2023 Wright Tree Service Corporate Social Responsibility Report

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2023 CORPORATE SOCIAL RESPONSIBILITY REPORT

LETTER FROM OUR PRESIDENT

In 2023, Wright Tree Service celebrated 90 years in business. Through our history, we have embraced our duty to conserve and protect natural resources while maintaining economic viability. A sustainable business benefits our employee owners, our customers, and the communities we serve.

A lot has changed since 1933, and we are proud to share our story of growth. We continue to provide vegetation management services to the utility industry. Training, equipment, technology, and culture have evolved alongside us. Through it all, safety remains our top value.

We adhere to an environmental policy that instructs our employees to be aware of any issues that may apply to their current contract. Because of our vast geographical footprint, each region identifies its own environmental and cultural resources or concerns, as well as appropriate actions to remediate potential problems.

This report will highlight the progress we have made, and will continue to make, regarding:

‒ Safety

‒ Employee Well-being

‒ Environmental Sustainability

‒ Community Engagement

I invite you to read through this report and learn about how WTS leads our industry by living out our values every day – safety, family, stewardship, excellence, and integrity.

COMPANY OVERVIEW OUR SERVICES

Since our founding in 1933, we have grown into one of the largest vegetation management contractors in North America. We honor our founder, John L. Wright, and our history as a family-owned company while we expand operations across the continent.

We provide the entire suite of integrated vegetation management services to utility companies and their communities. Our crews are well-trained, supervised, and supported. We take pride in our reputation for efficient, high-quality response to customer needs.

Today, we continue to work as a team to make vegetation management programs successful. We also continue to innovate and enhance our practices to match the demands of the modern workforce and the modern customer. While we have upgraded our tools and built countless crews over our history, we have also grown more diligent in our pursuit of safety, stewardship, and sustainability.

Vegetation Management

We use the most appropriate manual, mechanical or chemical solution to meet our customer’s objectives, comply with regulations, and encourage natural habitat and other ecological improvements. Our objective is to promote safe and reliable delivery of utility and railroad services while minimizing the impact on trees and the environment.

LINE CLEARANCE

Our primary service line continues to be manual and mechanical line clearance. We follow the American National Standards Institute (ANSI) A300 standards for tree care practices in accordance with best management practices from the International Society of Arboriculture and the Utility Arborist Association. We provide manual and aerial lift (bucket truck) crews, and our employees are trained to use specialized equipment including all-terrain tree trimmers, brush-cutter tractors, and various others for high-impact mechanical line clearance.

MOWING AND LAND CLEARING

As part of a comprehensive approach to right-of-way vegetation management, we offer right-of-way mowing and land clearing. We have large, specialized mowers and other equipment to reclaim and maintain the right-of-way, along with machinery to remove large trees and mulch the debris.

HERBICIDE APPLICATIONS AND SUBSTATION

MAINTENANCE AND RESTORATION

We are continually investigating new and innovative application methods and always work in compliance with our customers’ environmental concerns and policies.

We have qualified, state-licensed applicators and state-of-the-art equipment to provide unmatched reliability for our customers. We continuously meet and often exceed state and federal standards for herbicide application.

We know that substation maintenance and restoration are vital to a utility’s ability to provide reliable, low-cost power to customers. When that equipment fails, we know quick restoration is crucial. Our substation maintenance and restoration services allow our customers to continue to serve their own.

WORK PLANNING

In addition to manual and mechanical line clearance crews, WTS employs qualified work planners for a streamlined vegetation management process. Our work planners are a great intermediate solution if you lack in-house staff but don’t have quite enough work to demand a third-party inspector. Our work planners are trained and certified professionals with industry knowledge and outstanding customer service skills. We also utilize the latest geo-spatial data collection software, FieldNote®

Storm Restoration

We are always prepared to respond to natural disasters such as ice storms, tornados, and hurricanes. Our safety-focused culture and breadth of technology and resources allows us to mobilize a qualified storm response team at any time. Our communication and logistics skills are proven, and customers can be assured that our crews are trained, certified, and experienced to handle the hazardous situations created by natural disasters. We are here to assist you in restoring power to your customers.

Railroad

Our dedicated railroad operations division utilizes Hi-Rail gear to bring line clearance equipment and crews to hard-to-reach areas. With our extensive vegetation management experience, exclusive equipment, and unwavering customer services, WTS is here to keep your tracks clear.

OUR SERVICES

TRACK CLEARING

Our dedicated railroad operations division provides manual and aerial lift (bucket truck) crews along with specialized equipment with hi-rail gear for track clearance.

CROSS MAINTENANCE

From right-of-way mowing to brush treatment programs, we deliver a comprehensive railroad vegetation management solution for your crossmaintenance needs. We have state-licensed applicators using cutting-edge equipment to get the job done.

Heavy Equipment

Our heavy equipment division is a one-stop shop. WTS provides right-of-way preparation services including road construction, laydown yard construction, fence building, Storm Water Pollution Prevention Plan enforcement and monitoring, tree clearing and disposal, and many other functions necessary for the construction of new transmission lines or rebuilds of existing transmission lines.

CONSTRUCTION AND EXCAVATING

Our excavation crews provide general excavation activities such as utility installation of water mainlines, sewer mainlines, electrical conduits, and storm sewer mainlines for municipalities and housing developments. They perform excavation activities for residential and commercial applications in this region.

DIRECTIONAL BORING

Our directional boring crews perform the installation of underground utilities such as conduit or cables in a trenchless method. The trenchless method offers minimal surface disturbance and can be used when conventional excavation is not practicable.

SITE-PREP/LAND CLEARING

WTS excavation group performs tree clearing and disposal of vegetation for substation or building construction along with but not limited to general land clearing operations. Our crews are equipped with a wide variety of skills and experience to adapt to any specific needs required by our customers.

