Amplifon — Management Reports 2022

Mar 17, 2022

WE INVEST IN TALENT AND INCLUSION SO THAT EVERYONE CAN GROW AND EXPRESS THEIR POTENTIAL TO THE FULLEST

OUR GOALS

Strengthen the leadership and functional skills of all employees globally

Ensure a solid succession pipeline for key roles

Ensure a healthy and inclusive winning workplace driven by communication and engagement

Promote equal opportunities at all levels of the organization

CHAPTER 03

PEOPLE EMPOWERMENT

We firmly believe our people, whatever role they have in the organization, represent the most important asset for our success.

The rapid growth of our Group and the will to further reinforce our leadership in the global hearing care market have encouraged us to define a global HR Strategy capable of managing the challenges of an increasingly complex and dynamic scenario, as well as contributing effectively towards the achievement of business objectives by leveraging the professionalism and talent of all our people.

THE THREE PILLARS OF OUR HR STRATEGY

Highly effective and competent organization that contributes to the achievement of excellent business results

Solid talent pipeline to overcome present and future business challenges

Unique and distinctive corporate culture as a winning trait in the market

Various important activities with a strong global impact in the context of each pillar of the HR Strategy continued in 2021:

HIGH-PERFORMING ORGANIZATION PILLAR

the alignment of the back-office with the organizational blueprint designed in 2018 was carried out, in particular for the Marketing, Finance, and HR functions. The growing focus on innovation brought about the creation, at the beginning of 2022, of Amplifon X, a new business unit entirely dedicated to the development of digital solutions that already counts on a combined team of more than 50 people.

PEOPLE EXCELLENCE

the adoption of the Leadership Model, the system capable of modelling human resources management processes consisting of six key leadership skills, continued at all organizational levels. Different HR processes such as the Performance Development Review and Talent Assessment were consolidated and the global mapping of the corporate population's skills and talents was completed, as well as the individual development plans. In 2021, like every year, we updated the Top Management succession plan, which takes into consideration appointments, readiness time, any development actions, and career moves.

WINNING CULTURE

we continued to strengthen the strong Group identity as "One Company". Employees were constantly involved in communication, engagement, and change management activities to support the transformation and growth of the business. Activities to support the positioning of Amplifon as employer of choice through the new Employer Value Proposition continued as well, as did internal communication activities to facilitate the sharing of information through the implementation of our Global Internal Communication Framework.

PERSONAL IMPACT VALUE

WE ARE "TOP EMPLOYERS 2022" ACCORDING TO THE TOP EMPLOYERS INSTITUTE

At the end of 2021 Amplifon received the "Top Employer EMEA 2022" certification by the Top Employers Institute program which, in 2022, certified and classified more than 1,800 "Top Employer" companies in 123 countries. Amplifon was certified Top Employer 2022 for the whole of Europe, and specifically in Italy, France, Germany, Spain, and Portugal.

Top Employer certification was obtained following the positive evaluation of the HR strategies and best practices and their implementation contributing to the wellbeing of people, improvement of the work environment, education provided and career paths available to employees. The recognition is awarded to companies that reach and satisfy the high standards required by the HR Best Practices Survey which covers 6 marco-areas of the Employee Life Cycle, including People Strategy, Work Environment, Talent Acquisition, Learning, Well-being, Diversity & Inclusion.

Top Employer 2022 certification allows Amplifon to stand out and present itself as an excellent employer and confirms the importance of the ongoing investment by the Company in our main asset - our people - supporting the Group's global growth.

NURTURING TALENT GO TO PAGE

PERFORMANCE DEVELOPMENT REVIEW

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EMPLOYEE VALUE PROPOSITION

GLOBAL INTERNAL COMMUNICATION FRAMEWORK

AMPLIFON PEOPLE

As specified in our Sustainability Policy, attracting, developing, and retaining the best talents, and ensuring an inclusive and safe working environment is of paramount importance for the sustainable growth of our Group.

