Sustainability Report 2019 Contents

About the Report

Since 2010, as Anadolu Efes Biracılık ve Malt Sanayii A.Ş., we have been sharing corporate governance and environment and social performance information through our sustainability reports. In this year’s 3 Message from the CEO 14 Our Employees 32 Annexes sustainability report, we continue to transparently 14 Gender Equality 34 Performance Indicators present our stakeholders with our strategies, 4 About Anadolu Efes 16 Talent Management objectives, performance, and developments. This 17 Employee Engagement report has been prepared in accordance with the GRI 6 Anadolu Efes Value Chain 18 Occupational Health and Safety Standards: Core option. The information provided in the report covers our beer operations performed in 7 Sustainability Milestones 20 Environment Turkey, Russia, Ukraine, Kazakhstan, Georgia, and 21 Climate Crisis Moldova during January 1–December 31, 2019. Our 8 Highlights of 2019 22 Water Risks and Management Anadolu Efes Russia operations merged with AB 22 Circular Waste and Packaging Management InBev Russia and Ukraine operations in the first 9 Anadolu Efes Positive Impact Plan quarter of 2018. The merger increased our operations 11 Materiality Analysis 23 Our Value Chain from six breweries to 14 breweries in Russia and 11 Stakeholder Engagement 24 Supporting Sustainable Agriculture and Farmers Ukraine. The 2018 and 2019 data stated in the report 25 Responsible Sourcing presented this increase accordingly. 12 Ethical and Transparent Governance 25 Quality and Food Safety 12 Sustainability Management In addition, the report includes the progress on the 12 Ethics 26 Community United Nations Global Compact (UNGC) and the 13 Risk Management 27 Contributing to the Local Economy UNGC CEO Water Mandate, in both of which we 30 Social Investments are a signatory.

Of note, this report does not include data about Anadolu Efes’ affiliates, except for their economic performance.

The sustainability report of the affiliate Coca-Cola İçecek A.Ş. is available at the sustainability section of the www.cci.com.tr website.

Click when you see this icon. Message from the CEO ABOUT THE REPORT Consistent with our Positive Impact Plan, we focus on creating a constructive impact on our employees, community the environment, and the value chain.

Dear Stakeholders, As Anadolu Efes, we prioritize water risks and COVID-19 undoubtedly constitutes one of our most

management. In this context, we continue to invest in critical agenda items in 2020. During the pandemic, OUR EMPLOYEES As we celebrate our 50th anniversary, we are proud efficiency projects to reduce the amount of water our priority is to protect the health and safety of all to be one of the world’s top 10 beer companies that consumed per product. Thanks to our operational our business partners, particularly our employees. exported its products to over 70 countries in 2019. water efficiency projects in 2019, we have saved Throughout this period, we have continued our Our journey started with two breweries in Istanbul 220,000 m³ of water and $160,000. We have also operations in the field of sustainability without and Izmir, and now continues in six countries with 21 renewed over 80 water resources over the past nine interruption. We undertook new responsibilities for breweries, five malt production facilities, and one hop years as part of our project which aims to create a our industry, ecosystem and society, and developed processing facility. common sense of responsibility for the conservation and implemented social investment projects in all of the natural water resources in Russia. countries where we operate. We strive to create value for all our stakeholders while delivering a remarkable financial performance. We believe that the business world has a major role I thank our valuable colleagues, business partners, ENVIRONMENT We remain consistent with our Positive Impact Plan in dealing with plastic pollution. In this context, we consumers and all stakeholders who contributed to and are focused on creating added value for our have become part of the Business World Plastic the sustainable efforts of Anadolu Efes this year. employees, society, the environment, and the value Initiative, which began in Turkey in 2019. Although chain. We continue to contribute to the local the use of plastics in our operations is as low as 1.1 Can Çaka economy, society, and the Sustainable Development percent, we are working with universities, suppliers Goals through our social investments. and entrepreneurs to develop more environmentally Beer Group President and Anadolu Efes CEO friendly solutions in packaging materials and beer We are working shoulder to shoulder with the farmers mats. Additionally, we aim to reduce the use of who have supplied our raw materials for many years. plastics in our ecosystem to 0.5 percent in the next

For example, with the Smart Agriculture project we three years. CHAIN OUR VALUE have implemented in Turkey with the cooperation of WWF, we are bettering the lives of our farmers and We are one of 18 Turkish companies participating in increasing field productivity, while simultaneously the Young Sustainable Development Goals improving the quality of barley and hops. In addition Innovators Programme (Young SGD) launched by to contributing to local development with this project, Global Compact, while sharing the dreams of young we also support the fight against climate change. In innovators. Russia, we run projects for the development of new barley species and contribute to the development of our farmers in that region. COMMUNITY

ANADOLU EFES SUSTAINABILITY REPORT 2019 3 GRI 102-45 About ABOUT THE REPORT Anadolu Efes

As one of the 10 largest As 2019 marked our 50th anniversary, we continued to We are the 10th largest brewer1 of the world in terms of Economic Performance contribute to the industry growth and develop the production volume acquiring around two-thirds of the OUR EMPLOYEES beer companies in the Turkish beer culture. sales revenues abroad. We export our products to over world, we export our 70 countries. We reach approximately 700 million products to over 70 Operating as part of the Anadolu Group which people through our beer and soft drink operations and 5.9% performs a broad range of activities in the brewing, sales force. We have 21 breweries, five malt production increase countries. beverage, retail, agriculture, automotive, stationery, facilities and one hop processing facility in six countries fast food restaurant, real estate, and energy industry one of which is Turkey. In addition, we are one of the operations. Our group operates in 19 countries with its leading players in the region that covers Turkey, the 80 companies, 66 production facilities, and over Commonwealth of Independent States, the Middle 36.2 80,000 employees. East, and Pakistan, with 26 bottling facilities located in

million hectoliter ENVIRONMENT 10 countries where we execute Coca-Cola’s operations. beer sales We started our journey in 1969 with two brewing factories in Istanbul and Izmir and managed to become the market leader in a short period. As Shareholding Structure Turkey’s largest brewer, we took an essential step by 2018 Annual expanding abroad in the 1990s. In 2012, we entered 2019 into a strategic partnership with SABMiller Plc Proforma Change (“SABMiller”) according to our commercial 24% 43.05% AB InBev AG Anadolu Grubu sustainability goal in the global market. In 2016, Net Sales Harmony Limited Holding A.Ş. 19,164 23,314 21.7% Anheuser-Busch InBev (“AB InBev”), the world’s largest (million TRY)

brewer, acquired SABMiller, distributing 24 percent of CHAIN OUR VALUE Please click here its Anadolu Efes shares to AB InBev. to reach our Operating Vision, Mission We are managing international brewery operations Profit 1,165 2,234 91.7% and Values which through Efes Breweries International N.V. (“EBI”) which (million TRY) we renewed in is a wholly owned subsidiary established in the 2019. Netherlands. Furthermore, we are the main EBITDA shareholder of the Coca-Cola İçecek A.Ş. (“CCI”), 2,899 4,038 39.3% (million TRY) which manages the Coca-Cola operations in Turkey 32.95% and abroad. Publicly Held and Other COMMUNITY

1 The Barth Report 2018/2019 ANADOLU EFES SUSTAINABILITY REPORT 2019 4 1 Russia 2 Turkey Population: 144.0 Million1 Population: 83.0 Million1 • 11 Breweries • 3 Breweries • 29.8 mhl Brewing Capacity • 7.0 mhl Brewing Capacity ABOUT THE REPORT • 3 Malteries • 2 Malteries • 229 Thousand Tons Malt • 115 Thousand Ton Malt Production Production Capacity Capacity • 1 Preform Production Facility • 1 Hops Processing Facility • Per Capita Beer Consumption: 53 • Per Capita Beer Consumption: 11 Liters2 Liters4 • 57% Market Share3 1 • 28% Market Share3 • Market Leader3 • Market Leader3 OUR EMPLOYEES

8 3 Germany6 4 Kazakhstan 3 Population: 82.4 Million1 Population: 18.6 Million1 5 7 4 • 2 Breweries • 2.4 mhl Brewing Capacity • Per Capita Beer Consumption: 32 Liters4 6 • 51% Market Share3 3 2 6 • Market Leader ENVIRONMENT 5 Ukraine 6 Georgia Population: 43.8 Million1 Population: 3.9 Million1 • 3 Breweries • 1 Brewery • 6.4 mhl Production Capacity • 1.4 mhl Brewing Capacity • Per Capita Beer Consumption: • Per Capita Beer Consumption: 31 Liters4 4 41 Liters • 45% Market Share9 3 • 32% Market Share • Market Leader9 • Market Leader3

7 Moldova 8 Belarus5 Population: 4.0 Million1 Population: 9.4 Million1 CHAIN OUR VALUE • 1 Brewery • Per Capita Beer Consumption: 45 Liters4 • 1.4 mhl Production Capacity • Per Capita Beer Consumption: 30 Liters4 • 63% Market Share2 • Market Leader2 COMMUNITY

1 United Nations 2 AEFES estimate 3 Nielsen, January-December 2019 4 Global Data 5 Other than the exports by Efes Beer Group to the whole world, Anadolu Efes has organizations (either directly owned or through the controlling companies) in Belarus and Azerbaijan that carry out and/or coordinate the marketing, sales and distribution of group products. 6 “Efes Pilsener” brand is being produced on a contract bases by Gilde Brauerei GmbH to be sold by Efes Deutschland Gmbh, a 100% subsidiary of Anadolu Efes established in Germany. 7 Ipsos Retail Audit 8 Canadean 9 RA Top & Cities (August 2019)

ANADOLU EFES SUSTAINABILITY REPORT 2019 5 Anadolu Efes Value Chain ABOUT THE REPORT

Beer Production OUR EMPLOYEES

Barley and Hops Farming

Logistics ENVIRONMENT

Malt Packaging CHAIN OUR VALUE and Hops Consumption Production COMMUNITY

ANADOLU EFES SUSTAINABILITY REPORT 2019 6 Sustainability Milestones Anadolu Efes ABOUT THE REPORT signs the United Nations Global Compact, taking We identified its commitments We signed the material issues with to a global level. United Nations a comprehensive Women’s stakeholder analysis Empowerment and updates the Principles Positive Impact (WEPs).

