Climate Change Data

Environmental Metrics

ESG Focus Areas

• Ethics and Integrity Management
• Environmental Management
• Talent and Human Rights Management
• Symbiotic Management
• Sharing Management
• Customer Satisfaction Management
• Shareholder Protection Policy

Environmental Achievements

• Reduced energy consumption by 5.2% in GS25 stores and 16.4% in GS The Fresh stores from 2019 to 2020.
• Reduced greenhouse gas emissions by 5.1% in GS25 stores and 19.7% in GS The Fresh stores from 2019 to 2020.
• Increased recycling of waste (Rework equipment) by 33.6% in GS25 stores and a decrease in GS The Fresh stores from 2019 to 2020.

Social Achievements

• Launched various social contribution programs such as food bank donations, disaster relief donations, RMHC donations, GS Dream Fillers, Na-il Store operation, Neulbom Store operation, blood donation campaigns, Book Dream campaign, GS Safety Guardian, GS25 Child Safety Guardian House campaign, GS25 Women's Safety Guardian House campaign, stray dog food donation, and donations to the Yedalm institution for severely disabled people.
• Improved employee well-being initiatives.

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Not disclosed

Mitigation Strategies

• Not disclosed

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI Standards, AA1000 Assurance Standard (2008)-Type 2, ISO 26000

Certifications: Null

Third-party Assurance: Korea Certification Corporation

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• 3 Million Dollar Export Tower Award (Korea Trade Association)
• 21st National Veterans Culture Award (Ministry of Patriots and Veterans Affairs)
• 1st place in KS-SQI (Korea Service Quality Index) (Korea Standards Association)
• 2020 Korea Consumer Award (Online Fresh Market Category) (Dong-A Ilbo)

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Reduced 4.6 tons of vinyl waste through the sale of 'Yours DMZ' label-less bottled water.
• Changed packaging materials of 8 PB products to recyclable materials.
• Introduced biodegradable bags in GS25 stores.
• Achieved ISO 14001 certification for environmental management system.

Social Achievements

• Operated 'Tomorrow Store' and 'Neulbom Store' to create job opportunities for the socially disadvantaged.
• Expanded ESG management to include partners, providing ESG education and incentives.
• Developed low-sodium products to provide safe food for customers.
• Created a safe work environment for employees through continuous education and the establishment of various codes of conduct.

Governance Achievements

• Established an ESG Committee within the board of directors and a monthly ESG Promotion Council.
• Separated the roles of Chairman and CEO since 2020.
• Established an External Director Nomination Committee to enhance the independence of external director selection.

Climate Goals & Targets

Environmental Challenges

• Waste reduction and resource circulation structure establishment.
• Supply chain ESG expansion with partner companies.
• Risk management capacity enhancement.

Mitigation Strategies

• Implemented a microbial liquid fermentation method for food waste reduction.
• Introduced a transparent PET bottle collection system.
• Developed a systematic risk management system and established a crisis response team.

Supply Chain Management

Supplier Audits: 225 suppliers audited in 2021

Responsible Procurement

• Sustainable purchasing policy focusing on third-party certified materials.
• Blockchain technology for efficient management of fresh food traceability.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards Core Option, SASB Food Retailers & Distributors Standard

Certifications: ISO 14001, ISO 9001

Third-party Assurance: Korea Management Certification Institute (KMR)

UN Sustainable Development Goals

• Goal 3: Good Health and Well-being
• Goal 5: Gender Equality
• Goal 7: Affordable and Clean Energy
• Goal 8: Decent Work and Economic Growth
• Goal 9: Industry, Innovation and Infrastructure
• Goal 12: Responsible Consumption and Production
• Goal 13: Climate Action
• Goal 15: Life on Land
• Goal 17: Partnerships for the Goals

GS Retail's initiatives contribute to these SDGs through various environmental, social, and governance programs.