EROSION CONTROL

Erosion issues can be an environmental problem and a threat to project compliance. Through our erosion control service, we are committed to assisting the construction and agriculture industries, plus utilities and municipalities, in delivering high-performance erosion control and stormwater compliance products and solutions, using Filtrexx® Sustainable Technologies. As a certified Filtrexx manufacturer in Kansas, Iowa and Texas, we can manufacture and distribute the entire line of Filtrexx products to help producers achieve carbon footprint reduction, Leadership in Energy and Environmental Design (LEED) certification and more.

BOARD OF DIRECTORS

Scott Packard

Scott Packard joined Wright Service Corp. in July 1998. Three years later, John R. Wright appointed Scott to President and COO. In October 2002, Scott took on the position of Chairman and CEO of WSC. Scott began his career after graduating from the University of Kentucky with a Bachelor of Science in accounting. Since then, he has held a number of executive positions prior to joining the executive leadership team at WSC. He served on the Tree Care Industry Association (TCIA) Board of Directors from 2003-2009 and as Chair in 2009. In September 2016, Scott became the first recipient of the Management Action Programs (MAP) Disciplined Leader Award. This award was conceived to recognize select leaders who have consistently exhibited the qualities of a disciplined leader. Scott is also a past chairman of Area 4 Iowa Employer Support of the Guard and Reserve (ESGR) and presently serves as Vice-Chair. He was recently named to the board of directors of Trees Forever.

Austin Kennedy

Austin Kennedy joined WSC as General Counsel in April 2013. Prior to joining WSC, Austin was an attorney in private practice for seven years in Des Moines, Iowa, practicing in many areas involving employment law, immigration law and litigation. In 2019, Austin was promoted to General Counsel, Chief Human Resources Officer and Senior Vice President. As of January 1, 2022, Austin has been promoted to President and Chief Operating Officer of WSC. Austin graduated from Macalester College in 2000, where he received the Livingston-Patnode Award for his special contributions to the English Department. He then earned his law degree from Drake Law School in 2005. In 2015, Austin earned

his Credential of Readiness from Harvard Business School’s HBX CORe program, which establishes competencies in business analytics, economics and accounting.

Jon Hicks joined Wright Service Corp. in 2008 as the Controller for Wright Outdoor Solutions. In 2010, he was promoted to Controller of Wright Tree Service and in 2020 he was promoted again to Vice President and Chief Financial Officer of WSC. Jon graduated from Iowa State as a Certified Public Accountant with a Bachelor of Science degree and a Master of Accounting degree in 2002. After graduating, Jon worked in various auditing and financial reporting roles within both public accounting and the private sector. Jon is a member of the Iowa Society of CPAs and the American Institute of CPAs. Jon is also a member of the Risk and Insurance Management Society and is on the WSC Board of Directors. Jon is a large advocate of Employee Stock Ownership Plan (ESOP) structured companies. He enjoys the culture created with it that allows employees the freedom to implement change and to leave their personal mark on the company. Jon enjoys problem-solving and having the opportunity to help guide the company at a strategic level.

Terry McGonegle

Terry McGonegle joined WTS as the Controller in June 1994. When the ESOP was formed in 2002, Terry was promoted to Chief Financial Officer of WSC where he helped transition the company from a family-owned to an employee-owned and served as CFO until December of 2019 upon retirement. Terry started his career in public accounting and worked in the agricultural and construction industries before joining WTS. He has served on the audit committee for the Tree Care Industry Association, finance committees for both the Utility Arborist Association and Tree Research

and Education Endowment Fund. Terry is also a past president of The IowaNebraska Chapter of The ESOP Association.

Nancy Wright

Nancy Wright is a cum laude graduate of Drake University majoring in Business Communications. Following graduation, she had a long career in the Group Life and Health business, starting with Principal Financial as an underwriter and later selling group life and health insurance to Iowa school districts through Holmes Murphy & Associates. Other positions include Marketing Director for a major group medical carrier and Account Manager for a national insurance brokerage. She was also active in the Iowa Health Underwriters as a board member for six years and president for two years. This involved working with state and national legislators regarding healthcare legislation. Nancy is currently retired.

Dick Rue

Dick is retired and served for 23 years as Senior Vice President & CFO and board member at ITA Group, Inc., a West Des Moines incentive marketing company. Dick has been a CPA since 1978 and was employed during his first five years after college in public accounting.

He is a past member of the American Institute of CPAs, the Iowa Society of CPAs, Financial Executives International, where he was a past Iowa Chapter President and Board Member, and the ESOP Association. Dick’s experience includes serving on the UNI College of Business Dean’s Advisory Board, the President’s Advisory Board of Grand View University, the Board of Directors of Precision Pulley & Idler, six years as State Chairman of Employer Support for the Guard and Reserve (ESGR) for Iowa and two years as Chairman of the National ESGR Executive Advisory Subcommittee. Additionally, Dick is a former volunteer with the Iowa Gold Star Museum, United Way of Central Iowa and the Iowa Small Business Development Center.

Jonathan Hicks
The Wright Tree Service board of directors is made up of three internal directors and five external directors as follows:

BOARD OF DIRECTORS

continued

Currently retired, John Bruntz was the Chairman and CEO of The Boulder Company, an industrial product distributor with operations in four states and serving an eight-state market region. He held the position from 2014 to 2019. Prior, he was the CEO of The Wittern Group, one of the world’s largest manufacturers of automatic merchandising equipment and controlled access technology. He became the CEO in 1990 and began work for the company in 1985. He continues to serve on the company board of directors. John also serves as Chairman of the Board of Directors of Cementech, Inc., an ESOP company headquartered in Indianola, Iowa. Cementech is the market leader in the production of volumetric cement mixers. He is lead director of The Stelter Company, the country’s leading advisory firm for planned giving for colleges and universities, national non-profit organizations and major medical institutions. He is a licensed attorney who graduated from the University of Iowa, College of Law and has published articles in law journals in the areas of labor and employment law. He has been involved in numerous civic organizations including ChildServe, the YMCA of Greater Des Moines and the Greater Des Moines Partnership.