Plan strategy OUR EMPLOYEES accordingly. Anadolu Efes obtains the We were ISO50001 Energy included We were listed in in the BIST Management We were included the FTSE4Good (Borsa Istanbul) Systems in the Dow Jones Emerging Markets certificate, a first Sustainability Index for the first Sustainability We joined in the industry. Index. time. Index. the Business Plastic

Initiative. ENVIRONMENT

2004 2011 2012 2013 2014 2015 2016 2017 2018 2019

We were listed in the CHAIN OUR VALUE The ISO14001 Anadolu Efes CDP Climate We became the Program with Environmental earns the We signed the first-ever Turkish a B- score. Management privilege to CEO Water company to be System and represent Turkey Mandate, an listed in the Occuptionl Health in sustainable initiative of the Vigeo Eiris and Safety agricultural United Nations Emerging Management practices at the Global Market 70 Systems United Nations Compact Ranking. COMMUNITY established at Conference Principles. all our plants. on Sustainable Still in place Development by continuous (Rio+20) in improvement. Rio de Janeiro, Brazil. ANADOLU EFES SUSTAINABILITY REPORT 2019 7 Highlights of 2019 ABOUT THE REPORT

We joined the Business Plastic With the help of our various To date, we have developed and We funded three different Initiative. efficiency and improvement registered 17 barley seeds and 7 start-ups with the Anadolu Efes activities, we saved 37,126 MWh hops species. Special Award as part of the İTÜ We published the Gender Equality of energy and prevented the Çekirdek’s Big Bang Start-Up OUR EMPLOYEES Guide to raise awareness on emission of 613 tons of CO2. We With “The Future is in Agriculture” Challenge. female participation in the saved nearly 7.5 million TRY Smart Agriculture Project, our workforce and gender equality. in costs thanks to our projects. farmers increased the “CSR 2.0 Approach to Corporate productivity up to 43% in barley Governance,” which featured We have combined all the training In 2019, we decreased carbon agriculture and 49% in hops. articles of faculty members from and development opportunities emissions per cooler by 66% 70 different countries, cited “The offered to our employees under the compared with that in 2011. In the 18th Golden Compass Award Future is in Tourism” as the Best name of Efes Labs. ceremony, our “The Future is in Sustainable Tourism Practice, With the Can and Can Pop Tab Agriculture” Smart Agriculture and Anadolu Efes as an exemplary We have become one of the Reduction Project we conducted Project was awarded in two institution. companies participating in the at Anadolu Efes Turkey, we categories. ENVIRONMENT Young SDG Innovators attained a reduction of 10 tons of Program. cans and 100 tons of can pop tabs At the Corporate Social over the past three years. Responsibility Summit, we received We provided 39,562 hours of the Platinum Award for the OHS training to our employees, We provided 150 hours of “Accelerate 2030” program, with a 10% increase. training to our barley which illustrates our commitment manufacturers in Turkey on to social entrepreneurship and The survey we conducted with the irrigation, fertilization, and soil collaboration. participation of 91% of our cultivation.

employees working in Turkey CHAIN OUR VALUE demonstrated that our employee engagement increased by 4 points to 83%. COMMUNITY

ANADOLU EFES SUSTAINABILITY REPORT 2019 8 Anadolu Efes ABOUT THE REPORT Positive Impact Plan

The world encounters different trends and challenges. As urbanization and demographic changes are

accelerating and consumer behavior is altering OUR EMPLOYEES through digitalization and the development of technology, we need to change the way we produce Climate Crisis Contributing to the and consume because the present way is putting Local Economy pressure on the environment with climate crisis and diminishing resources. Water Risks and Management The climate crisis is one of the leading trends ENVIRONMENT COMMUNITY Social affecting agriculture and the food industry. Increasing Circular Waste and Investments temperatures, changing rainfall regimes, and Packaging Management frequent extreme weather events are a major risk, ENVIRONMENT especially for the agriculture and food industries. The ANADOLU EFES growing population needs access to food through the sustainable agriculture methods protecting the POSITIVE IMPACT PLAN ecosystems. We believe that the corporate world should be a transformative power that leads to a Supporting Sustainable Talent Management better future. Accordingly, we have adopted the Agriculture and Farmers positive impact creation approach through our VALUE value-added business model. We focus on PEOPLE CHAIN augmenting our positive impact on the major impact Employee Engagement Responsible and

areas of the environment, people, community, CHAIN OUR VALUE Sustainable Sourcing and value chains. With our innovative “Positive Occupational Health and Safety Impact Plan”, we announced our plans to create a better impact by establishing collaborations and Quality and Food Safety partnerships and accentuating our contribution to the Gender Equality Sustainable Development Goals. COMMUNITY

ANADOLU EFES SUSTAINABILITY REPORT 2019 9 COMMUNITY ABOUT THE REPORT ENVIRONMENT

ANADOLU EFES ANADOLU EFES ANADOLU EFES ANADOLU EFES POSITIVE IMPACT PLAN POSITIVE IMPACT PLAN POSITIVE IMPACT PLAN POSITIVE IMPACT PLAN

VALUE PEOPLE CHAIN OUR EMPLOYEES

Approach Approach Approach Approach

As a producer obtaining its raw materials from We view enriching the community as the key to long- People are the focus of our business. Talent is the most Our positive impact creation approach transcends our nature, environmental sustainability plays a vital term success. We contribute to economic growth and crucial factor in taking our business forward. Hence, production activities; it encompasses our entire value role in our continued operations. Climate change employment in the countries in which we operate and we invest in the talents of our employees, and we care chain. Our farmers, suppliers, dealers, and distributors, and resource security affect the agriculture and food also prioritize local development. Through various about providing a fair work environment that values as well as consumers, are among the most crucial industries significantly. Thus, tackling climate crisis is investments with social benefit, we broaden our diversity and increasing employee satisfaction. We stakeholders in our value chain. We have been working one of our highest priority focus areas. In addition, we impact area and create common value related to our manage our operations with a zero-accident approach in unison with our farmers, the producers of our raw aim to implement the waste and packaging practices activity areas. and firmly believe “safety comes first.” materials. We care about implementing joint projects ENVIRONMENT supporting the circular economy and managing the with our suppliers and dealers. We always prioritize water risks. quality and food safety to ensure we offer our consumers the best products.

Focus Focus Focus Focus

Climate Crisis, Water Risks and Management, Contribution to the Local Economy, Social Talent Management, Employee Engagement, Supporting Sustainable Agriculture and Farmers, Circular Waste and Packaging Management Investments Gender Equality, Occupational Health and Safety Responsible Sourcing, Quality and Food Safety OUR VALUE CHAIN OUR VALUE COMMUNITY

ANADOLU EFES SUSTAINABILITY REPORT 2019 10 GRI 102-42, GRI 102-43, GRI 102-44, GRI 102-46, GRI 102-47

Materiality Analysis We considered financial, social, and environmental Stakeholder Engagement risks, as well as legislative regulations, when analyzing In 2017, we asked our main stakeholders the priorities the results. We have finalized our priorities by We have mutual, open, and transparent of Anadolu Efes through a comprehensive stakeholder consulting with our executive managers and mapped communication with our stakeholders, who exert a ABOUT THE REPORT analysis. Besides the views of our stakeholders, we have them on a matrix. The basis of our Positive Impact direct and indirect impact on our operations and also included global and industry trends in the Plan is shown in the dark blue area of the matrix play a key role in our success. We map and group our analysis. The Sustainable Development Goals, World below. stakeholders to effectively manage our relationship Economic Forum Global Risk Report, SASB Industry with them and ascertain the best communication Materiality Map, 11th Development Plan, and priorities method and frequency for each group of of the peer companies in the industry were among the stakeholders. We believe that sustainability can be other sources included. attained with a multistakeholder structure. Hence, we participate in various associations and initiatives and assume an active leadership in working groups. As

a signatory to the UNGC, the UNGC’s CEO Water OUR EMPLOYEES

Materiality Matrix COMMUNITY Mandate and Women’s Empowerment Principles ENVIRONMENT (WEPs), we are also involved in global initiatives. ANADOLU EFES ANADOLU EFES ANADOLU EFES ANADOLU EFES POSITIVE IMPACT PLAN POSITIVE IMPACT PLAN POSITIVE IMPACT PLAN POSITIVE IMPACT PLAN

VALUE PEOPLE CHAIN In 2019, we have taken our cooperation with the UNGC one step further. Can Çaka, our CEO, was elected to the 2019-2022 Board of Directors at the 7th Ordinary General Assembly Meeting of the Global high Compact. He also became a Board Member of the priority Water Risks and Management Business Council for Sustainable Development Turkey Supporting Sustainable ENVIRONMENT Agriculture and Farmers (BCSD Turkey). Human Rights Climate Crisis Occupational Health Annex 1 provides detailed information about the and Safety Contributing Responsible to the Local Employee Engagement Stakeholder Groups and Communication with Value Chain Economy and and Talent Management Responsible Sourcing Management Investment Stakeholders. Marketing Quality and Food Safety Circular Waste Ethical and Packaging Equal Information on The Future is in Tourism, The Corporate Rules Management Opportunity Management Future is in Agriculture and The Future is in and Customer and Risk Diversity Satisfaction Entrepreneurship programs, which we have Management and Briefing developed in collaboration with our stakeholders, IMPORTANCE FOR STAKEHOLDERS FOR IMPORTANCE

R&D and is available under the Community section CHAIN OUR VALUE Innovation of this report.

medium high priority priority IMPORTANCE FOR ANADOLU EFES COMMUNITY

ANADOLU EFES SUSTAINABILITY REPORT 2019 11 Ethical and Transparent ABOUT THE REPORT Governance

