CDP. Module: Introduction. Page: W0. Introduction. CDP 2014 Water 2014 Information Request W0.1. Introduction

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1 CDP CDP 2014 Water 2014 Information Request Tiger Brands Module: Introduction Page: W0. Introduction W0.1 Introduction Please give a general description and introduction to your organization. Tiger Brands Limited, a Top 40 JSE Limited company whose footprint extends across the African continent and beyond, is one of the largest manufacturers and marketers of fast moving consumer goods (FMCG) products in Southern Africa, and has been for several decades. Tiger Brands has been built over several decades through the acquisition and clustering of businesses which own leading food, home and personal care brands. Tiger Brands success is grown and maintained through the perpetual renovation and innovation of its brands, while its approach to expansion, acquisitions and joint ventures has given traction to a distribution network that now spans more than 22 African countries. The Groups focus is on the core business of FMCG categories that spread synergy across the value chain. The wide range of brands are underpinned by comprehensive research and meaningful insights into each of the markets in which Tiger Brands operates. Tiger Brands Strategy includes on-going focus and investment to: - Drive Revenue Growth; - Accelerate expansion in emerging markets; - Expand into adjacent new categories; - Achieve cost leadership; - Customer leadership and go to market capability; and - Brand leadership income categories to protect positions. W0.2 Reporting Year

2 Please state the start and end date of the year for which you are reporting data. Period for which data is reported Tue 01 Jan Tue 31 Dec 2013 W0.3 Reporting Boundary Please indicate the category that describes the reporting boundary for companies, entities, or groups for which water-related s are reported. Companies, entities or groups over which operational control is exercised W0.4 Exclusions Are there any geographies, facilities or types of water inputs/outputs within this boundary which are not included in your disclosure? No W0.4a List of Exclusions Please report the exclusions in the following table

3 Exclusion Please explain why you have made the exclusion Further Information Module: Current State Page: W1. Context W1.1 Please rate the importance (current and future) of water quality and water quantity to the success of your organization Water quality and quantity Importance rating Please explain Direct use: sufficient amounts of good quality freshwater available for use across your own operations Direct use: sufficient amounts of recycled, brackish and/or produced water available for use across your own operations Indirect use: sufficient amounts of good quality freshwater available for use across your value chain Vital for operations Important Vital for operations Tiger Brands uses around mega litres of water per annum. Water quantity and quality is vital to the organisation as it is required to process products and is a key ingredient for specific products. A number of Tiger Brands products are for human consumption therefore water quality is of high importance. A sustainable supply of water is required; water needs to be of a sufficient quality to ensure the reputable quality of Tiger Brands products. Tiger Brands have investigated the possibility of using of recycled and grey water in some facilities. Therefore systems retain as much water on site as possible. Moving towards a closed-loop (or as closed as possible) system is important for Tiger Brands to ensure sustainable water consumption. Tiger Brands have increased activity regarding agricultural water efficiency with suppliers, specifically for water intensive crops, e.g. tomatoes, beans, fruits and sugarcane. Water availability is an important factor that limits agricultural production, Tiger Brands acknowledges that the water availability is likely to become increasingly stressed due to demand from the economy and climate change; therefore water has an in sourcing some of Tiger Brands crucial farmed raw materials.

4 Water quality and quantity Importance rating Please explain Indirect use: sufficient amounts of recycled, brackish and/or produced water available for use across your value chain Important A number of Tiger Brands suppliers utilize recycled water, and brackish ground water, in their operations. The sustainability of Tiger Brands suppliers is important to the organisation therefore the sustainable input of water is key. W1.2 Have you evaluated how water quality and water quantity affects /could affect the success (viability, constraints) of your organization's growth strategy? Yes, evaluated over the next 5 years W1.2a Please explain how your organization evaluated the effects of water quality and water quantity on the success (viability, constraints) of your organization's growth strategy? Water is critical for the future success of Tiger Brands. Tiger Brands requires quality water inputs in its manufacturing sites; for processing and often as a key input for specific products. A number of Tiger Brands products are for human consumption, therefore water quality is of high importance. As part of Tiger Brands quality controls in the various operations, there are key water specifications that the company works with based on the following indicators: - Water quality, i.e. taste, look, smell, disinfection, etc. - Water reliability, i.e. the working tap days as a percentage of the maximum possible - Source sustainability, i.e. either the flow in the spring, level in the dam / borehole, municipal supply, etc. The reliability and availability of water supply is based on the following indicators: - Serviceability, i.e. water infrastructure or lack thereof - Water resources, i.e. security of supply - Water quality, i.e. mean zonal compliance - Properties with low water pressure

5 W1.2b What is the main reason for not having evaluated how water quality and water quantity affects /could affect the success (viability, constraints) of your organization's growth strategy, and are there any plans in place to do so in the future? Main reason Current plans Timeframe until evaluation Comment W1.3 Has your organization experienced any detrimental s related to water in the reporting period? Yes W1.3a Please describe the detrimental s experienced by your organization related to water in the reporting period Country River basin Impact indicator Impact Description of Overall financial Response strategy Description of response strategy South Africa Other: Numerous basins as the water is supplied Regulatory- Higher water prices Higher operating costs Even with a 5% year-onyear reduction target in water usage for the next 3 Increased budget figure for facilities to Other: Tiger Brands response strategy incorporates a number of Tiger Brands has numerous response strategies, i.e.