George Milligan

George Milligan is a 1978 graduate of Iowa State University, earning a B.S. in Economics with a minor in Industrial Administration (Business). From 1978 to 1985 he worked for Continental Grain Co. in various trading and management positions in four different locations. From 1985 to the present, he has worked at The Graham Group, Inc., and as its President since 1988. The Graham Group, Inc. is a diversified real estate development company and general contractor. He has been involved in many central Iowa charities and boards. He currently serves on the board of two public companies, United Fire Group, of Cedar Rapids, Iowa, and West Bancorporation, Inc., of West Des Moines, Iowa. Both are Nasdaq traded companies.

MEET THE EXECUTIVES

Our executive leadership team sets strategic priorities and oversees internal and external operations.

Wade Myers

Wade joined WTS as a groundworker in 1987. He progressed through the organization and was appointed division manager in 2000. Wade became operations manager in 2003 and vice president in 2005. In 2017, Wade assumed responsibility for several operating units in his role of senior vice president of operations. He began leading the company as president in 2021, and he currently oversees all operations. Wade is an International Society of Arboriculture Certified Arborist and holds memberships in several industry associations, including the Utility Arborist Association.

Rick Bonifas

Rick joined WTS in 2005. He worked as project manager, division manager, regional manager, and vice president of operations before his promotion to senior vice president of operations in 2022. Rick oversees operations in the western United States and Canada. He is an ISA Certified Arborist and a member of the UAA.

Nick Fox

Nick serves as vice president of operations, overseeing the eastern U.S. He has worked on the contractor side and the utility side of the business throughout his utility vegetation management career. Nick’s experience has helped him to be successful at understanding the unique challenges that utilities face every day. Nick is an ISA Certified Utility Specialist and Tree Risk Assessment Qualified. He holds membership in the ISA, UAA and National Arbor Day Foundation.

Jerry Black

Jerry began his utility vegetation management career when he joined WTS in 1998. He worked as a trimmer, general foreperson, project manager, division manager, and regional manager before being promoted to his current position as vice president of operations. In this role, Jerry oversees operations in the Midwest and southern regions of the U.S. Jerry is passionate about safety, training, and employee education.

Adam Larson

Adam serves as vice president of operations where he oversees operations in the western United States and Canada. He started his vegetation management career as a tree trimmer nearly 30 years ago. His career trajectory includes leadership roles on the contractor side and utility side before joining WTS as regional manager in 2018. Adam is an ISA Certified Arborist and an ISA Utility Specialist, and he maintains membership in the ISA and the UAA.

MISSION AND VISION CORE VALUES

Mission

‒ To provide reliable service to our customers by ensuring that transmission & distribution lines, and railroads are clear of vegetation.

‒ To provide attractive value appreciation to our employee owners.

‒ To provide team members with an environment that enables them to achieve their personal and professional goals.

‒ To make a positive difference in the communities we serve.

Vision

WTS will continue to be recognized by utilities as providers of the highest levels of quality, service, responsiveness, reliability, and value.

SAFETY

It is everyone’s responsibility –we each own it.

FAMILY

Our foundation is based on teamwork and inclusion.

STEWARDSHIP

We are dedicated to environmental sustainability.

EXCELLENCE

We exceed client expectations through resourcefulness and innovation.

INTEGRITY

We abide by the highest ethical standards.

ABOUT THIS REPORT

Our CSR Mission Statement

Wright Tree Service will demonstrate how our strategic priorities and operational excellence are directly impacting our sustainability goals, customer success, and employee satisfaction.

Approach

Our analysis is organized into four primary initiatives: safety, employee well-being, environmental sustainability, and community engagement. Key performance indicators within each category are utilized to track progress, shape goals, and drive continuous improvement.

OVERVIEW OF COMPANY INITIATIVES PROJECT HIGHLIGHTS 2023

Highlights

Safety

Safety is our number one value. Our employees are trained on a consistent basis to ensure best safe practices are in place and to identify and mitigate any potential risks or jobsite hazards. Internal protocols are routinely reviewed and updated by our risk and safety departments with the latest trainings and procedures to ensure our employees arrive home safely every night.

Employee Well-being

Our family culture is one of the things that makes us unique and attractive to the next generation of the workforce. This includes a safe, enjoyable, and diverse environment that offers opportunities for personal and professional growth. Our extensive training and development program fosters learning and leadership for employees at all levels. We believe in fostering employee culture and community, whether through scheduled academies or informal shared interest groups. We also offer an extensive benefits package to meet the needs of our employees. As a 100% employeeowned company, we value the correlation between employee well-being and company success.

Environmental Sustainability

As an environmental services company, we strive to protect and preserve the ecosystems where we live and work. In 2022, we began the process of cataloguing and quantifying key impact areas to support the development of greenhouse gas accounting. This includes an overview of electricity, fuel, waste, and water. We are also committed to pursuing efficiency within our fleet. Geotab and Lytx software track driver safety and fuel and maintenance metrics, supporting improved resource use. Our work allows us to support the sustainability strategies of our customers, providing top of line management while remaining cognizant of environmental impact.

Community Engagement

We actively sponsor activities that benefit our employees and add value to the communities where we live and work. Through monetary and in-kind donations such as labor and education, we’re able to support various causes and organizations that align with our values. As our company has grown, so has our community outreach. We take pride in building and developing relationships with our employees, customers, and communities.

Employees in United States and Puerto Rico

90 years in business

with Saluting Branches to establish first volunteer site in Puerto Rico

NEW: Transportation Excellence Committee

Goal: Improving driver safety performance

Focus:

Improvement of education and training, individualized driver performance analytics, and accountability.

IMPROVED: Entry Level Driver Training Program

New Reach: 27 states

Focus:

More support of employees pursuing Class A and Class B commercial driver’s license.

GROWTH: Railroad Service

Where: Central and Western United States

What:

500+ miles of line cleared

GROWTH: Heavy Equipment Service

Where: Central United States

What:

Specialized directional boring and plowing work in support fiber optic cable installation.

