SUSTAINABLE IN EVERY WAY 2020 Environmental, Social, and Governance Report

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PRODUCE It’s why we’ve been able to supply one of the world’s most favorite foods for 70 years, and it’s why we’ll continue to do so for years to come.

About Our Report Table of Contents We are pleased to publish Lamb Weston’s first Environmental, Social, Overview...... 4 and Governance Report. While this report focuses on our actions and accomplishments during our fiscal year ended May 26, 2019, as an Protect...... 13 inaugural report it also covers initiatives that took place prior to this Plant...... 21 time period to provide context. The scope of this report covers Lamb Weston’s manufacturing operations in North America and China, Produce...... 29 except for employment numbers, which also include administrative and sales professionals. Lamb Weston’s farm and administrative Provide...... 39 offices are not included in the data reported in the Produce section. GRI Index...... 50 Sustainable agriculture data covers North America only. SASB Index...... 54 This report has been prepared in accordance with the Global Reporting Initiative (GRI) Standards: Core option. We are also reporting to the Sustainability Accounting Standards Board (SASB) Processed Foods Standard. More information about our company can be found on our website. Sustainable in Every Way OVERVIEW

A Message From Our CEO

When we started the work on this report, it felt like a truly transformational time for our company. We experienced tremendous growth after becoming a stand-alone public company in 2016, and global demand for fries and other potato products continued to increase. As the publication date for the report drew nearer, things felt transformational in a different way as we faced a global pandemic.

COVID-19 has forced us to take a step While some of the programs you’ll read back and analyze our business in a new about in this report are new and unique way. From how we ensure the safety of to Lamb Weston, our approach to topics Tom Werner our team members and our food to our such as sustainable agriculture, employee President and CEO interactions with our customers and our safety, and customer satisfaction is global business partners, everything unchanged. We’ve always believed in has changed. doing the right things the right way, and this sense of integrity has helped us in • Provide— By developing ground- Through all of this, we’ve maintained our today’s ever-changing environment. breaking new products at the Lamb focus on doing what we do best—making Weston Innovation Center and providing great fries—while finding new ways to In the pages that follow, you’ll see tools that help employees better work. Whether it’s helping our team how Lamb Weston’s core value of contribute to their communities. members work from home or instituting inventiveness—in the form of new new company-wide policies on safety and technologies and processes— Our vision is to become the world’s social distancing, we’ve worked quickly delivered results across our business number-one global potato company. And and with purpose to protect our people. in fiscal year 2019. This report focuses although our plan to get there may look Because our people are what make this on our impact on people and the planet different today than it did in 2019, we business work. through four key areas: won’t compromise our values or our ESG priorities. As our business and customers Their passion and purpose are • Protect— With robust programs, a learn from this situation and evolve, Lamb reminiscent of the ingenuity and culture of integrity, and automation Weston aims to remain a company that is focus of our founder, Gib Lamb, who that improves food safety and quality not only successful, but also sustainable in established this company 70 years ago. and keeps employees safe. every way. Despite the challenging landscape that • Plant— Leveraging long-term we are facing today, I’m excited to share relationships with our growers, and our inaugural ESG report, because the sharing best practices and new tools content within demonstrates our tradition to help optimize potato crop quality of responsibility and our commitment and yields. Tom Werner to excellence at every point in our • Produce— Through improved equipment President and CEO value chain. and practices that help us use less water and energy and reduce waste.

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Corporate Profile

VISION To be the No. 1 global potato company.

MISSION To create solutions that inspire and serve our customers and consumers with a food they love and trust.

1950 Founded Eagle, Idaho MAJOR PRODUCTS Headquarters • FRIES Straight Cut, Crinkle Cut, Twister®, CrissCut®, Wedge Cut 27 • SHREDDED POTATOES production facilities1 • DICED POTATOES • FORMED POTATOES #1 Hash Browns, Tater Puffs® in North American frozen potato category • CHIPS #2 • MASHED POTATOES in global frozen potato category • APPETIZERS

• VEGETABLES 7,600 employees2 1As of June 2, 2020; includes joint ventures. 2As of May 28, 2019; excludes joint ventures.

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Corporate Profile 2020 Global Footprint*

Lamb Weston/Meijer Global W headquarters R E I R Corporate offices O W I Pacific NW North America sales office operations I E W W W W W R W I W W E OR W OR OR OR I I

*Includes joint ventures

Financial Profile Customer Segments Compelling NetFinancial Sales ($ In Millions)Profile FY19 Net Sales ($ In Millions) I II Customer Segments 4% Other

13% Retail

FY19 31% Foodservice 52% Global $3,757

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PEO How We Make a Favorite Food, PLE PROTECT

Sustainably P L A Stewardship at Lamb Weston runs deep. Sustainability N E is threaded through our entire operation, from our T

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D T quality while we work to preserve and protect nature E and its resources; using only what is necessary, and striving every day to enhance the livelihoods of our team members and surrounding communities.

With 70 years of experience and more than 7,000 potato experts around the globe, no one understands french fries better than we do. By continuously creating new PR E products and processes, we’ve made fries accessible ODUC to more people than ever before.

Our sustainability approach consists of four main focus areas, which reflect the steps in our value chain.

PROTECT PLANT Ensure the safety of all who Employ sustainable agricultural come into contact with practices on our own farm and our products and our business, ask our growers to participate whether the employees in our facilities in sustainable programs. or the consumers who eat our fries.

PRODUCE PROVIDE Continually look for ways to turn Make a positive impact by meeting the potatoes into fries more sustainably— needs of our customers, consumers, including operating efficiently and employees, and communities. responsibly sourcing inputs.

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Material Lamb WestonLamb Materiality Weston Matrix Materiality 201 Matrix Food Safety

Customer Health Sustainable Topics & Safety Ethics & Agriculture Integrity Sustainability Strategy & Vision Lamb Weston conducted its first Partnerships & Industry Collaboration materiality assessment in 2018 with the Energy Water Use Use Brand goals of identifying the most important Food Waste Reputation Occupational issues to our stakeholders, determining Climate Employee Health & Safety Change Benefits & Compliance/ current gaps in our sustainability Wellness Regulation program, and gathering feedback on Packaging Training & Leadership Education Engagement what we are doing well and where we ternal taeholder mportane Community Outreach have room to improve. Materiality survey Employee participants included both internal and Engagement external stakeholders, such as Lamb Weston employees, customers, growers, nternal taeholder mportane and suppliers. Governance Environment Social

While managing through the impact of among our top material topics, and that has helped guide our COVID-19 on our business, we have ESG decisions. We plan to refresh this assessment in 2021, which been mindful that Food Safety and will undoubtably reflect our stakeholders’ perception of risks in the Occupational Health and Safety were wake of the pandemic.

Aligning With the UN Sustainable Development Goals As Lamb Weston continues to evolve its sustainability strategy, we will align our work with the UN Sustainable Development Goals. As a first step, we have mapped our most material issues to the individual goals. Looking ahead, we will continue to keep the goals and their underlying targets top-of-mind as we develop new targets and corresponding initiatives beyond 2020.

Ethics & Integrity

Food Safety

Sustainable Agriculture

Occupational Health & Safety

Consumer Health & Nutrition

Water Use

Energy Use

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By engaging with people and organizations inside and outside our business, we Stakeholder gain a better understanding of what they value. This allows us to take action on Engagement issues that matter. We engage with a range of stakeholders in a variety of ways.

STAKEHOLDER GROUP HOW WE ENGAGE MOST IMPORTANT ISSUES Investors Annual meeting of stockholders Corporate governance Quarterly earnings presentations Climate change strategy ESG Report Smaller-scale meetings as appropriate Customers Dedicated sales resources Food safety & quality Trace My FriesTM Sustainable agriculture Product labeling and marketing Nutrition Farm and facility tours Operational impact Responsible sourcing Packaging Transportation efficiency Food waste Current and Potential Employees Updates from executives Ethics & integrity Sustainability awards Occupational health & safety EHSS training Resource use reduction Community engagement programs Professional development opportunities Recruiting programs Community impact Peers Potato Sustainability Alliance Sustainable agriculture Roundtable on Sustainable Palm Oil Food safety & quality International Association for Food Protection Nutrition & labeling Global Food Safety Initiative Responsible sourcing Potatoes USA American Frozen Food Institute (AFFI) American Potato Trade Alliance (APTA) Policymakers Engagement with federal and local government Sustainable agriculture Local press opportunities related to our initiatives Responsible sourcing Participation in regional and statewide chamber of Labeling commerce groups (IACI, Boise Metro Chamber of Local community impact Commerce) Suppliers Grower Handbook Sustainable agriculture Dedicated relationship managers for growers Use of technology in farming Supplier audits Assured supply of critical inputs and services Strategic Supplier business reviews Consumers Product labeling and marketing Food safety & quality Social media Nutrition Website Pesticide use Consumer hotline Responsible sourcing Packaging Advocacy Groups/NGOs Food Northwest Sustainable agriculture IPM Institute of North America Pesticide use American Potato Trade Alliance (APTA) Responsible sourcing American Frozen Food Institute Chemicals of concern Packaging

Lamb Weston 8 2020 Environmental, Social, and Governance Report Sustainable in Every Way OVERVIEW Goals and Progress Lamb Weston is working to use less energy and water, and create less waste while we make great fries shared around Energy Use Intensity the world. We have been gathering data on our progress GOAL since 2011, our baseline year, and set internal goals in Reduce the energy used to make our products by 10% 2016, when Lamb Weston became a public company. per pound produced. Future goals will strengthen our efforts in these key areas and be expanded to align with the UN Sustainable PROGRESS Development Goals. As of 2019, Lamb Weston has reduced energy intensity by 4.4% over baseline year 2011. Energy Intensity Water Use Intensity GOAL

Reduce the water used to make our products by 10% per pound produced. PROGRESS As of 2019, Lamb Weston has reduced water use intensity by 4.7% over baseline year 2011. Water Intensity

11 12 13 14 15 16 17 1 19 FY19

Packaging GOAL Develop packaging specifications that protect product integrity through the supply chain and minimize environmental impacts, while remaining fiscally 11 12 13 14 15 16 17 1 19 FY19 responsible. Key objectives: • Reduce fossil-derived resources • Source sustainably Waste Diversion Rate • Enhance material innovation GOAL • Design for recycling Send zero waste to landfill. PROGRESS PROGRESS Our Tite-Pak recyclable bags for frozen french fries are We diverted 89% of our operational waste in FY2019, an example of more environmentally friendly packaging. slightly down from previous years due to the challenges Learn more on page 38. facing the recycling industry. Waste Diversion Rate Responsible Sourcing GOAL Work with our partners to ensure responsible sourcing and long-term access to ingredients, materials, and services needed to make, store, and deliver our products.

PROGRESS

We are working with our partners to improve sourcing practices for potatoes, oil, and packaging, as well as

11 12 13 14 15 16 17 1 19 other procurement categories. Please read more on FY19 page 36.

