Our 19 priorities

Working every day to improve our extra-financial performance, we propose 19 priorities that we are committed to following over the medium-to-long term. They cover four key areas: governance, people, environment and societal.

THE VARIABLE EARNINGS OF OUR CORPORATE OFFICERS AND SUBSIDIARY AND GROUP MANAGERS WILL NOW DEPEND ON THE RESULTS ACHIEVED ON EACH PRIORITY.

Each priority takes the forms of a quantified objective aligned to our consolidated indicators, enabling precise tracking of our extra-financial performance. The 2025 (medium term) and 2030 (long term) milestones reflect the commitment of the current management of Thermador Groupe and shall apply until most of its members retire. 2021 was a year of progress for extra-financial achievements. First of all, we developed our Scope 3 for 2020 and 2021. This scope includes the manufacture of the product, its use, its end of life, upstream and downstream transport and a non-product component. It also presented the opportunity to commit to the Global Compact. Finally, by adopting a Supplier Code of conduct, we are now encouraging our stakeholders to commit to our sustainable development objectives with us. The Scope 3 target has not yet been determined as current practices diverge and are not based on clear legislation on the elements attributable to Scope 3. We will continue to keep an eye on the regulations and what our peers are doing throughout 2022. According to Article 19a or Article 29a of Directive 2013/34/EU, « every non-financial undertaking shall include in its consolidated nonfinancial statement information on the manner and extent to which the undertaking’s activities are associated with economic activities that may be regarded as environmentally sustainable under Articles 3 and 9 of Regulation (EU) 2020/852. » Application of this regulation translates for Thermador Groupe as follows:

- Publication of the share of turnover coming from products or services considered as sustainable: our activity as a distributor is not eligible according to the delegated acts on taxonomy that came into force on June 4, 2021, which leads us to consider a share of eligible turnover of 0% for the period.

- Publication of the proportion of our capital expenditure related to assets considered sustainable: our real-estate company SCI Thely has capital expenditure (construction and renovation of buildings) eligible for taxonomy and represents 66.6% of Thermador Groupe’s capital expenditure. The Group’s other capital expenditure is not eligible for the current version of European taxonomy.

- Publication of the portion of our operating expenses that can be considered sustainable: expenses related to the maintenance and upkeep of the buildings are borne by the tenants, Thermador Groupe subsidiaries, but represent an insignificant amount compared to the other operating expenses. The Group’s other expenses are not eligible for the current version of European taxonomy.

In 2021, the Executive Committee worked to select our 19 key indicators on governance, people, the environment and society. They reflect the Group’s desire to be part of a long-term process by structuring its continuous improvement approach around priority issues. It also set the priority sustainable development goals and established the relevant action plans to achieve them. The Group’s medium and long-term milestones are 2025 and 2030 respectively. The choice of 2030 is reasonable and can be taken on by the Group’s management team in place, given the age of the current executive directors. These objectives were discussed and challenged in the Sustainable Development Committee and then presented to our Board of Directors. This work has made it possible to map out trajectories and, above all, highlight the need for human resources to implement the action plans. This led to the opening of a sustainable development management position at Executive Committee level at the end of 2021.

THE CSR PERFORMANCE OF OUR SUBSIDIARIES

The CSR performance of Thermador Groupe’s subsidiaries is the responsibility of the CEOs. The 19 priorities decided by the Executive Committee are the result of the consolidation of the performance of our subsidiaries. Each subsidiary works with its management committee to set its own objectives and determine an action plan specific to it. Some of our subsidiaries are more advanced than others. The sharing of best practices will make it possible to standardise performance in the medium term. The table of these 19 priorities is drawn up subsidiary by subsidiary and thus enables each manager to compare their performance with that of their peers. The indicators are based on a scope of 100%, with the exception of the professional equality index. The professional equality index covers employees in France (90.2% of the total Group headcount). The employees of our Belgian, Spanish and Chinese entities, respectively Sodeco Valves, Rousseau SA and the Shanghai representative office, do not fall within the scope of this index. The salary classifications and salary review policies are very different and do not allow their data to be integrated. At Sodeco Valves all employees’ salaries were increased twice in the year. At Rousseau SA and the Shanghai representative office, all salaries were increased.

THE CSR PERFORMANCE OF OUR GROUP

This consolidated CSR performance is presented in Chapter 3.1.9. It is subject to an opinion on the conformity and sincerity of the Extra-Financial Performance Statement by an independent third-party organisation (cf: report in chapter 3.4). For a better reading of these indicators, the following clarifications should help: The share of capital held by employees and former employees. The share of capital held by employees and former employees (indicator n°2 - employee shareholding) was 7% in 2021. (directly or via Thermador Groupe FCPE). Shares held by former CEOs or founders are not included in these 7%. Women in leadership positions. Indicator 6 – this indicator requires some explanation. In 2020, women in senior management positions referred to management committee members. For 2021, the 39% figure refers to women in senior management positions. According to Article L3111-2 of the Labour Code, there are three conditions to be considered as " management staff ": 1. those entrusted with responsibilities the importance of which implies a high degree of autonomy in organising working time. 2. those empowered to make decisions largely autonomously. 3. those who receive earnings at the highest levels of the earnings scale practised in their company or establishment. These considerations produce the following classifications for the French subsidiaries according to the applicable industry-wide agreements:

• Wholesale Trade Agreement: minimum IX-1.
• Metallurgy Convention: minimum III-B.

PRIORITIES & OBJECTIVES

                  : beyond medium-term objectives   : hitting medium-term objectives

                  : below medium-term objectives : ongoing objectives (see p.81) - Eq. T CO2: tonnes of CO2 equivalent