Our Environment

As part of our commitment to understanding the impact our operations have on the environment, in fiscal 2018 we will be using The Greenhouse Gas Protocol, prepared by the World Business Council for Sustainable Development and the World Resources Institute, to conduct a greenhouse gas emissions inventory. We will use that inventory to prepare a feasibility report assessing our ability to achieve net-zero greenhouse gas emissions from our operations and electricity use. Following its completion, we will provide an executive summary of the report on our website.

A core part of our business is the renewal of used cars, and we improve the quality and lifespan of all of the used cars we retail.

We’ve also developed programs to reduce and recycle our waste. Here are a few examples:

• Each year we recycle more than five million pounds of everyday products such as cardboard, plastics, and cans.
• We recycle some of the waste generated by our vehicle reconditioning and service operations. This includes more than 270,000 tires (that can be used in many ways such as for rubberized asphalt to repave roads) as well as battery cores, and used motor oil and oil filters.
• We work to minimize environmental impact during new construction by working with vendors to reduce the amount of construction waste that goes to local landfills.
• We have generally eliminated lead wheel weights from our reconditioning processes and recycle the lead weights that are removed during wheel balancing.
• We reclaim and recycle PCs, monitors, and servers.

Our commitment to minimizing the amount of energy needed to operate our stores includes these energy conservation measures:

Energy Star

We are an active Energy Star partner and utilize their recommended energy management and analysis principles to identify reduction opportunities.

Harnessing the Power of the Sun

We stay informed about the latest innovations in renewable energy and employ alternative energy technologies, such as:

• Solar power
• Electrical energy is created using photovoltaic panels in some of our stores, resulting in substantial energy savings and reduced demand on the grid.
• Solar water heating
• We are currently testing solar water heating for our stores. These systems absorb the sun’s energy into our hot water system, creating hot water and reducing the need for conventional water heating methods.
• Sunlight harvesting
• CarMax stores have skylights and large storefront glass to let natural lighting into showrooms.
• CarMax production shops have skylights to allow natural light in as well.
• The energy needed to light our stores is minimized by monitoring natural light levels and reducing artificial light power by the use of automatic dimmers when there is enough sunlight.

HVAC systems are designed to ensure our buildings are healthy, comfortable, and use the least amount of energy possible.

• Multi-stage heating and cooling systems allow us to match energy output with store needs.
• Innovative energy recovery wheels in the heating and air conditioning systems at stores built since 2013, allow us to heat or cool spaces using less energy than conventional systems.
• Multi-speed fans reduce the energy needed to heat, cool, and ventilate stores.
• Waste heat dehumidification allows us to dry humid air using less energy.
• Demand control ventilation provides the right amount of fresh air to the building based on the number of people in it, which reduces over-ventilation and saves energy.
• Our facilities team maintains our equipment in good condition and replaces units that are inefficient and outdated or not operating correctly.

Every CarMax store features an energy management system which tracks and optimizes energy usage by adjusting building conditions to match occupancy, weather conditions, and seasonal changes.

• Access to real-time performance
• Data analytics allow us to identify operational issues and correct them quickly.
• We utilize remote commissioning. Monitoring the operation of HVAC units allows us to ensure they are operating correctly to keep our associates and customers comfortable. This also allows us to adjust the settings to maximize energy savings.
• Powering down during off hours
• Air compressors, vacuums, and other equipment are automatically turned off when not needed.
• Computer equipment is scheduled to turn off automatically during non-business hours.
• Non-essential lights are turned off after hours.

• Artificial light sources for new stores and sales lots are enhanced by the use of various energy-efficient bulbs, including high-output fluorescent (T-5), Pulse Start Metal Halide, and Light-Emitting Diode (LED).
• We retrofitted most of our stores with new interior lighting to include high-output fluorescent (T-5) and LEDs.
• We retrofitted our exterior lighting system with LEDs on 5 stores, which greatly reduced our energy consumption. This is like removing 86 cars from the road each year.
• 70% of our stores opened since 2013 were built with exterior LED fixtures, and, beginning in fiscal year 2019, 100% of our stores will have exterior LED fixtures.
• In the future 100% of the service areas will have interior LED fixtures.

The design of our stores has been optimized for function and size, which reduces construction materials, maintenance, cleaning supplies, and energy use throughout the life of the building.

Leadership in Energy and Environmental Design (LEED) Certification

• The following stores are certified LEED to date:
• Chattanooga, TN
• Des Moines, IA
• Gaithersburg, MD
• Pleasanton, CA
• Our corporate office in Richmond, VA, was certified LEED Silver.

Sustainable Design and Construction

CarMax has integrated LEED principles into all our store designs and construction practices, including:

• Whole store commissioning to ensure they operate as designed
• White Thermoplastic polyolefin (TPO) reflective roofs, which reduces cooling energy use and heat island effects