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Governance

We believe having and adhering reviews Lamb Weston’s long-term management, and communication of to a strong corporate governance strategic plan, selects the CEO, our ESG programs. The committee framework is essential to our and oversees succession plans for brings forth plans and content to long-term success. Our Board members of the senior management executives for review and approval. of Directors is committed to team. Board committees include performing its responsibilities an audit and finance committee, Our core teams include one focused consistent with sound governance a compensation committee, and on environmental issues, including operations, resource use, packaging, practices. It routinely reviews its a nominating and governance and sustainable agriculture, and processes, assesses the regulatory committee. The Board will also review and legislative environment, and one focused on social impact, our ESG reporting initiatives annually. adopts governance practices that including food safety, employee support informed, competent, safety, regulatory matters, employee and independent oversight on ESG GOVERNANCE policies, and community giving. behalf of our stockholders. We manage environmental, social, These two teams share reporting and governance (ESG) topics through recommendations and identify new Lamb Weston’s Board of Directors is an internal governance committee, projects and opportunities in support composed of 10 members, including core teams, and executive oversight. of our overall ESG strategy. The nine independent directors and our The governance committee consists teams’ final recommendations are chief executive officer. An independent of leaders across the business and is presented to Lamb Weston’s chairman leads the Board, which responsible for strategy development, executive leadership.

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Ethics and Integrity Our customers and consumers OUR VALUES around the world put their trust • Integrity – We do the right things in us each time they serve or the right way every time, safely eat our products. Building and and with excellence. maintaining that trust is an incredible • Inventiveness – We imagine and responsibility. And it’s why we do the create better ways of doing things right things the right way, every time, with our customers, suppliers, safely and with excellence. partners, and employees. • Empowerment – We are bold Lamb Weston’s Core Ethics & leaders who make informed Compliance (E&C) Team is led by decisions and act like owners. our General Counsel and Chief • Teamwork – We value, engage, online as well as on our internal E&C Compliance Officer. This position and challenge each other and Portal in multiple languages. The is supported by representatives win as a Lamb Weston team. Portal includes links to other policies from across the business, including • Drive for Results – We are that provide more detail on our finance, risk management, audit, passionate and accountable approach to specific issues, including: communications, Environment, in our pursuit of exceeding our • Anti-Corruption Health, Safety, and Security (EHSS), commitments for all of • Business Hospitality sales, trade compliance, Human our stakeholders. • Conflicts of Interest Resources (HR), and Information • Delegation of Authority Technology (IT); and regularly The cornerstone of Lamb Weston’s • Due Diligence updates our Board of Directors on expectations for ethical behavior is our • Enterprise Information Security compliance initiatives and issues. Code of Conduct, which is available • Hiring Current and Former Government Officials • Insider Trading • Policy on Giving and Receiving Business Gifts • Policy on Global Sponsorships and Charitable Giving • Policy on Travel by Members of the Board

In addition, we have a Code of Ethics for senior corporate financial officers that applies to our CEO, CFO, and Controller, which requires complete and accurate financial disclosure in compliance with applicable laws and regulations. Lamb Weston’s Board of Directors oversees our commitment to ethics and compliance with legal standards and has approved our Code of Conduct. The Legal Department is responsible for overseeing Lamb Weston’s compliance with the Code and other policies. Matters relating to our Code of Conduct are routinely reported to the Audit Committee of the Board.

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ENGAGING EMPLOYEES training on Anti-bribery, Antitrust, Ethics & Compliance Week, the ON ETHICS Leadership, and Export Compliance. E&C team organizes engaging and Education about the importance instructive activities to raise awareness of E&C starts when an employee Beyond formal training, we foster a about the importance of E&C. begins employment at Lamb Weston tone of ethical behavior from the top and is continuously reinforced. with regular email communications REPORTING CONCERNS New hires receive training on the from our CEO, as well as our Lamb Weston encourages employees Code of Conduct and Harassment communications, legal, and HR to speak up when they have an ethics & Discrimination, and all employees teams. We also engage employees concern. In fact, we depend on it. refresh and enhance their knowledge through the We Choose Integrity video Without a culture where people ask on these topics annually. We also series, signage in our facilities about questions, raise concerns, and report have a multiyear training plan for all ethical decision making, and branded violations, we cannot live up to our salaried employees on Information badge holders displaying the Lamb commitment to act with integrity. Security and targeted audience Weston values. During our annual Employees can report concerns or ask questions by speaking to their immediate manager or other managers in their organization, their HR representative, the legal department, or the Lamb Weston Helpline. The Helpline is managed by an independent third party, can be accessed via phone or online through more than 70 languages, and is available 24/7. This reporting avenue is also open to customers, suppliers, and other stakeholders.

Reports are initially handled by specially trained third-party staff and are then investigated by authorized Lamb Weston personnel. Employees may submit concerns anonymously if the law in their country permits anonymous reports. However, we encourage employees to share their identity when possible so that we can perform a more effective investigation. We do not tolerate retaliation against any employee who reports a concern in good faith or participates in an ethics investigation. Likewise, we expect employees to fully cooperate with investigations, which includes providing accurate and complete information and maintaining confidentiality as necessary.

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Sustainable in Every Way PROTECT Safety Across the Value Chain

People are at the heart of everything we do. Operating with integrity is our priority, which is why we go above and beyond to keep employees and consumers safe and maintain the highest levels of quality in every one of our products. Sustainable in Every Way PROTECT

How We Approach Food Safety and Quality Producing the high-quality products procedures, systems, and checks in Lamb Weston leaders from around our customers and consumers place to identify and mitigate risks. the world. One outcome of the summit expect means taking a “total As Lamb Weston grows around the was a Global Food Safety and Quality care” approach, where food world, we ensure that everyone, Journey Map, which reinforces global safety and quality is everyone’s everywhere understands and applies alignment and provides a common responsibility every step of the way. our approach to food safety and five-year safety and quality plan Lamb Weston also has a deeply quality. Whenever we integrate a for Lamb Weston and our partners ingrained philosophy of continuous new acquisition, we have a team at Lamb-Weston/Meijer v.o.f. improvement—we constantly of quality professionals who work strive to exceed expectations. on site at the acquired business Lamb Weston also works with a to assess their quality programs. network of external academic and Food safety and quality are This due diligence process helps industry experts on overarching and intertwined, both affecting the other us identify gaps and create and emerging quality and safety issues in a number of ways. We define implement corrective action plans. impacting the food industry. This safe products as those that meet We also perform supplier and vendor research encompasses detecting the strictest criteria for reducing qualification and monitoring audits and surveying chemicals of concern hazards that could cause injury or to ensure our ingredients meet the and applying mitigation measures illness to consumers. These could highest standards of safety and to reduce and eliminate them in include chemical hazards, physical quality. In 2019, we held a Global the raw potato, finished product, hazards such as foreign material, Food Safety Summit attended by and production processes. or biological hazards such as pathogens. We maintain a robust product recall program for products that do not adhere to our high safety and quality standards. Quality, on the other hand, refers to how a product performs. Quality requirements vary from customer to customer, as different customers have a range of expectations regarding how their products should look and taste.

We take a proactive approach to food safety and quality, with

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Managing Food Safety and Quality Daily

Lamb Weston works to eliminate, control, and manage all potential food safety hazards. We adhere to global food safety standards and implement them with food safety plans for each production line at each facility, as well as conducting facilities, into products or packaging. Third-party auditors assess food internal audits at all of our production Overcoming this risk requires safety systems against the Global facilities. After products are proactiveness and vigilance. Lamb Food Standard Initiative (GFSI)’s released, we continue to monitor Weston has a specialized team of British Retail Consortium (BRC) quality by tracking results related to subject matter experts, engineers, Food Technical Standard, as well as finished-product testing, customer and processing experts focused on other GFSI standards. If production complaints, and product recalls. foreign material reduction. The team facilities meet standards, they receive identifies foreign material risks at all a certificate of compliance. Internal One of the primary hazards we face stages of production and monitors audits are conducted annually to the is the entry of foreign materials, customer complaints to ensure issues BRC code and to company-specific such as debris from the farm or our are remediated. Within the team, policies. Lamb Weston also has an engineers focus on developing and allergen control program to prevent introducing new technologies, as well illness to the allergic consumer. This as improving existing technology, to program is reviewed at least annually remove foreign material. Examples of to ensure the highest standard this include x-rays and optical sorting, of safety. We respond to non- which uses specialized cameras conformances revealed by audits to detect non-potato materials. by implementing remedial actions. If a facility is found to have critical issues, Internal audits, third-party audits, and they are re-audited within 90 days. audits conducted by our customers ensure we are following food safety QUALITY processes and that they are working To measure quality throughout the correctly. Third-party and customer life of our products, we assign each audits vary in frequency and scope item, including raw ingredients, a depending on risk level and on the product specification that meets a auditor. For example, our ready-to-eat customer’s requirements. When our (RTE) products are considered higher quality checks, performed either risk, so our facilities producing RTE are audited to a higher standard and through sensor technology or human also have more stringent programs in inspections, identify a product that place at these facilities. falls short of our standards, we

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take appropriate action to remove rotating selection of production If we receive a complaint, we use the product and remediate the facilities and evaluate them at Lamb a software program to track it and issue. Quality testing includes Weston’s headquarters to make send it to the facility where it was measurements for defects, length, sure they meet specifications. produced for an investigation. The solids, texture, and wholesome flavor • Corrective action plans – If we find results are shared with the consumer against customer specifications and defects, we work with the facility via our Consumer Affairs team. Our targeted quality standards. Quality to document a plan of action. facilities use the information they test results are recorded to allow us • Following up – A designated gather from this tracking for their to track results, monitor trends, and person at each production facility continuous improvement efforts. make process adjustments over time. is responsible for taking corrective action, and participates in monthly QUALITY TESTING PROCESS quality calls to review progress. • In-facility sampling – Quality assurance experts at each Hearing directly from our consumers facility pull product samples from is important to us, and we operate production lines every 30 minutes. a consumer affairs function that • Enterprise-level sampling – Each engages with consumers via phone, week, we gather samples from a websites, and through social media.

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Engaging Employees on Continuous Improvement

Food safety and quality is Weston employees interested year-long program specific to food everyone’s responsibility. To in leadership positions undergo safety. FSU will help employees equip our employees to handle this training. better understand food safety that responsibility, Lamb Weston • Advanced Potato Processing principles and become mentors invests significant resources in Training (APPT) – This advanced for others, allowing us to establish training programs at all levels of the course delves more into the science a succession plan for future food organization. Beyond training specific behind potato processing. safety leaders. to job roles, we have developed • Food Safety University (FSU) – several courses and programs In early 2020, we launched this related to food safety and quality. Any employee—not just those who work in safety and quality roles—can participate. These programs include:

• Process Quality (PQ) training – This two-year program combines classroom instruction and independent assignments. Students learn the basics of food safety and quality testing, monitoring, and measurement. Almost all Lamb

Collaborating Across Our Industry

• American Frozen Food Institute (AFFI) • American Potato Trade Alliance (APTA) • Analytical Chemist • Association of Food & Drug Officials (AFDO) • British Retail Consortium (BRC) • Food Allergy Research and Resource Program (FARRP) • Food Defense Consortium • Food Northwest • Frozen Potato Products Institute (FPPI) Food safety and quality are a top priority not only for • Global Food Standard Initiative (GFSI) everyone at Lamb Weston, but also our peers across • Institute for Food Safety and Health (IFSH) the industry. We collaborate with peers through a • Institute Food Technology (IFT) range of organizations, including through leadership • International Association for Food Protection (IAFP) and committee participation. The following are some • Northwest Food Safety & Sanitation (FSS) Workshop organizations in which we participate: (with Washington State University)

