2019 CORPORATE SUSTAINABILITY REPORT

“Being part of the gatekeepers to reopen America represents for us an unprecedented opportunity to come back stronger than ever.”

- Scott Salmirs

A MESSAGE FROM OUR CEO

The past few months have been difficult for for all of us. Due to the COVID-19 pandemic, public spaces and businesses have closed, people have lost their jobs, many lives have been lost, and countless more have been sickened. Leading a company whose team members are on the front lines fighting COVID-19 has been challenging and rewarding at the same time. Keeping our workers safe has been our top priority.

I would like to take a moment to express my sincere gratitude to our teams who are working hard to keep our clients healthier. They have been real heroes in this battle and the least we can do is make sure they have what they need to continue performing their jobs safely. As such, I am proud to announce that ABM has joined the Cleaning Coalition of America in order to ensure that the needs of our industry (one that has played a vital role in keeping essential businesses operational) are well represented.

Being part of the gatekeepers to help reopen America represents for us an unprecedented opportunity to come back

stronger than ever with a strong value proposition for our clients: environmental sustainability. We are committed to practices that will leave behind a healthier planet for our children. We are also aware of the huge opportunity that bringing sustainable solutions to the market and performing sustainable operations represent.

2019 marked a banner year for our sustainability journey and prepared us to better support our clients in low carbon economy transitions. Through our sustainable solutions portfolio, including our GreenCare® program of environmentally friendly cleaning services, we're positioned to be our clients' partner in achieving their facilities-related sustainability goals. We have strengthened our portfolio of sustainable solutions to effectively mitigate climate change risks and will continue to do so. So far, during 2019 we have reduced more than 247,269.58 MWh across our clients' facilities, supported fleet electrification with more than 500 electrical vehicle charging stations installations, and reduced over 90,000 tons of CO₂e emissions through the installation of the charging stations and the provision of our Energy Performance Contracting services.

Finally, just in the same way that we advocate for sustainability on our clients' behalf through our sustainable solutions, we aim to bring consistency to our internal efforts and in the way we manage our own operations. Conducting business in a sustainable way is a priority. In this report, we illustrate our efforts to ensure a healthy and safe environment for our workers, how we engage in responsible business operations, and how we manage our own environmental footprint.

I hope you will join us as we work to ensure a healthier planet. I look forward to seeing our continuous improvements year over year!

Scott Salmirs

President & CEO, ABM

AT A GLANCE

ABM AT A GLANCE

ABM Industries Incorporated is a leading provider of integrated facility solutions headquartered in New York City, US. The company delivers exceptional experiences to our clients, and serves facilities of all sizes across urban, suburban, and rural areas:

• ‍AVIATION. Aviation includes services supporting airlines and airports, including parking, janitorial, passenger assistance, catering, air cabin maintenance, and transportation.‍
• BUSINESS & INDUSTRY. Business and Industry, our largest segment, encompasses services including janitorial, facilities engineering, parking, and more for commercial real estate properties and sports entertainment venues.‍
• EDUCATION. Education provides custodial, landscaping and grounds, facilities engineering, and parking services for public school districts, private schools, colleges, and universities.‍
• HEALTHCARE. Healthcare professionals know the critical role that cleanliness, friendliness, and efficiency play throughout their facilities. ABM has the experience and the expertise to help balance infrastructure and service needs with our clients' core operational requirements.‍
• TECHNOLOGY & MANUFACTURING. Technology & Manufacturing combines our Industrial & Manufacturing business, which was previously included in our B&l segment, with our High-Tech industry group. Services include janitorial, facilities engineering, and parking services for clients across these industries.

ABM serves a wide variety of markets, including:

• Bermuda
• Canada
• Mexico
• Costa Rica
• Peru
• Ecuador
• Colombia
• Chile
• Jamaica
• Puerto Rico
• Netherlands Antilles
• Cayman Islands
• ABM also has 350+ US offices, along with operations in Norway, UK, Ireland, Spain, Portugal, Australia, Guam, Qatar, and the UAE.

We help:

• AIRPORTS
• AIRLINES
• BANKING & FINANCIAL SERVICES
• COMMERCIAL PROPERTIES
• GOVERNMENT
• HOSPITALITY
• RETAIL & DISTRIBUTION
• SPORTS & ENTERTAINMENT
• HIGHER EDUCATION
• K-12 EDUCATION
• HOSPITALS
• MEDICAL OFFICE BUILDINGS
• SENIOR LIVING
• INDUSTRIAL & MANUFACTURING
• LIFE SCIENCES
• TECHNOLOGY & DATA CENTERS

OWNERSHIP AND LEGAL FORM

ABM is incorporated under the laws of the State of Delaware and is a publicly traded company, governed by a Board of Directors. ABM stock is listed on the New York Stock Exchange [NYSE: ABM].

The person or entities known to ABM to be beneficial owners of more than 5% of the shares of ABM common stock as of January 15, 2020, are set forth below. This disclosure is based on a review of Schedule 13G filings and Schedule 13D filings.

• Blackrock, Inc.
• State Street Corporation
• ArrowMark Colorado Holdings LLC
• The Vanguard Group, Inc.
• FMR LLC
• Dimensional Fund Advisors LP

Scale of the Organization

Dollar amounts in millions, except per share amounts. Information relates to ABM's fiscal year ending October 31, 2019.

