CUMMINS SUSTAINABILITY - Overview 2019-2020

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CUMMINS SUSTAINABILITY - Overview 2019-2020
SUSTAINABILITY AT CUMMINS | 2019-2020

CUMMINS
SUSTAINABILITY   POWERING
                 A MORE
Overview
2019-2020        PROSPEROUS
                 WORLD
CUMMINS SUSTAINABILITY - Overview 2019-2020
SUSTAINABILITY

                                                             ENVIRONMENT
                                                                           COMMUNITIES
                                                                                         INNOVATION
                                                                                                      GLOBAL REACH
AT CUMMINS
It has been a busy year.
In addition to building the cleanest,
most efficient engines and power
systems, the company introduced a
strategy to address climate change
in 2019, unveiled an electrified power
platform for buses and created a
concept hydrogen fuel cell truck as
Cummins develops that concept.

The company helped the Clean
Cruisers demonstrate low-carbon
adventuring as they planted trees
across Central America, powered
by Cummins’ crate engines using
biodiesel. And to celebrate Cummins’
100th anniversary, employees used 3D
printed parts to get the 1952 Cummins
Diesel Special rolling for ceremonies at
the 2019 Indianapolis 500.

Cummins is always looking ahead,
even when it looks backward.

The Cummins-supported expansion of a wind farm
in northwest Indiana sends almost enough renewable
power to the grid to off-set total power use at all of
the company’s plants and facilities in the state.

CUMMINS SUSTAINABILITY | 2019-2020                       3
CUMMINS SUSTAINABILITY - Overview 2019-2020
ENVIRONMENT

                                                                         SUSTAINABILITY

                                                                                                                                               ENVIRONMENT
                                                                                                                                                             COMMUNITIES
                                                                                                                                                                           INNOVATION
                                                                                                                                                                                        GLOBAL REACH
                                                                         AT CUMMINS
                                                                         It has been a busy year.
                                                                         The Clean Cruisers used

PROTECTING
                                                                         Cummins’ crate engines
                                                                         running on biodiesel to plant
                                                                         In addition to building theWHAT’S
                                                                         trees across Central America.            TO DO
                                                                                                           cleanest,

OUR PLANET                                                               most efficient engines and power
                                                                         systems,
                                                                          WHAT’S DONE                         300 million
                                                                                       the company introduced a
Chairman and CEO Tom Linebarger                                          strategy to address climate          change
                                                                                                         Metric tons of CO2 to

                                                                         1 billion
unveiled in 2019 PLANET 2050,                                            in 2019, unveiled an electrified        power
                                                                                                         be reduced  through
an environmental strategy to guide                                       platform for buses and created  Cummins’ a 2030 goals.
the company as it reduces its                                            concept hydrogen fuel cell truck as
                                                                         Gallons of water use avoided
                                                                         since 2010 through Cummins’
environmental impact.                                                    Cummins
                                                                         water          develops
                                                                               conservation efforts. that concept.

