AMBITIONS

Environment Employees Community

We are committed to the environment and to help fight against global warming. In everything we undertake, we strive to reduce our ecological footprint.

We have a recruitment policy aimed at attracting a diversified and talented group of people who share our TOP values. We aim for long-term employment and offer our employees a pleasant, challenging, inspiring and safe working environment.

We actively take up our social responsibility. We guarantee ethical business practices throughout the organisation. With our Foundation for Education we support educational projects and help build a future for generations to come.

Governance And Reporting

Lotus Bakeries’ ‘Care for Today, Respect for Tomorrow’ sustainability strategy is the responsibility of the Executive Committee (EXCO).

The EXCO reports regularly to the Board of Directors on the different priorities and actions. In addition to various HR topics and the cybersecurity strategy, given the geopolitical and macroeconomic developments, the availability of raw materials and the energy policy were also high up on the agenda.

In order to increase transparency in our reporting, we have been publishing a GRI report since 2021 that can be found on our website: https://www.lotusbakeries.com/reporting-disclosure

The GRI report is part of the ESG compilation report. This full report can also be found on the Lotus Bakeries website: https://www.lotusbakeries.com/reporting-disclosure

Top 20 Sustainability Priorities

A materiality assessment helps determine which topics are important to both the company and its stakeholders. It is important to also involve our stakeholders in our sustainability ambition and programme and to give them input. Lotus Bakeries conducts a full review of sustainability priorities on a periodic basis to ensure that all developments are reflected both inside and outside the company. The starting point was a questionnaire that was based on the pillars and existing priorities of our sustainability programme on the one hand and, on the other hand, was inspired by developments and priorities within the broader sustainability domain. These questions were submitted to a relevant group of stakeholders and the EXCO.

The materiality assessment thus defined the following top 20 sustainability priorities. The relevance and importance of these topics are confirmed on a periodic basis and updated as necessary.

Top 20 sustainability priorities

Environment

• Procurement and traceability

• Energy consumption

• Waste reduction

• Climate change

• Water consumption and treatment

Employee

• Corporate culture

• Diversity

• Employee well-being

Community

• Food safety

• Financially sound company

• Long-term strategy

• Taste experience

• Balanced product portfolio

• Nutritional aspects

• Consumer packaging

• Corporate governance

• Education for all

• Sustainability reporting

• Code of Conduct

• Local involvement

Un Global Compact Of The United Nations

In March 2021 Lotus Bakeries was accepted as a member of the UN Global Compact of the United Nations. The UN Global Compact is a global sustainability initiative for businesses set up by the United Nations. As a result, Lotus Bakeries is committed to upholding the Ten Principles1 of the United Nations in the area of human rights, working conditions, environment and anti-corruption and to ensure they form part of its strategy, culture and daily activities. Lotus Bakeries is also committed to supporting projects that promote the broader development goals of the United Nations, in particular the 17 sustainable development goals or SDGs. Our participation in the UN Global Compact also means that we renew our commitment annually and report on the progress of our efforts to implement the Ten Principles.

Sustainable Development Goals of the United Nations

Lotus Bakeries uses the Sustainable Development Goals (SDGs) of the United Nations as a framework and guide in determining its sustainability strategy, its priorities and its action plans. The SDGs were adopted by the General Meeting of the United Nations in 2015 and consist of 17 goals, to be achieved by 2030.

As a business our contribution focuses on those goals on which we as Lotus Bakeries can have the greatest and most direct impact. The SDGs that are directly supported by the priorities we have set in our sustainability strategy are set out in the discussion of the three pillars further in this chapter.

1 Businesses must support and respect the internationally proclaimed human rights; Businesses must ensure they are not complicit in human rights abuses; Businesses must uphold freedom of association and the right to collective bargaining; The elimination of all forms of forced or compulsory labour; The effective abolition of child labour; The elimination of discrimination in respect of employment and occupation; The supporting of a precautionary approach to environmental challenges; Undertaking initiatives to promote greater environmental responsibility; Encouraging the development and diffusion of environmentally friendly technologies; Businesses should work against all forms of corruption, including extortion and bribery.