Eczacibasi Building Products SUSTAINABILITY REPORT (2021)

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WE CARE FOR NATURE

WE DESIGN WITH PURPOSE

WE WORK FOR A BETTER FUTURE

WE THRIVE FOR CULTURAL & INSTITUTIONAL PROGRESS

APPENDIX

Talent Management

The core of our talent management approach is to build a teamwork-oriented, open to communication,

motivated, qualified workforce with leadership responsibility and with a focus on the company's goals. We create

opportunities for rotation, both within the company and between organizations. Thus, we offer our employees
different opportunities not only within the company but also between organizations. Likewise, we create
different career opportunities for our employees with international assignment opportunities. Our ultimate goal
in talent management consists of acquiring, retaining and developing the best talent. To unlock the potential of
our employees, we offer effective training and personal development opportunities.

We offer newly recruited employees training development programs that are planned within the framework of
the general technical competency needs of the departments. In addition to compulsory and vocational technical
trainings, we offer programs that contribute both personal and professional development of our employees.

• Functional Academies
• Leadership Programs

• Digital Transformation Training Sessions (VitrA Digimax)

• Blue Collar Development Trainings

EBPB does not only focus on enlarging the talent pool with talented employees but also prioritizes creating
awareness in order to eliminate social barriers derived from gender.

Career Test Drive For Young Talents

Since 2009, the Career Test Drive (KTS) Program has been used to attract young talent to Group companies.

Through this program, university students are given full-time or part-time internships in different positions

for at least two months. They receive mentoring support, personal development training and coaching during
their internship. Interns experience real business life by working on real business projects and are given the
opportunity to present projects to relevant managers in their companies. Students who successfully complete

the internship process are included in the affirmative candidate pool of the Group's recruitment process. In our
Europe region(Germany Offices) , we also carry out studies aimed at gaining young talents with long-term intern

and dual university programs.

University And NGO Collaborations

We participate in university events where we come together with young talent every year. In 2021, we
participated in 9 events organized by the career planning centers and student clubs and had a chance to meet

more than 30 universities. These events included career fairs, participation in classes, interview simulations,
webinars, and talks. After the outbreak of the pandemic, we moved all occasions online.

Within the scope of our Sales Network cooperation, we came together with university students aiming for

a career in sales at Youth Talk meetings. Sales Network is a community that offers networking, events and
content created specifically for the sales sector. It works within the framework of partnerships for purposes,

gender equality and climate action.

We participated with our innovation team in the "Lead the Way for Transformation" panel held in cooperation

with Yenibirlider Association under "Women's Power in Innovation". Yenibirlider Association aims to support
community leaders who can be influential in all areas of life, with the support of its members consisting of

Turkey's new generation leaders and opinion leaders who have provided important services to our country.

ABOUT

WE CARE FOR NATURE

WE DESIGN WITH PURPOSE

WE WORK FOR A BETTER FUTURE

WE THRIVE FOR CULTURAL & INSTITUTIONAL PROGRESS

APPENDIX

VitrA Academy

The VitrA Academy program’s motto is “start getting to know the industry #withVitrA”. We offer seminar series

in universities at which our employees participate to inform students about their sector. In the 2020-2021

academic year, we conducted the program at Eskişehir Technical University, and we signed an agreement with

Istanbul Technical University to continue that program in the 2021-2022 academic year. In the VitrA Academy
program, we aim to come together with students and transfer their experience, to increase their awareness in
the ceramics/industry and to provide future employment by discovering the talents of the future. Our managers
participate in the sessions and inform students about the sector. We reached 118 students in total in our
seminars. In the VitrA Academy program, we aim to come together with students from our target universities
and access their experience, to increase their awareness in the ceramics/industry and to provide future
employment by discovering the talents of the future. Our participants consist of 3rd, 4th grade and MSc students
from the Metallurgy-Chemistry Faculty of the relevant university. We reached 65 students in total in our seminars
and 1 student started to do an internship at our Ceramic Sanitary Ware factory as KTS-Technical Manager.

Bootcamp

Bootcamp is an initiative in which we support the development of competence at a basic level by including new

graduates or recent young talents who want to specialize in the field of data analytics. After the training, we aim

to gain talent in the internship or assistant specialist roles that may be suitable for the candidates. One of our
most important goals in the project is to acquire trained human resources that will enable the Group to reach
the targets in the digital vision faster and play an active role in the projects. 5 people involved in this project had
a job opportunity in our company.