• 135,817 number of team members
• 2019 - $6,498.6 net revenues
• $1.90 net income per share

EXTERNAL INITIATIVES

External Initiatives

• Energy Services Coalition (ESC)
• Energy Star Partner (ES)
• International Facility Management Association (IFMA)
• National Facilities Management & Technology (NFMT)
• US Green Building Council (USGBC)

Memberships of Associations

• Member & Program Chair, ASHRAE Technical Committee 2.8 Building Environmental Impacts & Sustainability
• American Solar Energy Society (ASES)
• ASHRAE Technical Committee 6.7, Solar Energy Utilization
• Association of Energy Engineers (AEE)
• International Solar Energy Society (ISES)
• National Association of Energy Service Companies (NAESCO)
• Project Management Institute (PMI)
• Zero Net Energy Alliance (ZNE)
• Building Owners and Managers Association (BOMA)
• Commercial Real Estate Women Network (CREW)

ABM VISION AND CORE VALUES

We continue to be dedicated to the following:

• ‍Our Mission
  To make a difference, every person, every day.‍
• Our Purpose
  To take care of the people, spaces, and places that are important to you.‍
• Our Vision
  To be the clear choice in the industries we serve through engaged people.

Core Values:

• Integrity: We are sincere, trustworthy, and accountable. We tell the truth and do not tolerate behavior that breaches our values.
• Innovation: We bring fresh ideas and data-driven insights to solve business challenges. We say What if? Why not? What’s next?.
• Excellence: We deliver consistent, reliable service, but we don’t stop there. We are commi.ed to exceeding expectations
• Trust: We build confidence and demonstrate that we are worthy of keeping it.
• Respect: Every person brings value and is acknowledged as an asset to our team.
• Collaboration: We believe that we can do be.er and achieve more when we work together and learn from our collective experiences

SUSTAINABILITY AWARDS AND RECOGNITION

Environmental, Social and Governance performance ratings:

ABM’s outstanding sustainability commitment and performance has been reflected on the different ratings that we obtained from the very first year we responded to most of them. The company has launched action plans and engaged cross-functional efforts to improve its performance in future participations.

• MSCI ESG Ratings: Received an A rating (scale: AAA-CCC).
• ISS ESG Corporate Rating: Received the Prime label.
• EcoVadis: Awarded Bronze.

Key Recognition:

• ABM’s managed vehicle fleet at Nashville International Airport was awarded the Tennessee Green Fleets Certification.
• ABM partnered with Victoria Leeds Shopping Centre (UK) to improve waste management, which earned the Green Apple Award.

Governance Structure

At ABM, our governance structure provides the framework to serve our clients, stakeholders, and team members with integrity. ABM's Board of Directors is responsible for overseeing the business and company strategy. As of October 31, 2019, ABM had 10 directors: LeighAnne G. Baker, Linda Chavez, Donald F. Colleran, Art A. Garcia, Thomas M. Gartland, Jill M. Golder, Sudhakar Kesavan, Filippo Passerini, Scott Salmirs, and Winifred M. Webb! All of our directors, with the exception of our Chief Executive Officer, Scott Salmirs, are independent. One of our independent directors, Sudhakar Kesavan, also serves as Chairman of the Board.

ABM's Board of Directors are organized in the following committees(*):

• ABM's Audit Committee, comprised of Art A. Garcia (Chair), Jill M. Golder, Filippo Passerini and Winifred M. Webb, oversees the company's financial reporting process and assists the Board with respect to the company's compliance with legal and regulatory requirements. In addition to these core responsibilities, the Audit Committee reviews policies with respect to financial risk management and the company's major financial risk exposures.
• ABM's Compensation Committee, comprised of Thomas M. Gartland (Chair), LeighAnne G. Baker, Linda Chavez, and Donald F. Colleran, provides direction in executive compensation and monitors potential risks that may be associated with ABM's compensation programs.
• ABM's Governance Committee, comprised of Linda Chavez (Chair), Thomas M. Gartland, and Sudhakar Kesavan, identifies qualified candidates to serve on the Board. In addition, the committee is tasked with developing and recommending corporate governance principles and policies to the Board.
• ABM's Strategy and Enterprise Risk Committee, comprised of Filippo Passerini (Chair), Donald F. Colleran, Art A. Garcia, and Winifred M. Webb, oversees the ABM's strategy development and implementation, as well as the company's overall enterprise risk management program, which includes operational risks.

SUSTAINABILITY GOVERNANCE

ABM's Corporate Sustainability Manager reports directly to the Chief Communications Officer and is responsible for the company's overall sustainability strategy, which includes its definition and final execution. In addition, the Corporate Sustainability Manager oversees the Sustainability Committee, which is comprised of various sustainability project managers from across the company with expertise on waste, energy and green cleaning services. Weekly meetings between ABM's Corporate Sustainability Manager and the company's Environmental Manager in the United Kingdom (U.K.) are held to ensure that ABM's sustainability efforts are aligned with the UK.

The results of ABM's sustainability performance, as well as its Environmental, Social and Governance (ESG)questionnaires, are presented on a quarterly basis to the Executive Committee. Relevant updates are shared with the Board of Directorsat least twice per year during the Board's quarterly meetings.

STAKEHOLDERS AND MATERIALITY ANALYSIS

ABM's sustainability approach is supported by an ongoing dialogue with our different stakeholders, which include clients, vendors, team members and executives. In 2019, ABM conducted and updated a materiality assessment and analysis in line with the principles of inclusion, materiality, responsiveness and impact defined in the AA1000 standards. This ensured the alignment of the company's material aspects with our stakeholder expectations.

This year, we are disclosing our main sustainability challenges and associated action plans to our stakeholders through our Sustainability Report and 10-K document on a regular basis. ABM annually reports a list of all consolidated subsidiaries as of the fiscal year in Exhibit 21.1 to ABM's 2019 Annual Report of From 10-K, which was filed with the SEC on December 20, 2019.

WHO ARE OUR STAKEHOLDERS AND WHAT ARE THEIR EXPECTATIONS?

