2022 Wright Canada Holdings Corporate Social Responsibility Report

2022 CORPORATE SOCIAL RESPONSIBILITY REPORT

Wright Holdings Canada, Ltd. and all of its affiliated companies

respectfully acknowledge the Indigenous peoples’ ancestral and traditional territories and lands that we live, work and thrive in.

LETTER FROM OUR VP OF CANADIAN OPERATIONS

Wright Canada Holdings, Ltd. (WCH) is a part of a unique family of companies in environmental services, with several sustainability initiatives taking place across Canada. We wanted to share our story on our terms and there is no better time than now. Our highly educated workforce of professionals use their years of experience in the field to deliver an interdisciplinary approach and sustainable environmental solutions to best serve our clients and communities. As an employee-owned company, our employees are at the forefront of every decision we make, and it is our employees who are behind our success.

The Canadian subsidiary of Iowa-based parent company, Wright Service Corp. (WSC), WCH was formed in 2017 and is comprised of Spectrum Resource Group, Wright Tree Service of Canada, ArborCare® and CNUC of Canada. Our operations and clientele stretch from British Columbia to New Brunswick. We are an innovative group, open to new opportunities and face challenges head-on.

As a company providing environmental services, we take our environmental stewardship responsibilities very seriously. Both as a company and as individuals, we strive to make positive environmental, social and economic impacts in the communities we serve and live in. Sustainable business is good business, not only for our employees but also for our clients and the public.

All of our brands represented in Canada have added new services or improved upon current ones while continuing to expand our footprint across Canada. The last year brought many challenges that have afforded our team to evaluate and make improvements to our lines of business and enhance our leadership capabilities. As we move forward, what has not changed is the shared vision and strategy of our company.

A key to our success is ensuring that not only are our employees top of mind, but also safety. We train and develop our employees to ensure safe practices on the job and at home. If our employees are able to go home safe each night, that means we have done our job as a company.

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

‒ Safety

‒ Employee Well-being

‒ Environmental Sustainability

‒ Community Engagement

I encourage you to read through our report and learn how WCH continues to deliver value to our clients, communities and employee owners through environmental stewardship and sustainability with solutions that align with our core values of safety, family, integrity, excellence and stewardship.

Dean Marshall, RPF Vice President of Canadian Operations

COMPANY OVERVIEW

The following pages highlight how we incorporate environmental sustainability into our project services and business operations using innovative processes, initiatives and technology.

HISTORY IN CANADA

Wright Canada Holdings // Formed in 2017

Holding company to Spectrum Resource Group (SRG), Wright Tree Service of Canada (WTSCA), ArborCare (a division of WTSCA) and CNUC of Canada (CNUCCA).

Spectrum Resource Group // Founded in 1986

A reforestation, forest management and vegetation management solutions providing services to our many clients across diverse sectors in Western Canada. In 2017, SRG became a part of the family of companies under the Wright umbrella.

Wright Tree Service of Canada // Formed in 2019

Offering the entire package of vegetation management services, including integrated vegetation management, storm restoration, and work planning services to utility companies and their communities across Canada.

ArborCare® // Founded in 1983

ArborCare® provides commercial and residential tree and law care services in Calgary and Edmonton.

CNUC of Canada // Formed in 2020

Assisting utilities in improving their utility vegetation management programs through inspection and auditing services, emergency response, consulting, and research, often combined with software and LiDAR solutions in Canada.

ADDING TO THE FAMILY ESOP

1933 1961

1993

2002

2006

2007

2008

2012 2013

2017

2019

2021 of Puerto Rico of Canada

2020

2023

MISSION, VISION, VALUES

Each brand has their identity with individual mission, vision and values. However, as a Wright Service Corp. (WSC) company, Wright Canada Holdings (WCH) has adopted WSC’s mission, vision and values to share a common purpose.

In 2022, WSC revisited its current mission, vision and core values. These provide a focal point that aligns everyone within WSC and ensures we all work toward a common purpose. These tenets guide our decisions, increase productivity and help us allocate resources effectively.

As a result, the mission was simplified. While the impact and meaning are still complex, we have found that a focus on environmental stewardship and sustainability is the basic foundation we are trying to establish. There is power in purpose within our business. This drives action in everything we do as operating companies and you do as employees. Next, our vision shows where we’re heading. Working toward our mission and vision – WSC is built on a solid foundation of our beliefs and core values.

ABOUT THIS REPORT

Wright Canada Holdings Sustainability Report / CSR Mission Statement

As an employee-owned company, Wright Canada Holdings (WCH) knows that our greatest strengths come from our employees. With a people-focused culture, we are committed to being an equal opportunity employer, creating an inclusive work environment where our employees are heard, respected and valued, and empowering our employees to achieve their personal and professional goals. The result will be sustainable success and satisfaction for our employees and customers.

