ESG Dart Korea

Key Issue	Index	2018	2019	2020	2021	Note
General Information	Net income (billion won)	3,340.9	3,918.3	5,077.9	9,653.4	based on Consolidated Comprehensive Income
General Information	Total number of employees	2,272	2,394	2,396	2,397
Global Initiatives	UN Global Compact	-	-	-	-
General Information	TCFD	-	-	✓	✓	2021 Samsung Securities Report P 120-123
Global Initiatives	SASB	-	-	✓	✓	2021 Samsung Securities Report P 117-119
Global Initiatives	SBTi	-	-	-	-
Global ESG Ratings	S&P Global (DJSI)	World	World	World	World	included for 12 consecutive years
Global ESG Ratings	MSCI	B	BB	BBB	A
Global ESG Ratings	CDP_Climate Change	-	-	-	Participated
Global ESG Ratings	KCGS	C	B+	B+	A
Global ESG Ratings	KCGS (E)	B	B	B	A
Global ESG Ratings	KCGS (S)	A	A	A+	A+
Global ESG Ratings	KCGS (G)	C	B	B	B+
Departments responsible for ESG-related Issues	ESG issues	✓	✓	✓	✓	Strategy Planning Team
Departments responsible for ESG-related Issues	Business ethics	✓	✓	✓	✓
Departments responsible for ESG-related Issues	Compliance	✓	✓	✓	✓
Departments responsible for ESG-related Issues	Health and safety	-	-	✓	✓
Departments responsible for ESG-related Issues	ESG risks	-	-	✓	✓
ESG Management Framework	ESG strategy and management of KPIs	✓	✓	✓	✓
ESG Management Framework	Management of ESG risks	✓	✓	✓	✓
ESG Data Disclosure	Corporate Report	✓	✓	✓	✓	2021 Business Report
ESG Data Disclosure	Sustainability Report	✓	✓	✓	✓	2021 Samsung Securities Report
ESG Data Disclosure	Corporate Governance Codes	✓	✓	✓	✓	Corporate Governance Code revised on 2021. 5. 28

Key Issue	Index	2018	2019	2020	2021	Note
Policy	Policy and Strategy	-	-	✓	✓	Sustainable Business Guidelines P 22
Policy	Management by objectives	-	-	✓	✓	2021 Samsung Securities Report P 45
Policy	ISO 14001 Certification	-	-	-	✓	Initial certification in 2021 (100%)
Greenhouse Gas Emissions	Scope 1&2 emissions (tCO2eq)	1,413	1,278	1,288	1,427	2021 Samsung Securities Report P 56
Greenhouse Gas Emissions	Scope 1 emissions (tCO2eq)	848	710	654	622
Greenhouse Gas Emissions	Scope 2 emissions (tCO2eq)	565	568	634	805
Greenhouse Gas Emissions	Scope 3 emissions (tCO2eq)	510	491	236	208
Energy	Non-renewable energy consumption (MWh)	5,266	4,591	4,545	4,785	2021 Samsung Securities Report P 56
Energy	Amount of renewable energy purchased and produced (MWh)	0	0	0	0
Water	Water usage (m3)	22,083	20,938	19,909	19,573	2021 Samsung Securities Report P 57
Use of Raw Materials	Piped gas usage (m3)	212,178	176,473	169,912	161,382
Use of Raw Materials	Amount of gasoline consumed (L)	169,546	141,354	123,993	122,297
Use of Raw Materials	Amount of diesel consumed (L)	3,006	3,345	2,368	1,321
Use of Raw Materials	Paper (10,000 sheets)	3,164	2,588	2,387	1,998
Waste	Waste disposal (ton)	98	39	62	33
Waste	Amount recycled (ton)	93	36	61	33

Key Issue	Index	2018	2019	2020	2021	Note
Policy	Guidelines on ESG investment	-	-	✓	✓
ESG Products and Services	ESG products and services (billion won)	875	680	688	1,699
ESG Products and Services	Products and services for vulnerable groups	✓	✓	✓	✓
Financial emissions	Scope 3 financial emissions	-	-	-	227.71	10,000tCO2eq
Financial emissions	Scope 3 Financial emissions intensity	-	-	-	11.88	10,000tCO2eq/KRW trillion

