Sustainable Development Report 2019

Key Challenges / Impacts [GRI 103-1a] [GRI 102-15] Social engagement reinforces the preventive approach policy adopted by MYTILINEOS, mitigating the unpredictable non-finan- cial risks and contributing to the preservation of its “social license to operate” along with its good reputation. A key challenge for the Company is to match its contribution to the needs and priorities of the communities in which it operates, considering local issues as well as the national priorities for Sustainable Development. Information exchange, consultation and negotiation are useful tools in fostering a participatory approach to the identification and implementation of MYTILINEOS' social investments. This is a constantly evolving effort taking various forms, whose combi- nation results in the Company's commitment to respond to the diverse expectations of its local communities, by actively contrib- uting to the growth of the local employment and economy, to the protection of the environment, to the promotion of health and safety, to the efforts to combat poverty, to strengthening social inclusion and ensuring access to education, and to assist in devel- opment of the professional skills of the new generation. Major risks [GRI 102-15] The Company's failure to promptly identify and manage the frequently changing social, economic and cultural characteristics of its local communities may reverse the existing assumption that the Company is fully integrated in these communities and has common interests with them. This may affect the preservation of the Company's “social license to operate” and thus also restrict its future growth. Sustainability of local communities Materiality assessment process results. Scale: [0—4] where 0 “Not significant” and 4 “Very significant” Impact on Sustainable Development 3,63 Significance for Stakeholders 3,45 Management Approach [GRI 102-11] [GRI 103-2c] The purpose of this disclosure is to provide MYTILINEOS' Social Partners with access to information regarding the development of the Company's social role as a responsible corporate citizen. The Company's objective is to familiarize itself with the needs and priorities of its local communities, so that its development efforts are as compatible as possible with the needs and priorities of its local communities and of the broader Greek society. [GRI 103-2b] Risk Management / Control Practices [GRI 103-2a] • The General Management of each Business Sector of MYTILINEOS is responsible for managing relationships with the local communities where the Business Sector operates. The main objective is to identify any negative impacts from the Company's business activity and to minimize them through its responsible business conduct and activity. • Moreover, a Corporate Social Responsibility team has been appointed and is operating in each Business Sector. This team is managing the implementation of the Company's social policy, the annual Stakeholder engagement process, the use of local social media and the organization of visits of mem- bers of the local community to the Company's facilities, when this is requested. • The Company communicates with its local communities in a clear and transparent way, opting for an “open door” policy, applied in the areas where the Company's industrial plants are located. • The collaboration of MYTILINEOS with the wider society as well as with the local communities where its operations are located is ongoing, multi-dimensional and substantial. The initiatives taken by the Company are linked to the needs of each com- munity and of the wider region and are shaped through open dialogue with the local social partners, by conducting surveys to identify material issues as well as opinion surveys, and by organizing annual thematic or general open consultations with representatives of the local communities, in order to discuss and follow up on specific topics of local interest. Key elements of MYTILINEOS' social policy: • Bolstering local employment: As the core activities of MYTILINEOS are primarily located in the Greek regions, the Company acknowledges and accepts its share of the respon- sibility to contribute to the development and preservation of the prosperity of the local communities. In all the geograph- ical regions where the Company's operations are located, its human resources are sourced in their majority from the local population. • Supporting local economic growth: All Business Sectors of the Company subscribe to the same principle of giving priority to the selection of local suppliers, provided that these meet their specific needs and particular requirements. (For infor- mation on this topic, please consult the latest study of the MYTILINEOS Socio-economic Impact in Greece, available at the following address: how%20we%20create%20value#tab-mytilineos-socio- economic-impact-in-greece ) • Α substantial contribution through the annual Social Investment Program implementing social programs and initiatives: The Company aspires to help strengthen social cohesion, strategically seeking to maximize its mobilization by participating in selected actions in sectors directly connected to: (a) its culture and corporate values, (b) the impacts of its business activity, (c) the basic social needs that have emerged during the financial crisis and continue to exist, and (d) the Sustainable Development Goals. • In tandemwith the above and building on its construc- tive relationship with social bodies over the years, MYTILINEOS applies a specific way of managing and evaluating social requests, which reinforces transparency and ensures the sustainability of its social investments. (More information is available at the following address: ) • Specialized executives in each Business Activity Sector manage the Company's relations with its local communities and, in col- laboration with Corporate Social Responsibility Central Function of MYTILINEOS, implement the annual stakeholder and local communities consultation process at local level (see here the process principles) , in order to record local needs and explore new partnership opportunities. Boundaries of the Material Issue [GRI 102-46] [GRI103-1b] Issue of increased significance to: Where the impacts occur: Mainly in the communities adjacent to the Company's industrial units in Greece and abroad, but also in the wider Greek territory. The management of the topic by MYTILINEOS contributes to the Sustainable Development: • Local communities, • Regulatory bodies, • Academic community • NGOs. • Shareholders • Media representatives in the context of their cooperation with MYTILINEOS. • Upgrading local infrastructures and paying particular attention to the needs of those who are in a vulnerable situation, such as women and children. • Strengthening the local and national economy and development. • Strengthening the protection and preservation of the cultural and natural heritage. By whomare the impacts caused: Impacts are caused by the Business Activity Sectors of MYTILINEOS, as well as by Voluntary & Non- Governmental Organizations and the municipalities, in the context of their cooperation with MYTILINEOS for the implementation of its social policy. 119 118