VBenzeri Campus

VitrA visits universities with its VBenzeri Campus project. As a creative platform that brings together students
studying in the architecture, interior architecture and industrial product design faculties, it expands its scope
with events such as conferences, workshops and student meetings held throughout the year.

In its first series of events, VBenzeri Campus has presented on next-generation applications that transform

architectural projects into a collaborative model, shortening the construction process and reducing costs. In the

programs where architects participate as speakers, the use of Building Information Modeling (BIM) in the field

of architecture is explained through examples of projects. The VBenzeri Campus project, which hosted VitrA to
universities, witnessed 14 online events under BIM in 2021 .

Detailed information.
YouTube

650

Applications

Universities

People -
completed

first stage

Weeks -
training period

Hours - personal
training hours

ABOUT

WE CARE FOR NATURE

WE DESIGN WITH PURPOSE

WE WORK FOR A BETTER FUTURE

WE THRIVE FOR CULTURAL & INSTITUTIONAL PROGRESS

APPENDIX

Social Investment

Eczacıbaşı Group has sought to add value to the communities in which it operates while providing products

and services of the highest quality since its foundation. In EBPB, we collaborate with foundations and non-

governmental organizations in parallel with Eczacıbaşı Group's goal in order to contribute to culture and art,

sports, education, women’s empowerment and local development.

In 2013, Eczacıbaşı Building Products - Bathroom came up with a creating youtube channel and website idea that

aims to be a local resource that inspires creative disciplines. The "VBenzeri Blog" channel was created in 2014,
and it believes in polyphony and producing up-to-date and original content; presents the subjects of architecture,
interior and design in a unique way, together with innovation, which is their biggest supporter.

https://www.vbenzeri.com/

https://www.youtube.com/c/VBenzeriBlog

VitrA Ceramic Art Workshop (‘Atölye’), which aims to bring new works to the art of ceramics and transfer them
to society, was founded in 1957 by Dr. Nejat F. Eczacıbaşı. As a member of the International Ceramics Academy
(IAC), Atölye has been continuing its activities under the name of MSGSÜ - VitrA Ceramic Art Workshop since

2011, within the framework of the protocol signed with the Ceramic Products Research and Application Center

within the body of Mimar Sinan Fine Arts University (MSGSÜ). Every year, artists, two from Turkey and two from

abroad, can use VitrA Ceramik Art Workshop as their working space. The works produced by the artists are
exhibited once a year in the halls of the university.

The Eczacıbaşı Group is the founding sponsor of the Istanbul Foundation for Culture and Arts (IKSV), established
in 1973 on the initiative of Dr. Nejat F. Eczacıbaşı. IKSV organizes many cultural and artistic events throughout the

year. In 2021, through awards, commissions, production support and diverse programs, IKSV directly contributed

close to TL 5.7 million to culture and arts while welcoming over 122.5 thousand people to events both in physical
venues and online. With the support of Eczacıbaşı, 1,200 students attended festival events and other IKSV

activities free of charge.

IKSV is also in charge of the Pavilion of Turkey at the International Art and Architecture Exhibitions of la Biennale
di Venezia and coordinates an artist residency program at Cité International des Arts, France. The Pavilion of

Turkey presented Architecture as Measure at the 17th International Architecture Exhibition, La Biennale di Venezia
between May 22 - November 21, 2021. As one of the two co-sponsors of la Biennale di Venezia (Venice Architecture
Biennale), we created a space to raise awareness on the possible contribution of architecture to a new planetary

imaginary of our contemporary environment in light of the current political crisis around climate change.

Additionally, the Group was the main sponsor of the 5th Istanbul Design Biennial, titled Empathy Revisited:

Designs for more than one. The 5th Istanbul Design Biennial is a slowly changing and developing biennial from
October 2020 to April 2021. Istanbul Design Biennial aims to bring together a diverse cross-section of design

“The meaning of life is best understood through art.”

Dr. Nejat F. Eczacıbaşı

ideas once every two years. We believe in the power of design and by supporting the Istanbul Design Biennial,
we also support the idea that design is a tool for understanding humanity’s complex role in today's society.