KPI Overview

WCH’s core Key Performance Indictors (KPIs) will be used to track the progress in key target areas and will be used by each company in coming years to gauge progress. These will help shape goals to drive continuous improvement.

OVERVIEW OF COMPANY INITIATIVES

Safety

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

Employee Well-being

Our employees create a rich work environment. Our family culture is what makes WCH unique and attractive to the next generation of the workforce. This includes a safe, enjoyable, diverse environment that offers opportunity for professional growth. As competition for talent grows, WCH is committed to offering an attractive workplace to retain and foster talent through our family of companies at all levels. Wright Service Corp. (WSC), the parent company to WCH, is proud to be employee-owned since 2002, and 100% employee-owned since 2006. Continued training, education and development, and our employees’ well-being are top of mind.

Environmental Sustainability

As a family of companies who are in the environmental services industry, we strive to protect and preserve all ecosystems. We continue to reduce our footprints and promote carbon positive practices at our offices and in the communities we serve.

Community Engagement

WCH supports 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 or education, we are able to support causes and organizations that align with our values. We take pride in building and developing relationships with our employees, clients and communities.

2022 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 mitigate any potential risks or hazards. Internal protocols are routinely reviewed and updated by our risk and safety departments to ensure the latest trainings and protocols are followed to ensure our employees can get home safely each and every night. Our employees follow the Brother’s and Sister’s Keeper motto, striving to achieve zero incidents. Our support services staff is highly trained to assist those in the field as it relates to our safety protocols.

SAFETY TRAINING

Our operations in Canada are spread out over multiple business lines, crossing many Provincial jurisdictions that regulate workplace safety. There are challenges with finding consistent measurements for our performance when the jurisdiction or the activity classifies our risk and our outcomes by variable means.

Within these challenges we are faced with:

Large distances between our work crews

Vast terrain differences, from muskeg, prairie, mountains and coast

Seasonal variations that take temperatures from -40°C to +40°C

Seasonality in our business opportunities

The physical demands of access and work types

Ensuring consistent and thorough training for a large cohort of young and new workers

Our operations in Canada have attained has attained and maintained high levels of safety credentials, industry involvement and representation within regulatory consultation processes.

One of our Wright Canada Holdings (WCH) divisions performed the entire year with zero incidents in 2022.

Vehicle and Equipment Use Training

Certain roles may require an employee to have additional training or certifications to operate different equipment for use on projects. Employees have the opportunity to earn certifications during their time with the company or attend trainings. For seasonal services, it may require employees to utilize equipment they may not be familiar with, so trainings are conducted by our experienced and certified personnel prior to starting those projects.

We provide in-house ATV and resource road driver training. Our in-house trainers are trained through the BC Forest Safety Council Program.

General Foreperson School

General Foreperson (GF) School is a week-long program for employees to participate in a variety of trainings and hands-on exercises under the direction of the Wright Tree Service (WTS) safety manager, one senior safety lead and two safety supervisors. This normally takes place in Des Moines, Iowa, near Wright Service Corp.’s (WSC) North American headquarters. Topics ranged from computer skills-based training to hands-on training. Many GF Schools are held throughout the year, and three employees from Canada completed the program in 2022.

First Aid

All crew leaders undergo basic first aid training as a normal course of their employment. They have the opportunity to participate in a variety of trainings to further their education on:

- Occupational First Aid 1 (OFA1) – Designed to teach how to respond to the most common and most life-threatening workplace first aid emergencies, including CPR, bleeding, shock and sudden medical emergencies.

- Occupational First Aid 3 (OFA3) – A 70-hour program designed for remote worksites or employers with large work-forces more than 20 mins from medical aid.

- First Aid Mock Scenario Training – The idea is to incorporate some of those types of first aid skills while also working directly with our equipment and within our actual teams that would respond to a situation together out in the field. This is not a wilderness first aid course. This training is done out-of-house by certified Level 3 instructors that have Wilderness First Aid (WFA) training, but are not certified WFA instructors.

SECURITY CERTIFICATIONS

Cyber Security

WSC’s information technology (IT) Department is dedicated to cyber security and business continuity. In 2019, an Information Security team was created to improve our security posture and execute yearly strategic security roadmaps, updated annually; by doing so, this maintains and strengthens our company’s ability to protect company and client data. The team conducts an annual comprehensive security assessment in tandem with monthly vulnerability scans and remediates identified issues. Our Security Information and Event Management (SIEM) platform, AlienVault, monitored 24/7/365 by ProCircular, is utilized to help improve our detection and prevention of attacks on our company’s equipment year-round.