The strategy includes science-based                                      The company helped the Clean         4.0
                                                                                                              MILLION
                                                                         31%
goals that meet or exceed the climate                                    Cruisers demonstrate low-carbon
goals in the United Nations Paris                                        adventuring as they planted              trees
                                                                                                          Tanker trucks full of gasoline
Agreement. Cummins aspires to                                            across Central America,equal       powered
                                                                                                                to the amount of CO   2
                                                                         Energy intensity                 to be removed under the
be carbon neutral by 2050.                                               by Cummins’ crate engines               using
                                                                                                          company’s   2030 goals.
                                                                         reduction achieved
                                                                         biodiesel.      And
                                                                         as part of Cummins’   to   celebrate   Cummins’
                                                                         100th     anniversary, employees used 3D
                                                                         2020 environmental
CUMMINS LOW CARBON MINDSET
In addition to reducing the carbon footprint of its
products and facilities, Cummins is adding renewables
to the company’s energy mix.
                                                                         printed parts to get the 1952 Cummins
                                                                         goals.
                                                                                                              50%
                                                                         Diesel Special rolling for ceremonies at
                                                                         the 2019 Indianapolis 500.       New 2030 goal
SOLAR                                WIND                                4.3 million
                                                                         Cummins is always looking
                                                                                                          for reduction in
                                                                                                                 ahead,
                                                                                                          volatile    organic
                                                                         Annual metric ton run rate
                                                                         even    when
                                                                         reduction        it looks
                                                                                   in carbon dioxide backward.
                                                                                                          compounds from
                                                                         (CO ) achieved by partnering
                                                                             2
                                                                         with customers to help them
                                                                                                          paint and coating
                                                                         The Cummins-supported expansion operations.
                                                                         use Cummins’   products  more    of a wind farm
Cummins is making a significant      The company helped an Indiana       efficiently,
                                                                         in northwest which  exceeded
                                                                                        Indiana  sends almost enough renewable
investment in solar energy,          wind farm expand, offsetting more   the company’s
                                                                         power             2020
                                                                                 to the grid to off-set total power use at all of
with solar installations completed   than a quarter of the company’s     the  company’s goal.
                                                                         environmental    plants and facilities in the state.
or underway at more than two         worldwide electricity consumption
dozen locations.                     with renewable power in 2019.

4                                                                        CUMMINS SUSTAINABILITY | 2019-2020                          3     5
CUMMINS SUSTAINABILITY - Overview 2019-2020
COMMUNITIES

                                                                 SUSTAINABILITY
                                                                 MAKING

                                                                                                                                       COMMUNITIES
                                                                                                                                                     INNOVATION
                                                                                                                                                                  GLOBAL REACH
                                                                 A DIFFERENCE                                CUMMINS

                                                                 AT CUMMINS
                                                                 One of the company’s chief                  POWERS WOMEN
                                                                 metrics for community                   is an $11 million
                                                                 engagement is employee                  effort (and growing) to
                                                                 participation in Cummins’               accelerate large-scale

                                                                 It has been a busy year.
                                                                 Every Employee Every
                                                                 Community (EEEC) program.
                                                                                                         change for women and
                                                                                                         girls in the company’s
                                                                 For the fourth year in a row,           global communities.
                                                                 In addition
                                                                 more   than 80%to of building           Partnering with
                                                                                      Cummins the cleanest,
A Cummins joint venture employee                                 employees    participated in            expert nonprofits in
distributes reusable bags to                                     most efficient       engines    and power
                                                                                                         13 countries to address
                                                                 the program in 2019.
community kindergartners
to promote environmental
                                                                 systems, the company introduced                   a
                                                                                                         gender inequality,  the
knowledge in Xiangyang, China.                                   strategy to address climate change
                                                                 EMPLOYEE    PARTICIPATION               program    has already
                                                                                                         impacted more than
                                   BY THE NUMBERS                in2019
                                                                     2019, unveiled 82%    an electrified    power
                                                                                                         100,000 lives since
                                                                 platform
                                                                   2018       for buses83%   and created      a
                                                                                                         launching   in 2018.

IMPACT                             $20.5 million                 concept
                                                                   2017
                                                                              hydrogen82%                Volunteering
                                                                                             fuel cell truck as
                                                                 Cummins develops that concept.
                                                                                                                        by
                                                                                                         Cummins employees

DRIVEN
                                   Cummins grants to                                                     with the program’s
                                                                   2016                   81%
                                   communities in 2019.                                                  partners is up more
                                                                 The
                                                                   2015 company helped   80% the Clean   than 100%.
                                                                 Cruisers
                                                                  2014    demonstrate
                                                                                  73%    low-carbon
The mission of
Cummins’ community                 6.5                           adventuring
                                                                  2013        as67%
                                                                                  they planted trees
                                                                                                A Cummins employee