Our corporate governance approach, based on Ethics Committee Structure Sustainability Management transparency, responsibility, and accountability, forms the basis of the trust relationship we have established Anadolu Efes’ Code of Business Conduct and Ethics Implementing the Positive Impact Plan that we with all our stakeholders. The Board of Directors form the basis for our sustainability projects. We have developed to exert a positive impact on the OUR EMPLOYEES comprises 11 members, four of whom are independent. regularly review the efficacy of our principles and environment, community, employees, and the value The CEO is not a Board Member. The Audit assess all business processes in compliance with these chain is possible by adopting an effective and Committee, the Early Detection of Risk Committee, principles. We expect all stakeholders, especially Chairman: CEO transparent management approach. and the Corporate Governance Committee support employees, distributors, suppliers, and other business the Board of Directors. partners, to comply with the principles that define Anadolu Efes Beer Group operates in six countries. the code of conduct in areas such as human rights, We manage sustainability through our Sustainability Detailed information on the number of members anti-bribery and corruption, occupational health and Committee comprising representatives from countries and responsibilities of the Board of Directors safety, and responsible marketing. For cases where in which we operate and chaired by our CEO, to and its Committees is available in the Annual the principles are violated, violations can be notified Coordinator and create value by spreading sustainability across all Report 2019 and Corporate Governance Principles anonymously through the phone line assigned for Sustainability Secretariat: our operations. The Sustainability Committee and ENVIRONMENT Compliance Report. each country, filling in the notification form at Committee: Corporate the Working Group set the sustainability goals and Country Directors Communications and or by sending an email to performance indicators with the participation of all www.efesethicsline.com Relations Directorate You can access all policies, principles and [email protected] An independent company country directors under the CEO's management. statements here. reviews these tip-offs anonymously and confidentially The Committee works to enhance our sustainability and resolves them by taking the necessary measures. performance and commitments. It also helps In addition, Anadolu Efes Ethics Committee reviews promoting different countries’ practices. the breaches and decides on appropriate disciplinary actions. Besides, the Working Group is responsible for Positive Impact Working Group supporting the Committee and implementing Technical Planning and Logistics,

In 2019, Anadolu Efes received 31 notifications Sales and Marketing, Human strategies and objectives. It continues to work on CHAIN OUR VALUE regarding forgery in business and company’s financial Resources, Financial Affairs, Anadolu Efes 2030 objectives. assets, abuse of office, theft, collusion with customers Investor Relations and suppliers, human rights, employee rights, sales Representatives figures, and data manipulation. Furthermore, our joint venture received 64 notifications via the EU InBev Efes’ ethics lines. All 95 of these notifications were reviewed and resolved.

You can access Anadolu Efes’ Code of Business COMMUNITY Conduct and Ethics here.

ANADOLU EFES SUSTAINABILITY REPORT 2019 12 Risk Management Risks Monitoring

Risk management is one of the priorities for Financial Risks ABOUT THE REPORT companies that aim to attain sustained growth and Asset/liability risk, credibility, capital/debt relationship, exchange rate development and strive to achieve high performance risk, and other risks that could directly affect the company’s financial in the long term while maintaining existing assets in status. the face of global competition.

Strategic Risks We use performance and risk indicators as an early warning system to monitor risks and We are committed to achieving sustainable Risk factors that could affect the company’s sustainable growth and take the necessary precautions on time. The SAP ERP system integrates with all processes profitability by spreading and minimizing economic corporate governance structure, as well as the business and brand value and monitors the results of operations instantly, eliminating human errors, thereby increasing and geographical risks so that we can adapt to the such as shareholders, investor relations and mergers and acquisitions. the efficiency of the internal control system by identifying risks early. changes in consumer preferences against strong international competition using our diversified OUR EMPLOYEES portfolio. Our risk management approach is based Operational Risks on determining all the risks that Anadolu Efes Risks that could affect all parts of the system involving suppliers and faces or could face. We manage the identified risks costumers and, thus, processes such as business continuity, compliance, with appropriate actions, and develop and monitor reputation, occupational health and environmental safety. several practices to maintain our competitive edge and business continuity. We have risk management and internal control mechanisms in place to protect We invest in backup systems by establishing emergency management systems to prevent the values of the company’s assets and ensure Natural Risks natural risks so that systems remain unaffected and data are not lost in case of an operational efficiency and sustainability. Our entire Risks that could affect business continuity and safety such as fire or

emergency. We also maintain insurance for all our facilities to minimize the risks that could ENVIRONMENT operational management is responsible under earthquake. occur in case of an emergency. the supervision of our Early Detection of Risk Committee, for the early detection of any risks that may endanger the existence, development, and continuance of the company; the implementation of any necessary measures against the detected risks; We have activated the Guarantee-Risk Management System to monitor customer risks. and the undertaking of risk management activities. Customer Risks Thanks to this system that sets purchasing limits on goods, we do not issue goods when The Committee convenes 4 times a year, and customers exceed their limits. presents the Board of Directors with information, meeting results, and suggestions about all its work.

This way, Corporate Risk Management is adopted CHAIN OUR VALUE Climate change is one of the major risks affecting the supply continuity of agricultural raw and monitored at the highest level in the company. materials. We consider quality, price and supply changes caused by climate change. We Climate Risks also monitor energy consumption and greenhouse gas emissions from all our operations for continuity of our business.

We are strengthening the existing systems and processes through projects and studies on Technological Risks cyber attacks, information security and personal data protection. COMMUNITY

Detailed information about the internal control system can be found in the Annual Report 2019 on page 121.

ANADOLU EFES SUSTAINABILITY REPORT 2019 13 Activities OHS EFES LABS recruits. expertise; andWelcome Labaddresses tonew training; Profession Laboffersprofessional Grow Lab focuses oncompetency-oriented Lab includesleadership-orientedprograms; Labs hasfour basictraining topics:Leadership employees underthenameofEfes Labs.Efes development opportunitiesoffered toour We have combinedallthetraining and decreased by62% accident frequency rate trainings andactivitiesour Health certificates. With Occupational Safety and facilities have OHSAS18001 our employees. 16ofour work environment to healthy, safe, andideal We considerproviding a Equality Guide Our Gender Programs Internship ANADOLU EFES SUSTAINABILITY REPORT 2019 and genderequality. participation intheworkforce awareness onfemale Equality Guidetoraise We publishedtheGender Kazakhstan. in Moldova, Georgia and also have internprogrammes gamification features. We and placementtestwith interviews aftertheselection in Turkey. We conducted program for thefirst time selection andplacement In 2019,we usedVR-based 14 14

COMMUNITY OUR VALUE CHAIN ENVIRONMENT OUR EMPLOYEES ABOUT THE REPORT Conduct and Ethics, please clickhere. Policy here. For Anadolu Efes’ Code ofBusiness You can access Anadolu Efes’ Human Resources took crucialstepsintheseareas. focused oureffortson four areas inparticularand Code ofBusinessConductandEthics.In2019,we management approach guidedbytheAnadoluEfes broad area withanethicalandtransparent on justice,equality,andhonesty.We operate ina our HumanResources Policy,which,inturn,isfounded development. We baseouremployee relationships on opportunity, whilerespecting diversity andfocusing on aims for ahighemployee engagementandequal work for. We offeraninclusive work environment that positioning ourselves asthemostdesirable company to different countries,especiallyin Turkey, and focus on needed toinvest intalentallouroperations in priorities. Today, we develop thetoolsandsystems investing inourhumancapitalisoneofstrategic that helpsusaccomplishourfuture goals.Thus, Our talentedemployees are themostcrucialcapital 4 3 2 1 environment Creating afunand flexible work communication culture Encouraging transparent Strengthening competencies talent Acquiring, developing, andretaining engagement and equal opportunity, while respecting diversity and focusing ondevelopment. percent ofour managers. account for 29percent ofouremployees and36 employees tohave asayinmanagement.Women employment atalllevels, we encourage our female favor genderequalityintheworkplace. Besidesfemale working environment thatrespects humanrights.We committed ourselves toproviding afair andequitable As asignatorytotheUNGCandWEPs,we have our company guideongenderequality. and genderequalityin2019.We aim toinstatethisas awareness onfemale participationin the workforce We publishedtheGenderEqualityGuidetoraise innovation. customer satisfaction andaugmentdevelopment and their different cultural backgrounds toensure high inspiration from thediversity ofouremployees and processes andofferequalopportunities. We draw ethnic identities,andgenderinhumanresources styles, races, religions, languages, ages,nationalities, from Turkey, onthegrounds oftheircultures, thinking 8,695 employees from different countries,primarily comes totheforefront. satisfaction andproductivity are high,andinnovation it iswhere betterdecisionsare made,employee Diverse businessenvironments standoutoftheflockas Gender Equality We offer aninclusive work environment that aims for ahighemployee 1 We donotdiscriminateour Our Employees Employees by Country Employees by Category Blue Collar 41 % 18 66 4 4 8 % % % % % 59 White Collar % Moldova Georgia Kazakhstan Turkey Russia andUkraine 1 Diversity Matters, McKinsey &Company agreement was 47percent. employees working underacollective bargaining where suchrightsare recognized. Theratio of employees canorganize andunionizeincountries We provide afree work environment where our ANADOLU EFES SUSTAINABILITY REPORT 2019 15 15

COMMUNITY OUR VALUE CHAIN ENVIRONMENT OUR EMPLOYEES ABOUT THE REPORT Talent Management ABOUT THE REPORT We attach great significance to training at every stage and every level to prepare our employees for the future by focusing on the requirements of the industry and the different needs of our employees.

The core of our talent management approach is to We care about our employer brand! Providing qualified training and mentoring to We provided 20 hours of training build a teamwork-oriented, motivated, highly employees is an essential tool both to retain existing OUR EMPLOYEES engaged, and highly trained workforce that functions • We organize robust internship programs to talents and increase their loyalty to the organization. A per employee on average. as a team with a focus on the company’s strategic improve our employer brand. functioning talent management process is also objectives. We always strive to be the first and most effective for employee engagement and satisfaction. preferred employer brand. Consistent with this • We have talent back-up maps. Hours of Training approach, we aim to attract the right people to the Efes Labs right positions at our company and unlock their • We develop talent strategies for career journeys potentials through effective training and development and rotations. In 2019, we have combined all the training and Hour/ Number of Trained opportunities. We attach great significance to development opportunities offered to our employees Person Employees training at every stage and every level to prepare our • We are constantly working to strengthen our under the name of Efes Labs. Efes Labs has four employees for the future by focusing on the employee engagement. basic training topics: (i) Leadership Lab includes Grow Lab 19,164 1,080 ENVIRONMENT requirements of the industry and the different needs leadership-oriented programs; (ii) Grow Lab focuses of our employees. Accordingly, we improve our • We design and implement employee recognition on competency-oriented training; (iii) Profession Lab Leadership culture that encourages raising leaders, creating a programs to enhance our business performance. offers professional expertise; and (iv) Welcome Lab Lab 5,584 195 common management language, and continuous addresses to new recruits. learning. Welcome Lab 1,756 407 Leadership Profession Lab Lab Prof. Lab 10,193 2,139

We organize leadership training sessions for We support the professional development of CHAIN OUR VALUE different levels of management. We our employees. We are planning to offer the collaborate with universities to improve the training sessions we initiated for the In addition, we aim to increase the personal and scope of programs. employees of the Technical and Marketing professional knowledge and skills of our employees Directorate to other directorates. with Inspiring Digital, an online e-learning platform. We offer interactive training sessions through this e-learning platform and monitor our Grow Lab employees' attendance. Welcome

Lab COMMUNITY We offer in-class and online training that helps mastering Anadolu Efes’ competencies. We provide training to facilitate orientation processes that enable new recruits to become familiar with Anadolu Efes.

