliers who can satisfy our standards
with regard to anti-corruption or who have given a commitment to achieve thesestandards within an agreed time frame. Sourcing responsibly is our approachto achieving these standards with suppliers. Any corrupt, improper or unethicalbehavior in dealings with suppliers is prohibited.

Confirmed incidents ofcorruption and actions taken

GRI Disclosure

Healthy Planet

Sustainable Marketplace

Appendices

References and responses

ANTI-COMPETITIVE BEHAVIOR (cont.)

ANTI-CORRUPTION (cont.)

205-3

Healthy and Inclusive Workplace

Direct Response: In this reporting period, there have not been any instances of public
legal cases regarding corruption brought against the Company or its employees.
Omission
Part of Disclosure Omitted: Total number and nature of confirmed incidents ofcorruption; Total number of confirmed incidents in which employees were dismissed
or disciplined for corruption; And total number of confirmed incidents whencontracts with business partners were terminated or not renewed due to violations
related to corruption.
Reason for Omission: Business confidential
Explanation for Omission: Reasons for limiting disclosure include, but are not limited
to, confidentiality.

GRI 300 ENVIRONMENTAL STANDARDS SERIESMATERIALS
GRI 3: Material Topics 2021
3-3Management of material
topicsOur Approach to ESG; pages 9-10
ESG Materiality; pages 11-13
Stakeholder Engagement; pages 16-19
Waste and Plastics; pages 78-82
Our Owned Brands; pages 85-87
Sustainable Packaging; pages 94-96

GRI 301: Materials 2016
301-1

Materials used by weightor volume

Sustainable Packaging; pages 94-95

301-2

Recycled input
materials used

Sustainable Packaging; pages 94-95
Direct Response: We do not currently have the capabilities to track recycledmaterial input outside of recycled plastic and wood input in the packaging of ourWalgreens and Boots owned brands.

301-3

Reclaimed products andtheir packaging materials

Waste and Plastics; pages 78-82

ENERGYGRI 3: Material Topics 2021
3-3Management ofmaterial topics

Our Approach to ESG; pages 9-10
Stakeholder Engagement; pages 16-19
Energy and Emissions; pages 72-77

ANTI-COMPETITIVE BEHAVIORGRI 302: Energy 2016

GRI 3: Material Topics 2021

302-1

Energy consumption within
the organization

GHG Statement

302-2

Energy consumption outsideof the organization

Omission
Part of Disclosure Omitted: Energy consumption outside of the organization.
Reason for Omission: Information unavailable
Explanation for Omission: WBA does not have this information available
for energy consumption outside of the organization.

302-3

Energy Intensity

GHG Statement

302-4

Reduction of energy
consumption

Omission
Part of Disclosure Omitted: Amount of reduction in energy consumption.

3-3Management of material
topicsOur Approach to ESG; pages 9-10
ESG Materiality; pages 11-13
Stakeholder Engagement; pages 16-19
Our Owned Brands; pages 85-87
Walgreens Boots Alliance Code of Conduct and Business Ethics; page 21

GRI 206: Anti-competitive Behavior 2016
206-1

Legal actions for anticompetitive behavior, antitrust, and monopoly practices

Direct Response: We disclose all material litigation, including matters related tocompetition law, as required in our WBA 2023 Annual Report and quarterly reports
filed with the SEC. We make these reports publicly available under “SEC Filings” atinvestor.walgreensbootsalliance.com.

Environmental, Social and Governance Report 2023

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Overview

GRI Disclosure

Governance

Healthy Communities

References and responses

ENERGY (cont.)

Healthy and Inclusive Workplace

GRI Disclosure

Reductions in energy
requirements of products
and services

Direct Response: We do not currently have the capabilities to track reductions inenergy requirements of sold products and services achieved during the reporting
period.

Reduction of GHG emissions

Energy and Emissions; pages 72-76
Direct Response: GHG emissions are reported in metric tonnes of carbon dioxide
equivalents (CO2e) and include three of the seven GHGs covered by the Kyoto
Protocol: carbon dioxide (CO2), methane (CH4) and nitrous oxide (N2O). These threegases are also reported separately. The following three greenhouse gases wereomitted from our reporting as they are not a material source of greenhouse gases
for the business: perfluorocarbons (PFCs), sulfur hexafluoride (SF6) and nitrogen
trifluoride (NF3). We believe that hydrofluorocarbons (HFCs) may be material to theCompany as they are used within refrigeration and cooling. We are implementing
processes that will allow reporting on HFCs in future reporting.

305-6

Emissions of ozonedepleting substances (ODS)

Direct Response: Trichlorofluoromethane (CFC-11) is not applicable to our business
operations. We therefore do not track this.

305-7

Nitrogen oxides (NOx), sulfur(SOx) and other significant
air emissions

Direct Response: Nitrogen Oxides (NOx) and Sulfur Oxides (SOx) are not applicableto our business operations. We therefore do not track this.

Our Approach to ESG; pages 9-10
Stakeholder Engagement; pages 16-19
Energy and Emissions; pages 72-77

GRI 305: Emissions 2016
305-1

305-2

305-3

305-4

Direct (Scope 1) GHG
emissions

Energy indirect (Scope 2)
GHG emissions

Other indirect (Scope 3)
GHG emissions

GHG Emissions Intensity

References and responses

305-5

GRI 3: Material Topics 2021
Evaluation of the
management approach

Appendices

Scope 1 and 2 location-based emissions per million USD sales (using net sales). Gasses
included in the calculation are carbon dioxide (CO2), methane (CH4) and nitrous oxide(N2O). We believe that hydrofluorocarbons (HFCs) may be material to the Company, andwe are implementing processes that will allow for reporting on HFCs in future reports.

EMISSIONS

3-3

Sustainable Marketplace

EMISSIONS (cont.)
Reason for Omission: Information unavailable.
Explanation for Omission: WBA does not have this information available
for amount of reduction in energy consumption.

302-5

Healthy Planet

Energy and Emissions; pages 72-75
Gasses included in the calculation are carbon dioxide (“CO2”), methane (“CH4”) andnitrous oxide (“N2O”). We believe that hydrofluorocarbons ("HFCs") may be material
to the Company and we are implementing processes that will allow for reporting on
HFCs in future reports.
Source of the emission factors and the global warming potential (GWP) rate used:
AR6 Emission Factors; U.S. Environmental Protection Agency (EPA) Emissions &General Resource Integrated Database; UK Department for Environment, Food &Rural Affairs (DEFRA); and international Energy Agency (IEA).
Energy and Emissions; pages 72-75
Gasses included in the calculation are carbon dioxide (“CO2”), methane (“CH4”) andnitrous oxide (“N2O”). We believe that hydrofluorocarbons ("HFCs") may be material
to the Company and we are implementing processes that will allow for reporting on
HFCs in future reports.
Source of the emission factors and the global warming potential (GWP) rate used:
AR6 Emission Factors; U.S. Environmental Protection Agency (EPA) Emissions &General Resource Integrated Database; UK Department for Environment, Food &Rural Affairs (DEFRA); and international Energy Agency (IEA).
Energy and Emissions; pages 72-75
Gasses included in the calculation are carbon dioxide (“CO2”), methane (“CH4”) andnitrous oxide (“N2O”). We believe that hydrofluorocarbons ("HFCs") may be material
to the Company and we are implementing processes that will allow for reporting on
HFCs in future reports.
Source of the emission factors and the global warming potential (GWP) rate used:
AR6 Emission Factors; U.S. Environmental Protection Agency (EPA) Emissions &General Resource Integrated Database; UK Department for Environment, Food &Rural Affairs (DEFRA); and international Energy Agency (IEA).
Energy and Emissions; pages 72-75

Environmental, Social and Governance Report 2023

EFFLUENTS AND WASTE
GRI 3: Material Topics 2021
3-3Management of material
topicsOur Approach to ESG: pages 9-10
Stakeholder Engagement; pages 16-19
Waste and Plastics; pages 78-81

GRI 306: Effluents and Waste 2020
306-1

Waste generation andsignificant waste-related
impacts

Waste and Plastics; pages 78-82

306-2

Management of significant
waste-related impacts

Waste and Plastics; pages 78-82

306-3

Waste generated

Waste and Plastics; pages 78-79
Sustainable Packaging; page 95

306-4

Waste diverted from disposal

Waste and Plastics; pages 78-80
Total Weight of Waste Diverted From Disposal:• Onsite - 195,073 metric tons
• Offsite - 459,290 metric tons
Onsite waste consists of diverted reusable totes while offsite waste accounts for allother diverted waste. 195,073 metric tons of waste are handled onsite and 459,290
are handled offsite.

103

Overview

GRI Disclosure

Governance

Healthy and Inclusive Workplace

Healthy Communities

References and responses

GRI Disclosure

EFFLUENTS AND WASTE (cont.)
306-5

Waste directed to disposal

Healthy Planet

References and responses

EMPLOYMENT (cont.)
Waste and Plastics; pages 78-79

The table below shows the number and rate of new employee hires by region.

SUPPLIER ENVIRONMENTAL ASSESSMENTGRI 3: Material Topics 2021
3-3Management of material
topicsAppendicesSustainable Marketplace

At a Glance; page 6
Our Approach to ESG; pages 9-10
ESG Materiality; pages 11-13
Stakeholder Engagement; pages 16-19
Waste and Plastics; pages 78-82
Our Owned Brands; pages 85-87
Responsible Sourcing; pages 88-90
Sustainable Materials; page 91

United States

International1

U.S. Healthcare

New employee
hires

154,571

15,692

1,211

Rate of new
employee hires

67%

24%

32%

The table below shows the number and rate of new employee hires and employee
turnover as of Aug. 31, 20232

GRI 308: Supplier Environmental Assessment 2016308-1

New suppliers thatwere screened using
environmental criteria

Responsible Sourcing; pages 88-90
Sustainable Materials; pages 91-93

308-2

Negative environmental
impacts in the supply chain
and actions taken

Responsible Sourcing; pages 88-90
Sustainable Materials; page 91
Direct Response: One supplier relationship was terminated during the 2023
fiscal year.

