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Reporting Manual Non-Financial Information Royal Swinkels Family Breweries N.V

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Reporting Manual Non-Financial Information Royal Swinkels Family Breweries N.V Reporting Manual Non-Financial information Royal Swinkels Family Breweries N.V. Annual Report 2019 Date: 5 April 2020 2 3 Contents 1. Why do we have a reporting manual? 4 2. Scope of reporting 5 Operational Scope 5 3. Sustainability indicators 8 Energy and CO2 emissions 8 Indicator: Total energy consumption (#1.2) 8 Indicator: Total CO2 emissions (#1.3) 9 Indicator: Relative energy consumption beer, soft drinks and malting (#1.4) 10 Indicator: Relative CO2 emissions beer, soft drinks and malting (#1.5) 10 Indicator: Renewable energy as % of total energy consumption (#1.6) 11 Watermanagement 11 Indicator: Total water consumption (#1.7) 11 Indicator: Relative water consumption for beer, soft drinks and malting (#1.8) 11 Residual Flows (waste) and co-product management 12 Indicator: Co-products (#1.9) 12 Indicator: Residual flows (#2.0) 12 To the next 4. Safety and well-being indicators 13 Safety 13 Indicator: Lost Time Accidents (LTA) (#2.1) 13 Indicator: Lost Time Accidents Contractors (LTAc) (#2.2) 14 Indicator: Accident Frequency (#2.3) 15 Indicator: Fatalities (#2.4) 15 generations! Employment and well-being 15 Indicator: FTE (#2.5) 15 Indicator: Absenteeism (#2.6) 16 Indicator: Joiners and Leavers (#2.7) 16 Indicator: Subdivision men/women (#2.8) 16 5. Responsible Drinking indicators 17 Lo and No Alcohol 17 Indicator: Lo and No Alcohol (#3.1) 17 6. Local involvement 17 Local involvement 17 7. Circular indicator 18 Royal Swinkels Family Brewers circular ambitions 18 Calculating the circularity score 19 Circular KPIs 19 Indicator: Packaging (# 1.1.1) 19 Indicator: Agricultural raw materials (# 1.1.2) 19 Indicator: Energy and transport (#1.1.3) 20 Indicator: Water (#1.1.4) 20 Indicator: Minimise losses (#1.1.5) 21 Indicator: Co-products and residual flows (#1.1.6) 21 Indicator: Wastewater (1.1.7) 21 8. Reporting Procedures 22 Contact details and responsibilities 23 4 5 1. Why do we have a reporting manual? 2. Scope of reporting In this document we explain the indicators we use to measure our sustainability Operational Scope performance. We define them and clarify their scope and any relevant assumptions we have made when collecting data. Operations included in the reporting scope of the Annual Report: The non-financial information includes all companies in which Royal Swinkels Family Brewers has majority ownership. These are companies that Royal Swinkels Family Brewers Holding N.V. directly or indirectly owns, in which it controls This document is for internal use and aims to help more than 50% of the voting rights or that it otherwise controls. employees understand which information they need to collect the KPIs. This document is also meant for external stakeholders, providing them with an overview of the Table 1: Operations in scope exact details of the reported KPIs. Country Operation name Ownership Description of key activities Royal Swinkels Family Breweries has published an Breweries integrated report since 2015. In the integrated report we Netherlands Brewery Bavaria 100% ownership Brewing and production of disclose both financial and non-financial information. soft drinks We use the standards of Global Reporting Initiative (GRI) Ethiopia Brewery Habesha 62% ownership Brewing as a guideline for our sustainability reporting. The GRI forms the basis for the selection of material topics and Belgium Brewery Rodenbach 60% ownership Brewing reporting principles. The Reporting Manual forms the Belgium Brewery Palm 60% ownership Brewing basis for preparing the non-financial KPIs. Other operations Netherlands Holland Malt (Lieshout and 100% ownership Malting Eemshaven) Netherlands Distribution centre Meern 100% ownership Logistic centre Important changes in 2019: 3. Licensed breweries. There are countries in which No changes have been made in 2019 in the scope of we have licensed breweries owned by others to reporting. produce our brands. For example, Bavaria beer in We acquired 100% ownership of Brewery De Molen in Russia because of the transport distance and import 2019. We will start reporting on the activities from 2020 regulations. onwards. No operations are excluded from the scope due However, we do not own a licensed brewery and to sales. therefore have no insight into and influence on the performance data of a brewery. Due to missing reliable Operations excluded from the reporting scope of the non-financial information, we have excluded the Annual Report licensed breweries. We exclude companies which we do not control. We 4. Swinkels Family Brewers Holding N.V. is head of the often have no insight in the confidential performance group with direct and indirect participations. We data that is needed to collect the data for the non- include participations of our group that perform financial indicators. We also exclude participations with operational activities of brewing, malting and soft solely commercial activities. drinks production. Commercial activities such as service, trade, local sales, wholesale hospitality List of exclusions: establishment are not in scope, like they were in former 1. Companies in which Royal Swinkels Family Brewers years. Holding has minority-ownership. Minority-ownership is defined as companies that Royal Swinkels Family Brewers Holding N.V. directly or indirectly owns, in which it controls less than 50% of the voting rights. 