The Group HR organization is structured to be consistent with our HR Strategy. The Corporate Centers of Excellence (CoE) have the task of developing strategies, processes, policies, and tools based on avant-garde practices, providing endto-end solutions that meet the various corporate needs. HR Business Partners (HRBP) collaborate with the Company's managers to guide business results through dedicated initiatives, ensuring deployment of HR processes and tools in the organization. More specifically, the regional/local HRBPs are directly responsible for the resources within a specific region/country, regardless of their function,whilstthe functional HRBPs guide the HRagenda bydepartment, ensuring consistency especially in talent management, organization design, and functional skills. The Centers of Excellence and HRBPs interact constantly to guarantee the best support to the business and the alignment with business targets at all organizational, functional, and geographic levels. Finally, People Services are dedicated to the employee experience and the perfect execution of all employee services.

As at December 31st, 2021, Amplifon workforce comprised 18,605 people (employees and non-payroll collaborators), up by more than 6% compared with 2020 and approx. 9% compared with the pre-pandemic levels of 2019. Of these, 12,587 are direct employees of Amplifon, also up by almost 12% compared with 2020 and by more than 14% compared with 2019. These include the field force, meaning the sales force that operates in the shops spread throughout the territory (around 80% of employees), and back-office personnel, employed mainly in the Marketing, IT, Finance, HR, Procurement & Supply Chain, Legal, and Communication departments (around 20% of employees). Within the total workforce, which includes more than 6,000 non-payroll collaborators, hearing care professionals represent the most numerous professional category, accounting for approx. 51%, of which 5,884 on payroll and 3,586 not on payroll hearing care professionals.

2021 WORKFORCE (+6% VS 2020) 18,605

EMPLOYEES (+12% VS 2020) 12,587

HEARING CARE PROFESSIONALS IN TOTAL (+4% VS 2020) 9,470

WORKFORCE BY REGION

DIVERSITY, INCLUSION AND EQUAL OPPORTUNITIES

As set out in the Group's Code of Ethics and Sustainability Policy, in Amplifon, diversity and inclusion are an opportunity for enrichment and innovation vital to ensure business activities are carried out in a solid, sustainable way. A diverse corporate population is the key for building an organization capable of adapting to the development of the surrounding environment and achieving a better performance. For this reason, our management training paths (e.g., Be Manager) include specific sections on how to develop the unique characteristics of everyone and how to create an environment open to comparing and sharing different opinions and experiences, using globally-recognized instruments and methodologies (for example the Clifton Strengths Assessment).

The Group is therefore committed to promoting the principle of equal opportunities in all aspects of the working relationship:

• RECRUITMENT: we always make sure we evaluate a range of diverse candidates in terms of gender and age, and guarantee they are selected purely on the basis of their leadership, business and technical skills, conducting a clear, transparent recruitment process based on evidence and free from any discriminatory parameters. Those responsible for recruiting personnel are trained to promote a bias-free selection process and all material relating to recruitment (e.g., the job description) must never mention personal characteristics or preferences in accordance with the principle of non-discrimination. There are special training courses on these processes for anyone involved in the recruitment processes (Hiring Manager training).

• • TRAINING: we promote training and development programs that strive to connect different experiences, backgrounds, functions, and countries, so that everyone can constantly expand their horizons, thereby promoting the full professional development of each employee based on merit criteria only. Through the dedicated (digital and non-digital) training programs, available to all employees, we promote specific contents to value diversity, encourage bias-free behavior, communicate effectively in relation to the different cultures present in the Group, foster inter-generational working and teams composed of different nationalities (e.g., managing across cultures training).
• • PERFORMANCE EVALUATION AND COMPENSATION: the individual performance evaluation is based on targets and behavior evaluated on a globally-shared scale, without any difference in terms of geography or gender. Moreover, the core principles of equality that underpin our remuneration policy guarantee full ethical correctness and integrity in the performance & compensation review. During the definition of the annual individual targets, we encourage co-workers and managers to reflect on each person's strengths and personal talents, so that the process is conducted in a bias-free manner, as it is during the Talent Review process.

OF TRAINING ON DIVERSITY & INCLUSION PROVIDED IN 2021 TO OVER 1,900 EMPLOYEES

+90

NATIONALITIES REPRESENTED IN OUR CORPORATE POPULATION

PERSONAL IMPACT VALUE

AMPLIFON SIGNS UP THE UNITED NATIONS' WOMEN'S EMPOWERMENT PRINCIPLES

In the beginning of 2022 Amplifon singed up to the Women's Empowerment Principles (WEPs) set up by UN Women and UN Global Compact, namely a set of Principles that guide organizations in promoting gender equality and women's empowerment in the workplace, the market and the community. In line with the international labor and human rights standards, the WEPs are based on the recognition of the role and the responsibility of companies for gender equality and women's empowerment. In line with our Sustainability Plan "Listening Ahead", we contribute to the UN SDG 5 (gender equality) promoting diversity among our people and attracting, developing, and retaining the best talents. In fact, we work together to foster a truly inclusive, safe, and productive workplace for all our fellow employees. This is not only good for us individually but also for the sustainability, innovation, and productivity of our company.