GRI 400 SOCIAL STANDARDS SERIESEMPLOYMENTEmployment type

<30

30-50

50+

Male

New employee
hires

114,260

42,68914,54255,561 115,920

Rate of new
employee hires

38%

14%

5%

Employee turnover

86,602

42,08914,858Rate of employee
turnover

29%

14%

5%

19%

Female

UD3
10

39%

-

43,121 100,424

4

15%

34%

-

GRI 3: Material Topics 2021
3-3

Evaluation of the
management approach

Our Approach to ESG; pages 9-10
ESG Materiality; pages 11-13
Stakeholder Engagement; pages 16-19
Healthy and Inclusive Workplace; pages 58-67

Employees of US Retail Pharmacy, US Healthcare, and International are included; does not include
employees of companies in which WBA has equity method investments and is not a majority
owner.
2
Does not include contractors because they are not included in our employee figures. Most of ouractivities are performed by employees, and seasonal variations do not cause significant variationin our employment figures.
3
UD = Undisclosed1

GRI 401: Employment 2016
401-1

New employee hires andemployee turnover

Employee turnover 1,2 as of Aug. 31, 2023

Voluntary
Turnover (%)

Involuntary
Turnover (%)

Total Employee
Turnover (%)

United States

44

11

54

International

26

2

28

U.S. Healthcare

10

12

23

WBA

39

9

48

Environmental, Social and Governance Report 2023

401-2

Benefits provided to fulltime employees that are notprovided to temporary or
part-time employees

Healthy and Inclusive Workplace; pages 58-67

104

Overview

GRI Disclosure

Governance

Healthy and Inclusive Workplace

Healthy Communities

References and responses

GRI Disclosure

Parental leave

1

Male

UD1

Total

Employees eligible
for parental leave

70,42336,193

9

106,625

Employees who
took parental leave

4,496

2,030

-

6,526

Employees who
returned to workfrom parental leave

2,677

1,240

-

3,917

Employees who
returned fromparental leave andworked 12 months

2,181

1,033

-

3,214

UD = Undisclosed

OCCUPATIONAL HEALTH AND SAFETY

Our Approach to ESG; pages 9-10
ESG Materiality; pages 11-13
Stakeholder Engagement; pages 16-19
Governance; pages 21-28
Healthy and Inclusive Workplace; pages 58-67
Workplace Safety; page 58
Code of Conduct and Ethics; page 14

GRI 403: Occupational Health and Safety 2018
403-1
403-2

References and responses

403-3

Occupational health services

Governance; page 23
Employee Health, Safety and Well-being; pages 58-60

403-4

Worker participation,
consultation, andcommunication on
occupational healthand safety

Governance; page 23
Health and Safety; page 25
Employee Health, Safety and Well-being; pages 58-60

403-5

Worker training on
occupational health andsafetyHealth and Safety; page 25
Employee Health, Safety and Well-being; pages 58-60

403-6

Promotion of worker health

Health and Safety; page 25
Employee Health, Safety and Well-being; pages 58-60

403-7

Prevention and mitigationof occupational health andsafety impacts directly linked
by business relationships

Health and Safety; page 25
Employee Health, Safety and Well-being; pages 58-60

403-81

Workers covered by an
occupational health andsafety management system

Direct Response: WBA has implemented key elements of a health, safety andenvironmental system in all markets covering all employees. Safety management
systems, internal and external auditing processes are in place in several larger
markets covering all employees.
Omission
Part of Disclosure Omitted: Workers who are not employees, and an annual internalor external audit process of the management system.

GRI 3: Material Topics 2021
Evaluation of the
management approach

Appendices

are carried out on all work-related activities that carry health, safety andenvironmental risks, and that all mitigating controls required by these assessments
are implemented promptly as appropriate. Each segment, business and corporate
function must have written, fit-for-purpose health, safety and environmental
standards – informed by local legislative requirements — that cover the areasof risk relevant to its operations as well as a compliance program that includes
regular health, safety and environmental audits. Every business must have inplace processes for investigating accidents and near misses to help ensure thatthe root causes of health, safety and environmental incidents are fully identified
and addressed. In addition to internal investigative processes, the Occupational
Safety and Health Administration (OSHA) in the U.S. assesses risks, recommends
improvements and enforces industry standards. In the UK, primary authorities are
consulted on health and safety and environmental matters, for which they may
provide assured advice. As outlined in employee handbooks, policies, and contractsof employment, all employees, agency staff, consultants, and onsite contractors
must engage fully in the management of health, safety, and environmental mattersof segments, businesses and corporate functions. Any concerns about misconduct
or hazardous conditions that may threaten workplace safety should always bereported. WBA does not tolerate retaliation against anyone who raises a legal or
ethical concern, reports misconduct in good faith or participates in an investigation.

The table below shows return to work and retention rates of employeesthat took parental leave by gender as of Aug. 31, 2023

Female3-3Sustainable Marketplace

OCCUPATIONAL HEALTH AND SAFETY (cont.)

EMPLOYMENT (cont.)
401-3

Healthy Planet

Occupational health andsafety management system

Health and Safety; page 25
Employee Health, Safety and Well-being; page 58

Hazard identification, risk
assessment, and incident
investigation

Health and Safety; page 25
Employee Health, Safety and Well-being; pages 58-60
Direct Response: Each WBA segment, business and corporate function mustdesignate a director from its management or operating committee to hold specificresponsibility for management of all health, safety and environmental matters in its
operations. The director must ensure that ongoing comprehensive risk assessments

Environmental, Social and Governance Report 2023

105

Overview

GRI Disclosure

Governance

Healthy Communities

References and responses

OCCUPATIONAL HEALTH AND SAFETY (cont.)
Reason for Omission: Information unavailable
Explanation for Omission: Safety arrangements are commonly in place but are notalways structured as recognized safety management systems, and in at least one
market they do not always cover non-employee workers. An annual internal andexternal audit process of the management system is not applied across all markets.
Systems and approaches are evolving in some markets. Legal agreements limit
and exclude certain responsibilities for record keeping or annual training in somemarkets.

Healthy and Inclusive Workplace

GRI Disclosure

Diversity of governancebodies and employees

Governance; page 22
Diversity, Equity and Inclusion; pages 61-67
2024 Notice of Annual Meeting and Proxy Statement; page 18

405-2

Ratio of basic salary andremuneration of women tomen

Adjusted Gender Pay Difference* (Basic salary only)• Executives - 101.2%• Managers - 97.91%• All Non- Management Employees - 99.77%• Overall - 99.55%*US team members only

LOCAL COMMUNITIESStakeholder Engagement; pages 16-19
Employee Engagement and Development; pages 68-69

404-1

Average hours of training
per year per employee

Employee Engagement and Development; pages 68-69
Direct Response: Walgreens full-time equivalent team members received anaverage of 29 hours of training per person. Male received 27 hours and female
received 30 hours of training.
Omission
Part of Disclosure Omitted: Employee category
Reason for Omission: Information unavailable

404-2

Programs for upgrading
employee skills and transition
assistance programs

Employee Engagement and Development; pages 68-69

404-3

Percentage of employees
receiving regularperformance and careerdevelopment reviews

Employee Engagement and Development; pages 68-69
Direct Response: 98% of Walgreens team members receive performanceappraisals. See Employee Health, Safety and Well-being for more information
on appraisals and workforce data.

DIVERSITY AND EQUAL OPPORTUNITY
GRI 103: Material Topics 2021
Evaluation of the
management approach

GRI 103: Management Approach 2016
3-3

GRI 404: Training and Education 2016

3-3

References and responses

405-1

TRAINING AND EDUCATION

Evaluation of the
management approach

Appendices

GRI 405: Diversity and Equal Opportunity 2016

GRI 403-8 required disclosures are within the Deloitte & Touche LLP review scope as detailedon pages 119-120.

3-3

Sustainable Marketplace

DIVERSITY AND EQUAL OPPORTUNITY (cont.)

1

GRI 3: Material Topics 2021

Healthy Planet

Our Approach to ESG; pages 9-10
ESG Materiality; pages 11-13
Stakeholder Engagement; pages 16-19
Diversity, Equity and Inclusion; pages 61-67
ESG Policy Statements, Diversity, Equity and Inclusion Policy Statement2024 Notice of Annual Meeting and Proxy Statement; page 116
Code of Conduct and Ethics; page 12

Environmental, Social and Governance Report 2023

Management of material
topicsOur Approach to ESG; pages 9-10
ESG Materiality; pages 11-13
Stakeholder Engagement; pages 16-19
Partnerships for Good; pages 42-45
Giving Back: Corporate Donations and Supporting Causes; pages 46-51
Diversity, Equity and Inclusion; pages 61-67
Responsible Sourcing; pages 88-90
Direct Response: For all our major programs we conduct regular analyses to review
our methods, activities, impact and return on resource investment. Based on thesereviews, we decide to continue, modify or discontinue programs. Community
engagement is reviewed in aggregate by operating segments quarterly, todetermine alignment with our ESG strategy.

GRI 413: Local Communities 2016413-1

Operations with local
community engagement,
impact assessments, anddevelopment programs

Fiscal 2023 Achievements and Recognition; pages 7-8
Health Access and Awareness; pages 31-34 and 39
Partnerships for Good; pages 42-45
Giving Back: Corporate Donations and Supporting Causes; pages 46-47
Information and Education; page 52
Diversity, Equity and Inclusion; page 61-63
Waste and Plastics; page 78-82
Sustainable Packaging; pages 94-96
Direct Response: Substantially all of our operations have implemented local
community engagement. The WBA ESG framework gives our businesses acrossthe world the flexibility to engage with local communities based on the relevantsocial, environmental and economic context. Our businesses engage with local
and national organizations that share our purpose, values and ethics in order to106Overview

GRI Disclosure

Governance

Healthy Communities

References and responses

LOCAL COMMUNITIES (cont.)

Operations with significant
actual and potential
negative impacts on local
communities

Appendices

References and responses

3-3

Evaluation of the
management approach

Our Approach to ESG; pages 9-10
ESG Materiality; pages 11-13

GRI 415: Public Policy 2016
415-1

Political contributions

2024 Notice of Annual Meeting and Proxy Statement; page 40
Political Engagement and Contributions Policy

CUSTOMER HEALTH AND SAFETY
GRI 3: Material Topics 2021
3-3Management of material
topicsOur Approach to ESG; pages 9-10
ESG Materiality; pages 11-13
Stakeholder Engagement; pages 16-19
Governance; pages 24-28
Sustainable Materials; pages 91-93
Employee Health, Safety and Well-being; pages 58-69
Product Safety; page 26

GRI 416: Customer Health and Safety 2016

GRI 3: Material Topics 2021
Management of material
topicsSustainable Marketplace

GRI 3: Material Topics

Direct Response: Based on our sector, this is not relevant to our business. We are
creating economic opportunity and access to essential products and services.

SUPPLIER SOCIAL ASSESSMENT

3-3

GRI Disclosure

Healthy Planet

PUBLIC POLICY
understand where they can have the biggest impact. Engagement channels differ
from business to business. Impact assessments are generally conducted for key
national ESG programs and are delivered jointly with the partnering organization.
The Healthy Communities section of this report contains a number of examplesof the impact of such programs. Many programs have impacts felt on national or
global levels, but they are enacted most thoughtfully in the communities we serve.
In the U.S., Walgreens engagement with local community development programs
is decentralized and based on local needs. Employees are involved with localorganizations and participate in health-related events and support local causes ofgreatest priority. Walgreens representatives frequently participate in forums andconsortiums to contribute to community consultations and research, which often
focus on health disparities and social inequities of vulnerable groups. In the UK,
Boots works with long-term national partners to support local communities.
WBA provides opportunities for any of our consumers to give feedback and toraise grievance through online or telephonic mechanism. This would provide
opportunities for local grievances to be addressed.

