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ESG ACTIVITIES AND ACHIEVEMENTS
OF CJ CROP.
AND ITS AFFILIATES
Creating a Better Tomorrow through
the Practice of ESG

Key Achievements

Key Indicators**Data as of 2022 from CJ Corp.
and 12 domestic affiliate business sites

  • 1. Response to Climate Change
    • Greenhouse Gas Emissions
      * Based on Scope 1+2
      891,036tCO2eq
    • Energy Usage
      18,718TJ
  • 2. Implementing a Circular Economy
    Waste Emissions
    * Based on manufacturing facilities and resorts
    67,199tons
    Recycling Rate of Waste Emissions
    * By manufacturing facilities and resorts
    89.95 %
  • 3. Enhancing ESG Value of Products, Services, and Content* Sustainable Products : vegan flavoring ingredients, low-carbon products,
    upcycled products, vegan-certified products, biodegradable/compostable-certified products
    * CJ CheilJedang, CJ Feed&Care product sales
    • Sales from sustainable
      product lines
      2,249billion KRW
  • 4. Respecting and Protecting Human Rights
    • Number of Business Sites Inspected for Human Rights
      *CJ CheilJedang, CJ Logistics, CJ ENM domestic and overseas businesses and partners
      54
    • Employee Industrial Accident Rate
      0.41%
  • 5. Promoting Diversity, Equity and Inclusion (DE&I)
    • Female Executive Ratio
      15.27%
    • Female Manager Ratio
      27.57%
  • 6. Creating a Sustainable Supply Chain* CJ CheilJedang, CJ Logistics, CJ Freshway
    • Percentage of Contracts
      Applying Partner Code
      of Conduct
      96.03 %
  • 7. Strengthening Transparent Management
    External Director Composition Ratio of the Board
    * CJ Corp.
    57.14%
    Cash Dividend Propensity
    * Based on CJ Corp.
    78.4%
  • 8. Expanding Ethical and Compliance Management
    • Hours Spent on Ethical
      Management Training
      127,229hours
    • Number of Employees Participating
      in Ethical Management Training
      34,573

Evaluation Grade**Based on 2023

CJ Group
  • Korea ESG Standards Institute
    A Grade(Environmental A, Social A+, Governance B+)

Reports and Policies / Regulations

Policy & Regulation
Environment
Governance

Environmental

We are committed to addressing climate change and promoting a circular economy
CJ strives to minimize environmental impact in its business operations and aims to transition to a low-carbon system. To achieve this, we’re establishing a foundation for 'responding to climate change' and 'practicing a circular economy.'

Key Indicators**Data based on CJ Corp.
and 12 affiliates' domestic business sites for 2022.

Response to Climate Change
We will actively work to achieve carbon neutrality by 2050.
Greenhouse gas emissions tCO2eq
* Based on Scope 1+2
Greenhouse gas emissions Greenhouse gas emissions
Energy consumption TJ
Greenhouse gas emissions Greenhouse gas emissions
Circular Economy Practice
We will promote the transition to a circular economy system.
Waste
discharge
Ton
* Based on manufacturing sites and resorts
Waste discharge Waste discharge
Recycling rate among waste
discharge
%
* Based on manufacturing sites and resorts
Waste discharge Waste discharge
Expansion of ESG Value in Products, Services, and Content
We will expand the range of sustainable products.
Sales of sustainable products in billion KRW
* Calculated from 2022 * CJ CheilJedang, CJ Feed&Care product sales performance. * Sustainable products: plant-based products, vegan flavorings, low-carbon products, upcycling products, vegan-certified products, biodegradable/compostable certified products
Sales of sustainable products Sales of sustainable products

Implementation System

Transition to Minimize Environmental Impact Throughout 2050 and Shift to a Low-Carbon System Transition to Minimize Environmental Impact Throughout 2050 and Shift to a Low-Carbon System

Social

We are dedicated to proliferating CJ's culture of respect across society
CJ holds in esteem all stakeholders, including employees, partners, customers, and the local community. We are committed to fulfilling our corporate social roles and responsibilities through talent acquisition and development, human rights, DE&I, safety, and information protection.

Key Indicators* *Data for 2022 from CJ Corp.
and 12 affiliate domestic business sites.

Respect and Protection of Human Rights
We aim to prevent and rectify human rights violations.
Number of human rights-related reports Cases

Total reports

Valid reports

* Excluding clear false reports or those without a need for verification or investigation from the total reported cases.