Culture & Art

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WE WORK FOR A BETTER FUTURE

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APPENDIX

The Eczacıbaşı Sports Club

The Eczacıbaşı Sports Club was founded in 1966 to introduce young people to sports and contribute to the

development of sports in Turkey. In subsequent years, the Club not only trained thousands of athletes, but it also
played an important role in raising the quality of sports in Turkey to international levels.

Today, the Eczacıbaşı Sports Club is focused exclusively on women's volleyball, and its international
achievements in this field have helped to convey the voice of Turkish volleyball throughout the world. VitrA has
reinforced its support for men's and women's volleyball teams for many years and gave its name to Eczacıbaşı

VitrA Women's Volleyball Team from the 2010-2011 season until 2020-2021 season. The support of EBPB,

which believes that the feeling of women's power in sports, as in every field, is an essential social development

criterion, was crowned with the team's consecutive world championships.

Eczacıbaşı Volunteers

Eczacıbaşı Volunteers support social responsibility activities to contribute to society and the environment

and create awareness. In our Turkey operations, our employees are willing to add value to society and the

environment as Eczacıbaşı Building Products - Bathroom Volunteers.

We have supported science and technology learning and encouraged students to develop their innovation

skills in programs organized jointly. We attended an online science session event in collaboration with Young
Guru Academy (YGA). We came together with the students of Dodurga Secondary School. In addition, we
donated five science kits to the same school. We established a library and reading room in Bozüyük Selahattin
Şeker Vocational and Technical Anatolian High School. In addition, we renewed the library and kitchen floors
in collaboration with VitrA Tiles. We donated five computers to Bozüyük Hoca Ahmed Yesevi Primary School.

We participated in the National Afforestation Day event organized by the Bozüyük Forestry Management
Directorate. On June 5, World Environment Day, we organized a program across our community. Our employees'
children aged 6-11 attended the program.

In July and August 2021, we experienced a series of forest fires in Turkey's Mediterranean Region. We sent aid

boxes to Marmaris Municipality and Antalya Metropolitan Municipality. Aid was collected with donations from
factory employees.

ABOUT

WE CARE FOR NATURE

WE DESIGN WITH PURPOSE

WE WORK FOR A BETTER FUTURE

WE THRIVE FOR CULTURAL & INSTITUTIONAL PROGRESS

APPENDIX

Occupational Health and Safety (OHS)

Eczacıbaşı Building Products - Bathroom has always been placed the health and safety of workers as its most

important topic. The Group has a Health and Safety policy that guarantees a commitment to compliance with
good management to ensure a safe workplace. To ensure a systematic and tangible approach to safety, EBPB
adopts the ISO 45001 Health and Safety Management System at our Bozüyük manufacturing plants. This
ensures awareness of the rules, training, information and technical aspects play a key role in the determination
and management of risks and the prevention of injuries.

In order to ensure compliance with current regulations, with support from the top management, various training
programmes have been prepared depending on roles, duties, and levels of responsibility. Seven golden rules

which guide employees have been identified and their execution is monitored by managers on a regular basis.

We adopt a zero accident mentality” in our facilities. In line with the United Nations’ Sustainable Development
Goals (SDGs), Decent Work and Economic Growth (SDG 8) we also note that in 8.8 protection of workers’ rights

and safe work for all workers.

We have a safety committee that includes more than 50 colleagues that investigates how we can zero
work accidents and discusses what kind of measures can be taken within the facility every month to further
develop the working environment. We design systems where we can provide a secure work platform without

encountering any problems. By taking advantage of the benefits of digitalization, we check the health and safety
of our colleagues site of operations as well as in the office. We support the use of controlled machines and

robots in activities that may pose a danger due to muscle power and integrate an infrastructure that supports
business continuity into our system.

The safety of families, our social environment and our stakeholders is our priority as much as our employees.
We adopt a service security model that includes all our stakeholders. We are expanding our protective culture
to include our stakeholders with our informative seminars in case of disasters and emergencies, our COVID-19

handbook and our work on campus, our current information sharing, and our 24/7 online health line is open to
everyone in the Eczacıbaşı Group, including psychological, healthy nutrition and legal consultancy services.

With a total of over eight million working hours, the EBPB achieved a 1.2 injury rate, performing 11 percent better
than previous year. The table with the details of OHS is given in

Appendix III.

