Stamford Tyres : Sustainability Report 2022

Contents

	Page
Board statement	1	- 2
Reporting framework		3
Reporting period and scope		3
Feedback		3
Our business		3
Stakeholder engagement		4
Policy, practice and performance reporting	5	- 6
Material factors	6 - 16
Supporting the UN Sustainable Development Goals	17	- 18
GRI content index	19	- 22

FY2022 Sustainability Report - Stamford Tyres Corporation Limited

1. Board statement

We reaffirm our commitment to sustainability with the publication of our sustainability report ("Report") guided by the Global Reporting Initiative ("GRI") Standards: Core option. For this Report, we provide insights into the way we do business, while highlighting our environmental, social, governance factors, economic performance and customer experience (collectively as "Sustainability Factors").

Whilst mindful of our overall profit-oriented objective, we are committed to strike a balance between growth, profit, governance, environment, the development of our people and well-being of our communities to secure the long-term future of Stamford Tyres Corporation Limited (the "Company") and its subsidiaries (the "Group"). This commitment is reflected in our sustainable business strategy and the material Sustainability Factors which are shown in this Report.

A sustainability policy ("SR Policy") covering our sustainability strategies, reporting structure, materiality assessment and processes in identifying and monitoring material Sustainability Factors has been established and serves as a point of reference in the conduct of our sustainability reporting. Under this SR Policy, we will continue to monitor, review and update our material Sustainability Factors from time to time, taking into account the feedback that we receive from our engagement with our stakeholders, organisational and external developments.

Our sustainability framework communicates our commitment towards supporting the United Nations' Sustainable Development Goals ("SDGs" or "Global Goals") and is primarily driven by the concerns of our key stakeholders. We work closely with stakeholders in our value chain and their inputs drive our sustainability focus on our material Sustainability Factors and the SDGs as follows:

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FY2022 Sustainability Report - Stamford Tyres Corporation Limited

A summary of our key sustainability performance in FY2022 is as follows:

Sustainability

Performance indicator

Sustainability performance

factor

Customer experience

Economic

Environmental

Social

Governance

Market presence

Taxation

Salaries and employees' benefits

Reinvestment via revenue reserve

Dividend paid to shareholders

Greenhouse gas ("GHG") emissionsintensity (tonnes CO2e/ revenue S$'000)

Percentage of aluminium chips recycled

Water consumption rate (CuM/ revenueS$'000)

Percentage of wastewater treated by watertreatment plant

Number of safety related defect which resulted in an accident that caused injuryto a customer

Average training hour per full-timeemployee

Turnover rate

Number of reported incidents of unlawfuldiscrimination1 against employees

Number of workplace fatalities

Number of high-consequence2 work-related injuries

Number of recordable work-related injuries

Number of work-related ill health cases

Number of complaints on serious offence3

FY2022

One of the largestindependent tyre

andwheel distributors in SouthEast Asia

S$3.2 million

S$22.0 million

S$0.9 million

S$3.0 million

0.0777

88%

0.8

100%

-

4 hours

16%

-

-

-

15

-

-

FY2021

One of the largestindependent tyre

andwheel distributors in SouthEast Asia

S$2.0 million

S$18.1 million

S$1.1 million

S$1.2 million

0.0680

88%

0.8

100%

-

3 hours

16%

-

-

-

9

-

-

The global economic outlook remains challenging. To address the challenges arising from the uncertainties due to the Coronavirus disease 2019 ("COVID-19" or "Pandemic"), geo-political situations and intense market competition, the Group has deployed resources and implemented strategies to diversify our product offerings to adapt to the ongoing market changes. We will continue to focus on growing the sales of our key products, improving our sales productivity and upgrade value-added segments such as Stamford Tyres Mart retail chain and truck centres.

We believe that our pro-active business initiatives and operational track record will tide us through this challenging period and allow us to stay on course in our sustainability journey.

1. Unlawful discrimination refers to an incident whereby the relevant authority has commenced investigation and resulted in a penalty to the Company.
2. High-consequencework-related injuries refer to injuries from which the worker cannot recover or cannot recover fully to pre-injury health status within 6 months.
3. A serious offence is defined as one that involves fraud or dishonesty amounting to not less than S$100,000 and punishable by imprisonment for a term of not less than 2 years which is being or has been committed against the Company by its officers or employees.

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FY2022 Sustainability Report - Stamford Tyres Corporation Limited

2. Reporting framework

This Report has been prepared in accordance with the Global Reporting Initiative ("GRI") Standards: Core option and Singapore Exchange Securities Trading Limited ("SGX-ST") listing rules 711A and 711B. We have chosen to report using the GRI Standards: Core option as it is an internationally recognised reporting framework. The GRI content index can be found in section 10.

As part of our continual efforts to align our sustainability reporting with relevant market standards, we have mapped our sustainability efforts to the 2030 Agenda for Sustainable Development which is adopted by all United Nations Member States in 2015 ("UN Sustainability Agenda"). The UN Sustainability Agenda provides a shared blueprint for peace and prosperity for people and the planet, now and into the future. At its heart are the 17 SDGs, which form an urgent call for action by all countries - developed and developing

• in a global partnership. We have incorporated the SDGs, where appropriate, as a supporting framework to shape and guide our sustainability strategy.

While we have not sought external assurance for this sustainability report, we relied on internal data monitoring and verification to ensure its accuracy. We will work towards external assurance for our future sustainability reports.

3. Reporting period and scope

This Report is applicable for our financial year from 1 May 2021 to 30 April 2022 ("FY2022" or "Reporting Period") and a copy of which can be found in our corporate website http://www.stamfordtyres.com. A sustainability report will be published annually in accordance with our SR Policy.

This Report covers the key operating entities within the Group which contributed to approximately 98% (FY2021: 97%) of the Group's total revenue for the Reporting Period.

4. Feedback

We welcome feedback from all stakeholders on this Report. You may send related questions, comments, suggestions or feedback to our investor relations email account: [e-mail] or [e-mail].

5. Our business

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	Key suppliers		Key operations
Comprise	mainly	suppliers	for	▪ Wholesale and retail of tyres
major brands of tyre and	and wheels;
contract	manufacturers	to	▪ Manufacture and sale of
produce	tyres	under	our	aluminium alloy wheels;
proprietary brands4 (collectively	▪ Servicing of motor vehicles; and
referred to as "Suppliers")		▪ Retreading of tyres

Key customers

Comprise mainly retailers and sub-distributors ("Customers")

4 For further details on our proprietary brands and alloy wheels, please refer to section 8.6.

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