WOMEN'S EMPOWERMENT PRINCIPLES FIND OUT MORE

In line with the principles expressed by the UN Global Compact and our Code of Ethics, the Group does not exercise or allows any discriminatory behavior on employment, whether based on political and trade-union opinions, religion, race, nationality, age, gender, sexual orientation, health, disability, or any other intimate human characteristic. The Group demands that there is no harassment in internal and external work relationships, including the creation of a work environment with an intimidating, hostile or isolating climate and the creation of barriers to individual professional growth for reasons that are not related to professional competence.

EMPLOYEES BELONGING TO PROTECTED CATEGORIES OR WITH DISABILITIES ~210

All employees are guaranteed equal opportunities and fair working conditions. As confirmation of this, more than 72% of employees as of December 31st, 2021, is represented by women, a slight increase compared with 2020. Women are consistently present throughout the organization: in the field-force population, women represent almost 77% and, in the back-office population this figure is around 55%, while women make up about 30% of key role in the global leadership population.

In addition to being well distributed in terms of nationality and gender, Amplifon workforce is also varied in terms of age: more than half of employees (more than 57%) are aged between 30 and 50, while the under 30 and over 50 represent respectively 22% and 21% of the total. In addition to being the most represented in the field force population (around 56%), the 30-50 age group is also well represented in the back-office population (more than 63%): in particular, more than 80% of Directors and Managers are aged between 30 and 50, as well as more than 57% of Professionals.

FEMALE EMPLOYEES IN 2021 +72%

WOMEN IN THE GLOBAL LEADERSHIP POPULATION

+57%

OF EMPLOYEES BETWEEN 30 AND 50 YEARS OF AGE

EMPLOYEES BY GENDER AND POPULATION TYPE (2021)

EMPLOYEES BY AGE GROUP AND POPULATION TYPE (2021)

WAGE PARITY

In Amplifon we believe strongly in the importance of wage parity for men and women at all levels, and we ensure all employees receive remuneration consistent with market standards and internal practices in order to guarantee a suitable level of both external competitiveness and internal equality. As proof of this, from 2021 we carried out an initial monitoring of the gender pay gap, taking into consideration different organizational clusters21 to evaluate the organizational complexity of individual roles.

This analysis neutralizes the effects of differences in role complexity, in accordance with the United Nations principle of "equal pay for equal work" and allows precision and objectiveness in the evaluation of the evidence. The analyses conducted demonstrated that, within the Group, there is no difference in pay due to gender, thereby excluding any distinction in the pay ratio, and that the ratio between the base average salary (fixed remuneration) between women and men in 2021 is very balanced for both very senior roles and the rest of the corporate population22. Amplifon's Remuneration Policy is actually based on the capacity of recognizing the most appropriate remuneration depending on the organizational position, the individual performance, the skills and the complexity of the role. Any pay difference between Amplifon's people is exclusively attributable to the abovementioned factors, without being in any way conditioned by other elements such as age, gender, culture, etc. and will, in any event, be subject to specific neutralization plans following the salary review process.

REMUNERATION POLICY GO TO PAGE

WOMEN (FIXED REMUNERATION)

MEN (FIXED REMUNERATION)

GPG (GENDER PAY GAP)

RATIO OF THE AVERAGE FIXED REMUNERATION WOMEN/MEN

WELL-BEING AND INTERNAL ENGAGEMENT

In line with the UN Global Compact principles, the Universal Declaration of Human Rights, and in compliance with the International Labor Organization Conventions on Fundamental Human Rights, Amplifon is committed to complying with the fundamental human rights and labor rights in all

OF EMPLOYEES HAVE CONTRACTS COVERED BY COLLECTIVE BARGAINING AGREEMENTS

^{21 -} Six organizational clusters were identified for the purpose of analyzing the gender pay gap: Top Management (composed of the Executives and General Managers of the major countries); Directors (excluding the General Managers included in the first cluster); Managers; Hearing Care Professionals; Client Advisors & other store personnel.