A security awareness program was launched in May of 2020. Employees undergo training to spot ‘phishing’ scams and other malicious emails or attacks. These fraudulent requests are sophisticated and can use known company contacts to lure others into sending funds to illegitimate recipients or compromise confidential data and information. On a monthly basis, employees are tested internally and if the employee fails, they are required to complete additional training and, in some cases meet, with human resources (HR) and IT for performance improvement. As scams are ever-changing, training and tips are provided to arm our employees with the knowledge to be a digital Brother’s and Sister’s Keeper and ensure we protect our family of companies and their employees.

HIGHLIGHTS

- Conducted a Tabletop Exercise to Prepare for Any Security Emergency

- Rolled Out BitWarden Password Manager

- Weekly Trivia During Cyber Security Awareness Month in October

- Deployed the KnowBe4 Learner App to All Company Mobile Devices

- Made Improvements to Our Security Posture with Our vCISO Project and Extended Through 2025

In 2023, WSC will continue to implement tools and training for increased company preparedness and due diligence against increasing cyber security risk.

Cyber Security by the Numbers

We encourage staff to become certified or earn credentials in their respective areas of specialization. We have employees with the following qualifications:

- International Society of Arboriculture (ISA) Board Certified Master Arborist ® - 1 employee

- ISA Certified Arborist ® - 31 employees

- ISA Tree Risk Assessment Qualification (TRAQ) - 3 employees

- American Society of Consulting Arborists (ASCA) Tree and Plant Appraisal Qualification (TPAQ) - 1 employee

- ASCA Registered Consulting Arborist ® (RCA) - 2 employees

- Certified Utility Arborist (CUA) - 60 employees

- ISA TRAQ - 1 employee

- Environmental Professional (EP) 1 employee

- Registered Professional Biologist (RPBio) - 1 employee

- Professional Agrologist (P.Ag) - 3 employees

- Registered Professional Forester (RPF) - 2 employees

- Registered Forester in Training (FIT) - 3 employees

- Registered Forestry Technologist (RFT) – 2 employees

- Trainee Forest Technologist (TST) – 2 employees

- Accredited Silviculture Surveyors – 4 employees

- Tree Faller Certification 18 employees

- Wildlife Danger Tree Assessor - 35 employees

ACCREDITATION

WTSCA and ArborCare are the first Canadian company to be dualaccredited by the Tree Care Industry Association (TCIA), a third-party compliance auditor for residential and commercial services, and now as a utility contractor.

All companies maintain a certificate of recognition (COR) in British Columbia through the BC Forest Safety Council and Alberta through the Alberta Forest Products Association, with reciprocity in three other Provinces. We are externally audited by ISNetworld, Complyworks, and Avetta.

SAFETY GOALS

Safety: Engage the safety, education and training team to increase cross-company training opportunities.

Training: Assess current training offerings and assign based on company-wide or position-specific requirements.

Certifications: Establish tracking method for WTSCA & ArborCare.

Security: Monthly virtual Chief Information Security Officer (vCISO) and Executive meetings will be conducted to ensure company goals and controls are met while mitigating cyber security risks.

Safety: Determine and report on common safety metrics across all service lines.

Safety: Demonstrate improvement within our incident rate metrics and injury management outcomes.

Safety: Increase the use of remote-based platforms to narrow the geographical gap between our crews and the knowledge and training they need to maintain healthy and safe workplaces.

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

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

EMPLOYEE WELL-BEING

Our employees create a rich work environment. Our culture is what makes Wright Canada Holdings (WCH) unique and attractive to the next generation of the workforce. This includes a safe, enjoyable, diverse environment that offers opportunity for professional growth within. As competition for talent grows, WCH is committed to offering an attractive workplace to retain and foster talent through our family of companies at all levels. Continued training, education and development, and our employees’ well-being are top of mind.

DIVERSITY, EQUITY & INCLUSION

At the end of our fiscal year, September 30, 2022, we had 381 employees originating from nine provinces including Alberta, British Columbia, Manitoba, New Brunswick, Newfoundland, Nova Scotia, Ontario, Quebec and Saskatchewan. The number does not account for those hired as a seasonal worker during the year. During the peak of the season (May through August), WCH had as many as 557 employees.

Chart data as of September 30, 2022 when referring to all employees. Chart data is based on total tracked from October 1, 2021 through September 30, 2022.

NEW HIRES BY COMPANY

EMPLOYEES BY COMPANY

GENERATIONAL DISTRIBUTION

WTSCA REGIONAL DISTRIBUTION

Culture

As COVID-19 restrictions began to lift in Canada, it was important to build a strong culture of community for employees. This included having impromptu ice cream on Fridays, pizza parties, a pumpkin carving contest, and a holiday party filled with trivia, a white elephant gift exchange and raffle prizes.