• ‍Investors and Analysts. Shareholders and analysts expect ABM to grow in a profitable and sustainable way.‍
• Clients. ABM's services are generally provided at the locations of our clients, who expect the provision of sustainability services around energy, water, waste and green cleaning.‍
• Team Members. Our team members continue to be the driving force behind everything we do, and they expect the company to provide them with safe environments, decent working conditions and developing opportunities.‍
• Vendors. As a service-based company, ABM relies strongly on the know-how of a number of vendors and partners providing services and products. They expect ABM to be a responsible partner and employer.‍
• Communities. Communities where ABM operates expect the company to do so in a responsible way and generate a positive impact at a local level.

MATERIALITY ANALYSIS

In order to ensure transparency across our corporate sustainability analysis, ABM has partnered for the eighth year in a row with the Center of Sustainability Excellence to perform its materiality analysis and publish an independent audit assessment.

In order to build our materiality matrix, we distributed a survey with the Global Reporting Initiative's (GRI) list of material topics and asked both our internal (team members, executives) and external (clients, vendors) stakeholders to rank them. This year's assessment included new topics such as human rights, waste generation and market presence. The final matrix represents the top 50% of aspects that were considered a priority by our stakeholders.

Internally, topics such as anti-corruption, energy consumption, occupational health and safety, and human rights were considered highly important by executives and team members. Meanwhile, clients considered customer privacy approach, customer health and safety, and impact on local communities to be most relevant. Finally, our vendors highlighted the importance of anti- corruption practices, occupational health and safety, and socio-economic compliance.

Topics that were selected in 2018 but were no longer considered a priority this year are still included in our 2019 Sustainability Report. More information on our specific management approach for each material topic can be found in each section of the report.

In response to the concerns of each of our stakeholder groups, ABM has put in place processes like anti- harassment and Code of Ethics trainings, increased its efforts to ensure the safety of our team members and clients, expanded training programs for our team members, and ensured that the company meets all of the necessary requirements for an appropriate working environment.

The content of this report covers the corporate activities and services provided by ABM and its subsidiaries through North America and the U.K., and it has been prepared in accordance with the Global Reporting Initiative Standards: Core Option. Additional information about the company can be found at www.abm.com as well as in our filings with the Securities and Exchange Commission (SEC), which can be accessed on the Investors section of our website. ABM publishes its sustainability report on an annual basis and it covers information from the 2019 fiscal year, starting on November 1st 2018, and ending on the 31st of October 2019. The date of our most recent report is the one related to our 2018 fiscal year available in our website.

SUSTAINABILITY STRATEGY AND DASHBOARD

Based on the results of our materiality analysis, we have identified three main axes to define our sustainability strategy:

DOING BUSINESS IN A RESPONSIBLE WAY. Ensure the compliance with ethical business practices across our entire value chain; bring sustainable services to market that positively contribute to our clients' environmental performance; and engage with the local communities where we operate.

ENSURING OUR TEAM MEMBERS' WELL-BEING. Contribute to the professional and personal development of our team members while ensuring a safe and healthy work environment.

MANAGING OUR ENVIRONMENTAL FOOTPRINT. Act consistently with our offering of sustainable services and continue to grow our environmentally friendly practices to manage the carbon footprint of our own operations.

SUSTAINABLE DEVELOPMENT GOALS CONTRIBUTION

ABM has performed an analysis on how its sustainability efforts contribute to the United Nations Sustainable Development Goals (SDGs) and intends to report its contribution to each of them across the different sections of this sustainability report. To perform the analysis, the company followed the Practical Guide for Integrating the SDGs into Corporate Reporting developed by the Global Reporting Initiative and the United Nations Global Compact.

We have identified and analyzed each specific SDG target that is related to the nature of our business and operations, evaluated its risks and benefits, and defined a bi-fold approach to map our contributions.

CONTRIBUTIONS THROUGH OUR OPERATIONS:

• ‍Good Health and Well-Being
• Quality Education
• Decent Work and Economic Growth

THROUGH OUR SUSTAINABLE SOLUTIONS PORTFOLIO:

• Affordable and Clean Energy
• Industry, Innovation, and Infrastructure
• Responsible Consumption and Production

DOING BUSINESS IN A RESPONSIBLE WAY

GreenCare - Our Portfolio of Sustainable Solutions for Our Clients' Facilities

As part of our sustainability strategy, ABM is strongly committed to adding value to clients through our sustainable solutions portfolio. Buildings represent a sizable portion of cities' overall greenhouse gas emissions inventories, so it must be a priority to operate them in a more environmentally friendly way. We aim to become a key strategic partner for our clients to achieve their sustainability goals. ABM has designed solutions to increase waste diversion rates from landfills, conducted energy efficiency retrofits, installed on-site renewable generation, and used green cleaning supplies.

We have built a strong reputation in part by continually striving to improve upon our client service offerings through the ABM GreenCare® program. As a member of the U.S. Green Building Council (USGBC), we also continue to offer specific products and procedures for buildings to maintain and improve their LEED certifications.

Our expertise in providing sustainable services:

• Our clients have saved more than 90,000 tons of CO₂e and 247,269.58 MWh of energy consumption through our Energy Performance Contracting services.
• We are one of the largest installers of electrical vehicle charging stations in the U.S. So far, we have installed more than 16,500 EV charging stations.
• Our green cleaning program has been implemented in more than 361 million square feet across our clients' offices. We have serviced over 450 USGBC LEED-certified and registered sites.