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How We Approach Occupational Health and Safety Consumer trends, production ensure that all facilities are TAKING A MOMENT technologies, and business priorities conforming with requirements. FOR SAFETY evolve over time. But Lamb Weston’s • Culture – Build and maintain a Every Lamb Weston supply chain commitment to safety is unchanging. proactive and preventive culture by meeting begins with the opportunity We strive for world-class safety driving ownership at all levels of the for a safety moment, where a meeting at every one of our facilities. This organization. Our leaders reinforce participant shares a short story means we are constantly focused on this culture by starting supply chain that got them thinking about safety. creating a zero-incident culture, where meetings with a safety message. It could be work-related, such as every employee goes home every a reminder to use handrails at day, accident free. To achieve this We conduct routine assessments a company site. Or it could be level of safety, we direct employees of our safety programs to evaluate something that came up at home, not to engage or ask anyone else conformance with our EHSS such as a tip on safe lawn mower to engage in anything that could framework and programs. For core maintenance. Safety moments potentially put them at risk. The Lamb programs, we use a third-party encourage employees to keep Weston Environment, Health, Safety, assessor; for non-core programs, safety top of mind at work, and Security (EHSS) Management we conduct internal assessments. and away. System Framework guides our We also keep in close contact overall approach to safety. The and share best practices with framework includes three concepts: Lamb-Weston/Meijer v.o.f., our • Prevention – Proactively identify, joint venture partner in Europe. assess, and mitigate risks to our people and the environment. Knowing that the best way to avoid accidents is to eliminate risks altogether, we implement controls that focus more on engineering out risk than relying on personal responsibility. • Compliance – Apply sound management practices to ensure ongoing compliance with company standards and regulatory requirements globally. Routine assessments help us

Lamb Weston 18 2020 Environmental, Social, and Governance Report Sustainable in Every Way PROTECT Safety in Action in Our Facilities

Risks vary widely in our business. new or temporary workers, covering Many of our employees work in for colleagues who are out sick, or manufacturing facilities and face risks non-routine work required during related to conveyors and processing the shift. Employees then prepare equipment, driving, ergonomics, a plan to mitigate and control hot and cold environments, moving those risks. Daily assessments are equipment such as forklifts, and slick complemented by safety huddles conditions. Employees on our farm between employees and their shift must evaluate potential hazards not leaders that focus on the risks only related to equipment, but also to and mitigation plans highlighted weather. Safety training helps address by the assessments. Other safety each of these risks. All employees programs and practices include: participate in a safety orientation when • Automation of process steps they begin working at Lamb Weston and inspection equipment as part of the general onboarding that has greatly improved the The COVID-19 pandemic created process. In addition, employees safety of workers who would unique challenges for our teams, undergo safety policy and standards otherwise be exposed to as we focused on continuing training, as well as job-related training, repetitive motion injuries. to supply food as an essential which includes demonstrations of • Driving guidance for our sales function while establishing task-specific safe work practices. force and other employees who procedures to protect our team visit farms and storage facilities. members from the spread of the We routinely assess our protocols • Ergonomics training in partnership virus. Our teams established new to ensure we’re providing a safe with ErgoFit to help integrate policies for social distancing, environment for team members under stretching and flexibility regimens additional protocols for masking evolving conditions. At the beginning at each of our facilities. This and health screening, and we of each shift, our team members on-shift effort helps workers quickly provided training to team conduct daily risk assessments continuously improve their joint members to help the measures specific to the facility, production stabilization, strength, and balance. succeed. As the situation evolves, line, or area in which they’re working. • A training seminar on taping so will our approach to keeping These assessments yield a list of and athletic conditioning for our team members safe. risks that can impact safe operations nurses to support employees’ or quality. The risks typically go health and strength. beyond obvious mechanical hazards • Wellness or ergonomics and encourage employees to think committees at individual sites. about issues such as how to handle

PROMOTING A SAFETY CULTURE To encourage continuous learning and sharing of best practices, many of our manufacturing facilities host book clubs that read about and discuss health and safety concepts and look for ways to integrate the lessons into Lamb Weston’s practices. We also support the advancement of a safety culture externally by sponsoring local efforts such as the Oregon OSHA Blue Mountain Safety Conference. Our sponsorship brings together safety authors and thought leaders to share their work with the wider safety community.

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Safety Performance

Lamb Weston has achieved significant safety performance improvement, and our recordable Lamb Weston OSHA Incident Rate (OIR) incident rate is typically half the North American Industry Classification System (NAICS) industry Lamb Weston OSHA Incident Rate (OIR) average. We continue to strive for even Fiscal Year further improvement. We track both leading and lagging indicators of safety performance. As a lagging indicator, injury and illness data are reported and tracked per Occupational Safety and Health Administration (OSHA) recordkeeping requirements. The Key Concepts of Safety Assessment is a leading indicator that we use to self-evaluate our safety program every quarter. On these assessments, we ask teams to share their perspective on how programs are performing. FY19 Our steady reduction in incident rates means 1.490 we can focus on eliminating potentially serious incidents (PSI). PSIs are incidents that could have resulted in irreversible damage to people or the environment if one critical element were different. We use this leading indicator in tandem with root cause analysis tools to develop preventive measures for potentially dangerous scenarios.

A TRADITION OF SAFETY ON OUR FARM

Agriculture is considered a high-risk industry, but Lamb Weston’s farm has consistently been an exception to that rule. Our farm teams have worked for nearly five years with a world-class safety record (0.28 TIR), and some of our departments have worked over that time with zero recordable injuries. These outstanding results are thanks to our team members’ dedication and attention to safety, as well as personal protective equipment, automated safety systems in tractors and other farm equipment, and improved nutrient and water monitoring systems that reduce the need for labor- intensive field work. “This milestone is a great example of what can be achieved with teamwork, making the right choices, and personal accountability,” says Troy Emmerson, Director of Ag Services at 100 Circles Farm. “I enjoy watching everyone at the farm strive for and achieve excellence in everything they do.”

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Sustainable in Every Way PLANT From Seed to Product

For today’s consumers, the people and companies behind the foods they eat are increasingly as important as the food itself. Behind Lamb Weston’s fries are family farmers, field managers, and agronomy experts who know almost everything there is to know about potatoes and the land where they grow. It’s a collaborative venture that incorporates sustainability in every way. Sustainable in Every Way PLANT

How We Approach Sustainable Agriculture

RELATIONSHIPS WITH SUSTAINABLE GROWING documents these best practices and FARMERS PRACTICES shares them with growers. We also Our deep connection to agriculture On our own farm and in adopt the latest equipment and stems not just from sourcing millions our engagement with technology on our farm that of tons of potatoes for production growers, we encourage allows us to become even each year, but also from working the adoption of practices 100+ better stewards of the land. land on our own farm. We operate that include integrated growers farming a 20,000-plus-acre farm that allows pest management approximately INDUSTRY us to pilot new technologies and (IPM), minimum tillage, 170,000 acres ENGAGEMENT develop in-house expertise. It also and nutrient stewardship. of land The potato processing helps us better understand the IPM is adopting practices industry’s Potato Sustainability challenges and opportunities our and crops that complement Alliance provides both qualitative growers face. About 10% of our one another to reduce dependence and quantitative measures to potatoes come from this farm, and upon chemistry. benchmark our performance on the rest are sourced from contract environmental, social, and economic growers. Through relationships CONTINUOUS IMPROVEMENT factors. Through this and other efforts, with farmers carefully tended over Our ongoing goal is to have the best we’re contributing to an overall more decades, we’ve built connections agricultural management practices sustainable potato supply chain. based on fairness and trust. in the industry. Lamb Weston

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The Potato Growing Process

It all starts with a seed. With time and Grow – Over the next few months, Store – Potatoes are stored in care, that seed grows into potatoes depending on the region and weather climate-controlled buildings that are that become Lamb Weston fries. It’s a conditions, those seeds grow into specifically designed and built for cycle that depends on the changing potatoes. Crops are closely monitored potatoes. Each building can hold of the seasons, as well as cutting- for fertility, water, pests, and disease. about 12,000 tons of potatoes. edge technology for soil health monitoring and potato storage. See Harvest – When harvest time Produce – Using potatoes straight out how the process unfolds. comes, row harvester machines of the field at harvest time, and from get to work, each machine digging our storages, Lamb Weston processes Plant – Potatoes are planted in 15-20 acres per day. Potatoes are potatoes into fries, hashbrowns, and early to mid-Spring depending inspected for quality and loaded more, all year round. on geographic region. Seed size, onto trucks for delivery. spacing, and depth are precisely controlled to maximize yield and quality.

POTATO POTATO STORAGE STORAGE

PRODUCE PRODUCTS HARVEST GROWING POTATOES SEASON

PLANT POTATOES

SPRING SUMMER FALL WINTER

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Partnering With Our Growers

Farmers know the land better than anyone else and rely on it for their livelihoods. They also share our sustainability concerns because they are consumers themselves. Many of our growers operate family farms. They take pride in the potatoes they produce and have a strong personal interest in ensuring their land remains healthy and productive for generations to come. Lamb Weston Lamb Weston growers must varietal development and growing knows this because we have been complete a Good Agricultural technologies directly with farmers. working closely with farmers for 70 Practices (GAP) audit annually Growers Information Edge helps Lamb years, and many of the same families to ensure safe and sustainable Weston growers and partners make for decades. Today, we depend upon crop management practices. farming decisions that are data-driven, a network of more than 100 growers. aligning with best practices and We established the Growers agricultural performance programs Lamb Weston sets clear expectations Information Edge program in 2010 such as minimizing pesticide, for our grower partners with resources based on short- and long-term fertilizer, and water use, while that include a Grower Guide that goals that Lamb Weston has for our optimizing yield and crop quality. covers safety, sustainable agricultural own farm and for our growers. The practices, and reporting and auditing program established a data collection Complementing our engagement processes. We also offer education system to centralize information with farmers is the operation of programs, including conferences on farming inputs and outputs, 100 Circles Farm, our 20,000-acre and seminars, publications, and and created baselines against farm in Paterson, Washington. Here, Lamb Weston agronomy experts which we can set goals and spot we pilot technologies and practices who are available for advice opportunities for improvement. It also that provide proofs of concept for and consulting. In addition, all allows us to share our expertise on new ideas before we introduce them to our growers. We raise root crops, vegetables, and dairy cows at this farm in a vertically integrated model: the byproducts of our harvested crops are used for dairy feed. Manure from the dairy operation is used as crop nutrients. We incorporate crop rotation, integrated pest management, and modern equipment to determine which combinations of practices deliver the best quality and yields.

