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Sustainability Management

Environmental Management
As the leader in the domestic business areas of cosmetics, medical devices, and food, Hyundai Bioland makes
environmental safety its top management task; it has selected a list of environmental safety goals with the
intention of creating a safe, sustainable society by promoting a leading environmental safety management system.
Climate Strategy & Environment, Health and Safety Management Policy
Management System of Climate Strategy, Environmental, Health, and Safety
We are monitoring the risks that may occur at each workplace according to our risk management process. It also have immediate report system. When the issue has been occurred, each workplace report to the headquarter immediately. The environmental safety committee has been regularly held to check related issues and carry improvement activities out.
Risk and Opportunity Factors of Climate Change
We analyze impact of Climate Change factors based on ISO 14001, 45001, and ESG Standards to minimize the risks.
Table consisting of analysis of climate change risk and opportunity factors
Factors of Climate Change Business Effect
(Majority)
Financial Impact
of Climate Change Risk
Financial Impact
of Climate Change Opportunities
Paradigm shift Government Regulations High

Expansion of investment to set up infrastructure for measuring and reducing greenhouse gases and air pollutants.

Strengthen foundation of the business by setting a preemptive infrastructure

Accept
High Efficiency Technology
Medium

Expansion of investment to high-efficiency production facilities

Expanding R&D investment to high-efficiency technologies

Increase sales by business competitiveness

Change of Customer Behaviors High

Increased cost of purchasing eco-friendly materials

Increased cost of green certification

Increase material supply opportunities and sales by enhancing customer relationships

Using Renewable Energy Medium

Expansion of investment to renewable energy infrastructure

Reduced energy costs

Direct Effect Natural Disasters
(Typhoon, Flood, Heavy Snow, etc.)
High

Expansion of investment to safety and disaster prevention facilities

Increased cost of recovery and business opportunity loss in the event of a disaster

Possibility of lowering insurance cost for natural disasters

Temperature rise,
Yellow dust phenomenon
Medium

Increased operating costs of air conditioning facilities

Expansion of business opportunities due to increased demand for functional cosmetics such as cooling and anti-pollution

Long-term plan for carbon neutral management
Hyundai Department Store Group is implementing carbon neutral management by establishing ESG environmental brand and slogan as "Re-Green" and "Re-Drawing Earth" respectively with the goal of reducing carbon emissions by more than 60% until 2050. In line with the policy, Hyundai Bioland also strive hard to achieve same goals with the group.
Table consisting of mid- to long-term plans for carbon-neutral management to respond to climate change
2018
(Base year)
2021
(Current)
2030
(Plan)
2050
(Plan)
Greenhouse gas emissions
(Scope 1,2)
· Intensity: 62.0 (per 100 million won in sales)
· Emission: 62,391 (tCO₂eq)
· 24% reduction in intensity
· 21% reduction in emissions
· 35% reduction in intensity · Reduce intensity more than 90%
· Reduce emissions more than 60%
Renewable energy
replacement rate
- - 20% or more 100%
Purchase of
eco-friendly raw
800 million won
(2019)
2.7 times increased an annual increase of more than 3%
Environmental Goals and Plans of Key Business Sites of 2021
Environmental Goals of 2021 , Detailed Plans table
Environmental Goals of 2021 Detailed Plans
Osong Plant

Amount of waste compared to the previous year reduced by 5%

Amount of water compared to the previous year 1,700 tons/year reduced

Osong Plant is the nation’s largest cosmetic material manufacturing plant. With the aim of reducing the amount of generated waste, it reuses waste (waste organic solvent) that are by-products of raw materials for processing cosmetics as microbial organic carbon in the wastewater treatment process of other companies, reducing 700 tons of wastewater generated yearly.
Ochang Plant

Keeps the emission of volatile organic compounds (VOCs) below 50% of the legal limit

Ochang Plant is a medical device manufacturing plant that established a dust collection facility to reduce the density of VOCs (dust, sulfur oxide, tetrahydrocannabinol) created during plant operation. The VOC density is maintained below 50% of the legal limit.
Ansan Plant

Amount of water/wastewater compared to the previous year 500 tons/year reduced

Amount of waste compared to the previous year reduced by 5%

Ansan Plant is a food manufacturing plant that improved its microbial fermentation process and reduced the amount of water used and wastewater generated by 500 tons per year.

※ The Cheonan and Bundang are only used for office purposes.

Minimization of Environmental and Energy Emissions
For the minimization of environmental and energy emissions,
Hyundai Bioland sets a yearly goal on the reduction of use of energy and generation of waste.
Reduction of Use of Water , Reduction of Use of Raw and , Reduction of Waste , Response to Climate Change , Reduction of VOC Emission table
Reduction of Use of Water

Reduction of Use of Water

By reusing purified (electro-deionized) concentrated water as cooling water, we reduce the yearly amount of 1,700 tons of water use.
Reduction of Use of Raw and
Subsidiary Materials

T.O.P. Activity

We are promoting the T.O.P. (Total Operational Performance) activity for reducing manufacturing costs to reduce the usage of raw and subsidiary materials and secure competitiveness in production cost, quality, and safety.
Reduction of Waste

Reducing waste by reusing waste

Waste (waste organic solvent) generated as by-products of cosmetic raw materials is reused as microbial organic carbon in the wastewater treatment process of other companies to reduce the amount of generated waste.
Response to Climate Change
(Reduction of energy and greenhouse gas emissions)

Energy Reduction Campaign

The energy reduction campaign promotes maintaining the office temperature between 20 and 26℃ during summer and winter and prohibits the use of personal heaters.
Reduction of VOC Emission

Signed the agreement for voluntary reduction of particulates

To minimize impact on the environment and local community caused by our business sites, we signed an agreement for the voluntary reduction of particulates with the Ministry of Environment. We are continuously complying with the agreement, having set an internal rule of reducing air and water pollutants below 50% of the legal limit; thus minimizing the amount of discharged pollutants.
Performance in Environmental, Health, and Safety Investment

Unit: 100 million

Plant, 2018(Plan,Performance), 2019(Plan,Performance) , 2020(Plan,Performance) , 2021(Plan) table
Plant 2019 2020 2021 2022
Plan Performance Plan Performance Plan Performance Plan
Osong Plant 2.4 2.4 - - 0.5 0.5 6
Ochang Plant - - 0.6 0.6 0.6 0.6 0.7
Ansan Plant 3.8 1.3 2.5 2.5 3.7 3.7 2
Total 6.2 3.7 3.1 3.1 4.8 4.8 8.7

※ The Cheonan and Bundang are only used for office purposes.