Wienerberger : Shareholder letter of the Supervisory Board chairman | PDF 182 KB

Attn. Shareholder Wienerberger AG

Vienna, April 1, 2022

Dear Shareholder,

Since taking over the role from Peter Johnson on 1 January 2021, I have had the chance to meet many of our shareholders, most recently during our Environmental, Social, and Governance (ESG) roadshow in January 2022, and will continue to proactively engage with them to share our equity story and solicit feedback to strengthen our ESG practices and disclosures.

It is in this spirit that, like last year, I wanted to write to you ahead of our upcoming Annual General Meeting (the "2022 AGM") on 3 May 2022 to provide additional context on some of the items that are coming to a vote. OurAnnual & Sustainability Report 2021 and the2022 AGM agenda has been published for your review.

Wienerberger's Record Year - 2021

I wanted to first start by highlighting that 2021 was the most successful year in Wienerberger's history of more than 200 years. In 2021, Wienerberger's management demonstrated again its ability to react swiftly to volatile situations, make the right decisions, and communicate regularly with financial market participants. Owing to Wienerberger's successful transformation of its product portfolio in recent years and its presence in diversified end markets, Wienerberger proved to be highly resilient, as reflected in the excellent results of the 2021 business year.

More specifically, in 2021, Wienerberger delivered the below record results:

• - 18% increase in revenues to € 3,971.3 million (2020: € 3,354.6 million)

• - 24% increase in EBITDA to € 694.3 million (2020: € 558.0 million)

• - 6% increase in free cash flow to € 420.6 million (2020: € 397.3 million)

Sustainability at the Core of Wienerberger's Strategic Direction

Wienerberger's value management focuses not only on long-term, sustainable creation of shareholder value, but also on ESG aspects. As a leading provider of building material and infrastructure solutions, we undertake to present a transparent overview not only of climate-related opportunities, but also of the associated risks. Since 2021, we have therefore been following the recommendations of the Task Force on Climate-related Financial Disclosures ("TCFD"). I'll also take this opportunity to inform you that Wienerberger has committed internal resources to start reporting to the CDP in 2021 as well.

We are not only focused on decarbonization, but also on circular economy and biodiversity. By 2023, all new products within Wienerberger's portfolio are to be fully recyclable or reusable. At the same time, Wienerberger is continuously increasing the share of secondary raw materials used in production. Moreover, Wienerberger has taken its commitment to biodiversity to the next level by elaborating its own catalogue of biodiversity measures, which are to be implemented at

Wienerberger's more than 200 production sites by 2023.

On the social front, amongst other areas ranging from cybersecurity to ensuring the health & safety of our employees, Wienerberger is focused on ensuring a diverse workforce as well as providing increased training opportunities for our employees.

Director Elections

As you will see from our Annual Report, the Supervisory Board, and specifically its Nomination Committee, actively reviews its composition to ensure it possesses the right skills and experience to oversee Wienerberger's strategic direction. Apart from general requirements of professional competencies and experience, a proven track record in the management of international companies, ESG experience, and the ability to contribute to strategic discussions on a variety of geographic markets are important criteria for the selection process. Special emphasis is placed in ensuring maximum diversity of the membership in terms of gender, age, and nationality.

At this year's AGM, in addition to my re-appointment as the Supervisory Board Chair, we will also be proposing two new Supervisory Board members, Marc Grynberg and Thomas Birtel, both well-established profiles with strong track-records as CEOs. Marc Grynberg served until recently as CEO of global materials company, Umicore (Belgium), while also serving as a non-executive board member of Nexans (France). Thomas Birtel currently serves as the CEO of Strabag, a publicly listed Austrian construction company. Both nominees have thorough knowledge of the geographic markets relevant to Wienerberger, industry know how, and sustainability.

After the 2022 AGM, if all appointments are approved by shareholders, the Supervisory Board will be comprised of nine capital representatives and three employee representatives (a legal requirement in Austria). The level of independence on the Supervisory Board will increase to 67% (or 89% if only looking at capital representatives). In terms of diversity, the Supervisory Board will maintain a high-level of internationality as well as women representation in excess of the mandatory 30% quota in Austria. Finally, we note that all incumbent capital representatives had a 99% attendance record at Supervisory Board and Committee meetings.

Finally, the Supervisory Board adopted a policy whereby no member should hold more than a total of five mandates at listed companies. In determining the number of mandates held by each member, non-executive roles count as one mandate, chair roles as two, and executive roles as three.

As part of the Nomination Committee's annual review, the Nomination Committee is satisfied of the time commitment of all Supervisory Board members and will continue to monitor closely any new appointments taken by members to ensure that they continue to be able to effectively fulfill their duties at Wienerberger.

Remuneration Report

The Remuneration Committee, and the Supervisory Board as a whole, took account of the concerns that some of Wienerberger's shareholders raised at last year's AGM regarding the Remuneration

Report. The concerns raised, based on our discussions with shareholders, were primarily related to the discretion used by the Remuneration Committee in light of COVID-19 in 2020. This concern was also shared by one of the proxy advisors. Whilst we provided more information in our Remuneration

Report as to our interpretation of last year's vote results, I wanted to underline that no discretion was applied during the period under review, and the Committee does not expect to apply discretion in the foreseeable future.

In 2021, the Remuneration Committee strictly applied the Remuneration Policy approved by shareholders in 2020. In its latest ESG Roadshow held in January 2022, investors were supportive ofWienerberger's Remuneration Policy as well as the transparency that it provides to investors surrounding the performance targets set for both short- and long-term targets.

As in previous years, the Remuneration Report provides retrospective disclosure of each executive's performance against the performance targets set for both the short- and long-term incentives. Furthermore, going beyond market practice, Wienerberger also prospectively discloses the performance targets set for both the short- and long-term incentives in advance (which can be accessedhere).

Dividends

Wienerberger's resilient business model has enabled the Board to propose a €0.75 dividend per share, an increase from the previous year. This distribution is in line with our clear commitment to shareholders where we will distribute 20-40% of free cash flow, by means of progressive dividends and share buybacks.

Share Repurchase Authority

Wienerberger is proposing to renew our authority to repurchase shares up to a maximum of 8% of Wienerberger's share capital for a maximum duration of 30 months, which is within the limits allowed under Austria's Stock Corporation Act. This authority will replace the existing authority approved by more than 99% of participating shareholders at the 2020 AGM.

I hope the above context and information is useful in better understanding our approach to ESG topics and the items coming to a vote at the upcoming AGM.

We are looking for your support on all items and if you have any questions or comments regarding this letter or the AGM, you can contact Angelika Heider, ESG Investor Relations Manager ([e-mail]).

Kind regards

Peter Steiner,

Chairman of the Supervisory Board