413-2

Healthy and Inclusive Workplace

Our Approach to ESG; pages 9-10
ESG Materiality; pages 11-13
Stakeholder Engagement; pages 16-19
Our Owned Brands; pages 85-87
Responsible Sourcing; pages 88-90
Modern Slavery and Human Trafficking Statement
Code of Conduct and Ethics; page 26

GRI 414: Supplier Social Assessment 2016414-1

New suppliers that werescreened using social
criteria

Responsible Sourcing; pages 88-90

414-2

Negative social impacts inthe supply chain and actions
taken

Responsible Sourcing; pages 88-90
Modern Slavery and Human Trafficking Statement
Direct Response: Two zero tolerance violations were detected during fiscal 2023.
One with a potential new supplier which resulted in no relationship. One with anexisting supplier which resulted in WBA not actively purchasing from vendor.

Environmental, Social and Governance Report 2023

416-1

Assessment of the healthand safety impacts ofproduct and service
categories

Health and Safety; pages 25-26

416-2

Incidents of non-complianceconcerning the health andsafety impacts of products
and services

Health and Safety; pages 25-26
Direct Response: WBA has not identified any incidents of non-compliancewith regulations or voluntary codes in fiscal year 2023.

MARKETING AND LABELINGGRI 103: Management Approach 2016
3-3

Evaluation of the
management approach

Our Approach to ESG; pages 9-10
Stakeholder Engagement; pages 16-19
Sustainable Packaging; pages 94-96

GRI 417: Marketing and Labeling 2016
417-1

Requirements for productand service information andlabeling

Health and Safety; pages 25-26
Waste and Plastics; pages 78-82
Sustainable Materials; pages 91-93
Sustainable Packaging; pages 94-96

107

Overview

GRI Disclosure

Governance

Healthy Communities

References and responses

MARKETING AND LABELING (cont.)
417-2

417-3

Healthy and Inclusive Workplace

GRI Disclosure

Incidents of non-complianceconcerning product andservice information andlabeling

Health and Safety; pages 25-26
Direct Response: WBA has not identified any incidents of non-compliance withregulations or voluntary codes in fiscal year 2023.

Incidents of non-complianceconcerning marketing
communications

Health and Safety; pages 25-26
Direct Response: WBA has not identified any incidents of non-compliance withregulations or voluntary codes in fiscal year 2023.

3-3

Substantiated complaints
concerning breaches ofcustomer privacy and lossesof customer data

References and responses

Our Approach to ESG; pages 9-10
ESG Materiality; pages 11-13
Stakeholder Engagement; pages 16-19
Information Security; page 27
Patient and Customer Privacy; page 28
Code of Conduct and Ethics; page 33

GRI 418-1 required disclosures are within the Deloitte & Touche LLP review scope as detailed on
pages 119-120.

1

Environmental, Social and Governance Report 2023

Our Approach to ESG; pages 9-10
ESG Materiality; pages 11-13
Health Access and Awareness; pages 31-39
Partnerships for Good; pages 42-45

GRI 3: Material Topics 2021
Management of material
topicsOur Approach to ESG; pages 9-10
ESG Materiality; pages 11-13
Health Access and Awareness; pages 31-39
Partnerships for Good; pages 42-45

PRESCRIPTION DRUG ABUSE
GRI 3: Material Topics 2021
3-3

Information Security; page 27
Patient and Customer Privacy; page 28
Direct Response: For the portion of our pharmacy business that operates in the
U.S., we publicly report breaches to the United States Department of Health andHuman Services Office for Civil Rights (OCR). Click here for a link to the OCR breach
reporting portal. For the portion of our pharmacy business that operates outside
the U.S., including in the European Economic Area, we report data breaches to therelevant data protection authorities in compliance with law
Omission
Part of Disclosure Omitted: Data disclosure incidents not related to pharmacy GRI
Disclosure References and responses
Reason for Omission: Information unavailable
Explanation for Omission: Due to a lack of common definitions for reporting
customer data disclosure incidents across industries and multiple jurisdictions, there
is a concern that reporting customer data disclosure incidents could be confusing or
misleading, especially as it applies to our businesses that operate on a business-tobusiness service model and in retail.

Management of material
topics

CONSUMER HEALTH EDUCATION AND MARKETING

3-3

GRI 418: Customer Privacy 2016418-11

Appendices

GRI 3: Material Topics 2021

GRI 3: Material Topics 2021
Management of material
topicsSustainable Marketplace

ACCESS TO AFFORDABLE AND QUALITY HEALTHCARECUSTOMER PRIVACY

3-3

Healthy Planet

Management of material
topicsOur Approach to ESG; pages 9-10
ESG Materiality; pages 11-13
Stakeholder Engagement; pages 16-19
Health Access and Awareness; pages 31-39
WBA Position Statement: Opioid Epidemic in the United States

CANCER CURE AND PREVENTIONGRI 3: Material Topics 2021
3-3

Evaluation of the
management approach

Our Approach to ESG; pages 9-10
ESG Materiality; pages 11-13
Stakeholder Engagement; pages 16-19
Partnerships for Good; pages 42-45

CUSTOMER RESPONSIBILITYGRI 3: Material Topics 2021
3-3Management of material
topicsAt a Glance; page 6
Our Approach to ESG; pages 9-10
ESG Materiality; pages 11-13
Stakeholder Engagement; pages 16-19
Health and Safety; page 25
Information Security; page 27
Patient and Customer Privacy; page 28

108

Overview

GRI Disclosure

Governance

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

Appendices

References and responses

CHEMICAL USE AND MANAGEMENTGRI 3: Material Topics 2021
3-3

Evaluation of the
management approach

Our Approach to ESG; pages 9-10
ESG Materiality; pages 11-13
Stakeholder Engagement; pages 16-19
Sustainable Materials; page 91

INNOVATION AND DIGITALIZATIONGRI 3: Material Topics 2021
3-3Management ofmaterial topics

Our Approach to ESG; pages 9-10
ESG Materiality; pages 11-13
Stakeholder Engagement; pages 16-19
Health Access and Awareness; pages 31-39

TOBACCO SALESGRI 3: Material Topics 2021
3-3Management ofmaterial topics

Our Approach to ESG; pages 9-10
ESG Materiality; pages 11-13
Stakeholder Engagement; pages 16-19
Health Access and Awareness; pages 31-39

Environmental, Social and Governance Report 2023

109

Overview

Governance

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

Appendices

SASB Index
The Sustainability Accounting Standards Board (SASB) Standards are independent
standards for ESG disclosures maintained by the International Sustainability Standards
Board ("ISSB"). The SASB reporting standards are industry-specific, covering ESG
reporting criteria for 77 industries to meet investor needs. The table below is WBA’s SASB
Index1, which includes disclosures as part of the drug retailers industry, which includes
companies that operate retail pharmacies and distribution centers that supply retail stores.

Drug Retailers Standard
Topic

MetricDrug Retailers Standard
Category

Code

Response

Topic

ACCOUNTING METRICS(1) Total energy consumed,(2) Percentage grid electricity,(3) Percentage renewable

Quantitative

HC-DR-130a.1(1) 15,818,645 GJ(2) 69.4%(3) 4.8%

Data Security
and Privacy

Description of policies andpractices to secure customers’
protected health information (PHI)
records and other personallyidentifiable information (PII)

Discussion
and analysis

HC-DR-230a.1

See Patient and Customer
Privacy on page 28.

First fill adherence rate

Quantitative

Description of policies
and practices to prevent
prescription dispensing errors

Category

Code

Response

Number of pharmacy locations

Quantitative

HC-DR-000.A

Fiscal 2023 Annual Report
identifies 12,661 retail storesof which 12,476 have pharmacies.

Total area of retail space

Quantitative

HC-DR-000.B

Retail space of 13 million
square meters.

Number of prescriptions filled

Quantitative

HC-DR-000.C

The U.S. Retail Pharmacy
segment filled 800.8 millionprescriptions (including
vaccinations) in fiscal 2023.
Adjusted to 30-day equivalents,prescriptions filled were
1.2 billion in fiscal 2023.

Number of pharmacists

Quantitative

HC-DR-000.D

WBA has over 32,000 registeredpharmacists between the U.S.
Retail Pharmacy, U.S. Healthcare,and International segments.

ACTIVITY METRICS

EnergyManagementin RetailPatient Health
Outcomes

MetricDiscussion
and analysis

HC-DR-260b.1

HC-DR260b.2

Activity
Metrics

Walgreens' first fill adherence
rate, the percentage of patientswith prescriptions who refilled
medications at Walgreens atleast one time after the initial
fill, was 64.6 percent in fiscal
2023. The rate was calculated
by reviewing a random sample
of 100,000 new-to-therapy patientprescriptions from the following
drug classes - antidiabetics,
statins or antihypertensive
drugs - removing patientson insulin from the sample2.
See Patient safety on page 25.
1

SASB Index is included within the scope of Deloitte & Touche LLP review as detailed in the assurance report on pages 119-120.
Includes U.S. Retail Pharmacy segment only2

Environmental, Social and Governance Report 2023

110

Overview

MORE INFO
More climate performancehighlights can be found in the
Energy and Emissions sectionof this ESG Report on page 72.

Governance

Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

Appendices

TCFD Response

We continue to integrate the results of the CSA with our Enterprise
Risk Management (ERM) team to formulate action plans.

GRI 3-3, 201-2

WBA’s highlights in fiscal 2023 include:

At WBA, fulfilling our purpose to create more joyful lives throughbetter health means we must do our part to safeguard a livable planet.
We recognize that climate change, environment, equity and human healthare interconnected and are acutely aware of climate-related risks to our local
communities as well as globally, which is why our ESG efforts are embedded
in our business strategy. We strive to improve global health in a way that isenvironmentally conscious and socially equitable.
WBA’s mitigation efforts to reduce its impact on the climate are focusedon two primary initiatives: 1) driving efficient operations and 2) proactively
engaging with stakeholders, including suppliers, with an emphasis on
reducing energy consumption, emissions and waste, while increasing
reuse and recycling options to help create a progressively circular economy.
WBA will act through our Company initiatives and through collaboration
with industry, trade and other climate and environmental experts.
The WBA ESG Committee approved the production of a responsealigned to the Task Force for Climate-Related Financial Disclosures (TCFD)
requirements as increasing attention is focused on this disclosure. A growing
number of governments and regulating bodies have adopted or proposed
new climate regulations, citing TCFD as a leading framework. We arecommitted to increasing transparency and continuously improving our
ESG-related disclosures as our stakeholders, including customers andinvestors, are interested in our climate-related actions and goals.

