GRI Sustainability Reporting Guideline

1. The organization and its reporting practices

Indicator		References (As of October 2024)
2-1	Organizational details	Profile Locations(Japan) Subsidiaries(Japan) Subsidiaries(Global)
2-2	Entities included in the organization’s sustainability reporting	RESONAC REPORT 2024：Editorial Policies（P.137） Securities Report: 4 Subsidiaries and Affiliates (Japanese only)（P.6-8）
2-3	Reporting period, frequency and contact point	Editorial Policies/ Report Scope RESONAC REPORT 2024: Editorial Policies (P.137) Securities Report : Fiscal Year (Japanese only) (P.1) Contact Us
2-4	Restatements of information	-
2-5	External assurance	Third-party Verification

2. Activities and workers

Indicator		References
2-6	Activities, value chain and other business relationships	Profile (Business Field) Introductory Guide to the New Resonac Securities Report: 3 Nature of Business (chart)(Japanese only) (P.5) RESONAC REPORT 2024:Global Business Composition / Financial and Non‐financial Highlights, Overview of Resonac’s Business (P.25-28) Locations(Japan) Subsidiaries(Japan) Subsidiaries(Global) Summary of Financial Data Securities Report: 4 Subsidiaries and Affiliates (Japanese only) (P.6-8) Resonac Holdings Decides to Reorganize the Group’s Hard Disk Media Business through Simple Absorption-type Company Split to Be Conducted by Its Consolidated Subsidiaries Resonac Announces Establishment of a Petrochemical Business Subsidiary Preparing for Company Split Promotion of Sustainable Procurement
2-7	Employees	Profile (Consolidated Number of Employees) ESG Performance Data (Social: Number of employees) RESONAC REPORT 2024 ：Global Business Composition / Financial and Non‐financial Highlights (P.25) RESONAC REPORT 2024 ：Consolidated 11-Year Summary (P.131-132) Securities Report：1 Key Financial Data and Trends (Japanese only) (P.2)
2-8	Workers who are not employees	Securities Report: 5 Employees (1)Consolidated Company Status (Japanese only) (P.9)

3. Governance

Indicator		References
2-9	Governance structure and composition	Corporate Governance System Corporate Governance Report: II Business Management Organization and Other Corporate Governance Systems regarding Decision-making, Execution of Business, and Supervision in Management (P.9-19) RESONAC REPORT 2024: Basic Policies (P.124) Securities Report: 4 Status of Corporate Governance (Japanese only) (P.50-64) Notice of Convocation of the 115th Ordinary General Meeting of Shareholders: Election of Nine Directors, Election of Three Audit & Supervisory Board Member (P.4-22) Sustainability Management
2-10	Nomination and selection of the highest governance body	Corporate Governance Basic Policies: (3) Election (P.7) RESONAC REPORT 2024: Nomination Process (P.125-126) Notice of Convocation of the 115th Ordinary General Meeting of Shareholders: Election of Nine Directors (P.4) Corporate Governance Report: Criteria for selecting candidates for Directors and Audit & Supervisory Board Members (P.3)
2-11	Chair of the highest governance body	Corporate Governance Report: 1. Status of the oversight and decision-making function (a. Board of Directors) (P.17) Notice of Convocation of the 115th Ordinary General Meeting of Shareholders: Election of Nine Directors (P.4)
2-12	Role of the highest governance body in overseeing the management of impacts	Sustainability Management Corporate Governance System Risk Management Respect for Human Rights (Policies,Promotion system) Securities Report: 2) Status of Business Execution Functions (Japanese only) (P.51) Measures Against Climate Change (Governance)
2-13	Delegation of responsibility for managing impacts	Sustainability Management
2-14	Role of the highest governance body in sustainability reporting	Sustainability Management
2-15	Conflicts of interest	Corporate Governance Basic Policies: 5. Related Party Transactions (P.3) Securities Report: ②Status of Outside Directors (Japanese only) (P.63) Notice of Convocation of the 115th Ordinary General Meeting of Shareholders: Election of Nine Directors (Notes: 7) (P.17) Corporate Governance Report (P.1-15)
2-16	Communication of critical concerns	Risk Management RESONAC REPORT 2024: Environment (Risk Management) (P.94) RESONAC REPORT 2024: Risk Management (P.109-112) Corporate Governance Report: 2. Basic Views on Eliminating Anti-Social Forces and Progress of Related Efforts (P.27) Securities Report: (1) Risk Management Initiatives (Japanese only) (P.22)
2-17	Collective knowledge of the highest governance body	-
2-18	Evaluation of the performance of the highest governance body	Evaluation of the Board of Directors’ Effectiveness Corporate Governance Report: (Supplementary Principle 4-11-3: Results of evaluation on overall effectiveness of the Board of Directors) (P.5)
2-19	Remuneration policies	Policies and procedures for determining the remuneration of directors, Audit & Supervisory Board members, and corporate officers Securities Report: 4 Remuneration of executives (Japanese only) (P.68-73) RESONAC REPORT 2024: Remuneration (P.126-130)
2-20	Process to determine remuneration	Securities Report: ②Status of the Remuneration Advisory Committee's Operations (Japanese only) (P.69) Securities Report : Remuneration of executives (Japanese only) (P.68) RESONAC REPORT 2024: Remuneration (P.126-130) 4. Compensation governance
2-21	Annual total compensation ratio	Securities Report: 2) Total Remuneration for Individuals (Limited to those whose consolidated remuneration is 100 million yen or more, such as the President/CEO)(Japanese only) (P.68) Securities Report: Average Annual Salary (Japanese only) (P.9)