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Too little water causes stress, which efficiently, and with the right timing to decreases yields and impacts quality, avoid runoff and waste Growing but too much can suffocate plants. We of costly resources. focus on both the availability of water Nutrients are tailored in the regions that supply our potatoes to crop needs 11. 6 pounds of Potatoes and the quality of water used. according to soil nitrogen per type, the amount ton of potatoes Conserving water is important. We and type of organic Sustainably grown conducted a water risk assessment in matter in the soil, plant 2019 and determined that the majority health, and the stage of in Every Way of our growers are located in regions crop growth. These factors can vary, where the risk of water scarcity is low so regular monitoring is key. To obtain or medium. A few growing regions, insights into how to better optimize In agriculture, many variables are including Hermiston, Oregon; Park nutrients, growers sample their soils out of our control, from local climate Rapids, Minnesota; Twin Falls, Idaho; and a part of the potato plant stem and weather conditions to water and Shangdu, China experience called the petiole. These samples availability—even nearby urban medium to high water risk. The are sent to labs, and the results are sprawl that encroaches on farmlands. output from growers in these regions shared with Lamb Weston. We then These factors can vary greatly by represents 23% of our raw potato provide growers with optimal nutrient region or crop year. Successful and volume. Improved technology such as application data and ranges based sustainable farming requires taking center pivot irrigation, in-field moisture on historical yields, quality levels, and these variables into account and monitoring, and infrared photography potato varieties, delivered in easy-to- optimizing the things that we can have helped farmers reduce water access graphs and charts. control to find the right balance of use through more uniform watering, inputs. There is no single formula. Our lower evaporative loss, and better growers are constantly refining their SOIL measurement of application rates. approaches, zeroing in on different Lamb Weston’s Soil Health aspects of their farming operations, Initiative promotes sustainable soil all of which are interconnected. NUTRIENTS management practices such as crop Like any other living thing, potatoes rotation and cover cropping that WATER need nutrients in order to grow. can further reduce runoff Nutrients can come from crop and erosion, decrease Potatoes are more residue, compost, or manure, soil compaction, and than two-thirds 0.8 as well as from synthetic improve yields. The water, so it’s critically acre inches fertilizers. Regardless of the initiative uses science- important to supply of water per ton type of nutrients farmers use, based research to water to potato crops of potatoes it’s essential to apply them in the proper amounts. grown

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better understand PESTS a mobile device farmers can use critical factors like soil Pests are a reality of any to log field observations, complete biology, chemistry, $1M agricultural activity. But with pictures and GPS locations. physical properties, soil contributed to pesticides are not the only From there, we can create “heat genomics, and disease, the study of soil way Lamb Weston growers maps” to identify potential problem and identify the ways that health at WSU manage pests in their areas. Other IPM techniques include farms can improve. For fields. In fact, we encourage breeding crop varieties for disease example, planting in a field farmers to seek alternatives to and pest resistance, rotating crops to that has not been tilled after and minimize use of pesticides break pest cycles, and use of lower- the prior crop saves farmers time, whenever possible. Instead, we toxicity chemicals when pesticides fuel, and reduces the potential for advocate for a variety of methods are needed. Lamb Weston growers wind erosion. Lamb Weston is helping that can be used simultaneously to go beyond established increase knowledge of soil health in mitigate the risks of harmful pests. USDA guidelines for the Pacific Northwest with a donation This approach is known as integrated pesticide use, and to Washington State University (WSU) pest management (IPM). we are continually 3.6 to support an endowed chair focused collaborating pounds of on soil health research. In addition, IPM practices range from the simple with growers, active ingredient on our own farm, we have six fields to the highly complex. For example, NGOs, and pesticide per ton of (over 600 hundred acres) dedicated to farmers can start by scouting their academic partners potatoes grown examining different rotation benefits, fields to look for insects and see to find ways to such as green manure crops. if they need to take action. Lamb further improve. Weston offers a tool that pairs with

Where Do Lamb Weston Potatoes Grow?

Where did your fries get their start? Trace My Fries on the Lamb Weston website allows customers to enter a production code to see where their potatoes were grown.

Southern Alberta, Canada 2

Columbia River Valley 1 4 Snake River Valley 3

Minnesota Heartland 5 Mississippi River Basin

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Taking Farming to the Next Level With Technology

AERIAL IMAGERY Sometimes you need a bird’s-eye view. Many Lamb Weston growers use photos taken from fixed-wing planes, drones, and satellites to get a detailed aerial picture of their fields. This allows them to identify variations Growing food is resource intensive, can do several ground operations in and anomalies, such as inadequate with inputs such as water, land, and one pass, farmers work smarter with watering or crop disease, up to labor becoming increasingly limited. improved equipment. GPS-equipped 10 days before they can be seen with Technology plays an essential role in planting and tillage equipment allows the human eye. Farmers can then Lamb Weston’s growing operations, for more precise movement, which respond quickly, making corrections allowing us to do more with less. translates into savings on fuel, water, to prevent crop or yield After piloting technologies on our nutrients, and crop protection. loss and protect crop quality. own farm, we share our findings and recommendations with growers, REMOTE SENSING PREDICTIVE ANALYTICS and often share costs with farmers Advanced technology gives farmers Farmers can benefit not only from interested in trialing them. While a detailed understanding of what’s data about what’s happening in their there is no substitute for years of happening in their fields, even fields now—but also how current experience, we focus on innovations when they’re not physically present. conditions compare to past trends, that provide decision support, giving Monitoring equipment and practices and what this tells us about the growers the data, analysis, and such as weather stations, irrigation future. Lamb Weston has gathered insights they need to make the right pivot management software, and data for our company farm and all decisions at the right times. These moisture monitoring systems can growers into a single web portal innovations are allowing growers to provide data to aid in decision- for analysis. We use historical data proactively manage their crops and making regarding crops’ water to establish benchmarks against optimize cost, quality, and yield. and nutrient needs. Farmers can which to chart future improvements. receive notifications on their mobile In the near future, we expect to use EFFICIENT EQUIPMENT devices as conditions change, artificial intelligence and machine From air-planters that can direct seed allowing them to make real-time learning to generate applicable into fields to multistep implements that adjustments to maximize productivity. insights even more rapidly.

Lamb Weston 27 2020 Environmental, Social, and Governance Report Sustainable in Every Way PLANT Engaging With Others

Just as growers can increase their Its goals are to meet the needs of measures, and are continually knowledge by accessing data from multiple stakeholders and reduce seeking ways to further improve. The across the Lamb Weston network, potential for multiple overlapping assessment focuses on four critical we can deepen our understanding of sustainability programs, duplication aspects of potato production: sustainability issues and opportunities of effort, and costs all along the • Sustainable farming – Optimizing across our industry by working with supply chain. The organization also inputs and outputs including crop our peers. This is the idea behind the encourages continuous improvement protection, water, nutrients, yield, Potato Sustainability Alliance (PSA), by identifying and promoting and quality. formerly the Potato Sustainability opportunities in IPM, pesticide risk • E nvironmental issues – Improving Initiative, of which Lamb Weston reduction, air and water quality, soil and water conservation and pollinator protection. is a founding member. PSA is a energy and water conservation, • E conomic issues – Ensuring collaboration between customers, recycling and waste reduction, soil long-term financial success of processors, growers, grower health, and worker safety. organizations, and the IPM Institute, our farmers. which work together to improve the • Social issues – Improving worker sustainability of potato production TRACKING PROGRESS IN safety and positively impacting in the U.S. and Canada. The SUSTAINABLE AGRICULTURE the community. organization launched in 2009 and PSA organizes an annual assessment evolved in 2020 to a roundtable for growers, in which Lamb Weston format that welcomes fresh packers, requires 100% of growers to agribusinesses, and environmental participate. We are proud to have groups as members. increased our scores on several

PSA Annual Grower Assessment

SUSTAINABLE AGRICULTURAL PRACTICE 2017 2018 2019

Farms certified under a Good Agricultural Practices food safety audit 100% 100% 100%

Have a pesticide applicator that has passed an exam and/or has taken a 100% 100% 100% pesticide safety course in the last three years Use non-chemical practices to manage pests, including pest-resistant 97% 96% 100% varieties, mowing, cultivation, or beneficial organisms

Can identify beneficial insects that help control pest insects 95% 93% 96%

Make pesticide application decisions based on pest-forecast models, 96% 89% 99% thresholds, or decision-support software Make management decisions for soil-based pests and diseases based 96% 89% 91% on results of monitoring or sampling Monitor or sample for pests systematically on a weekly basis during the 73% 70% 72% growing season Sample potato plant foliage or soil during the growing season to adjust 100% 99% 100% nutrient applications

Use remote-sensing technology to monitor crop health 58% 46% 58%

Have a whole-farm soil and water conservation plan 5% 26% 30%

Have measures to protect sensitive sites, and monitor sensitive sites at 85% 70% 71% least annually

Have restored or encouraged existing habitat for pollinator forage 48% 46% 53%

Maintain >20-foot buffer around habitat areas for pesticide application 47% 55% 58%

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Sustainable in Every Way PRODUCE Minimizing Resource Use

Between harvest time and mealtime, our potatoes go on quite a journey. Inventive technology for cutting, seasoning, and freezing turns whole tubers into kitchen- ready products in a matter of hours. After processing, products are bagged and packaged for shipment. All along the way, we strive to use technologies, ingredients, and materials that lessen our environmental impact. Our products aren’t just good—they’re made in ways people can feel good about. Sustainable in Every Way PRODUCE

How We Approach Manufacturing

As we produce our signature fries— we apply this system to address and prioritize control efforts and as well as chips, hash browns, diced safety hazards on p. 18.) expenditures. Beyond our risk- potatoes, and other products— based approach to managing these how can we do so in a way that OUR AREAS OF FOCUS issues, Lamb Weston is committed minimizes our use of resources? A Lamb Weston’s core environmental to meaningfully reducing energy Global Environment, Health, Safety, programs include prevention and and water use and the amount of and Sustainability Policy and mitigation of spills, and management waste sent to landfill throughout Management System Framework of air emissions and wastewater our operations. We set goals guide all actions within our production discharges. As part of the EHSS in 2016 to promote and define operations. This approach allows framework, we have developed a progress in each of these areas us to proactively identify, evaluate, comprehensive risk evaluation tool by 2020. Learn more on page 9. and address potential hazards to help us analyze EHSS risks at before incidents occur. (Learn how each of our manufacturing locations

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1 Peeling & Trimming High-pressure steam removes potato peels, and inspectors remove blemishes and inspect for foreign material. 2 Preconditioning Potatoes are conditioned using techniques to minimize the use of energy and water.

3 Cutting How a Our proprietary Lamb Guns cut potatoes into shapes by propelling them through Potato a grid of knives at over 60 mph. 4 Automatic Defect Control Becomes Cameras inspect every fry for potential defects. If one is detected, a puff of air sends the fry to a defect removal line, where automated defect removal equipment cuts the defect out and sends the rest of the fry through the a Fry process. This technology increases fry quality and decreases food waste. 5

For 70 years, Lamb Weston Blanching & Drying Hot water controls fries’ internal texture has been making one of and color and prevents natural browning. the world’s favorite foods. A hot air dryer removes moisture. We’ve innovated production technologies that are now 6 standard across our industry. Frying Today, potatoes can go from Potato strips are quick-fried to the field to frozen fries in just the perfect color and texture. four hours. We’ll never stop exploring new ways to make a better, tastier fry. 7 Freezing Fries are quick-frozen in our freeze tunnel; cameras and lasers inspect once more for foreign material.

8 Packaging Frozen fries are weighed, bagged, and passed under a metal detector, then cased, coded, and palletized for shipment.

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Total Energy Consumed by Source Rethinking FY19 1% Biogas 2019 Total Energy Consumed3% Coal by Source Energy Use 4% Steam 23% Electricity Lamb Weston has set a goal to reduce the amount of energy that goes into making a pound of potato products, which in turn reduces greenhouse gas emissions. The most impactful way we can do this is by operating our facilities more efficiently. In recent years, we have invested in lighting and refrigeration upgrades, fryer heat recovery projects, boiler condensing economizers, and 69% Natural Gas other technologies that reduce energy usage.

Another opportunity to decrease emissions is changing the source of energy used to power our GHG Scope 1 and 2 Emissions Intensity facilities. Since 2008, we have purchased Renewable GHGLLO Scope O1 and 2 Emissions Intensity Million metric tonnes Energy Certificates to offset the electricity used to power administrative offices in Idaho and Washington and to make Alexia products. At our sweet potato production facility in Delhi, Louisiana, potato solids are converted to biogas in our anaerobic digester. We can use the resulting biogas as fuel to offset natural gas demand. This closed-loop system helped make Delhi the first frozen-food production facility to earn Leadership in Energy & Environmental Design (LEED®) Platinum certification. Our ENERGY STAR® certified Park FY19 Rapids, Minnesota, facility also uses energy supplied 0.315 by biogas. Lamb Weston’s second LEED-certified facility is Boardman East, in Oregon, which earned LEED® Silver status with fixtures that reduce energy use by 23.5% compared to the industry baseline. As a result of these and other changes, Lamb Weston has decreased energy use intensity by 4.4% since 2011.

