Sustainability Report 2023

Product control and monitoring In our stores and logistics centers, product safety has the highest priority in all the categories we sell, whether it is food or non-food products. We understand that our customers rely on us to provide products that are safe for use and consumption, and we take this responsibility very seriously. We have implemented various measures to ensure that our products meet the highest safety standards. We operate in accordance with the HACCP food safety management system. By prioritizing product safety and quality, we aim to gain the trust of our customers and maintain a positive reputation in the market. To ensure product quality and safety, we carry out internal and outsourced testing in addition to vendor testing. The evidence is examined by independent laboratories testing specific technical and chemical parameters. We also rely on our quality management team and external auditors to implement the related procedures and assess the relevant indicators. In our logistics centers, we apply comprehensive quality control procedures for the acceptance of fresh food, such as fruits, vegetables, and fresh meat. It involves evaluating different parameters to determine quality issues, such as cold chain temperature violations and inconsistencies in the appearance and smell of products. Only products that pass all ratings are made available for sale. The quality requirements to be met by the supplier throughout the duration of the collaboration are set out in product specifications for all private label products. Compliance with quality and food safety standards is regularly monitored by testing products in independent laboratories that are authorized and certified. The type and frequency of analytical controls – which include physicochemical, microbiological, toxicological, and sensory analyses – are determined by the Quality Management department, based on a risk assessment. The inspection plan is constantly reviewed and updated to meet the latest requirements The analytical controls shall be carried out according to the following scheme: z In 2023 we increased the frequency of analyzes according to categories, brand, so that all fresh meat products were analyzed up to four times a year, and dry products were analyzed up to twice a year. z For all products that have recently been added to our offer, we require suppliers to provide a certificate of marketability. This is a document issued by an independent entity in Romania, which certifies the compliance of the product with the standards in force, based on the evaluation of sensory characteristics, physicochemical and microbiological parameters, according to current legal requirements. Our specialists also periodically carry out sensory checks (tastings) to ensure our quality standards. At the same time, we follow the laboratory testing and verification program of all private label products. This process plays a leading role in quality management and allows us to set specific requirements for our private label products, across their entire value chain: raw material – recipe and labelling – packaging. TESTING OF NATIONAL PRIVATE LABEL PRODUCTS 2022 2023 Number of private label products sensory evaluated 3 275• 2 473 Private label products analyzed in the laboratory 1 538• 1 818 Number of private label products that required sensory or compositional improvements 10 23 • Updated indicator: following the review of the data and the conclusion of the internal reporting statements, the values declared in the previous sustainability report have been updated During the reporting year, 31 private label products were withdrawn from sale, representing 17.5% of the total number of withdrawn products, the rest concerned suppliers' branded products. SUSTAINABILITY STEP BY STEP CORPORATE GOVERNANCE AND BUSINESS SUSTAINABLE ASSORTMENT ENERGY, CLIMATE AND RESOURCES EMPLOYEES AND SOCIETY GRI & SASB INDEX ASSURANCE OF SELECTED NON-FINANCIAL INDICATORS

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