2018 Commitment to Sustainability Environmental Management System Eco

2018

Commitment to Sustainability Environmental Management System Eco Friendly Products Chemical Safety Management Value Chain Contributor Achievements in 2018 Circular Economy 2

Environmental Management System Eco Friendly Products Chemical Safety Management Value Chain Contributor Achievements in 2018 Circular Economy 3

Environmental Management System 1996 1998 2016 ISO 14001 Environmental Accounting First in Taiwan’s Chemical Industry Pioneer in Taiwan Material Flow Cost Accounting (MFCA) 4 First in Taiwan’s Chemical Industry

Environmental Policy Recognizing the limits of natural resources as well as the importance of sustainable development, Everlight Chemical takes the responsibilities as global citizens by participating the green campaign”. We define our Environmental Policy as: Conserve Earth Resources; Conform to Environmental Regulations And adopt the following strategies: 1. Establishing ISO 14001 Environmental Management System. 2. Enhancing employees’consciousness and skills of environmental protection through education and training. 3. Continuous improvement of the production processes and the utilization of all resources. 4. Reducing industrial wastes and practicing pollution prevention. 5. Developing environmental techniques and increasing the effectiveness of waste treatment facilities. 5

Environmental Management System Chemical Safety Management Eco Friendly Products Value Chain Contributor Achievements in 2018 Circular Economy 6

Certifications ZDHC Foundation 419 products (ZARA 、GAP 、 Bershka…) 451 products 7 bluesign® 284 products H&M 353 products （As on May, 2019） Global Organic Textile Standard (GOTS) 175 products (Timberland, The North Face, Kipling…) 43 products

Environmental Management System Chemical Safety Management Eco Friendly Products Achievements in 2018 Value Chain Contributor Circular Economy 8

ZDHC: Zero Discharge of Hazardous Chemicals Foundation (https: //www. roadmaptozero. com/ ) • General Manager, Wei-Wang Chen, acting ZDHC board member • Accomplish Higg Index 2018 FEM 3. 0 self-assessment (Plant 1 and 2) • Cooperated with ZDHC in the Shanghai International Dyestuff Exhibition to promote the registration of Gateway Chemical Module 9

Environmental Management System Eco Friendly Products Chemical Safety Management Achievements in 2018 Circular Economy 10 Value Chain Contributor

Implement Circular Economy Plant 3 Import BS 8001: 2017 Organizational Guidelines for Implementing Circular Economy Framework 11

Environmental Management System Chemical Safety Management Eco Friendly Products Value Chain Contributor Achievements in 2018 Circular Economy 12

Water use efficiency Reuse of water (water saving) Accumulated to 450 million liters 38% water used from: The total amount of water metering or empirical formula estimates for reuse of water, rainwater, condensate, process recovery wastewater, and total secondary recovery water. 13

Carbon reduction, Energy saving CO 2 Power saving 1. 15 M (k. Wh) Converted carbon reduction 639 Carbon reduction, t. CO 2 e 36% over last year The electricity saving is the energy saving result reported to the Energy Bureau. In 2017, the electricity consumption was 840, 000 k. Wh. The energy reduction was calculated by the Energy Bureau's “ 2017 annual power emission coefficient = 0. 554 kg CO 2 /degree”. 14

Clean manufacturing Industry Bureau of the Ministry of Economic Affairs Clean Production Evaluation System Certificate Plant 2 2014 and 2018 15

Green factory Industry Bureau of the Ministry of Economic Affairs Green Factory Mark Certificate Plant 4, 2018 16

Awards in 2018 Plant 2 Flood prevention Award by water Resource Agency, MOEA Plant 3 Excellence Green Procurement and Consumption by Environmental Protection Administration (EPA) Plant 1, 2 and 3 Excellence Green Procurement by Taoyuan City Government 17

Environmental Management System Eco Friendly Products Chemical Safety Management Value Chain Contributor Achievements in 2018 Circular Economy 18

Compared to traditional screen printing: 40% CO emission Save 24% water usage Reduce 124, 000 19 2 tons CO 2 emission in 2018 TCIA Product Innovation Award 2013 National Invention Award 2015

Compared with traditional dyes, reduce Reduce 100, 700 20 56% CO emissions 2 tons CO 2 emissions in 2018

Waterborne Coatings, greatly reduce Reduce by 6, 400 21 organic gases volatilizes tons VOCs emission in 2018 Ringier Technology Innovation Award 2018 TCIA Product Innovation Award 2018

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