A year in review Economic / Governance Environment Social Appendix Climate change Capital goods Disclosure 305 – 3 Capital goods figures increased by 8% in 2021 compared to Other indirect (scope 3) GHG emissions the base year 2015 despite an important reduction of 23% GHG emissions (tonnes) 2015 (restated) 2020(restated) 2021 between 2020 and 2021. This reflects changes in the amount Purchased good and services 1,917,037 1,901,374 1,902,794 of capital expenditure modelled. With a spend-based model Raw materials 1,691,701 1,676,242 1,677,400 on secondary data, it is not yet possible to reflect specific Other Indirect materials & services categories (excluding existing categories) ¹ 146,856 132,686 133,055 supplier performances in this category. Packaging 78,480 92,446 92,339 Fuel- and energy-related activities Capital goods ¹ 51,722 72,797 56,003 (not included in scope 1 or 2) Fuel and energy related activities 105,744 68,001 36,349 Upstream transportation and distribution 29,674 42,320 39,990 In fuel- and energy-related activities, we have made good Waste generated in operations 19,321 22,644 24,084 progress since 2015 with an absolute reduction of 66% due to the Business travel 24,461 12,587 1,794 increase in the supply of renewable electricity. This is excellent Employee commuting 21,516 20,454 13,277 progress, and we are continuing efforts to reach 100% renewable Downstream transportation and distribution 54,615 56,099 65,297 energy sources, which will again reduce our scope 3 in this Outbound product to customers 39,503 38,172 42,343 category. We can also mention that the reduction of intensive Outbound intercompany deliveries 15,112 17,927 22,954 electricity energy sources like coal supports the reduction of scope Total 2,224,090 2,196,276 2,139,587 3 emissions and is aligned with our overall climate journey. 1. These two categories do not include data for the recent acquisitions of Naturex, Vika and drom. Upstream and downstream transportation and distribution In 2021, we increased the total absolute emissions for transport by 25% compared to 2015. An important increase of 7% took Disclosure 305 – 6 Disclosure 305 – 7 place between 2020 and 2021. This is related to the COVID-19 Emissions of ozone-depleting substances (ODS) Nitrogen oxides (NOX), sulphur oxides (SO₂), and other pandemic and the logistics situation, which required the use of significant air emissions 2020 carbon-intensive modes of transport to mitigate potential (restated in 2021) ¹ 2021 ² 2020 disruption in supply. With about 5% of our total scope 3 CFC inventory (kg) 7,639 3,881 (restated in 2021) ¹ 2021 ² emissions coming from transport, this is a topic we integrate CFC 11 equivalent inventory (kg) 783 574 Nitrogen oxides – NOₓ (tonnes) ³ 66.71 69.28 into our carbon reduction management approach. CFC loss-replacement (kg) 765 526 Sulphur dioxide – SO₂ (tonnes) ³ 96.84 98.37 CFC 11 equivalent loss/ Volatile organic compounds We are assessing ways to reduce our footprint through, for replacement (kg) 42.08 28.91 (tonnes) 1,018 1,069 example, consolidation and distribution network design. We 1. Assured 12-month rolling figures (Q4 2019 to Q3 2020) for values 1. Assured 12-month rolling figures (Q4 2019 to Q3 2020) for values are also assessing opportunities to switch modes of transport, excluding the acquisitions of Naturex, Vika and drom sites. These latter excluding the acquisitions of Naturex, Vika and drom sites. These latter figures have been included in the reported values, but have not been figures have been included in the reported values, but have not been but such changes impact the whole value chain and operation assured by the third-party auditor. assured by the third-party auditor. strategy. Time and careful assessment are needed to make See the "Restatements of information" section for restatements. See the "Restatements of information" section for restatements. 2. Assured 12-month rolling figures (Q4 2020 to Q3 2021) for values 2. Assured 12-month rolling figures (Q4 2020 to Q3 2021) for values sure improvements are implemented to last and show long- including the acquisitions of Naturex, Vika and drom sites. including the acquisitions of Naturex, Vika and drom sites. 3. Q uantity is calculated by multiplying the annual fuel consumption by the term reduction. The challenge is to integrate these actions into corresponding emission factor for fuel type. 60 Givaudan — 2021 GRI Sustainability Report