4. Strategy, policies and practices

Indicator		References
2-22	Statement on sustainable development strategy	Message from CEO
2-23	Policy commitments	Our Code of Conduct The Resonac Group Human Rights Policy Co-creation with Stakeholders Basic Procurement Policy Promotion of Sustainable Procurement
2-24	Embedding policy commitments	Environmental Management System Occupational Health and Safety - Management System Quality Assurance Chemicals Management Human Resource Management Development of Human Resources Diversity, Equity & Inclusion (DE&I) Sustainable Procurement - Management System Basic Procurement Policy Respect for Human Rights Risk Management Information Security Thorough Compliance
2-25	Processes to remediate negative impacts	The Resonac Group Human Rights Policy (Grievance mechanism)(P.2) Resonac Group Hotline Internal Reporting System
2-26	Mechanisms for seeking advice and raising concerns	Securities Report: ② Status of Internal Control Systems and Risk Management Framework (Japanese only) (P.52-53) Thorough Compliance (Global Compliance Standards (GCS)) Resonac Group Hotline Internal Reporting System
2-27	Compliance with laws and regulations	ESG Performance Data (Governance)
2-28	Membership associations	Participation in Initiatives (Major initiatives that we support, and the organizations to which we belong as a member)

5. Stakeholder engagement

Indicator		References
2-29	Approach to stakeholder engagement	Co-creation with Stakeholders
2-30	Collective bargaining agreements	Securities Report: 5 Employees (3) Status of Labor Unions (Japanese only) (P.9) ESG Performance Data (Social: Promoting sound work-life balance, Labor union)

Indicator		References
3-1	Process to determine material topics	Promoting Sustainability (Sustainability Vision 2030 and Material Issues) Sustainability Vision and Material Issues
3-2	List of material topics	Sustainability Vision and Material Issues RESONAC REPORT 2024: Material Issues and Non-financial KPIs (P.83-86)
3-3	Management of material topics	Sustainability Vision and Material Issues RESONAC REPORT 2024: Material Issues and Non-financial KPIs (P.83-86) Sustainability Management

