Avolta AG

##### 1. Governance

The following section provides an overview of Avolta's
governance framework regarding sustainability matters
as of December 31, 2024.

##### 1.1 Board oversight of climate risks and opportunities

The Board of Directors is responsible for overseeing
Avolta's Sustainability strategy and its effective implementation, including climate-related initiatives.

Within the Board, the ESG Committee – chaired by the
Lead Independent Director – drives the Company's
sustainability agenda by approving the strategy and key
initiatives, monitoring progress against targets, and evaluating sustainability impact. Its core responsibilities
include assessing the Company's position across key
sustainability dimensions (such as financial market
performance, ratings, and sustainability indices),
strengthening stakeholder engagement, and embedding
sustainability principles into the Group's business model
and culture. The ESG Committee meets as often as business requires – typically two to four times per year – with
meetings lasting approximately one hour.

The Lead Independent Director plays a central role in
overseeing the development and execution of Avolta's
Sustainability strategy, ensuring alignment with business
objectives. Working closely with the other members of
the ESG Committee – whose members are experts in
corporate citizenship, sustainability, and governance –
the Lead Independent Director contributes to a comprehensive, holistic approach to sustainability. Climaterelated topics are a key focus of the committee's regular
discussions, reflecting their relevance to the broader
sustainability agenda.

The Board of Directors receives periodic non-financial
updates at least quarterly, covering progress on Sustainability strategy implementation and climate-related projects and initiatives.

##### 1.2 Management's role

The Chief Public Affairs & ESG Officer, reporting to the
Group CEO, represents sustainability at the Global Executive Committee level and leads the execution of Avolta's
Sustainability strategy at the operational level. Overseeing
the Global Sustainability team, the Chief Public Affairs &
ESG Officer drives the day-to-day implementation of Avolta's Sustainability strategy in collaboration with global
functions, as well as regional and local Sustainability
teams, to support effective delivery.

Regular quarterly meetings facilitate collaboration
between the ESG Committee and executive leadership,
with additional discussions taking place as needed.

The Global Sustainability team also works with the Global
Enterprise Risk Management (ERM) team to develop
frameworks for identifying, assessing, monitoring, and
reporting climate-related risks and opportunities.

The supervision of the implementation of Avolta's ESG strategy – including climate change topics – has always been within the responsibility of the Board of Directors. In 2023, to further highlight the importance of ESG, the former Nomination and ESG Committee of the Board of Directors was reorganized into two individual committees: the ESG Committee, chaired by the Lead Independent Director, and the Nomination Committee that assists the Board of Directors in fulfilling its nomination related matters. The ESG Committee advises the Board of Directors on matters concerning the sustainable success of the business and monitors and assesses the company's activities in this area; such functions include promoting the integration of sustainability within the Group's strategies and culture and fostering these concepts among all stakeholders, reviewing stakeholder engagement, and periodically assessing the Group's position on sustainability themes (including financial market, ratings and sustainability index analyses). The Lead Independent Director supervises Avolta's ESG strategy development and execution, ensuring alignment with the business strategy. The Lead Independent Director and the other members of the ESG Committee are experienced in corporate citizenship, sustainability and ESG, bringing subject matter expertise to the committee. As ESG is seen as a holistic approach, climate-related topics are discussed as part of the regular ESG Committee meetings. Further underlining the strategic importance, ESG is now represented also at the level of the Global Executive Committee by the Chief Public Affairs & ESG Officer, who drives the implementation and the execution of the defined strategy. Interaction with the ESG Committee occurs through the regular quarterly information meetings, as well as through additional meetings and information exchanges upon request of the Lead Independent Director. The entire Board of Directors is updated, at least on a quarterly basis on non-financial information. This also includes, among other matters, updates on progress on the implementation of the company's ESG strategy. [...] Execution of the sustainability strategy at the operational level is led by the Chief Public Affairs & ESG Officer, who reports to the group CEO and leads the ESG department. The day-to-day implementation of the ESG strategy is executed by the ESG department. The corporate governance structure and policies are continuously assessed to ensure compliance with the applicable legal frameworks, environmental guidelines as well as Avolta's Code of Conduct to reflect stakeholder's needs and expectations. Additionally, the ESG department develops approaches to identify, assess, monitor and report on climate-related risks and opportunities.