ABOUT

WE CARE FOR NATURE

WE DESIGN WITH PURPOSE

WE WORK FOR A BETTER FUTURE

WE THRIVE FOR CULTURAL & INSTITUTIONAL PROGRESS

APPENDIX

Safety Dojo

To promote Health and Safety, regular and updated training programmes are important tools for raising
awareness among employees and creating a safe work environment culture. In 2021, occupational safety
specialists’ teams organized a total of 56,282 hours of training on regulatory requirements and technical matters
at facilities in our Turkish and Santekhnika factories.

We launched the Safety Dojo system to improve employee awareness and skills. A Safety Dojo system initiates
training via the similation of potential accidents in the work environment, thereby allowing employees to test
whether their safety skills are in place and that facility rules are properly applied. We use the Safety Dojo to

train all of our employees regularly and EBPB has some internal, specific requirements. For example, checking
to see if the safety shoes that employees are using are fit-for-purpose, or whether they know how to switch on

the safety interlock system of the press machine. The Dojo is open for updating and reshaping according to the
expectations and employee feedback.

Health and Safety at Our Facilities

Workflows are designed to maximise employee ergonomics by improvements to Mechanical Workshop

Chip Trolleys, eliminating the risk of heavy objects falling from great heights is eliminated by using industrial

pumps to transfer glazes between tanks, adjusting composite guards on mill filling caps to open and close

ergonomically and eliminating mould fall on facilities staff.

Preventing accidents before they occur:
• Repairing automating the curtain cutting process before the second firing of the furnace

• Ensuring robot optimization in the lid production department
• Performing Fanuc Benches Jaw Overhauls - Handshake Hazard

• Positioning of automatic semi-finished transfer robots in the glazing-4 section
• Instead of opening the copper silo with a falcon, fixed drilling apparatus to the silo

• Fixing concealed reservoir sealant guns - Hot Silicone Splash Hazard
• Transition from diesel to electric forklift has improved sound and air health
• Planning shift changes by considering that there is no constant night work

• No one is alone in the field: Staff inactivity monitor for 3rd shift and lone worker safety.

Changes serving security in system and organising land use:

• Ensuring diesel fuel tanks are securely organized, and fuel leak-proof containers are installed.

• Firefighting pump station rebuilt and automated in water fire extinguishing with spatial organization of storage
place for flammable materials (diesel, oil, etc.).
• Fire alarm and extinguishing systems were installed in the warehouse (material assets warehouse) at

Santekhnika.
• Asphalt repair and repair works were carried out in the truck parking area and repair work was carried out in
the employees’ parking area. Pedestrian roads were checked annually.

ABOUT

WE CARE FOR NATURE

WE DESIGN WITH PURPOSE

WE WORK FOR A BETTER FUTURE

WE THRIVE FOR CULTURAL & INSTITUTIONAL PROGRESS

APPENDIX

Other Ad-hoc safety projects:

• OHS Experience Center

• Establishment of the Contractor OHS Control Point: For supplier management, 22 document controls and

vaccination controls are carried out at the door entrances. At least two unvaccinated suppliers are required to

bring a PCR test performed within the last 72 hours.

• OHS Awareness Days

• Setting up the Hazard Prediction System (Kiken Yochi)

• Toolbox, Stop-6, Golden Rules, OHS Handbook Application
• COVID-19 Precautions
• OHS Mobile Communication Line

Emergency Preparedness And Response

In 2021, earthquake preparedness seminars were held with AKUT (Turkish Search and Rescue Association) for all

locations throughout the Group. Communication studies on earthquake awareness were carried out via email. Again,
online family seminars were held for earthquake awareness throughout the community.

Fire extinguishing systems have been automated in all our factories. Action to be taken in case of foreign body detection

were communicated to all employees in the field. Contribution to disaster management was made by creating disaster

awareness and creating technical personnel in response stages.

COVID-19 Precautions

We realized that the spread of Covid-19 might negatively affect production processes and the health and safety
of our employees and stakeholders. In order to prevent this problem, we divided our employees into groups of 10
each, and enabled this group of 10 people to act together in the working and resting areas and services.

A booklet covering the practices and rules to be followed within the scope of the pandemic in the facilities
was prepared and distributed to the employees. Vaccination tents have been set up with the Provincial Health

Directorate at designated points on campus for the benefit of all employees during vaccination periods.
Changing rooms, infirmary, cafeteria and social areas are regularly sterilized with an ozone generator in addition
to disinfectants. In the Bozüyük location, two animated films were prepared for the rules that employees should

pay attention to in their social lives, and they were broadcast on the screen in the cafeteria.