6 Country River basin Impact indicator Impact Description of Overall financial Response strategy Description of response strategy directly from source to municipality through to the manufacturing sites years, increasing water prices have resulted in the organisation having to rethink strategic opportunities. The company s budget does account for annual water price increases, however it remains essential to investigate efficient water consumption. Initiatives include: - Redesigning the production line for efficient water usage - Investigating utilizing recycled and storm water - Installing water pulse meters accommodate for the increase in water tariffs aspects which are included in the organisations primary response strategy of reducing water consumption while maintaining water quality. Furthermore, for Tiger Brands sustainable farming is about meeting the needs of South Africans today and in the future. The recent global rise in food prices and repeated reports about social media arrest in a large number of countries reveal the strategic and basic importance of the agricultural sector for social and economic stability involvement in infrastructure maintenance, greater due diligence, setting site specific targets, engage with other stakeholders in the watershed, align to public policy positions with water stewardship goals. Strategies include: -Set targets -Implement clearly defined actions to be undertaken per site - Collaborate with service providers, government, NGO s, business and consumers -Develop innovative production solution -Support agriculture W1.3b Please choose the option below that best explains why you do not know if your organization experienced any detrimental s related to water in the reporting period and any plans you have to investigate this in the future Primary reason Future plans

7 Further Information Module: Risk Assessment Page: W2. Procedures and Requirements W2.1 Please select the option that best describes your procedures with regard to assessing water risks and provide an explanation as to why this option is suitable for your organization Water is integrated into a comprehensive, company-wide risk assessment process incorporating both direct operations and supply chain W2.1a You may provide additional information about your approach to assessing water risks here Tiger Brands updated risk profiles and disaster recovery plans to take into account water issues. To understand where manufacturing sites are in water-scarce locations, publically available and bespoke tools are used to identify risks. Water scarcity ratings are validated with local knowledge and publically available data provided by regional and site teams. Tiger Brands continue to develop a comprehensive understanding of water risks in manufacturing, supply, distribution and third party sites. The organisation responds to the commercial and reputational risks that water and wider climate change issues pose to the business. An example is the engagement with the agricultural sector; discussions arise around irrigation being the conventional method to increase productivity by expanding arable area. However South Africa s irrigable land is already cultivated (+- 1.2% of the country), irrigation is rapidly expanding into unsuitable areas negatively ing the environment. W2.2 Please state how frequently you undertake water risk assessments, what geographical scale and how far into the future you consider

8 Frequency Geographic scale Timeframe Tiger Brands Group Research team conducts water risk assessments for the 3 year annual strategy session. Water risks are reviewed annually and included in the strategy. The Research team gains input from national researchers working on campaigns such as "Towards 2030: certainties, uncertainties and scenarios". Tiger Brands is currently undertaking work with PE International on Life Cycle Assessments (LCA) for key brands, which focuses on Green, Blue and Grey water. Country Tiger Brands review water risks annually for the entire Group for all countries in the company s footprint. Tiger Brands believe that considering water risks in the future, i.e. 3 to 5 years, is crucial for the success of the business. Therefore water risks are analysed and included in the 3 year business strategy. Tiger Brands also consider the timeframe of water risk assessment by benchmarking against competitors and aligning to legislation and water stewardship bodies. W2.3 Please state the methods used to assess water risks Method FAO/AQUASTAT GEMI Local Water Tool Maplecroft Global Water Security Risk Index Internal company knowledge Other: Microbiological Risk Assessment (MRA) Tools; geographic hot-spotting techniques to identify facilities located in watersheds considered to be water stressed W2.4 Which of the following contextual issues are always factored into your organization's water risk assessments?

