TfS assessments are conducted online and are supported by EcoVadis questionnaires. Sustainable development experts analyze all supplied data, including third-party certifications and publicly available information, to assign a supplier score from 0 to 100. This score can be broken down by scoring category to identify a supplier’s strengths and weaknesses. As a TfS member, we can request the supplier to put in place a Corrective Action Plan (CAP) to address shortcomings. The CAP includes a roadmap containing corrective actions, deadlines and responsibilities for the supplier to fulfil. To help suppliers implement the roadmap and address identified shortcomings, TfS provides suppliers with access to its academy training hub. By joining TfS, we will be able to make use of the supplier audit and assessment database. We will also be able to calculate an average score across all our suppliers. The initiative also takes considerable burden o our suppliers who need to complete only one assessment to be used by many customers, showing a joint eort across the chemical industry to build more sustainable and responsible supply chains for the sector. As part of our eorts to drive improvements in the supply chain, we will improve sustainability performance through EcoVadis and as a member of TfS, learning from and working with the state of the art sustainability supply chain initiative in our industry. Supplier Code of Conduct In 2022, we refreshed our Supplier Code of Conduct, seing forth our principles for labor, environment, health and safety that we expect all suppliers to observe and comply with. This year, we began the roll out of the code, consisting of nine sections: . Principles . Health and safety . Information . Ethics . Environment . Report to Arxada . Labor . Internal measuring procedures . Termination of agreement The code emphasizes our commitment to following the Principles of the United Nations Global Compact and the International Labour Organization’s (ILO) Forced Labor Standards, the Foreign Corrupt Practices Act, the UK Bribery Act, and all anti-bribery and anti-trust laws of other countries. Through our audits and in the future through our membership in TfS, we will be monitoring our suppliers’ adherence to our Supplier Code of Conduct. If we become aware of a non-compliance with our Supplier Code of Conduct, we have the right to request that our supplier take corrective action and we reserve the right to terminate our agreement with that supplier. Looking forward to 2023 In 2023, we plan to continue the rollout of our sustainable sourcing strategy. This includes having all key suppliers confirm that they are following the principles mentioned in our Supplier Code of Conduct and beginning our engagement with the TfS initiative and ESG supplier assessments, to gain a deeper understanding of our supply chain and help our suppliers progress on their sustainability journey.