Lotte Chilsung Beverage Publishes "2024 Sustainability Report"

Announcement of Major Issue Management Measures Including Climate Disclosure Response and Plastic Reduction Implementation

Lotte Chilsung Beverage announced on the 30th that it has published its "2024 Sustainability Report," which details last year's ESG (Environmental, Social, and Governance) management achievements and future action strategies.

This report was prepared to disclose the company's response to domestic and international ESG trends and its achievements to investors and stakeholders. It covers major issue management measures and outcomes, including climate change risk and opportunity analysis, implementation of plastic reduction, and the conduct of human rights impact assessments. Notably, this year, the report was produced in-house without external consulting, thereby strengthening internal members' capabilities in ESG data management and system development.

Lotte Chilsung Beverage disclosed the potential financial impacts and scenarios related to climate change in its sustainability report and established an integrated company-wide risk management process by monitoring risk and opportunity factors at each business site, including 11 beverage and liquor plants.

In addition, after review and approval from the ESG Committee, which is composed of outside directors, the company announced its plan to reduce the use of virgin plastic made from petroleum-based materials by 20% compared to 2023 levels by 2030, as part of the "2030 Plastic Reduction Roadmap." As a result of ongoing efforts to lighten packaging and introduce recycled materials, the company recorded a reduction of approximately 1,250 tons in plastic emissions in 2024 compared to projected levels.

Lotte Chilsung Beverage conducted human rights impact assessments at all domestic business sites and at PCPPI (Pepsi Philippines) overseas, and set annual improvement targets to establish a human rights management system. In addition to internal organizations, the company also disclosed the results of ongoing management indicators for the establishment of human rights management among its partners.

A Lotte Chilsung Beverage representative stated, "Under the vision of realizing a healthy and respected corporate value, we will pursue sincere ESG management for a sustainable future," adding, "We will continue to strengthen our business fundamentals and do our utmost to reward all stakeholders associated with our company."