HOW WE HELP OUR CLIENTS TO FIGHT CLIMATE CHANGE

Helping Our Clients to Achieve Carbon Neutrality

• ‍Electrical Vehicle Charging Stations: As one of the leading installers of EV charging stations, ABM has installed more than 16,500 EV charging ports. ABM's partnership with multiple market leaders of EV hardware and network providers allows us to offer the first all-inclusive, affordable charging service plan to our clients.‍
• Electrical Fleet: ABM supports our client's' transition to electric vehicles. We are on top of the latest market developments in order to provide the cleanest transportation services to our clients.‍
• Solar panels and glass: We help our clients understand that solar has become a viable financial solution for companies. ABM enables facilities to benefit from the financial and environmental benefits of solar power generation and assists with the design, installation, financing, and operation of the systems.‍
• Energy Performance Contracting: As an accredited member of the National Association of Energy Companies, ABM improves energy efficiency across our clients' buildings, which reduces energy demand and the associated carbon emissions. Importantly, our all-in approach (compared to traditional facility upgrades) also helps clients lower costs for HVAC, mechanical, electrical, and lighting.‍
• Carbon capture and Storage: We offer carbon capture and recycle solutions for our clients to contribute to the circular economy and convert carbon into concrete.

Green Cleaning Program

ABM maintains a customizable, environmentally friendly cleaning program that helps clients achieve credit points under the USGBC LEED v4 Building Operations and Maintenance Green Building Rating System. We have partnered with our chemicals, paper, and equipment suppliers to provide products with green certification to our clients, such as the Green Seal, EcoLogo, Green Guard and the Forest Stewardship Council. ABM's janitorial team has also been trained to apply the company's standards and provide services that follow our clients' cleaning policies. These measures improve the indoor environmental quality and positively contribute to the health and productivity of building occupants.

Improving Waste Diversion from Landfill

ABM's waste management services have proven to increase our client's'waste diversion rates, reduce operation costs and achieve LEED and True Zero Waste certification credit points. We offer services like:

• ‍Waste audits: We help our clients identify current, true and potential waste diversion rates that will help determine costs and environmental savings from the implementation of different initiatives.
• Solid waste data tracking and monitoring: We can provide monthly-customized reports via KPI dashboards that highlight cost savings from program impacts and the resulting return on investments.‍
• On-site trash sorting program: Dedicated people on-site to pull out recyclable and compostable materials from landfill and end facilities recycle contamination.‍
• Program management and tenant engagement: ABM can provide customized programs signage, implement wast reduction and recycling initiatives, and promote best practices for waste disposal and personalized audits.

Our Expertise

• 16K+ EV chargers installed
• 361M+ square feet implemented by our green cleaning program
• 23% average energy costs and millions of dollars saved over the course of their contracts by our Energy Performance Contracting program in the public and private sector clients

A SNAPSHOT OF OUR CLIENT CASE STUDIES OF SUSTAINABLE SOLUTIONS

Green Apple Awards - Waste Management Services at Victoria Leeds

Victoria Leeds, a shopping and leisure area in England's Leeds City Centre, wanted to increase the recycling rate of its commercial facilities. To make this happen, ABM appointed a zero-waste champion to improve the facility's waste management procedures.

Thanks to initiatives led by ABM's zero-waste champion like retailers' engagement campaigns, programs to collect wasted coffee materials, optimized waste centralization efforts and installation of food digestors, Victoria Leeds increased to 97% its waste diversion from landfill, surpassing the company's original target of 90%. As a result, they won a Green Apple Award for efforts to improve waste diversion. Read the full case study here.

Achieving LEED Certification for JFK Terminal 4

Terminal 4 at John F. Kennedy International Airport is the first air terminal in the U.S. to be awarded the LEED Gold certification by the U.S. Green Building Council (USGBC) for the category of existing buildings. ABM's janitorial teamwas able to design and launch the ABM GreenCare™ program to achieve credit points in the certification's Indoor Environmental Quality section. Read the full case study here.

Reducing Southern California Federal Buildings' Energy and Operating Costs by Nearly $50 million

ABM has been contracted with GSA under a stand-alone Energy Savings Performance Contract (ESPC). The energy efficiency improvements implemented at GSA facilities included replacing retro commissioning heating and cooling equipment with state-of-the-art systems and low load chillers to provide more fresh air to the buildings occupants, updating building automation controls and installing LED lighting and solar windows, among others. Our solutions guaranteed GSA savings of at least $48.4 million in energy and operating costs over the next 20 years by reducing the building's energy use by 38%. Read the full case study here.

Contributing to the Circular Economy - Keeping Things in the System

In San Francisco, whenever we have a client that needs to get rid of bins due to a tenant move or because of the switch to centralized waste, we reach out to the San Francisco Unified School District to pick up the bins. That way, the bins are being reused and not tossed out for disposal. In total, we have donated more than 1,000 deskside bins, and the school district reported that all recycling bins are in the classrooms.

ABM'S SUSTAINABLE PROCUREMENT INITIATIVES

ABM uses strategic supplier partnerships to provide a capable, modern supply chain that allows ABM team members to receive the same products used to service our clients in the most responsible manner.

ABM's Supplier Code of Conduct - Using Environmental and Social Criteria for Screening Our Suppliers

We have established the ABM Supplier Code of Conduct to ensure that suppliers - including subcontractors that provide services directly to ABM's clients - uphold the company's policies. These requirements cover compliance with all applicable local laws, respect for human rights, environmental conservation, and safeguarding the safety of all of the products and services we provide.

Our suppliers shall maintain all required environmental permits and Safety Data Sheets, as well as keep a record of the solid waste, wastewater and air emissions generated by their operations. At the same time, they should strive to reduce all types of waste generation, including water and energy consumption, as an overall strategy to implement environmentally friendly business practices. In addition, ABM suppliers shall strictly prohibit any form of corruption, adhere to fair business practice standards, and comply with any applicable anti-corruption law.

