Driving Causewith Impact

PROGRESS ON
SUSTAINABILITY TARGETS

Our team is building a transformative
sustainability platform that drives ESG
performance across our business, allowing
us to realize opportunities for the next
generation and beyond.

Never has there been a time in history when purpose-driven innovation is so critical to a business’s long-term
success. With this in mind, I am proud to share our most recent Sustainability Report, Sound Purpose: Driving
Cause with Impact, which highlights stories of social and environmental progress we have made over thepast two years. Our team is building a transformative sustainability platform that drives environmental, social,and corporate governance (ESG) performance across our business, allowing us to realize opportunities forthe next generation and beyond. Our purpose-driven culture is evident in the strides we have made towardformalizing our environmental commitments and establishing meaningful partnerships that support thecommunities where we live and work. Our Sound Purpose platform is how we bring that to life through ourwork in three strategic areas: Planet, People, and Purpose.
To create meaningful progress, HARMAN is taking
systematic action to formalize our processes for measuringand monitoring our impact across all dimensions of ESG.
Our commitment to growth through sustainable andresponsible actions is one of the seven strategic businesspillars that are foundational to everything we do. With
this purpose in mind, we take actions to drive impact
throughout our business — from redesigning our products
to reduce environmental impact to supporting local
communities through strategic partnerships and employee
activism. We have also worked diligently over the past yearto identify key areas of improvement and better align withour customers and other stakeholders to make progress
toward shared goals and priorities. This includes pledging
to reach carbon neutrality by 2040, which has positive
implications for the health of our planet and our people.

I am proud to lead an organization that prioritizes integrity
and innovates with intention. Since the founding of ourcompany in the 1950s, we have been unwavering in thiscommitment, creating a legacy of brands and products thattouch people’s daily lives. We take this responsibility very
seriously and are uniquely poised to lead the sustainabletransformation of the industries and markets we serve.
After more than 70 years of doing business, we knowboth innovation and adaptation are critical to navigating
emerging challenges and disruptions. Our ability to address
those challenges with agility and resilience allows us tocontinue providing the best, connected experiences for ourcustomers, wherever they may be, for generations to come.
We thank you for supporting us on this journey to Drive
Cause with Impact as we continue to fulfill our mission
to create connected experiences through excellence inproducts and services. We look forward to advancing ourSound Purpose together.

Michael Mauser
President and Chief Executive Officer
HARMAN Progress on Sustainability Targets

1Our Approachto Reporting
This Executive Summary highlights key initiatives from
HARMAN’s most recent Sustainability Report, Sound
Purpose: Driving Cause with Impact. The content ofHARMAN’s reporting is guided by the results of our2021 Materiality Assessment, which identified ESG
topics that are relevant and important to HARMAN
and its stakeholders. The results of the assessment
identified 17 material topics for HARMAN.
For more information on HARMAN’s materiality
assessment process and outcomes, click here.

We all share the same world, and we share acommon future—I’m proud of the remarkableprogress our team continues to make driving
HARMAN’s environmental sustainability strategy
which fosters positive impact across thecommunities and markets where we live and serve.
—Tom Mooney, HARMAN International SeniorDirector, Government Affairs and Sustainability

Energy Management & GHG Emissions
Hazardous Waste & Chemicals
Management
Non-Hazardous Waste Management

ENVIRONMENTAL

Product Lifecycle, Packaging& Circular Economy

Diversity & Inclusion
Employee Health & Safety

Raw Material Sourcing & Risks

SOCIAL

Employee Retention& Recruitment
Human Rights & Fair
Labor Practices

Business Ethics & Transparency
Customer User Experience, Relevance

Workforce Management

ESG Leadership
Information Security/Data Management

GOVERNANCE

Strategy/Commitment to Sustainability
Supplier Monitoring & Engagement
Transparency/Traceability

HARMAN Progress on Sustainability Targets

2

PLANETAt HARMAN, we strive to enhance the social andenvironmental fabric of the communities andmarkets we serve through sustainable innovationand rich experiences. Through the creationof products and processes that have a lower
environmental impact, we are building our legacy
as a responsible and purpose-driven organization.
Carbon neutrality
HARMAN aspires to minimize the environmental impact ofour products and operations. To do so, our teams analyze
sustainability opportunities and progressively integrate
environmentally sound practices across our organizational
footprint. HARMAN is unified in action towards carbon
neutrality by 2040 – 10 years ahead of the Paris Agreement.
CY2021CY2019