National Day for Truth & Reconciliation

The National Day for Truth and Reconciliation is a day for our communities to commemorate the history and legacy of the residential school system of Indigenous Peoples. We encouraged all employees to wear orange on this day in remembrance of First Nations, Inuit and Métis Survivors, and their families and communities. It’s an opportunity to come together to listen, learn and affirm every child matters while honouring the experiences of Indigenous People.

EDUCATION & DEVELOPMENT

Learning Management System

UNIVERSITY

Wright Service Corp. University (WSCU) is a learning platform that documents and tracks online training. WSCU creates the opportunity to reach every employee in the company who has a company email for training and continued learning. Topics include management, leadership, customer service, productivity, tools, tips and more. The Training and Development Department have increased course offerings significantly in the Learning Management System (LMS). More than 8,000 LinkedIn Learning courses are available to employees. In addition, new employees will be assigned training on WSCU to review topics such as:

- Indigenous Awareness Training

- Harassment and discrimination

- Deferred Share Unit

- True Colors®

- Customer service

- Timesheet tracking

- Retirement savings

- Accessing the company clothing and apparel store

Lunch and Learns

Lunch and learns were reintroduced in May, hosted by the Training and Development Department once a month. They focus on content in the areas of business knowledge within our family of companies (finance, strategic planning) and interpersonal skills that improve operational performance.

EDUCATION & DEVELOPMENT continued

Women of Wright

The first Women of Wright Workshop was held in June. The goal is to connect, educate, and empower women in our family of companies by providing a community that can inspire and strengthen the voice of women in the industry. The workshop had 18 employees participate in the workshop and eight employees on the planning committee. Nicole Mychasiuk (AC), Amy Vandezande (WTSCA) and Tiffanie Bint (CNUCCA) participated in the 2022 Women of Wright Workshop.

Continuous Professional Development

We encourage staff to attend trainings, workshops or conferences in their field of work to continue to learn about any changes, updates or best practices in their profession or the industry.

MANAGER TRAININGS

In 2022, Spectrum Resource Group (SRG) managers attended two trainings led by an outside vendor focused on:

1. Managing Change In today’s workplace the only thing you can count on is that things are going to continue to change. Change is not always easy for people to manage and adapt to. Employees look to their

manager to help them during these difficult times. This workshop helps managers learn what roles and responsibilities are as a leader during times of change and strategies to help them better support others.

2. Coaching for Resiliency for Managers

- Leadership in challenging times

- The psychology of change

- Solution focused coaching

- Coaching steps

- Good coaching questions

- Check in on your resilience and your team

- Your action plan

LEAD Program

The LEAD Program is the preeminent leadership development program offered by WSC. The program currently takes place over the course of 18 months and consists of:

- Facilitated, in-person sessions at WSC headquarters in West Des Moines, Iowa

- Job shadow opportunity

- Participation in a mentor program

- Capstone project and presentation

Participants are nominated by leaders within the WSC family of companies. Nominators advocate for their nominee by illustrating that person’s leadership capabilities through real-life examples. Nominations are carefully reviewed and selected by the committee. Whether selected or not, getting nominated indicates that their leader believes in the employee’s leadership ability. Since the program’s inception, 61 employees have graduated from the program. The current cohort is comprised of 28 employees, two from WCH.

- Andy McLellan (WTSCA)

- Eric Torres (SRG)

Executive Leadership Development Program

WSC provides the Executive Leadership Development Program (ELDP) to higher-level managers or recently appointed executives within our family of companies via nomination by an executive. Participants are ambassadors for our family of companies, demonstrate leadership in their daily interactions, and are deeply committed to personal growth and development. During this three-year program, participants complete a detailed 360 assessment, then receive results and interpretation from a leadership coach with support from their appointed executive sponsor. They use the opportunities from their 360 to create an individual development plan that includes coursework from a variety of providers, mentoring, coaching and job shadowing.

In 2022, there were eight ELDP graduates, one from WCH. These individuals represented five companies within our family of companies. Participants culminated the program by providing a detailed capstone presentation to the Wright Board of Directors and Executive Team, demonstrating the impact of their applied development on the organization in the areas of process improvements, efficiency gains, advanced effectiveness, human resource enhancements, and revenue saved or earned.

EDUCATION & DEVELOPMENT

Leadership Academy

Each year CNUC hosts a week-long Leadership Academy for a group of CNUC employees. The employees selected are nominated as potential future leaders in our organization. During Leadership Academy, attendees are provided leadership training by management, opportunities to network with teammates from across North America, visit the corporate office, meet support staff, as well as gain skills to enhance their careers.

Our 2022 cohort of Leadership Academy included 18 employees that traveled from across the country from all six divisions including Chris Proulx from Canada. The 2022 cohort brings the Leadership Academy alumni count to 125 since the program’s inception in 2014.

continued WELLNESS

Employees are encouraged to utilize the resources that are made available to them. This includes e-learnings such as stress management, conflict resolution, and daily workflow prioritization techniques, for example.