ANADOLU EFES SUSTAINABILITY REPORT 2019 16 experience centervisitswhenpermittedbylocalregulations. Programs. We alsoprovide studentswiththeopportunitytogetknow usoncareer daysandthrough factory/ prominent universities indifferent countries, especiallyin Turkey, Kazakhstan, andMoldova through theCampus We doourbesttointroduce AnadoluEfes tomore young talents.We meetyoung talentsatcampusesin Besides routine work, ourinternsleadaproject byfollowing thejobprocesses theychosewiththeirmentors. selection andplacementtestwithgamificationfeatures thatwas taken by200university studentsthisyear. VR-based selectionandplacementprogram for thefirsttimeinTurkey. We conductedinterviews afterthe 2025. Thus,introducing young talents toAnadoluEfes isbecomingeven more important.Thisyear, we used Research demonstrates thatbothGeneration YandGeneration Zwillform themajorityofworkforce by Internship Program for Young Talents SDGs canactuallybebusinessopportunities. Sustainable Development Goals(SDGs)intoinnovation processes andthat product andprocess development departmentshow theycanincorporate The program aimstoexplain toyoung leadershipcandidatesworking in Innovators Program, organized in10countriesbytheUNGlobalCompact. We have becomeoneofthecompaniesparticipatinginYoung SDG Program! We participated inthe Young SDGInnovators operate in. countries we events inall students with university 20,000 reachedhas Anadolu Efes systematically. collar employees, andfollow thesetargets Management System,whichcovers allourwhite- the beginningofevery year withthePerformance and development targets for ouremployees onceat development. AtAnadoluEfes, we setthebusiness are amongthemostcrucialtoolsthatenabletheir by establishinganeffective communicationprocess standard methodsandproviding feedback topeople Measuring theemployees' successwithfair and Performance Management ANADOLU EFES SUSTAINABILITY REPORT 2019 portals inTurkey, withits number one by university Anadolu Efes was ranked “ The Perfect Internship” students inthe TOP100 Talent Program, which was organized in2019 by @toptalent.co, one of the leading career program. 17 17

COMMUNITY OUR VALUE CHAIN ENVIRONMENT OUR EMPLOYEES ABOUT THE REPORT turnover rate decreased to10percent in2019. ambassadors. Owingtoourhard work, ouremployee action planswithouremployee engagement increase thisrate, we create andregularly review increased by4pointsto83percent. To further demonstrated thatouremployee engagement 91 percent ofouremployees working inTurkey conducted lastyear withtheparticipationof employee satisfaction surveys. Thesurvey we We superviseemployee engagementthrough OHS Board meetings. suggestions onoccupationalhealthandsafety atthe and AnadoluEfes QualityCircles. We listen totheir such asAnadoluEfes Entrepreneurship Workshop a chancetoshare theirideasthrough programs in volunteering activities.We provide ouremployees quarterly. We supportouremployees participation different departmentsandunitssendnewsletters enhance collaboration andcommunicationbetween each other. We organize several internalevents to our employees tocommunicateeffectively with We usedifferent platforms andchannelstoenable messages, andregular fieldvisitstoour facilities. company through live broadcasts, informative video spread ofanopencommunicationculture withinthe our employees. We attachgreat significancetothe We communicateopenlyandtransparently with Anadolu Efes operations. business environment more dynamicandflexible inall for ourachievements. We prioritizemakingthe which are ourmostcrucialsource ofsustainability engagement andsatisfaction ofouremployees, our primarygoals.We focus onincreasing the Retaining talentswithinAnadoluEfes isoneof working inTurkey demonstrated that our employee engagement increased to 83%. The survey we conducted in2019 withthe participation of91%our employees implemented through ourloyalty ambassadors. action plans. Functions and region-specific actions are determined theareas ofimprovement andcreated of 272employees with23focus groups. Then,they Loyalty Ambassadorstookopinionsandsuggestions country whovolunteered tohelpus.Lastyear, 15 Volunteers Program withouremployees from each satisfaction through ourEmployee Engagement We aimtoimprove employee engagementand Program Employee Engagement Volunteers Employee Engagement corporate culture and teamspirit.Oursailing Anadolu Efes SailingTeam togethertoreflect our collaboration and cooperation. In2010,we gotthe that increases team spiritandpromotes aculture of motivation ofemployees. Sailingisoneofthesports of belonging,decrease work stress, andincrease the Sports activitiesare beneficialtoincrease thesense Anadolu Efes SailingTeam to children inneed. bicycles we built of Contemporary Life, we delivered the Through theAssociationfor theSupport Day, we heldabicycle-building workshop. On December5,InternationalVolunteer 41 with WWFTurkey andran “for good”the Anadolu Efes Volunteers joinedforces st IstanbulMarathon. with the Anadolu Efes Sailing Team. Click here to watch avideoof the great day we had won many prestigious awards. Trophy, Famous Cup,TAYK andBodrum Cup and Bosphorus Cup,GöcekRixos SailingCup,Tayk participated innearly150competitions,includingthe comprised 13peoplefrom different departmentsand Yusuf Şendut ANADOLU EFES SUSTAINABILITY REPORT 2019 Anadolu Efes Sailing Sales &Investments, Field Specialist Team Member, 18 18

COMMUNITY OUR VALUE CHAIN ENVIRONMENT OUR EMPLOYEES ABOUT THE REPORT Occupational Health and Safety ABOUT THE REPORT In 2019, we provided 39,562 hours of training to our employees with a 10% increase.

We manage all We consider providing a healthy, safe, and ideal work We provide regular OHS training to employees to Accident Frequency Rate our operations environment to our employees as one of our most internalize OHS culture, manage risks, and work OUR EMPLOYEES fundamental responsibilities. We manage all our according to the requirements of a safe work area. In with the goal of operations with the goal of zero occupational 2019, we provided 39,562 hours of training to our 2,0 1.86 zero occupational accidents and diseases, as well as create and develop employees with a 10 percent increase. We also a strong occupational safety and health culture. We ensured that our suppliers’ employees receive a total accidents and are committed to identifying and effectively of 2,337 hours of OHS training. diseases. managing the occupational health and safety risks stipulated within the scope of the OHSAS 18001 1,5 Occupational Safety and Health certificate, and establishing and reviewing the objectives and My Friend is Under My Protection programs related to these risks. As of 2019, 16 of our ENVIRONMENT facilities have OHSAS 18001 Occupational Safety We continued to implement the “My Friend 1,0 0.96 and Health certificates. OHS Committees that is Under My Protection” award mechanism comprise occupational physicians and occupational in Anadolu Efes Turkey to improve and 0.71 safety experts, trade union representatives, crew increase the OHS awareness of our leaders, and employee representatives meet and employees. As part of the program, we assess OHS issues every month and evaluate possible identified 282 cases of near-miss and risky 0,5 measures. The committees regularly inform the cases, and made improvements. executive management about the evaluations and analyses made. In 2020, we will complete the

transition to ISO 45001 Occupational Safety and CHAIN OUR VALUE Health certification at our facilities in Turkey and Kazakhstan. COMMUNITY

ANADOLU EFES SUSTAINABILITY REPORT 2019 19 Initiative Business Plastic environmental problems ofourera. against plasticpollution,oneofthecrucial Plastic Initiative tocontributethefight In 2019,we becameapartoftheBusiness Coolers Efficiency in Energy Projects Water Efficiency that in2011. cooler by66%compared with reduced carbonemissions per energy consumption.In2019,we greenhouse gasemissions from efficiency anddecrease models toincrease energy We migrate tonext-generation projects, we saved 220,000m Thanks tooperational water efficiency $160,000 in2019. ANADOLU EFES SUSTAINABILITY REPORT 2019 3 water and

COMMUNITY OUR VALUE CHAIN ENVIRONMENT OUR EMPLOYEES ABOUT THE REPORT Environment ABOUT THE REPORT As a producer obtaining its raw materials from nature, environmental sustainability plays a vital role in our continued operations.

Climate change and resource scarcity affect the agriculture In 2019, we focused on improvement efforts, such as emissions by switching from LPG forklifts to electric forklifts

and food industries significantly. As a producer obtaining recycling and reuse of waste water, changing lighting, in Adana, Izmir, and Ankara breweries. OUR EMPLOYEES its raw materials from nature, environmental sustainability renewing machinery and engines used in processes like plays a vital role in our continued operations. Thus, tackling production and washing, with an investment of nearly 16 With the help of our various efficiency and improvement climate change is one of our most material issues. Besides, million TRY. We provided 1,757 hours of training to our activities, we saved 37,126 MWh of energy and prevented

we aim to implement the waste and packaging practices employees to enhance our environmental performance and the emission of 613 tons of CO2. We saved nearly 7.5 supporting the circular economy and managing the water raise environmental awareness. million TRY in costs thanks to our projects. risks. Climate Crisis Energy Efficiency in Coolers We are enhancing our performance with different practices within the scope of our Positive Impact Plan, which we We ensure that our products are cooled at the consumption shaped in line with stakeholders’ opinions, SDGs, and locations so that we serve consumers with the best-quality ENVIRONMENT global trends. In environmental management, we comply and ideal tasting conditions. We migrate to next-generation with all local regulations in the regions in which we operate Increasing temperatures, changing rainfall regimes, and models to increase energy efficiency and decrease and take our corporate policy and international standards frequent extreme weather events are a major risk, greenhouse gas emissions from energy consumption. We as a reference. We use ISO 50001 Energy Management especially for the agriculture and food industries. Increasing are rapidly decreasing the carbon footprint of our coolers. System and ISO 14001 Environmental Management temperatures cause changes in various crops and frequent In 2019, we reduced carbon emissions per cooler by 66 System certificates to manage our operations. Of note, 8 of floods destroy the land, while droughts adversely affect the percent compared with that in 2011. our 22 facilities have ISO 14001 and 10 have ISO 50001 water resources needed for agricultural irrigation. Failure to certificates. We collaborate to create solutions for adequately manage these risks arising from climate change environmental issues and develop projects. We are in could lead to significant disruptions in the functioning of Sustainability Team several working groups of our stakeholders such as the industries that use agricultural raw materials, especially in Member, Purchase CHAIN OUR VALUE Turkish Industry and Business Association (TUSIAD) and the food industry. Specialist the BCSD Turkey. As a member of the Environmental Protection Foundation (ÇEVKO), we continue to support As part of tackling climate change, which affects the projects handling the issue of packaging waste. continuity of our business, we monitor greenhouse gas emissions and energy consumption from all our operations. We share all our operations' performance via sustainability report and Turkey operations performance via Carbon Disclosure Project (CDP) transparently. We prefer highly Elif Özcü efficient technologies to decrease our emissions and energy COMMUNITY consumption. This year, we decreased greenhouse gas