Scope 1 (metric tons CO2e)

9,9528,568

Scope 2 Location-based (metric tons CO2e)55,343

66,860

Scope 2 Market-based (metric tons CO2e)59,40774,892

Total Scope 1 + Scope 2 Location-based(metric tons CO2e)65,29575,428

13% Reduction in
Scopes 1 and 2

from 2019 to 2021

From our 2019 baseline year to 2021, our operationalemissions decreased by approximately 13%. In 2021,
we expanded our focus to increase renewable electricity
procurement and improve data quality in scope 3, allowing
us to better track and evaluate emissions hot spots in ourvalue chain.

HARMAN Progress on Sustainability Targets

To reach our goal of carbon neutrality by 2040, we havedeveloped interim climate targets to be achieved by 2025.

Carbon neutrality by 2040
Science Based Target (SBTi) in
development for validation by 2025
to Landfill in manufacturing
Zero Waste
operations by 2025
in electricity consumption
15% reduction
in operations by 2025
of electricity across the global

100% manufacturing footprint to besourced from renewables by 2025

in scope 1, 2,
30% reduction
and 3 emissions by 2025

Focusing on renewable electricity
In 2021, our first on-site solar installation came online inPune, India. The solar panel system can produce morethan 3% of the Pune site’s total annual energy consumption
and saves 116 tons of greenhouse gas emissions, equal
to the emissions produced after driving almost 1 million
kilometers (over 621,000 miles) in a normal passenger car.
By 2025, HARMAN has pledged to source 100% renewableelectricity across our global manufacturing footprint, inalignment with the RE100 Initiative, an organization of 400
ambitious and influential businesses driving corporate
demand for 100% renewable electricity.
3

Sustainable products and packaging
In 2021, HARMAN introduced sustainable packaging
guidelines for all new products. We started with theConsumer Audio Group, which avoids the use of virginplastic, whenever possible, with a preference for postconsumer recycled plastic and recyclable paper packaging.
HARMAN is also optimizing packaging to the size ofthe product, which generates less waste and allows formore efficient shipping—reducing fuel consumption andCO2 emissions. We support efforts to shift toward moresustainable packaging through our membership in theSustainable Packaging Coalition (SPC).

Charge 5, Xtreme 3, Wave Series
packaging volume reduced byover 50%

Flip 6 recyclable packaging,soy ink printing, recycledplastic hanger

A look ahead: 2022 sustainableproduct launches

6new products made from up to 90% postconsumer recycled plastic and up to 100%
recycled fabric will reduce more than

4,440 tons of CO2 per year

JBL Go 3 Eco

JBL Clip 4 Eco

30

new products launching withfully sustainable packaging

14

products to be certified under
the EPA Energy Star™ Label

Transparent disclosure and supplier engagement
HARMAN’s impact and sphere of influence expand far
beyond our direct operations, opening a world of collaborative
opportunity. Through cross-sector engagement, HARMAN
leverages best practices from multiple industries to leadinnovative and exciting new approaches to complex challenges.
Part of being a good value chain steward involves transparent
reporting and disclosure of key ESG issues relevant to ourcustomers and other stakeholders. HARMAN is an annual
respondent to CDP as well as Walmart Project Gigaton,
which recognized HARMAN for “Sparkling Change” in 2021.
HARMAN also responds to the EcoVadis business ratings, and,in 2021, HARMAN received a Silver Rating. Our performance
was within the top 25 best companies in our peer group.
HARMAN has also been recognized by General Motors as
a Top Supplier for two consecutive years (2020, 2021) for
displaying outstanding achievement across certain key
priorities, including sustainability and innovation.

HARMAN Progress on Sustainability Targets

These top suppliers showed resilience andreinforced their commitment to pursuingsustainability and innovation. Through ourstrong relationships and collaboration,
GM and our suppliers are poised to build abrighter future for generations to come.
—Shilpan Amin, GM Vice President,
Global Purchasing and Supply Chain
4

At HARMAN, one of our greatest organizationalpillars is “winning through people”. By continuously
bringing bold ideas, big-picture goals, and adiverse set of backgrounds and experience to thetable, our employees allow us to deliver on ourcommitments to each other, our customers, ourpartners, and our communities.