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Demonstrating Making Smart Use of an Leadership in Essential Resource Conservation Lamb Weston is committed Water is fundamental to the process of GETTING THE MOST OUT to water conservation and turning potatoes into fries. We apply environmental stewardship. To OF EVERY DROP demonstrate this commitment, we water to wash, transport, heat, and After reducing water use, our second blanch potatoes. We even use water installed a state-of-the-art water priority is to reuse it. In fact, most reuse system at our production for cutting, harnessing a high-velocity water that enters our facilities is flow to propel potatoes through a grid facility in Hermiston, Oregon. used multiple times. This is particularly This system is the first of its of knives, which slices them into fries. important in parts of the world where Finally, we use water for a variety of kind for Lamb Weston, and we water is scarce. A 2019 water risk believe that it is the largest water cleanup and sanitation tasks, which assessment identified water stress in keep our facilities and products safe. reuse system in North America. the regions of our Hermiston, Oregon; Process water is treated through Park Rapids, Minnesota; and Shangdu, anaerobic and aerobic processes Water is a resource all of us must China facilities. We are mitigating this share, which is why Lamb Weston and then treated for reuse using risk in Hermiston with an innovative ultrafiltration, reverse osmosis, strives to reduce the water required water reuse system (see sidebar). at each stage of production. For and disinfection processes before being returned to the production example, we have installed localized Many of our facilities use process flow meters to improve monitoring process. Water quality from this water land application systems, system meets all local and state and measurement capabilities and where water is used to irrigate developed checklists to identify losses standards for process water. crops. Approximately 50% of our This reuse system supported or inefficiencies. With this information, water discharge is reused in this way. we have installed equipment such the expansion of our Hermiston Water used for potato processing operation, allowing us to add as flow restrictors, orifice plates, flow contains nitrogen, phosphorus, control valves, and automated water an additional production line and potassium, which are essential while using the same amount controls. Through these changes, nutrients for plant growth. Lamb Weston has decreased water of water as before expansion. use intensity by 4.7% since 2011.

Water Withdrawal by Source FY19

201937% Water Well Withdrawal By Source O O GLLO

55% Municipal

8% Surface

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Reducing Waste Where It Matters Most

Thanks to state-of-the-art technologies for production and Putting the Whole Potato to Use preservation, little of the potato’s volume is sent to landfill in our normal operations. In diverting whole SOURCE REDUCTION potatoes and scraps, we refer to the Working with growers to match crop volumes to customers’ specifications. U.S. Environmental Protection Agency (EPA) Food Recovery Hierarchy, FEEDING HUMANS which outlines the most beneficial Applying manufacturing techniques that keep ways to use food products and limit products fresh to limit waste. waste. Automatic defect removal ensures a small imperfection can be FEEDING ANIMALS removed with minimal potato going Using wholesome byproducts such as potato peels as cattle feed. to waste. Pieces that are too small to be made into fries are used in INDUSTRIAL USE chopped and formed products such Sending scraps to create energy as hash brown patties and Tater in anaerobic digesters. Puffs®. Starch is collected and used as an ingredient in battered products. COMPOSTING In recent years, we evolved the way we classify our waste streams and LAND have raised our aspirations, setting COMPOSTING FILL a goal to send zero waste to landfill Using a small volume of by 2020. In 2016 we reclassified waste to build healthy soils. cattle feed as a byproduct LANDFILL Disposing a negligible amount of along with potato scraps not fit for human or animal starch recovered from consumption. processing. Therefore, 89% while byproducts of waste are still being used diverted from in the same way, our Waste Volume by Type landfill FY19 percentage of waste

diverted is lower than it 1% Food Oil/Grease 1% Other would be if cattle feed were included. 3% Mixed Recyclables Each year, we recognize production 4% Waste-to-Energy facilities that divert 90% or more of their waste (excluding cattle feed). 4% Corrugated Cardboard In FY19, our Hermiston, Oregon 11% Landfill facility earned the Excellence award for diverting more than 98% of its waste from landfill. In addition, eight facilities were recognized for 43% Mixed Organics Leadership (95%–97% diversion), and three were recognized for Achievement (90%–94% diversion). 33% Wastewater Sludge

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Harnessing Employee Ingenuity

Inventiveness is a core Lamb Weston a charitable cause in their region. Winning projects in 2019 included one from value, and employees regularly apply our facility in Richland, Washington, which assembled a diverse team to search this value to support sustainability. for waste-reduction best practices across the organization. By implementing Our Advanced Potato Processing initiatives from the warehouse to the front office for waste sorting and efficiency, Training includes a module on they diverted or reduced more than 4 million pounds of waste. Our Twin Falls, environmental protection and Idaho, facility replaced 2,200 fluorescent light fixtures with LEDs—one of the sustainability, and some facilities largest LED conversion projects in the country. As a result, the building has have “green teams,” which seek reduced its electricity use by 3.1 million kWh per year. out continuous improvement opportunities at their locations. 2019 Sustainability Award Project Benefits

RECOGNIZING GREAT WORK We also organize an annual 3.4 million kWh Sustainability Awards competition, electricity reduced which highlights Lamb Weston’s achievements in reducing 3,330 metric tonnes environmental impacts across the GHG emissions reduced business while benefitting the bottom line. Employees are encouraged to 104.5 million gallons submit projects they have completed water reduced that demonstrate inventiveness and lead to reductions in energy, water, $5.6 million or waste to landfill. Submissions cost savings and avoidance are reviewed by a committee of Lamb Weston leaders, and winning teams receive $5,000 to donate to 21,496 tons materials reduced, reused, or diverted

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How We Approach Sourcing and Procurement

Lamb Weston can’t make great-tasting Plant chapter, p. 24.) Other categories which we run our own company, fries and other products on our own. include commodities such as flour and to set similar expectations for We depend on our network of over and other ingredients including salt, their own suppliers and contractors. 4,000 suppliers worldwide to deliver starch, seasonings, and vegetables; The Code of Conduct contains ingredients, materials, and services and general contractors, capital guidance on workplace and human that make our products possible. Our equipment, and parts. Lamb Weston rights issues; animal welfare; health, procurement approach is grounded in has strategic supplier relationships safety, and the environment; ethics; purchasing fundamentals like quality, across critical categories, which help and monitoring and record-keeping. service, risk mitigation, and cost ensure supply, foster continuous efficiency—and goes beyond these improvement, and mitigate supply Beyond sharing the Code basics to foster transparency and chain risk to the business. of Conduct, we engage with accountability regarding how inputs suppliers through quarterly are sourced. OUR EXPECTATIONS business reviews for strategic suppliers and regular discussions OF SUPPLIERS Our primary sourcing categories are related to R&D and sustainable Lamb Weston’s Code of Conduct for potatoes, oil, and packaging. (Our product development. We regularly Suppliers outlines the basic provisions potato supply chain—which includes a audit suppliers for conformance to of our relationships with suppliers. network of growers as well as a small Lamb Weston Supplier Compliance We expect suppliers to conduct their percentage of potatoes from Lamb requirements. Read more about Weston’s own farm—is covered in the businesses to the same standards audit processes on page 15. of integrity and ethical behavior with

Scope 3 Transportation Emissions by Source Transportation Efficiency FY19 Scope 3 Transportation Delivery of Lamb Weston 3% Other Emissions by Source products from facilities to customers is contracted 4% Raw potato hauling through transportation suppliers. As part of our transportation sourcing process, we inquire into 20% Finished goods —rail providers’ sustainability programs and regularly review our deployment network to increase 38% Finished goods efficiencies in logistics. —intermodal

35% Finished goods —truck

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Sourcing Palm Oil Responsibly

Lamb Weston uses palm oil as an to promoting the growth and use of away from the Book & Claim model ingredient in several of our branded sustainable palm oil products through to Mass Balance certified palm and private brand items. While palm global standards and stakeholder oil. Mass Balance oil may contain oil is an important ingredient in our engagement. We purchase palm a combination of certified and products, we are aware that it has oil only from RSPO members, noncertified palm oil, but supports been linked with environmental with a preference for purchasing the development of a sustainable and social concerns. To help ensure RSPO-certified sustainable palm palm oil supply chain. Lamb Weston Lamb Weston’s purchases do not oil. In addition, we will strive to has achieved and maintains Mass contribute to deforestation of the source palm oil only from suppliers Balance Supply Chain certification, world’s rainforests or negatively whose landholdings and operations and already supplies products made impact communities that depend with RSPO-certified Mass Balance meet RSPO’s defined criteria. on those forests, we source palm oil to customers who require it. 100% of our palm oil volume from We plan to fully shift our certification responsible and sustainable sources. FOCUSED ON CONTINUOUS level to 100% Mass Balance in 2021. Lamb Weston’s palm oil suppliers IMPROVEMENT run integrated operations that Our approach to palm oil sourcing Beyond membership in RSPO, cultivate, harvest, and process oil, continues to evolve. Lamb Weston Lamb Weston engages with peers and others purchase and distribute currently purchases a combination on issues related to palm and palm oil cultivated by other parties. of PalmTrace RSPO Credits (Book other cooking oils as a member & Claim), which RSPO-certified of the National Institute of Oilseed Lamb Weston is a member of the producers can sell to manufacturers Products (NIOP) and American Fats Roundtable on Sustainable Palm Oil using palm oil, and Mass Balance and Oils Association (AFOA). (RSPO), an organization dedicated certified palm oil. We are transitioning

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• Reducing fossil-derived A Closed-Loop Solution resources – Through right- sizing packaging and optimizing for Paper Packaging packaging structures while ® maintaining food quality and safety. The paper/poly bags (Tite-Pak ) • Sourcing sustainably – By for Lamb Weston’s foodservice incorporating bioderived resources product packaging demonstrate how and linking sourcing to customers’ collaboration can lead to sustainable sustainability goals. solutions. When Lamb Weston • Enhancing material innovation – customers identified fry bags as a By leveraging industry coalitions primary target for reducing waste to to build synergies across our landfills, our packaging engineering supply chain. team, along with supplier Graphic • Designing for recycling – Through Packaging International (GPI) got identification of recyclable options to work. We applied our extensive Packaging and alignment with in-store knowledge of paper and polymer dropoff programs. science to create a repulpable version of Tite-Pak® bags, which That Does Our Packaging Lab at Lamb Weston’s meet requirements for bond Innovation Center ensures packaging strength and temperature control More meets our needs for quality, safety, while being fully recyclable in Old and sustainability. At our on-site Corrugated Container (OCC) and laboratory and pilot line, we simulate mixed paper recycling streams. different transportation modes and Packaging affects many aspects of conduct tests to qualify materials for Pilot recycle projects at Washington our business and supply chain. Our use. After qualifying a material, we State University and Michigan State top priority is to provide packaging work with commercialization teams University, who serve our products in solutions that maintain food safety and to simulate full-scale production and their cafeterias, confirmed the bags quality as products make their way see how a material performs during would be accepted for recycling, to consumers. This is our baseline all stages of processing, packaging, and processing at a local pulp mill expectation, but there is much more and transportation. Once a material proved that fibers could be recovered we can achieve with packaging. has been thoroughly validated, we for future use. Lamb Weston and record its performance attributes in a GPI have been working with OCC Lamb Weston’s vision for sustainable packaging specification system. When partners to ensure Tite-Pak bags can packaging includes: future materials are produced outside be successfully recycled nationwide. • D eveloping packaging specifications these parameters, the production that make use of bio-based and facility, quality teams, procurement, recycled feedstocks; and packaging departments work • U sing materials that are recyclable, together to investigate and bring repulpable, compostable, or packaging in line with current best biodegradable at end-of-life; practice. We also use third-party • U sing less material and optimizing audits to help us validate materials current packaging structures. and improve performance.