ABOUT

WE CARE FOR NATURE

WE DESIGN WITH PURPOSE

WE WORK FOR A BETTER FUTURE

WE THRIVE FOR CULTURAL & INSTITUTIONAL PROGRESS

APPENDIX

Value Chain

Supply Chain

We care about economic, social and environmental factors in our Sustainable Purchasing and prioritize our
relations with our suppliers. We take all necessary action to protect human rights, prevent child labour, reduce

environmental impact and ensure supply chain flexibility and resilience.

Economic Factors of Sustainable Procurement;

•

Creating green technology, recycling industry

•

Considering the entire lifetime cost

•

Supporting small and medium-sized enterprises

•

Ensuring that contracts with suppliers are at appropriate terms and price levels

Social Factors of Sustainable Procurement;

•

Giving equal opportunity to all suppliers

•

Ensuring equal rights in recruitment

•

Supporting workers’ health and safety issues

•

Providing opportunities for education and skill development

•

Ethical trading, sourcing and affordable pricing

Environmental Factors of Sustainable Procurement;

•

Carbon emissions reporting

•

Use of raw materials and resources

•

Use of renewable energy sources

•

Waste and garbage (Recycling and waste reduction)

( GRI 102-9)

Selecting New Suppliers

Changes in raw materials, simplification of the supply chain, standardization of purchased products are all

factors that result in the need to improve supplied materials. In order to meet this need, to increase our supplier
diversity and to develop different purchasing methods, we are constantly
looking for new suppliers and will continue our journey in each selected procurement category in a more
sustainable supplier group

During the selection process, we want to make sure that the appropriate prices and conditions are included in
the contracts and that the supplier’s minimum ethical, human rights and employer requirements are met. In
order to prevent possible issues arising and to be prepared in advance, we collect the necessary information by
asking the right questions and providing guidance before starting to work together. The timeline of the selection

process is as follows:

1) Information is collected via the Supplier Information Form
2) A Self-Assessment Form allows them to evaluate themselves
3) For strategic suppliers, the Preliminary Evaluation Form is evaluated by EBPB.
4) Relevant instructions are determined via documents and leaflets of the Supplier Handbook given to supplier

candidates

5) In Supplier General Agreements, energy, environment, social compliance, quality system, general management
systems are questioned and confirmed.
6) In the Supplier Handbook and Supplier General Agreements, suppliers are notified of Quality certification
requirements, HSE and environmental expectations, social compliance (BSCI) requirements and methods of

monitoring suppliers.

ABOUT

WE CARE FOR NATURE

WE DESIGN WITH PURPOSE

WE WORK FOR A BETTER FUTURE

WE THRIVE FOR CULTURAL & INSTITUTIONAL PROGRESS

APPENDIX

Monitoring And Evaluating Existing Suppliers

We regularly monitor our suppliers. The suppliers chosen by our Procurement Department are audited annually
by the supplier development department in terms of management, quality, social compliance, environment and
energy management. Our material suppliers are evaluated every six months in terms of quality, product, price,

shipment performance, communication and flexibility.

Contributing The Social And Environmental Awareness Of Our Suppliers

We follow the developments related to the environment and sustainability and investigate the possibilities
of applying them to our company and suppliers. We aim to increase the use of recycling and environmentally
friendly materials. In addition to environmental sustainability, we also prioritize human health and use raw
materials and products that are sensitive to human health and the environment in wood-based panels. In order
to reduce carbon emissions, we aim to increase the utilization rate of containers and trains during shipments.

Our Purchasing and Supplier Development departments organize supplier days and supplier trainings.
In the stakeholder/supplier days and training, we share information on EBPB requirements, policies, quality and
environmental management requirements.

High

Supplier strategic importance

SUPPLIER

SUSTAINABILITY

IMPROVEMENT

BEST IN

CLASS

POTENTIAL ZERO

TOLARENCE

DO IT

YOURSELF

We obtain 81% of our supplies under direct purchases from primary producers. Thus, we shorten the supply
chain as much as possible, improve our carbon footprint and reduce our supply-related risks. EBPB mainly

collaborates with suppliers in Turkey and burgbad collaborates with European (mostly German) suppliers. With

this approach, both companies support local production and job creation. Also, we are lowering our carbon
footprint by reducing the length of the shipments.