                                   MILLION
                                                                 across Central America, poweredmentors a girl as part of
work is to support                                                2012        63%               a program supported by
                                                                 by Cummins’ crate engines using
employees as they                                                                               Cummins Powers Women
                                                                 biodiesel. And to celebrate Cummins’
                                                                                                in Indianapolis, Indiana.
volunteer in the                   Estimated number
                                   of people served in           100th anniversary, employees used 3D
company’s communities
                                   2019 by Cummins’              printed parts to get the 1952 Cummins
around the world to
                                   community                     Diesel Special rolling for ceremonies at
help solve some of
                                   engagement programs.          the 2019 Indianapolis 500.
the most difficult
societal problems.                                               Cummins is always looking ahead,
                                   100,000
                                   Lives impacted since the
                                                                 even when it looks backward.

                                   Cummins Powers Women          The Cummins-supported expansion of a wind farm
                                   initiative started in 2018.   in northwest Indiana sends almost enough renewable
                                                                 power to the grid to off-set total power use at all of
                                                                 the company’s plants and facilities in the state.

6                                                                CUMMINS SUSTAINABILITY | 2019-2020                       3        7
CUMMINS SUSTAINABILITY - Overview 2019-2020
INNOVATION

EXPERTS IN                                2019 HIGHLIGHTS
                                                                         SUSTAINABILITY                                  RESEARCH AND

                                                                                                                                                                                                                              INNOVATION
                                                                                                                                                                                                                                           GLOBAL REACH
                                                                                                                         DEVELOPMENT

INNOVATION                                                               AT CUMMINS                                      Cummins for the first time
                                                                                                                         topped $1 billion in spending
                                                                                                                         on research, development
Innovation is critical to                                                                                                and engineering expenses
Cummins’ sustainability                                                  It has been a busy year.                        in 2019.

                                                                                                                                                                                                         $1.001 BILLION
strategy. The company

                                                                                                                                                                                         $902 MILLION
must deliver products that                Big Blue Bus in Santa          In addition to building the cleanest,
                                          Monica, California, unveiled
help customers succeed                                                   most efficient engines and power

                                                                                                                                                                          $754 MILLION
                                                                                                                           $754 MILLION
                                          its first-ever electric bus

                                                                                                                                          $735 MILLION
while using fewer of the                  in 2019, a GILLIG battery
                                          electric bus powered
                                                                         systems, the company introduced a

                                                                                                                                                         $637 MILLION
world’s resources.                        by Cummins’ first-ever         strategy to address climate change
                                          electrified powertrain.
Cummins’ goal is to offer                                                in 2019, unveiled an electrified power
a range of power options,                                                platform for buses and created a
so customers can choose                                                  WHAT COULD
                                                                         concept       THEY fuel cell truck as
                                                                                   hydrogen
                                                                         HAVE  IN COMMON?
                                                                         Cummins develops that concept.
what works best for them.
                                                                         Innovation was behind both