Number of human rights-related reports Number of human rights-related reports
Employee industrial
accident rate
%
Employee industrial accident rate Employee industrial accident rate
Promoting Diversity, Equity, and Inclusion (DE&I)
We will embrace diversity and spread the values of DE&I.
Female executive ratio %
Female executive ratio Female executive ratio
Female manager ratio %
Female manager ratio Female manager ratio
Creating a Sustainable Supply Chain
We will build a fair and transparent partnership
of mutual benefit.
Ratio of contracts that apply the partner code of conduct %
* CJ CheilJedang, CJ Logistics, CJ Freshway
Ratio of contracts that apply the partner code of conduct Ratio of contracts that apply the partner code of conduct

Implementation System

Implementation System Implementation System
추진체계
아젠다 이해관계자
임직원 협력사 고객 지역사회
채용 및 육성 우수인재 확보 및 육성 강화 인재 양성을 통한 경제적 가치 창출, 우수한 역량을 기반으로 고객 가치 제고
인권 인권경영 실행 체계 확립 공급망 인권 실사 인권경영을 통한 존중문화 확산
다양성 ∙ 공정성 ∙ 형평성 (DE&I) DE&I 추진을 위한 실행체계 구축 DE&I 가치 제고를 위한 협력사 지원 DE&I를 반영한 제품 ∙ 콘텐츠 ∙ 서비스 개발 사회공헌 프로그램을 통한 DE&I 가치 확산
안전 안전한 근무환경 구축 공급망 안전체계 구축 안전한 제품 ∙ 서비스를 통한 고객안전 확보 지역사회 안전 인식 제고
정보보호 정보보호체계 강화 공급망 정보보호 관리 고객 개인정보 관리 강화

We aim to elevate stakeholders' trust through transparent decision-making and communication
CJ is committed to establishing a transparent governance structure and, through fair and honest management activities, strives to pursue the interests and enhance the trustworthiness of stakeholders, as well as shareholders.

Key Indicators* *Data as of 2022 from CJ Corp.
and 12 affiliate domestic business sites.

Strengthening Transparent Management
We will manage transparently and communicate continuously.
Ratio of independent directors
in the board composition
%
* CJ Corp.
Ratio of independent directors in the board composition Ratio of independent directors in the board composition
Cash dividend
propensity
Cases
* CJ Corp. (separate basis)
Cash dividend propensity Cash dividend propensity
Expanding Ethical and Compliance Management
We conduct our business activities grounded in ethical and compliance principles.
Ethical management
training hours
hours
Ethical management training hours Ethical management training hours
participants in ethical
management training
Number
of people
participants in ethical management training participants in ethical management training

Implementation System

Implementation System https://contents.cj.net/static/img/page-tomorrow-esg-result/esg-result-governance-system-en_m.webp
* Committees under the CJ Corp. Board of Directors: Audit Committee, ESG Committee,
Compensation Committee, Internal Transactions Committee, Independent Director Candidate
Recommendation Committee
  • Korea ESG Standard Institution

    Grade A(Environmental A, Social A+, Governance A)

  • Korea ESG Standard Institution

    Grade A(Environmental A, Social A+, Governance B+)

  • Korea ESG Standard Institution

    Grade B+(Environmental B+, Social A+, Governance B)

  • Korea ESG Standard Institution

    Grade A(Environmental A, Social A+, Governance B+)

  • Korea ESG Standard Institution

    Grade A(Environmental B+, Social A+, Governance A)

  • Korea ESG Standard Institution

    Grade B+(Environmental B+, Social A, Governance B)

  • Korea ESG Standard Institution

    Grade B+(Environmental B+, Social A, Governance B+)

  • Korea ESG Standard Institution

    Grade C(Environmental D, Social C, Governance B)

