Sustainability Metrics Appendix

This report has been prepared in accordance with the GRI Standards 2021 edition, covering the reporting period from January 1 to December 31, 2024. Below is a content index for GRI General Disclosures (GRI 2) and topic-specific standards for material topics, facilitating readers' quick reference to corresponding sections and page numbers.

GRI 2 General Disclosures cover items such as organizational profile (2-1 to 2-6), governance and strategy (2-9 to 2-22), and stakeholder engagement (2-29 to 2-30), all of which have been fully disclosed. Topic-specific standards related to material topics include: GRI 416 Customer Health and Safety (corresponding to the Food Safety section), GRI 302 Energy (corresponding to the Climate Strategy section), GRI 303 Water and Effluents (corresponding to Water Resource Management), GRI 306 Waste (corresponding to Waste Management), GRI 401 Employment (corresponding to the Employee Relations section), GRI 403 Occupational Health and Safety (corresponding to the OSH section), and GRI 414 Supplier Social Assessment.

This year, new disclosures include Scope 3 Category 1 (Purchased goods and services) and Category 4 (Upstream transportation and distribution) of GRI 305 Greenhouse Gas Emissions, aimed at enhancing transparency in supply chain emissions management. All data have received moderate assurance from SGS Taiwan, and the specific assurance statement can be found on page 101.

Regarding the basis of preparation and reporting approach, Shannung Foods declares that this report has been prepared in accordance with the requirements of the GRI Standards 2021 edition, covering the three core standards: GRI 1 Foundation, GRI 2 General Disclosures, and GRI 3 Material Topics. For each material topic, the corresponding topic-specific standard is referenced for disclosure. GRI 3-1 "Process to determine material topics" and GRI 3-2 "List of material topics" correspond to the Materiality Assessment section on page 12 of the report, explaining how the company identified 8 material topics through double materiality analysis, forming the backbone of subsequent chapter disclosures.

In terms of the completeness of GRI 2 General Disclosures, the organizational profile section (GRI 2-1 Organizational details, 2-6 Activities, value chain and business relationships) corresponds to the Company Overview and Supply Chain Management sections, describing the company's scale, locations, products, and value chain structure. The governance section (GRI 2-9 Governance structure and composition) corresponds to the Board of Directors Composition section, disclosing board seats, independence, and diversity. The stakeholder engagement section (GRI 2-29 Approach to stakeholder engagement, 2-30 Collective bargaining agreements) corresponds to the Stakeholder Communication section. All the aforementioned general disclosure items have been fully addressed, allowing readers to grasp the company's overall governance and operational profile.

In the cross-reference of topic-specific standards for material topics, this report corresponds item by item: GRI 205 Anti-corruption (page 27), GRI 302 Energy and GRI 305 Emissions (page 40), GRI 303 Water and Effluents (page 47), GRI 306 Waste (page 52), GRI 401 Employment (page 70), GRI 403 Occupational Health and Safety (page 78), GRI 413 Local Communities (page 84), GRI 414 Supplier Social Assessment and GRI 308 Supplier Environmental Assessment (page 32), GRI 416 Customer Health and Safety (page 62), GRI 406 Non-discrimination (page 70), and GRI 304 Biodiversity (page 52), ensuring that each material topic has corresponding management approaches and performance data disclosed.

In the expanded significance of Scope 3 disclosures, this year, for the first time, greenhouse gas emissions for Scope 3 Category 1 (Purchased goods and services) and Category 4 (Upstream transportation and distribution) are estimated according to GRI 305, totaling approximately 182,600 metric tons of CO₂e. This expanded disclosure addresses institutional investors' high concern for supply chain emissions transparency and provides a baseline for the company's subsequent development of a Scope 3 reduction roadmap and science-based reduction targets. Compared to previous disclosures that only covered Scope 1 and Scope 2, this change significantly broadens the boundary and completeness of the company's carbon disclosures.

Regarding third-party assurance and the index usage guide, all quantitative data in this report have undergone a Type 1 moderate assurance engagement by SGS Taiwan in accordance with the AA1000AS(2020) Assurance Standard. The assurance statement and methodology explanation can be found in the appendix. This GRI Content Index is arranged in the format of "standard number—disclosure item—corresponding page number." Readers are advised to cross-reference it with the content of each chapter to fully understand the management context and data implications of each disclosure. The company will continue to monitor the development of international sustainability disclosure standards (such as ISSB) and progressively enhance the completeness and comparability of its disclosures year by year.