EXPANSION: Renewable Energy Sector

LEAD program graduates

What: Vegetation management services at solar fields, wind farms, and stormwater management sites.

SAFETY

WORKER SAFETY & ANNUAL RATES

All WTS divisions track and report accidents. In turn, the company establishes goals and milestones for reduction. Incidents and near misses are also reviewed during training sessions to raise awareness and help identify preventative actions.

Only the Occupational Safety Health Administration recordable injuries and illnesses that result in days away from work are included in our Days Away/Restricted or Transferred rate. In 2023, our DART rate was 1.81.

Incidents are broken down into the following categories:

- Property Damage

- Auto Liability

- General Liability

- First Aid

- Lost Time

- Restricted Duty

- Medical

- Outage

In response to growing industry recognition of the limitations of the OSHA-required metrics such as incident rate and DART rate, we started tracking incidents based on the ASTM E2920 standard. This international standard serves to identify incidents with more significant outcomes, allowing focus and resources to be directed more strategically.

TRAINING PROGRAM

We have established many procedures and programs to support employee safety. Our safety manual is the backbone of our training program. It contains all the necessary information for field personnel to use in the execution of daily tasks. We also have a specialized support staff available to support further training as needed.

General Foreperson School

Project Manager School

Project Manager School is an annual, four-day leadership training program for project managers and supervisors. Participants focus on communication skills and forming good habits, as well as role-specific concerns like incident investigation. PM School also has time focused on incident investigation along with presentations, evaluations, and discussions.

In addition to the various presentations, evaluations, and discussions, all PM School attendees work together on a class project. The goal of this collaborative plan is to improve or support a company system or process.

In July, eight employees completed PM School.

Tailgate Training

ANNUAL FIRE EQUIPMENT SAFETY TRAININGS

Annual fire equipment training is required annually for all employees. The training focuses on mowers and sky trimmers. Online training is offered for general forepersons, project managers, division supervisors, and division managers and in person for crew level employees.

MONTHLY WILDFIRE POTENTIAL COMMUNICATIONS

General Foreperson School is an immersive, weeklong program for employees in or approaching the general foreperson role. During the week, employees participate in a variety of trainings and hands-on exercises. In addition to rolespecific and company-specific learnings, GF School attendees are eligible for continuing education units from industry organizations. Employees trained

Each month, our fire mitigation manager shares a two-month forecast from the National Interagency Coordination Center Predictive Services. This forecast highlights any areas that are entering periods of above normal fire danger. These areas are monitored so updates, alerts, and additional training can be provided as needed.

2023 GF School Summary 6 Graduates 103 108 612.50 International Society

Every crew completes weekly refresher training sessions. These sessions, dubbed Tailgates, aim to keep safety top of mind for all employees. Tailgate topics are delivered digitally, which connects our field crews to the content more efficiently and also supports more accurate tracking. We offered more than 250,000 Tailgates in 2023.

Wildfire Trainings

ANNUAL WILDFIRE SAFETY AND PREVENTION TRAININGS

A series of online wildfire training courses are given annually to all general forepersons, project managers, division supervisors, and division managers. Crews operating in regions with historically high fire danger receive a mix of online and in person fire training along with annual fire safety reviews. Crews in the Western United States and Texas are considered high fire danger states.

1,704 Crew level wildfire and equipment fire trainings

142 Management level wildfire and equipment fire trainings 48 By the Numbers:

TRAINING PROGRAM

Geotab & Lytx

We utilize Geotab, a fleet tracking/GPS platform that delivers tailored fleet management solutions to meet our customers’ requirements for safety, productivity, and efficiency. Geotab evaluates driver safety indicators including seatbelts, speed, idle time, harsh braking and cornering, and backing up.

Lytx is a dash camera solution that grants WTS managers an extra set of eyes within the cab of a company vehicle. Two lenses capture internal and external (forward facing) footage. Managers can review footage to identify opportunities for coaching and/or recognition.

Transportation Excellence Committee

The transportation excellence committee was formed in 2023 with the overall goal of improving the safety performance of our driving habits. The three main focuses are education and training, individualized driver performance analytics, and accountability. An education piece that allows management to address opportunities for improvement in a given region, a comprehensive reporting portal to identify further training, and a system to provide an accountability element with the overall goal of improving performance while driving is still being developed.

Entry-Level Driver Training Program Support

The Federal Motor Carrier Safety Administration recently established Entry-Level Driver Training requirements. With some exceptions, the ELDT requirements apply to new commercial driver’s license applicants, those upgrading to Class A CDL, and those seeking school bus, passenger, or hazmat endorsements for the first time. A CDL is essential for daily operation and transport of our vehicles and other machinery. The ELDT regulations went into effect on February 7, 2022.

The ELDT program includes 20 hours of online training modules and a behind-the-wheel component. The training must be administered by a registered provider. In order to connect our employees to the required training more consistently across our various geographic divisions, we created a private traveling trainer program. By activating our own employees as registered ELDT instructors, we are able to provide the necessary training support directly to employees preparing for testing and licensure.

CYBER SECURITY

CYBER SECURITY

Our information technology (IT) support staff is dedicated to cyber security and business continuity. Over the past five years, the information security team has been tasked with improving our security posture and executing yearly strategic security roadmaps to protect company and customer data. The team conducts an annual comprehensive security assessment in tandem with monthly Rapid7 vulnerability scans and remediates identified issues. Our security information and event management platform, AlienVault, monitored 24/7/365 by ProCircular, is utilized to help improve our detection and prevention of attacks on company equipment.

Scams and threats are ever-changing. We provide training and tips to equip our employees with the knowledge they need to help ensure we protect our digital information. Our employees are tested each month through our security awareness program. These internal tests challenge employees to spot phishing scams and other malicious emails or attacks. If an employee fails this type of test, he or she will receive additional training and coaching as necessary.

HIGHLIGHTS

- Conducted a tabletop exercise to prepare for any security emergency.