The supervision of the implementation of Avolta's ESG strategy – including climate change topics – has always been within the responsibility of the Board of Directors. In 2023, to further highlight the importance of ESG, the former Nomination and ESG Committee of the Board of Directors was reorganized into two individual committees: the ESG Committee, chaired by the Lead Independent Director, and the Nomination Committee that assists the Board of Directors in fulfilling its nomination related matters. The ESG Committee advises the Board of Directors on matters concerning the sustainable success of the business and monitors and assesses the company's activities in this area; such functions include promoting the integration of sustainability within the Group's strategies and culture and fostering these concepts among all stakeholders, reviewing stakeholder engagement, and periodically assessing the Group's position on sustainability themes (including financial market, ratings and sustainability index analyses). [...] Further underlining the strategic importance, ESG is now represented also at the level of the Global Executive Committee by the Chief Public Affairs & ESG Officer, who drives the implementation and the execution of the defined strategy. Interaction with the ESG Committee occurs through the regular quarterly information meetings, as well as through additional meetings and information exchanges upon request of the Lead Independent Director. [...] Execution of the sustainability strategy at the operational level is led by the Chief Public Affairs & ESG Officer, who reports to the group CEO and leads the ESG department. The day-to-day implementation of the ESG strategy is executed by the ESG department. The corporate governance structure and policies are continuously assessed to ensure compliance with the applicable legal frameworks, environmental guidelines as well as Avolta's Code of Conduct to reflect stakeholder's needs and expectations. Additionally, the ESG department develops approaches to identify, assess, monitor and report on climate-related risks and opportunities.

The Board of Directors is responsible for overseeing Avolta's Sustainability strategy and its effective implementation, including climate-related initiatives. Within the Board, the ESG Committee – chaired by the Lead Independent Director – drives the Company's sustainability agenda by approving the strategy and key initiatives, monitoring progress against targets, and evaluating sustainability impact. Its core responsibilities include assessing the Company's position across key sustainability dimensions (such as financial market performance, ratings, and sustainability indices), strengthening stakeholder engagement, and embedding sustainability principles into the Group's business model and culture. The ESG Committee meets as often as business requires – typically two to four times per year – with meetings lasting approximately one hour. The Lead Independent Director plays a central role in overseeing the development and execution of Avolta's Sustainability strategy, ensuring alignment with business objectives. Working closely with the other members of the ESG Committee – whose members are experts in corporate citizenship, sustainability, and governance – the Lead Independent Director contributes to a comprehensive, holistic approach to sustainability. Climate-related topics are a key focus of the committee's regular discussions, reflecting their relevance to the broader sustainability agenda. The Board of Directors receives periodic non-financial updates at least quarterly, covering progress on Sustainability strategy implementation and climate-related projects and initiatives. [...] The Chief Public Affairs & ESG Officer, reporting to the Group CEO, represents sustainability at the Global Executive Committee level and leads the execution of Avolta's Sustainability strategy at the operational level. Overseeing the Global Sustainability team, the Chief Public Affairs & ESG Officer drives the day-to-day implementation of Avolta's Sustainability strategy in collaboration with global functions, as well as regional and local Sustainability teams, to support effective delivery. Regular quarterly meetings facilitate collaboration between the ESG Committee and executive leadership, with additional discussions taking place as needed. The Global Sustainability team also works with the Global Enterprise Risk Management (ERM) team to develop frameworks for identifying, assessing, monitoring, and reporting climate-related risks and opportunities.