WBA metrics and targets are presented in the table below. Additionally,
our principal businesses set targets as they comprise a large percentage
of our overall emissions. In fiscal 2023, Walgreens and Boots UK represent
more than 96 percent of our Scope 1 and 2 carbon footprint and havetargets within each:• WBA: Reduce our absolute Scope 1 and Scope 2 emissions
30 percent by the end of fiscal 2030 compared with our baseline
year of fiscal 2019.
• Boots UK and No7 Beauty Company owned brands: Reach The UK
Plastics Pact 2025 targets: 30 percent reduction in plastic packaging
compared with 2018, 100 percent of plastic packaging reusable orrecyclable by consumers and achieve 30 percent average recycledcontent across plastic packaging.
• Walgreens owned brand packaging 2030 targets: A 30 percent
reduction in plastics packaging compared with fiscal 2020, 100 percent
plastics packaging recyclable, reusable or compostable and 30 percent
average recycled content across plastics packaging portfolio. Thesesignificant targets play a critical role in our overall emissions-reduction
strategy. More information on the actions taken on these targets canbe found within this ESG Report within the Energy and Emissions
section on page 72.

WBA conducts a materiality assessment at least every three years
to understand our impacts, encourage insightful stakeholder dialogue,
inform our sustainability strategy and form the basis for our ESG reporting.
Our 2021 materiality assessment resulted in the topic of “energy use andclimate impacts” as having very high significance to our stakeholders. As
such, WBA reports on climate-related risks in our 2023 Annual Reportand discusses strategy, goals and metrics in our annual ESG Report. We
also complete the CDP Climate Change questionnaire on an annual basis,demonstrating our commitment to transparently reporting our progress.
This third WBA response against the voluntary guidelines of the TCFD
continues our multiyear approach to reaching a fully developed TCFD
response. Our response aligns to our most recent CDP climate change
questionnaire, the emissions disclosures found in this ESG Report andour fiscal 2022 climate scenario analysis ("CSA").

Environmental, Social and Governance Report 2023

111

Overview

Disclosure Focus Area

Recommended Disclosures

Governance

Healthy Communities

Response

Governance
Disclose the organization’s
governance aroundclimate-related risks
and opportunities.

Healthy and Inclusive Workplace

Disclosure Focus Area

Healthy Planet

Recommended Disclosures

Sustainable Marketplace

Appendices

Response

Governance (cont.)a) Describe the board’s
oversight of climaterelated risks andopportunities.

The board of directors oversees ESG through two
committees: Nominating and Governance and Audit.

global chief communications officer, the senior vicepresident and global chief public affairs officer, thesenior vice president and chief administrative officer forinternational, the executive vice president and global chief
legal officer, the senior vice president, global controller
and chief accounting officer, and the senior vice president,
managing director and president for Boots.

The Nominating and Governance Committee oversees theCompany’s ESG initiatives, policies and activities, including
sustainability and the environment. Such oversight includes
a review of the Company’s management of related risks, inconsultation with the Audit Committee as appropriate. The
ESG Committee reports to the Nominating and GovernanceCommittee twice a year to review ESG strategy, including
global emissions activities, tracking against emissions
reduction targets, review of the annual ESG Report andactivities discussed within the annual ESG Report.

The ESG Committee meets regularly and, among otherobligations, sets and oversees ESG strategy, goals,
programming and policy statements. This includes tracking
progress and reporting on external ESG goals, and thegoals set by principal businesses and cross-segment
organizations. The ESG Committee meets four times a year
to review the ESG program and reports to the Nominatingand Governance Committee at least twice a year.

Members of the Nominating and Governance Committee
are all independent directors, and the chair of the committee
is responsible for reporting to the full board of directors
regarding the activities of the Nominating and GovernanceCommittee at appropriate times and as otherwise requestedby the Chairman of the board. The Nominating andGovernance Committee Charter is publicly available
on the WBA website.
The Audit Committee also reviews the Company’s strategy
for business continuity and disaster management, including
the establishment of emergency response teams across thebusiness. The Audit Committee Charter is publicly available
on the WBA website. Additionally, the Audit Committee
has explicit oversight responsibility for Enterprise Risk
Management (ERM), including overseeing management’s
analysis and mitigation. The ERM encompasses the review
of emerging and existing risks relating to climate change
and their impact on the business. The Audit Committee
members are all independent directors and meet on
ERM activity twice annually.
In addition to work conducted within the committees,
the WBA chief operating officer, international, headof the ESG Committee, provides ESG programming
updates to the full board of directors annually.
b) Describe management’s
role in assessing andmanaging climate-relatedrisks and opportunities.

Environmental, Social and Governance Report 2023

The WBA ESG Committee plays a leading role in providing
oversight and governance. During fiscal 2023 the ESG
Committee was chaired by the chief operating officer forinternational and included the executive vice president andglobal chief human resources officer, the vice president for
ESG and DEI for international, the senior vice president for
ESG and chief DEI officer, the president for Walgreens retailand chief customer officer, the senior vice president andAdditionally, the senior vice president and global chiefcompliance and ethics officer, updates the ESG Committee
and oversees the ERM program, which is designed to
identify, monitor and assess significant short-, medium- andlong-term risks. Key risks are presented to and reviewed by
the WBA Governance, Risk and Compliance Committee on
a bi-annual basis, and summaries are presented to theBoard’s Audit Committee at least twice annually.
Strategy
Disclose the actual andpotential impacts ofclimate-related risks andopportunities on theorganization’s business,strategy, and financial
planning where suchinformation is material.

Describe the climate-relatedrisks and opportunities theorganization has identified
over the short, medium, andlong term.

Climate change presents a wide range of risks andopportunities to WBA over the short, medium and long term.
The risks identified below may have a material impact on
business operations and financial performance.
Physical risks, such as extreme weather conditions, rising
sea levels or changes in precipitation patterns, may impact
operations and facilities around the world by causing
physical damage to stores, distribution or fulfillment centers,
which may lead to loss or spoilage of inventory and businessinterruptions. Extreme weather conditions and variability inweather patterns may also result in supply chain disruptions
and increased supplier costs that could negatively impact
the Company’s ability to procure goods or services required
for the operation of its business.
Transition risks associated with the shift to a low-carbon
economy may have an impact on WBA operations, supply
chain and access to capital. Uncertainty in energy prices andcosts of fossil fuel-based goods (e.g., plastics) may increase
costs throughout the supply chain in addition to WBA

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Disclosure Focus Area

Recommended Disclosures

Governance

Healthy Communities

Response

Strategy (cont.)

Healthy and Inclusive Workplace

Disclosure Focus Area

Healthy Planet

Recommended Disclosures

Sustainable Marketplace

Appendices

Response

Strategy (cont.)
operations. WBA operations use natural gas, diesel
fuel and gasoline and electricity, all of which could face
increased regulation as a result of climate change or otherenvironmental concerns. There are also transition risks
associated with increasing regulations on greenhouse gas
emissions and energy inputs which may increase costs
associated with operations, compliance and merchandise.
There are risks and opportunities associated with
employees, customers and certain shareholders that
may affect the WBA public perception with interested
stakeholders. Additionally, if WBA is not able to show
progress on climate-related issues or is delayed or unable
to meet goals on time (e.g., reducing GHG emissions),
it could affect the Company’s ability to retain existing
and attract new customers and employees. Beyond therisks described above, climate change may also present
opportunities for WBA to provide new health-related
services and respond to increased demand for low-carbon
products. By improving access to healthcare, WBA has
an opportunity to serve the needs of local communities
experiencing severe weather conditions and other climaterelated impacts. Worsening climate change conditions
may increase the prevalence and severity of human healthimpacts (e.g., increased heat stress, new pathogens or
vector-borne diseases), and WBA may be able to invest
in beneficial products and services such as telehealth,pharmacy services, retail product offerings and mobile
vaccination clinics to meet the needs of its customers.
WBA is continually evaluating relevant climate risks andopportunities and seeks to mitigate the impacts of theserisks while also building capacity to realize opportunities.
Describe the impact
of climate-related risks
and opportunities on theorganization’s businesses,
strategy, and financial
planning.

Environmental, Social and Governance Report 2023

Climate-related risks and opportunities have influenced
and been incorporated into company-wide objectives,
strategies and goals. The Company is focused on mitigating
the impacts of climate change by reducing GHG emissions
and reducing operating costs.
The Company is taking steps to improve the sustainabilityof WBA operations by prioritizing energy conservation andefficiency at retail and distribution locations. Additionally,
the Company is building its resilience to climate risks while
generating value for customers and ensuring business
continuity in the face of weather and/or climate change
impacts. WBA has an opportunity to play a supportive roleas communities transition within the changing climate.

The Company is increasingly offering products and services,
health and other, that align with a low-carbon economy, help
reduce its impact on the planet and help communities adapt
to climate change.
Climate-related risks and opportunities will continue
to inform WBA business strategy and financial planning.
The ERM team will evaluate climate-related risks todetermine materiality for incorporation into the Company’s
broader risk management process. As the Company looks
to develop its business strategy aligned with a low-carbon
future, it will use the results of its climate scenario analysis(CSA) to make informed decisions about which risks andopportunities to prioritize.
Describe the resilience ofthe organization’s strategy,
taking into considerationdifferent climate-related
scenarios, including a 2°C
or lower scenario.

As part of the WBA commitment to building resilience into
its business strategy, WBA conducted a CSA to identify,
prioritize and determine the potential impacts of climaterelated risks and opportunities that could affect its business.
The Company took a cross-functional approach to the CSA
by involving internal stakeholders from across the Company
to identify ten risks and opportunities most relevant to WBA.
Each identified risk and opportunity was analyzed under
two climate scenarios: a high-emissions scenario and a
low-carbon economy scenario. Both scenarios were basedon climate projections from the Intergovernmental Panel on
Climate Change (IPCC). The low-emissions scenario, also
known as Representative Concentration Pathway (RCP)
2.6, is based on keeping global warming under 2 degrees
Celsius and is modeled under the assumption that the world
takes a sharp pivot toward climate action, including rapid
decarbonization. The high-emissions scenario is basedon RCP 8.5, which would result in 4 to 5 degrees Celsius
of warming by the end of the century. This scenario presents
the upper bounds of impacts from global warming resulting
from inaction on decarbonization and climate-change
mitigation.
The results of this CSA show that physical risks will havea larger impact on WBA’s business in the high emissions
scenario. In a high emissions scenario, extreme weather
conditions and other climate disasters would have a moresignificant impact on WBA through store closures, lost
sales, inventory spoilage and repair costs. Transition risks
are more varied, however, with many of these risks having
a larger impact on WBA in the near term (i.e., by 2030) ina low- emissions scenario. These impacts are due to the113Overview

Disclosure Focus Area

Recommended Disclosures

Governance

Healthy Communities

Response

Strategy (cont.)