Shannung Foods discloses in accordance with the SASB "Food & Beverage Processing" industry standard (industry code: FB-PF), primarily covering four major themes: food safety management, environmental footprint, employee health and safety, and supply chain.

Food Safety (FB-PF-250a): In 2024, the number of GFSI-certified facilities is 5 (accounting for 100% of production bases), the number of food recalls is 0, and the number of consumers affected by food safety issues is 0. Regarding environmental footprint, total greenhouse gas emissions are 38,420 metric tons CO₂e, water withdrawal is 2,847,600 metric tons, waste landfill rate is 0.8%, total packaging material usage is 8,430 metric tons, of which the recyclable proportion is 87%.

Employee Health and Safety (FB-PF-320a): Total Recordable Incident Rate (TRIR) is 0.97, the number of work-related fatalities is 0, and the occupational disease incidence rate is 0.12 cases per million hours worked. Supply Chain (FB-PF-430a): The proportion of agricultural products procured according to advanced sourcing standards (such as RSPO, Rainforest Alliance, etc.) is 34.7%, and the audit rate for high-risk suppliers is 100%. All the above have been confirmed through independent third-party verification.

Regarding SASB standard selection and disclosure framework, Shannung Foods selects the SASB Food & Beverage Processing (FB-PF) standard for disclosure based on its industry attributes. This standard focuses on sustainability issues with financial materiality for food processing companies, complementing the GRI standards: GRI emphasizes diverse stakeholder concerns and impact disclosures, while SASB focuses on financially material quantitative metrics. The parallel use of both ensures that the company's sustainability disclosures cover both breadth and the depth of investor concerns. The corresponding SASB accounting metrics are disclosed item by item below, based on the four major themes: food safety, environmental footprint, employee health and safety, and supply chain.

For the detailed disclosure of the Food Safety metric (FB-PF-250a), 100% of the company's 5 production bases have obtained FSSC 22000 V6 certification recognized by the Global Food Safety Initiative (GFSI). In 2024, there were 0 food recalls and 0 consumers affected by food safety issues. Furthermore, the company conducted 842 authenticity verifications for high-risk raw materials with no adulteration cases, and 0 allergen-related customer complaints, comprehensively reflecting the company's excellent performance in three aspects: food safety management system, food fraud prevention, and allergen management, corresponding to the full disclosure in the Food Safety chapter on page 62 of this report.

For the quantitative disclosure of environmental footprint metrics, the company's total greenhouse gas emissions (Scope 1+2) in 2024 were 38,420 metric tons CO₂e, water withdrawal was 2,847,600 metric tons, waste landfill rate was 0.8%, and total packaging material usage was 8,430 metric tons (with a recyclable proportion of 87%). These metrics correspond to the Climate Strategy chapter on page 40, the Water Resource Management chapter on page 47, and the Waste Management chapter on page 52. They can be compared with the baseline year and historical trends, demonstrating the company's continuous improvement in three areas: carbon reduction (18.3% decrease from the baseline year), water conservation (22.5% decrease in water intensity), and circularity (landfill rate reduced to 0.8%), allowing investors to assess the company's environmental operational efficiency and related regulatory risks.

Regarding the disclosure of Employee Health and Safety (FB-PF-320a) and Supply Chain (FB-PF-430a) metrics, for employee health and safety, the Total Recordable Incident Rate (TRIR) is 0.97, there were 0 work-related fatalities, and the occupational disease incidence rate is 0.12 cases per million hours worked, reflecting the maturity of the company's occupational safety and health management. For the supply chain, the proportion of agricultural products procured according to advanced sourcing standards (such as RSPO, Rainforest Alliance, etc.) reached 34.7%, and the audit rate for high-risk suppliers is 100%, demonstrating the company's concrete progress in responsible sourcing and supply chain risk management, corresponding to the Occupational Safety and Health chapter on page 78 and the Supply Chain Management chapter on page 32.

Regarding data quality and third-party assurance, all SASB quantitative metrics disclosed in this section have been included in the scope of the moderate assurance engagement conducted by SGS Taiwan in accordance with AA1000AS(2020), ensuring the accuracy, completeness, and neutrality of the data. The company will continue to review and improve disclosure items and calculation methods year by year, in line with updates to SASB standards and the development trend of international sustainability disclosure standards (ISSB) integrating SASB metrics, so that financially material sustainability information can more effectively support the decision-making needs of investors and stakeholders.