9 Issues Choose option Please explain Current water availability and quality parameters at a local level Current water regulatory frameworks and tariffs at a local level Current stakeholder conflicts concerning water resources at a local level Current implications of water on your key commodities/raw materials Current status of ecosystems and habitats at a local level Estimates of future changes in water availability at a local level Estimates of future potential regulatory changes at a local level Estimates of future potential stakeholder conflicts at a local level Estimates of future implications of water on your key commodities/raw materials Relevant, included Relevant, included Relevant, included for some facilities/suppliers Relevant, included Relevant, not yet included Relevant, included for some facilities/suppliers Relevant, included Relevant, included Relevant, included Water availability and quality is key to the success of the business. Tiger Brands assess water risks at a facility level as water is used in the manufacturing process and water is often a key ingredient products. Water quality is critical to maintain the Groups brand as low quality water s the quality of consumer products and may be disregarded and cannot be sold. Tiger Brands consider increasing water tariffs as a risk to the organisation. Water usage is critical to the organisation and even with reduction targets the rising cost of water will the business. Tiger Brands engage with policy makers in order to keep up to date with regulation changes, tariff increases and try to mitigate risks. Tiger Brands engage with stakeholders in watersheds where the organisation has a presence. Water risks are assessed for the specific facilities in watersheds where stakeholder conflicts are prominent. A watershed is defined as the area of land where all above ground and below ground water converge at a single point. Tiger Brands business operations rely on a sustainable input of raw materials. The abundance of raw materials is largely dependent on water. Tiger Brands engage with the agricultural sector on improved water irrigation techniques. Of particular concern is that irrigation of agriculture land is already by far the biggest water user in South Africa. The discussions thus far have been with the department of agriculture, the WWF organization, the department of water affairs and forestry, etc. Tiger Brands acknowledge that there are water risks in relation to ecosystems and local habitants, however this has not yet been included in the organisations water risks assessment as Tiger Brands risk priority assessments have resulted in the organisation focussing on water supply, cost and quality risks. Future water availability is critical to Tiger Brands operations. The Group acknowledges that this is a company-wide risk, however Tiger Brands have focussed its risk assessments on facilities which are the most vulnerable to future water security and declining quality. I.e. facilities most vulnerable to these water related risks. Regulatory changes relating to water can have a significant on the business as there is potential for decreased access to quality water, both from an availability and cost perspective Tiger Brands engage with stakeholders in watersheds where the organisation has a presence. Water risks are assessed for the specific facilities in watersheds where stakeholder conflicts are prominent. Global water scarcity is expected to increase over the next 20 to 30 years. Sub-Saharan Africa has the largest number of water-stresses countries of any region. Raw materials, specifically, high water consuming crops, are vulnerable to water scarcity. As a food converter, Tiger Brands relies on a sustainable input of raw materials. Additionally, water is often a key ingredient in products for Tiger Brands Estimates of future potential changes Relevant, not yet The status of ecosystems and local habitats has not yet been prioritized at this time

10 Issues Choose option Please explain in the status of ecosystems and habitats at a local level Scenario analysis of availability of sufficient quantity and quality of water relevant for your operations at a local level Scenario analysis of regulatory and/or tariff changes at a local level Scenario analysis of stakeholder conflicts concerning water resources at a local level Scenario analysis of implications of water on your key commodities/raw materials Scenario analysis of potential changes in the status of ecosystems and habitats at a local level Other included Relevant, included for some facilities/suppliers Relevant, included Relevant, included Relevant, included for some facilities/suppliers Relevant, not yet included Relevant, included Future water availability is critical to Tiger Brands operations. The Group acknowledges that this is a company-wide risk, however Tiger Brands have focussed its risk assessments on facilities which are the most vulnerable to future water unavailability. Tiger Brands utilize water management tools to analyse the of future water scarcity on high risks business units. The Group analyses the of tariff increases on the organisations bottom line. The analysis is also conducted per facility in order to prioritize water reduction efforts. Tiger Brands engage with the government, DTI, municipalities and water boards; this is to influence legislation, build partnerships in the industry and to also learn from organisations doing sustainable best practices that Tiger Brands can apply to internal processes. Stakeholder conflicts are a risk to Tiger Brands reputation. Tiger Brands analyse the of conflicts on the organisation. Raw material supply is critical to Tiger Brands operations. The organisation analyses various climate change risks, such as drought, rainfall patters and changes in seasonal rain, on raw material production. The agricultural sector may require increased volumes of irrigation, therefore further ing water resources. Tiger Brands examine how water availability s raw material production and how this on suppliers affect the organisation. The status of ecosystems and local habitats has not yet been prioritized at this time Tiger Brands highlighted key questions regarding water risks: -Which facilities are located in water-stressed regions? -What percent of a watershed s available water do facilities use? - What percent of the available water is used for human purposes and what are the allocations among sectors? -Where is there a high potential for reputational risk? -How will exposure to water risks change due to population growth, climate change, and economic development? W2.4a Which of the following stakeholders are always factored into your organization's water risk assessments?