                                                                                                                           2014

                                                                                                                                          2015

                                                                                                                                                         2016

                                                                                                                                                                           2017

                                                                                                                                                                                         2018

                                                                                                                                                                                                          2019
                                                                         The   company
                                                                         the Cummins     Dieselhelped
                                                                                                Special the Clean
                                                                         and the hydrogen-powered
Cummins has a lab devoted to testing
                                          The 2020 X15 Efficiency        Cruisers     demonstrate low-carbon
                                                                         truck in 2019. Engineers used
                                          Series diesel engine, which
the latest technology in manufacturing.
                                          delivers up to 5% better       adventuring
                                                                         3D printed parts as    they
                                                                                            to get the planted trees
                                                                                                                  CREATIVE THINKERS
                                          fuel economy and reduces
                                          greenhouse gases, was
                                                                         across Central America, powered
                                                                         diesel-powered    1952  pole             Cummins’ technical staff
                                                                         winner rolling again at Indy,            recorded more than 250 global
                                          brought to market a year       by  Cummins’ crate engines using
                                                                         and fuel cell technology to
                                          ahead of regulatory                                                     patents for a fourth consecutive
                                          requirements.                  biodiesel.
                                                                         get the conceptAnd    tooncelebrate
                                                                                           truck     the      Cummins’
                                                                                                                  year in 2019. It was the second
                                                                         100th    anniversary,
                                                                         road in 2019                employees used
                                                                                        as the company            highest3Dyear on record behind
                                                                         studies that technology.                 only 2017 when the company
                                                                         printed parts to get the 1952 Cummins
                                                                                                          had 287 global patents.
                                                                         Diesel Special rolling for ceremonies at
                                                                         the 2019 Indianapolis 500.
                                                                                                                        287                                                                               277
                                                                         Cummins is always looking                                                                       264
                                                                                              259 ahead,
                                                                                       249
                                                                         even when it looks backward. 2017                                                                                              2019
                                                                                                                                                                        2018
                                                                                                                2016
                                                                                   217             2015

                                                                         The Cummins-supported expansion of a wind farm
                                                                                        2014
                                                                         in northwest Indiana sends almost enough renewable
                                                                         power to the grid to off-set total power use at all of
                                                                            156
                                                                         the company’s plants and facilities in the state.
                                                                            2013

8                                                                        CUMMINS SUSTAINABILITY | 2019-2020                                                 3                                                             9
CUMMINS SUSTAINABILITY - Overview 2019-2020
DIVERSITY AND INCLUSION                                                       GLOBAL REACH

                                                                                 POSITIONED
                                                                                 SUSTAINABILITY                                              THE IMPORTANCE

                                                                                                                                                                                    GLOBAL REACH
                                                                                                                                             OF TRADE

                                                                                 AT CUMMINS
                                                                                 FOR PROGRESS
                                                                                                                                             Trade can be beneficial for
                                                                                                                                             both parties. Here’s a look
                                                                                                                                             at what trade means for the
                                                                                                                                             company’s U.S. employees.
                                                                                 Cummins is an Indiana-based
                                                 BY THE NUMBERS
     Employees in the company’s
     New Power segment
                                                                                 It has been a busy year.
                                                                                 company with the global reach to                 U.S. EXPORT
                                                                                                                                  SALES IN      $3.02
                                                                                 do big things. Cummins believes

                                                 56%                                                                                            BILLION
     discuss electrified power.                                                                                                   2019*
                                                                                 In free
                                                                                 in addition     to building
                                                                                          but fair    trade, andthetough,
                                                                                                                      cleanest,               * Includes intercompany

                                                                                 most and
                                                                                 clear   efficient    engines regulations
                                                                                               enforceable      and power                       sales of $1.83 billion

LEVERAGING                                       Employees at Cummins
                                                 under 40 years old.             systems,
                                                                                 that   promotethe company
                                                                                                     innovation.introduced a
                                                                                 strategy to address climate change
                                                                                                                                  TOP BUYERS 1. CANADA
                                                                                                                                  OF U.S.       2. MEXICO

THE POWER                                                                                                                         PRODUCTS      3. UNITED KINGDOM
                                                                                 in 2019,
                                                                                 HOME         unveiled an electrified power
                                                                                         GROWN,                                                 4. CHINA

                                                 3
                                                            Number of                                                                           5. JAPAN
                                                            ethnically diverse   GLOBALLY
                                                                                 platform for   ENGAGED
                                                                                                   buses and created a
Cummins builds prosperity                                   members of
                                                                                 concepthas
                                                                                 Cummins      hydrogen      fuel cell truck as
                                                                                                 principal manufacturing
                                                            the 11-member
through the power of diversity                              Cummins Board        locations in eight states and six of the seven
                                                                                 Cummins develops that concept.
                                                            of Directors.        continents. The company’s international        POWERING YOUR LIFE
and inclusion. Diverse teams,
                                                                                 plants primarily serve regional markets                  Cummins engines and generators
leveraging the power of their                                                    The   company helped the Clean
                                                                                 Cummins has developed doing business                     power your life in many ways.