One of our criteria in both new and long-term supply chain partner selection is their contribution to the
furthering the sustainability value of our supply chain.

70%

16%

3% 2% 2% 2% 2% 1% 1% 1% 1% 1% 0%

10%

20%

30%

40%

50%

60%

70%

80%

Tür

kiy

Çin

Güney

Kor

Bul

gar

ist

ray

İta

lya

İspany

Fra

Kanada

car

ist

Finlandiy

Alm

any

İngi

lter

Country Distribution of Procurement

80% Turnover

Turkey China

South Korea

BulgariaUkraine

Italy Spain FranceCanada

Hungary FinlandGermanyEngland

79%

78%

74%

12%

11%

13%

10%

20%

30%

40%

50%

60%

70%

80%

90%

2019

2020

2021

Spending on region

Domestic

Europe

Far East

Country Distribution of Procurement

80% Turnover

Spending on Region

Domestic

Europe

Far East

ABOUT

WE CARE FOR NATURE

WE DESIGN WITH PURPOSE

WE WORK FOR A BETTER FUTURE

WE THRIVE FOR CULTURAL & INSTITUTIONAL PROGRESS

APPENDIX

Responsible Procurement Survey

We measure the environmental and social compliance of our suppliers with a survey that we send to suppliers
that make up 80% of our procurement turnover.

We ask for the following questions and then certified them as socially and environmentally compliant suppliers:

• Health and Safety Management in Organization
• Human Rights Commitment
• Audits
• Staff Trainings

• CSR (Corporate Social Responsibility)

• Code of Social Conduct
• Sustainability Reporting
• Environmental Management System
• Consumption Measurement
• Pollution Control
• Environmental Code of Conduct

• Certifications

The results of our Responsible Procurement Survey 2021 that was conducted among our 126 main suppliers that
make up 80% of our procurement turnover, shows that our 63 suppliers are environmentally compliant and 60
suppliers are socially compliant.

Our Other Projects

With our supply chain team, we are working on various projects to minimize our adverse effects on the
environment by mainly reducing our material use and try to decrease our total carbon footprint. Following
our investment decisions by considering the environment and energy criteria, we follow the footprint of our
domestic and international shipments with annual carbon emission reports. By utilizing the GoGreen service
offered by DHL logistics, we started working on actions to minimize logistics-related emissions, and other
environmental impacts in our entire supply chain. We carry out localization studies for the materials we buy
from abroad. With the collaboration of risk management team we work on possible crises in each product
group, supplier locaions and we try to determine alternative groups for suppliers. We try to bring together

quality and sustainability in our packaging by working on FSC (Forest Stewardship Council) certified cardboard

packaging studies. Along with the FSC transition we also carry out studies on the use of box packaging instead

of styrofoam. We reduced raw materials by 25% by using melamine coated chipboard instead of mdflam in
bathroom furniture. In the "production with recycled materials" project developed with Eskişehir Oluklu company,

we prevented 10,400 trees from being cut in 2021.

Evet

Hayır

Anket Devam Ediyor

Supplier Sustainability Compliance

Çevresel Uyum

Sosyal Uyum

Yes

Evaluation in

Progress

Social Compliance

Environmental Compliance

Supplier Sustainability Compliance

Social Compliance

Environmental Compliance

ABOUT

WE CARE FOR NATURE

WE DESIGN WITH PURPOSE

WE WORK FOR A BETTER FUTURE

WE THRIVE FOR CULTURAL & INSTITUTIONAL PROGRESS

APPENDIX

Stores

In our stores, we focus on sustainability in customer experience by;

• Increasing digital interaction in order to understand the exact needs of our customer and offer our customers

different layout options, different material uses and inspiring living spaces.

• Creating living spaces in our stores for our customers to experience our products which focus on saving water

(e.g. recirculation systems).

• Increasing customer safety and convenience during their visit to our stores (especially during pandemic) by

a personalized appointment system, remote product information, 360-degree store displays.• Providing digital
training portals for our store staff on new products for better customer service

Also, our stores are places where we promote sustainable habits:

• We manage our waste by separating pet bottles, paper and other waste in recycling bins.