11 Stakeholder Choose option Please explain Customers Employees Investors Local communities NGOs Other water users at a local level Regulators at a local level Statutory special interest groups at a local level Suppliers Water utilities/suppliers at a local level Other Relevant, included Relevant, included for some facilities/suppliers Relevant, included Relevant, included for some facilities/suppliers Relevant, not yet included Relevant, included for some facilities/suppliers Relevant, included Relevant, not yet included Relevant, included Relevant, included Relevant, included Tiger Brands acknowledge that consumer products have the potential to reduce water consumption in the home. Through research and product innovation Tiger Brands aims to assist customers in reducing their water consumption. Tiger Brands further acknowledges the importance of the quality of water used in products for human consumption. Water quality cannot be jeopardised as this can have an on products meeting certain quality standards, e.g. South African Water Quality Guidelines There has been increased awareness among employees; and Tiger Brands have implemented simple solutions (small, easy-to-implement changes) which can be carried out by employees. As well as being crucial to the organisations business operations, water risks Tiger Brands reputation. Therefore investors are considered when assessing risks. Investors are able to request and gain access to any information relating to Tiger Brands water use, strategy and policies which can assist in their decision making. Water risks are assessed for communities which are located in vulnerable areas. Tiger Brands continue to emphasise water availability and quality through partnerships with farmers. Shared learnings with the agricultural industry raises the need for conservation awareness, e.g. soil erosion changes the flow of rivers and storage capacity of dams; resulting in the need for water treatment systems. Poorly applied fertilisers run off into rivers, polluting water sources and causing algal blooms. Tiger Brands engage with NGO's on water related issues. However NGO's have not been included in water risk assessments. Tiger Brands assesses water risks for stakeholders in areas vulnerable to water unavailability and/or contamination Tiger Brands includes current and potential future regulations in water risks assessments. The organisation views water access (physically unavailable or inaccessible due to high costs) as a key risk. The organisation therefore engages with policy makers at a local level. Statutory special interest groups have not been included in risk assessments at this stage. A sustainable input of raw materials is key to Tiger Brands business operations. The organisation includes suppliers in water risk assessments due to the significant that a lack of raw materials can have on business operations. Tiger Brands engage with local water utilities and suppliers on issues around water supply and cost. This enables the organisation to identify potential risks and can address these risks at a company level Tiger Brands are involved in public forums held and facilitated by WWF for integrated regional water management plans. W2.5

12 Do you require your key suppliers to report on their water use, risks and management? Yes W2.5a Please provide the proportion of key suppliers you require to report on their water use, risks and management and the proportion of your procurement spend this represents Proportion of key suppliers % Total procurement spend % Rationale for this coverage Tiger Brands has operations, and suppliers, across Southern Africa. The organisation has highlighted water exposure, in terms of catchments under threat, as defined by the WWF South Africa. Tiger Brands ensures that vulnerable suppliers respond to sustainability questionnaires. Tiger Brands also conducts water footprints based on Green, Blue and Grey water to determine the nature of the risks the organisation faces. W2.5b Please choose the option that best explains why you do not require your key suppliers to report on their water use, risks and management Primary reason Please explain Further Information

13 Module: Implications Page: W3. Water Risks W3.1 Is your organization exposed to water risks, either current and/or future, that could generate a substantive change in your business, operations, revenue or expenditure? Yes, direct operations and supply chain W3.2 Please provide details as to how your organization defines substantive change in your business, operations, revenue or expenditure from water risk Tiger Brands utilises two methods to define substantive changes in operations, revenue or expenditure from water risk: 1) Tiger Brands highlights the facilities where the production process requires water, the water may not be consumed in large volumes but the water is critical for the manufacture of key products. 2) Tiger Brands prioritizes facilities according to the highest water consumers. Water usage is the water used relative to production. This is ranked according to water usage and the cost of water. 3) Tiger Brands analyses the facilities contribution to the group, i.e. a percentile value of the water utilized by the respective unit in relation to the total amount of water the whole of Tiger Brands used. To determine the facilities to prioritize with regards to water risks, Tiger Brands cross references the highest consuming facilities with the facilities where water is critical to the manufacture of key products. A substantial portion of these facilities fall in the consumer brands business unit as these manufacturing sites require water consumption to produce consumer foods products, i.e. in cleaning of raw materials and at times as a key ingredient in the consumer product. Utilizing methods 1, 2 and 3 described above, the following facilities are focussed on in Tiger Brands water disclosure response: - Langeberg and Ashton Foods (fruit canning) - 20% contribution to Group - Boksburg Manufacturing Site (vegetable, salads and tomato sauce) - 15% contribution to Group - Musina Manufacturing Site (tomato paste and cans) - 4% contribution to Group - N'Dabeni Manufacturing Site (jarred baby food and baby cereal) - 4% contribution to Group Tiger Brands highlighted Albany Grains Manufacturing site as a site with water risks. However due to comprehensive data collection barriers, risks associated with this site have not been included in the disclosure.

