COLLEAGUES, SHAREHOLDERS AND FRIENDS

IN 2021, we at Textron delivered on our commitments to our stakeholders, while continuing our efforts as a responsible corporate citizen within the communities where we live and work. In this report, we share an update on the actions we’ve taken across our Environmental, Social and Governance (ESG) priorities to minimize our environmental footprint, protect the health and safety of our employees, foster an inclusive environment, empower our employees with career development and engagement opportunities and ensure that we operate our business with high ethical standards.

Importantly, in this report we also include an index which, for the first time, maps our disclosures to the recommendations of the Task Force on Climate-Related Financial Disclosures (TCFD) and to the disclosure topics and metrics of Aerospace and Defense industry standards established by the Sustainability Accounting Standards Board (SASB). We are proud of this step in our ESG journey and the additional transparency it provides on our approach to managing climate-related risks and opportunities across our businesses.

Our focus on ESG has been a catalyst which has generated new opportunities for innovation and collaboration across our businesses. During 2021, we accelerated electrifying our Textron Specialized Vehicles product line with TSV pledging that 75% of its product offerings by model will be offered as full-electric or hybrid by 2035. Our Textron Systems business, Howe & Howe, unveiled its new all-electric firefighting robot, the Thermite EV2, and Textron Aviation achieved the first flight of its new high-performance turboprop aircraft, the Beechcraft Denali, powered with a more sustainable engine. Perhaps most exciting, we recently acquired Pipistrel, an award-winning pioneer in electrically powered aircraft with the world’s first, and currently only, electric aircraft to receive full type-certification from the European Union Aviation Safety Agency. Pipistrel has become part of our new business segment, Textron eAviation, which also includes other research and development initiatives for our long-term strategy to offer a family of sustainable aircraft for urban air mobility, general aviation, cargo and special mission roles. Our businesses are looking ahead and meeting the challenge to help build a better world and create a better future for Textron.

But as much as we have achieved towards our ESG goals, we remain committed to continuous improvement and will continue to measure our progress to ensure that we remain on track to meet our goals for a more sustainable future.

I am proud of the work we’ve done across our businesses to reduce our environmental impact, build stronger communities, develop talent, keep our employees safe and healthy, and uphold our high standards of ethics and respect for human rights throughout our operations. We look forward to continuing to build on our relationships with our customers, employees, business partners, suppliers, shareholders and communities in our role as a global corporate citizen.

Scott C. Donnelly

Chairman and Chief Executive Officer