Çemtaş
Corporate Sustainability Policy

Purpose

Article 1
Çemtaş is aware of the importance of environmental, social and governance (ESG) factors for companies in the changing trade environment with the globalizing world.

This Sustainability Policy is based on the evaluation of all activities within the company in a way that responds to all stakeholder expectations in internal and external contexts; it sets out the basic principles of the company's corporate strategies for risks and opportunities in ESG, climate change and water security.

Scope

Article 2
This policy applies to all ÇEMTAŞ employees, other related employees and all company activities. Unless otherwise stated, this policy covers all employees and activities.

Related documents:

• Ethical Rules and Social Responsibility
• Human Resources Policy
• Environment - Occupational Health and Safety Policy
• Information Security Policy
• Personal Data Storage and Destruction Policy
• Personal Data Protection and Processing Policy
• Financial Resources and Risk Management Policy
• Energy Policy
• Information Policy

Fundamental Principles

Article 3
ÇEMTAŞ adopts the following basic principles within the scope of Corporate Sustainability:

Consider and manage all environmental, social and governance (ESG) impacts of its activities.

It adopts the principle of continuously improving its sustainability practices and sharing them regularly with its stakeholders.

Provides a work environment that respects human rights, is fair, respects employee rights and complies with national and international social standards.

It manages its human resources regardless of gender, religion, language, ethnic origin, race, disability status and with the aim of ensuring equality of opportunity in every possible field and with the principle of continuous development and aims to maximize employee satisfaction.

Bonus payments to managers and employees are based on their performance in achieving sustainability targets.

Respects the right to unionization and collective bargaining and plays a role in the promotion of this right.

It does not tolerate bribery and corruption in any form and punishes these acts.

It never allows any kind of discrimination, violence and harassment against or between employees and never compromises on these issues.

It adopts an approach based on the fair sharing of the values it creates and accumulates with its shareholders, employees and other stakeholders.

It provides continuous trainings for its employees and, when necessary, its suppliers and subcontractors to raise awareness on issues such as occupational health and safety, environment, risks, etc.

Implements the ISO 45001 management system to ensure employee health and safety, determines relevant policies, targets and puts them into action. Organizes monthly meetings to assess OHS risks and opportunities.

Uses near-miss programs to prevent occupational accidents, monitors the results, and makes improvements within the facilities.

Fulfills its obligations under national and international environmental and climate change legislation.

Takes care to minimize its impact on the environment and biodiversity and to ensure environmental compliance. Implements ISO 14001 Environmental Management System, determines relevant policies, targets and puts them into action.

Follows the effects of climate change on its activities and takes precautions against the risks that may arise. Operates with the awareness of protecting natural resources, uses waste scrap and qualified raw materials in production.

Establishes a Radioactive Detection System to prevent the melting of scrap with radioactive contamination, ensures that scrap material is checked when it arrives at the facility and that raw materials that do not comply with the standards are not purchased.

Carries out studies to reduce energy consumption and increase efficiency in consumption, follows alternative technological developments and develops projects. Implements the 50001 Energy Management System. Determines the policies and targets related to this issue and puts them into action.

Monitors the impact of its activities on climate change. Works with an awareness of the environmental, social and economic risks and opportunities of greenhouse gas emissions. Calculates annual corporate greenhouse gas emissions, sets reduction targets and monitors the targets.

Manages the wastes generated as a result of its activities in accordance with the relevant legislation: evaluates hazardous and non-hazardous wastes, stores them under appropriate conditions within its facilities and works with licensed waste management companies for their disposal in the most appropriate way. Carries out studies on the traceability of wastes.

It works to reduce water consumption and increase efficiency, analyzes water security risks and identifies approaches, targets and actions to mitigate risks.

It evaluates rainwater and wastewater with separate infrastructures and sends them to the Organized Industrial Zone wastewater facility for rainwater storage.

Maintains Safety Data Sheets (MSDS) for chemicals used in its activities in work environments, prepares Emergency Scenarios and Plans for the entire factory to be applied in case of industrial accidents (fire, explosion, etc.).

It implements the ISO 27001 Information Security Management System in order to ensure the confidentiality of the data pertaining to its activities, to provide secure access to information assets, to assess and manage the relevant risks of itself and its stakeholders, to apply the necessary sanctions in case of violations and to establish the necessary infrastructures to ensure business continuity.

The Company informs the public through the Public Disclosure Platform within the scope of Capital Markets regulations. The Company ensures the flow of information to stakeholders (shareholders, suppliers and customers) by paying utmost attention to the issues that should be on the current website in accordance with the Company's Information policy.

Enactment

Article 4
The sustainability policy was adopted by the Board of Directors decision dated 15.12.2021 and numbered 2021/40 and entered into force on the date of approval.