ANADOLU EFES SUSTAINABILITY REPORT 2019 21 Water Risks and Management We were the first Turkish approaches to reduce the impact after consumption. We Electric Forklift Project company to sign the UNGC’s support the circular economy by increasing the use of Along with the water risks, such as changing rainfall recyclable materials and decreasing the weight of our ABOUT THE REPORT regimes and drought, growing populations and economic CEO Water Mandate initiative packaging. We reduce raw material and energy This year, we eliminated our motor vehicle development of countries are rapidly increasing our water in 2014, which brings the consumption for logistics by decreasing the thickness of emissions and thus decreased our greenhouse consumption. The amount of freshwater we can use directly packaging and optimizing pallets used to carry products as gas emissions by switching from LPG forklifts is fixed and low, which warrants more efficient water use. It business world leaders together we achieve financial savings. to electric forklifts in our Adana, Izmir, and is crucial to develop new projects and technologies to to generate sustainable Ankara breweries. Through this project, we implement practices that promote productivity and reduce solutions in the area of water. switched to a technology that allows us to consumption. Taking these measures quickly is imperative, Anadolu Efes Turkey’s Can reduce our environmental impact as well as especially in areas facing water scarcity. lower our costs. Circular Waste and Packaging and Can Pop Tab Reduction Project Our production processes, primarily barley and hops Management OUR EMPLOYEES agriculture and packaging, require huge amounts of water. At Anadolu Efes, we determine the processes that utilize We are attempting to reduce packaging AB InBev Efes's Water Resources high amounts of water and strive to enhance our waste and environmental impact. With the Renewal Project performance. Accordingly, we focus primarily on water Can and Can Pop Tab Reduction Project efficiency practices and monitor our progress by setting Environmental pollution continues to increase rapidly every we conducted at Anadolu Efes Turkey, we AB InBev Efes strives to renew water targets. year. Wastes that are not stored or recycled regularly attained a reduction of 10 tons of cans resources to ensure that local people have adversely affect life, especially water resources. Thus, and 100 tons of can pop tabs over the access to clean natural water in the regions Besides productive agricultural practices, we develop applications to decrease waste and support the circular past three years. we operate in. We have renewed over 80 different projects and applications to reduce water economy must be developed and the effects of packaging resources over the past nine years as part consumption. Water management is now one of the must be calculated and managed throughout the value of our project, which aims to create a ENVIRONMENT indicators of our executives’ individual performances. We chain. Eco-friendly common sense of responsibility for the monitor processes effectively to ensure our executives Beer Mats conservation of natural water resources. improve the processes they are in charge of. At Anadolu Efes, we aim to decrease the amount of waste generated by our operations and improve our recycling We continue to invest in efficiency projects, such as water rate. Accordingly, we are working on practices that will We work closely with universities, suppliers, recycling, fixing of water leakages, recovery via reverse contribute to the circular economy and support the and entrepreneurship ecosystem to find osmosis, and optimization of existing water lines, to reduction and reuse of waste in all our operations. eco-friendly solutions. One of the start-ups decrease the amount of water consumed per product that we collaborate with is Biolive. With produced. Thanks to operational water efficiency projects, We conduct activities to decrease the adverse Biolive, we focus on developing beer mats we saved 220,000 m3 water and $160,000 in 2019. environmental impact of packaging wastes emerging made from olive seeds instead of plastic. CHAIN OUR VALUE because of our products. We develop innovative COMMUNITY

ANADOLU EFES SUSTAINABILITY REPORT 2019 22 Food Safety HACCP standards. Management System,andthe ISO 22000Food Safety Management System,the with theISO9001Quality producing incompliance In alloperations, we are Trainings Distributor Dealer and dealer employees. training sessionsfor our570 In thiscontext, we provide Efes Turkey’s SalesAcademy. competencies through Anadolu distributors toharnesstheir We helpourdealersand Development Seed ANADOLU EFES SUSTAINABILITY REPORT 2019 species. seeds andseven hops registered 17barley developed and To date,we have 23 23

COMMUNITY OUR VALUE CHAIN ENVIRONMENT OUR EMPLOYEES ABOUT THE REPORT ÇEVRE payments is88percent. of thepaymentswe make toourlocalsuppliersintotal from 390farmers, 240 of whichare contracted. Theshare In 2019,we bought barleyfrom 2,600farmers andhops decreasing environmental impact. production. We inform ourfarmers aboutefficiency and practices tolife, andusetechnologicaltoolsinagricultural as ourbusinesspartner,tobringsustainableagriculture support thedevelopment of ourfarmers, whomwe consider triggers extreme weather events andwater risks.Thus,we putting aseriouspressure onagricultural production asit exerts asignificantimpactonbusinessoperations, is for ourproduction from thesoil.Theclimatecrisis,which We supplythemajorityofmainraw materialsneeded development. suppliers anddealers,we supportlocalsocioeconomic quality products. Byimplementingjointprojects withour customers andconsumers,always offersafe, high- land thatisoursource ofraw materials,protect our our value chainthatcovers alarge impactarea, sustainthe 70 countries.We aimtostrengthen allthestakeholders in We produce insixcountriesandexport ourproducts toover highest qualityandsafety standards. To date,we have the continuationofaraw materialsupplythatfulfillsthe 1982 to develop sustainable agricultural projects and ensure We have performed R&Dandinnovation activitiessince funding for sustainableagriculture techniques. their prosperity. We alsoprovide farmers withtraining and productivity andincrease farmers’ profitability and,thus, dependence onseeds.Theseseedsaugmentagricultural facilities toourgrowers sothatwe canavoid external provide thecertifiedseedswe developed atourR&D buy. Thisensures sustainabilityinoursupplychain.We plan theirproduction basedontheamountwe committo by implementingtheContract Farming Model.Ourfarmers agriculture. We encourage plannedandefficientagriculture generations byreducing theenvironmental impactof to protect thesoilandtoday’sresources for future development byempowering farmers. Inaddition,we aim the supplyofraw materials,aswell assupportinglocal Our sustainableagriculture practices are basedonsecuring Farmers Supporting Sustainable Agriculture and By implementing jointprojects withour suppliers and dealers, we Our Value Chain support local socioeconomic development. vital role inourefforts. universities, TUBITAK, andthelocaladministrations, playa Ministry ofFood, Agriculture andLivestock, various Our collaborations withmultiplestakeholders, including the cultivation. manufacturers inTurkey onirrigation,fertilization, andsoil seeds. We provided 150hoursoftraining toourbarley species. In2019,we provided ourgrowers withninecertified developed andregistered 17barleyseedsandseven hops Smart Agriculture Project The Future is inAgriculture: project intheCommunitysection. You canaccessfurther information on the positive impactonourvalue chain. of raw materialsandmaximizethe agricultural practices toensure thefuture production, andpromoting eco-friendly use ofchemicalsinagricultural quality from theunitarea, reducing the attaining thehighestefficiencyand impact ofagriculture. We focus on farmers, anddecrease theenvironmental barley andhopsagriculture, empower the we aimtoincrease theefficiencyof agricultural practices. With thisproject, own raw materials by usingsmart the firstcompany in Turkey toproduce its Turkey in2018.Ourobjective istobecome project inpartnershipwiththeWWF We initiatedtheFuture is inAgriculture Model, andcostmanagement(seven hours/person). quality requirements, thescopeofContract Farming Efes operations onnew barleytypes,fertilizer use, species. We provided training tofarmers inourABInBev 2019, trialsare underway todevelop four new barley SmartBarley project todevelop new barleyspecies.Asof With ourRussianpartnerABInBev, we implementthe hops species. registered 17barley seeds and seven To date, we have developed and ANADOLU EFES SUSTAINABILITY REPORT 2019 24 24

COMMUNITY OUR VALUE CHAIN ENVIRONMENT OUR EMPLOYEES ABOUT THE REPORT persons 570 assessment. by consideringacertainscore scaleaspartoftheriskscore Operational Suppliers.We create actionplansfor suppliers suppliers intotheegroups, namelyStrategic, Regular and two steps, financialandoperational analysis,we categorize service. Aspartofoursupplierriskassessmentthatincludes based oncriteriasuchasprices,quality,delivery, and calculate theriskscores ofthesuppliersthatwe evaluate through every stagefrom selectiontoassessment.We Principles. Oursupplierevaluation procedure guidesus We expect oursupplierstofollow theSupplierWorking Supplier Evaluation Academy. competencies through AnadoluEfes Turkey’s Sales We helpourdealersanddistributorstoharnesstheir provide training sessionsfor oursuppliers. comply withtheSupplierWorking Principles.We also stakeholder ecosystem.Alloursuppliersare obligedto Anadolu Efes toenhanceourpositive impact onthisbroad distributors embracing theresponsible businessconductof attach great significancetosuppliers,dealers,and dealers anddistributorstakingpartinourvalue chain.We We work togetherwithover 8,600suppliersand865 Responsible Sourcing 139 days 293 hours Communications Policy. representatives, tocomplywithAnadoluEfes’ Marketing well asourdealersanddistributors,whoare ourfield communication practices. We expect allouremployees, as motivate consumerstoconsumeconsciouslywithour marketing limitationsrequired bylegalregulations, as we with aresponsible approach. We complywiththesalesand We market ourproducts tomillionsofconsumersworldwide Responsible Marketing our primaryresponsibility. customers atahighstandard aswe considerfood safety technologies, we always fulfillthedemandsofour standards. Thankstoouradvanced production Food Safety ManagementSystem,andtheHACCP ISO 9001QualityManagementSystem,the22000 In alloperations, we are producing incompliancewiththe our consumers. at thehighestqualitythatalways have thesametasteto international qualityandsafety standards toofferproducts countries, ourpriorityisqualityandfood safety. We apply As we deliver ourproducts tomillionsofpeopleinover 70 Quality and Food Safety people sofar. The project hasreached nearly100,000 Almaty, where theapplicationisinplace. drivers atcertainrestaurants andbarsin 2013. We offer adrop-off servicebyour launched byAnadoluEfes Kazakhstan in Efes Driver application,whichwas caused bydrunkdrivingwiththeSober We aimtoprevent traffic accidents Sober Efes Driver Application Responsible Drinking (IARD) International Alliance for consumption. drivers aboutresponsible alcohol awareness amongmore than50,000 driving schoolsandhelpedraise InBev Efes hascollaborated withover 155 in drivingschools.Asastakeholder, AB of drivingundertheinfluencealcohol in Russia,provides lectures ontheeffects Alliance for Responsible Drinking(IARD) and Drive, initiatedbytheInternational The multistakeholder project Don’tDrink ANADOLU EFES SUSTAINABILITY REPORT 2019 25 25

