CK Asset Holdings Ltd

Greene King's tenanted pub business is subject to the Pubs Code, compliance with the Pubs Code is overseen by the Code Compliance Officer (the "CCO") appointed by Greene King pursuant to the Pubs Code. Regular internal compliance reporting is undertaken by the CCO, who is required to submit an annual report to the Pubs Code Adjudicator confirming Greene King's compliance with the Pubs Code. Greene King's ESG board, established in 2022, continues to operate and has governance over all aspects of environmental, social and governance and reports to Greene King's group executive board. A key part of its role is to ensure that the group is able to meet its reporting requirements under various new ESG-related regulations. Greene King has established a regulatory governance forum since 2023 to ensure that management were made aware of any significant new legislation that could impact the group. Work has also been undertaken to ensure there are clear accountabilities for regulatory compliance across the group and better systems in place to monitor new legislation. In addition, going forwards there will be regular reporting of significant litigation to the group's executive board. Greene King also has a cyber and data governance committee which deals with issues relating to compliance with data protection legislation in the UK. Greene King requires all non-pub staff to undertake a variety of training including on matters such as compliance with the Bribery Act and the Equalities Act in the UK.

The Board of Directors of the Company ("Board") is ultimately responsible for sustainability, and is engaged in formulating related strategies and policies which provide direction and guidance to the Group. It oversees sustainability performance, and is responsible for ensuring effective risk (including ESG risk) management and internal controls. The Company has established the Sustainability Committee to oversee management of and advise the Board on the development and implementation of the sustainability initiatives of the Group. The Group's sustainability and corporate governance policies provide guidance on the integration of sustainability and purposeful governance into businesses. The Group will continue to publish its annual standalone Sustainability Report. Please refer to the Company's Sustainability Report for more details about the Group's sustainability practices, which will be available on the website of Hong Kong Exchanges and Clearing Limited and the Company's website at www.ckah.com for inspection and download. [...] In connection with the compliance with the Competition Ordinance, the Group has established internal compliance policies and implemented compliance programme to educate its employees so as to ensure that its business practices are compliant with the relevant laws from time to time.

Recognising that stakeholder expectations will evolve, the Group regularly reviews its business operations and proactively engages in communication with stakeholders to identify and respond to emerging issues. In tandem, the Group Sustainability Committee regularly reviews the CSR practices and performance and reports to the Board of Directors of the Company. The Group's CSR performance is reported on an annual basis in the Company's Sustainability Report.

The Group has a robust governance structure that is essential to our sustainability efforts. The Board oversees the Group's long-term strategy on environmental, social and governance matters. It is supported by the Sustainability Committee, which advises the Board on the development of the Group's sustainability strategy, and a dedicated Sustainability Working Group, which is tasked with the execution and management of this strategy through the implementation of sustainability policies and initiatives across the business. [...] The respective roles of the Board, the Sustainability Committee and the Sustainability Working Group are as follows: - The Board holds the ultimate responsibility for sustainability within the Group and is engaged in formulating strategies and policies to provide direction to the Group. The Board is provided with sustainability updates, including updates on climate-related risks and opportunities, at least twice a year, at Board meetings, which allows it to oversee the Group's sustainability performance and effective risk management and internal controls. - The Sustainability Committee assists and advises the Board on the development and implementation of the sustainability policies and practices of the Group. The scope of its responsibilities includes reviewing the Group's ESG policies and management approach, and evaluating and providing recommendations to the Board on the Group's sustainable development efforts, sustainability risks (including climate-related risks) and opportunities, and sustainability targets. It is also responsible for overseeing, reviewing, and evaluating actions taken by the Group in the furtherance of its sustainability priorities, goals, and targets. The Sustainability Committee may delegate certain responsibilities to working groups to discharge its responsibilities, as stated in its Terms of Reference. [...] - The Sustainability Working Group was established in 2016 and its members are appointed by the management team across departments, subsidiaries, and business units within the Group. It is responsible for executing sustainability strategies and policies, and implementing relevant initiatives, and for reporting.

The Board of Directors (the "Board") oversees the content of this Report, which has been reviewed by the Board-level Sustainability Committee and approved by the Board. [...] The Sustainability Committee comprises three Directors, a majority of whom are INEDs, and the Company Secretary. The main duties of the Sustainability Committee are to oversee the management, and advise the Board on the development and implementation, of the sustainability initiatives of the Group, including reviewing the related ESG policies and practices, and assessing and making recommendations on matters concerning the Group's sustainability development and ESG risks and opportunities. It is supported by the Sustainability Working Group which comprises members from various departments, operating subsidiaries and business units of the Group. For details, please refer to the section below headed "Sustainability Governance" of this Report and the Terms of Reference of the Sustainability Committee. The Sustainability Committee is scheduled to meet twice a year. [...] The Group follows strict guidelines on political contributions, as outlined in its Media, Public Engagement, and Donation Policy. Adopting a politically neutral stance, it does not donate to political associations or individuals. This ensures impartiality and allows the Group to focus on its core business objectives. All requests for political contributions must be submitted to the relevant CKA Executive Director and copied to the Corporate Affairs Department (CAD) for review and approval, ensuring compliance with the Media, Public Engagement and Donation Policy.

The Group has a robust governance structure that is essential to our sustainability efforts. The Board oversees the Group's long-term strategy on environmental, social and governance matters. It is supported by the Sustainability Committee, which advises the Board on the development of the Group's sustainability strategy, and a dedicated Sustainability Working Group, which is tasked with the execution and management of this strategy through the implementation of sustainability policies and initiatives across the business. [...] The Sustainability Committee assists and advises the Board on the development and implementation of the sustainability policies and practices of the Group. The scope of its responsibilities includes reviewing the Group's ESG policies and management approach, and evaluating and providing recommendations to the Board on the Group's sustainable development efforts, sustainability risks (including climate-related risks) and opportunities, and sustainability targets. It is also responsible for overseeing, reviewing, and evaluating actions taken by the Group in the furtherance of its sustainability priorities, goals, and targets. The Sustainability Committee may delegate certain responsibilities to working groups to discharge its responsibilities, as stated in its Terms of Reference.