MATERIALITY

[102-21] [102-44] [102-46] [102-47] [102-49]

The eight material issues that make up our matrix are the result of the process of identifying, evaluating, and prioritizing relevant topics that may affect our generation of value in the short, medium, and long term. Approved by our Executive Board in 2020, our materiality matrix was developed based on the issues that most impact our business, using our stakeholders as a reference. Our materiality was reviewed in accordance with the Reporting Principles of the GRI Standard (Global Reporting Initiative Standards) and aimed to: - Understand our impacts, risks, and opportunities in relation to these topics;

- Improve our vision as to how the company generates value;

- Increase transparency, with more ample communication of the most relevant topics to our stakeholders, for a better assessment of our performance; and

- Evaluate whether, based on changes in the context of the period, there were changes in material topics.

The selected topics were those that reflect significant impacts, whether they are environmental, social, economic, or influence the assessment and decisions of stakeholders, whether through our own activities, products, and services, or as a result of our business relationships with other entities. Additionally, during 2021, we observed the main manifestations of our stakeholders to assess the relevance of making adjustments or not to the material issues that have been guiding our strategy, management and reporting.

>> Information on the statements received from our stakeholders can be found in the chapter on Active and Transparent Communication.

In this process, no new recurring topic was noted among the stakeholders or a lack of interest in any previously mapped topic, with no need to change our materiality. On the other hand, we observed that some topics, even if not recurring, deserved space in our report to meet the specific needs of some stakeholders. An example of this was the statement by investors for our report that included indicators from the Sustainability Accounting Standards Board (SASB), as well as the material topics of the methodology. Knowing that the GRI methodology for defining topics considers multi-stakeholder listening, we did not change our materiality, as it was faithful to the standard. On the other hand, in line with transparency, we have included indicators related to the SASB material topics that are most appropriate for our organization, demonstrating our diligence and management regarding these topics and our respect for these specific stakeholders. This concern was not limited to just serving investors. We have included some non-material topics in our report to also meet the specific interests of the following audiences: communities in coverage areas, trade associations, media, Civil Society Organizations (CSOs) and the internal public.

>> Information regarding the additional topics requested by our stakeholders can be found in the chapter on Active and Transparent Communication.

In this way, our materiality continues to include the eight topics mentioned in the figure above, but our report also presents complementary topics that meet these specific demands. They include: - Corporate Governance

- Public Policies, Initiatives and Associations

- Biodiversity

- Water Resources, Effluent and Waste Management

- People Management

- Human Rights