- Conducted annual full environment penetration testing to ensure continued improvement.

- Brought our vulnerability scans on all systems and endpoints in-house with our Rapid7 tool.

By the Numbers:

SAFETY GOALS

Saftey: Utilize Geotab to establish and track safe driver metrics with an award program.

Total Hours Executed on All Monthly Trainings

Completion Across all Trainings

Hours of Required Annual Cyber Security Training 1,051 51% 25

Safety: Provide company-wide wildfire and equipment fire education and training.

Incident Rate: Continue to reduce incidents and near misses across new and existing divisions to reduce annual incident rate.

Security: Ensure company participation and improvement by 5% or 200 hours of additional security awareness training.

Safety: Improve tracking of certified arborists and climbers.

Safety: Provide monthly ‘Safety Spotlights’ to help increase the recognition of hazards and safe work practices.

Safety: Publish quarterly safety materials updates to ensure active and consistent safety communication.

EMPLOYEE WELL-BEING

GEOGRAPHICAL DISTRIBUTION

GENDER

VETERANS

Wright Tree Service is honored to support veterans through employment, volunteerism, and in-kind donations. We are proud to have 58 veterans serving on our teams in 2023.

Note: Veteran status disclosure is voluntary and self-reported.

ETHICAL STANDARDS

Our employee handbook outlines several employment policies, procedures, and practices. This resource includes equal opportunity employment policies, a code of conduct policy, a business ethics statement, a harassment policy, and a protection against retaliation policy. Management and human resources staff have an open-door policy for workplace concerns or suggestions.

TRAINING & EDUCATION OPPORTUNITIES

Learning Management System

Our LMS platform is a platform that connects employees to training and continued education opportunities. More than 25,000 LinkedIn Learning courses are available to eligible employees with courses available in more than 10 languages. Elective training topics include management, leadership, customer service, productivity, and Microsoft skill building. Company-required trainings such as harassment and discrimination, system training, and retirement account enrollment are also assigned in the platform. The system maintains a training transcript as record of each user’s completed courses.

True Colors®

True Colors is a personality assessment used to boost interdepartmental and team dynamics and understanding. Leadership completes a survey with new hire onboarding and is given a portfolio with potential strengths, weaknesses, and strategies for communicating with people of different personalities. This improves employee self-awareness and conflict resolution. Three employees at WSC are certified True Colors practitioners and can provide department workshops to teams who request it.

Individual Development

The training and development support staff offer numerous individual development options. These can include team workshops, individual coaching, and mentoring.

Women of Wright

The Women of Wright program mission is to increase hiring and retaining a diverse workforce by empowering, developing, and supporting employees at all levels to reach their fullest potential and equip them with the tools to excel as leaders in our industry.

Female employees are nominated by leaders or colleagues to participate in the annual, two-day workshop. The program agenda includes learning opportunities, exchange of ideas, and application of new skills.

In 2023, eight employees participated.

Translation Committee

45,147

Course Completions

7,796

Checklists Completed

19,038

Skills Assessment Test Completed

LEAD Program

The Leadership, Education, and Develop (LEAD) program is an 18-month leadership development program offered to WTS employees held in West Des Moines, Iowa.

The goal of the LEAD program is to enable leaders to develop highperforming teams and grow themselves toward the next level of leadership.

Program participants shadow a person in a different role, work with the LEAD mentor, participate in online learning opportunities, and present a capstone project. Participants are nominated for the program. Each nomination is carefully reviewed and selected by a committee.

The most recent cohort included 16 WTS employees. The group celebrated program completion in November 2023.

Our support staff includes a translation committee dedicated to minimizing language barriers to promote effective communication within our organization. By procuring professional translations via a trusted vendor, the committee’s core mission is to ensure that language serves as a bridge rather than a barrier by facilitating knowledge sharing, collaboration, and mutual understanding among individuals with diverse linguistic backgrounds.

Employees are able to request translations through our shared services department liaison for items including and not limited to: internal communications, recruitment advertisements, procedures/training materials, e-learning content, and video closed captioning/subtitles.

HEALTH AND WELLNESS LONGEVITY

Benefits

Full-time and part-time employees are eligible for a WTS-sponsored benefit package that far-exceeds the industry standard. Employees receive comprehensive benefits such as health insurance, wellness incentive programs, life insurance, disability, vacation and sick time, bereavement, identity theft protection, and traditional pre-tax and Roth 401(k) retirement plan options. Employees are also part of profit sharing through an employee stock ownership plan.

Health Insurance

We offer medical with prescription coverage, dental, and vision insurance to all eligible non-union employees and their families, as applicable. We pay a portion of every premium in an effort to provide competitive premium rates to employees.

The Employee Assistance Program is a professional and confidential, short-term counseling service available to every WTS employee and his or her immediate family. This is a company-paid benefit. Immediate telephone access to a counselor is available 24 hours a day, 7 days a week. Resources include up to three sessions for in-person appointments per separate issue per year, legal services, financial consultation, and eldercare resources.

Those in need can visit a doctor on their smartphone, tablet, or computer from virtually anywhere and at no cost. Doctor on Demand offers no cost, virtual doctor visits with board-certified doctors who can treat most common medical conditions and prescribe medication.

Employee Ownership

Our company has been 100% employee-owned since 2006. Through shared ownership, the employee stock ownership plan helps promote a positive, unique organizational culture and supports company success. The ESOP is also designed to assist our employees with their retirement and provide them with a financial stake in the company. For our customers and partners, we are empowered to provide exceptional service and innovative solutions.

The ESOP enables employees to directly affect profitability and value and see the results. The ESOP has also allowed the company to protect jobs and support the communities we work in.

Only non-union employees who are at least 18 years of age are eligible to enter the plan after working for the company for one year totaling at least 1,000 hours. Employees are automatically enrolled in the ESOP after meeting the qualifications on April 1 or October 1, following their one-year anniversary date.