Key Issue	Index	2018	2019	2020	2021	Note
Policy	Policy and Strategy	✓	✓	✓	✓	2021 Samsung Securities Report P 58
Policy	Management by objectives	✓	✓	✓	✓	2021 Samsung Securities Report P 58
Collective Bargaining	Employees represented by trade unions (%)	13	12	11	11
Employment Contract	Full-time workers	2,090(92.0)	2,128(88.9)	2,118(88.4)	2,085(87.0)
Employment Contract	Irregular workers	182(8.0)	266(11.1)	278(11.6)	312(13.0)
Gender Breakdown	Share of women in total workforce (%)	40.3	39.7	40.1	41.1
Gender Breakdown	Share of women in new hires (%)	40.7	30.6	35.1	44.7
Gender Breakdown	Share of women in STEM-related positions (%)	35.6	35.6	29.2	28.3
Gender Breakdown	Share of women in middle management positions (%)	9.8	10.5	12.4	14.4
Gender Breakdown	Share of women in junior management positions (%)	27.5	27.8	27.8	28.7
Gender Breakdown	Share of women in management positions in revenue-generating functions (%)	25.5	25	24.4	25.2
Gender Breakdown	Female executives (%)	8	7.7	11.5	15.4
Diversity	Disclosure of employee breakdown by age	✓	✓	✓	✓	2021 Samsung Securities Report P 62
Diversity	Disclosure of employee breakdown by nationality	✓	✓	✓	✓	2021 Samsung Securities Report P 62
Diversity	Employees with disability	60	60	53	64
Diversity	Employment of veterans	49	51	53	51
Diversity	Internal recruits (%)	12.1	8	6.1	5.0
Employee Turnover	Employee average tenure (yrs)	10.37	10.4	11.34	11.87
Employee Turnover	Total employee turnover (%)	7.17	4.76	4.51	6.14
Employee Turnover	Voluntary employee turnover (%)	6.87	4.55	4.34	5.76
Compensation	Mean employee compensation (billion won)	1.21	1.08	1.31	1.68
Compensation	Total annual CEO compensation (billion won)	9.55	13.74	17.1	23.12
Compensation	Ratio between total annual CEO compensation and mean employee compensation	7.89	12.72	13.05	13.76
Compensation	Gender pay gap for employees in top management positions (%)	1.09	1.08	0.99	0.96
Compensation	Gender pay gap for employees in management positions (%)	0.94	0.94	0.94	0.95
Compensation	Gender pay gap for employees in non-management positions (%)	1.00	1.00	1.02	1.03
Non-salary Benefits	Non-salary benefits as a percentage of revenue (%)	1.05	0.89	0.53	0.71
Talent Development	Hours of education per employee	109.1	179.8	121.8	128.4
Talent Development	Cost of education per employee (10,000 won)	170.2	176.6	104.2	136.7
Talent Development	Employee development programs	✓	✓	✓	✓	2021 Samsung Securities Report P 65
Work-family Balance	Family-friendly policies	✓	✓	✓	✓	2021 Samsung Securities Report P 66
Work-family Balance	Flexible work arrangements	-	✓	✓	✓	2021 Samsung Securities Report P 66
Work-family Balance	Retention rate after parental leave (%)	96	92	92	87
Work-family Balance	Employees who continue working for more than one year upon return from parental leave (%)	85	88	88	90
Performance Review	Employees subject to regular performance review (%)	2,248(98.9)	2,368(98.9)	2,370(98.9)	2,371(98.9)
Performance Review	Employees receiving long-term incentives (%)	2.60	3.01	3.09	3.38
Employee Satisfaction	Employee satisfaction measurement score	72	73.5	76.1	76.2

Key Issue	Index	2018	2019	2020	2021	Note	Files	Link
Work-related incidents	Absentee rate	0.4	0.5	0.3	0.5
Training and education	Training and education programs	✓	✓	✓	✓	2021 Samsung Securities Report P 65