^{22 -} In order to guarantee high-quality data, the analyses conducted involved 58% of employees, excluding part-time staff, interns and apprentices, staff on fixed-term contracts and some of the workforce in minor countries.

the countries in which we operate, both in business activities and under the scope of relations with third parties, renouncing all forms of exploitative forced labor and child labor. In order to guarantee the well-being of all employees, trade-union relations are always positive and constructive and differ based on local regulations. Amplifon establishes contractual conditions directly with employees in all Group countries, in line with local best practices and, where present, collective employment contracts or the equivalent are applied23.

As testimony to the commitment to ensuring and strengthening employment stability and to investing in human capital over the long term, in 2021 almost 91% of employees had a permanent contract, and the possibility of parttime employment is offered to satisfy employees' personal needs. In line with 2020, also in 2021 around 27% of employees benefit of this type of employment.

OF EMPLOYEES HAVE A PERMANENT CONTRACT ~91%

OF EMPLOYEES ENJOY A TYPE OF PART-TIME EMPLOYMENT

EMPLOYEES BY TYPE OF EMPLOYMENT CONTRACT, TYPE OF EMPLOYMENT AND GENDER (2021)

BENEFITS

We guarantee flexible working hours for all our employees and a customized package of benefits depending on regulatory requirements and market best practices in each of the countries in which we operate. Each year the employee benefits offered are improved with the goal of being in line with local and international compliance requirements, positioning Amplifon as a fair employer for our people and, at the same time, ensuring employee benefits are considered a key lever for increasing the capacity to attract and retain talent under the scope of the Company's Total Reward Strategy.

The employee benefits offered are aimed at peoples' needs and motivations, identifying a series of lines of action that make it possible to create solutions tailor-made to individuals' needs. Our program of differentiated initiatives/ services dedicated to the well-being of Amplifon staff is aimed at contributing

23 - All employees in France, Spain, Italy, Belgium, and the Netherlands have collective employment contracts or equivalent. These also partly apply to employees in Australia (where local legislation requires collective employment contracts or equivalent to apply only to call center staff) and in Argentina.

to the Company's social responsibility and creating lasting sustainable value for employees, their families and the area in which they live. Our benefit programs actually have the aim of achieving the following goals:

• • Being mindful of people's well-being and the particular needs of every generation within the Group, valuing diversity.
• • Having a tangible impact on the productivity, motivation, and satisfaction of our people, creating a strong sense of belonging towards Amplifon.
• • Bringing efficiency and innovation to the management of economic resources, maximizing employee's perceived value.

By way of example, note the flexible benefit program offered to employees of Amplifon S.p.A and Amplifon Italia, in which each resource receives a number of points to be used for the purchase of goods and services of their choice, from an extensive, varied basket (education, entertainment, personal services, etc.). By accessing a digital tool, people can take advantage of differentiated services according to their personal needs. In fact, the program includes:

• • parenting support (payments for expenses incurred for children education, nurseries, infant schools, primary and secondary schools, degree courses, masters, creative hubs, recreational centers, etc.);
• • self-care and time management (gym, traveling, events, personal development, etc.);
• • caregivers support (reimbursement of expenses incurred for services provided by community health workers to elderly and care-dependent people, care workers, care services in hospital or at rehabilitation centers, etc.);
• • employees and family health (reimbursement for expenses incurred for specialist medical visits, medicines and homeopathic products, buying or hiring medical devices, etc.).

In North America, on the other hand, we offer all employees on permanent contracts for at least 20 hours per week an Employee Benefits Policy which includes health insurance, additional cover for dental, eye, and otolaryngological care, a flexible spending account to cover additional people care expenses, life insurance, cover for transport costs for getting to the workplace, supplementary pension plan, and psychological counseling service.

To complement the recently promoted initiatives, the Group has also introduced global health insurance for our ex-pat employees which includes a benefit plan created for this population group. The policy guarantees an adequate level of health care cover for ex-pats and their families throughout the time they are abroad in all countries of the world.