We are proud to showcase programs kickedoff in 2021 through HARMAN University.
Diversity Learning Journey
The DE&I Learning Journey provides an educational
platform to deliver curriculum allowing Leaders, HumanResources, and employees to understand the DE&I
foundational concepts and promote a culture of inclusion
across HARMAN. During 2021 we had more than 197
graduates of DE&I learning tracks such as :• “Hi to Hire”, which applies principles of equality to ourhiring process• “Minus the Bias”, which explores the efficacy ofunconscious bias training and related best practices• “Leading Inclusively”, which teaches leadership tactics toencourage psychological safety and authenticity at work

DEVELOPING LEADERS WITHIN

In 2021, we celebrated the fifth anniversary of ourleadership training program. HARMAN University, is acomprehensive online and location-based hybrid learning
curriculum and resource, offering customizable training
sessions and professional development programs for allemployees.
Our curriculum has evolved to provide the critical modern
skills that are necessary for our employees to thrive in theircareers. In 2021, more than 8,000 employees participatedin 70+ courses from HARMAN University. Courses feature
topical themes like Creativity, Learning to Learn, andResponding to Change, as well as Time Management in aHybrid Workplace and Building Your DE&I Muscle.

Leadership Experience
Acceleration Program (LEAP)
LEAP, a two-year program whereparticipants rotate through three different
HARMAN teams in their career field, is designed to help
early career professionals gain critical business skills
and grow their internal network. Spanning all divisions,
LEAP challenges participants to high-impact projects
and assignments, including an international location
placement for a 6-month period. More than 60 HARMANemployees have participated in the LEAP program since
2018, representing team members from India, Mexico,Netherlands, Hungary, Germany, the United States ofAmerica, and Romania.

We are dedicated to making every employee feel welcomed, valued, and empowered.
We value a diverse and inclusive culture, but in order to make this possible we needeveryone to be on board. Together we can drive the change we want to see.
—Lorena Loya, HARMAN International Vice President of Diversity, Equity & Inclusion

HARMAN Progress on Sustainability Targets5Employee-Led Activism
With more than 30,000 global employees, our HARMAN family
represents the diversity of the world that we live in. Throughour robust DE&I annual programming, we regularly host panel
discussions and live events and share internal content tocelebrate Hispanic Heritage Month, Neurodiversity AwarenessWeek, Coming Out Day, Asian/Pacific American (AAPI)
Heritage Month, and Black History Month – to name a few.

With a newly appointed, VP of Diversity, Equity, andInclusion on our HR Leadership Team, we continue towork to establish meaningful goals to increase andimprove the diversity of our global workforce. We lookforward to continued success in this area.

L I V I N G I N T U N E W I T H H E A LT H

HARMAN believes that every company has an opportunity,
even an obligation, to support employee wellness, help
build financial acumen, encourage career development,
and prioritize a successful work-life balance. Sound Living,
HARMAN’s health and wellness program, provides a platform
to deploy adopted policies and initiatives that respond to ouremployee’s ever-changing personal and professional needs
Through Sound Living, HARMAN employees benefit from:• Opportunities to earn up to $800 in incentives, bycompleting a variety of wellness activities.
• HARMAN covers health benefits for full-time employees
worldwide, depending on the level of government-provided
coverage including the full cost of vision care, along withaccess to diabetes management programs, and Sleepio, aprogram designed to help employees improve sleep quality.

HARMAN Progress on Sustainability Targets• US-based employees are given 8 hours of annual paid time
off to volunteer at an organization(s) of their choosing.
• Paid Parental Bonding Leave for birthing, adopting, andfostering parents.
• Paid annual floating holidays of choice for flexibility in teammembers’ religious observances.
HARMAN formalized commitments to strengthen flexible
working arrangements through HARMAN Flex, a workfrom-home policy during the ongoing COVID-19 pandemic.
Answering calls from our employees for increased
workplace flexibility, the intent of HARMAN Flex is toincrease employee productivity and motivation throughthe provision of consistent work-from-home practices
across global operations.