Employee Ownership Committee

The Employee Ownership Committee provides ESOP educational training to new employees and to those entering the plan. The committee encourages divisions to host annual training conducted by committee members. Committee members continue to support the ESOP community through donations to the Employee Ownership Foundation and with the development of a Central Iowa networking group. Committee members continue to participate in the Iowa/ Nebraska Chapter of The ESOP Association events and conferences, and national conferences.

ESOP VESTING YEARS OF

LONGEVITY

Employee Owner of the Year

Since 2018, Wright Tree Service’s parent company, Wright Service Corp., has presented an award to one employee owner. This award recognizes an employee who is an outstanding citizen, exhibits the characteristics of an employee owner and the values of our company, and makes contributions in the best interest of the company.

Division Manager Nate Demby was named 2023 Employee Owner of the Year. In his eleven years with WTS, Nate has been a driver of professional development for himself and the crews within his division.

Retirement

WTS offers a comprehensive 401(k) retirement savings plan with the same eligibility requirements and entry dates as the ESOP.

WTS has a Safe Harbor Match Program to the 401(k) offering, matching 100% of the first 3%, plus an additional 50% of the next 2% employees contribute to their retirement savings. The matching funds are placed in the ESOP account. These company-matched contributions are 100% vested.

The Automatic Enrollment Program enrolls all eligible employees directly into the 401(k) program with a 3% pre-tax contribution. This program also increases contributions by 1% each year until 10% is reached. Employees may opt out of this program.

401(K) CONTRIBUTIONS

Nate truly cares about the well-being of our organization and more importantly our employees. In conversations and shared meetings, Nate always puts our employees first and works to improve being more effective in order to lead his team. The care he has for his teammates shows through in every interaction I have with him.

said one of Nate’s nominators.

Numbers are out of 1,984 employees who are contributing. 54% of those contributing are receiving full-match potential. *Numbers can change daily.

EMPLOYEE WELL-BEING GOALS

Education & Development: Gather data that will inform a sustainable leadership development strategy that supports growth.

Education & Development: Increase engagement in online learning by continuing to offer courses chosen through survey feedback, employee recommendations, and leader input. Continue to package courses into manageable sizes through programming like “Learn in Less” and “Five-Minute Fridays.”

Employee Well-being: Roll-out of Project One Source Program via the Workday Platform for efficient integration of company data storage and processing, employee records management, and improvement of employee procedures which will include the reduction of paper.

Diversity & Inclusion: Analyze employee gender and race/ethnicity information to establish benchmarks and goals for annual diversity growth.

Employee Well-being Continue to provide our employees with more benefits education through regular newsletters, plan enrollment resources and new hire summaries.

Employee Well-being Amplify and expand employee recognition programming across divisions.

ENVIRONMENTAL SUSTAINABILITY

IMPACT AREA NATURAL RESOURCES

Through our vegetation management services, WTS currently works in 36 states and Puerto Rico. We provide support to 98 customers. In every state we work in, the local, state, and federal entities ensure that environmental compliance is upheld in work performed.

Restoration

In addition to vegetation management, work planning and storm restoration, WTS added excavation services in 2020 that expanded offerings in right-ofway management, laydown yards, erosion control and seeding, and general exaction in both utility and commercial spaces.

- Right-of-Way restoration

- Stormwater Pollution Prevention Plan (SWPPP) implementation:

> Erosion Control

> Temporary and permanent seeding through drilling or hydroseeding application

> Soil decompaction

> SWPPP inspection/maintenance until project reaches 90% coverage

- Utility Construction:

> Commercial and residential storm water drainage

- Agricultural Conservation:

> Provides services to the Natural Resources Conservation Service (NRCS)

> Installation and repair of crop field terraces and waterways

> Construction and maintenance of watershed ponds

> Environmental hazard cleanup and remediation

Resource Use

We strive to increase efficiency in our resource use. The vast majority of our employees do not report to a physical office building. We do have ten office buildings in eight states and a corporate office available as needed in West Des Moines, Iowa.

Fuel Usage

We utilize WEX for fleet fuel management, including expense tracking, spending controls, purchase alerts, and exclusive discounts. This tool centralizes management and oversight while also generating insights for future improvements. The WEX data and Geotab data together help us analyze fleet fuel efficiency.

Electric Transition

WTS is exploring and making the transition to battery operated chainsaws where appropriate in vehicles and equipment. This transition would decrease the amount of fuel, oil, and labor for fleet maintenance while providing safety advantages.

Paper Reduction

We have reduced paper use by using FieldNote® software to convert some paperwork, including timesheets, to a digital process. This transition reduces time and energy demands on our employees.

Our continuous collaboration with FieldNote has helped to streamline business processes like recording expenses, recording meal breaks, and reporting production.

Vegetative Waste

3,825 Vehicles

35,800,753

Miles Traveled

We generate vegetative waste through maintenance and new infrastructure development efforts in support of our customers. Whenever appropriate, this organic waste product is left onsite to naturally break down and provide benefits such as nutrients and habitat to the local ecosystem. The wood waste may be chipped and added to the local landscape. In urban settings, wood may be left onsite at the request of the homeowner or removed and stored at a WTS property. We also could further process the wood waste into mulch and provide free of charge to local communities. A significant effort is made to provide a second life to vegetative waste products to eliminate it being disposed of in a landfill setting.

As WTS provides services across North America, each job site and geography provide a variety of alternative uses of wood waste generated. An evaluation effort is underway to estimate the amount of vegetation coproduct generated by division and the end-use category respectively. WTS looks for opportunities to donates woodchips and firewood where possible to further maximize diversion from landfills.