We partner with suppliers to tackle Documenting our preferred packaging sustainable packaging initiatives specifications has enabled progress in to achieve these objectives. We multiple areas. For example, suppliers also recognize setting sustainable can right-size containers to better packaging goals can help accelerate fit products and reduce materials action and are currently working to used. We can also better respond to define appropriate metrics to measure changing regulations and local sorting our progress. Our sub-goals related to and recycling policies, and innovate to packaging sustainability include: design packaging for multiple uses.

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Sustainable in Every Way PROVIDE More Than Just a Meal

Food brings all of us together. It’s what unites consumers around universal favorites like fries, and what helps us succeed and grow as a business. Our customers’ satisfaction—and therefore, our success—allows us to take care of our employees and support the communities where we work. We’re proud to be part of a company that touches the lives of our stakeholders in many beneficial ways. Sustainable in Every Way PROVIDE

Customers and Products

How We Approach Products

Our products are behind some of restaurant and home dining in the consumers have shown a preference the best-known restaurant brands in U.S. and increasingly around the for foods with simple ingredients. the food industry. When you think of world. We’re proud to produce a We’ve responded by introducing a crispy, delicious fries, it’s likely you’re food that brings people together range of products that use only three thinking of Lamb Weston fries. Our and satisfies hungry appetites. ingredients: potatoes, oil, and salt. global customers and consumers put We also know our products are Among these options are our Lattice their trust in us each time they serve best consumed in moderation. Chip and Natural Cut Fry. In addition, or eat our products. Building and Including fries occasionally in one’s all of our Global and Foodservice maintaining that trust is an incredible diet is the best way to enjoy them products made in North America and responsibility, and it is one that all of guilt-free, balancing a little bit of China meet the following standards: us take seriously. Customer happiness indulgence with nutritional foods. • N o trans fats drives every decision we make. And • N o hydrogenated oils every flavorful bite we produce. We closely monitor consumer trends • N o partially hydrogenated oils so we can offer products to meet • R esponsible sourcing of palm oil Tasty, comforting, and sharable, evolving consumer preferences and • S odium reduction fries are a mainstay of casual needs. For example, in recent years

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The majority of Lamb Weston’s sales biotechnology to improve the The Future of are to large customers like restaurant quality, sustainable availability, and chains and other facilities that prepare nutritional value of food, we support French Fries our products on-site and serve its responsible use when based on At the Lamb Weston Innovation them to consumers. We also have a sound science and regulatory and Center, we work to develop the growing retail business that includes safety reviews. We closely monitor next product before customers more than 50 products that can be the science of potato growing and even know they want it. Home to an baked in a residential oven or air fryer. processing because it’s important to interactive kitchen space, advanced These products require no additional our customers, their consumers, and telecommunication systems, oil to cook, making them a healthier to us. We will continue to make great spacious conference rooms, and way to enjoy fries at home. potato products that deliver on our a continuous processing line, the customers’ expectations, including Innovation Center is where we work We also aim to ensure everyone providing certified non-GMO options, with customers to develop the menu can enjoy our products, so we offer always with an eye on the evolving items of tomorrow—an approach we frozen potato options with Halal science and changing call Potatovation. and Kosher certifications. Our Halal food landscape. products include CrispyCoat Fries and Lamb Weston Gourmet Breaded One of the challenges the team at WORKING TO ADDRESS the Innovation Center has recently Onion Rings. Our Kosher products CHEMICALS OF CONCERN include Lamb’s Supreme Potato tackled is ensuring a great french fry According to the U.S. Food and Drug Pancakes and Mashed Potatoes, experience via delivery. Golden and Administration (FDA), acrylamide is a Lamb Weston Waffled Hash Browns, delicious straight out of the fryer, fries “chemical that can form in some foods and Sweet Things Original Mashed typically stay hot and crispy for five during high-temperature cooking Sweet Potatoes. to seven minutes. So how can we processes, such as frying, roasting, ensure they stay just as fresh during and baking.” It forms naturally when a 20- to 30-minute delivery window? RESPONSIBLE PALM OIL USE sugars and amino acids interact in Lamb Weston’s Potatovation team Palm oil has become a popular foods like potatoes, grain products, found the answer. ingredient in processed foods and coffee. The substance has because it has excellent cooking caused concern in recent years The secret to keeping a fry crispy properties, a smooth and creamy because of its potentially carcinogenic for longer is slowing the movement texture, and a natural preservative properties. Lamb Weston is working of water from the middle of the fry effect. It’s also odor-free and is the to better understand the factors that to the outside, which is what causes highest-yielding vegetable oil crop, influence acrylamide formation. We them to get soggy. After two years of which makes it very efficient to grow. have three primary work streams: experimentation, our food scientists For more information about our • Partner with academia and perfected a starch-based coating that approach to managing palm oil use, other members of our industry keeps fries warm and crispy even see page 37. to research factors that influence after 30 minutes. We call these acrylamide formation. fries “Crispy on Delivery.” OUR COMMITMENT • Develop near-term mitigation REGARDING strategies related to color and BIOENGINEERING temperature control, including Lamb Weston does not use any adjusting our cooking instructions bioengineered, or GMO, potatoes. to ensure that we are mitigating However, we agree with the U.S. acrylamide development in our Food and Drug Administration (FDA) products after manufacturing. and numerous other trusted scientific • Explore long-term strategies bodies and regulatory agencies that involving the use of new potato foods that contain bioengineered varieties that have lower ingredients are safe and nutritious acrylamide-forming potential. to eat. Given the potential for

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Product Labeling and Marketing

Given that most of our sales come consumers is our labels. Food labels keeping current with the latest from large commercial customers, in the U.S. are regulated by the U.S. requirements for food labeling. Lamb Weston does not market Food and Drug Administration (FDA). In addition to delivering required heavily to consumers. Where we do The Nutrition Labeling and Education information, food labels give us an market, we ensure that campaigns Act (NLEA) requires most foods to opportunity to inform consumers of and communications are targeted bear nutrition labeling and requires the measures we’ve taken beyond to adults, not children. One of the food labels to comply with specific regulatory compliance to improve most effective ways for us to deliver requirements. As a food manufacturer, our ingredients and produce higher- information about our products to Lamb Weston is responsible for quality frozen potato products.

Food and Nutrition labeling

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Employees

How We Approach Culture

Our workforce of approximately seriously—we make fries, after can share concerns anonymously 7,600 people around the world is all—and employees describe our through the EthicsPoint Helpline, and made up of talented professionals culture as collaborative, empowering, our biennial employee engagement with experience in diverse industries. positive, people-focused, forward- survey allows us to hear directly from These include team members who thinking, results-driven, and engaged. employees about our successes and know the industry from planting to Employees aren’t afraid to have challenges. The most recent survey, plate; employees who have been with conversations that balance conflict conducted in 2019, revealed that Lamb Weston for 40 years or more; with respect, and they always maintain pride in the company is growing, and and people who are newer to the an openness to new ideas. Leaders employees appreciate the career company who bring fresh ideas to the listen to their teams and create space opportunities available to them. team. Our people share a common for people to speak up. passion: french fries. No matter their role at Lamb Weston, employees have It’s as important for Lamb Weston to a sincere desire to provide great fries hear from employees as it is for us to and service to our customers and to provide transparent and consistent help our company succeed. information to them. Employees

When people choose to work at Lamb Weston, they join a culture where every day is “Fry Day.” We try not to take ourselves too

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Employees by Gender Workforce Profile FY19 Our workforce consists of hourly 3,027Employees By Gender Female employees, both full-time and part- time, most of whom work in our manufacturing facilities in a variety of roles, ranging from skilled labor to 1 Non-declared management; and salaried employees 4,593 Male who work in technical and specialized roles in our corporate offices.

Employees by Type FY19 Employees by Region 7,577 44 FY19 Full-time Part-time (permanent)Employees(permanent) By Type 91% United States of America

4% Canada Employees By Region

4% China

1% International (other)

A Respectful Workplace

Lamb Weston conducts business in a global and diverse environment. We understand and appreciate the value that diversity contributes to our company and to the communities in which we live and work. A respectful working environment is essential to our vision to be the number-one global potato company, and each of us has a responsibility to act accordingly.

Lamb Weston does not discriminate against any employee or applicant origin, gender, sexual orientation, veteran status, and/or any other for employment because of sex, race, gender identity or expression, age, characteristic or status protected by color, religion, ethnic or national pregnancy, leave status, disability, applicable law.

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A Journey to Lamb Recruiting and Weston Leadership

As an example of the individual Retaining Talent opportunities for growth available at Lamb Weston, look no further Attracting great talent is a top the Month and focused efforts tied than John Blair. John started priority for Lamb Weston. Like many to performance management. his career in 1977 as an hourly employee at our American Falls, companies, we face competition • Ethical Leadership training – from peer companies both within Custom training designed to Idaho plant. He earned his B.S. our industry and in the labor market promote our high-integrity culture by in mechanical engineering while more broadly, particularly for more educating and encouraging ethical working at the American Falls specialized and technical roles. An conduct and decision making. plant. John advanced his career added challenge is that many of our The overall goal of the Ethical in various production and corporate offices and production Leadership Series is for employees engineering positions, eventually facilities are in remote areas, which to develop their leadership moving to Washington to take tends to shrink the pool of potential skills and learn how to conduct the role of Operations Manager candidates. To help counter these business effectively and ethically. at our Richland facility. Since this move John has been involved location challenges, we offer flexible • Tuition reimbursement – Helping work schedules for some salaried eligible employees enhance in acquisitions and operations employees who work at our corporate their current skills, develop worldwide. Today, John is Lamb offices. We recruit new talent through: future potential, and support Weston’s VP of Global Operations. • University relations and impact the organizational • Community partnerships goals of Lamb Weston. • Career fairs • Chambers of Commerce INDUSTRY-COMPETITIVE BENEFITS OPPORTUNITIES TO GROW Our benefits are competitive within our WITH LAMB WESTON industry, and in 2019 we expanded Supporting individual opportunities our annual incentive bonus program. John Blair for growth is a key employee retention strategy. Our professional In addition to our standard healthcare “I started my career at development strategy includes plan, we offer an alternative medical structured, regular meetings and plan option for eligible U.S.-based Lamb Weston working performance reviews, and both one- hourly employees that gives them on the plant floor. Today off and ongoing training programs. access to a Health Savings Account In addition to informal feedback seeded with funds from Lamb I have the pleasure of throughout the year, each salaried Weston. Through our annual wellness overseeing all of our global employee has two reviews annually incentive program, we encourage manufacturing operations. with their manager, which helps awareness of personal health and both parties identify strengths, well-being by providing access to Lamb Weston is a company opportunities, and areas for tools and information online. We with many opportunities improvement. Other development also provide annual on-site health to gain experience and opportunities and programs include: screenings for our employees. • LinkedIn Learning – Third- rewards employees with party online training resource career advancements. that offers over 15,000 courses on a variety of topics, including My 43-year career with business and technical skills. We Lamb Weston is really promote content with a Topic of something special to me.”

