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                        Sustainability Report

                        At Microchip Technology Incorporated (Microchip), our vision to be the leading supplier of embedded control solutions includes a corporate commitment to acting in an ethical and responsible way. Our focus on environmental and social responsibility, transparency, and engagement guides our decision-making processes and helps keep us accountable as we continuously improve all aspects of our business.

                        Microchip Technology Incorporated is pleased to introduce Microchip’s 2018 Sustainability Report, detailing its annual environmental and social performance and sharing selected activities that highlight key workplace and community activities. This is the sixth such report that Microchip has published and an ongoing reminder of our commitment to transparency and disclosure.

                        Our Company

                        Our commitment to environmental and social responsibility is grounded in a commitment to integrity and ethics. A system of corporate governance laws, regulations, and policies guides our Board of Directors and top executives and sets the stage for compliance at all levels of the organization.

                        We are proud members of the UN Global Compact, a voluntary initiative based on CEO commitments of member companies to “align strategies and operations with universal principles on human rights, labor, environment and anti-corruption, and take actions that advance societal goals.” As part of our membership, we publish an annual sustainability report that communicates our progress against those principles. This report describes our accomplishments over the previous calendar year.

                        Our Employees

                        Training and education are key elements in making Microchip a great place to work. One important component of our approach is an emphasis on peer learning. In 2018, almost 772 managers and employees were involved in delivering practical leadership and technical training to their peers. The opportunity to "share what you know with your co-workers” fosters a sense of pride within our workforce, as well as an expectation for continuous learning.

                        Our efforts were once again recognized when Microchip was named to Training magazine’s “Top 125” for our employee training programs. We were also recognized by community organizations in Austin, Phoenix, New York, and California’s Bay Area as a top place to work.

                        Our Products

                        We specialize in high-efficiency semiconductor microcontrollers, and analog, wireless, security, timing, discrete, and human-interface products. These products are enabling technologies that are vital for allowing our customers to design and manufacture environmentally preferable products.

                        Microchip provides innovative solutions to our customers and partners including extremely low-power devices that significantly reduce energy or battery consumption for use in wearable/portable products with limited power sources, LED lighting applications, and highly efficient motor control applications. We provide single-chip monitoring solutions for solar inverters, smart lighting and cloud servers, as well as temperature sensors for commercial buildings, smart homes, and energy monitoring.

                        We see the continued development of high-efficiency products to be central to the future of both our company and the global economy. Microchip innovates with sustainability and energy efficiency in mind. Our focus on research and development provides customers with an outstanding portfolio of environmentally preferable options and makes us a supplier of choice for environmentally conscious customers.

                        Our Supply Chain

                        We are committed to be a responsible corporate citizen, acting ethically and transparently in accordance with local laws, national legislation and industry standards. Microchip sets minimum compliance expectations for our supply chain partners including working conditions, health and safety, human rights, conflict minerals, and the environment.

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