Sleep Number Issues Annual Corporate Sustainability Report

Wellness technology leader updates environmental, social, and governance (ESG) priorities and progress

MINNEAPOLIS--(BUSINESS WIRE)-- Today, Sleep Number Corporation (Nasdaq: SNBR) announced the publication of its 2023 Corporate Sustainability Report, which provides a comprehensive update of the company’s environmental, social and governance (ESG) priorities and progress. A participant of the United Nations Global Compact (UNGC) since 2020, Sleep Number is committed to incorporating the UNGC principles into its strategy, culture and day-to-day operations and advancing ESG initiatives in pursuit of sustainable, profitable growth that benefits all stakeholders.

Today, Sleep Number announced the publication of its 2023 Corporate Sustainability Report, which provides a comprehensive update of the company’s ESG priorities and progress. (Photo: Business Wire)

“Our ESG priorities are rooted in our company’s purpose to improve the health and wellbeing of society through higher quality sleep, which drives us to achieve important strategic milestones that strengthen our sleep health leadership and progress our sustainability initiatives,” said Shelly Ibach, Chair, President and CEO, Sleep Number. “We are proud of our thoughtful environmental stewardship, inclusive social progress and strong corporate governance, and we are resolute in our long-term commitment to further integrate our efforts. I am grateful to our Sleep Number team for their dedication to our mission and making a positive impact every day in the lives of our customers, our company and our planet.”

Key ESG accomplishments detailed in the report include:

• Environmental: Continued measurement of, and focus on, reducing Scope 1 and 2 greenhouse gas (GHG) emissions and initiated an assessment of Scope 3 GHG emissions; completed a multi-year transition to an integrated manufacturing and distribution network which will enable operational efficiencies and environmental benefits, including waste reduction, cost savings and improved customer experience for years to come;

• Social: Enterprise-wide coordination and communication of social initiatives, including formation of a cross-functional social impact team; financial commitments to and collaborations with Mayo Clinic and the American Cancer Society, which may have broad societal implications; sponsorship of multiple sleep research studies; DE&I initiatives and more;

• Governance: Completed an initial materiality assessment of key stakeholders to assist in company priorities; initiated reporting to CDP, a not-for-profit considered the gold standard for environmental reporting; ensured internal preparedness for compliance with anticipated regulatory disclosure requirements.

The report also acknowledges the nature of Sleep Number’s ESG journey, identifies opportunities for future improvement and reinforces the company’s commitment to continued ESG prioritization in support of its consumer innovation strategy.

To view the 2023 Corporate Sustainability Report and learn more about Sleep Number’s ESG strategy, visit our investor relations site.

About Sleep Number Corporation

Sleep Number is a wellness technology company. Over 14 million people have had their lives improved by our award-winning sleep innovations and are experiencing the physical, mental and emotional benefits of life-changing sleep performance. Our proprietary smart beds combine the physical and digital worlds, integrating exceptional sleep with a highly advanced digital technology platform. This means only Sleep Number can provide a dynamic, adjustable and adaptive sleep experience that effortlessly responds to the needs of each sleeper. Our millions of Smart Sleepers benefit from their smart bed changing with them, over time; it is unique, like they are.

Our differentiated business model is guided by our purpose to improve the health and wellbeing of society through higher quality sleep. We partner with world-leading sleep and health institutions to bring the power of 19 billion hours of longitudinal sleep data to sleep science and research. Our retail experience meets our consumers whenever and wherever they choose – through online and in-store touchpoints. And our 5,000 mission-driven team members passionately deliver individualized sleep experiences for everyone.

For life-changing sleep, visit one of our 670 stores, our newsroom and investor relations sites, or SleepNumber.com.

Forward-looking Statements

Statements used in this news release relating to future plans, such as statements about our priorities and initiatives, including with respect to ESG, are forward-looking statements subject to certain risks and uncertainties. Additional information concerning these, and other risks and uncertainties, is contained in the company’s filings with the Securities and Exchange Commission (SEC), including the Annual Report on Form 10-K, and other periodic reports filed with the SEC. The company has no obligation to publicly update or revise any of the forward-looking statements in this news release.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230320005573/en/

Julie Elepano

Sleep Number Public Relations

Julie.Elepano@sleepnumber.com

Dave Schwantes

Sleep Number Investor Relations

David.Schwantes@sleepnumber.com

Source: Sleep Number Corporation