GRI 201: Economic Performance

Indicator		References
201-1	Direct economic value generated and distributed	Securities Report: ② Consolidated Income Statement and Consolidated Comprehensive Income Statement (Japanese only) (P.79-80) Consolidated Financial Statements (Annual: Statements of Income) Summary of Financial Data RESONAC REPORT 2024: Consolidated 11-Year Summary (P.131-132) Securities Report : (2) Status of the Submitting Company (Japanese only) (P.9) Social Contribution Activities (Activities in 2023) ESG Performance Data (Social: Other)
201-2	Financial implications and other risks and opportunities due to climate change	Measures Against Climate Change Risk Factors (6. Others (7) Impact of climate change) Securities Report : (2) Measures Against Climate Change (Japanese only) (P.16-18)
201-3	Defined benefit plan obligations and other retirement plans	Securities Report: Retirement Benefits-Related (Japanese only) (P.111-112) Risk Factors (3. Unexpected fluctuations in financial position and cash flows (3) Employees' severance indemnities)
201-4	Financial assistance received from government	-

GRI 202: Market Presence

Indicator		References
202-1	Ratios of standard entry level wage by gender compared to local minimum wage	-
202-2	Proportion of senior management hired from the local community	-

GRI 203: Indirect Economic Impacts

Indicator		References
203-1	Infrastructure investments and services supported	Social Contribution Activities RESONAC REPORT 2024: Resonac Graphite Japan and Omachi City, Nagano Prefecture (P.89-90)
203-2	Significant indirect economic impacts	-

GRI 204: Procurement Practices

Indicator		References
204-1	Proportion of spending on local suppliers	-

GRI 205: Anti-corruption

Indicator		References
205-1	Operations assessed for risks related to corruption	-
205-2	Communication and training about anti-corruption policies and procedures	Compliance with anti-bribery laws and regulation Education and awareness-raising activities
205-3	Confirmed incidents of corruption and actions taken	ESG Performance Data (Governance)

GRI 206: Anti-competitive Behavior

Indicator		References
206-1	Legal actions for anti-competitive behavior, anti-trust, and monopoly practices	-

GRI 207: Tax

Indicator		References
207-1	Approach to tax	Resonac Group’s Tax Code of Conduct Compliance with anti-bribery laws and regulation(Tax compliance)
207-2	Tax governance, control, and risk management	4. Tax governance
207-3	Stakeholder engagement and management of concerns related to tax	6. Relationship with the tax authority
207-4	Country-by-country reporting	-

GRI 301: Materials

Indicator		References
301-1	Materials used by weight or volume	-
301-2	Recycled input materials used	ESG Performance Data (Environment: Resource recycling)
301-3	Reclaimed products and their packaging materials	-

GRI 302: Energy

Indicator		References
302-1	Energy consumption within the organization	ESG Performance Data (Environment: Prevention of global warming)
302-2	Energy consumption outside of the organization	Scope3 GHG emissions
302-3	Energy intensity	ESG Performance Data (Environment: Prevention of global warming)
302-4	Reduction of energy consumption	ESG Performance Data (Environment: Prevention of global warming) Measures Against Climate Change (Indicators and Targets)
302-5	Reductions in energy requirements of products and services	-

GRI 303: Water and Effluents

Indicator		References
303-1	Interactions with water as a shared resource	Environmental Considerations; Water
303-2	Management of water discharge-related impacts	Environmental Considerations; Water
303-3	Water withdrawal	ESG Performance Data (Environment: Resource recycling) Environmental Considerations; Water
303-4	Water discharge	ESG Performance Data (Environment: Resource recycling) Environmental Considerations; Water
303-5	Water consumption	ESG Performance Data (Environment: Resource recycling)

GRI 304: Biodiversity

Indicator		References
304-1	Operational sites owned, leased, managed in, or adjacent to, protected areas and areas of high biodiversity value outside protected areas	-
304-2	Significant impacts of activities, products and services on biodiversity	-
304-3	Habitats protected or restored	Efforts for Preservation of Biodiversity RESONAC REPORT 2024: Biodiversity Strategies (Information Disclosure in Line with the TNFD Recommendations) (P.99)
304-4	IUCN Red List species and national conservation list species with habitats in areas affected by operations	-