differences, can arrive at more                                                  Cruisers    demonstrate
                                                                                 outside the U.S.  for more thanlow-carbon
                                                                                                                 60 years.                Here are just a few:

creative solutions to                            $13                             adventuring as they planted trees
                                                                                                                          ON THE

                                                 BILLION
                                                                                                         Principal
customers’ challenges.                                                           across Central America,      powered
                                                                                                         manufacturing    MOVE
                                                                                                         sites
                                                                                 by Cummins’ crate engines         using  On-highway trucks

GENDER DIVERSITY AT CUMMINS                      Global spending                 biodiesel. And to celebrate Cummins’ Municipal     and school buses
                                                                                                                          Recreational vehicles

Cummins is making a special effort to get
                                                 with suppliers                  100th anniversary, employees used 3DBoatsTrains
women at the highest levels of the company.      who self-identify               printed parts to get the 1952 Cummins
                                                 as diverse in their             Diesel Special rolling for ceremonies at AT WORK
                                     50%         region since 2010,                                                       AND SCHOOL
Cummins         WOMEN                                                            the 2019 Indianapolis 500.
Executive
Team            MEN                  50%         including a record                                                                       Backup power for schools
                                                                                                                                          Computer server backup power
                                                 $2 billion in 2018.             Cummins is always looking ahead,                         Construction and agricultural equipment
                                                                                                                                          Industrial backup power
Cummins         WOMEN             41%                                            even when it looks backward.
Leadership

                                                 63%
Team            MEN                 59%
                                                                                 The Cummins-supported expansion of a wind farm           WHEN YOU
                                                                                 in northwest Indiana sends almost enough renewable
                                                                                                                                          MOST NEED HELP
Employees       WOMEN       28%                  Employees at Cummins born       power to the grid to off-set total power use at all of   Hospital backup power
at top two
                                                                                 the company’s plants and facilities in the state.
salary levels   MEN                        72%   outside the United States.                                                               Home backup power
                                                                                                                                          Fire trucks

10                                                                               CUMMINS SUSTAINABILITY | 2019-2020                          3                                 11
CUMMINS SUSTAINABILITY - Overview 2019-2020
WHO WE ARE                                                              WORLD
                                                                        HEADQUARTERS
Cummins Inc., a global technology leader,                               500 Jackson St.
                                                                        Columbus, IN 47201
is a corporation of complementary business
segments designing, manufacturing,
distributing and servicing a broad portfolio
of power solutions. The company’s products
                                                                   EST.
range from diesel and natural gas engines
to hybrid and electric platforms, as well as

                                                                        CMI
related technologies, including transmissions,
battery systems, fuel systems, controls,
air handling, filtration, emission solutions,
and power generation systems.                                              STOCK SYMBOL
                                                                    (New York Stock Exchange)

   www.cummins.com
61,615
                                                           CUSTOMERS
                                                           Cummins serves customers
                                                           online, through a network
                                                           of company-owned and
EMPLOYEES WORLDWIDE                                        independent distributor
(as of Dec. 31, 2019)
                                                           locations, and through
More than 50 percent of Cummins’                           thousands of dealer
employees live outside the United States.                  locations worldwide.

FORTUNE 500                      SALES / EARNINGS
RANKING (2019)                   In 2019, Cummins earned
                                 $2.3 billion ($2.4 billion excluding

128
                                 restructuring), on revenues of

                                 $23.6
                                 BILLION
                                                                              ©2020 Cummins Inc.
                                                                                 Bulletin 5417456
CUMMINS SUSTAINABILITY - Overview 2019-2020 CUMMINS SUSTAINABILITY - Overview 2019-2020 CUMMINS SUSTAINABILITY - Overview 2019-2020
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