Sustainability Roadmap with
Our Suppliers

What is our roadmap for sustainability with our suppliers?

• Institutional sustainability is not only the management of our company's economic, social and environmental impacts, but also the complement with the activities of our suppliers towards sustainability. Our roadmap is a guide for increasing our suppliers' sustainability performance.

• Our Responsible Purchasing Policy, prepared for our suppliers, is designed to ensure that our suppliers' business practices comply with Arçelik Global Ethical Principles and legal rules. We expect our suppliers to carry out all operations with integrity, by respecting human rights, protecting the interests of their employees and protecting the environment.

• As required by our Responsible Purchasing Policy and our targets, we are committed to cooperate with suppliers that fulfil the supplier terms and material conditions we have determined in our purchasing processes in order to supply environmentally friendly products, materials and services in all geographies which we operate in.

• We carry out "Business Ethics Audits" through independent bodies to create safe, dignified and respectful working conditions for your employees and to support at protecting the environment.

• The Supplier Sustainability Index has been prepared to closely monitor sustainability activities of our suppliers*. We expect the suppliers to share accurate answers to the questions in the questionnaire. As a second step of the Supplier Sustainability Index Assessment, business ethics audits are carried out by a third party. For further details on the audits, please visit Business Ethics Audits & Reporting.
  * Comprising 90% of our purchasing volume.

• We expect all of our suppliers to establish environment and energy management systems and undertake continuous improvement in order to increase their environmental performance.

• Arçelik Conflict Minerals Policy aims to prevent the trade of the four minerals that are used in financing armed conflicts or extracted using forced labour. We expect our suppliers, the most important factor hereby, to fully comply with this policy.

* Comprising 90% of our purchasing volume.

We have taken one further step in this process. We want to transform together with our supply chain and minimize the impact of the operations in the value chain in total. Therefore, it is important that we help and guide our suppliers set environmental targets, measure their progress, and reduce their impact. In November 2021, we circulated a letter to our suppliers explaining our sustainability strategy, our sustainability credentials and our Science Based Targets as well as the 2030 environmental targets.

This letter was signed by Arçelik’s Chief Executive Officer, Chief Purchasing and Supply Chain Officer, Chief Marketing Officer, Purchasing Executive Director, Product Sourcing Executive Director and Quality, Sustainability and Corporate Affairs Executive Director. We have asked our suppliers to sign the Commitment Letter, and to commit to setting their own targets for GHG emissions, water consumption, waste reduction and energy efficiency. We also have a requirement that suppliers will share these targets publicly on their websites and in their sustainability reports and report on progress in the same way we do.