14 Tiger Brands view water issues as a risk to almost all facilities. However due to the extent of facilities it is not feasible for the organisation to provide detailed disclosure of all manufacturing units, therefore Tiger Brands has chosen the four facilities discussed above. The organisation has chosen to focus on four facilities in detail, with aim of increasing the number of facilities reported on in subsequent years of responding. W3.2a Please complete the table below providing information as to the number of facilities in your direct operations exposed to water risks that could generate a substantive change in your business, operations, revenue or expenditure. Please also provide either the proportion of cost of goods sold, global revenue or global production capacity that could be affected across your entire organization at the river basin level Country River basin Number of facilities within the river basin exposed to water risk Reporting metric Proportion of chosen metric that could be affected within the river basin South Africa Breede 1 % cost of goods sold South Africa Limpopo 1 % cost of goods sold South Africa Not known 2 % cost of goods sold W3.2b Please list the inherent water risks that could generate a substantive change in your business, operations, revenue or expenditure, the potential to your direct operations and the strategies to mitigate them Country River basin Risk driver Potential Description of Timeframe Likelihood Magnitude of potential financial Response strategy Costs of response strategy Details of strategy and costs

15 Country River basin Risk driver Potential Description of Timeframe Likelihood Magnitude of potential financial Response strategy Costs of response strategy Details of strategy and costs South Africa South Africa Breede Not known Regulatory- Regulation of discharge quality/volumes leading to higher compliance costs Regulatory- Mandatory water efficiency, conservation, recycling or process standards Fines/ penalties Fines/ penalties Increased regulations around the volume and quality of discharged water will lead to increased compliance costs. This has the potential to stop operations at sites with high discharge quantities. As a food converter effluent issues arise due to the COD levels in effluent. Mandatory water efficiency, conservation, recycling or process standards will lead to higher costs of variable overheads leading to increased costs per product. 1-3 years Probable High 1-3 years Probable High Comply with local legal requirements or company own internal standards, whichever is more stringent Comply with local legal requirements or company own internal standards, whichever is more stringent High High Tiger Brands monitor legal requirements and aim for compliance. The capital expenditure to comply with water standards is often high, as standards become more stringent these costs are likely to increase. For example, one site has a capex cost of R150 million to treat wastewater to river standards. As mentioned above, Tiger Brands monitor legal requirements and aim for compliance. The capital expenditure to comply with water standards is often high, as standards

16 Country River basin Risk driver Potential Description of Timeframe Likelihood Magnitude of potential financial Response strategy Costs of response strategy Details of strategy and costs South Africa South Africa Limpopo Not known Physical- Inadequate infrastructure Regulatory- Higher water prices Supply chain disruption Higher operating costs Water supply is critical to a number of Tiger Brands operations. The Musina manufacturing site requires a constant supply of high quality water to produce tomato paste and canned tomato products. Disruptions in the supply of water or the quality of water required to meet standards will result in a loss of production of tomato paste which is used in the production of tomato sauce and other tomato products. Higher cost of variable overheads leads to increased cost per product Unknown Probable High 1-3 years Highly probable Medium Engagement with suppliers Water management incentives Low Lowmedium become more stringent these costs are likely to increase. Tiger Brands Musina site meets regularly with water suppliers to ensure a constant supply of quality water. Tiger Brands have begun addressing issues around increasing water

17 Country River basin Risk driver Potential Description of Timeframe Likelihood Magnitude of potential financial Response strategy Costs of response strategy Details of strategy and costs prices. Strategies include increasing water saving awareness, repairing water leaks, and other water saving projects. W3.2c Please list the inherent risks that could generate a substantive change in your business operations, revenue or expenditure, the potential to your supply chain and the strategies to mitigate them Country River basin Risk driver Potential Description of Timeframe Likelihood Magnitude of potential financial Response strategy Costs of response strategy Details of strategy and costs South Africa Breede Physical- Projected water scarcity Higher operating costs Water scarcity is coupled with a lack of both water availability and water accessibility. Water accessibility is 1-3 years Probable Engagement with public policy makers Lowmedium Lowmedium Tiger Brands engage with stakeholders and policy makers on issues of water scarcity and

18 Country River basin Risk driver Potential Description of Timeframe Likelihood Magnitude of potential financial Response strategy Costs of response strategy Details of strategy and costs South Africa South Africa Not known Limpopo Physical- Declining water quality Physical- Inadequate infrastructure Brand damage Supply chain disruption whether or not an individual or organisation can access water, i.e. water may not be assessable due to increased water prices. An increase in the price of water leads to increased costs to produce products therefore resulting in a lower margin. Water usage is critical at a number of Tiger Brands sites. Often the processes requires high volumes of water and at a number of sites water is a key input in the manufacture of products. Declining water quality is a health risk for consumers, and a rise in consumer complaints will bring significant brand damage. Water supply is critical to a number of Tiger Brands 1-3 years Probable Mediumhigh Unknown Unlikely Medium Engagement with suppliers Engagement with suppliers Medium Low supply costs. Tiger Brands also invest in water conservation projects and education around water saving behaviours. The response strategy differs across Tiger Brands facilities. Tiger Brands Boksburg Manufacturing site meets biannually with local water service providers Tiger Brands tomato manufacturing

