Fraser & Neave Holdings Bhd Sustainability Report 2021

At F&N, we have integrated sustainability metrics which are aligned with F&N Group targets into all executives’ annual variable compensation (including senior management) in the below areas: • Environment - Energy, Water Stewardship • Social – Employee Safety, Health & Well-being, Human Capital Development Sustainability metrics are weighted at 15% of the annual variable compensation plan. F&NHB Sustainability Management Committee #SMC$: 1 Lim Yew Hoe (Lead)* Chief Executive O+cer 2 Lai Kah Shen* Director, Finance/ Chief Financial O+cer 3 Suchit Riewcharoon Managing Director, F&N Dairies (Thailand) Limited 4 Graham Lim Managing Director, Commercial Operations (Peninsular Malaysia) 5 David Hoong Cheong Wai Senior Director, Human Capital 6 Dr. Yap Peng Kang* Senior Director, Manufacturing & Procurement 7 Timothy Ooi Aik Tuan Director, Group Legal Counsel & Company Secretarial 8 Karen Tan Chui Chui** Director, Communications, Corporate A*airs & Sustainability 9 Dato’ Ra!q Md Ari% Director, Government & Industry Engagement & Halal A*airs 10 Waradej Patpitak* Director, Manufacturing & Supply Chain, F&N Dairies (Thailand) Limited 11 Kelleigh Foo Chooi Kian Senior Manager, Risk Management & Corporate Strategy Sustainability is embedded in F&N’s culture. The Board has the overall responsibility for sustainability and incorporates ESG issues in the formulation of F&N Group’s strategy. The Board’s Charter sets out their responsibility to “include strategies on economic, environmental and social considerations underpinning sustainability.” Hence, our Board ensures sustainability principles guide F&NHB’s long-term business direction, and they have ultimate oversight of all sustainability issues. Our Board’s Sustainability and Risk Management Committee (SRMC) ensures sustainability risks and opportunities are considered at the highest level of the F&N Group by providing oversight and by approving strategic initiatives and policies for the sustainability agenda of the company. The SRMC meets quarterly and receives regular updates on the Group’s sustainability agenda with the following members: Madam Tan Fong Sang (Chairperson), Dato’ Jorgen Bornhoft (member), Mr. Hui Choon Kit (member) and Puan Aida binti Md Daud (member). At the board level, the SRMC maintains a close relationship with the Audit Committee. The Audit Committee assists the Board in reviewing and monitoring the integrity towards the Group’s reporting process, the system of internal controls, audit process and compliance with legal and regulatory matters. Headed by the Chief Executive O+cer (CEO), the F&NHB Sustainability Management Committee (SMC) then translates the overall direction into specific policies and goals for functions. The SMC team works in alignment with the Sustainability Development Committee (SDC) at the F&N Group level, headed by the CEO of Non-Alcoholic Beverages, Fraser & Neave Limited. The team comprises Chief Executive O+cers and senior executives across various functions for considering, planning and embedding sustainability development matters. SMC is supported by the Sustainability Development Working Team (SDWT), which consists of cross-functional representatives who take on the various roles of the Sustainability Reporting Secretariat, Pillar Heads and Sustainability Initiative Champions, and Data Owners. Together, they monitor the progress towards designated goals, drive initiatives at an operational level, identify challenges in performance and gather data for reporting. GOVERNANCE AND ETHICS SDG 16: Peace, Justice and Strong Institutions * F&N Group Sustainability Development Committee ** F&N Group Sustainability Reporting Secretariat Responsible Business Practice 043 Fraser & Neave Holdings Bhd ! Sustainability Report 2021