Sustainable Strategy and Operational Framework

This sustainable development strategy can also be developed to align with organizational strategy for business operations in the aspects of Stability, Sustainability, Futuristic Investment, People, Planet, and Prosperity. The strategy can create long-term value and growth with a focus on creating sustainable growth for all sectors by considering the development of human resources, engagement with communities and society, and awareness of natural resource and environmental conservation in all dimensions of the business operations while promoting good governance and integrated stakeholder management. The Group believes that this framework will be a key element to support its business management to move towards achieving the target more accurately and rapidly.

Commitment to Sustainable Development

The Group is committed to operating the business for consistent and sustainable growth in order to add value for stakeholders, communities, society, and environment throughout business operations with a Sustainability Operational Framework that covers environmental, social, and governance and economic dimensions in accordance with sustainability material topics. The Group has aligned business operations in each aspect deemed significant with the Sustainable Development Goals of the United Nations. From a total of 17 SDGs, 14 goals are relevant to the Group's material topics. In 2023, targets were established within specific operations in accordance with material topics as well as future operational objectives. The Group's Sustainability Operational Framework is outlined in the 2023 Group Material Sustainability topics table.

Material Sustainability Topics 2023

Material Topics	SDG(s)	Scope of Internal / External Impacts	Materiality to Business Operations	Management Approaches	Targets	Performance	Reporting Topics
Energy Efficiency			TTA Group is aware of the importance of electricity in operations, and thus focuses on operational efficiency as well as mitigating environmental impacts through process optimization to preserve energy, et cetera.	Comply with the environmental management policy and framework. Comply with laws, rules and regulations related to the environment. Invest in renewable energy.	TTA aims to reduce electricity usage by 2 percent from the previous year.	Achieving targets, TTA used 736,344 kilowatt-hours of electricity, a decrease of 10.92 percent from 2022.	Energy Efficiency
Water Management			TTA Group is aware of responsible business operations to minimize environmental impact from water consumption, both in the maritime industry and in the office.	Comply with local and international laws and regulations. Thoresen Shipping established a Technical Department to manage water and wastewater in accordance with the requirements of the International Maritime Organization and devised a suitable operating plan. Enhance working process and management to minimize environmental impact.	TTA aims to reduce water consumption in the main office by at least 5 percent from the previous year. PHC sets a short-term goal to ensure that the standard of water quality inspection is maintained at no less than 95 percent of the total number of branches that have been inspected (every branch).	Achieving targets, TTA used 1,842 cubic meters of water, a slight decrease from 2022 by 14.37 percent, and saved THB 6,180 on water bill. PHC was able to maintain the standard of water quality inspection at 95 percent of the total number of branches that have been inspected (every branch).	Water Management
GHG Emissions and Climate Change Strategy			Climate change will affect companies. The Company is committed to raise awareness about greenhouse gas emissions to reduce the impact of operations, which includes having strategies to address climate-related risks and meet the expectations of other stakeholders.	Establish short- and long-term Climate Strategy to manage climate change and address climate-related risks and opportunities.	Thoresen Shipping aims to reduce carbon dioxide emission by approximately 5 percent within 2023, and by 2 percent within 2024 and 2025 each.	The Company was able to reduce carbon dioxide emission by 11 percent, from 340,487 tCO2 in 2022 to 303,009 tCO2 in 2023.	GHG Emissions and Climate Change Strategy
Waste Management			TTA Group is aware of the importance of waste management in business operations, as it reduces the risk of wasting resources in production, minimizes environmental impact, and lowers waste disposal cost.	Apply the concept of the circular economy to business operations. Implement the 5Rs across the value chain.	TTA sets a target to reduce the use of non-hazardous waste (paper) by 5 percent from the previous year.	The volume of TTA's non-hazardous waste (paper) orders stood at 1,510 kilograms, a decrease by 3.5 percent from 2022.	Waste Management
Human Rights Due Diligence			TTA Group is aware that respect for human rights is an ultimate corporate responsibility as business operations are concerned with employees, customers, suppliers, and other parties. The Company operates in line with the United Nations Guiding Principles on Business and Human Rights.	The Board of Directors considers, reviews, and supervises the implementation of human rights due diligence process and human rights policies. Conduct a comprehensive assessment on human rights risks to improve a risk register.	TTA targets that 70 percent of employees receive human rights and labor practices training.	72 percent of TTA employees participated in the human rights and labor practices training.	Human Rights Due Diligence
Occupational Health and Safety			One of the business goals is to minimize operational risk and damage by strictly complying with occupational health and safety laws and related standards. This also helps build trust among employees and contractors, as well as other stakeholders.	Recognize the importance of safety by nature of work, which covers physical and mental health for both employees and contractors. Create safety culture across the organization through training and communication. Promote occupational health and employee safety of life and property.	TTA aims to reduce the Lost Time Injury Frequency Rate (LTIFR) to zero.	TTA's LTIFR was zero.	Occupational Health and Safety
