Groupe Renault - 2020 Universal Registration Document

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CREATING SHARED VALUES THAT RESPECT SOCIETY AND THE ENVIRONMENT GROUPE RENAULT: A COMPANY THAT ACTS RESPONSIBLY

Groupe Renault materiality matrix: identification of material issues and ESG risks

At the end of 2019 and the beginning of 2020, Groupe Renault conducted a materiality analysis to identify and prioritize the environmental societal and governance issues it will face over the next five years. This analysis consists of crossing an internal vision of the importance of ESG (environment, social, societal and governance) topics with the vision of external stakeholders in order to identify the so-called “material” topics, those on which the Company must focus its efforts because they have a major impact on its ecosystem and its performance over the next five years. This new materiality matrix updates the 2015 matrix and enables Groupe Renault to focus its strategy and environmental, social, societal and governance initiatives. Spearheaded by the CSR department, a cross-functional steering committee supervised the methodological approach and the key stages of the project. This matrix was validated in January 2020 by the Group Executive Committee and by Jean-Dominique Senard, Chairman of the Board of Directors. Methodological approach The materiality matrix was defined by management representatives from the Company’s main departments/functions, based on internal and external data. The first stage of the process was to define the comprehensive list of ESG issues to which Groupe Renault is faced as a carmaker and supplier of mobility services. Numerous sources were consulted to prepare this list, particularly the ESG rating criteria, competitors’ materiality matrices, press articles and interviews with experts. All of the issues collected were grouped into 14 coherent macro-issues. The importance of each issue along each axis of the matrix was then assessed. The y-axis represents the influence on stakeholders’ opinions or behavior and classifies the issues according to the CSR expectations of Groupe Renault’s stakeholders. The importance of issues along this axis was determined from interviews with stakeholder representatives (employees, NGOs, suppliers, car dealerships, start-ups, researchers, public sector, investors) as well as a survey of 3,500 customers in seven countries in the five Regions where Groupe Renault operates. The x-axis illustrates the impact on the Company’s sustainable performance and represents the contribution of each theme to long-term value creation. To assess the importance of each issue

along this axis, internal interviews took place with the Group’s General Management, employees in the main departments/ functions and an internal survey with 200 of Groupe Renault’s top managers. The issues were then refined and placed on the materiality matrix during a collaborative workshop bringing together the representatives of Groupe Renault’s main departments/functions. As in 2015, Reducing the total carbon footprint and Reducing the impact of the use of vehicles on air quality are Groupe Renault’s priorities. Internal and external stakeholders expect Groupe Renault to continue its efforts to reduce greenhouse gas emissions and air pollution due to road transport. They also assessed the impact of these two issues on Groupe Renault’s long-term sales performance as critical, notably due to tightened regulations and the decrease in the societal acceptability of vehicle emissions. Similarly, Improving passenger and road user safety and Limiting the impact on resources particularly through the circular economy remain two major stakeholder expectations, as well as being important issues to guarantee the Company’s performance. Some issues increased in importance in the 2020 materiality matrix. One of the main changes compared to 2015 concerns stakeholder expectations (particularly for investors and the public sector) on corporate governance. Guaranteeing robust governance was considered to be an essential prerequisite when undertaking any transformation of Groupe Renault and was, therefore, prioritized both in terms of stakeholder expectations and impact on Company performance. In a context of changes in skill requirements (related to the electric vehicle, connected and autonomous technologies, etc .) and growing employee expectations in terms of the environment and working methods, Ensuring employee well-being and development is also a growing issue for Groupe Renault. In response to the on-going transformation of the mobility industry and the growing search for optimization of urban areas, the internal stakeholders expect the Contribution of Groupe Renault to the transformation of urban mobility to have a more significant impact on the Company’s performance than in 2015. Stakeholder expectations concerning Groupe Renault’s actions on Ensuring respect for human rights and work throughout the supply chain were also reinforced compared to 2015.

136 GROUPE RENAULT I UNIVERSAL REGISTRATION DOCUMENT 2020

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