Sustainability Report 2023

Perspective outside-in Perspective inside-out RISKS OPPORTUNITIES NEGATIVE IMPACTS POSITIVE IMPACTS for the COMPANY on the ENVIRONMENT and SOCIETY SOCIAL RESPONSIBILITY 2 • New partnerships with associations or institutions may result in damage to the image if the management or implementation of projects is not carried out in a responsible manner; We reduce this risk by working with reputable organizations and organizations with which we have long-term partnerships • Developing the company's image and reputation • Contributing to the stability and development of our business by ensuring a high level of well-being of the communities in which we operate • The inefficient management of this material aspect or the non-involvement of the private sector in such initiatives leads to the establishment of a business environment that does not support the improvement of the environment and society • Increasing the quality of life for vulnerable social Groups • Contributing to the continuity of the work of NGOs dedicated to social causes • Through our involvement in social projects internally and externally, we contribute to the economic well-being of community stakeholders • With CSR projects launched in the community (internal and external), especially those related to environmental awareness (but not limited to these), we contribute indirectly or directly to the reduction of environmental impact in local communities LOCAL COMMUNITIES 3 • Pressure from some stakeholders to invest in local infrastructure projects (given PENNY Romania’s positioning in terms of regionality and locality) • Increasing the company's image • Concluding long-term partnerships with reputable associations • Identifying the specific needs of local communities and developing specific projects • Inefficient management of this material aspect or the non-involvement of the private sector in such initiatives delays the sustainable development of local communities • Contributing to the improvement of living conditions in local communities, especially in disadvantaged ones • Promoting the concept of resilient and healthy communities EDUCATION AND AWARENESS 4 • Allocating significant resources to implement workforce training initiatives without being able to benefit from skilled labor once the initiatives are completed • Investing in the development of a competent workforce through dual education programs (potential for team expansion) • Inefficient management of this material aspect or the non-involvement of the private sector in such initiatives can lead to the preservation of the trends of increasing school dropout • Contribute to the systemic transformation of educational institutions and teaching focused on the skills of the future, thus developing future generations that are more educated and qualified for the labor market • Supporting disadvantaged social Groups by providing education 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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