Benefits, including Employee & Family Assistance Program

WCH employees who have three months of continuous employment and work a minimum of 30 hours per week can enroll in optional health and dental plan coverage.

The group benefit program provides cost effective extended health care coverage for employees and their family’s needs. Coverage is available on a

cost share basis for just the employee or for the employee and their family. Health care coverage extends beyond governmental mandated coverage to include eligible expenses for prescriptions, paramedical services, authorized medical services and supplies, private hospitalization, emergency travel assistance, and vision care.

Through health plan enrollment, employees and their immediate families have access to confidential counseling and comprehensive services to assist with life challenges and concerns. The Employee and Family Assistance Program (EFAP) services provider offers 24/7 counseling, a network of community resources, referrals and extensive resources across a wide range of topics. The program is designed to help employees manage and prevent challenges, so they stay healthy at work and home through a preventative and proactive approach.

Additionally, as part our benefit package employees are enrolled in life and disability benefits including life insurance, accidental death/disease/ dismemberment insurance, and long-term disability coverage. They may optionally enroll in dependent life insurance.

SRG has partnered with the Northern Society for Domestic Peace (NSDP) CAMP Program and continue to broaden training topics and resources. Our reforestation department is comprised of a young demographic and works in close-knit communities. The CAMP Program educates our employees about bullying and harassment, reporting, and creating a safe work and living environment.

SRG has several jobs that are labour intensive and repetitive. Because of this, the company takes a proactive approach to physical health and well-being. These programs include training in taping techniques to reduce stress on musculoskeletal strain injuries, virtual physio sessions and a robust injury management program that helps an employee remain

engaged in the workforce if injured at work. The injury management and return to work program has seen great success in the past few years. It has kept employees working productively, expanding their skill sets and in certain cases, has provided new and exciting careers.

LONGEVITY

Years of Service

Each spring, we celebrate our employees who reached milestones (5, 10, 15, 20, and so forth) in their years of service within our family of companies. In 2022, we were able to recognize employees virtually during an all-employee meeting. Twenty-one employees reached milestones.

- 5 years – 6 employees

- 10 years – 10 employees

- 15 years – 5 employees

Employee Ownership

After expanding into Canada, a Deferred Shared Unit (DSU) plan was established for WCH and its subsidiaries. Through shared ownership, employee ownership helps promote a positive, unique organizational culture and supports company success. This assists our employees with their retirement and provides them with a financial stake in the company.

For our customers and partners, we are empowered to provide exceptional service and innovative solutions. At all levels of the company, you will be working with an employee owner – individuals who are invested in the success of the company and the quality of service we deliver.

The DSU enables employees to partake in profit sharing and see the results. Employees have pride in the company and a vested interest in making

LONGEVITY

sure the value of their units grow. In addition, the plan has also allowed the company to protect jobs and support the communities we work in.

Employees are eligible if they are at least 18 years of age, worked for the company for one year and worked at least 1,500 hours within our fiscal year, and must be employed on September 30. They are automatically enrolled on October 1 following their one-year anniversary date with the company.

A committee was formed to educate employees about the DSU plan and its benefits.

108

DSU Stats

VESTED

ACTIVE EMPLOYEES IN THE DSU PLAN IN FY2022

continued FY2022 comparison of active participants and the percent vested. Upon six years, a participant is 100% vested.

EMPLOYEE RECOGNITION

Rewarding Success

The Rewarding Success Program recognizes employees who exhibit Spectrum’s values in an exemplary manner. The program was launched in 2021. A total of 22 employees were recognized and acknowledged for exemplifying the company’s values in FY2022. Nominated employees receive a credit to the company’s merchandise and apparel store and a certificate, sometimes presented in-person by the supervisor if possible.

CNUC of Canada also partakes in the Rewarding Success program. In FY2022, one employee was recognized for exemplifying the company’s values.

Knowledge: Chris helped deliver the CNUC training webinar, speaking knowledgeably on Dutch elm disease. Thank you, Chris!”

Sarah Lilley

Nathan has made enormous sacrifices for the company by moving to New Brunswick for the last four months to support the growth of Spectrum’s’ east coast operations. We want to recognize him for his dedication, determination and hard work over the summer.”

Eric Nijboer

Employee Spotlight

Employees are nominated or asked to participate in an employee spotlight where the company can highlight the employee to discuss their career path, get to know them on a personal level or highlight a complement from a customer. WTSCA and ArborCare employees are highlighted on the ArborCare social accounts monthly, now focusing on favorite projects rather than a comprehensive biography about themselves. SRG employees are highlighted with graphics and Instagram stories on their favorite music, podcasts and more.

Millionth Tree

Three employees, Robert Burgess, Sam Morkill and Cameron Tremblay-Wingert planted their one millionth tree this past summer, a huge milestone to accomplish in the planting community.

