Overview of ST Engineering Group Supply Chain OUR APPROACH We Do Not Procure Conflict Minerals Our company’s offerings are typically at systems-level and we procure finished electronics products. When we do buy electronics components, we mostly do so at sub-system level, and from reputable contract manufacturers. We expect these suppliers to have conflict minerals policies for their own supply chain. We Conduct Multi-Faceted Evaluations We adopt various sourcing strategies, which include the use of weighted criteria for tender contracts. This ensures that suppliers are assessed fairly both technically and commercially. Our Supplier Code of Conduct communicates our business and ESG expectations to our suppliers. Our suppliers are expected to adhere to this code and failure to do so will trigger further actions. In 2022, we incorporated the Supplier Code of Conduct into the General T&Cs of our purchase orders in our Singapore operations. We also explore processes and systems that help us incorporate ESG criteria into our screening process to identify suppliers with high sustainability risks. Highrisk factors we look at include, but are not limited to, bribery and corruption cases, human rights violations, environmental violations and violations to sanctions. Type of Goods and Services Procured Aerospace • Aircraft airframes, engines, parts and components • Engineering services and on-wing support • Materials and production consumables, including chemicals • Aviation fuel, oil, lubricants • Fabrication and assembly services • Facilities spares and maintenance services • Miscellaneous industrial tools and equipment • Safety equipment • Manpower services and subcontractors • Enterprise IT equipment, software and services • Office supplies • Professional services Urban Solutions & Satcom • Electronic and electrical products, equipment, hardware, parts and components • Communications equipment, hardware, parts and components • ICT Infrastructure and systems, hardware, software and services • Vehicle fuel, oil and lubricants • Fabrication and assembly services Land Systems • Vehicle engines, transmissions, electronics, electrical sub-systems, tyres, parts and components • Castings, forgings, extruded parts • Materials: Metals, rubber, plastics, chemicals, etc. • Vehicle fuel, oil and lubricants • Fabrication and assembly services Marine • Marine equipment, hardware, parts and components • Navigation, communication and automation equipment and software • Materials: Metals, rubber, plastics, chemicals, etc. • Marine fuel, oil and lubricants • Fabrication and assembly services Digital Systems & Cyber • Electronic and electrical products, hardware, parts and components • Communication products, hardware, parts and components • ICT Infrastructure hardware and systems, software and services • Cybersecurity products, hardware, software and services OVERVIEW OUR SUSTAINABILITY APPROACH ECONOMIC ENVIRONMENTAL SOCIAL GOVERNANCE INDEX 33
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