Investor Presentaiton

Ferrero Group Sustainability Report 2022 Introduction Our sustainability progress Our reporting F 27% Gas Boilers (steam) 21 Electricity < 100% Natural Gas Case study Poços de Caldas decarbonisation project Considering the abundance of renewable electricity and the convenient ratio between electricity and natural gas prices in Brazil, Poços de Caldas was selected as the first Ferrero plant to implement the strategy to electrify the heat. It means replacing the traditional natural-gas boilers that produce steam and hot water, with electric boilers and heat pumps, which can produce the same energy in a more efficient way, as well as using renewable electricity. In addition, an electric roaster replaces a traditional gas roaster. Once completed this will allow the site to save about 2,900 tCO2eq Scope 1 a year (about 95% of the current figure). Despite this, the initial reduction is small compared to the whole target, but it is an important pilot as we can then extend the strategy to other plants. 2,900.00. GHG Scope 1 emissions saved per year Following the electric roaster, in November 2022, the first two heat pumps have been installed, to replace two natural gas boilers to produce hot water for the factory process. The second step of the project has been approved and started, and this includes a high-pressure steam-electric boiler, a photovoltaic plant to increase on-site renewable electricity production, and upgrading the electrical connection to allow renewable electricity from the grid. The third and final stage will include two more heat pumps for hot water and another electric boiler to produce medium-pressure steam. Before the decarbonisation process Gas Boiler (80C Hot Water) 65% 5% Gas Oven 3% {{{Gas Roaster After the decarbonisation process Gas Oven {{{ {{{Electric Roaster Poços de Caldas, Brazil Heat pump (75C Hot Water) Heat pump (60C Hot Water) イイイイ。 PV Plant 4 Electric Boilers (steam) Renewable Electricity Natural Gas

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