EMPLOYEE WELL-BEING GOALS

Diversity & Inclusion: Increase job opportunities for Indigenous community members.

Diversity & Inclusion: In 2022, WCH will adopt a diversity, equity and inclusion (DEI) statement.

Education & Development: Continue creating opportunities for key personnel to expand industry knowledge.

Diversity & Inclusion: Launch Workday Human Capital Management system and increase reporting capabilities on workforce demographics.

Employee Recognition: Expand the employee recognition program to the other Canadian entities.

Education & Development: Begin work on the One Source project, which involves an ERP transformation to the Workday platform.

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

ENVIRONMENTAL SUSTAINABILITY

As a family of companies who are in the environmental services industry, we strive to protect and preserve all ecosystems. We continue to reduce our footprints and promote carbon positive practices at our offices and in the communities we serve.

REFORESTATION RESOURCE USE

Based on the total amount of trees planted in 2022, SRG planted 43,500,000 linear meters of trees. The trees are planted at 2.5 meters spacing. This equated to 1.075 times around the earth (the earth is 40,075,000 meters in circumference).

Calgary has one building for shared use for Wright Tree Service of Canada (WTSCA), ArborCare and CNUC of Canada (CNUCCA) employees. The office is owned by the company and all utilities are handled directly. Building repairs are managed by the fleet supervisor. WCH rents a small office and bay shop in Edmonton. Water is included in rent and paid for by the landlord. Electric and gas are directly responsible by WTSCA.

WCH also has offices in Prince George and Grande Prairie. There is also a storage facility and yard location in Prince George. These are jointly managed between the management team. All of these locations are rented.

Fleet & Equipment

17.4M TREES PLANTED IN FY2022

Wright Canada Holdings (WCH) has had the opportunity to be front and center to several exciting initiatives with Geotab. With the support and guidance of our Geotab reseller, Gridline, WSC was the first company in the world to see and experience, pilot and deploy a Geotab/ Lytx integration that allows the Lytx user interface to be visible and interactive within Geotab.

WCH was recommended and was selected as a participant in the Geotab Global Advisory Group. This group meets quarterly to “take a peek under the hood” of Geotab roadmap discuss ideas and strategies, with an opportunity to weigh in on/collaborate their product and service decisions, business needs and pose questions to Geotab leadership and other Geotab clients around the world.

WCH deploys crews with bucket trucks, chip trucks, and chippers as well as specialized equipment including all terrain tree trimmers, brushcutter tractors and more for high-impact mechanical line clearance.

RESOURCE USE continued WASTE

FUEL USAGE

Geotab has the capacity to track fuel and fuel efficiency. Our Canadian companies track fuel usage through other systems. Some fuel is provided via bulk fueling or client fueled, which is not included in annual reporting at this time. Bulk fuel, when available, is an efficient way to prepare the fleet without spending excess labor time and resources to travel to the nearest fueling station.

WTSCA and CNUCCA have 515 vehicles with the Geotab tracking technology utilized. Unproductive idle time is currently being tracked along fuel efficiency.

WCH generates vegetative waste through the maintenance and new infrastructure development efforts daily in support of our clients. This organic waste product is often left onsite in environments where it is appropriate to naturally breakdown and provide benefits such as nutrients and habitat to the local ecosystem. The 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 WCH property. WCH may further process wood waste into mulch and provide free of charge to local communities.

36,000 NEARLY

CUBIC YARDS OF WOODCHIPS WERE SENT TO ACREAGES AND FARMS IN 2022

A significant effort is made to utilize the vegetative product and minimize its disposal in landfills. Nearly 36,000 cubic yards of woodchips were sent to feedlots in 2022 to be used in bedding and compost. Our Calgary location has 9,000-10,000 cubic yards of woodchips waiting to be processed. 2022 was a record volume of woodchip sales.

Wood waste from Spectrum fuel risk reduction operations is often sold as logs to local mills or as hog fuel to local energy plants.

Each job site and geography across North America operated by WSC subsidiaries provide a variety of alternative uses of wood waste generated. An evaluation effort is underway to estimate the amount of vegetation co-product generated by division and the end-use category respectively.

ENVIRONMENTAL SUSTAINABILITY GOALS

Resource Use: Will begin a greenhouse gas (GHG) inventory (following the GHG Protocol and Corporate Standard), 2022 will serve as the base year.

Reforestation: Increase number of trees planted in 2023.

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

Waste: Establish a tracking program for wood waste streams.

Waste: Track usage of single-use plastic taping in-field to evaluate opportunities for waste reduction and alternatives.

COMMUNITY ENGAGEMENT

Wright Canada Holdings (WCH) supports activities that benefit our employees and add value to the communities where we live and work. Through monetary and in-kind donations such as labour or education, we are able to support various causes and organizations that align with our values. We take pride in building and developing relationships with our employees, clients and communities.