Partnering With Our Suppliers For Sustainable Procurement Practices

We are constantly identifying new products and methods to operate more efficiently for our clients, while staying at the forefront of the most innovative sustainable practices. As an example, we have a strong relationship with Diversey, our industry leading chemical supplier. Both companies have partnered together to implement sustainability initiatives across all of ABM's value chain. Diversey's latest innovations in packaging and chemical concentrations have reduced ABM shipping volumes by an equivalent of 40 truckloads over 2019, which has offset about 362,000 kgCO2e of carbon emissions.*

‍Promoting Supplier Diversity

ABM recognizes the importance of maintaining supplier diversity. We are committed to providing minority-owned, women-owned, as well as disabled veteran-owned (MWDVE) businesses direct access to subcontractor opportunities and procurement bids. We strongly believe that a robust and diverse supplier base not only helps ABM's competitiveness in the marketplace, but also fuels the economic vitality across all sectors in our industry.

ABM Enterprise supplier diversity spend: $128M

ABM actively participates in supplier diversity initiatives. As an example, ABM has provided janitorial services to a large national client for several years now and has offered support to MWDVE enterprises in business development practices through ABM's mentoring program. Our extensive trainings and introductions to the latest cleaning techniques, supplies and equipment have all played a major role in the success stories where we subcontracted MWDVE companies.

OUR ETHICAL BUSINESS APPROACH

For more than 100 years, ABM has been committed to ethical business practices and we hold our suppliers to the same high standards. It is our policy to comply with all applicable laws and regulations where we operate and to conduct business activities in an honest and ethical manner.

Our Code of Business Conduct

Our Code of Business Conduct ensures that our principles of respect, integrity, collaboration, innovation, trust and excellence are applied through our operations, and that these values are aligned with our vision to lead the industry in the delivery of integrated facility service solutions. Our code covers topics including conflicts of interest, duty of loyalty, gifts and gratuities, bribery and corruption and harassment and discrimination, among others.

ABM is absolutely committed to fostering a professional and safe working environment. As part of our efforts to increase awareness on business ethics related topics, we provide a comprehensive training program for team members at all levels that fully complies and exceeds all federal and state law requirements. Also, team members are encouraged and instructed to use any of our reporting mechanisms if they encounter or witness any type of inappropriate behavior or have any concerns or complaints including our ABM compliance hotline administered by a third party. 98% of our staff and management team members completed training on our Code of Business Conduct

Our Human Rights Statement

ABM follows all international labor and immigration laws and does not tolerate the use of child labor, any acts of modern slavery, human trafficking, or other illegal, abusive, or forced labor practices. This includes compliance with internationally recognized laws and regulations in all locations where we operate, regardless of local business customs. We have taken significant steps to ensure that modern slavery and human trafficking are not taking place within our supply chain, and we do not tolerate forced labor or slavery in any form in any part of the business or supply chain.

We maintain a Modern Slavery Act Statement wherein ABM states its support to the Modern Slavery Act 2015. The company considers its team members as critical to its success and it is committed to operating free from forced labor, slavery, and human trafficking.

Our Data Protection Approach

ABM utilizes a multi-layer approach for identifying and addressing data risks. Utilizing tools that aggregate and then auto-remediate are the main focus of ABM where we are able to detect and remediate many risks within minutes. We use internal and external tools and resources to watch and respond to ID and data risks.

We have been at the forefront for ensuring full compliance with all the newest laws and guidelines brought from General Data Protection Regulation, California Consumer Privacy Act and all new guidelines and laws for personal information and retentions. ABM meets and, in many cases, exceeds those guarantees of protection against collection and retention of private information. During 2019, ABM has had Zero data breaches.

TAKING CARE OF OUR PEOPLE AND CLIENTS

ABM's mission to make a difference, every person, every day, is evidenced in our approach to risk management and safety. Our programs are designed not only to ensure compliance with Occupational Safety and Health Administration (OSHA) and other regulatory bodies, but also to protect the health and welfare of our team members, clients, and client's clients. The cornerstone of ABM's comprehensive risk management and safety program is safety awareness to ensure our team members are:

• Educated on how to complete tasks safely
• Proficient in emergency response procedures to immediately address challenges
• Trained in hazard identification
• Trained in reporting procedures to ensure appropriate loss mitigation techniques are implemented should a loss occur

Our ThinkSafe approach to safety includes establishing a safety mindset from day one of Team Members employment by focusing on ABM's Safety Absolutes. This safety culture is continuously reinforced throughout the Team Members journey through daily Moments for Safety messages, monthly training topics, and unique programs and materials created for our Team Members; like safety playbooks, which contain specific information about how to prevent certain types of work place injuries, how to proactively address potentially catastrophic situation such as hurricanes or tornadoes, and refreshers on the ABM's Safety Absolutes.

One of the cornerstones of our ThinkSafe program is to partner with operations to provide leaders the ability to identify workplace hazards and implement changes to prevent an accident or injury. Through ABM's "Frontline Leader Training", leaders are guided as to how to create a culture of caring with Leadership Engagement Tours (LETs) and Safe Work Observations Program (SWOPs) participation to help ensure the health and welfare of our Team Members and clients. The Frontline Leader Training also provides guidance on what to do should a claim occur to ensure Team Members receive the right care at the right time to expediate their recovery.

Health and Safety Policy

Safety at ABM starts with a strong partnership with Operations and a local presence. As such, the safety organization is comprised of Safety Managers embedded within our Industry Groups, though Safety does report centrally to the Vice President of Risk Management and Safety. This deployment of safety resources allows Safety Managers to create custom Industry Group solutions to safety challenges that arise out of Operations and to ensure all safety activities are aligned with ABM corporate goals and objectives. This approach allows the Risk & Safety group the ability to adapt our safety program to include client safety requirements and oversee the safety activities of subcontractors.

Increasing Awareness

ABM programs are designed to increase the safety acumen of our staff. We deliver tailored trainings to our Team Members based on their job requirements, hazards identified through site assessments, and OSHA and client mandated training topics. These topics are delivered through interaction with the Team Members Manager. They can be delivered via Moment for Safety messages in a pre-shift meeting, weekly safety briefings, and/or tailored safety programs for all service lines. These safety interactions are documented for regular safety audits and inspections, including on-site client reviews.