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Communities

How We Approach Community Giving

We aim to be responsible neighbors $735,000 to nonprofits in 2019. In Our locations also manage their in the communities where we operate, the U.S., we focus our grants and own community outreach programs giving back through both financial and other donations on alleviating hunger through local giving committees, nonfinancial contributions. Our size through partnerships with a range of which enable employees to engage and the location of our facilities means nonprofit organizations, including: with local nonprofits financially and that we are often a major employer • Feeding America through volunteer opportunities. in many of these communities. We’re • Food Bank of Northeast Louisiana Causes supported by local offices proud to provide jobs that lead to • Idaho Foodbank include the Special Olympics, economic development in these • Meals on Wheels cancer awareness, schools and local communities, but we also look • North Country Food Bank parks, and youth development and for opportunities to do even more. • Oregon Foodbank mentoring. As Lamb Weston grows Annually, we make cash grants • Second Harvest Inland Valley internationally, our goal is to expand through the Lamb Weston Foundation, • Share Our Strength our corporate community strategy a separate 501(c)(3) organization. • Taber Food Society to include our new markets. Through the Foundation, we donated • WSU student food pantry

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Helping Out Where We’re Needed

Twice per year, Lamb Weston’s Supply Chain team chooses up to three local nonprofits to support with hands-on volunteer time. Over the course of two weeks, members of the 140-person team complete projects for selected organizations. Projects could include anything from building and painting sets for a children’s theater group, to cleaning up trails and playgrounds, to landscaping at local community support of nonprofits. Since the program began in 2013, more than 20 organizations have benefited.

In response to the COVID-19 outbreak, Lamb Weston’s Operations, Innovation and Field department teams worked together to bag approximately 180,000 pounds of raw potatoes for distribution to families and food pantries in Washington’s Tri-Cities area. Employees maintained social distancing while bagging the potatoes, each working out of separate containers. We will continue to look for ways to give back to the community during this time of need.

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Our Focus: Hunger Relief

As a food company, Lamb Weston is committed to helping alleviate hunger among communities throughout 1,350+ the U.S. We target a significant Pounds of food collected proportion of our foundation and local for the 2019 Food Drive community giving to organizations that provide food to vulnerable populations, as well as information and training about healthy eating. On $30,831 a regional level, we primarily fund food Raised bank partners in Washington, Oregon, Idaho, Minnesota, and Louisiana in the U.S.; and Alberta, Canada. Our federal nutrition programs, advocacy, expansion of the courses offered in employees often lead additional research and public policy, and food Oregon and Washington, with a focus initiatives with these partners, such skills education. The Lamb Weston on rural areas. Cooking Matters is as our annual food drive that we Foundation and Share Our Strength also using Lamb Weston’s funding held for the tenth year in 2019. have been partners on ending to build digital tools for the program, childhood hunger since 2018. which will increase the program’s SHARE OUR STRENGTH reach and provide ongoing assistance Although we work with several national One of Share Our Strength’s most to program participants. We’ve also nonprofits, our primary partnership important initiatives is the Cooking held focus groups with parents and is with Share Our Strength, an Matters program, which teaches caregivers of children at our facilities organization dedicated to ending low-income families how to cook in Eastern Washington and Oregon childhood hunger. Share Our Strength healthy meals and shop on a budget. to help Cooking Matters determine works in communities across Families take the six-week course how to expand the programs further. the country to increase together, at no cost. In 2019, Lamb children’s access Weston began a two-year agreement 247,290 to meals through with Cooking Matters to fund an individuals participated enrollment in in the Cooking Matters program 2019

We established the Lamb Weston Foundation in 2018, with a focus on signature grant-making programs and employee giving programs to support our communities. The Foundation’s focus is how we can make our communities Lamb Weston leaders learn about Cooking Matters in the grocery pop-up. better, together.

Lamb Weston 48 2020 Environmental, Social, and Governance Report Sustainable in Every Way PROVIDE Employee Community Engagement Our employees are one of our our employees spend giving back. We greatest assets in the deployment hope that through our recently added 2019 Employee of community initiatives. Their formal volunteer time off program, our Community Engagement passion for lending a hand is reporting will better reflect employees’ second to none, and we’re proud to involvement in future years. support them in doing so. Beyond making a difference for the causes In 2019, we hosted a Week of we support, our employee giving Service, during which we encouraged programs provide an outlet for the employees to go out and use growing number of people who their volunteer time off as a team want to pursue a deeper purpose or department. By focusing our Matching Gifts through their work. In 2019, we communications around a specific launched a new Giving Portal on our period, we’re able to create more $54,197.23 intranet that facilitates many of our excitement among employees and matched in FY2019 employee engagement programs. greater participation levels. We put the program on hold in 2020, due 818 MATCHING GIFTS to the COVID-19 pandemic. We total matches Since 2018, we have offered a year- hope to find a safe way to continue round matching gifts program to this program in the coming year. employees. Through the program, Pay It Forward the Lamb Weston Foundation will BOARD SERVICE GRANTS match 100% of any donations made Many of our employees choose by U.S. employees to eligible 501(c)(3) to serve on the boards of local 61% of employees participated charities, up to $1,000 per year. nonprofits, providing their time and professional expertise to help PAY IT FORWARD improve strategy, management, 6 locations with 90%+ participation We created our Pay It Forward and impact. We encourage this program to give employees a service by contributing $2,500 to role in directing the Foundation’s eligible 501(c)(3) organizations $216,000 funds. Through the program, every after an employee has served on donated eligible employee in the U.S. and their board for at least one year. Canada received $50 in their giving These grants are limited to one 900+ account, which they can then organization per employee per year. local charities benefited direct to the eligible charity of their choice. This allows the Foundation EMPLOYEE DEPENDENT to support programs that our SCHOLARSHIP PROGRAM Volunteer Time Off employees care about, in addition Lamb Weston has also introduced a to our core cause of hunger. new scholarship program that offers 1,150 $1,500 to employee dependents who paid volunteer hours logged VOLUNTEER TIME OFF are attending college or technical Lamb Weston offers all U.S.-based school. Recipients can renew the 860 salaried employees eight hours of scholarship for up to three years or paid volunteer hours logged during paid volunteer time off per year. until a degree is earned. We award the April Week of Service Employees can choose to volunteer 15 scholarships per year—provided with any 501(c)(3) charity of their we receive 60 applications—three choice. Reporting volunteer hours of which are reserved for students Board Service Grants is currently voluntary, so we believe pursuing a technical or vocational that the number of hours reported is qualification. In 2019, we awarded lower than the actual amount of time the first round of 15 scholarships. $17,500 provided

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APPENDIX GRI Content Index

This report has been prepared in accordance with Global Reporting Initiative (GRI) Standards: Core Option. The GRI Standards are a global framework, providing a clear and transparent way for organizations to report their economic, environmental, and social impacts.

General Disclosures Disclosure Description Response GRI 102: General Disclosures Organizational Profile 102-1 Name of the organization Lamb Weston Holdings, Inc. 102-2 Activities, brands, products, and services About Lamb Weston; Corporate Profile; 2019 10-K pgs. 3-7 102-3 Location of headquarters Eagle, Idaho 102-4 Location of operations 2019 Global Footprint; 2019 10-K pg. 23 102-5 Ownership and legal form 2019 10-K pg. 3; 2019 Proxy Statement pgs. 56-57 102-6 Markets served 2019 10-K pgs. 3-7 102-7 Scale of the organization Corporate Profile 102-8 Information on employees and other workers Provide—Employees—How We Approach Culture—Workforce Profile; 2019 10-K pg. 7 102-9 Supply chain Produce—How We Approach Sourcing & Procurement; 2019 10-K pg. 6 102-10 Significant changes to the organization and its 2019 10-K pg. 66 supply chain 102-11 Precautionary Principle or approach Ethics & Integrity; 2019 Proxy Statement pgs. 18-19 102-12 External initiatives Stakeholder Engagement 102-13 Membership of associations Plant—Engaging with Others; Produce—How We Approach Sourcing & Procurement, Sourcing Palm Oil Responsibly; Protect—Collaborating Across Our Industry Strategy 102-14 Statement from senior decision-maker A Message From Our CEO Ethics and Integrity 102-16 Values, principles, standards, and norms About Lamb Weston; Ethics & Integrity; Code of Conduct of behavior 102-17 Mechanisms for advice and concerns Ethics & Integrity—Reporting Concerns; Code of Conduct pg. 6 about ethics Governance 102-31 Review of economic, environmental, and social Governance—ESG Governance topics Stakeholder Engagement 102-40 List of stakeholder groups Stakeholder Engagement 102-41 Collective bargaining agreements 2019 10-K pg. 92 102-42 Identifying and selecting stakeholders Stakeholder Engagement 102-43 Approach to stakeholder engagement Stakeholder Engagement 102-44 Key topics and concerns raised Stakeholder Engagement; Material Topics

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Disclosure Description Response GRI 102: General Disclosures (continued) Reporting Practice 102-45 Entities included in the consolidated financial 2019 10-K pg. 56 statements 102-46 Defining report content and topic Boundaries About Our Report; Material Topics 102-47 List of material topics Material Topics 102-48 Restatements of information N/A 102-49 Changes in reporting N/A 102-50 Reporting period About Our Report 102-51 Date of most recent report About Our Report 102-52 Reporting cycle Calendar year 2019, ended May 26, 2019 102-53 Contact point for questions regarding the report Trudy Slagle, Director—Environmental, Social, Governance 102-54 Claims of reporting in accordance with the This report has been prepared according to GRI Standards: Core Option. GRI Standards 102-55 GRI content index GRI content index 102-56 External assurance Apex GRI 200: Economic GRI 205: Anti-corruption 103-1 Explanation of the material topic and Ethics & Integrity; Code of Conduct its Boundary 103-2 The management approach and its components Ethics & Integrity; Code of Conduct 103-3 Evaluation of the management approach Ethics & Integrity; Code of Conduct 205-1 Operations assessed for risks related to 100% corruption 205-2 Communication and training about Ethics & Integrity; Code of Conduct anti-corruption policies and procedures 205-3 Confirmed incidents of corruption and Zero actions taken GRI 300: Environmental GRI 301: Materials 103-1 Explanation of the material topic and its Produce—Sustainable in Every Way, How We Approach Manufacturing, Boundary Reducing Waste Where It Matters Most 103-2 The management approach and its components Produce—Sustainable in Every Way, How We Approach Manufacturing, Reducing Waste Where It Matters Most 103-3 Evaluation of the management approach Produce—Sustainable in Every Way, Reducing Waste Where It Matters Most 301-2 Recycled input materials used 40.1% of secondary packaging is made from recyclable/renewable material GRI 302: Energy 103-1 Explanation of the material topic and its Produce—Rethinking Energy Use Boundary 103-2 The management approach and its components Goals & Progress 103-3 Evaluation of the management approach Produce—Rethinking Energy Use 302-1 Energy consumption within the organization 302-3 Energy intensity Produce—Rethinking Energy Use

