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Bold Action for a Sustainable Future Trane Technologies 2020 Annual Bold Action for a Sustainable Future Report 2020 Annual Report 2021 Notice and 2021 Notice and Proxy Statement Proxy Statement Statement About Trane Technologies Trane Technologies is a global climate innovator. Through our strategic brands Trane and Thermo King, and our environmentally responsible portfolio of products and services, we bring efficient and sustainable climate solutions to buildings, homes and transportation. www.tranetechnologies.com We are committed to using environmentally conscious print practices. ©2021 Trane Technologies 381892_TT_2020AR_Cover_8.25x10.75_FINAL2_040621.indd 1-3 4/7/21 3:13 AM Annual General Meeting The company’s 2020 Annual Report on Form This integrated annual report and the 2020 online ESG 10-K as filed with the United States Securities and Report at www.tranetechnologies.com/sustainability-reports Exchange Commission, and other company is produced in accordance with the G4 framework information, is available through Trane Technologies’ established by the Global Reporting Initiative (GRI) and website, www.tranetechnologies.com. Securities reports on our financial and non-financial performance analysts, portfolio managers and representatives for the 2020 fiscal year. For more information on GRI, of institutional investors seeking information about please visit www.globalreporting.org. To ensure the quality the company should contact: of our environmental, health and safety data, we assure Shane Lawrence selected data with a third-party provider. The results of this Director, Investor Relations assurance can be found in our 2020 ESG Report at 704-655-5651 www.tranetechnologies.com/sustainability-reports. At the At Trane Technologies, we boldly time of publication, assurance of our environmental and Date and Time safety data from operations was not yet complete and the challenge what’s possible for a Thursday, June 3, 2021 at 8:00 a.m. EDT data presented in this document is subject to change. This annual report, including the letter to shareholders, Location contains “forward-looking statements,” which are statements Trane Technologies plc sustainable world. that are not historical facts, including our ability to address 800-C Beaty Street environmental and social challenges, the future success Davidson, NC 28036 We innovate. We are climate innovators with the courage to take bold action toward a sustainable future. of our operational excellence initiatives, our future financial We act with urgency to deliver sustainable solutions for our customers and enhance the well-being Ireland performance, our growth, market opportunities and our of our employees, communities and planet. Our strategic brands Trane and Thermo King create and deliver Shareholders in Ireland may positioning in and the performance of the markets in market-leading sustainable and efficient climate solutions for buildings, homes and transportation. participate in the Annual which we operate. These statements are based on currently General Meeting remotely on available information and our current assumptions, We solve. Boldly challenging what’s possible for a sustainable world means starting with everyday actions June 3, 2021 at 1:00 pm expectations and projections about future events. While that, together, help create a better planet for generations to come. We continuously improve and through (Dublin time) telephonically we believe that our assumptions, expectations and projections our strategic brands, we scale technology, innovation and sustainability strategies to deliver market-leading at the Arthur Cox Building, are reasonable in view of the currently available information, solutions that will shape the future of our world. Ten Earlsfort Terrace, Dublin 2, you are cautioned not to place undue dependence on our forward-looking statements. Forward-looking statements speak We uplift. It is our responsibility to lead the change we want to see in our business, industry and world. D02 T380, Ireland. only as of the date they are made and are not guarantees Guided by our leadership principles, our teams focus on building a diverse workforce, cultivating inclusiveness See “Information Concerning of future performance. They are subject to future events, risks and creating opportunity for all. In our communities, we build sustainable futures for under-represented Voting and Solicitation” of the proxy and uncertainties—many of which are beyond our control— groups through education and pathways to green and STEM careers. statement for furtherinformation as well as potentially inaccurate assumptions that could cause on participating in the Annual actual results to differ materially from our expectations and General Meeting. projections. You are advised to review the factors