GRI 305: Emissions

Indicator		References
305-1	Direct (Scope 1) GHG emissions	ESG Performance Data (Environment: Prevention of global warming)
305-2	Energy indirect (Scope 2) GHG emissions	ESG Performance Data (Environment: Prevention of global warming)
305-3	Other indirect (Scope 3) GHG emissions	Measures Against Climate Change (Scope3 GHG emissions)
305-4	GHG emissions intensity	ESG Performance Data (Environment: Prevention of global warming)
305-5	Reduction of GHG emissions	Measures Against Climate Change (Indicators and Targets) Initiatives for Carbon Neutrality
305-6	Emissions of ozone-depleting substances (ODS)	-
305-7	Nitrogen oxides (NOx), sulfur oxides (SOx), and other significant air emissions	ESG Performance Data (Environment: Pollution prevention) Environmental Considerations; Atmosphere

GRI 306: Waste

Indicator		References
306-1	Waste generation and significant waste-related impacts	-
306-2	Management of significant waste-related impacts	Waste Management RESONAC REPORT 2024: Toward Circular Economy (P.100) Towards Circular Economy
306-3	Waste generated	ESG Performance Data (Environment: Resource recycling)
306-4	Waste diverted from disposal	Waste Management ESG Performance Data (Environment: Resource recycling)
306-5	Waste directed to disposal	Waste Management ESG Performance Data (Environment: Resource recycling)

GRI 307: Environmental Compliance

Indicator		References
307-1	Non-compliance with environmental laws and regulations	ESG Performance Data (Environment: Other)

GRI 308: Supplier Environmental Assessment

Indicator		References
308-1	New suppliers that were screened using environmental criteria	Promotion of Sustainable Procurement Evaluation of Suppliers RESONAC REPORT 2024: Sustainable Procurement (P.105)
308-2	Negative environmental impacts in the supply chain and actions taken	Promotion of Sustainable Procurement Evaluation of Suppliers RESONAC REPORT 2024: Sustainable Procurement (P.105)

GRI 401: Employment

Indicator		References
401-1	New employee hires and employee turnover	ESG Performance Data (Social: Recruitment, Labor Practices)
401-2	Benefits provided to full-time employees that are not provided to temporary or part-time employees	-
401-3	Parental leave	ESG Performance Data (Social: Promoting sound work-life balance, Labor union) Labor Practice

GRI 402: Labor/Management Relations

Indicator		References
402-1	Minimum notice periods regarding operational changes	-

GRI 403: Occupational Health and Safety

Indicator		References
403-1	Occupational health and safety management system	Occupational Health and Safety - Management System(Implementation of occupational health and safety management systems) List of Declarations and Certifications
403-2	Hazard identification, risk assessment, and incident investigation	Occupational Health and Safety - Management System Occupational Health and Safety - Prevention of Occupational Accidents Occupational Health and Safety - Equipment Safety
403-3	Occupational health services	Occupational Health and Safety - Management System Employees’ Health
403-4	Worker participation, consultation, and communication on occupational health and safety	Occupational Health and Safety - Management System
403-5	Worker training on occupational health and safety	Occupational Health and Safety - Management System Occupational Health and Safety - Prevention of Occupational Accidents Occupational Health and Safety - Equipment Safety
403-6	Promotion of worker health	Employees’ Health
403-7	Prevention and mitigation of occupational health and safety impacts directly linked by business relationships	Occupational Health and Safety - Prevention of Occupational Accidents Occupational Health and Safety - Equipment Safety Chemicals Management Specific Initiatives for Chemicals Management
403-8	Workers covered by an occupational health and safety management system	List of Declarations and Certifications
403-9	Work-related injuries	ESG Performance Data (Social: Safety, health) Occupational Health and Safety - Prevention of Occupational Accidents Occupational Health and Safety - Equipment Safety
403-10	Work-related ill health	-

