PERNOD-RICARD - URD 2021-22 EN

3. Sustainability & Responsibility The four pillars of the Good Times from a Good Place roadmap

Objectives & Policies To manage risks within agricultural supply chains, address the duty of care and achieve its ambition of nurturing terroirs, the Group has implemented a 3-level action plan. The action plan helps map the various terroirs to achieve full traceability, assess environmental and social risks to these terroirs, and implement sustainability programmes.

Action plans & Next steps 3-level action plan for nurturing terroirs by 2030

Figures

Commitments

• •

Traceability and transparency with suppliers Risk assessment through Blue Source Process at supplier level (not all wet goods suppliers are on the Blue Source platform)

+350 terroirs +120 ingredients 70 countries

All terroirs

Terroirs fromkey agricultural rawmaterials

Simplified terroir mapping analysis on the raw material and country of origin Certification on Sustainable Agriculture Standards Mitigation project on high risks identified • • •

±150 terroirs 98% of annual spend

Priority Terroirs

• • • • •

Full terroir mapping analysis on environmental and social risks Terroir audit Certification on Sustainable Agriculture Standards Mitigation project on high/medium risks identified Regenerative Agriculture & Biodiversity programs

±60 terroirs 92% of annual spend

Since FY21, 60 terroirs have been identified as strategic priorities under the action plan. This is because they represent a large amount of annual purchases (by spend) and supply key or iconic raw materials (1) . All have been subject to a full risk-mapping analysis: 28 were assessed as high-risk; 18 were found to be medium-risk; and 14 were judged to be low-risk. Frequency of potential risks in priority terroirs By mapping its terroirs, the Group has identified the most pressing issues for its ingredients: climate change, soil erosion, water availability, pollution on soil and water (SASB) .

Defenders of rights Freedom of association Waste management Discrimination Compensation - wages Child labour Deforestation Health communities Land rights Forced labour Water pollution Biodiversity Health & safety Water availability Soil quality & pollution Climate change

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10

20

30

40

50

Risk occurrence

The carbon footprint of agricultural raw materials accounts for 48% of the Group’s Scope 3 emissions (2.3 million tonnes of GHG). The methodology used is described in Subsection 3.3.3.2.

An ingredient is considered emblematic if it is a flagship ingredient for a strategic brand (such as star anise for Ricard), if it has a major sensory contribution or if (1) it is promoted by the brand with a high reputational risk.

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Pernod Ricard Universal Registration Document 2021-2022