The Results

Safety programs for FY2019 produced the fourth consecutive year of claim frequency reductions. ABM's continued attention to safety and aggressive claim management has sustained our Experience Mod Rating (EMR) of .98 and an OSHA Frequency rate of 3.08.

For FY2019, ABM was issued four OSHA Citations of Serious and three Other than Serious General Regulatory. Corrective actions were implemented to address the issues outlined in the citations.

OUR GIVE BACK APPROACH COMMUNITY INVOLVEMENT

ABMCares Program

ABMCares is ABM's donation matching philanthropy program for all staff and management team members. This program encourages our team members to give back to their local communities and to engage in activities that contribute to their well-being. It is our aim to position charitable giving as part of our corporate identity and to spark interest in programs at the local level.

Through ABMCares, the company was highly involved with youth and hunger elimination programs in 2019. More than 3,500 hours of volunteering were related to these categories. Further, ABMCares has more than 30 ambassadors that support our local offices.

Some of Our Local Actions

• Assisting Less Fortunate Citizens Spartanburg, SC
• Helping Sheltered Dogs from the ASPCA
• NYC Team Plants Flowers in Financial District
• Helping Those in Need Montego Bay, Jamaica

Changing the Face of Technical Careers in the U.K. and Inspiring a New Generation of Young Talent with Our Junior Engineering Engagement Program

JUNIOR ENGINEERING ENGAGEMENT PROGRAMME (J.E.E.P.) aims to attract young talent into engineering and facilities management industries. The 2019 program was managed and delivered by the Transformation Trust through the spring and summer academic terms in partnership with ABM U.K.

This program aims to change perceptions of the facilities management industry, show students what a career in facilities management and engineering might look like and open their eyes to the variety of STEM-based career paths available to them. Sessions are delivered by professional facilitators who host the workshops and cover topics such as the facilities management industry, electricity services, sustainability, and the importance of eco-friendly products.

• 98.5% of students agreed that they knew more about facilities management following the J.E.E.P. program
• 87.5% of students feel that they understand more about the importance of sustainability after taking part in the J.E.E.P. program

ENSURING OUR TEAM MEMBERS’ WELL-BEING

ABOUT ABM TEAM MEMBERS

Our mission is to make a difference, every person, every day. We are serious about having a culture where each of our team members feel like part of a team, that they are trusted, listened to, trained, and rewarded.

"At ABM each and every team member matters. Delivering a safe workspace where our people feel valued and able to develop their potential is one of our main drivers to make a difference"

Andrew Block Executive Vice President, Chief Human Resources Officer

DEVELOPING OUR TEAM MEMBERS' POTENTIAL

Learning and Development Opportunities

ABM's team members are empowered to take ownership of their careers as they grow and develop. This is why we maintain a learning management system called The Learning Spot where we house all ABM-related training courses, videos, and reference material and other tools, such as a career development guidebook to support team members on growing and developing their careers at ABM.

Approximately 10% of ABM leadership and management level team members devote 15 hours to training, while 90% of ABM service-level team members devote 35 hours on average to training on an annual basis. Team members are provided awareness training monthly in addition to regulatory-related training pertaining to their jobs. We have mandatory training on annual harassment prevention and our Code of Business Conduct, and some of our management courses include using coaching as a leadership style; customer service, communicating and listening; time management and delegation; and human resource fundamentals. Over 34 courses in these areas were completed and more than 203 training courses were completed outside of the on-job training and operational trainings.

Grow. Perform. Succeed!

ABM is committed to fostering and environment in which every team member and his or her manager build a trusting and respectful relationship in which feedback and coaching are candid and frequent. Building this relationship is the essence of ABM's performance and development process, referred to as GPS - Grow. Perform. Succeed!. The objective of our HPS program is to ensure the development of inspirational leaders, to clearly cascade and align goals to focus the organization on priorities and to strengthen the communication with frequent and consistent talent conversations.

Continuing Education Conference

For over forty years, we have been building upon our success as a leader providing preventive maintenance and energy solutions for commercial, industrial, and institutional buildings. From the beginning, our goal has always been to make buildings more efficient, safe, and sustainable. As part of this, ABM hosts a Continuing Education Conference on an annual basis where the company features educational sessions, networking opportunities, a vendor showcase exhibition and awards, and recognition. Linc Service and TEGG franchises and ABM team members are encouraged to attend to learn topics like specialty LED lighting and retrofits, boosting client experience, accounting management, and basic protective relay maintenance among others.

U.K. Apprenticeship Program

Thanks to the Apprenticeship Levy introduced in the U.K. in May 2017, ABM has the ability to fully fund apprenticeships for our team members. Currently, 100 team members have completed apprenticeships on topics like business administration, cleaning supervision, property maintenance operative level, bid and proposal coordinators, and professional accounting.

INCREASING OUR TEAM MEMBER ENGAGEMENT

Team Member Engagement - YourVoice Program

At ABM, every voice matters. We completed for the first time the ABMVoice team member engagement survey as part of one of our 2020 vision goals, which was being able to implement changes that will improve our experience at the company. This engagement survey seeks to understand team members' engagement with their teams, work, and the organization. Team members were asked to rate 25 items on a scale from 1 (strongly disagree) to 6 (strongly agree). Overall, we found that ABM's team members are highly engaged. To help ABM focus on our efforts to increase engagement, the data showed that if focused on our Drivers of Engagement, ABM can increase our engagement.

