ANTA Sports Adheres to Sustainable Development by Green Operation and Community Contribution

Supporting the 2022 Winter Olympic Games in Beijing

ANTA Sports Products Limited (“ANTA” or “the Group”) has presented ESG Report for seven consecutive years. Report covers our ESG performance and practice across all our operations (including branding, production, design, procurement, supply chain management, wholesale and retail of branded sporting goods) in our principal places of business across China. We have engaged an independent professional consultant to seamlessly communicate with our major stakeholders and, with adequate consideration of the opinions of all parties, to identify key issues and determine the specific content of the Report.

Achieving Carbon Neutrality by Green Operation

We have been flourishing for the past 30 years and we have made remarkable achievements, not only on business and financial performance, but also protecting green environment. We continue to minimize the impact brought to the environment and operate under effective environmental protection measures, having proactively disclosed our GHG emissions performance for seven consecutive years. In 2021, our revenue reached RMB49,328 million, representing an increase of 38.9% as compared to that of 2020, while the total greenhouse gas emission intensity (ton of CO2 equivalent/revenue per million RMB) increased by 12.2% to 2.95 tons of CO2 equivalent as compared to 2020. We abide by national laws and regulations and have formulated and abide by rigorous management systems. We have exerted a significant effort to reduce environmental pollution and have implemented a variety of green environmental protection measures in the production process, including classifying waste and saving on resources.

We have proactively responded to national goal and are committed to achieving carbon neutrality by 2050. We conduct climate change risk management and materiality assessment to identify and assess climate risks. We also have emergency plans for extreme weather and natural disasters, such as typhoons and earthquakes. We use environmentally friendly materials, such as DuPont SORONA, regenerated cellulose fiber, recycled yarn and fiber. Our shoe products also use water-based glue instead of oil-based glue. Besides, we launched eco-friendly products, implemented the concept of environmental protection and circular economy. We strengthened the close cooperation with self-owned factories and suppliers from China and overseas, in which most of them obtained certifications of ISO 9001/ISO 14001/ISO 45001 and bluesign® certification. We attach great importance to intellectual property protection, thoroughly implement intellectual property management, and establish sound management policies for brand protection, trademark and patents. In 2021, we had over 1,000 registered and approved trademarks and over 1,000 valid patents.

Safeguard product quality

In addition, we use crates to minimize the use of tags and packaging to reduce the use of packaging materials. We use environmentally friendly materials, such as degradable paper or recycled paper, wax rope, recycled polyethylene material moisture barrier bags and polyethylene tape. We are gradually replacing our fuel vehicles with electric vehicles in our logistic center. We clearly define the responsibilities of all departments to classify and manage waste in the production process and keep complete records. In terms of biodiversity conservation, we cooperated with the WWF to focus on protecting the two endangered species, the Siberian tiger and the finless porpoise, through continuous promotion and education. We carry out sustainable forest management and natural vegetation restoration to create a good environment for the return of wild animals. We also launched the “ANTA Forest” forest and landscape recovery project in Beijing, with forest and landscape restoration work performed at numerous forest lots in the area.

Anti-corruption Training

Valuing Employee Development and Building a Harmonious Community

We regard employees as our most important business partners for growth. We will continue to maintain our industry-leading employment standards and work environment, establish an industry-leading, efficient and attractive compensation system and invest more in the long-term employee incentive scheme, to promote mutual growth of employees and the Group. We will expand the “Young Talent Nurturing Program” to hire over 100,000 college and university graduates and young talents. We will increase female executives (director grade and above) as a percentage of all executives to over 40%, and offer employment opportunities to the disabled and the underprivileged.

Anta Flash Lite 3.0

We prohibited child labor and forced labor and provided a healthy work environment. In 2021, total number of staff reached 52,000, female executives accounted for 34.7% of total executives. We also donated RMB 65 million in cash to various charities and donated sportswear worth over RMB 270 million (calculated at tag value). To date, the activities under ANTA's "Sturdy Growth Charity Project" have brought the joy of sport to over 3.5 million students in 9,137 schools. We trained 2,817 physical education teachers, established 150 ADream Centers, built ANTA Stadiums and ANTA Camps to promote sports development in underdeveloped regions. We also built Winter Olympics promotion and education base.

Promoting Sustainable Development by Mutualism

2022 marks the start of a new era. We are committed to growing side-by-side with stakeholder values and putting sustainability into practice. Embarking on our new journey, we adhere to the mission to integrating the sports spirit of “Going beyond Oneself “into everyone’s daily life. We seek changes while preserving stability, put forward a new vision “To Become A Leading Multi-Brand Sportswear Group In The World”, and uphold our business principle of “Value creation through Mutualism” to create a “Mutualistic Ecosystem”. We have also established a new strategy: “Single-focus, Multi-brand, Globalization”. We will continue to dive deep in sustainable development, while growing side-by-side with stakeholder values. We drive sustainability in four aspects – consumers, partners, the environment and the society.

We set achieving mutualism with the environment as our goal. We will also actively promote the “1+3+5” strategic goal: one overall goal of carbon neutrality by 2050; three “zeros” by 2030, zero carbon emissions in self-owned operating facilities, zero use of virgin plastic in self-owned operating facilities, zero-landfill of self-generated production waste; five “50%” by 2030, apply 50% sustainable raw materials, increase the proportion of sustainable products to 50%, use sustainable packaging for 50% of products, replace 50% of fuel used for transportation in ourself-owned operating facilities with clean fuels, replace 50% of strategic partners’ energy consumption with renewable energy.

Adhering to Sustainable Development with Heart and Soul

In 2021, we became the signatory of United Nations Global Compact, supporting the Ten Principles of the United Nations Global Compact, and established the Sustainability Committee with Board level participation in sustainability issues. In the future, we will continue to strengthen sustainable development and ESG reporting to improve our reporting performance and disclosure level as to sustainability.