6At HARMAN, our creative purpose is driven by ourpassion for music and technology.
Anchored by HARMAN Inspired, our global cause
initiative, we foster purpose-driven partnerships
to drive creativity and humanize tech. Through ourphilanthropic engagements, we seek to empower
the next generation of leaders to cultivate deep
connections with HARMAN technologies throughunique and immersive experiences in audio, music,technology, and service.

CELEBRATING THE POWER OFMUSIC ON MAKE MUSIC DAY

HARMAN India employees gathered virtually toparticipate in Music Mystic, an hour-long event wheremore than 50 employees performed their favorite genreof music to celebrate Make Music Day.

Each year, June 21 marks the anniversary of our global
music festival, Make Music Day. 2021 marked boththe sixth anniversary of Make Music Day and the 75th
anniversary of the JBL brand. To celebrate, thousandsof HARMAN employees representing nine countries
and 22 global locations connected virtually for musictrivia contests, musical performances, and uniquevolunteering events.

Employee Virtual Jam SessionIn 2021, HARMAN teams hosted our first virtual Jam
Session featuring 68 musical performances by more than
80 employees from around the globe. From solo acoustic
performances to highly produced band concerts, our jam
session provided a platform for HARMAN team members
to connect, share their talents, and be inspired.

HARMAN Progress on Sustainability Targets

7

Inspiring Young Women in STEAM with 1,000 Dreams Fund
HARMAN has been working with 1,000 Dreams Fund (1DF) for
five years to support its mission of providing greater access toeducational opportunities so that all young women, especiallythose most in need, may fully realize their potential.
Each year, we support the New Face of Tech Challenge which
utilizes digital and social media to invite young women to
apply for a scholarship to support their interest in STEAM
fields. Through photo and written applications, we see
women who are pursuing careers in areas such as computerengineering, efficient tech and design, gaming, and machinelearning to name a few.
In 2021:207

women applied forthe scholarship

2021 was the first year that we participated in 1DF’s
MentorHER Initiative, connecting HARMAN volunteers
with college or graduate students for 1:1 virtual mentoring
sessions, further reinforcing the idea that even a small
amount of time can make a big impact.
And finally, we hosted a live watch party hosted by JBL
and 1DF, which presented viewers with access to candid
conversations on the experiences of women in gaming. The
highlight of the watch party was the presentation of theJBL Quantum Grant to 30 recipients, chosen based on their“dream career in gaming” submission.

20 were awarded$1,500 grants tohelp to pursue their careers.

Supporting Tomorrow’s Musicians with Music Will
Since 2014, HARMAN’s partnership with Music Will (formerlyLittle Kids Rock) continues to evolve and flourish. Music Will,a web-based platform providing free virtual music lessons
to underserved kids, currently serves more than 525,000
students in 500 school districts across 49 states.
During the pandemic, HARMAN and Music Will developed
strategies for innovative distance-learning solutions to ensurethat their programs adapted to changing conditions while
prioritizing participant health and safety.
In 2021, HARMAN donated professional audio equipment tocontinue building HARMAN Inspired Music Classrooms inpublic schools, along with donating thousands of headphones
to help students in underserved communities learn at home.
As a result, Music Will’s Jam Zone, a free music resource
hosting song charts and video tutorials, saw a spike of over
60,000 users per month across 8 countries.

Through Music Will, HARMAN helped to provide:46•professional development sessions for teachers acrossthe country in 2021

300+ new teachers to our national program• Access for an additional 75,000 students nationwide•Our focus on music education honors our legacy as a leader
in premium audio equipment and gives meaning to ourtechnology, proving that even in times of crisis, music is thelifeblood of our culture.

C O N C LU D I N G T H O U G HT S

HARMAN has come a long way in our journey toward
creating a more sustainable future. We are excited andproud to share our successes thus far and welcome you
to join us as we continue learning and driving our causethrough purposeful impact.

Meeting the challenges of tomorrow means taking
action today. At HARMAN, we pledge to build ourfuture on a foundation that thrives sustainably andis responsibly rooted in our Sound Purpose.
—Michael Mauser, HARMAN International President & CEO

All external requests for additional information should be sent to: OneHarmanESG@harman.com.
HARMAN Progress on Sustainability Targets

8