NATURAL RESOURCES

continued

The environmental impacts of sedimentation and stormwater runoff can cause pollution, comprised water quality, flooding, erosion, and habitat destruction. Perimeter control stops sediment from leaving our job sites and keeps us in compliance with local, state, and federal regulations. When a tree is trimmed, the trimmings can go one of three routes:

- Mulch

- Compost

- Landfill

At WTS, we take the mulched wood chips and fill them into sediment control Filtrexx ® SiltSoxx™. This three-dimensional tubular device is made of FilterMedia™ encased in Filtrexx Mesh™. It is specifically designed to support stormwater management, sediment control and pollutant removal for sustainable best management practices. It is most often used in areas where diverting, cleaning, and filtering stormwater runoff is critical. SiltSoxx is designed to prevent erosion, and each one installed at a job site gives trees a second life, keeps our water clean, and protects the environment.

In addition to the core service of Filtrexx SiltSoxx, our Soxx team also provides other services to our customers as an added support. These services include:

- Native seed mixes

- Straw and specialty matting

- Food waste compost

- Geotextiles

10,328

cubic yards of wood chips diverted from a landfill

827 which is the same as which is the same as

8,445

tons of CO2e avoided

1,639

cars off the road for a year homes’ average yearly energy use

ENVIRONMENTAL SUSTAINABILITY GOALS

Fuel Use: Evaluate Geotab and Gridline reporting to improve efficiency through reduction of unproductive idle time.

Energy: Continue exploring the opportunity to utilize battery operated small tools into the fleet.

Waste: Establish a tracking program for wood waste streams.

Green House Gases Accounting: Conduct scope 3 screening and develop processes for related data collection by emissions category.

COMMUNITY ENGAGEMENT

IN-KIND CONTRIBUTIONS

In-kind activities are tracked and reported per fiscal year. This section summarizes our contributions during FY 2023 (10/1/2022-9/30/2023).

Arbor Day

Our annual Arbor Day support typically involves volunteer hours across the country. This time is spent planting trees and educating the public about our planet’s natural resources. In April, several employees marked the occasion in their local communities.

2ND YEAR INVOLVED | 13 EMPLOYEES VOLUNTEERED

This is an annual event where wreaths are placed at each soldier’s grave at more than 2,500 cemetery locations nationwide in honor of their sacrifice.

Wreaths Across America’s mission is simple: Remember. Honor. Teach. Wreaths Across America is committed to teaching all generations about the value of their freedoms, and the importance of honoring those who sacrificed so much to protect those freedoms.

Saluting Branches

Wreaths Across America

WTS is passionate about our service men and women, and we wanted to do what we could to remember our fallen U.S. Veterans and honor those who serve. On Saturday, December 16, 2023, 43 employees and their families volunteered their time to participate in Wreaths Across America Day.

In September, WTS proudly renewed its support of Saluting Branches Day of Service. We had the largest volunteer turnout to date with 139 volunteers and equipment on the ground across 11 different cemeteries. WTS was also thrilled that our crews could facilitate the first-ever Saluting Branches event in Puerto Rico.

Saluting Branches is a nonprofit organization that provides the vital care to the landscapes dedicated to our U.S. veterans. On this annual event, thousands of arborists volunteer their time, talents, and equipment to maintain the trees at dozens of veterans’ cemeteries.

Removed Tree Limbs at Learning Center

A crew volunteered their time to help remove tree limbs at the Community Support Services of Missouri Early Learning Center playground and parking lot. This improved the center’s playground and parking lot area. Thank you to all employees for your dedication to ensure a safe environment for everyone!

Brush Donations

MINNESOTA ZOO

Our crews in Minnesota donated brush to the Minnesota Zoo. The 30 loads of willow, pine, sugar maple, and boxelder brush are fed to the moose, beavers, and giraffes.

OKLAHOMA CITY ZOO

Since 2021, we have partnered with our customer, Oklahoma Gas & Electric Company, to donate brush to Oklahoma City Zoo. During 2023, two to three loads were dropped off weekly throughout the spring, summer, and fall months. Elephants, giraffes, and monkeys enjoyed the hackberry, elm, and mulberry tree brush.

SALT LAKE CITY ZOO

Our crews in Utah donated brush to the Salt Lake City Zoo. Brush was dropped off by crews during the spring and summer months and enjoyed by many animals at the zoo.

Safety Employee Well-being Environmental Sustainability Community Engagement

MONETARY CONTRIBUTIONS

Monetary contributions are tracked and reported per fiscal year. This section summarizes our contributions during FY 2023 (10/1/2022-9/30/2023).

Saluting Branches

In addition to volunteering, WTS sponsored Saluting Branches to give back to our fallen heroes and help to show them the respect that they deserve.

American Heart Association

DALLAS HEART WALK

The American Heart Association’s mission is to be a relentless force for a world of longer healthier lives. We sponsored Team Oncor for the Dallas Heart Walk for the third year in a row.

Heat the Streets Run & Walk for Warmth

Our customer, Omaha Public Power District, teamed up with Metropolitan Utilities District to host the annual Heat the Streets Run & Walk for Warmth since 2007. All proceeds benefit local utility assistance programs. We participated in and sponsored the event in 2023.

Wreaths Across America

In addition to volunteering, WTS sponsored Saluting Branches to give back to our fallen heroes and help to show them the respect that they deserve.

SACRAMENTO HEART BALL

For more than 50 years, Heart Balls have been raising funds to support research and other community-based efforts in support of AHA’s overall mission. We proudly sponsored and attended this year’s ball.

United Way – Greater St. Louis

Arbor Day Foundation

The Arbor Day Foundation is a nonprofit membership organization dedicated to tree planting. We donated to Arbor Day Foundation to commemorate our 90 years in business. Our trees were planted in the Chippewa National Forest in Minnesota as well as the area of southern Oregon devastated in the 2021 Bootleg Fire.

American Red Cross – Heroes of the Heartland

The American Red Cross Heroes of the Heartland initiative brings together people from the community to honor ordinary people who have gone above and beyond in service to others. We were proud to return this year as a presenting sponsor.

$2,500 $500 $25,000 $10,000 $20,000 $2,250 $12,000 / 6,000 trees

The United Way’s mission is to help people of all ages build successful lives and become more self-sufficient. We made our second consecutive donation to this regional chapter in proud support of the mission.