Healthy and Inclusive Workplace

Disclosure Focus Area

Healthy Planet

Recommended Disclosures

Appendices

Response

Risk Management (cont.)
added burden that would be required to address the rapid
shift to a low-carbon economy. Climate-related opportunities
are generally more pronounced in the high emissions
scenario, as larger impacts from climate change will lead toincreased opportunities for WBA to provide solutions that
improve healthcare access and quality of services.
WBA is beginning to implement changes based on the
results of the CSA and will continue to evolve based on
results. The WBA ERM team will use the learnings fromthis analysis to determine if adjustments are needed in its
decision-making and risk-management processes, andwill integrate the output of the CSA into its considerationof financial material risk, financial planning and businessstrategy development.

Risk Management
Disclose how theorganization identifies,
assesses and manages
climate-related risks.

Sustainable Marketplace

Describe the organization’s
processes for identifying
and assessing climaterelated risks.

For WBA, climate-related risks are considered within the risk
identification, assessment and management processes. The
ERM and Compliance functions are primarily responsible
for monitoring the overall risk profile, which includes bothclimate-related physical and transition risks. The ERM
program tracks current and emerging risks and recommends
changes to the Company’s key risk summary. At thecompany level, risk assessments encompass all strategic,
operational, commercial, regulatory, reputational, legal andfinancial risks that could have an adverse impact on WBA.
Climate-related risks can impact all of these risk types, andtherefore have to be considered. Acute physical risks, suchas flooding, have operational, commercial and financial
implications. WBA is committed to evaluating and monitoring
acute physical risks to help ensure it is properly preparedand can help mitigate. Risks are identified and assessed
for all businesses and global functions. Each business is
responsible for preparing and reviewing potential risksbi-annually.
WBA considers potential risks, including climate-relatedrisks, to the Company and evaluates them based on thefollowing criteria: (i) the importance of the issue to andpotential impact on the Company; (ii) the importance of theissue to and potential impact on its stakeholders; and (iii)the time frame in which WBA envisions the issue
becoming relevant.
Transitional market-related risks are regularly assessedand prioritized as part of the Company's risk assessment

Environmental, Social and Governance Report 2023

process, which includes shifts in the supply anddemand for certain commodities, products and services.
Climate-related risks and opportunities are increasingly
considered in this process. Chronic physical risks such astemperature changes due to climate change are includedin the Company’s assessments regarding measuring andmanaging energy use and associated GHG emissions.
Describe the organization’s
processes for managing
climate-related risks.

WBA manages climate-related risk with a company view
and impact on the broader environment. WBA manages
these risks through its ERM program, targets managed by
the ESG Committee and in setting company-wide practices
and procedures, each with efforts to continually improveto reduce its impact.
The ERM program sets the framework for identifying,assessing and managing climate-related risks. The ERM
program is specifically designed and tailored to identify,
monitor and assess significant short-, medium- and longterm risks to the Company and to help ensure that WBAis taking appropriate steps to mitigate them. Risks are
specifically monitored through the ERM and Compliancefunctions. Risks are identified and assessed for all
businesses and global functions across WBA. Within thisprocess, each business is responsible for preparing andreviewing potential risks bi-annually.
The ERM program tracks current and emerging risks andprovides recommendations for changes to the Company’s
key risk summary. Summaries of key and emerging risks
are presented to the Audit Committee. Updates on risk
mitigation are provided to the Audit Committee through the
ERM program or management presentations as appropriate.
In addition to ERM, the ESG Committee maintains
environment-related objectives that are tracked, monitored
and cascaded to each business to align with local objectives
and initiatives. WBA completes the CDP climate change
questionnaire annually and reports progress against its
Healthy Planet commitments in its annual ESG Report to holditself accountable and communicate goals and progress.
At WBA, focus is given to preparedness and training. WBA
maintains a Business Continuity Management programand utilizes nationwide resources, support systems andinfrastructure to respond quickly, compassionately andeffectively during natural disasters, emergencies andpandemics. The Company has plans and protocols in place
to effectively support and provide necessary services to114

Overview

Disclosure Focus Area

Recommended Disclosures

Governance

Healthy Communities

Response

Risk Management (cont.)

Healthy and Inclusive Workplace

Disclosure Focus Area

Healthy Planet

Sustainable Marketplace

Appendices

Recommended Disclosures

Response

Disclose Scope 1,
Scope 2, and, if appropriate,
Scope 3 greenhouse gas(GHG) emissions, andthe related risks.

WBA annually quantifies Scope 1, 2 and 3 emissions
through two reporting channels: the Energy and Emissions
section of its ESG Report, including three years of data,and its CDP climate change questionnaire. WBA Scope
1 and location-based Scope 2 emissions are calculatedusing commonly accepted emission factors. Scope 3
emissions were reported for two categories in accordancewith the GHG Protocol's Corporate Value Chain (Scope 3)
Standard: Business travel and the portion of downstream
transportation and distribution (cars, aircraft, trains or by sea)
for operations outsourced to third parties where deliveries
are made exclusively for WBA businesses.

Metrics and Targets (cont.)
minimize disruptions and keep stores open and operating,or provide other solutions, such as mobile location, tomeet patients’ and customers’ needs. The Company also
implements processes to minimize supply chain disruption.
WBA utilizes its Security Operations Center at Walgreensin the U.S. to identify areas that will be drastically impacted
by natural disasters and deploy needed resources, likegenerators and mobile pharmacies, to the areas thatneed them most.
In broader company activities, WBA endeavors to ensure
the appropriate use of resources and materials, minimize
waste and encourage reuse and recycling, ensure the safe
handling and disposal of products, maintain environmental
management systems and communicate its commitment
to the environment across the entire Company. Further,
WBA strives to ensure that the team members, customers,
patients and communities it serves are safe during andafter a crisis while maintaining a continuity of service.

Describe how processes for
identifying, assessing, andmanaging climate-relatedrisks are integrated into theorganization’s overall risk
management.

WBA integrates the process for identifying, assessing
and managing climate-related risks into the overall risk
management process specifically through the ERM andCompliance functions which are primarily responsible formonitoring the overall risk profile.

Disclose the metrics usedby the organization toassess climate-related risks
and opportunities in linewith its strategy and risk
management process.

WBA regularly reports GHG emissions and energy
consumption across its operations and supply chain,
as well as the source associated with each emissions
category. Further, the Company tracks solid waste
generation and disposal methods across all its businesses.
See the list of climate-focused initiatives and relevant
data on page 74 of this ESG Report for more information.

At the company level, risk assessments encompass all
strategic, operational, commercial, regulatory, reputational,
legal and financial risks that could have an adverse impact
on WBA. WBA is implementing learnings from the CSA
results as part of its ongoing efforts to further integrate
climate-risk management and mitigation within its ERM
and business continuity and disaster recovery policies.

Risks associated with Scope 3 emissions include
the estimations used in emission factors and thecompleteness of data.
Describe the targets usedby the organization to
manage climate-relatedrisks and opportunities andperformance against targets.

WBA set a target to reduce its absolute Scope 1 and 2
emissions by 30 percent from a 2019 baseline by the endof fiscal 2030. This target is aligned with the Company’s
approach to addressing the impact of climate-related risks
and opportunities on operations. WBA plans to achieve
this target primarily through a continued focus on energy
efficiency improvements at Walgreens and Boots UK retaillocations. As of fiscal 2023, WBA has reduced emissions
by 25% percent from the 2019 baseline, which means theCompany is over halfway to achieving its 2030 target. WBA
plans to continue making progress toward this target andreducing its exposure to climate-related risks by improving
energy efficiency at retail locations and using environmental
management systems (EMS) in retail locations to monitor
energy performance and provide insight into climatestressed locations.

Metrics and Targets
Disclose the metrics andtargets used to assess
and manage relevant
climate-related risks andopportunities where suchinformation is material.

Environmental, Social and Governance Report 2023

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Healthy Communities

Healthy and Inclusive Workplace

Healthy Planet

Sustainable Marketplace

Appendices

United Nations
Global Compact Index
The United Nation’s Global Compact (UNGC) is a voluntary initiative based on CEO commitments toimplement universal sustainability principles and to take steps to support UN goals. Walgreens Boots
Alliance has been a signatory member of the UNGC since 2020 and supports the initiative’s ten principles
on human rights, labor, environment and anti-corruption. WBA’s Letter of Commitment can be found here.
WBA’s Communication on Progress during 2022 qualified for the Global Compact Advanced level.

UNGC Principles

Disclosure

HUMAN RIGHTS

Principle 1: Businesses should support and respect theprotection of internationally proclaimed human rights; andDisclosure

ENVIRONMENT• Sustainable Marketplace, pages 84-96• Healthy and Inclusive Workplace, pages 56-69• WBA Code of Conduct and Business Ethics• Modern Slavery and Human Trafficking Statement

Principle 2: Make sure that they are not complicit
in human rights abuses.

UNGC Principles• WBA Human Rights Policy Statement• WBA Supplier Code of Conduct

Principle 7: Businesses should support a precautionary
approach to environmental challenges;
Principle 8: Undertake initiatives to promote greater
environmental responsibility; and• Healthy Planet, pages 70-82• WBA CDP Response Fiscal 2023, which covers 2022
• WBA Supplier Code of Conduct• WBA ESG Policy Statements

Principle 9: Encourage the development and diffusionof environmentally friendly technologies.
ANTI-CORRUPTION

Principle 10: Businesses should work against corruption
in all its forms, including extortion and bribery.

LABOR

Principle 3: Businesses should uphold the freedomof association and the effective recognition of the rightto collective bargaining;
Principle 4: The elimination of all forms of forced
and compulsory labour;
Principle 5: The effective abolition of child labour; and• Sustainable Marketplace, pages 84-96• Healthy and Inclusive Workplace, pages 56-69• WBA Code of Conduct and Business Ethics• WBA Code of Conduct and Business Ethics• Responsible Sourcing, pages 88-90• WBA Supplier Code of Conduct• WBA ESG Policy Statements• Modern Slavery and Human Trafficking Statement• WBA Human Rights Policy Statement• WBA Supplier Code of Conduct• WBA ESG Policy Statements

Principle 6: The elimination of discriminationin respect of employment and occupation.

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Management Assertion Table

Healthy Planet

AppendicesSustainable Marketplace

Specified Disclosures presented in accordance with the GRI Sustainability Reporting Standards (the “GRI Standards”):

Management of Walgreens Boots Alliance (WBA) is responsible for the completeness, accuracy and validityof the Specified Disclosures referenced below for the period or date indicated below. Management is also
responsible for the collection, quantification and presentation of the information included in the 2023 ESG
Report and for the selection of the criteria, which management believes provides an objective basis formeasuring and reporting on the Specified Disclosures. Management of Walgreens Boots Alliance asserts thatthe sustainability disclosures referenced below (the WBA specified disclosures, Global Reporting Initiative(GRI) specified disclosures, and the Sustainability Accounting Standards Board (SASB) specified disclosurescollectively the “Specified Disclosures”) for the period or date indicated below, are presented in accordancewith the criteria set forth below.