19 Country River basin Risk driver Potential Description of Timeframe Likelihood Magnitude of potential financial Response strategy Costs of response strategy Details of strategy and costs South Africa Not known Regulatory- Higher water prices Higher operating costs operations. The Musina manufacturing site requires a constant supply of quality water to produce tomato paste and canned tomato products. Loss of production of tomato paste, that is used in the production of tomato sauce and loss of production of other tomato products. This can lead to a disruption in the supply of these products to the market and a financial loss to the company Tiger Brands requires raw materials which are processed into consumer products. Raw materials often require significant volumes of natural and/or municipal water for production. Increased volumes of water required for 1-3 years Highly probable Medium Engagement with suppliers Lowmedium site meets regularly with the manufacturing plants water supplier. Tiger Brands regularly engages with suppliers to promote a strong relationship. Tiger Brands engages with supplier to ensure their sustainability though improved farming practices

20 Country River basin Risk driver Potential Description of Timeframe Likelihood Magnitude of potential financial Response strategy Costs of response strategy Details of strategy and costs irrigation (due to drought) coupled with increased water costs will the availability and cost of raw materials. The indirect water costs (increasing the cost of raw materials) coupled with the direct water costs will increase the cost of production resulting in lower margins W3.2d Please choose the option that best explains why you do not consider your organization to be exposed to water risks in your direct operations that could generate a substantive change in your business, operations, revenue or expenditure Primary reason Please explain W3.2e

21 Please choose the option that best explains why you do not consider your organization to be exposed to water risks in your supply chain that could generate a substantive change in your business, operations, revenue or expenditure Primary reason Please explain W3.2f Please choose the option that best explains why you do not know if your organization is exposed to water risks that could generate a substantive change in your business operations, revenue or expenditure and discuss any future plans you have to assess this Primary reason Future plans Further Information Page: W4. Water Opportunities W4.1 Does water present strategic, operational or market opportunities that substantively benefit/have the potential to benefit your organization? Yes W4.1a

22 Please describe the opportunities water presents to your organization and your strategies to realize them Country or region Opportunity Strategy to realize opportunity Estimated timeframe Please explain Companywide Companywide Increased brand value Cost savings In South Africa, and internationally, there is growing customer awareness of water and other sustainability issues. Tiger Brands believe that efficiency in operations will help in creating a resilient and sustainable business which is a positive image to portray to internal and external stakeholders. Tiger Brands relies on good communication and marketing of its sustainability initiatives to attract and retain ethical and environmentally conscience consumers. Water efficiency in Tiger Brands operations enables the business to withstand water scarcity and quality challenges, while reducing costs. Reducing costs is a key opportunity for the organisation particularly with the anticipated tariff increases. Tiger Brands online metering system allows for improved data regarding cost recoveries, i.e. Tiger Brands can recover overcharging from landlords, identify leaks that have not been picked up physically and investigate the billing from municipalities. Current-up to 1 year Current-up to 1 year Tiger Brands communicate the organisations sustainability commitments (which includes water) to customers, employees and suppliers via marketing and communication channels. This helps to grow awareness amongst stakeholders and portray a positive image for the company. Consumer research tracks the success of communication efforts. Tiger Brands also works with its suppliers to reduce water use and improve wastewater management. Tiger Brands regularly investigates opportunities that reduce water consumption and promotes effective and efficient water use. This is accomplished through reducing the organisations water footprint, rolling out water-saving product innovations, increasing activity on agricultural water efficiency, specifically for the most water-intensives crops (tomatoes, beans, fruits, sugarcane, etc.). W4.1b Please choose the option that best explains why water does not present your organization with any opportunities that have the potential to provide substantive benefit Primary reason Please explain

23 W4.1c Please choose the option that best explains why you do not know if water presents your organization with any opportunities that have the potential to provide substantive benefit Primary reason Please explain Further Information Module: Accounting Page: W5. Water Accounting (I) W5.1 Please report the total withdrawal, discharge, consumption and recycled water volumes across your operations for the reporting period Water use Quantity (megaliters) Total volume of water withdrawn Total volume of water discharged 7522 Total volume of water consumed Total volume of recycled water used W5.2