Best Buddies Indiana

$2,500 $5,500

Best Buddies International is dedicated to establishing a global volunteer movement that creates opportunities for one-to-one friendships, integrated employment, leadership development, and inclusive living for people with intellectual and developmental disabilities. We made our donation to the organization via a local high school chapter in Indiana.

COMMUNITY OUTREACH INDUSTRY PRESENCE

SECOND CHANCE PROGRAM

We established the Second Chance Program through conversations with local probation offices, work release programs, and halfway houses. The program aims to provide a structured work environment for folks looking for a second chance. The program hired on its first employee in 2021.

During 2023, the program continued to grow and thrive. Several program hires have continued their employment with WTS and received promotions. At the end of 2023, we hired four more employees via this program.

Wright Tree Service gave me a chance to change and gave me a career. My first day on the job, I saw hope for my life and what I needed to succeed and fix my life. I am now a crew leader and really close to being all the way out of the court system, which I have been in since I was 14 years old.

- Matthew

YOUTH INTERACTION

CAREERS ON WHEELS

Crew members in central Indiana parked a bucket truck alongside several other vehicles that help the local community thrive every day. Kindergarten through fifth graders at a local elementary school in learned more about their career options while getting an up close and personal look at the various vehicles.

STUDENT EVENT

In September, WTS was invited to a local school to give second graders the opportunity to experience a day in the life of an arborist. Students climbed trees, learned about the job of an arborist, created leaf art, and more.

Attendance & Engagement

Our regional and executive leaders traveled to 29 conferences in 21 states during 2023. These networking and learning opportunities keep us connected to our industry.

- South Carolina Vegetation Management Association Annual Conference

- Indiana Arborist Association Annual Conference

- Midwest ISA Annual Conference & Trade Show

- Ohio Tree Care Conference

- ArborCon

- Kentucky Arborist Association Conference

- Alabama Vegetation Management Society Conference

- Midwest Mutual Assistance Group Conference

- OKVMA Spring Conference & Trade Show

- Vegetation Management Association of Kentucky Conference

- ISA Southern Chapter Annual Conference & Tradeshow

- American Short Line Regional Railroad Association Annual Conference & Exhibition

- Georgia Vegetation Management Association Conference

- Florida Vegetation Management Association Conference

- ALDC Spring Meeting

- Annual Western Chapter ISA Conference

- Southeast Electrical Exchange Annual Conference & Trade Show

- ALDC 2023 Fall Meeting

- RE+ International Conference

- Trees & Utilities

- 2023 Texas Tree Conference

- New England ISA Annual Conference & Tradeshow

- Fall Transmission, Distribution, Metering & Mutual Assistance Conference

- Tennessee Vegetation Management Association Conference

- MAC-ISA Annual Meeting and Trade Show

- 2023 UAA Ohio Regional Meeting

- Kentucky Tree Climbing Championship

- TCIA Expo

- North Carolina Vegetation Management Association Annual Meeting

Thought Leadership

Alongside our busy attendance, sponsorship, and exhibiting schedule, we also encourage interested team members to pursue presentation opportunities. This year, four team members shared their expertise as part of industry event programming.

- Trees & Utilities, Safety-2

- Georgia Arborist Association Summer Workshop, Operational Communication and Documentation

- Utility Line Clearance School, Tree Risk Assessment and Chainsaw Safety

- Indiana Arborist Association Annual Conference, Coincidentally Rigging and Tree Felling Safety

REPUTATION

Company & Professional Memberships

WTS is part of the following professional organizations:

- Tree Care Industry Association (TCIA)

- International Society of Arboriculture (ISA)

- Utility Arborist Association (UAA)

REPUTATION

PINE AWARD

The UAA is the leading North American organization for the enhancement of quality utility arboriculture and right-of-way management. Companies that go above and beyond to support their mission are recognized annually. UAA membership, sponsorship, advertising, active committee volunteerism, and many other means have been quantified and assigned a value, all adding up to equal a Partners in Excellence (PinE) score.

We received Silver recognition in the 2023 PinE Awards.

Publications & Press Releases

WTS distributes press releases to local and national news entities as well as industry publications in an effort to share information with industry partners and the general public. Many press releases are focused on WTS promotions and appointments of leadership.

Members from all levels of our team write and submit articles for various industry publications. Notable articles topics include safety, diversity and inclusion, crisis management, and continuing education.

We contributed four articles to the UAA magazine, Utility Arborist Newsline, in 2023.

-Seeing the True Benefits of Investing in Diversity & Inclusion

-Cutting Down on Risk: Examining Exposure from the Roots Up -On Island Time: Delivering UVM in Paradise

-Changes, Constants, & Constant Changes

Social Media

WTS uses LinkedIn and Facebook to share updates about our company to employees, customers, and the community.

FACEBOOK LINKEDIN

COMMUNITY ENGAGEMENT GOALS

Contribution: Establish tracking of total in-kind contributions made by fiscal year for WTS.

Youth Interaction: Expand outreach, recruitment, and training for young people across division territories with a focus on reaching underrepresented demographics.

Community Engagement: Continue to grow the Second Chance Program.

Contribution: Increase support for Arbor Day Foundation and Saluting Branches through in-kind and monetary donations.

CLOSING

Wright Tree Service employee owners strive to live out our values and improve our sustainable practices. We’re committed to a bright future for all, and we invest in the communities we serve through innovation, integrity, and teamwork. We want to ensure that the decisions we make today have a positive impact.

APPENDIX

An evaluation by EcoPractices®, a sustainability risk management tool from Eocene Environmental Group, Inc., a subsidiary of Wright Service Corp. (WSC), in partnership with WSC. This report is intended to showcase the sustainability journey of Wright Tree Service, dedicated to recognizing their responsibility toward their mission, vision and values for their employee owners, partners, clients, and the public.

GLOBAL REPORTING INITIATIVES (GRI) APPENDIX

GLOBAL REPORTING INITIATIVES (GRI) APPENDIX

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