• We save electricity by using photocell lights, led lights and clock-adjusted fixtures for all dental facades, interior

displays and product lighting throughout the store.

• We consume less paper by turning display labels into digital displays, sending digital notifications, invoices

and order forms.

• We consume less plastic by using reusable textile bags (instead of plastic bags) and recycled bottles (instead of

disposable plastic or cardboard cups).

• We inform our customers by writing informative texts about water consumption in the images on the displays.

Customer Service

We believe that our responsibility continues even after we sell our products to our customers.

In order to provide the best customer experience, we conducted an authorized service brand study in 2021. We
then redesigned our authorized service logo and our corporate identity elements such as authorized service
signs, authorized service employee clothes and badges to include our new logo.

In 2021, we took action to consider the speed and quality of our solution center operations. We provided faster
turnoaround times by authorizing our Customer Communication Center employees to have direct access to
dealer stocks to resolve customer complaints related to product supply.

Additionally, we took advantage of many opportunities of digital transformation in 2021 in order to improve
our business processes and address customer demands more quickly and through differentiated channels. By
integrating platforms such as Instagram, Facebook, Twitter and sikayetvar.com into our Service Cloud system, we
started to handle all customer requests and complaints with greater speed. A total of 2,113 customer complaints
and requests were conveyed to our resolution center in 2021 through these channels. Thanks to all these
improvements, we reduced our end-to-end solution time from 12 days to 8 days.

Previously, faulty product notifications requiring corrective action were tracked manually. In 2021, this process

was digitized and the corrective action process began to be managed much more effectively and systematically.
We included a lot of data that we tracked and started to measure its performance in customer experience

processes. A dashboard structure was established to instantly observe these data, and the first phase was

completed in 2021.

ABOUT

WE CARE FOR NATURE

WE DESIGN WITH PURPOSE

WE WORK FOR A BETTER FUTURE

WE THRIVE FOR CULTURAL & INSTITUTIONAL PROGRESS

APPENDIX

Appendix

Appendix I - Business Ethics And Legal Compliance

Compliance with business ethics principles and legal regulations is a non-negotiable condition of every activity
that we carry out, as clearly stated in our corporate values. Activities and practices related to business ethics,
internal audit and legal compliance throughout the Group are carried out by the Audit Board, Group Head of
Human Resources, Senior Legal Advisory and Compliance Board.

We consider compliance with business ethics principles and legal regulations to be a working standard. Respect
for human rights is one of our fundamental principles in our relations with our employees, suppliers, business

partners, and society. As a part of the Eczacıbaşı Group, a signatory to the UN Global Compact, we adopted the

principle of zero tolerance for discrimination, bribery and corruption throughout its operations.

The "Eczacıbaşı Group Code of Conduct" is published on the Eczacıbaşı Group website as the Personnel

Regulation to help our employees align their daily business decisions with Group values. We have prepared
the Human Resources Practices Handbook in order to provide our employees with information on the Group's
human rights, freedom of association and anti-corruption policies. We also carry out awareness-raising activities

and periodically send information and reminder messages to all employees. The Eczacıbaşı Group Code

of Conduct forbids employees from taking part in the governing bodies of political organizations and from
undertaking promotional and donation activities in a manner that supports a political ideology.

To ensure compliance with the Eczacıbaşı Group Code of Conduct, we designed an abuse and corruption training

program for 121 employees globally in 2021.

Whenever there is a suspicion of violation of the code of conduct, especially of bribery, corruption, violation

of rights, or conflict of interest, every Group employee is obliged to convey the information to the Compliance

Board through the designated open channels. All notices are examined and evaluated by the Compliance

Committee within the framework of the confidentiality principle.

In compliance with the Eczacıbaşı Group procedures, EBPB employees can report violations by either sending an
email to the uyum@eczacibasi.com.tr or calling +90212 371 7272, or filling the violation form on Ebiflow.

Detailed information.

( GRI 102-16,102-17)

ABOUT

WE CARE FOR NATURE

WE DESIGN WITH PURPOSE

WE WORK FOR A BETTER FUTURE

WE THRIVE FOR CULTURAL & INSTITUTIONAL PROGRESS

APPENDIX

Appendix

Appendix II – Corporate Memberships

EBPB is supporting initiatives under the signature of the Group and through the initiatives that are signed by the Group; through Eczacıbaşı Group, we are also a member of TUSIAD, the Business World Plastics Initiative and the
Unstereotype Alliance and a signotary for Women Empowerment Principles (WEPs).