CONTRIBUTIONS & SPONSORSHIPS

Mackenzie High School Woodlot Society

Every fall, the high school in Mackenzie, British Columbia, has students participate in a day of planting. Spectrum Resource Group (SRG) sponsors the School Ecology Program, the McLeod Lake Mackenzie Community Forest and Wildlife Infometrics’ efforts by donating planting shovels and bags.

Vanderhoof Speed Skating Club

SRG sponsored the Vanderhoof Speed Skating Club, allowing four kids to participate in the BC winter games. Over $2,600 was donated to purchase skating suits and the SRG logo is displayed on one of the safety mats within the rink.

Professional Vegetation Managers Association Spring Conference

Wright Tree Service of Canada (WTSCA) was a platinum sponsor at the Professional Vegetation Managers Association’s (PVMA) Spring Conference, a two-day event full of educational sessions focusing on

expertise for changing times. They also sponsored a speaker for one of the sessions.

Holidays

To ensure everyone made it home safely at the end of the Spectrum holiday party, we utilized Operation Red Nose, a non-profit organization that promotes responsible behaviour to prevent driving while impaired. The organization provides a volunteer chauffeur service, the benefits of which are redistributed to help finance projects for youth and amateur sports, as well as other awareness activities.

All of the extra food was donated to Active Support Against Poverty, a Prince George social initiative that helps local persons in need.

Mulch Donation

In 2022, 1,530 cubic meters of mulch was donated to various

community projects from the Drumheller Resiliency and Flood Mitigation Pre-Construction Tree Clearing. The mulch was taken to the Drumheller Agriculture Society. Additionally, an estimated 363 metric tons of logs were donated to use for firewood and carvings.

Habitat for Humanity

In September, ArborCare® donated $5,000 worth of trees and shrubs from Foothills Nurseries for several Calgary homes constructed by habitat for Humanity Southern Alberta. Employees were able to assist in the planting process. In the last three years, ArborCare has donated approximately $13,500 worth if trees and shrubs.

CONTRIBUTIONS & SPONSORSHIPS

continued

The Veterans Food Bank of Calgary and Veterans Association Food Bank of Edmonton

ArborCare is proud to support local Veterans Foods Banks in Both Edmonton and Calgary. When customers buy firewood from ArborCare, 10% of sales goes towards these organizations. In 2022, ArborCare donated $3,000 to the foodbanks.

ISA Prairie Chapter Fall Meeting

CNUC of Canada (CNUCCA) sponsored the ISA Prairie Chapter fall meeting. Our own Randy Miller was the keynote speaker both days of the event.

OVER

$30,000 CONTRIBUTED TO DONATIONS, SPONSORSHIPS AND IN-KIND DONATIONS IN 2022

In 2022, ArborCare received more than 7,119 calls averaging 2 minutes and 56 seconds per call. Our team has several inhouse trainings on items such as phone etiquette, best practices and reviewing calls to continuously improve our processes and conversations with our clients. Due to a higher average phone call duration, we can connect with customers allowing people to trust us based on our expertise.

CUSTOMER SERVICE REPUTATION

Industry Memberships & Associations

Employees are encouraged to join industry-related organizations and participate as members or on their boards. Our companies are proud supporters of and/or have employees who are board members in the:

- Tree Care Industry Association

- Western Forestry Contractors’ Association

- Invasive Species Council of BC

- Association of BC Forest Professionals

- Professional Vegetation Managers Association

- Integration Vegetation Management Association of Manitoba/ Saskatchewan

- Canadian Nursery Landscape Association

- Landscape Alberta

- International Society of Arborists

- Alberta Construction Association

- BC Forest Safety Council

- America Society of Consulting Arborists (ASCA)

- Alberta Forest Products Association

PARTNERSHIPS

First Nations & Indigenous Groups

We at WCH are proud to work alongside our many indigenous partners. We have developed our Indigenous Engagement policies by listening to Indigenous Stakeholders in the Traditional Territories we work in. We have been guided by the principles embodied within the United Nations Declaration on the Rights of Indigenous Peoples (UNDRIP). Our objective is to assist our Nation Partners in strengthening Economic Reconciliation through robust and resilient partnerships. WCH’s subsidiary companies have established several successful, indigenous-led partnership opportunities in Canada.

With SRG, Indigenous community members are involved in program delivery. 17 members worked approximately 22,149.75 hours.

Additionally, WTSCA and SRG sponsored in the second annual Ram Remediation & Yinka Dene Economic Development’s Golf Tournament. The event helped raise money for the BC Indigenous Elders & Youth Society.