We received more than 27,000 responses from our team members (60% of our team members with email and 17% of our service workers). As a result, we identified the following Drivers of Engagement (with favorability scores):

• ‍89% - I understand how my job helps ABM achieve success‍
• 81% - I believe ABM will be successful in the future‍
• 74% - The senior leaders of ABM demonstrate integrity‍
• 69% - The senior leaders of ABM value people as the most important part of the business‍
• 64% - I see professional growth and career development opportunities

Our Executive Leadership Team wanted the organization's leaders, down to the region level, to focus on our lowest favorability scores. ABM senior leaders value people as the most important part of the business and seek out professional growth and career development opportunities for them. Partnering with Human Resources, regional leaders identified actions to take to improve engagement in these key areas.

Our Back to the Floor Program

Every year, ABM U.K. runs a month of "Back to the Floor" where we encourage our people to experience a day in the life of our frontline team members around the U.K. The Board of Directors leads the way, spending time with our colleagues and gaining a greater insight into their day to day duties and the challenges they face. This year, our team members were working with technical cleaning teams in server rooms, PRM and cleaning operatives at airports, engineers servicing HVAC units, and more.

A DIVERSE WORKFORCE IS OUR COMPETITIVE ADVANTAGE

Equal Employment Opportunity

At ABM, we believe that a diverse workforce is essential to success. As a federal contractor, ABM is an Equal Opportunity and Affirmative Action employer in compliance with the requirements of the Executive Order 11246 of the Rehabilitation Act of 1973, and the Vietnam Era Veterans' Readjustment Assistance Act. We are committed to equal opportunity and affirmative action initiatives such as proactive outreach programs that create opportunities for all and foster a diverse, inclusive workforce.

We don't discriminate on the basis of race, religion, sex, national origin, age, color, creed, sexual orientation, disability, ancestry, marital, or veteran status or any other protected status covered by the law.

Our Diversity and Inclusion Efforts

Our Aviation team in the U.K. has joined the Valuable 500 group of companies. We have committed to introducing work experiences for young persons with disabilities and extending our supported internship program for young persons with disabilities.

We have Disability Confident Level 2 status and are committed To make this happen, we committed to the journey of achieving Disability Confidence Employer Status, which will see us embark on a range of initiatives to raise the standards of Passengers Requiring Support (PRS) services offered through staff training, partnerships with disability groups, and investments in new technology and specialist equipment.

We are also strategic founding partners to the #Purple LightUp movement which holds global celebrations on 3rd December each year - International Day of People with Disabilities. Samantha Saunders, our Head of Innovation and Regulatory Compliance is also a Global Ambassador for the moment. All these elements help us focus on ensuring that disabled team members' valuable contributions are recognized in the workplace, and to ensure the delivery of the best possible services for our disabled customers.

"I've been on this journey for four years and have met some of the most inspiring people which drives me to do more. If I can help everyone understand that it's only the environment that disables people, not their conditions. If we ensure that inclusion is at the forefront of our thinking when considering making changes to things like infrastructure or processes, we will create spaces and experiences which support everyone who uses them."

- Samantha Saunders

ABM UK Head of Innovation and Regulatory Compliance

ENSURING OUR TEAM MEMBERS' WELL-BEING

The health, wellness, and job satisfaction of our team members are vital to the continued success of our clients. That's why we deliver some of the best benefits in the industry. Team members gain health benefits, retirement, and financial benefits, and additional perks such as workers' compensation and paid holidays.

ABM's Plan Liability is $3,465,000 and Assets are $735,000. We also have $5.6M for a life insurance plan, but it is covered annually by including those team members in our general life insurance program. In addition, we have a 401K program where eligible team members (regular, active, and full-time and part-time team members not covered by CBA) can participate in the plan on the first month following the completion of six months of qualifying service. ABM will match 100% of the first 3% and 50% of the next 2% of the eligible compensation that a team member contributes up to the IRS-mandated annual maximum. The number of participants varies during the year; the current number represents approximately 20% of the eligible population.

ABM offers a comprehensive benefits package to meet the diverse needs or our full-time team members. The benefits offered include: medical, dental, vision, life and disability, and a 401(k) plan. Through our health plan partners, we offer the following benefits for covered team members and their families:

• Disease management programs, which assist team members in the management of their chronic medical conditions such as coronary artery disease, diabetes and congestive heart failure
• Telemedicine benefits
• COVID-19 testing and treatment, with waiver of copays aligned with best practices
• Transplant solution programs that provide specialized networks and support to team members requiring transplant services
• Health and wellness coaching programs, maternity support, care for diabetes, and legal preparation courses for will assistance, among others

Collective Bargaining Agreements

ABM respects team members' rights to associate freely and is committed to comply with all laws including adherence to minimum wage provisions of applicable laws and regulations including ABM's internal workforce and subcontractors. We are one of the largest sector unionized employers in the U.S. Approximately, 34% of our team members are represented by 250 active collective bargaining agreements.

These collective bargaining agreements are periodically renegotiated through bargaining with labor representatives. They also set terms of wages, benefits, and other terms and conditions of employment. For single-site collective bargaining agreements, ABM bargains directly with labor representatives and for area-wide agreements, ABM frequently bargains in a group of employers who are covered by the same agreement.

MANAGING OUR OWN ENVIRONMENTAL FOOTPRINT

Our Carbon Footprint

ABM recognizes the role we have that the company plays on limiting the impact of the environment. We are currently working on strengthening our environmental reporting processes and have increased the sites reporting and type of information we need.

During the 2020 fiscal year, we plan to commit to the Science Based Targets (SBTs) initiative that consists on setting a carbon reduction target in line with the 2015 Paris Agreement. Building on work done in previous years we will be setting these targets and setting a carbon reduction pathway with detailed actions.

ABM's overall carbon footprint increased by 1.44%. This can be explained by an increase in the use of natural gas and of the fuel consumption. On the other hand, we saw a slight decrease in the electricity consumption that can be explained by an increase in the procurement of renewable electricity at our U.K. sites.