COMMUNITY OUR VALUE CHAIN ENVIRONMENT OUR EMPLOYEES ABOUT THE REPORT Tourism Future is in collaborated with23universities. women. Inaddition,we supported500NGOsand created direct orindirect employment for 300 people through theprojects we supportedand Tourism project. We reached outtonearly200,000 We supported16projects underTheFuture isin Entrepreneurship Future is in such asAccelerate 2030andITUCekirdek. entrepreneurs through various platforms In 2019,we continuedtosupport Culture and Arts Sports Sports Club by AnadoluEfes support sports We continueto Agriculture Smart continously. and arts33 years We supportculture ANADOLU EFES SUSTAINABILITY REPORT 2019 43% inbarleyagriculture and49%inhops. farmers enhancedtheproductivity upto productivity. Thankstothisproject, our practices thatwillenhanceagricultural are expanding eco-friendlyagricultural In collaboration withWWFTurkey, we

COMMUNITY OUR VALUE CHAIN ENVIRONMENT OUR EMPLOYEES ABOUT THE REPORT execute for social development. Goals withthe projects we the Sustainable Development activity areas. We contribute to common value related to our our impact area and create with social benefit, we broaden Through various investments prioritize local development. in which we operate and also and employment inthe countries contribute to economic growth success.long-term We community as the key to We viewenriching the ecosystem inourcountry. innovative ideasbysupportingtheentrepreneurship have developed. We encourage theemergence of expand theproduction ofbarleyandhopsseedswe provide training andfundingtofarmers, aswell as with sustainableagriculture practices. We also and create new jobs.We continueourR&Defforts tourism, we aimtounlockTurkey’s tourismpotential part ofourvalue chain.Bysupportingsustainable with localsuppliersandcreating employment as We contributetothelocaleconomy byworking Contributing to the Local Economy an exemplary institution. practice, and Anadolu Efes as the bestsustainable tourism cited “The Future is in Tourism” from 70 different countries, articles offaculty members The book which featured models. entrepreneurship inthedevelopment oflocal sustainable development toolandpromote utilize sustainabletourismasanalternative Tourism andtheUNDPsince2007,we aimto been executing withtheMinistryofCulture and With “TheFuture isinTourism” project we have The Future is inTourism Tourism projects by clicking here. You can watch the videoonour Future is in universities. supported 500NGOsandcollaborated with23 employment for 300women. Inaddition,we supported andcreated direct orindirect 200,000 peoplethrough theprojects we Tourism project. We reached outtonearly supported 16projects underTheFuture isin applicability andsustainabilityoftheprojects. We communications supportandensure the well asconsultancy,mentorship,and provided fundingfor three projects every year, as Valley inEasternAnatolia.Since2013,we have a tourism-basedproject centered intheÇoruh In thefirstfive years oftheproject, we focused on institution. practice, andAnadoluEfes asanexemplary Future isinTourism” thebestsustainabletourism members from 70different countries,cited“The Governance,” whichfeatured articlesoffaculty In 2019,“CSR2.0Approach toCorporate ANADOLU EFES SUSTAINABILITY REPORT 2019 27 27

COMMUNITY OUR VALUE CHAIN ENVIRONMENT OUR EMPLOYEES ABOUT THE REPORT (Link var)

The Future is in Agriculture practices. As part of the pilot project, we measure the Hops Harvest benefits of smart and eco-friendly field applications on a land that is as large as 150 football fields. In 1971, we started producing hops that give our Thanks to this project, our farmers enhanced the products their characteristic aroma in Bilecik, ABOUT THE REPORT productivity up to 43 percent in barley agriculture Pazaryeri, the only place where hops are grown. We and 49 percent in hops. We can collect in real time produce seven types of hops registered to Anadolu the data about soil moisture, soil temperature, Efes with our contract farmers. We aim to increase relative moisture, and temperature values from our agricultural productivity with our smart agricultural growers’ fields using smart agriculture practices such practices. We were in Bilecik, Pazaryeri, for this year’s as Soil And Air Sensors, Field Health Monitoring hops harvest. After harvesting, we assessed the Through Satellite and Digital Soil Analyzer and production processes at our processing facility. measure and record them regularly. Thanks to We develop barley and hops seeds through the technologies providing information, such as plant You can watch the 2019 hops harvest by

R&D works performed at our “Agricultural Product growth models, plant disease warnings, irrigation clicking here. OUR EMPLOYEES Development Department,” since 1982 under the recommendations for irrigation fields, drought Future is in Agriculture project. We provide training monitoring for non-irrigated fields, we make the lives and funding to the growers to spread the production of the growers easier and decrease environmental of those seeds. “With the Future is in Agriculture” impact. Our farmers can access information instantly Hops project, we ensure the supply of agricultural raw from their mobile phones and take the necessary Farmer materials from local growers, and through R&D, steps. This way, they only activate irrigation systems develop drought-resistant products which require less when necessary and decrease water consumption. water and energy consumption. As such, we aim to In addition, this technology helps preventing encourage eco-friendly agricultural practices that will disturbances, such as contamination of underground enhance agricultural productivity. water sources, caused by excessive fertilizer use and ENVIRONMENT spraying. Serkan Kireç Barley Farmer In 2019, our “The Future is in Agriculture” Smart Agriculture Project was awarded in two categories in the 18th Golden Compass Award ceremony.

• We received Alâeddin Asna Corporate Governance Responsibility, Consistency & Continuity Special Award, which is given to Şefik Sayaner

promote the professional values and vision CHAIN OUR VALUE of Alâeddin Asna, PhD, founder of the Turkish Association of Public Relations Agencies. “The Future is in Agriculture” Smart • The Future is in Agriculture project received Agriculture Project an award in the Corporate Governance Responsibility - Agriculture category. We initiated the Smart Agriculture project in partnership with the WWF Turkey in 2018. Our objective is to become the first company in Turkey to produce its own raw materials by using smart COMMUNITY agricultural practices. Through this project, we aim to encourage young growers to implement and spread the use of smart and eco-friendly agricultural

ANADOLU EFES SUSTAINABILITY REPORT 2019 28 The Future is in Entrepreneurship We ended the year with an award Entrepreneurship Workshop th At the 11 Corporate Social We established the Anadolu Efes Entrepreneurship Responsibility Summit, organized Workshop to take intrapreneurship one step further ABOUT THE REPORT to award local solutions and and encourage employees. Our employees can record As we believe that young people and innovative their entrepreneurial ideas in the project database ideas should be encouraged, we support the collaborations that aim to attain of the Workshop. Every year, 10 employees get the entrepreneurship ecosystem. In 2019, we continued to the global goals, we received chance to join the Anadolu Efes Entrepreneurship support entrepreneurs through various platforms. the Platinum Award for the Acceleration Program. In the Entrepreneurship Acceleration Program, project owners set up their Accelerate 2030 Global Program “Accelerate 2030” program, which teams and work on their ideas for eight weeks with demonstrates our commitment experts and mentors. Those who successfully complete We were the main sponsor of Accelerate2030, the program move to the next phase, which is the which scales social initiatives that contribute to to social entrepreneurship and Incubation Program. In this phase, employees execute OUR EMPLOYEES the 2030 Sustainable Development Goals. This collaboration. a pilot project within three months and after complet- program was launched in 2019 for the first time in ing the necessary tests, their projects are ready to be Turkey. The program we performed in collaboration Blind Look introduced. with the UNDP and Impact Hub received over 70 Founding Partner applications in its first year. Joon, Biolive, Tolkido, and Naturanas took their places among the finalists and Two Awards with Pubinno joined an intensive six-month training program to accelerate their initiatives. At the end of four months, We have been working with Pubinno, a local enterprise that produces smart Biolive, which produces natural bioplastic granules presentation materials for businesses using artificial intelligence technologies, since the from olive seeds, ranked among the 10 finalists in company came up with this innovative idea. Pubinno develops solutions that enable ENVIRONMENT the global competition and became the only Turkish Sadriye Görece businesses to serve our products at the right amount and right temperature every time. initiative that represents Turkey at the Global Scaling We received the “Most Effective Company/New Start-Up Collaboration” award with Week Summit. As a company that supports social İTÜ Çekirdek Pubinno at the Corporate & Startup Day organized by Özyeğin University, Endeavor entrepreneurs, we collaborated with Biolive and Turkey, TOBB Young Entrepreneurs Board, Entrepreneur Organizations Platform and started working on producing packaging and beer We are one of the main stakeholders of ITU Bizz Consulting. Furthermore, we received the first prize in the “Inventors” category with mats with materials that has low environmental Çekirdek, one of the five largest incubation centers Pubinno’s AI-Based Smart Tap project that also won the “Most Digital Project” title at impact. in the world, since 2018. Every year, we fund three Anadolu Group’s An Idea Festival, where successful projects of the group’s company different start-ups with the Anadolu Efes Special are presented. Click here to watch the jury event of the Award as part of ITU Çekirdek’s Big Bang Start Up

Accelerate 2030 Program, which was performed in Challenge and our volunteer employees mentor to CHAIN OUR VALUE collaboration with Anadolu Efes, @impacthubist entrepreneurs. and @undpturkiye. Anadolu Efes Kazakhstan’s Save To date, we have funded TL 300,000 totaly to 6 The Nature Project entrepreneurs. Impact Hub We raised and released 25 steppe eagles to Accelerate 2030's In 2019, we supported @blindlook.tr, which provides nature, the symbol of Kazakhstan’s Business Partner visually impaired with access to restaurants and their landscape as part of the project. As a result, menus, Stage Online, that makes theater accessible the number of eagles increased four times in for everyone, and @ecordingmapp which offers a the Almaty region. We aim to execute this COMMUNITY quick and technological solution to planting forests successful project on the national level. with the drone “ecoDrone”.