CJ Corp.'s governance status

Board of Directors and Committee Composition

  • Chairman
  • Committee Members
Board of Directors and Committee Composition
Name Gender Birth Year Job Title Committee Membership Areas of Expertise Professional background Term of Service
Audit Outside Candidate Recommendation Internal Transaction Compensation ESG
Sohn, Kyung-Shik M 1939 CEO/Chairman of the BOD Management Bachelor of Law, Seoul National University Current President of Korea Employers Federation Current CEO of CJ Corporation Former President of the Korean Chamber of Commerce and Industry Feb. 25, 1994 ~ Shareholders' Meeting in March 2024
Kim, Hong-Ki M 1965 CEO Master of Business Administration Sogang University Current CEO of CJ Corporation Mar. 27, 2018 ~ Shareholders' Meeting in March 2024
Lim, Kyung-Mook M 1971 Internal Director Management Ph.D. in Economics, Brown University Current Head of Strategic Planning Group of CJ Corporation Mar. 31, 2021 ~ Shareholders' Meeting in March 2024
Choi, Jong-Gu M 1957 External Director Finance M.A. University of Wisconsin School of Public Policy Current Advisor at Yoon & Yang Law Firm Former Financial Services Commissioner Mar. 29, 2023 ~ Shareholders' Meeting in March 2026
Kim, Yeon-Soo M 1963 Independent director Medicine Doctor in Medicine, Seoul National University Current Professor of Medicine, Seoul National University Former President of Seoul National University Hospital March 29, 2023 ~ Shareholders' Meeting in March 2026
Kim, Yeon-Geun M 1960 Finance Master of Business Administration, Seoul National University Current Advisor at Kim & Chang Law Firm Former Commissioner of NTS Seoul Regional Office March 27, 2019 ~ Shareholders' Meeting in March 2025
Han, Ae-Ra F 1972 Independent director Law Harvard Law School Current Professor at Sungkyunkwan University Law School Former Supreme Court Judicial Researcher March 29, 2022 ~ Shareholders' Meeting in March 2025
* As of May 31, 2023

Board of Directors Operation Status

  • Approval
Board of Directors Operation Status
Date of Meeting Development Date Agenda Approval Status Number of Directors Attended Independent Directors' Voting Result
Song, Hyun-seung Yoo, Cheol-gyu Kim, Yeon-geun Han, Ae-ra Kim, Yeon-soo Choi, Jong-gu
1 2023. 02. 13 Approval of the 70th Financial Statement and Business Report Approved 6 Not Applicable Not Applicable
Determination of the Dividend Policy for the 2023-2025 Fiscal Years Approved Not Applicable Not Applicable
Approval of Transactions with Stakeholders Approved Not Applicable Not Applicable
Report on the Operation Status of the Internal Accounting Control System Reporting Not Applicable Not Applicable
2 2023. 03. 13 Resolution to Convene the 70th Regular Shareholders' Meeting Approved 7 Not Applicable Not Applicable
Evaluation Report on the Operation Status of the Internal Accounting Management System Reporting Not Applicable Not Applicable
Compliance Control Standard Inspection Results Report Reporting Not Applicable Not Applicable
3 2023. 04. 10 Appointment of Board Committee Members Approved 7 Not Applicable Not Applicable
4 2023. 05. 08 Q1 2023 Business Performance Report Reporting Not Applicable Not Applicable
5 2023. 06. 19 Report on Financial Stability Improvement Measures of Major Subsidiaries Reporting Not Applicable Not Applicable
* Independent Directors Song Hyun-seung and Yoo Cheol-gyu retired after the Regular Shareholders' Meeting on 2023.03.29 due to term expiration. * Independent Directors Kim Yeon-soo and Choi Jong-gu were appointed at the Regular Shareholders' Meeting on 2023.03.29.

External Auditor Status

External Auditor Status
Corporate Name Date of External Auditor Appointment(*) Contract Duration Most Recent Audit Opinion
Samil PWC Accountings December 23, 2022 2023-2025 (3 years) 2022, EY Hanyoung Accounting Firm: Fair
* The date of external auditor appointment is based on the audit committee's pre-notification of external auditor designation results.

Differences from corporate governance best practices

Differences from corporate governance best practices
Best practice recommendation Implementation details
Board composition requirements External directors must comprise over half of the Board
Introduction of regulations on board and committee operation and roles Introduced
Disclosure of board committee activities Disclosed
Compensation committee composition Introduced (1 internal director, 4 external directors)
External director nomination committee composition Comprised of 3 external directors
Audit committee composition Comprised of 4 external directors (including 1 financial expert)
Cumulative voting system Excluded in Articles of Association
Written voting system Not introduced
Insurance for directors' liability for damages Insured at company's expense
Disclosure of corporate governance rating Posted on the website
Explanation of differences from corporate governance best practices Posted on the website
* As of the end of 2022