Specified Disclosures presented in accordance with WBA ESG Basis of Presentation (the “WBA Criteria”)
as presented on pages 121-127.
Specified Disclosure

Healthy and Inclusive Workplace

WBA Criteria

ESG Report reference(1) Total Company CO2e emissions, by source

Total emissions by source (energy,
product delivery and business travel)

Page 74(2) CO2e emissions from energy, by type

Total emissions from energy by type:electricity (direct and indirect), gas (indirect),and other (combined heat and power, oiland liquefied petroleum gas)

Page 74

GRI Standard and Specified Disclosure (for the year ended August 31, 2023)

ESG Report reference(1) G RI 1-3.5: Access to Affordable
and Quality Healthcare

Page 100

Disclosure GRI 3-3: Management of material
topics and the following WBA criteria:
Total number of new in-store health service
locations and total number of collaborations
with healthcare service providers covered on
the Walgreens app through Walgreens Find
Care that increase access to healthcare.

(2) G RI 416-1: Safety of Products
and Services

Disclosure GRI 416-1: Assessment of thehealth and safety impacts of product andservice categories from the GRI Standards
416: Customer Health and Safety 2016.

Pages 25-26(3) G RI 414-1 and GRI 414-2: Responsible
and Ethical Supply Chains

Disclosure GRI 414-1: New suppliers that werescreened using social criteria and GRI 414-2:
Negative social impacts in the supply chain
and actions taken from the GRI Standards 414:
Supplier Social Assessment 2016.

Pages 88-89(4) G RI 401-2 and GRI 403-8: Employee
Health, Safety, and Well-Being

Disclosure GRI 401-2: Benefits provided tofull-time employees that are not provided totemporary or part-time employees from the
GRI Standards 416: Customer Health and
Safety 2016
andPages 59-69

Disclosure GRI 403-8: Workers coveredby an occupational health and safety
management system from the GRI Standards
403: Occupational Health and Safety 2018.

Pages 105-106(5) GRI 418-1: Data Privacy and Security

Disclosure GRI 418-1: Substantiatedcomplaints concerning breaches of customer
privacy and losses of customer data from the
GRI Standards 418: Customer Privacy 2016.

Pages 28, 108(6) GRI 306-3: Waste Management

Disclosure GRI 306-3: Waste generated
from the GRI Standards 306: Waste 2020.

Page 79(7) GRI 302-1: Energy Consumption

Disclosure GRI 302-1: Energy consumption
within the organization from the GRI Standards
302: Energy 2016.

GHG Statement;
page 2(for the year ended August 31, 2023)

Total emissions from business travel,
by type: road, air and rail(3) S cope 1 CO2e emissions except for the
portion sold to third parties or to the grid

Total CO2e emissions from scope 1 except
for the heat and electricity produced by our
on-site plant in Beeston, Nottingham, UK,and sold to third parties or to the grid

Page 75(4) CO2e emissions from business travel,
per 1,000 employees, by division andfor the Company

Total CO2e emissions from business travel
per 1,000 employees

Page 74(5) Waste by method of disposal

Total Waste Directed to Disposal:
landfill and incineration

Page 79

Total Waste Diverted from Disposal:
recycled and reuse

Environmental, Social and Governance Report 2023

GRI Standard and Specified Disclosure (for the year ended December 31, 2022)(8) GRI 306-3: Plastics and Packaging

Disclosure GRI 306-3: Waste generated fromthe GRI Standards 306: Waste 2020.

Page 95

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Sustainable Marketplace

AppendicesSpecified Disclosures presented in accordance with the GRI Sustainability Reporting Standards (the “GRI Standards”):
GRI Standard and Specified Disclosure (as of August 31, 2023)

ESG Report reference(9) GRI 405-1: Diversity, Equity, and Inclusion

Pages 22, 66

Disclosure GRI 405-1: Diversity of governancebodies and employees from the GRI Standards
405: Diversity and Equal Opportunity 2016.

Specified Disclosures presented in accordance with Sustainability Accounting Services Standards Board (“SASB”)
Drug Retailers Sustainability Accounting Standards (the “SASB Standards”):
Specified Disclosure

SASB Standard

ESG Report reference

Accounting Metrics – Energy Management in Retail (for the year ended August 31, 2023)(1) HC-DR-130a.1

HC-DR-130a.1:

Page 110(1) Total amount of energy consumedin Gigajoules (GJ)(2) P
 ercentage (%) grid electricity
of total energy consumed(3) P ercentage (%) of renewable electricity
of total energy consumed
Accounting Metrics – Data Security & Privacy (as of August 31, 2023)(2) HC-DR-230a.1

HC-DR-230a.1: Description of policies andpractices to secure customers’ protected
health information (PHI) records and otherpersonally identifiable information (PII)

Page 28

Accounting Metrics – Patient Health Outcomes (as of August 31, 2023)
HC-DR-260b.2: Description of policies
and practices to prevent prescription
dispensing errors

Page 110(4) SASB HC-DR-000.A

SASB HC-DR-000.A: Number of pharmacy
locationsPage 110(5) SASB HC-DR-000.B

SASB HC-DR-000.B: Total area of retail space

Page 110(6) SASB HC-DR-000.C

SASB HC-DR-000.C: Number of prescriptions
filledPage 110(7) SASB HC-DR-000.D

SASB HC-DR-000.D: Number of pharmacists

Page 110(3) HC-DR-260b.2

Activity Metrics (as of August 31, 2023)

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Assurance Report
GRI 2-5

Healthy Communities

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Sustainable Marketplace

Appendicesobtained had an examination been performed. We believe that the review
evidence obtained is sufficient and appropriate to provide a reasonablebasis for our conclusion.
We are required to be independent and to meet our other ethicalrequirements in accordance with relevant ethical requirements in accordancewith the AICPA Code of Professional Conduct.
We applied the Statements on Quality Control Standards established by the
AICPA and, accordingly, maintain a comprehensive system of quality control.

INDEPENDENT ACCOUNTANT’S REPORTESG Committee of Walgreens Boots Alliance, Inc.
Walgreens Boots Alliance, Inc.
Deerfield, IL 60015
We have reviewed management of Walgreens Boots Alliance, Inc.’s (the“Company” or “WBA”) assertion that the sustainability disclosures identified
in Appendix A and referenced in the Management Assertion Table of theaccompanying WBA 2023 Environmental, Social, and Governance Report (the“WBA 2023 ESG Report”) (the WBA specified disclosures, Global Reporting
Initiative (“GRI”) specified disclosures, and the Sustainability AccountingStandards Board (“SASB”) specified disclosures, collectively, the “Specified
Disclosures”) for the period or date indicated in Appendix A, are presented
in accordance with the criteria set forth in Appendix A and the Management
Assertion section of the accompanying WBA 2023 ESG Report.
The Company’s management is responsible for its assertion. Our responsibility
is to express a conclusion on management’s assertion based on our review.
Our review was conducted in accordance with attestation standards
established by the American Institute of Certified Public Accountants (AICPA)in AT-C Section 105, Concepts Common to All Attestation Engagements, and
AT-C Section 210, Review Engagements. Those standards require that weplan and perform the review to obtain limited assurance about whether any
material modifications should be made to management’s assertion in orderfor it to be fairly stated. The procedures performed in a review vary in natureand timing from and are substantially less in extent than, an examination,
the objective of which is to obtain reasonable assurance about whether
management’s assertion is fairly stated, in all material respects, in order toexpress an opinion. Accordingly, we do not express such an opinion. Becauseof the limited nature of the engagement, the level of assurance obtainedin a review is substantially lower than the assurance that would have been

Environmental, Social and Governance Report 2023

The procedures we performed were based on our professional judgment.
In performing our review, we performed analytical procedures, inquiries,
and other procedures as we considered necessary in the circumstances.
For a selection of the specified information outlined within Appendix A, we
performed tests of mathematical accuracy of computations, compared thedisclosures to underlying records, or observed the data collection process.
The preparation of the Specified Disclosures in the WBA 2023 ESG Reportrequires management to interpret the criteria, make determinations as to therelevancy of information to be included, and make estimates and assumptions
that affect reported information. Measurement of certain amounts, disclosures,and metrics may include estimates and assumptions that are subject tosubstantial inherent measurement uncertainty including, for example, theaccuracy and precision of conversion factors or estimation methodologies
used by management. Obtaining sufficient appropriate review evidence
to support our conclusion does not reduce the inherent uncertainty in theamounts. The selection by management of a different, but acceptablemeasurement method, input data, or model assumptions, or a different pointvalue within the range of reasonable values produced by the model, may haveresulted in materially different amounts, disclosures, or metrics being reported.
Information outside of the Specified Disclosures referenced in Appendix
A and the Management Assertion section of the WBA 2023 ESG Report,
including linked information, was not subject to our review, including thealignment to United Nations (“UN”) Sustainable Development Goals and theTask Force on Climate-related Financial Disclosures (“TCFD”) Disclosure Indexand, accordingly, we do not express a conclusion or any form of assurance onsuch information. Further, any information relating to periods prior to the year
ended August 31, 2023, and December 31, 2022, specifically for GRI 306-3:
Plastics and Packaging, or information relating to forward looking statements,
targets, goals, and progress against goals was not subject to our review
and, accordingly we do not express a conclusion or any form of assuranceon such information.

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Appendices

Based on our review, we are not aware of any material modifications
that should be made to management of the Company’s assertion that
the Specified Disclosures referenced in Appendix A and the Management
Assertion section of the accompanying WBA 2023 ESG Report for theperiod or date indicated therein, are presented in accordance with thecriteria set forth in Appendix A and the Management Assertion sectionof the accompanying WBA 2023 ESG Report.

January 24, 2024

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Basis of Presentation

Business acquisitions1 - Businesses acquired during the reporting year
are excluded from the current year ESG reporting scope. The complete
dataset is reported once data for a full year are available;

FISCAL 2023 ESG DATA

Divestments - Businesses that are no longer subsidiaries of the Company
at the fiscal year end due to divestment in the reporting year are excluded
from current year ESG reporting scope;

PART I: BASIS OF PRESENTATION
Organization
Walgreens Boots Alliance, Inc., a Delaware corporation (“Walgreens Boots
Alliance” or the “Company”), is an integrated healthcare, pharmacy and retailleader serving millions of customers and patients every day, with a 170-year
heritage of caring for communities. Our principal executive offices are locatedat 108 Wilmot Road, Deerfield, Illinois 60015. Our common stock tradeson the Nasdaq Stock Market under the symbol “WBA”.
Walgreens Boots Alliance is one of the largest retail pharmacy, healthand daily living destinations across the United States (“U.S.”) and Europe withapproximately 13,000 locations. Walgreens Boots Alliance has a presence in
9 countries and employs more than 331,000 people. In addition, Walgreens
Boots Alliance is one of the world’s largest purchasers of prescription drugs
and many other health and well-being products.
The Company’s operations are conducted through three reportablesegments: U.S. Retail Pharmacy, International, and U.S. Healthcare.
Scope
This report provides detailed information about the Company’s Environmental,
Social and Governance (“ESG”) initiatives and related key performanceindicators. In the creation of this document, the Company used multiple
internationally recognized standard ESG frameworks and other non-standard
reporting guidance from industry frameworks. The Company also developed
its own standard definitions for reporting its performance data and KPIs. See
Use of multiple frameworks section below for further information.

