SOMFY - Annual Financial Report 2020

03 NON-FINANCIAL STATEMENT

IV. LOCAL IMPACT OF THE SITES AND IMAGE WITH LOCAL STAKEHOLDERS

Somfy is a sponsor of the French Skiing Federation and of the – French biathlon team. Somfy supports champion biathletes in France and Germany, including Paralympic gold medallist Benjamin Daviet.

1. Description of the risk

V. COMMITMENT TO CIVIC RESPONSIBILITY AND SPONSORSHIP

Somfy is a committed business player, mindful of the challenges for its business development of social, societal and environmental changes. These challenges include the impact of its activity on the ecosystems and territories in which its main sites are located, and their contribution to the performance of its activities, and more generally the importance of this commitment in relation to the company’s image and reputation. Not taking into account this interdependency may result in the performance of the sites concerned being reduced and the company’s image and reputation, either locally or more widely, being damaged in the eyes of its stakeholders. 2. Policies The societal responsibility policy is based on two elements: civic responsibility aimed at improving living environments for – all and in particular, combatting poor housing, through its Corporate Foundation and the Les Petites Pierres endowment fund; local involvement through financial support or participation in – initiatives promoting the economic, societal and environmental attractiveness of the territories. 3. Initiatives The initiatives pursued by Somfy are many and varied. At Group level, Somfy finances the Somfy Corporate Foundation which embodies this societal responsibility in the eyes of its employees. Somfy Activités SA is a higher education partner (Foundation – and Business Club of the Université Savoie Mont-Blanc, innovation chair at Edhec business school). Somfy collaborates with business development players in the territories in which its main sites are located (CIMES competitiveness center, Thésame association); Somfy is a member of the initiative “France an opportunity, – businesses are committed” to promote inclusion. Somfy is a sponsor of various local initiatives in Cluses and Bonneville: in 2020 Somfy financed the “An Orchestra at School” in Cluses and supported the organisation MB Race;

To provide solutions to issues related to poor housing, the Somfy Foundation is committed on a day-to-day basis to organisations both in France and internationally, via two drivers for action: financial sponsorship to support and accompany non-profit – projects (annual allocation of €370,000); human sponsorship thanks to the community initiatives of – company employees. The Foundation initiates or supports local initiatives, rooted in the local community in France and internationally. Initiatives in keeping with Somfy’s industry, the Home, and which involve the Group’s employees. Inspired by the effectiveness of the inclusive policies committed to the digital era, the Somfy Foundation wanted to bring together all stakeholders – citizens, companies and organisations – around a community crowdfunding platform to enable them to act together to help vulnerable people access decent housing (platform created in 2013). Since 2012, the Somfy Foundation has been developing people-based sponsorship thanks to a valuable and ongoing dialogue with company employees and organisations, enabling employees, during their working hours, to meet organisations that work to combat poor housing, in order to offer assistance. Employees have the opportunity to sign up voluntarily for three days a year, during their working hours, for both operational assignments, such as painting, decorating, odd jobs, etc. and for more strategic assignments thanks to skills-based sponsorship. Their commitment helps to develop genuine partnerships, working closely with the needs of the organisations, in order to provide support to vulnerable people in the home and to serve the common good. In an approach based on openness and respect for the territories in which the Group operates, and because the problem of poor housing knows no borders, the Somfy Foundation has committed to supporting charity projects aimed at combatting poor housing in several countries in which the company operates. Employee involvement is measured by format using the number of days spent and number of participating employees. As a result of the altered health conditions in 2020, these figures were lower: 39 days organised in 2020 compared with 87 in 2019; – 223 employees involved in 2020 in comparison with 528 in – 2019.

C. PROSPERITY — I. BUSINESS ETHICS AND FAIR PRACTICES

1. Description of the risk

Through the Ambition 2030 strategic framework and its sustainable development policy, Somfy is determined to strengthen its stakeholders’ confidence in its ability to conduct its business ethically. That is why the Group has made ethics a cross-company focus of this policy. Risks related to non-ethical behaviour and corruption within the company, and their repercussions in terms of image and reputation as well as the financial impacts, are taken all the more seriously by Somfy given that the Group aims to be the preferred partner for opening and closing automation in homes and commercial buildings. Somfy employees and its partners must comply with the laws and regulations in force within the jurisdictions in which Somfy pursues its activities, as well as with Somfy’s values and policies in terms of ethical principles. To promote this culture at every level of the organisation, Somfy relies on several policies the main principles of which are mentioned below.

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SOMFY – ANNUAL FINANCIAL REPORT 2020