Shangri-La: Shangri La Asia : Sustainability Report 2024

SHANGRI-LA SUSTAINABILITY REPORT 2024 WELCOME STAY SAVOUR SHINE GOVERNANCE CLIMATE- AND NATURE- RELATED DISCLOSURES APPENDIX Contents WELCOME • Message from the Chairman 03 • About This Report 04 • ESG Vision and Statement 05 • Our ESG Strategy 06 • Performance at a Glance 08 • Stakeholder Engagement 09 • Materiality Assessment 11 • Supporting the Sustainable Development Goals 12 • Awards and Recognition 18 • Sustainable Finance 18 STAY 19 • Building and Interior Design 21 • Carbon Emissions 25 • Energy 26 • Water 28 • Waste 29 • Guest Experience 33 SAVOUR 35 • Savour the Flavours 36 • Rooted in Nature 37 • Food Safety 40 • Food Waste Reduction 41 • Savour the Moments 43 SHINE 46 • Our Employees 48 • Our Suppliers 58 • Our Community 62 GOVERNANCE 70 • ESG Governance 71 • Directors ' Handbook and Group Code of 74 Conduct and Ethics • Human Rights 74 • Data Privacy and Intellectual Property 75 • Technology and Cybersecurity 75 • Anti-Corruption 75 • Whistleblowing 75 CLIMATE- AND NATURE-RELATED 76 DISCLOSURES APPENDIX 88 • Performance Tables 89 • HKEX ESG Reporting Code Index 98 • GRI Standards Index 105 • Assurance Statement 112 SHANGRI-LA SUSTAINABILITY REPORT 2024 WELCOME STAY SAVOUR SHINE GOVERNANCE CLIMATE- AND NATURE- RELATED DISCLOSURES APPENDIX WELCOME SHANGRI-LA SUSTAINABILITY REPORT 2024 Message from the Chairman 03 WELCOME STAY SAVOUR SHINE GOVERNANCE CLIMATE- AND NATURE- RELATED DISCLOSURES APPENDIX Hui Kuok Chairman On behalf of the Board, I am delighted to present Shangri-La's 2024 Sustainability Report. In a year marked by continued global uncertainties, we have remained steadfast in our purpose: to be a vital force for good for our people, our communities, and our planet. Our sustainability efforts reflect our belief in the enduring relevance of our Asian heritage - not only as a foundation of our hospitality, but as a source of inspiration for meaning, lasting impact. Our properties continue to serve as vibrant platforms for cultural experience and community connection. From dragon boating in Abu Dhabi and Mactan, to tea appreciation experiences in Chiang Mai and Istanbul, and the celebration of local culinary traditions through seasonal, sustainably sourced ingredients, we are energising our legacy through immersive guest experiences that honour regional identities and support local artisans and producers. While we continue to make progress on the social dimensions of sustainability, we recognise the urgent need to address the unprecedented environmental challenges facing our planet with clarity, commitment, and resolve. In 2024, several of our hotels were in locations directly impacted by severe flooding, underscoring the crucial importance of enhancing climate resilience across our portfolio. These events have reinforced our commitment to embed climate considerations into our long-term strategy - ensuring the safety and wellbeing of our guests and colleagues, while safeguarding the continuity of our operations. In response, we have completed our first Scope 3 carbon inventory to gain a comprehensive understanding of our value chain emissions and initiated nature-related disclosures to guide our future actions with greater transparency. In parallel, we are advancing efforts to reduce plastics and waste, including redesigning room amenities and avoiding microplastics in food preparation. We continue to embed responsible practices across our operations. Recent milestones include the rollout of Group-wide training on modern slavery and human trafficking, the expansion of our responsible sourcing programme, and the commencement of human rights due diligence. These are essential steps in ensuring that our growth is underpinned by respect for people and the planet. None of this would be possible without the dedication of our colleagues across the Shangri-La family. I am deeply grateful for your passion, resilience, and commitment - qualities that remain the cornerstone of our success. As we look ahead, we do so with purpose and optimism. Through our continued focus on cultural authenticity, environmental stewardship, and community engagement, we will further our purpose and mission - one that celebrates the richness of our heritage while shaping a more sustainable future for generations to come. Hui Kuok, Chairman SHANGRI-LA SUSTAINABILITY REPORT 2024 WELCOME STAY SAVOUR SHINE GOVERNANCE CLIMATE- AND NATURE- RELATED DISCLOSURES APPENDIX About Shangri-La Shangri-La Asia Limited's (together with its subsidiaries, the "Shangri-La Group" or the "Group") business is organised into four main segments: Hotel Properties - development, ownership, and operation of hotel properties (including hotels under leases) Hotel Management and Related Services for Group-owned hotels and for hotels owned by third parties Investment Properties - development, ownership, and operation of office properties, commercial properties, and serviced apartments/residences for rental