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Appendices

Equity method investments - Equity method investments are excluded
from the Company’s ESG reporting scope;Franchise operations – Franchise operations run by third parties wherea WBA business is the franchisor are excluded from the Company’s
external ESG reporting scope.;
Outsourced activities – Outsourced activities are excluded from the ESG
reporting scope, except where the outsourcer’s activities are dedicated to
the Company’s business and where the associated impacts may be significant
to our ESG performance. For example, third-party product deliveries madeexclusively for WBA. The Company’s Code of Conduct and Business Ethics
set out the principles for dealing with, and the requirements for, suppliers.
Greenhouse Gas (GHG) emissions have been reported for those entities
for which the Company has financial control, as defined by the GHG Protocol.
GHG emissions pertaining to the organizational and operational boundaries
have been reported for global operations for owned, managed and leased
locations including retail stores, specialty pharmacies, retail distribution
centers, micro-fulfillment centers, prescription mail service facilities,
pharmaceutical distribution centers, healthcare clinics and principal
office facilities.
On June 1, 2021 the Company completed the sale of the majorityof the Company's Alliance Healthcare business as well as a portion of theCompany’s retail pharmacy international businesses in Europe (“discontinued
operation”) to Cencora, Inc. Unless otherwise specified, disclosures in thisreport reflect continuing operations only.

This ESG Report has been prepared based on a fiscal reporting year thatis the same as the Company’s financial reporting period September 1, 2022
to August 31, 2023.
The Company’s external financial performance report includes all subsidiaries
in which the Company holds a controlling interest. The main differences
between the Company’s external financial performance report and thisESG report, are as follows:

Environmental, Social and Governance Report 2023

On January 3, 2023, VillageMD, through its parent company completed the acquisition
of WP CityMD TopCo ("Summit Health-CityMD"). In line with the Company's policy of excluding
Community, Workplace, and Marketplace reporting for businesses acquired in the first fiscal
year following the year of acquisition, Summit Health-CityMD's data has not been includedin the reported results. The ESG Report contains Workplace data only for this entity.

1

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GovernanceUse of multiple frameworks
The Company’s ESG report covers material topics identified througha materiality assessment conducted in fiscal 2021. The Company follows
the GRI definition of materiality, which is different to the definition used forfilings with the SEC. Issues deemed material for purposes of this report
may not be considered material for SEC reporting purposes.
The Company has used both standard and non-standard frameworks
in its reporting process.
Standard frameworks
The Company utilizes the following frameworks for metrics other thanemissions reporting:• Global Reporting Initiative (GRI)• Sustainability Accounting Standards Board (SASB), maintainedby the International Sustainability; Standards Board (ISSB);• UN Global Compact commitments; andHealthy Communities

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Appendices

Reporting of metrics and data
WBA has a company-wide approach to recording, measuring and reporting
ESG performance, including a set of reporting criteria and a set of ESG
measures and performance indicators. WBA utilizes documented definitions
and procedures related to ESG data and metrics to ensure completenessand consistency. These procedures provide for the use of estimation andextrapolation techniques in instances in which data is not practicable
to source. The Company reviews definitions and procedures on anannual basis.
ESG performance data is collected on an annual basis. All submissions
by individual businesses are prepared by local finance teams and ESG
champions and are reviewed by senior finance leaders.
Every effort is made to ensure that we report accurate data, and our
processes are designed to support this. In cases where we become awareof updates to data from previous years, we consider providing updated datain subsequent reports if the changes result in a discrepancy that is material.
In these cases, we provide details in footnotes to our data tables.

• Taskforce for Climate-related Financial Disclosures (TCFD).
For emissions reporting, specifically Scope 1 and 2 GHG emissions, theinformation has been prepared in accordance with the World Resources
Institute/World Business Council for Sustainable Development Greenhouse
Gas Protocol: A Corporate Accounting and Reporting Standard, Revised
Edition (the GHG Protocol). As described in the GHG Protocol: Corporate
Standard, GHG emissions reported under Scope 3 GHG emissions are
optional for reporting. The Company is reporting on two of the fifteen Scope
3 categories: Business travel and the portion of downstream transportationand distribution. Collectively, the Corporate Accounting and ReportingStandard, Revised Edition and Corporate Value Chain (Scope 3), Accounting
and Reporting Standard are referred to as the GHG Protocol in this document.
Non-standard frameworks
For select metrics and KPIs, WBA developed its own standard definitions
for reporting its performance data and KPIs (Refer Part II).

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AppendicesPART II - DEFINITIONS OF WBA ESG PERFORMANCE METRICS
WBA reports ESG performance data in total and for certain metrics
by segment, consistent with its financial reporting. The Company captures,
analyzes and reports data at a detailed level to provide a clear understandingof contributing factors to ESG performance. WBA’s framework of ESG
priorities covers the following key areas:

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Contributions are analyzed as follows:• Cash (charitable and other donations) and non-cash (employee time, in-kind donations and management costs)• Focus of the organizations contributed to: health, social welfare, education, other (for example, relating to arts, culture, emergency relief, economic development)• Employee time (volunteer hours): Please note employee time relates to volunteering hours during paid working time only

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The three significant sources of CO2e emissions are energy, product delivery and business travel. Emissions are analyzed as follows:• Total emissions by source (energy, product delivery and business travel)• Scope (Scopes 1, 2 and 3)• Emissions from energy by type: electricity (direct and indirect), gas (indirect), and other (combined heat and power, oil and liquefied petroleum gas)
• Emissions from business travel, by type: road, air and rail
• In addition to the above analysis, the Company also discloses the metric, CO2e emissions from business travel per 1,000 employees.
Waste is analyzed as follows:• By method of disposal: landfill, incinerated, reused (U.S. Retail Pharmacy only), and recycled (includes materials recovered via incineration with heat recovery)• By content: hazardous and non-hazardous

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Workplace

•
•
•
•
•
•

Employee Turnover
Diversity of employees (including age group, gender, and leadership level for WBA; race and ethnicity for U.S. Retail Pharmacy and U.S.
Healthcare; and gender and race and ethnicity for U.S. pharmacists)
Employee category (manager, non-manager and Senior Director and above)
Employment Type (permanent, temporary, full-time, part time)
Percentage of employees under a collective bargaining agreement

Sustainable
Marketplace• Palm Oil• Packaging Materials in owned brand products

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1. HEALTHY COMMUNITIESCash donations• Charitable cash donation: Cash donated directly by the Company
in support of community projects to organizations officially created orlegally registered for charitable purposes. Donations from employees,
customers and suppliers are not included.
• Other cash donation: Cash donated directly by the Company
in support of community projects to organizations other thanthose officially created or legally registered for charitable purposes.
Donations from employees, customers and suppliers are not included.
Non-cash donations• Employee time: Defined as the value of time employees havevolunteered to spend on community projects and social welfare
programs during paid working time. Employee time is valued at an
average staff salary rate and includes employer’s employment taxes,
healthcare, social security and Medicare contributions, pension
contributions and employer matching 401K contributions.
• In-kind donations: These are products, equipment, the use of premises
or other non-cash items donated to community programs. They include
product donations, generally valued at their cost price, gift vouchers andthe provision of space at vacant properties to charitable organizations.
Also captured is advertising space in Company magazines (e.g. Boots
Health & Beauty magazine) that benefits both the charity and thebusiness. Fifty percent of the advertising costs are included, in line with
the Business for Societal Impact (B4SI) global standard.
• Management costs: These are defined as the value of costs
incurred planning and managing community projects and social welfare
programs and consist of direct expenditure as well as an allocationof relevant overhead and expenses.
Geographic Areas impacted by the Company’s donations• Local: A local organization is defined as an organization whose work
does not meet the definition of national or international organization.
• National: A national organization is defined as an organization whose
work is focusing on the entire country. For US purposes the entire
country is defined as the sizeable majority (more than 75 percent)of the states.
• International: An international organization is defined as anorganization whose work is focusing on more than one country.

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Appendices

Organizations supported by the Company’s contributions• Health projects include donations made to not-for-profit hospitals,
health organizations and other health-related activities.
• Social welfare projects include donations made to organizations
focused on issues such as homelessness, legal support, domestic
violence, the elderly and people with disabilities.
• Education projects include donations made to schools, colleges,
universities or other projects or organizations that promote education,
training or development programs.
• Other projects include donations made to organizations or activities
not covered by categories above, such as the arts, culture, emergency
relief and economic development.
Access to Affordable and Quality Healthcare• Number of new in-store health service locations that increase access• Number of collaborations with healthcare service providers coveredon the Walgreens app through Walgreens Find Care
Consumer Health Education and Marketing• Number of consumers who participate in health education initiatives
through clicks on healthcare focused topics on Walgreens.com
Opioid Abuse Prevention• Number of Naloxone kits dispensed• Total number of take home safe medication disposal kits sentfrom distribution centers to stores for customer distribution

2. HEALTHY PLANET
2.1 Waste
Waste reporting is typically reliant on data provided by waste contractors
within a country. Normally, waste data measurement is based on metrictonnage as provided by third-party contractors. For sites where the third
party’s contract is based on an agreed standard metric tonnage per volume
collected, the rate applicable for the year is used as the basis of calculation.
For sites where contractor data is unavailable (for example, stores within
shopping centers where the Company’s business does not manage thewaste contract), estimates are used based on actual data from a store
or warehouse of an equivalent size.

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Governance• Total waste generated is defined as sum of Hazardous and
Non-Hazardous waste sent to Landfill, Incineration with and without
Heat Recovery, Reuse (for the U.S. Retail Pharmacy segment only),and Recycled.
• Waste sent to landfill is defined as waste produced by WBA operations
and sent to landfill for disposal.
• Waste sent to incineration is defined as waste produced by WBA
operations and sent to incineration, without heat recovery, for disposal.
• Materials recovered via incineration are defined as waste produced by
WBA operations and sent to incineration via a contractor where energy
recovered from the process is used to generate electricity or heat.
• Materials recycled are defined as waste produced by WBA operations
and sent off-site for recycling.
•

Reuse is defined as products or components of products thathave become waste are prepared to be put to use for the same
purpose for which they were conceived• Hazardous waste as defined by local applicable legislation at the
point of generation• Non-hazardous waste as defined by local applicable legislation
at the point of generation
Key performance indicators - waste
1. Hazardous waste as % of total waste

2. CO2 emissions from business travel, per 1,000 employees
3. CO2 tonnes from product delivery per $million sales

Environmental, Social and Governance Report 2023

Appendices• For all other metrics, conversion factors are applied based on businesslocation. The U.S. Retail Pharmacy follows the U.S. Environmental
Protection Agency (EPA) published factors. The International Segment
follows DEFRA published factors. Note: where CO2e factors are notavailable, CO2 factors are applied as a proxy.
• Conversion factors are updated annually to reflect the factors
published by the IAE, EPA and DEFRA that are in effect as of 31
August of the reporting year.
2.2.2 Energy• Electricity - The calculation of CO2e from electricity is based on
the following factors:•

Standard tariff - Consumption data are converted using therelevant conversion factors as described above. Where dataon electricity consumed are not available, an estimate is madebased on annual expenditure on electricity. Estimates are
based on stores or properties of an equivalent size.

