Environmental Management

Sustainability

Flagstar cares about our environmental footprint. In 2021, we completed an inventory of our Greenhouse Gas (GHG) emissions using 2019 as a baseline. Flagstar’s GHG Inventory collects and reports Scope 1 and Scope 2 emissions. We will add Scope 3 emissions  to the inventory at a later date. The GHG inventory consists of the following emissions sources:

Scope 1 — Direct GHG emission sources

• Stationary fuel combustion

o   Facility heating

o   Emergency equipment

• Mobile fuel combustion

o   Company-owned/leased vehicles

• Fugitives

o   GHG based A/C systems

Scope 2 — Indirect emission sources

• Purchased electricity
• At present, Scope 2 location-based and market-based emissions are the same. We will make updates as we investigate and enter into power purchase agreements.

Flagstar Bank will use the GHG Inventory to:

• Demonstrate environmental leadership
• Identify opportunities to mitigate direct and indirect GHG emissions
• Use data to identify current and future trends and benchmark progress
• Assist the Board and Staff in decision-making

We are currently working with our facilities team to set Scope 1 and 2 emissions reduction targets and identify the appropriate emissions reduction activities.