PARTNERSHIPS continued

MCLEOD LAKE INDIAN BAND

Spectrum works closely with McLeod Lake Indian Band’s leadership - who have entrusted us with the very important task of resource stewardship and management of their forest resources - both on Treaty 8 Adhesion Lands and Managed Forest Licenses in the Mackenzie and Prince George Timber Supply Areas.

KWADACHA FIRST NATION

Spectrum is a proud partner with Kwadacha First Nation, providing internship opportunities for students in their community. Through this learning experience, the students have had an opportunity to learn and experience what it would be like to work in forestry.

In addition to this, Spectrum has also supported local Kwadacha businesses through the creation of subcontracting opportunities with Kwadacha Natural Resource Limited Partnership.

WET’SUWET’EN FIRST NATION

Spectrum and Wright Tree have joined forces with with Yinka Dene

Economic Development Limited Partnership, WFN’s economic development company to assist them in carrying out a variety of vegetation management projects.

TSUUT’INA NATION

RESERVE PARTNERSHIP

ArborCare and WTSCA teamed up with Tsuut’ina Nation Reserve members to do power line clearance for Enmax on their reservation. Through this partnership, we were also working to employ qualified candidates for various positions across Canada. In the fall of 2022, WTSCA Division Manager Chris Gamache presented at the Tsuut’ina Open House.

AIMHI PRINCE GEORGE

In 2016, Spectrum began a partnership with AimHi Prince George and hired-on Indigenous persons with special needs to work alongside its invasive plant management technicians operating around Prince George and Mackenzie, BC. Spectrum commits to continue to contribute to a strong community by providing special needs persons with the opportunity to acquire skills and experience in the Natural Resource sector that they may otherwise never have the opportunity to obtain. This has been a mutually beneficial relationship that Spectrum will continue to foster.

PARTNERSHIPS continued

Colleges & Communities

Working with WorkBC and the College of New Caledonia, SRG has successfully built a curriculum to help local workers develop the certifications and training required to work in wildfire risk reduction, invasive plant management and forest development roles. Training courses offered include chainsaw certification, first aid training, forest resource road driving certification, invasive species training, S100/ S185 fire suppression, pesticide applicator training and certification, and “in-field” technology training on iPads and GPS.

We have now had two intakes for the program and are thrilled to report that in a 10-day period we are able to provide the training and opportunity for employment to potential participants that are actively engaged in finding employment. Ten program graduates began working for Spectrum immediately following graduation from the program.

This has been a very successful program to date, and we hope to continue building upon this success while possibly expanding the program in the future. Our world is changing, and our team has begun adapting and finding new and creative ways to bring the resources to our door that will allow us to continue in our positive growth trajectory.

In addition, Spectrum has a very active presence in the Mackenzie, British Columbia, region and has partnered with the municipality, the regional college and the provincial government to create a skills-based training program for displaced forestry workers.

Lac La Ronge Indian Band

CNUC has fostered a partnership with a First Nation group in Saskatchewan. We are working with Canada North Environmental Service (CanNorth) which is a private environmental consulting company that is 100% owned by Kitsaki Management Limited Partnership, the business arm of the Lac La Ronge Indian Band. Our work includes ROW widening and consenting.

23-30%

OF TOTAL MANHOURS ON OUR SASKPOWER CONTRACT WERE CAPTURED BY FIRST NATION PEOPLE

CNUC FIRST NATION PARTNERSHIPS

COMMUNITY ENGAGEMENT GOALS

Contribution: Increase opportunities for employees to partake in volunteer efforts to support the communities we live and work in.

Contribution: Continue to evaluate and promote new volunteer opportunities for employees to engage communities across our Canada.

Reputation: Prioritize supply chain Diversity and Environmental Social Governance (ESG) Standards.

Partnerships: Increase partnerships with indigenous communities.

Youth Interaction: Track and increase opportunities to discuss the forestry and vegetation management industry at high school high school, college, and university career fairs.

CLOSING

Wright Canada Holdings, Ltd. and our employees strive to live out our values and will continue to improve our sustainable practices to ensure a safe and bright future for our employee-owners. We are committed to a better world for all, by investing in the communities we serve through innovation, integrity and teamwork. We want to ensure that the decisions we make today make a positive impact on our employees, clients, community and the environment.

APPENDIX

An evaluation utilizing the EcoPractices® platform, a proprietary tool created and owned by Sustainable Environmental Consultants, a Wright Service Corp. (WSC) subsidiary, in partnership with WSC. This report is intended to showcase the sustainability journey of Wright Canada Holdings, Ltd., dedicated to recognizing their responsibility toward their mission, vision and values for their employee owners, partners, clients, and the public.

This preliminary Corporate Social Responsibility Report will be further expanded upon in the coming years to comply with the Global Reporting Initiative (GRI) standards.

© 2023 Wright Canada Holdings, Ltd.