Sustainable Products & Innovation

• 'Yours DMZ' label-less bottled water
• Recyclable packaging for 8 PB products
• Biodegradable bags

Awards & Recognition

• Korea Corporate Governance Institute (KCGS) ESG rating of A
• Two consecutive years of 'Excellent' rating in the Corporate Partnership Index
• Various awards for customer satisfaction and service quality

Environmental Metrics

ESG Focus Areas

• Climate Change
• Waste Reduction and Resource Circulation
• Sustainable Products
• Sustainable Supply Chain
• Human Rights and Diversity & Inclusion

Environmental Achievements

• Reduced Scope 1&2 greenhouse gas emissions intensity by 13.9% compared to 2022.
• Achieved 39.1% eco-friendly packaging application rate.
• Reduced carbon emissions by 4,536 tCO2eq through e-waste recycling.
• Recycled 419 tons of waste synthetic resin and 284 tons of waste cooking oil.

Social Achievements

• Launched various social contribution stores (Tomorrow Store, Senior Store, Youth Dream Store, Neulbom Store) creating jobs for vulnerable groups.
• Achieved 7.5% increase in local specialty product purchases compared to the previous year.
• Awarded '2023 Korea's Best Workplace' certification by GPTW Korea.
• Consistently ranked No.1 in the large supermarket sector for 8 consecutive years in the Korea Service Quality Index (KS-SQI).

Governance Achievements

• Obtained ISO 37301 certification for compliance management system.
• Established a compliance operation council.
• Revised and distributed the self-compliance manual.
• Strengthened compliance training and monitoring.

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to climate events (physical risks like extreme weather, flooding, etc.)
• Transition risks from regulatory changes, market shifts towards sustainable products and services.

Mitigation Strategies

• Developed alternative sourcing strategies.
• Implemented various initiatives aligned with Green Product, Green Store, and Green Value-chain strategies to enhance resilience against climate change.

Supply Chain Management

Supplier Audits: 207 suppliers audited in 2023

Responsible Procurement

• ESG self-checklist for new partners
• ESG code of conduct
• Support for partner ISO and environmental certifications

Climate-Related Risks & Opportunities

Physical Risks

• Acute natural disasters and weather anomalies (floods, typhoons, wildfires, heavy rain/snow, droughts)
• Changes in precipitation and weather patterns (extreme temperatures)

Transition Risks

• Increase in greenhouse gas emission prices
• Strengthened greenhouse gas emission reporting obligations
• Mandatory requirements for waste disposal and eco-friendly refrigerants
• Changes in customer behavior
• Deterioration of eco-friendly image leading to consumer boycotts
• Concerns from stakeholders

Opportunities

• Use of high-efficiency delivery, production, and logistics systems
• Recycling of waste home appliances and use of eco-friendly packaging materials
• Use of low-carbon energy sources
• Utilization of government renewable energy policy incentives
• Expansion of eco-friendly certified product introduction
• Changes in consumer preference for eco-friendly products
• Increased accessibility to new markets
• Participation in renewable energy programs
• Securing and diversifying alternative resources

Reporting Standards

Frameworks Used: GRI Standards 2021, SASB Food Retailers & Distributors, TCFD

Certifications: ISO 14001, ISO 9001, ISO 37301, ISMS-P

Third-party Assurance: Korea Management Certification Institute (KMR)

UN Sustainable Development Goals

• Goal 2 (Zero Hunger)
• Goal 3 (Good Health and Well-being)
• Goal 5 (Gender Equality)
• Goal 6 (Clean Water and Sanitation)
• Goal 7 (Affordable and Clean Energy)
• Goal 8 (Decent Work and Economic Growth)
• Goal 9 (Industry, Innovation, and Infrastructure)
• Goal 10 (Reduced Inequalities)
• Goal 12 (Responsible Consumption and Production)
• Goal 13 (Climate Action)
• Goal 14 (Life Below Water)
• Goal 15 (Life On Land)
• Goal 17 (Partnerships for the Goals)

The report explains how GS Retail's initiatives contribute to these SDGs.

Sustainable Products & Innovation

• Eco-friendly certified products
• Plant-based meat alternatives
• Low-sodium products
• Recycled packaging

Awards & Recognition

• Minister of Environment Award (2 consecutive years)
• Korea's Best Workplace (2023)
• Various KS-SQI and KCSI awards