Key Issue	Index	2018	2019	2020	2021	Note
Policy	Declaration of human rights and human rights policy disclosure	✓	✓	✓	✓	Sustainable Business Guidelines P 17
Policy	Policies prohibiting workplace harassment	✓	✓	✓	✓	Sustainable Business Guidelines P 19
Risk Identification and Audit	Human rights risk identification	✓	✓	✓	✓	2021 Samsung Securities Report P 71-72
Risk Identification and Audit	Monitoring of human rights implementation	✓	✓	✓	✓	2021 Samsung Securities Report P 71-73
Risk Identification and Audit	Efforts to mitigate human rights risks	✓	✓	✓	✓	2021 Samsung Securities Report P 71-73
Human rights assessment	Human rights assessment	-	-	✓	✓	2021 Samsung Securities Report P 71-72
Education	Number of employees who receive human rights education	2,313	2,501	2,584	2,698
Education	Hours of human rights education	2,313	2,501	2,584	2,698	1 hr/person
Education	Number of employees who receive anti-sexual harassment training	2,313	2,501	2,584	2,698
Education	Hours of anti-sexual harassment training	2,313	2,501	2,584	2,698	1 hr/person
Reporting	Number of human rights violation cases submitted	2	3	0	3
Reporting	Number of human rights violation cases processed	2	3	0	3

Key Issue	Index	2018	2019	2020	2021	Note
Policy	Alignment of corporate citizenship framework to the UN SDGs	✓	✓	✓	✓	2021 Samsung Securities Report P 74-76
Policy	Corporate citizenship strategy	✓	✓	✓	✓	2021 Samsung Securities Report P 77
Policy	Monitoring and audit of corporate citizenship contributions	✓	✓	✓	✓	2021 Samsung Securities Report P 76
Contributions and Other Spending	Amount of corporate citizenship contributions (billion won)	32.5	34.2	33.6	33.2
Contributions and Other Spending	Amount of political donations (billion won)	0	0	0	0
Contributions and Other Spending	Amount of contributions for policy influence (billion won)	3.7	3.8	3.8	3.9
Programs	Corporate citizenship programs	✓	✓	✓	✓	2021 Samsung Securities Report P 74-78
Programs	Number of employees who participated in volunteering programs	4,240	4,890	3,378	4,134
Programs	Hours of employee volunteering	11,228	10,692	6,095	8,393

Key Issue	Index	2018	2019	2020	2021	Note
Policy	Data protection policies and procedures	✓	✓	✓	✓	2021 Samsung Securities Report P 79
Information Security Investment	Rate of investment in information security(%)	10.7	10.4	11.2	10.9	of the total IT budget
Certification	ISMS-P	✓	✓	✓	✓	2021 Samsung Securities Report P 80
Training and education	Cybersecurity incident simulation	✓	✓	✓	✓	2021 Samsung Securities Report P 79-80
Training and education	Number of employees who completed information security training	2,285	2,417	2,422	2,484
Training and education	Hours of information security training/education	28,270	28,730	29,884	29,490
Customer Data Protection	Number of complaints received concerning breaches of customer privacy	-	10	10	14
Customer Data Protection	Customer satisfaction measurement	75	77	78	79
Breaches and Violation	Violation of fair labeling and advertising	20	10	11	0
Breaches and Violation	Measures taken on fair labeling and advertising violation	20	10	11	0