Semih Boyacı Click here to watch the pleasant moments of the Big Bang Start-Up Challenge. ANADOLU EFES SUSTAINABILITY REPORT 2019 29 Ülkemizin gelişiminde Sports kültür sanatın ve sporun Social Investments Anadolu Efes Sports büyük öneme sahip ABOUT THE REPORT olduğuna inanıyor; bu Club alanlarda uzun yıllardır Established in 1976, Anadolu toplumsal fayda yatırımları Efes Sports Club became the first Turkish basketball team gerçekleştiriyoruz. that won a European Cup with the FIBA Korać Cup in 1996. In 2000 and 2001, Anadolu Efes Culture and Arts played the EuroLeague Final Four

and the FIBA SuproLeague’s Final OUR EMPLOYEES 33 Years of Cooperation with Istanbul Four and finished third. In the Foundation for Culture and Arts (IKSV) 2019-2020 season, Anadolu Efes again made it to the EuroLeague Final Four and Our collaboration with the Istanbul Foundation for finished as the runner-up. In the same season, Culture and Arts, which has played a crucial role in it won the Turkish Basketball League Istanbul's cultural and artistic life started in 1987 and championship. still continues. Anadolu Efes is the first Turkish team that played We support Istanbul Film Festival, Istanbul Jazz 400 EuroLeague matches. It has 14 Turkish Festival, Istanbul Theater Festival, Istanbul Biennial, Basketball League championships, 11 Turkish Cups ENVIRONMENT Istanbul Design Biennial and Salon IKSV. and 12 President’s Cups, making it the most cup- winning basketball team in each of these leagues. General Manager of IKSV Basketball Head Coach OUR VALUE CHAIN OUR VALUE Görgün Taner Anadolu Efes Mavi Sahne

Mavi Sahne Platform we built at DasDas, the heart Ergin Ataman 28 Years of Support for Theater of culture and art in Istanbul, allows young actors to stage their plays as it also offers stage performances We have been supporting Turkey’s leading for university students at an affordable price. Mavi theaters such as Çolpan İlhan & Sadri Alışık Sahne hosted 35 shows staged by young actors and Theater, Eskişehir Metropolitan Municipality City welcomed 7,000 theater lovers, 4,000 of whom were Theaters, Oyun Atölyesi and DasDas since 1992, university students in the last two seasons. COMMUNITY when we first sponsored Evita Musical in Istanbul. We have staged over 1,000 plays, including “The Rich One’s Kitchen”, in which esteemed actor Şener Şen takes the stage.

ANADOLU EFES SUSTAINABILITY REPORT 2019 30 Our Social Investments During ABOUT THE REPORT the COVID-19 Period

#Solidarityisbettertogether #WeReservedYourSeat TURKEY TURKEY

We allocated 1 million TRY to support the We have been supporting culture and art OUR EMPLOYEES food & beverage and entertainment industry since 1987. As we know that we can stick employees affected by COVID-19 as part of better together during the COVID-19 the ''Solidarity is Better Together'' campaign pandemic, we support #WeReservedYourSeat we organize with Ahbap Platform. We campaign initiated by the Theater provide shopping cards to thousands of Cooperative. industry workers, such as waiters, cooks, #Solidarityinyourownway bussers and bartenders, who contributes TURKEY greatly to the industry. At first, we With food and drinks businesses in announced that we would support 5,000 lockdown, stray animals started having ENVIRONMENT employees in the industry. But then, thanks trouble finding food. Therefore, we started to the contributions of our employees, we #NeedsMap feeding stray animals and provided cat increased this number to nearly 7,000. TURKEY and dog houses. Through Festtogether, Turkey’s first With the contribution of 150 animal-lover sustainable music festival, we have package stores, we initiated the “Solidarity contributed to meeting the needs listed on in Your Own Way” movement. We gave 5 Needs Map, especially the needs of health kg of feed for every 1 kg provided by sector. In addition, we fulfilled the package stores and donated technology device needs of students as they approximately 8 tons of food to stray switch to distance learning, and the needs of OUR VALUE CHAIN OUR VALUE animals in collaboration with Ahbap performing arts workers and technical Platform. We also built 1,000 houses for workers in the music industry. cats and dogs.

KAZAKHSTAN GEORGIA MOLDOVA

We supported 500 people who lost their jobs We distributed 1,000 liters of disinfectant to be

We supported 2,000 entertainment and in the entertainment and catering industry. used in public transportation in Chisinau. We COMMUNITY catering workers in Almaty and Astana. We We also sent soft drinks to over 70 infection contributed to the state pandemic fund. We delivered masks to our dealers. hospitals and supplied disinfectant materials sent soft drinks to the City Hospital. to the hospitals for two months.

ANADOLU EFES SUSTAINABILITY REPORT 2019 31 GRI 102-40

Annexes ANNEXES

Annex 1: Our Stakeholder Groups and Communication with Stakeholders Annex 2: Association and Initiative Memberships and Participations

Communication Stakeholder Group Stakeholder Group Method of Communication Frequency Manufacturers and Importers Association of Alcoholic Beverages (ALKİDER) The American Business Forum in Turkey (AmCham Turkey/ABFT) The Beer and Malt Producer’ Association (BMUD) The United Nations Global Compact (UNGC) Online live broadcasts, video messages, employee volunteering activities, The Brewers of Europe (BoE) field visits, satisfaction surveys, trimestrial bulletins, intranet portal, Anadolu Employees Always ÇEVKO Foundation Efes Quality Circles, events, OHS Board meetings, annual and sustainability The Foreign Economic Relations Board of Turkey (DEIK) reports, websites and regular information emails about our actions. The Ethics and Reputation Society (TEID) Food Retailers Association (GPD) Food Supplement and Nutrition Association (GTBD) Meetings and conferences, annual and sustainability reports, websites, one- The Public Communications and Corporate Relations Management Association Governmental on-one meetings, registered electronic mail (REM) system, via NGO Working Weekly (KİYED) Institutions Groups. Corporate Relations Institute Corporate Communicators Association (KID) Online live broadcasts, video messages, one-on-one meetings, annual and Distributors and Private Sector Volunteers Association sustainability reports, websites, dealer portal, joint projects and communication Always Dealers Business Council for Sustainable Development Turkey (BCSD – Turkey) line Sustainability Academy The Turkish Industry and Business Association (TUSIAD) One-on-one meetings, audits and training, annual and sustainability reports, Suppliers Monthly Turkish Researchers’ Association (TUAD) websites. Federation of Food and Drink Industry Associations of Turkey (TGDF) The Quality Association of Turkey (KalDer) Associations and Collaborations, meetings, working groups, seminars, and conferences, annual Always The Corporate Governance Association of Turkey (TKYD) NGOs and sustainability reports, websites, one-on-one meetings. The Union of Chambers and Commodity Exchanges of Turkey (TOBB) The Turkish Seed Industry Association (TURKTED) General shareholders’ meetings, material event disclosures, press releases, The International Investors Association (YASED) Shareholders, one-on-one meetings, correspondences, conferences, intermediary institution/ Investors, and Always Analysts bank reports, periodic briefings, annual and sustainability reports, websites, stakeholder analysis.

Internship programs, career days, conferences, websites, and annual and Universities Always sustainability reports.

ANADOLU EFES SUSTAINABILITY REPORT 2019 32 Annex 3: Working Groups ANNEXES

Association Working Groups Association Working Groups High Advisory Board BMUD Economy Policies Round Table European Foundation for Alcohol Research (ERAB) Industrial Transformation Round Table The Brewers of Europe (BoE) Service Transformation Round Table The Sustainable Agriculture and Food Access BCSD Turkey Sustainable Development Round Table Working Group Entrepreneurship Round Table Corporate Communicators Association Global Affairs and EU Round Table Ethics and Reputation Society Digital Economy Round Table Private Sector Volunteers Association Investment Environment Round Table Sustainability Academy Turkey The Intellectual Rights and R&D Working Group The Corporate Governance Association of Turkey (TKYD) TUSIAD The Banking Working Group Federation of Food & Industry The Tourism Working Group Associations of Turkey (TGDF) The Retail Working Group Food Supplement and Nutrition Association (GTBD) The Industry 4.0 Working Group The Employment and Social Security Working Group Manufacturers and Importers Association of Alcoholic Beverages (ALKİDER) The Gender Equality Working Group ÇEVKO Foundation The Energy Working Group Turkey Quality Association The Food, Beverages and Agriculture Working Group Corporate Relations Institute The Legal Reform Working Group Global Compact The Competition Law Working Group British Trade Office in Turkey The Corporate Law Working Group KİYED - The Public Communications and Corporate The Food, Agriculture, and Healthy Living Relations Management Association Sub-Working Group China, Georgia, Iran, Kazakhstan, Romania, The Retail Working Group DEIK Germany and Iraq YASED The R&D and Innovation Working Group The Fast Moving Consumer Goods Working Group The Law and Industrial and Intellectual Property Rights Working Group The Public Relations The American Business Forum in Turkey Investment Environment Sustainability Alcoholic Drinks Sub-Committee TOBB Turkish Beverage Industry Assembly