Human Capital Development			As employees are the key to organizational success, the Company depends on its ability to attract and retain high-potential employees. TTA Group strives to develop competencies and skills of personnel and promote the quality of life and well-being based on human and labor rights.	Retain talents and offer equal opportunities for career advancements to enhance sense of organizational commitment among employees. Promote the quality of life and well-being of employees based on equality, fairness, and human rights.	TTA aims to provide 5 hours of employee training per person per year. TTA aims for all employees to undergo performance evaluation through the MAX Performance Plan project.	The number of employee training hours was 6.87 hours per person per year. 100 percent of employees who participated in the MAX Performance Plan project have undergone performance evaluation.	Human Capital Development
Product and Service Safety			Delivery of standardized products and safe services to build customer trust and retain a regular customer base while attracting new customer base in the future.	PHC established a Quality Assurance Department to ensure that all branches of its restaurant meet the franchisor's requirements and comply with food safety standards. In the event of customer complaints, the cause will be analyzed and corrected, and measures will be taken in collaboration with the Quality Assurance Department to prevent recurrence.	PHC aims for 100 percent of its employees and suppliers to receive a training on food quality and safety.	100 percent of PHC employees and suppliers completed the food quality and safety training.	Quality and Safety of Products and Services
Customer Relationship Management / Service Quality and Complaint Management			The key to business success lies in recognizing the importance of customers as the core of operations. Thus, prioritizing customer needs, satisfaction, and trust is crucial in driving continuous business growth and expansion.	PHC leverages technology in the analysis of personalized data to create sales promotions that are appropriate and tailored to the needs of each customer group. PHC enhances their service quality management by delivering products and services that meet the standards of each business group within a suitable timeframe, with the aim of maintaining product and service quality while reducing potential complaints.	PHC aims to achieve an overall customer satisfaction rating of 83 percent. PHC aims to resolve all reported customer complaints.	PHC has received an overall customer satisfaction rating of 81.4 percent based on customer evaluations. PHC was able to resolve all reported complaints with a 100 percent success rate.	Customer Relationship and Complaint Management
Value Chain Management			Improve value chain management by preventing and reducing risks in the environment, social, and governance and economic aspects that might affect the Group's image and operations, along with increasing new business opportunities throughout the value chain.	The Company established a "Supplier Code of Conduct" covering guidelines for the sustainability operations of suppliers, selection criteria, and supplier segmentation.	TTA aims for over 50 percent acknowledgement rate of the Supplier Code of Conduct among its suppliers.	52.94 percent of TTA suppliers acknowledged the Supplier Code of Conduct.	Supply Chain Management
Cybersecurity and Data Privacy			Optimizing cybersecurity to increase customer confidence over privacy and security to reduce the potential impact on reputation and the cost of operational errors is the Company’s top priority.	Improve cybersecurity capabilities to protect personal data by monitoring, analyzing, and evaluating threats. Establish the Information and Cyber Security Management Policy. Increase knowledge and understanding of cybersecurity among directors, executives, and employees. Conduct phishing email tests.	None of TTA employees falls victim to phishing emails within two years of the project.	16 TTA employees have failed (fallen victim to) the first phishing email test in 2023.	Cybersecurity and Data Privacy
Research and Innovation Development			Innovation development is essential in increasing competitiveness, differentiating from competitors, and promoting sustainable development by allowing equal opportunities for invention and innovation.	Implement new technologies and innovations in business operations to encourage development of new products and enhance operational efficiency. Promote innovation in collaboration with other organizations to bring more innovations to life. Organize activities to promote innovation through employee engagement.	TTA increases investment in research and innovation from the previous year.	TTA increased investment in research and innovation compared to the previous year, such as the electric motorcycle ‘P80 Go’.	Research and Innovation Development
Enterprise Risk and Crisis Management			Emerging risks might have impacts on business operations. Therefore, risk management strategies are an essential component of corporate governance to help the organization operate sustainably and generate returns at an appropriate risk level.	The Company established the Risk Management Committee to consider and develop a risk management policy and framework while ensuring compliance across departments in the Group. The Company has cultivated a culture that encourages employees to be aware of operational risks and manage risks appropriately.	TTA aims for 70 percent of employees to receive a training on risk management.	72 percent of TTA employees completed the risk management training.	Enterprise Risk and Crisis Management