purposes Property Development for sale - development and sale of real estate properties We currently own and/or manage hotels under the following brands: Shangri-La Hotels and Resorts Kerry Hotels JEN by Shangri-La Traders Hotels Shangri-La Asia Limited is primarily listed on the Main Board of the Stock Exchange of Hong Kong (HKSE) with a secondary listing on the Stock Exchange of Singapore (SGX). For full information about the Group's financial performance and Corporate Governance, please refer to our Annual Report. About This Report 04 This report fulfils relevant provisions of Rule 13.91 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (Listing Rules) and the Environmental, Social and Governance Reporting Code in Appendix C2 to the Listing Rules (HKEX ESG Reporting Code). It also references selected standards from the Global Reporting Initiative (GRI) and supports the recommendations of the Taskforce for Climate-related Financial Disclosures (TCFD) and Taskforce for Nature-related Financial Disclosures (TNFD). Please refer to the Appendix of this report for more information. We welcome your feedback. Please share your views with us via esg@shangri-la.com. Boundary and Scope This report focuses on the material ESG impacts of our owned and managed hotels and investment properties. The reporting scope encompasses our hotels and investment properties where our Group holds operational control. For detailed information about the scope and data methodology for ESG datasets, please refer to the Performance Tables. Reporting Principles This report applies the principles of materiality, quantitative reporting, and consistency. Disclosure is aligned to our ESG strategy, which was formulated via a structured materiality assessment process. To enable the quantitative comparison of performance over time, data on material ESG indicators (including carbon emissions and energy consumption data) are consolidated in the Performance Tables. Information on the standards, methodologies, assumptions, calculation tools employed, and the sources of conversion factors used are stated wherever appropriate. As far as is reasonably practicable, consistent methodologies are adopted when disclosing ESG data over time and any factors affecting a meaningful comparison are disclosed. Lobby Lounge at Shangri-La Nanshan, Shenzhen SHANGRI-LA SUSTAINABILITY REPORT 2024 WELCOME STAY SAVOUR SHINE GOVERNANCE CLIMATE- AND NATURE- RELATED DISCLOSURES APPENDIX ESG Vision and Statement 05 ESG Vision To be the best-loved hospitality group by hosting people to the colourful joys of life in a sustainable manner. Delivering hospitality that empowers our people, uplifts local communities, nurtures the planet, and celebrates Asian heritage. ESG Statement We are committed to operating in an economically, socially, and environmentally sustainable manner while balancing the interests of our diverse stakeholders in order to make a long-term positive impact on our local communities in every location that we operate in. We aim to build a better shared future by empowering our people, uplifting local communities, nurturing the planet, and celebrating Asian heritage, holding ourselves accountable to international standards and considering local culture so that we can serve as good stewards of society and the environment. In accordance with our updated Triple S ESG strategy introduced last year, we invite our guests, employees, suppliers, and stakeholders to Stay, Savour, and Shine with us at Shangri-La. Our ESG strategy is underpinned by strong corporate governance, with an emphasis on topics that are material to our business and stakeholders. Shangri-La Le Touessrok, Mauritius SHANGRI-LA SUSTAINABILITY REPORT 2024 WELCOME Our ESG Strategy 06 Sustainability is at the heart of every Shangri-La experience because we care about the world we live in. Our approach reflects our guests' desires to enjoy the most memorable stay without costing our planet. It also helps us connect with current and future employees, support global priorities, and contribute positively to the local communities we have been part of for more than 50 years. STAY SAVOUR SHINE GOVERNANCE CLIMATE- AND NATURE- RELATED DISCLOSURES APPENDIX In 2023, we introduced our Triple S sustainability strategy, setting out how we enable people to Stay, Savour, and Shine. This refreshed strategy covers our main businesses and material ESG topics throughout the entire Shangri-La experience. It is built on our celebrated commitment to doing the right thing from the heart, with integrity, care, and sustainability. This is our second sustainability report since the launch of the Triple S strategy. In it, we are pleased to share some highlights from our progress. We invite you to explore the report and discover how we create meaningful impact for our guests, employees, communities, and planet. STAY Stay with us and experience the colourful joys of life in a sustainable manner curated by Shangri-La. SAVOUR Savour safe,