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Disclosure Description Response GRI 300: Environmental (continued) GRI 303: Water and Effluents 103-1 Explanation of the material topic and its Produce—Making Smart Use of an Essential Resource Boundary 103-2 The management approach and its components Goals & Progress; Produce—Making Smart Use of an Essential Resource; Water Stewardship Policy 103-3 Evaluation of the management approach Produce—Making Smart Use of an Essential Resource 303-1 Interactions with water as a shared resource Goals & Progress; Produce—Making Smart Use of an Essential Resource 303-2 Management of water discharge-related impacts Produce—Making Smart Use of an Essential Resource; Water Stewardship Policy 303-3 Water withdrawal 303-4 Water discharge GRI 305: Emissions 103-1 Explanation of the material topic and its Produce—How We Approach Manufacturing, Rethinking Energy Use; Boundary Climate Change Policy 103-2 The management approach and its components Produce—How We Approach Manufacturing, Rethinking Energy Use; Climate Change Policy 103-3 Evaluation of the management approach See GRI 305-1 & 2 305-1 Direct (Scope 1) GHG emissions Produce—Rethinking Energy Use 305-2 Energy indirect (Scope 2) GHG emissions Produce—Rethinking Energy Use 305-4 GHG emissions intensity Produce—Rethinking Energy Use GRI 306: Effluents and Waste 103-1 Explanation of the material topic and Produce—Reducing Waste Where It Matters Most its Boundary 103-2 The management approach and its components Goals & Progress; Produce—Reducing Waste Where It Matters Most; Materials Management & Zero Waste Policy 103-3 Evaluation of the management approach Produce—Reducing Waste Where It Matters Most 306-2 Waste by type and disposal method Produce—Reducing Waste Where It Matters Most GRI 307: Environmental Compliance 103-1 Explanation of the material topic and Produce—How We Approach Manufacturing its Boundary 103-2 The management approach and its components Produce—How We Approach Manufacturing; Environmental Policy 103-3 Evaluation of the management approach Produce—How We Approach Manufacturing 307-1 Non-compliance with environmental laws No significant fines and regulations GRI 400: Social GRI 401: Employment 103-1 Explanation of the material topic and Provide—Employees its Boundary 103-2 The management approach and its components Provide—Employees 103-3 Evaluation of the management approach Provide—Employees 401-2 Benefits provided to full-time employees that Provide—Recruiting and Retaining Talent—Industry-Competitive Benefits are not provided to temporary or part-time employees

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Disclosure Description Response GRI 400: Social (continued) GRI 403: Occupational Health and Safety 103-1 Explanation of the material topic and its Boundary Protect—How We Approach Occupational Health & Safety, Safety in Action in Our Facilities, Safety Performance 103-2 The management approach and its components Protect—How We Approach Occupational Health & Safety, Safety in Action in Our Facilities, Safety Performance 103-3 Evaluation of the management approach Protect—How We Approach Occupational Health & Safety, Safety in Action in Our Facilities, Safety Performance 403-1 Occupational health and safety Protect—How We Approach Occupational Health & Safety management system 403-2 Hazard identification, risk assessment, and Protect—How We Approach Occupational Health & Safety, Safety in Action in incident investigation Our Facilities 403-3 Occupational health services Protect—How We Approach Occupational Health & Safety, Safety in Action in Our Facilities 403-4 Worker participation, consultation, and Protect—How We Approach Occupational Health & Safety, Safety in Action in communication on occupational health Our Facilities and safety 403-5 Worker training on occupational health Protect—How We Approach Occupational Health & Safety, Safety in Action in and safety Our Facilities 403-6 Promotion of worker health Protect—How We Approach Occupational Health & Safety, Safety in Action in Our Facilities 403-7 Prevention and mitigation of occupational health Protect—How We Approach Occupational Health & Safety, Safety in Action in and safety impacts directly linked by business Our Facilities relationships 403-9 Work-related injuries Total Incident Rate 2017 1.51 2018 1.47 2019 1.49 GRI 404: Training and Education 103-1 Explanation of the material topic and its Boundary Employees—Recruiting and Retaining Talent—Opportunities to Grow with Lamb Weston 103-2 The management approach and its components Employees—Recruiting and Retaining Talent—Opportunities to Grow with Lamb Weston 103-3 Evaluation of the management approach Employees—Recruiting and Retaining Talent—Opportunities to Grow with Lamb Weston 404-1 Average hours of training per year per employee Employees—Recruiting and Retaining Talent—Opportunities to Grow with Lamb Weston 404-2 Programs for upgrading employee skills Employees—Recruiting and Retaining Talent—Opportunities to and transition assistance programs Grow with Lamb Weston GRI 413: Local Communities 103-1 Explanation of the material topic and its Boundary Provide—Communities 103-2 The management approach and its components Provide—Communities 103-3 Evaluation of the management approach Provide—Communities 413-1 Operations with local community Provide—Communities engagement, impact assessments, and development programs GRI 416: Customer Health and Safety 103-1 Explanation of the material topic and its Boundary Protect—How We Approach Food Safety & Quality; Managing Safety and Quality Every Day 103-2 The management approach and its components Protect—How We Approach Food Safety & Quality; Managing Safety and Quality Every Day 103-3 Evaluation of the management approach Protect—How We Approach Food Safety & Quality; Managing Safety and Quality Every Day 416-2 Incidents of non-compliance concerning the health Protect—How We Approach Food Safety & Quality; Managing Safety and and safety impacts of products and services Quality Every Day

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APPENDIX SASB Index

Activity Metric Category Unit of Measure Code Answer

Weight of products sold Quantitative Metric tons (t) FB-PF-000.A Lamb Weston does not publicly disclose this data due to competitive considerations. Number of production facilities Quantitative Number FB-PF-000.B As of the publication date of this report, Lamb Weston operated a total of 27 global production facilities, including those operated through joint ventures. The scope of this report includes 17 facilities in North America and China, 16 of which are wholly owned and operated facilities, and one of which is operated through the joint venture, Lamb Weston/RDO Frozen. Three facilities, two in Australia and one in Argentina, have been excluded from this report based on data availability. They will be included in future reporting. The other seven facilities are operated by our European joint venture, Lamb-Weston/ Meijer v.o.f., which publishes a separate report available here. Energy Management (1) Total energy consumed, Quantitative Gigajoules FB-PF-130a.1 (1) 14,319,650.87 GJ energy consumed (2) percentage grid electricity, (GJ), (3) 1.37% renewable energy from biogas (3) percentage renewable Percentage (%) Water Management (1) Total water withdrawn, Quantitative Thousand FB-PF-140a.1 (2) 5,131.00 m³ water consumed, 1.23% of water (2) total water consumed, cubic meters withdrawn is from a region with Extremely High percentage of each in regions (m³), Water Risk with High or Extremely High Percentage Baseline Water Stress (%) Number of incidents of non- Quantitative Number FB-PF-140a.2 Lamb Weston had two incidents of unpermitted compliance associated with water wastewater discharge in 2019 with fines totaling quantity and/or quality permits, $13,600. Each incident was remedied and assessed standards, and regulations to determine preventive measures going forward. Description of water management Discussion N/A FB-PF-140a.3 Water management risks: risks and discussion of strategies and Analysis 2019 10-K pg. 20; Plant – Growing Potatoes and practices to mitigate those risks Sustainably in Every Way – Water

Strategies and practices to mitigate risks:

PLANT – How we Approach Sustainable Agriculture, Growing Potatoes Sustainably in Every Way – Water, Taking Farming to the Next Level With Technology PRODUCE – How We Approach Manufacturing – Making Smart Use of an Essential Resource Water Stewardship Policy Food Safety Global Food Safety Initiative Quantitative Rate FB-PF-250a.1 (1) GFSI audit non-conformance rates: (GFSI) audit Major: 0.0075 (1) non-conformance rate and Minor: 0.9924 (2) associated corrective action (2) 72% corrective action rate rate for (a) major and (b) minor non-conformances Percentage of ingredients sourced Quantitative Percentage FB-PF-250a.2 96% of Tier 1 Ingredients (non-potato) Supplier from Tier 1 supplier facilities (%) by cost Locations are GFSI Certified certified to a Global Food Safety Initiative (GFSI) recognized food safety certification program

Lamb Weston 54 2020 Environmental, Social, and Governance Report Sustainable in Every Way SASB INDEX

Activity Metric Category Unit of Measure Code Answer Food Safety (cont.) (1) Total number of notices of food Quantitative Number, FB-PF-250a.3 (1) 132 notices of food safety violations (1 major, safety violation received, Percentage (%) 131 minor) (2) percentage corrected (2) 100% corrected (1) Number of recalls issued and Quantitative Number, Metric FB-PF-250a.4 (1) Lamb Weston had three product recalls in 2019, (2) total amount of food product tons (t) all for foreign material. recalled (2) 354.95 shipped pounds Health and Nutrition Revenue from products labeled and/ Quantitative Reporting FB-PF-260a.1 Less than 1% in revenue from Alexia Smart Classics or marketed to promote health and currency product nutrition attributes Discussion of the process to Discussion N/A FB-PF-260a.2 PROVIDE – Customers and Products – How identify and manage products and and Analysis We Approach Products – Product Labeling and ingredients related to nutritional and Marketing health concerns among consumers Product Labeling and Marketing Percentage of advertising Quantitative Percentage (%) FB-PF-270a.1 Zero impressions impressions (1) made on children and (2) made on children promoting PROVIDE – Customers and Products – How products that meet dietary guidelines We Approach Products – Product Labeling and Marketing Revenue from products labeled as Quantitative Reporting FB-PF-270a.2 (1) N/A (1)containing genetically modified currency (2) Less than 1% of 2019 revenue was from products organisms (GMOs) and labeled as non-GMO (2) non-GMO Number of incidents of non- Quantitative Number FB-PF-270a.3 Zero incidents compliance with industry or regulatory labeling and/or marketing codes Total amount of monetary losses Quantitative Report FB-PF-270a.4 Zero monetary loss as a result of legal proceedings Currency associated with labeling and/or marketing practices Packaging Lifecycle Management (1) Total weight of packaging, Quantitative Metric tons (t) FB-PF-410a.1 250,568 tons of primary and secondary packaging (2) percentage made from recycled Percentage (%) (2) Primary: 0%; Secondary: 40.1% and/or renewable materials, and (3) Primary: 36%; Secondary: 100% (3) percentage that is recyclable, reusable, and/or compostable Discussion of strategies to reduce the Discussion N/A FB-PF-410a.2 PRODUCE – How We Approach Sourcing & environmental impact of packaging and Analysis Procurement – Packaging That Does More throughout its lifecycle Environmental and Social Impacts of Ingredient Supply Chain Percentage of food ingredients Quantitative Percentage (%) FB-PF-430a.1 100% of all Lamb Weston palm oil volume is from sourced that are certified to by cost Roundtable on Sustainable Palm Oil Certified third-party environmental and/or sources. social standards, and percentages by standard Suppliers’ social and environmental Quantitative Rate FB-PF-430a.2 N/A responsibility audit (1) non-conformance rate and (2) associated corrective action rate for (a) major and (b) minor non-conformances Ingredient Sourcing Percentage of food ingredients Quantitative Percentage (%) FB-PF-440a.2 High Baseline Water Stress: 11.4% sourced from regions with High or by cost Extremely High Baseline Water Stress: 0.6% Extremely High Baseline Water Stress List of priority food ingredients Discussion N/A FB-PF-440a.2 PRODUCE – How We Approach Sourcing & and discussion of sourcing risks and Analysis Procurement – Sourcing Palm Oil Responsibly due to environmental and social 2019 10-K – pgs. 13-14 considerations

Lamb Weston 55 2020 Environmental, Social, and Governance Report 599 South Rivershore Lane Eagle, ID 83616-4979 USA phone 208-938-1047 toll-free 800-766-7783 fax 308-422-2111 www.lambweston.com