•

Green tariff - This is country specific and entered individuallyby the business. Generally, in cases where the standard tariff isalready subsidized, this is accounted for using the grid average
conversion factor.

•

Onsite Combined Heat and Power (“CHP”) plant - This is specificto the Company’s onsite energy plant in Beeston, Nottingham,
UK and based on a calculation defined by the GHG Protocol thatuses actual electricity and heat output figures.

•

Gas and other - Consumption data are converted using therelevant conversion factors as described above. Where dataon actual consumption (in mWh) are unavailable, an estimate
is made based on annual expenditure.

Key performance indicators - emissions
1. Electricity - green tariff as % of total used (based on kWh)

Sustainable Marketplace• For standard tariff electricity, country specific CO2e conversion factors
published by the International Energy Agency (IEA) are used, apartfrom WBA’s largest territories, the U.S. and the UK. U.S. data areconverted using Environmental Protection Agency (EPA) Emissions &General Resource Integrated Database (eGRID) specific CO2e factorsthat take into consideration where the electricity was produced within
the country. UK data are converted using the UK Department forEnvironment, Food & Rural Affairs (DEFRA) CO2e factors.

3. Total waste generated per $ sales (tonnes per $million sales)

Total CO2e emitted (in metric tonnes) is calculated using activity data
(e.g. amount of fuel used) and applying relevant conversion factors following
the Greenhouse Gas (GHG) Protocol recommendation and using themost accurate calculation approach available. To reach the most accurate
emissions estimations, the latest available specific locally sourced factors
are applied, where reasonable.

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2.2.1 Conversion factors

2. Waste recycled as % of total waste generated

2.2 Carbon emissions

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This covers the resulting CO2e emissions from delivery of products tostores and to customers. This includes deliveries by own-fleet vehicles
and for operations outsourced to third parties where deliveries are madeexclusively for WBA businesses and backhaul deliveries for other companies.
This excludes deliveries from third-party suppliers to Company warehouses,
cross-dock centers or direct to stores. The amount of CO2e emitted is
calculated using activity data and applying the relevant conversion factors
as described above.
• Own-fleet vehicles (including leased vehicles) - kilometers traveled:•

Drivers with fuel cards - fuel consumed captured by third-party
fuel billing• Drivers without fuel cards - distance captured• Third-party vehicles - where the delivery is made exclusively for a WBA
business, captured by either third-party kilometer data or third-party
liters of fuel used.
2.2.4 Business travel
The amount of CO2e emitted from travel undertaken by employees for workor business purposes is calculated using activity data and converted toemissions applying relevant conversion factors as described in section 2.2.1.
• Road travel – car travel undertaken by employees for business purposes•

Employees with fuel cards - captured by third-party fuel billing•

Employees without fuel cards - captured by Company expense
systems, using kilometers travelled• Air travel – calculated using third-party (e.g. travel service provider)data on kilometers travelled other than for non-commercial flights,
which are calculated using third-party data on fuel consumed•

Long haul – number of passenger kilometers traveled for long
haul flights (over 3,700 kilometers)•

Short haul – number of passenger kilometers traveled for shorthaul flights (under 3,700 kilometers)• Rail travel - calculated using third-party (e.g. travel service provider)kilometer data

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Appendices• Scope 1: Direct GHG emissions occurring from sources that are
owned or controlled by the Company are emissions from selfgenerated electricity and self-generated heat or steam; and, fromcombustion of natural gas and oils in owned or controlled boilers andfurnaces, owned vehicles used for product delivery and owned carsor aircraft used for business travel. Fugitive emissions resulting fromthe use of refrigeration and air conditioning equipment are notincluded as the Company evaluates their effects on its operations.
• Scope 2: Indirect GHG emissions are emissions from the generation ofpurchased electricity, purchased heat or purchased steam consumed.
• Scope 3: Indirect GHG emissions that are a consequence of theactivities of the Company but occur from sources not owned orcontrolled by the Company. WBA currently reports on business travel
and the portion of downstream transportation and distribution, which
are the most relevant sources of emissions. These are emissions fromthird-party product delivery and business travel undertaken by vehicles(cars, aircraft or trains) not owned by the Company.

3. HEALTHY AND INCLUSIVE WORKPLACE
Employee: An employee is a person employed by WBA on a fullor part-time basis, for an indefinite or fixed term.
Employee Turnover• Voluntary Turnover: Employees who have left the Company voluntarily(not transfers) as a percent of the average active and leave headcountof employees for the reporting period. The reporting period is basedon the prior 12 months. Interns, as identified by job title, are excluded
from turnover.
• Involuntary Turnover: Employees who have left the Company (nottransfers) as a percent of the average, active and leave headcount of
employees for the reporting period. The reporting period is the same asabove. Some reasons that are not included in turnover, which coincides
with industry standards for defining turnover are the following: Permanent
reduction in force, Employee death, Store or department closures.
Employees by gender• Men: total number of employees who identify themselves as male.

2.2.5 Carbon emissions by scope• Women: total number of employees who identify themselves as female.

The amount of total CO2e emitted from energy, product delivery andbusiness travel categorized into scopes as defined by the GHG Protocol.

• Undisclosed: total number of employees who have not disclosed
their gender.

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Employees by age group• Employees under 30 years old: the number of employees
who are younger than 30 years old at period end.
• Employees between 30 – 50 years old: the number of employees
who are between 30 and 50 years old at period end including 30
and 50 year old employees.
• Employees over 50 years old: the number of employees who
are older than 50 years old at period end.
Employee category• Manager employees: the number of employees who have at least one
direct report. This definition is a subset of the manager population
included in U.S. regulatory reporting.
• Non-manager employees: the number of employees who do not haveany direct reports.
• Senior Director and above: limited to the U.S. Retail pharmacy segment
and U.S. Healthcare segment only.

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Appendices4. SUSTAINABLE MARKETPLACE
Palm Oil: The percentage of Palm Oil in Boots UK
and No7 Beauty Company certified using the following methods• Palm Oil derivatives using credits• Palm Oil derivatives physically certified• Palm Oil used as an ingredient physically certified• Palm Oil used as an ingredient certified using credits
Packaging Materials in owned brand products: The metric tonnes ofmaterials used in owned brand primary, secondary and tertiary packaging• Metal• Glass• Wood/Pulp/Paper (excluding pallets)• Plastic

Employment Type• Permanent: An employee employed on an indefinite basis
or for an indeterminate period of time.
• Temporary: An employee employed on a fixed term or temporary
contract.
• Full-time: Employees working more than 30 hours per week.
• Part-time: Employees working less than 30 hours per week.
Collective bargaining• Employees under a collective bargaining agreement: the numberof employees who are part of a collective bargaining agreement.
Collective bargaining is defined as negotiation of wages and otherconditions of employment by an organized body of employees.
Race, ethnicity of U.S. Retail Pharmacy and U.S. Healthcare employees• People of color: the number of employees who identify themselves
as belonging to an ethnic or racial minority.

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Legal Notice
Forward-looking statements
All statements in this report that are not historical, including goals forand projections of future results, the expected execution and effect of ourcorporate social responsibility strategies and initiatives and the amounts
and timing of their expected impact, constitute forward-looking statementsthat are based on current societal, market, competitive and regulatory
expectations. These forward-looking statements are not guarantees of future
performance and are subject to risks, uncertainties and assumptions, known
or unknown, which could cause actual results to vary. These statements
speak only as of the date they are made and Walgreens Boots Allianceundertakes no obligation to update publicly any forward-looking statement
included in this report, whether as a result of new information, future events,changes in assumptions or otherwise. Please see Walgreens Boots Alliance’s
latest Annual Report and subsequent SEC filings for a discussion of risk
factors as they relate to forward-looking statements.

Trademarks
Walgreens Boots Alliance, the Walgreens Boots Alliance logo and theother trade names listed below are trademarks or registered trademarks ofWalgreens Boots Alliance and/or its affiliates in the U.S. and other countries.

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AppendicesThird-party trademarks mentioned are the property of their respective
owners. The use of words such as “partnered,” “partnering,” “partner”
and variations of such words in this ESG report is not intended to andshall not be construed to imply that a legal partnership relationshipexists between Walgreens Boots Alliance and any other company.

Exchange rates basis of preparation
Foreign currency amounts have been presented in U.S. dollars forconsistency, having been translated at the average exchange rate forthe 12 months ending August 31, 2023. The most significant rates are
1.38 U.S. dollar per British pound sterling and 1.18 U.S. dollar per euro.
Funds raised in British pounds sterling or in euros over multi-year
periods were converted to U.S. dollars using average exchange rates
for the reporting periods in which the funds were raised.

Photo Credits
Page 29 and page 48 top left and bottom left photo: Photo © Vitamin Angels©2024 Walgreens Boots Alliance, Inc. All rights reserved
Website: www.walgreensbootsalliance.com

WALGREENS BOOTS ALLIANCE is a trademark owned by Walgreens
Boots Alliance, Inc.
COMPLETE HOME, GET A SHOT. GIVE A SHOT., NICE!, SAVE A TRIP
REFILLS, W REDI, WALGREENS ADVANCED CARE, WALGREENS,WALGREENS EXPRESS, WALGREENS FIND CARE and WALGREENSFLU INDEX are trademarks owned by Walgreen Co.
BOOTS, BOOTS PHARMACEUTICALS, BOOTS SOLTAN, BOTANICS THE
POWER OF PLANTS, CLEAN ON ME, NO7, SLEEK MAKEUP, SOAP & GLORY
and YOURGOODSKIN are trademarks owned by The Boots Company PLC.
DUANE READE is a trademark owned by Duane Reade.
LIZ EARLE is a trademark owned by Liz Earle Beauty Co. Limited.
FARMACIAS BENAVIDES is a trademark owned by Farmacias Benavides,
S.A.B. DE C.V.
AHUMADA CONTIGO and FARMACIAS AHUMADA are trademarks owned
by Farmacias Ahumada, S.A.

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Contact us
WALGREENS BOOTS ALLIANCE, INC.
108 Wilmot Road
Deerfield, IL 60015
USA+1 (847) 315-3700

www.walgreensbootsalliance.com