GRI 404: Training and Education

Indicator		References
404-1	Average hours of training per year per employee	ESG Performance Data (Social: Recruitment, Labor Practices)(Resonac)
404-2	Programs for upgrading employee skills and transition assistance programs	Development of Human Resources Diversity, Equity & Inclusion (DE&I) RESONAC REPORT 2024: Human Resource Strategies (P.75-78)
404-3	Percentage of employees receiving regular performance and career development reviews	-

GRI 405: Diversity and Equal Opportunity

Indicator		References
405-1	Diversity of governance bodies and employees	ESG Performance Data (Governance) ESG Performance Data (Social: Number of employees) Diversity, Equity & Inclusion (DE&I) RESONAC REPORT 2024: Directors and Audit & Supervisory Board Members,Corporate Officers,Skill Matrix（P.119-124） Securities Report: (2) Status of Officers ①List of Officers (Japanese only) (P.56-62) Notice of Convocation of the 115th Ordinary General Meeting of Shareholders: Election of Nine Directors, Election of Three Audit & Supervisory Board Member (P.4-22)
405-2	Ratio of basic salary and remuneration of women to men	Securities Report :(4) Percentage of female employees in managerial positions, rate of paternity leave taken by male employees, and wage differences between male and female employees (Japanese only) （P.10）

GRI 406: Non-discrimination

Indicator		References
406-1	Incidents of discrimination and corrective actions taken	-

GRI 407: Freedom of Association and Collective Bargaining

Indicator		References
407-1	Operations and suppliers in which the right to freedom of association and collective bargaining may be at risk	Evaluation of Suppliers Promotion of Sustainable Procurement

GRI 408: Child Labor

Indicator		References
408-1	Operations and suppliers at significant risk for incidents of child labor	Evaluation of Suppliers Promotion of Sustainable Procurement

GRI 409: Forced or Compulsory Labor

Indicator		References
409-1	Operations and suppliers at significant risk for incidents of forced or compulsory labor	Evaluation of Suppliers Promotion of Sustainable Procurement

GRI 410: Security Practices

Indicator		References
410-1	Security personnel trained in human rights policies or procedures	-

GRI 411: Rights of Indigenous Peoples

Indicator		References
411-1	Incidents of violations involving rights of indigenous peoples	-

GRI 413: Local Communities

Indicator		References
413-1	Operations with local community engagement, impact assessments, and development programs	Social Contribution Activities RESONAC REPORT 2024：Resibac Graphite Japan and Omachi City,Nagano Prefecture (P.89-90)
413-2	Operations with significant actual and potential negative impacts on local communities	-

GRI 414: Supplier Social Assessment

Indicator		References
414-1	New suppliers that were screened using social criteria	Evaluation of Suppliers Promotion of Sustainable Procurement
414-2	Negative social impacts in the supply chain and actions taken	Evaluation of Suppliers Promotion of Sustainable Procurement

GRI 415: Public Policy

Indicator		References
415-1	Political contributions	ESG Performance Data (Social: Other)

GRI 416: Customer Health and Safety

Indicator		References
416-1	Assessment of the health and safety impacts of product and service categories	Quality Assurance Specific Initiatives for Chemicals Management List of Declarations and Certifications (Quality management system)
416-2	Incidents of non-compliance concerning the health and safety impacts of products and services	Quality Assurance

GRI 417: Marketing and Labeling

Indicator		References
417-1	Requirements for product and service information and labeling	Specific Initiatives for Chemicals Management (System for managing product safety and regulatory information, Collection and provision of product information to stakeholders)
417-2	Incidents of non-compliance concerning product and service information and labeling	-
417-3	Incidents of non-compliance concerning marketing communications	-

GRI 418: Customer Privacy

Indicator		References
418-1	Substantiated complaints concerning breaches of customer privacy and losses of customer data	-

GRI 2: General Disclosures 2021

GRI 3: Material Topics 2021

GRI 200: Economic

GRI: 300 Environment

GRI 400: Social

Sustainability: Site Map

ESG Information