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24 SUSTAINABILITY @ LIDL MATERIALITY Our stakeholders influence our sustainability strategy Our strategy focuses on those areas that are the most material to our business and our stakeholders and where we can have the greatest impact. Our stakeholders’ feedback is important to developing our approach to sustainability and is used to influence our sustainability strategy. Our stakeholders’ feedback is important to developing our approach to sustainability and is used to influence our sustainability strategy. We have completed an in-depth materiality internal and external review of our full Lidl Responsibility Model to understand what social and environmental concerns were most important to our stakeholders and to observe if there were any changes since our previous report. Our materiality consisted of quantitative and qualitative feedback from all our stakeholders; customers, partners, suppliers, employees, charities, media, politics and third-party area experts.1 This list was agreed and reviewed by the CSR, Communications and Marketing departments locally while also verified by third party experts.2 All stakeholders received a link to an online anonymous and gratuity- free survey which surveyed their opinion on our 41 Lidl Responsibility Model topics. Business in the Community Ireland, an independent company specialising in corporate responsibility, supported the process and completed qualitative interviews for data verification. Materiality matrix displaying all Lidl Responsibility Model topics and their position relative to the degree of stakeholder interest and potential business impact. Together, the results represent the topics identified as most material for Lidl Ireland and Lidl Northern Ireland.4 Sustainable Products Diversity & Inclusion Labour Rights (OP) Traceability Climate (OP) Fair Business Relations Conservation of Resources (OP) Remuneration Conservation of Resources (SP) Fair Remuneration (SP) Climate (SP) Occupational Health (SP) Non Discrimination Freedom of Association Life Balance Internal Enabling Stakeholder Dialogue Pollution Biodiversity Raw Materials Circular Economy Ingredients & Nutrition Information Product Labelling Transportation (SP) Transportation (OP) Planning & Construction Compliance Supplier Awareness & Training Forced Labour Local Sourcing Fresh Water Consumer Awareness Child Labour High Quality Products & Food Waste Animal Welfare Occupational Health & Safety Promotion (OP) Product Safety Local Development Corporate Citizenship Cooperation Supplier Assessment LOW Business Impact Resources and Agriculture HIGH Supply Chain and Processing Operations and Processes Consumer and Society 1 GRI 102-40, 2 GRI 102-42, 4 GRI 102-47 RESOURCES Protection of Ecosystems Animal Welfare Standards Environmental Protection: Supply Chain SUPPLY CHAIN Employment Related Supplier & Market Human Rights Development Corporate Environmental Management OPERATIONS Employee Responsibility Responsible Products CUSTOMER Transparency Social Value Responsible at Point of Sale Creation Communication LOW Stakeholder Interest4 HIGH