24 For those facilities exposed to water risks that could generate a substantive change in your business, operations, revenue or expenditure, the number of which was reported in W3.2a, please detail which of the following water aspects are regularly measured and monitored and an explanation as to why or why not Water aspect % of facilities Please explain Water withdrawals- total volumes Water withdrawals- volume by sources Water discharges- total volumes Water discharges- volume by destination Water discharges- volume by treatment method Water discharge quality dataquality by standard effluent parameters Water consumption- total volume Water recycling/reuse-total volume Water is a key focus area of Tiger Brands Environmental Strategy, therefore water data is measured and monitored across the organisation. Tiger Brands sustainability scorecards track water usage relative to production, this is disclosed a 'Water withdrawn'. Water is a key focus area of Tiger Brands Environmental Strategy, therefore water data is measured and monitored across the organisation. The bulk of the water used is water received / sourced from the municipality (being portable water). In one of Tiger Brands operations, Chococam (in Cameroon) water is sourced from a borehole. Water is a key focus area of Tiger Brands Environmental Strategy, therefore water data is measured and monitored across the organisation. Tiger Brands sustainability scorecards track the volume of effluent and COD content on a monthly basis The majority of facilities have a single effluent output which is measured and monitored The majority of facilities have a single effluent output which is measured and monitored Less than 1% All facilities monitor the COD of effluent. The majority of facilities also measure and monitor the effluents PH level and conductivity. Some facilities also measure and monitor ss, n and p levels in effluent. Water is a key focus area of Tiger Brands Environmental Strategy, therefore water data is measured and monitored across the organisation. The majority of facilities measure their water consumption (e.g. water used which is not returned to its original source), however this is not currently tracked at a group level. The few facilities which recycle/reuse water have not begun measuring and monitoring this. Sites which utilize boiler steam condensate have not yet quantified the volume of water consumed. Tiger Brands aim to monitor water recycling in the future. W5.3

25 Water withdrawals: for the reporting period, please complete the table below with water accounting data for all facilities included in your answer to W3.2a Facility reference number Country River basin Facility name Total water withdrawals (megaliters/year) at this facility How does the total water withdrawals at this facility compare to the last reporting period? Please explain the change if substantial Facility 1 Facility 2 Facility 3 Facility 4 South Africa South Africa South Africa South Africa Breede Not known Limpopo Not known Langeberg and Ashton Foods (Canned Fruit) Boksburg Manufacturing Site (Vegetable, Salads & Tomato Sauce Units) Musina Manufacturing Site (Tomato Unit) N'Dabeni Manufacturing Site (Jarred Baby Food & Baby Cereal Units) 859 Higher 840 About the same 81 This is our first year of estimation 168 Much lower In the reporting period there was an increase in water saving awareness. The site also worked more product in the previous financial year. Please note this is not the first year of estimate, however for comparison year-on-year data will have to be compared to the current reporting period as the Modjadjiskloof plant was relocated to Musina, therefore the withdrawal and discharge values differ The site increased water saving awareness, repaired leaks and implemented a number of additional water saving projects. Further Information Page: W5. Water Accounting (II) W5.3a Water withdrawals: for the reporting period, please provide withdrawal data, in megaliters per year, for the water sources used for all facilities reported in W5.3

26 Facility reference number Surface water Groundwater (renewable) Groundwater (nonrenewable) Municipal water Recycled water Produced/process water Wastewater Brackish/salt water Facility Facility Facility Facility W5.4 Water discharge: for the reporting period, please provide the water accounting data for all facilities reported in W5.3 Facility reference number Total water discharged (megaliters/year) at this facility How does the total water discharged at this facility compare to the last reporting period? Please explain the change if substantive Facility Lower There was an increase in water saving awareness. The site worked more product in the previous financial year. Facility Much lower Blancher instrumentation & electrical replacement project. The project resulted in an approximate water saving of litres per hour. Facility Please note this is not the first year of estimate, however for comparison year-on-year data This is our first year of will have to be compared to the current reporting period as the Modjadjiskloof plant was estimation relocated to Musina, therefore the withdrawal and discharge values differ Facility Much lower There was an increase in water saving awareness and leaks were repaired W5.4a

27 Water discharge: for the reporting period, please provide water discharge data, in megaliters per year, by destination for all facilities reported in W5.3 Facility reference number Surface water Municipal Treatment Plant Saltwater Injection for production/disposal Aquifer recharge Storage/waste lagoon Facility Facility Facility Facility W5.5 Water consumption: for the reporting period, please provide water consumption data for all facilities reported in W5.3 Facility reference number Consumption (megaliters/year) How does this compare to the last reporting period? Please explain the change if substantive Facility Much lower There was an increase in water saving awareness. The site worked more product in the previous financial year. Facility About the same Not applicable Facility 3 0 This is our first year of estimation Please note this is not the first year of estimate, however for comparison year-on-year data will have to be compared to the current reporting period as the Modjadjiskloof plant was relocated to Musina, therefore the withdrawal and discharge values differ Facility 4 8 Much lower There was an increase in water saving awareness and leaks were repaired W5.6

28 For the reporting period, please provide any available water intensity values for your organization's products or services across its operation Country River basin Product name Product unit Water unit Water intensity (Water unit/product unit) Water use type Comment South Africa South Africa South Africa South Africa Breede Not known Limpopo Not known Total production volumes for fruit canning site. Canning of deciduous fruit: Apricots, Peach, Pear, Apple. Baked beans. Production of apricot, peach, pear and apple purees. Total production for the site. This includes Koo Baked Beans, Mixed Vegetables, Peas, Corn, Chakalaka, Tomato Sauce, Beetroot and all other products. Hot Break Tomato Paste and tomato products in metal cans Total production volumes for site, includes jarred baby food, baby juice & baby cereal Ton Liters 7180 Withdrawals Ton Liters 7388 Withdrawals Ton Liters 1171 Withdrawals Ton Liters 5950 Withdrawals Langeberg and Ashton Foods. Intensity data is only available per total production. Boksburg Manufacturing Site. Intensity data is only available per total production. Musina Manufacturing Site - Tomato Unit. Intensity data is only available per total production. N'Dabeni Manufacturing Site - Jarred Baby Food and Baby Cereal Unit. Intensity data is only available per total production. W5.7 For all facilities reported in W3.2a what proportion of their accounting data has been externally verified? Water aspect % verification What standard was used? Water withdrawals- total volumes Not verified