described OUR LEADERSHIP PRINCIPLES under the captions “Risk Factors” and “Management’s Discussion and Analysis of Financial Conditions and Results Work today for a sustainable tomorrow. Dare to do things differently. of Operations” in our Form 10-K for the fiscal year ended December 31, 2020, and any further disclosures we make Keep customers at the heart of all we do. Own our actions and decisions. on related subjects in materials we file with or furnish to the WE SEC. We do not undertake any obligation to update any Include and uplift one another. Do what’s right, always. Transfer Agent and Registrar forward-looking statements. Make better happen. Computershare Telephone Inquiries: 866-229-8405 Website: www.computershare.com/Investor LEADERSHIP RECOGNITION Address shareholder inquiries with standard priority: We’re proud of our legacy of sustainability leadership and honored to continue the tradition of highly regarded Computershare ESG performance in our first year as Trane Technologies. PO BOX 505000 Louisville, KY 40233-5000 Address shareholder inquiries with overnight priority: Computershare 10TH 6TH 8TH RANKED CLIMATE 7TH 462 South 4th Street Suite 1600 CONSECUTIVE CONSECUTIVE CONSECUTIVE #85 RANKING PERCENTILE Louisville, KY 40202 YEAR YEAR YEAR GLOBALLY OF A- GLOBALLY 381892_TT_2020AR_Cover_8.25x10.75_FINAL2_040621.indd 4-6 4/7/21 3:13 AM ENVIRONMENT, SOCIAL AND GOVERNANCE PERFORMANCE AT TRANE TECHNOLOGIES Commitment and Results 2030 COMMITMENTS Gigaton Leading Opportunity Challenge by Example for All • Reduce customer carbon • Achieve carbon neutral • Achieve workforce diversity footprint by one gigaton operations reflective of our communities (or 1 billion metric tons of CO2e) • Reach zero waste disposed • Achieve gender parity in • Design systems for circularity of in landfills leadership roles • Increase access to heating, • Achieve net positive water use • Maintain world-class safety cooling and fresh food in water-stressed locations metrics • Achieve 10% absolute reduction • Provide market-competitive in energy consumption wages and benefits, and leading wellness offerings for global workforce • Invest $100 million in building sustainable futures for under-represented students • Dedicate 500,000 employee volunteer hours in our communities 2020 ESG HIGHLIGHTS Environment1 Social Governance Greenhouse Gas Emissions Gender Parity Ethics & Risk Management 54,681 metric tons of CO2e 25% of total workforce were 1,500 suppliers audited for reduced from our operations women in 2020 and 21.7% sustainability and business risks of leadership positions were through On-Site Assessment 7.7 million metric tons of CO e 2 held by women (OSA) audits over three years reduced from our customers’ carbon footprint Supplier Diversity 0 suppliers identified as having $380.4 million in goods and significant actual or potential Renewable Energy services spent on diverse-owned negative environmental impacts 39% of electricity demand met businesses with renewables 100% direct material spend Employee Safety assessed for risk quarterly Water 30% reduction in lost-time 23% decrease in water use in incident rate (LTIR) and 8% Board Diversity water-stressed regions, with reduction in total recordable 5 of 13 directors or 39% 3% decrease in water use overall incident rate (TRIR) are women Circularity Employee Support 2 of 13 directors or 15% are 22+ tons of CO e saved in 2 $1.4M awarded to employees racially or ethnically diverse emissions from returnable through the Helping Hand Fund packaging projects as part of COVID-19 pandemic relief 1Reductions compared to 2019 baseline 2020 ANNUAL REPORT 1 Today, bold action and innovation. Tomorrow, a more sustainable world for future generations. 2020 LETTER TO OUR SHAREHOLDERS Dear Shareholder, We launched Trane Technologies in early 2020 clearly aligned around one purpose: to boldly challenge what’s possible for a sustainable world. We were then quickly met with extraordinary circumstances. We put our purpose into action from the start—taking immediate steps to take care of each other and to continue serving the essential needs of our customers and the world. Even as we responded to the uncertainty caused by the global pandemic, we leveraged our strong financial position and continued to invest in our businesses. We simplified, streamlined and focused our organization as a global climate innovator. We engaged team members from around the world in developing new Leadership Principles, which define what we value most. LEADING IN A CHANGING WORLD As the pandemic intensified, we recreated every facet of our production lines to keep our people safe. We prioritized the essential needs of our customers, including hospitals, warehouses, data centers and schools. We brought decades of experience in indoor environmental quality
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