2. Following a merger and acquisition, information will, insofar as feasible, be recognized from the first full reporting year. This is in line with the financial reporting. 6 7 We disclose the following non-financial indicators in the Integrated Annual Report 2019 Table 2: Operations out-of-scope Table 3: KPIs in scope Country Operation name Ownership Description of key Explanation KPI # KPI name KPI Operational scope Material Topic activities out-of- scope Sustainable and circular products and operations Breweries 1.1 Circular performance SFB All operations in scope Circular economy Georgia Brewery Argo 40% ownership Brewing RSFB has a minority 1.2 Total energy consumption All operations in scope Energy and CO emissions share 2 1.3 Total CO emissions All operations in scope Energy and CO emissions Other operations 2 2 1.4 Relative energy consumption Specific scope per KPI Energy and CO emissions Multiple 2 Licensees No ownership but Licensed Brewing There is no beer, soft drinks and malting agreement ownership and the 1.5 influence is limited Relative CO2 emissions beer, Specific scope per KPI Energy and CO2 emissions soft drinks and malting Multiple Foreign sales 100% ownership Sales Commercial 1.6 organizations activities Renewable energy as % of All operations in scope Energy and CO2 emissions total energy consumption U.S.A. Latis 90% Sales Commercial activities 1.7 Total water consumption All operations in scope Water management Netherlands Bier&Co* 100% ownership Wholesale Commercial 1.8 Relative water consumption Specific scope per KPI Water management activities beer, soft drinks and malting Netherlands Out-of-home sales 100% ownership Sales and Commercial 1.9 Residual flows All operations in scope Waste and distribution* distribution activities 2.0 Co-products All operations in scope Waste Safety and well-being * Please note that these operations are included in our FTE, absenteeism, staff turn-over and the subdivision 2.1 Lost Time Accidents (LTA) All operations in scope Employee safety and men/women. well-being 2.2 Lost Time Accidents All operations in scope Employee safety and Contractors well-being 2.3 Accident Frequency (LTAR) All operations in scope Employee safety and well-being 2.4 Fatalities All operations in scope Employee safety and well-being 2.5 Full-Time Employees (FTE) All operations in scope Employment and employment relationships 2.6 Absenteeism All operations in scope Employment and employment relationships 2.7 Joiners and leavers All operations in scope Employment and employment relationships 2.8 Subdivision men/women All operations in scope Employment and employment relationships Responsible drinking 3.1 Lo and No Alcohol All Breweries in scope Responsible drinking Global Growth with local involvement 4.1 No KPI 8 9 3. Sustainability indicators This section explains the indicators we use to measure our sustainability Most used conversion factors performance. We define them, clarify their scope, show the calculations and any Source Country Unit Multiply by Source relevant assumptions we have made when collecting the data. Natural Gas Netherlands MJ/Nm3 31,65 RVO, 2006. Preferred is the actual LHV or 90% of the HHV on distinction between GCV and NCV arises from the the invoice. Energy and CO2 emissions possible different physical states (liquid or gaseous) of Natural Gas Belgium MJ/Nm3 37,3 VREG, 2018. Preferred water following combustion. A commonly accepted is the actual LHV or Indicator: Total energy consumption (#1.2) approximation is that NCV is 95% of GCV for coal 90% of the HHV on Definition: Total thermal energy consumption used for and oil and 90% of GCV for natural gas. IPCC does the invoice. beer, soft drinks and malt production measured in TJ. not provide a relationship between NCV and GCV Biogas Netherlands MJ/Nm3 28,33 Measured Thermal energy originates from different energy sources for biomass fuels, presumably because the moisture Electricity All countries MJ/kWh Kwh *3,6 = MJ IPCC such as light fuel oil, heavy fuel oil, natural gas, town gas, content of biomass fuels can vary extensively. More biogas from wastewater treatment plants, coal, biomass, information can be found on the website of the GHG Diesel oil All countries MJ/liter L *35,8 = MJ IPPC, 2006 district heating, grid electricity, solar panels and more. Protocol and via this link. MJ/gal Gal *135,5 = MJ MJ/kg Kg *42,8 = MJ 3. Below you will find an overview of the most used Scope: All our operations are in scope (as defined in the conversion factor per country and energy source. You Motor gasoline All countries MJ/liter L *32,1 = MJ IPPC, 2006 table ‘operations in scope’).
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