( GRI ( 102-12, 102-13)

Association & Initiative

Turkish Employers' Association of Metal Industries (MESS)
Glass, Cement, Ceramic and Soil Industries Workers' Union of Turkey (ÇİMSE)
Association of Turkish Construstion Material Producers (İMSAD)
Turkish Ceramic Federation (SERFED)
Ceramic Sanitary Ware Manufacturers Association (SERSA)

Ceramics Research Center
Kitchen and Bathroom Furniture Industrialists and Importers Association
Chain Stores Association

Eskişehir Bilecik Kütahya Ceramic Business Cluster Association
Yanındayız Association

Sales Network Platform

R&D and Design Centers Communication and Cooperation Platform (ARGEMIP)
University & Industry Cooperation Centers Platform (USIMP)
Istanbul Chamber of Industry (ISO)

Status

Chairmanship of the Board
Membership
Membership
General Secretary
Membership
Membership
Membership
Board Membership
Vice-Chairmanship
Partnership
Membership
Membership
Membership
Membership

ABOUT

WE CARE FOR NATURE

WE DESIGN WITH PURPOSE

WE WORK FOR A BETTER FUTURE

WE THRIVE FOR CULTURAL & INSTITUTIONAL PROGRESS

APPENDIX

Appendix

Appendix III: Environmental Performance Indicators

(GRI 102-8)

PRODUCTION

Parameter

(ton)

Production

(ton)

2019 2020 2021

Change in

last year (%)

Change in

2019-2021 (%)

105161 110363 128728 16,64 22,41

TOTAL GHG FOOTPRINT

Parameter

(tons CO2)

Total Carbon Emissions

(Energy Use)

2019 2020 2021

Change in

last year (%)

Change in

2019-2021 (%)

91714 96844 103278 6,6 12,6

CARBON INTENSITY PERFORMANCE

Parameter

(tons CO2/ton

output)

Total Carbon

Emissions

2019 2020 2021

Change in

last year (%)

Change in

2019-2021 (%)

0,87 0,88 0,80 -8,6 -8,0

ABOUT

WE CARE FOR NATURE

WE DESIGN WITH PURPOSE

WE WORK FOR A BETTER FUTURE

WE THRIVE FOR CULTURAL & INSTITUTIONAL PROGRESS

APPENDIX

ENERGY INTENSITY PERFORMANCE

Parameter (kWh/per ton)

Direct Energy Consumption

Indirect Energy Consumption

Total Energy Consumption

2019

Change in last year (%)

Change in 2019-2021 (%)

2924,9 2960,3 2713,1 -8,4 -7,2

734,1 726,5 676,9 -6,8 -7,8

3659,7 3685,6 3339,5 -9,4 -8,7

TOTAL ENERGY CONSUMPTION

Parameter (MWh)

Direct Energy
Consumption
Indirect Energy
Consumption
Total Energy
Consumption

2019 2020 2021

Change in

last year (%)

Change in

2019-2021 (%)

307675 326557 341593 4,6 11,0

77179 80198 88304 10,1 14,4

384854 406756 429887 5,7 11,7

Appendix

Appendix III: Environmental Performance Indicators

(GRI 102-8)

2021

2020

103

108

126

100

105

110

100

110

120

130

2019

2020

2021

Carbon and Energy Intensity (2013 = 100)

Production intensity (2013=100)

Energy & Production in Bathroom Division

Production

Energy Intensity

Carbon Intensity

Energy & Production in EBPB

Production

Energy Intensity

Carbon Intensity

103

108

126

100

105

110

100

110

120

130

2019

2020

2021

Carbon and Energy Intensity (2013 = 100)

Production intensity (2013=100)

Energy & Production in Bathroom Division

Production

Energy Intensity

Carbon Intensity

103

108

126

100

105

110

100

110

120

130

2019

2020

2021

Carbon and Energy Intensity (2013 = 100)

Production intensity (2013=100)

Energy & Production in Bathroom Division

Production

Energy Intensity

Carbon Intensity

105

100

130

120

110

100

Production Intensity

Carbon and Energy Intensity

Eczacibasi Building Products SUSTAINABILITY REPORT (2021) - page 5