29 Water aspect % verification What standard was used? Water withdrawals- volume by sources Water discharges- total volumes Water discharges- volume by destination Water discharges- volume by treatment method Water discharge quality data- quality by standard effluent parameters Water consumption- total volume Water recycling/reuse-total volume Not verified Not verified Not verified Not verified 1-25 Water quality sampled by municipality Not verified Not verified Further Information Module: Response Page: W6. Governance and Strategy W6.1 Who has the highest level of direct responsibility for water within your organization and how frequently are they briefed? Highest level of direct responsibility for water issues Frequency of briefings on water issues Comment Individual/Sub-set of the Board or other committee appointed by the Board Scheduledquarterly The highest level of climate change responsibility ultimately lies with the Board. Water security, use and cost form part of the indicators monitored by the Sustainability Committee. Tiger Brand s Risk and Sustainability Committee and Social and Ethics Committee have been established by the Board. W6.2

30 Is water management integrated into your business strategy? Yes W6.2a Please choose the option(s) below that best explain how water has positively influenced your business strategy Influence of water on business strategy Please explain Alignment of public policy positions with water stewardship goals Establishment of sustainability goals Introduction of water management KPIs Publicly demonstrated our commitment to water Development is underway to define a roadmap for water stewardship maturity levels per business unit. Tiger Brands environmental strategy commits to effective environmental governance priorities within the organisations sphere of influence [WATER, WASTE, ENERGY, PRODUCT] striving to reduce Tiger Brands carbon footprint and building an environmentally sensitive ethos among all stakeholders, in response to climate change s, changing consumer demands and the regulatory environment. With the ISO certifications being undertaken by the manufacturing operations the KPIs relative to water management are being tracked and reported on, deviations are also being addressed with clear action plans. Tiger Brands have an Integrated Annual Report and environmental strategy which highlights the Groups commitment to reducing water consumption. Tiger Brands marketing and communications highlight the organisations water initiatives, therefore enhancing the company's brands as a leader with regards to environmental sustainability. W6.2b Please choose the option(s) below that best explains how water has negatively influenced your business strategy

31 Influence of water on business strategy Please explain Closure of operations Increased capital expenditure Divestment from regions exposed to water risks In areas where Tiger Brands have had limited water supply due to undeveloped locations, some operations (e.g. Chococam in Cameroon) have had to look at sourcing their water from boreholes. Extinction of the water supply may results in closure of operations or disinvestment in regions exposed to water risks. Certain manufacturing sites have undergone a redesign of their production lines to improve water efficiencies. Retrofitting existing sites and ensuring new sites are efficient requires increased capital expenditure. In areas where Tiger Brands have had limited water supply due to undeveloped locations, some of our operations (e.g. Chococam in Cameroon) have had to look at sourcing their water from boreholes. Extinction of the water supply may results in closure of operations or disinvestment in regions exposed to water risks. Water is considered in the greater due diligence process water is key to the organisations success, i.e. the company requires a constant supply of quality water. W6.2c Please choose the option that best explains why your organization does not integrate water management into its business strategy and discuss any future plans to do so Primary reason Please explain W6.3 Does your organization have a water policy that sets out clear goals and guidelines for action? Yes, a publicly available company-wide water policy with performance standards for direct operations including supplier, procurement and contracting best practice and acknowledges the human right to water and sanitation

32 W6.4 How does your organization's water-related capital expenditure (CAPEX) and operating expenditure (OPEX) during the most recent reporting period compare to the previous reporting period? Water-related spending: % of total CAPEX during this reporting period compared to last reporting period Water-related spending: % of total OPEX during this reporting period compared to last reporting period Motivation for these changes 0% 0% Figures of water-related CAPEX and OPEX expenditure are not recorded as a separate formal CAPEX application; this is an action item to address regarding sustainability reporting. At one site, the environmental initiatives were taken into account, however these were not indicated as separate line items; this needs to be quantified separately in the CAPEX process when presented to the board. A high level analysis estimated that water-related spending remained relatively stable compared to Further Information Page: W7. Compliance W7.1 Was your organization subject to any penalties and/or fines for breaches of abstraction licenses, discharge consents or other water and wastewater related regulations in the reporting period? Yes, significant W7.1a