ANADOLU EFES SUSTAINABILITY REPORT 2019 33 Performance Indicators Water Consumption (m3) 2017 2018 2019 ANNEXES Municipal water 5,665,043 6,932,048 5,941,134 Environmental Performance Indicators Underground water 3,324,583 6,948,530 7,039,996 Total Water Consumption (m3) 8,989,626 13,880,578 12,981,130 Energy Consumption (MWh) 2017 2018 2019 Beer Production – Water Intensity (m3/hl) 0.38 0.43 0.37 Buildings fuel & electricity 799,144 1,304,949 1,312,806 Malt Production – Water Intensity (m3/ton) 6.29 5.40 6.12 Electricity purchased 221,549 355,417 337,387 Natural gas 576,886 948,656 974,710 Recycled and waste water quantity (m3) 2017 2018 2019 Generator (diesel) 709 877 710 Recycled and reused water 157,515 147,445 202,606 Vehicle fuel 41,865 43,230 22,842 Waste water 6,674,787 8,955,497 6,353,833 Diesel 14,088 14,310 13,764 Gasoline 16,898 8,314 7,465 Amount of hazardous waste (ton) 2017 2018 2019 Renewable Energy (Biogas) 3,911 4,248 10,446 Total hazardous waste 45,581 7,909 1,064 Total Energy Consumption 841,008 1,348,180 1,346,096 Sent to landfill 20 126 10 Electronic waste 65 85 133 Greenhouse Gas Emissions (ton CO e) 2017 2018 2019 2 Recovered as energy 4 27 0.5 Scope 1 133,899 211,242 214,014 Reused 314 536 4 Scope 2 98,996 149,413 142,093 Other 874 7,203 717 Total 232,895 360,656 356,107 Scope 3 (Services and flights) 244* 713 776 Amount of nonhazardous waste (ton) 2017 2018 2019 *Only services are included. Total non-hazardous waste 105,082 470,267 225,308 Malt Production 2017 2018 2019 Sent to landfill 4,003 6,664 6,970 Energy Intensity (kWh/hl) 349 552 834 Recycled 17,545 391,561 154,596 Carbon Intensity (kgCO e/hl) 94 143 201 2 Recovered as energy 910 1,415 882 Reused 19,656 7,845 0.5 Beer Production 2017 2018 2019 Other 57,739 62,482 51,684 Energy Intensity (kWh/hl) 35 41 36 The brewery in AB InBev Efes received an environmental penalty of $3,402 for delaying to fulfill the license Carbon Intensity (kgCO2e/hl) 9 11 9 requirements for groundwater use. Accordingly, the license has been renewed and no adverse environmental effects have been observed.

ANADOLU EFES SUSTAINABILITY REPORT 2019 34 GRI 102-41

Social Performance Indicators ANNEXES

2017 2018 2019 Employees Left based on 2017 2018 2019 Employees by Gender Female Male Female Male Female Male Gender and Age Female Male Female Male Female Male

Number of Employees 1,307 3,998 1,777 5,082 2,530 6,165 Age 50 and over 43 96 35 101 18 52 Total 5,305 6,859 8,695 Age 30-50 91 376 328 604 157 432 Age 30 and under 72 182 141 219 59 186 2017 2018 2019 Employees by Category Total 860 1,428 904 Female Male Female Male Female Male

Blue Collar 303 1,878 305 2,521 422 3,103 2017 2018 2019 Parental Leave White Collar 1,004 2,120 1,472 2,561 2,108 3,062 Female Male Female Male Female Male

Total 5,305 6,859 8,695 Employees on Parental Leave 35 12 377 77 429 68

Employees Back from Parental 32 12 250 69 317 61 Collective Bargaining 2017 2018 2019 Leave Agreement (CBA) Female Male Female Male Female Male

Employees under CBA 127 896 517 2,177 1,188 2,926 Training 2017 2018 2019 Average Hours of Training per 11.2 10.3 20 Employee Executives based on Gender 2017 2018 2019 and Age Female Male Female Male Female Male Occupational Health and 2017 2018 2019 Age 50 and over 6 10 16 25 52 79 Safety Age 30-50 51 87 237 405 687 1,379 Accident Frequency Rate* 1.86 0.96 0.71 Age 30 and under 3 2 27 30 191 226 Occupational Disease Rate** 0 0 0 Total 159 740 2,614 Number of Fatal Accidents 0 0 0

*Accident Frequency Rate: Total number of injuries x 200,000/Total working hours 2017 2018 2019 New Recruits based on **Occupational Disease Rate = Total number of occupational diseases x 200,000/Total working hours Gender and Age Kadın Erkek Kadın Erkek Kadın Erkek

Age 50 and over 5 6 2 12 7 19 Age 30-50 57 139 85 263 147 417 Age 30 and under 77 253 95 290 205 429 Total 540 747 1,224

ANADOLU EFES SUSTAINABILITY REPORT 2019 35 GRI Content Index ANNEXES

GRI Standard Disclosure References GRI 101: Foundation 2016 General Disclosures Organizational Profile 102-1 2

102-2 4-5

102-3 43

102-4 5

102-5 4

102-6 4-5

GRI 102: General Disclosures 2016 102-7 4, 15

102-8 15

102-9 24-25

102-10 No changes

102-11 13

102-12 32

102-13 32

For the Materiality Disclosures Service, GRI Services reviewed that the GRI content index is clearly presented and the references for Disclosures 102-40 to 102-49 align with appropriate sections in the body of the report. The service was performed on the Turkish version of the report

ANADOLU EFES SUSTAINABILITY REPORT 2019 36 GRI Standard Disclosure References ANNEXES Strategy

102-14 3

102-15 9-10

Ethics and Integrity

102-16 12

102-17 12

Governance

102-18 12

102-19 12

GRI 102: General 102-20 12 Disclosures 2016

102-28 13

102-29 13

102-30 13

Stakeholder Engagement

102-40 32

102-41 35

102-42 11

102-43 11

102-44 11

ANADOLU EFES SUSTAINABILITY REPORT 2019 37 GRI Standard Disclosure References ANNEXES Reporting Practices

102-45 4

102-46 11

102-47 11

102-48 2018 carbon emissions have been updated in line with the change in the electricity emission coefficient.

102-49 No changes

GRI 102: General 102-50 2 Disclosures 2016

102-51 2

102-52 2

102-53 43

102-54 2

102-55 36-42

102-56 No external assurance

GRI 200: Economic Standard Series

Procurement Practices

103-1 24-25 GRI 103: Management Approach 2016 103-2 24-25

103-3 24-25

GRI 204: Procurement 204-1 24 Practices 2016

ANADOLU EFES SUSTAINABILITY REPORT 2019 38 GRI Standard Disclosure References ANNEXES GRI 300: Environmental Standard Series

Energy

103-1 21 GRI 103: Management Approach 2016 103-2 21

103-3 21

302-1 34

302-3 34 GRI 302: Energy 2016 302-4 21

302-5 21

Water and Effluents

103-1 22 GRI 103: Management Approach 2016 103-2 22

103-3 22

303-1 22

303-2 22 GRI 303: Water and Effluents 2018 303-3 34

303-4 34

ANADOLU EFES SUSTAINABILITY REPORT 2019 39 GRI Standard Disclosure References ANNEXES GRI 300: Environmental Standard Series

Emissions

103-1 21 GRI 103: Management Approach 2016 103-2 21

103-3 21

305-1 34

305-2 34

GRI 305: Emissions 2016 305-3 34

305-4 34

305-5 21

Effluents and Waste

103-1 22 GRI 103: Management Approach 2016 103-2 22

103-3 22

GRI 306: Effluents and 306-2 34 Waste 2016

ANADOLU EFES SUSTAINABILITY REPORT 2019 40 GRI Standard Disclosure References ANNEXES GRI 400: Social Standard Series

Employment

103-1 15-18 GRI 103: Management Approach 2016 103-2 15-18

103-3 15-18

401-1 35 GRI 401: Employment 2016 401-3 35

Occupational Health and Safety

103-1 19 GRI 103: Management Approach 2016 103-2 19

103-3 19

403-1 19

403-2 19

403-4 19

403-5 19 GRI 403: Occupational 403-6 19 Health and Safety 2018 403-7 19

403-8 19

403-9 35

403-10 35

ANADOLU EFES SUSTAINABILITY REPORT 2019 41 GRI Standard Disclosure References ANNEXES GRI 400: Social Standard Series

Training and Education

103-1 16-17 GRI 103: Management Approach 2016 103-2 16-17

103-3 16-17

404-1 35

GRI 404: Training and 404-2 16 Education 2016

404-3 17

Diversity and Equal Opportunity

103-1 15 GRI 103: Management Approach 2016 103-2 15

103-3 15

GRI 405: Diversity and Equal 405-1 15,35 Opportunity 2016

ANADOLU EFES SUSTAINABILITY REPORT 2019 42 CONTACT LEGAL NOTICE

Receive more information on Anadolu Efes's Sustainability Report and share your Anadolu Efes Sustainability Report (Report), Anadolu Efes Biracılık ve Malt Sanayi A.Ș. This report has been ANNEXES opinions or suggestions: prepared by Anadolu Efes in accordance with the GRI Reporting Principles and the United Nations Global Compact Progress Report. All information and views provided in this report may not be complete. They have been obtained by Anadolu Efes and have not been verified independently for the purpose of this document. This report SELDA SUSAL SAATÇI has been prepared for informative purposes only and does not purport to be a basis for investment decisions. The Corporate Communication and Relations Director information in this report does not constitute a proposal to sell Anadolu Efes shares or an invitation to such a sale [email protected] process. Its publication cannot be considered a legal relationship of this type. At the time of the preparation of this report, all data and related documents therein were believed to be true and information are presented in NERIMAN ERALP KALYONCUOĞLU goodwill and based on reliable sources. However, Anadolu Efes neither makes any statement nor guarantees Corporate Communications Manager and/or undertakes any commitment in relation to these data. In this regard, Anadolu Efes or any of its [email protected] subsidiaries or their board members, consultants, managers or employees are not responsible for any direct or indirect loss or damage suffered by an individual due to any information or communication relayed within the scope of the Report, or due to information present in this Report or missing from it. ANADOLU EFES BIRACILIK VE MALT SANAYI A.Ş. Fatih Sultan Mehmet Mh. Balkan Cd. No:58 Buyaka E Blok This report is prepared for corporate promotion purposes in accordance with Anadolu Efes Sustainability Tepeüstü - Ümraniye 34771 Strategy. It does not contain any advertising or promotion of alcoholic beverages directed at consumers. İstanbul, Türkiye T: +90 216 586 80 00 Pbx T: +90 216 586 82 24 F: +90 216 488 78 63 www.anadoluefes.com.tr

REPORTING CONSULTANT

S360 Sürdürülebilirlik ve İletişim Hizmetleri [email protected] www.s360.com.tr T: +90 (212) 351 91 76

REPORT DESIGN

FM Data İletişim [email protected] www.icerikvetasarim.com T: +90 (212) 662 78 00 roundabout [email protected] www.roundabout.com.tr T: +90 (212) 292 07 13

ANADOLU EFES SUSTAINABILITY REPORT 2019 43