Key Issue	Index	2018	2019	2020	2021	Note
Policy	Board Policies	✓	✓	✓	✓	Corporate Governance Charter p 2-5
Policy	Policy on board independence	✓	✓	✓	✓	Sustainable Business Guidelines P 4
Policy	Policy on board diversity	✓	✓	✓	✓	Sustainable Business Guidelines P 3
Policy	Policy on board accountability	✓	✓	✓	✓	Board responsibilies on Corporate Governance Charter p 4
Board Performance Review	Self-assessment of board performance	✓	✓	✓	✓	2021 Samsung Securities Report P 81
Board Performance Review	Independent assessment of board performance	-	-	-	-
Board Structure	Non-executive chairperson	✓	✓	✓	✓
Board Structure	Non-executive directors (%)	3(60.0)	3(60.0)	4(57.1)	4(66.7)	FY 2025 Target: 67%
Board Structure	Restrictions on the number of other mandates for non-executive directors	2	2	2	1
Board Structure	Board average tenure (yrs)	1.7	1.3	1.9	2.1
Board Structure	Non-executive directors in the Director Nomination Committee (%)	2(66.7)	2(66.7)	2(66.7)	2(66.7)
Board Structure	Non-executive directors in the Audit Committee (%)	3(100)	3(100)	3(100)	3(100)
Board Structure	Non-executive directors in the Compensation Committee (%)	2(66.7)	2(66.7)	2(66.7)	2(66.7)
Board Effectiveness	Number of board meetings held	14	12	13	15
Board Effectiveness	Number of issues passed	54	48	57	71
Board Effectiveness	Attendance rate (%)	100	100	100	100
Board Diversity	Women in the board of directors (%)	0(0)	0(0)	0(0)	0(0)	Ratio of female directors as of March 2022: 14%
Board Expertise	Number of directors with industry experience	5(100)	7(100)	7(100)	6(100%)
Board Expertise	ESG-related committee	-	-	-	✓	Established in 2021
Board Expertise	Number of directors with expertise in finance	2(40.0)	2(40.0)	2(28.6)	2(33.3)
Board Expertise	Number of directors with expertise in ESG	0(0)	0(0)	0(0)	0(0)
Board Expertise	Directors in the Audit Committee with expertise in finance	2(66.7)	2(66.7)	2(66.7)	2(66.7)
Board Expertise	Directors in the Audit Committee with industry expertise	3(100)	3(100)	3(100)	3(100)
Performance Review and Compensation	Deferred bonus and performance period for the CEO's variable compensation (%)	60(4)	60(4)	60(4)	60(4)
Performance Review and Compensation	Net payment rate relative to limits on director remuneration	25	20.3	36.3	49
Performance Review and Compensation	Number of shares held by directors and the CEO	10,196	13,420	13,420	10,196
Performance Review and Compensation	Average number of shares held by other executive committee members	4,000	3,612	3,612	1,525
Performance Review and Compensation	Shares held by the government (%)	10.1(9,013,600)	12.0(10,732,146)	13.4(11,987,834)	11.3(10,077,913)
Performance Review and Compensation	Shares held by controlling shareholders (%)	29.4	29.8	29.6	29.6
Performance Review and Compensation	Number of shares held by shareholders owning more than 5% of the shares	9,013,600	10,723,146	11,987,834	10,077,913	excluding the largest shareholder and related parties
Performance Review and Compensation	Shares held by subsidiaries (%)	29.7(26,556,715)	29.7(26,562,373)	29.8 (26,595,231)	29.4 (26,242,112)

Key Issue	Index	2018	2019	2020	2021	Note
Policy	Anti-corruption and bribery policy	✓	✓	✓	✓	Sustainable Business Guidelines P 10
Policy	Reporting mechanisms for bribery and corruption	✓	✓	✓	✓
Policy	Whistleblower protection	✓	✓	✓	✓
Policy	Suppliers evaluated for risk of bribery and corruption (%)	100	100	100	100
Education	Hours of employee training on ethical standards	2.6	1.1	2.3	3.1
Breaches and Violation	Number of corruption and bribery cases	0	0	0	0
Breaches and Violation	Number of legal actions taken on anti-competitive practices	0	0	0	0
Breaches and Violation	Fines and settlements associated with bribery, corruption, or anti-competitive practices (won)	0	0	0	0
Breaches and Violation	Number of monetary sanctions as a result of violation of regulations and law	7	7	1	0
Breaches and Violation	Number of legal proceedings associated with violation of regulations and law	0	0	0	0
Fair Trade	Number of customer complaints and feedback submitted	139	92	235	342
Fair Trade	Number of customer complaints and feedback processed	139	92	235	342

Key Issue	Index	2018	2019	2020	2021	Note	Files	Link
Policy	Tax strategy	-	-	✓	✓	Sustainable Business Guidelines P 13
Tax Reporting	Tax reporting	✓	✓	✓	✓	2021 Samsung Securities Report P 92

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