Our Carbon Reduction Goals

ABM is seeking to reduce its metric tons of GHG emissions from its scope 1 and 2 per FTE equivalent by 15% from our 2011-year baseline (0.67 Tons of CO₂/FTE) by 2020. This includes purchased electricity, fleet fuel usage and natural gas used at our office locations.

During 2019, the company reduced by 0.3% its metric tons of CO₂e per FTE intensity reporting an intensity of 0.54 metric tons of CO₂e per FTE reaching and surpassing its carbon reduction goal. Because of this, the company will renew its targets in the short term and plans to commit with the Science Based Target initiative.

RISKS AND OPPORTUNITIES FROM CLIMATE CHANGE

In addition to mitigating the effects of climate change, ABM continuously evaluates the risks and opportunities that climate change represents for us and for our clients. Potential climate change impacts are identified, assessed and managed as part of ABM's enterprise risk review, which is reported to the Board of Directors. The company's management and its Board of Directors continuously monitor the company's risk profile, including with respect to climate-related risks.

Risks Related to Climate Change

• Policy, Regulations and Energy Prices

Our operations are subject to various federal, state, and/or local laws regulating topics such as discharge of materials into the environment or otherwise relating to the protection of the environment. As an example, ABM U.K. is subject to the climate change levy that requires the company to report its GHG emissions. Also, some of ABM's energy efficiency projects are subject to federal and state legislation and policies that support those kinds of projects.

Ineffective compliance with current laws and regulations could impact our reputation or generate financial fines that could increase the costs and potential liabilities associated with the conduct of our operations. To ensure compliance, we maintain an environmental policy that provides guidelines on discharge into soil, water, and air, and the generation, handling, transportation, and disposal of waste and hazardous substances.

• Technology

Peers implementing the latest cleaning and technical solutions related technologies can impact our contract retention and revenues. To manage this risk, ABM's Strategy department is constantly looking at the latest innovation trends to ensure we provide to our clients the best technology available in the market. Also, regarding our own operations, we have designed a roadmap to increase the electrification of our fleet.

• Market

Clients have expressed an increased interest for sustainability-related services that could help them to improve their sustainability performance, including reduction of energy consumption and waste generation. Inability to provide such services could impact our client retention rates. To manage this risk, ABM has put in place its GreenCare portfolio of sustainable solutions to help clients reach their green cleaning, zero waste, and carbon neutrality goals.

• Physical

Adverse weather conditions can lead to reduced travel activity and might impact service delivery at some of our client's locations that can generate increased operational costs. To manage this risk, ABM has designed contingency plans, business continuity plans, crisis management procedures, and disaster recovery procedures.

Opportunities Related to Climate Change

• Development and/or Expansion of Low Emissions Services and Products

An increase of clean energy and climate change-related regulations and incentives like rebates could generate an increase of demand of our sustainable services as they contribute to reduce our clients' environmental footprint. Also, as many of our clients are more actively managing their climate change risks, we may see increased demand for our lower emissions products and services. Many more companies are responding to the Carbon Disclosure Project (CDP) and making commitments to the Science Based Targets.

ABM has worked hard to be up to date on the latest sustainability trends and client industry regulations to ensure that the company can identify the right opportunities and generate added value through our portfolio of sustainable services. Through our GreenCare program, we have the greatest opportunity to help our clients reduce their environmental footprint with solutions like green cleaning services, energy efficiency services, on-site renewable energy generation, installation of EV chargers and sustainable parking solutions among others.

• Physical

Although weather conditions may lead to increase costs as described above, some weather events might create opportunities for increased services related to clean up and restoration; severe weather situations can also impact our operations in the affected areas related to our offices and our clients' locations. This could lead to an increase of our tag work and therefore impact positively our sales.

GREENING OUR FLEET

As a company that provides transportation services and operates a significant fleet, we are conscious of the environmental footprint that these sources of emissions generate. This is why we are engaged in measuring and reporting the emissions coming from our fleet of 3,400 vehicles comprising of light, medium and heavy trucks, minivans, passenger cars, forklifts and trailers among others.

We have started to make a transition to more sustainable fuels or vehicles including hybrids and electric vehicles. We are currently developing a roadmap and public commitment to implement a transition to a more sustainable fleet. So far, we have evaluated the vehicles eligible for transition based on available market options. As the market evolves, we expect to continue the transition with more of our vehicles.

WHAT WE ARE DOING TO REDUCE OUR ENVIRONMENTAL FOOTPRINT

At ABM we are committed to reduce the climate change impact of our operations and we are currently working on aligning our reduction efforts with climate science based on the COP 21 agreement that intends to keep the increase in global average temperature to well below 2° C or 1.5° C if possible. While we work on setting a Science Based Target, we still have an ongoing commitment to reduce our metric tons of CO₂e per FTE equivalent by 15% from our 2011 base year.

It is our aim to bring consistency between our goal of supporting our clients in their transition to a low-carbon/net-zero economy and the way we manage our own business operations to reduce our environmental footprint. We acknowledge the importance of being proactive as a leader of our industry and to set up strategies to reduce our carbon footprint.

In the short term, we plan to publicly launch our Science Based Targets commitment and we will be joining the widely adopted best practices to increase the electrification of our fleet. Also, we will be developing a renewable energy procurement strategy for the sites we can directly control and scaling to other offices our waste management pilot that includes proper separation of waste and composting at our main offices.

Some of the measures we have implemented so far are:

• Office consolidations: some of ABM's offices are being consolidated and therefore we have substantially reduced duplicated heating and cooling, use of electrical devices, and lighting requirements.
• Renewable energy procurement: The majority of our offices in the U.K. purchase renewable electricity considerably reducing their carbon emissions.
• Real Estate development: when opening new offices and upgrading current ones, we always seek for opening planning when possible to reduce the amount of construction and overall footprint by not having to provide HVAC to a multitude of spaces, increase the amount of daylight and reduce electricity demand.