YOUR VOICE: AMPLIFON ENGAGEMENT SURVEY

We strongly believe in the importance of regularly evaluating the engagement of our people and listening to their opinions on the workplace. This is why every two years we conduct a global internal engagement survey called "Your Voice". Following the results, global, local, and functional action plans are designed and implemented with the aim of improving the experience of all employees. Since the 2019 edition, we have been conducting the survey through a global platform (Glint, part of LinkedIn) through which a multilingual version is sent to all employees at the same time.

The 2021 edition of "Your Voice" reached around 93% of the corporate population (all employees excluding the recent new hires in China and Australia) and included 32 questions, with an 80% response rate and over 22,000 comments collected which supported the understanding of the results, later shared at all levels of the organization. The participation rate was in line with the benchmark target from the global provider, also taking into consideration the large number of stores acquired in the months prior to the survey which, as the integration process was still in progress, meant the response rate was physiologically lower. 88% of Group employees expressed a positive opinion on the Company: even if in this case too, this indicator was affected by the numerous acquisitions made both in terms of stores and business units. In effect, on a like-for-like basis, compared with the 2019 edition, in 2021 a target of 90% was reached.

In 2021 the interviewees showed a strong bond with Amplifon's purpose, stating that they felt responsible for their work and understood their contribution to the success of the business. In addition, the participants pointed out the importance of innovation for the products and services offered by Amplifon, confirming the centrality of the customer offering in the daily life of Amplifon. After the 2021 edition, 2022 will be dedicated to the development and execution of the action plans that will be implemented until 2023, also in view of the new survey planned for November 2023.

GLOBAL INTERNAL COMMUNICATION FRAMEWORK

In Amplifon, a regular, prompt, and complete internal communication is functional in creating a working environment in which people can develop their talents and always feel involved. Our Global Internal Communication Framework was developed exactly for such purpose and activates the right routines as well as guarantees the enabling platforms are continuously developed and implemented to ensure effective communication cascading at all levels of the organization.

Once a year, all Amplifon Leaders meet at One Amplifon, our Global Leadership Conference. Furthermore, every quarter, they meet virtually in so-called Leadership Touchpoints to share Company updates and key projects, which are in turn shared in cascade throughout the Organization in so-called Town Hall Meetings during which other local initiatives and routines specifically addressed to the field force are also presented. Moreover, within the Organization all the functions implement global and local vertical routines, including global functional conferences aimed at promoting the alignment of strategy and providing an update on key projects.

The Company Intranet, which merges global and local content, guides communications in a top-down fashion towards all employees and is constantly updated to integrate new content and respond to emerging needs.

71

EMPLOYER OF CHOICE

Attracting people who believe in our values, in innovation and excellence, and who are stimulated by the possibility of working in a dynamic international context is for us a key objective.

As part of both the People Excellence and Winning Culture pillars of our HR Strategy, we elaborated a differentiated attraction and acquisition strategy for two key groups: hearing care professionals and customer relations managers on the one hand, and professionals and managers on the other, with the objective of ensuring a solid pipeline of talent to support the future growth of the Group. For this reason, the strategy is defined at corporate level and then implemented sequentially at local level to ensure a unique candidate experience in all the Countries where Amplifon operates.

EMPLOYEE VALUE PROPOSITION

True to our Employee Value Proposition (EVP), in 2021 we continued to work to attract talent. The EVP describes the essence of Amplifon as an employer and serves to make the Amplifon world and culture known to potential candidates, with the aim of attracting and recruiting the best talents capable of embracing the Company's values. The employer brand-line "Make More Possible" affirms how itis possible inAmplifon to "achieve more"for the growth of the business and for one's own personal and professional development. The Group rewards ambition, collaboration spirit, and dedication with more hours of training, more opportunities to be part of international teams, and more dynamic career paths. It is a direct and courageous call to action that aims to describe the impact our employees have in improving the lives of others through their work, in line with our corporate purpose.

TALENT ATTRACTION STRATEGY

Due to the pandemic crisis, in 2021 the talent attraction strategy was conducted mainly through digital channels. Career days, webinars, workshops, project work, shadowing and mentorship programs were the main activities that involved approximately 7,000 students and fresh graduates. All these activities had a single common denominator: to increase awareness about Amplifon and its opportunities, but above all to help the younger generations in their professional and personal growth, knowing that companies like Amplifon have an important role to play in training the leaders of tomorrow.

2021 also saw the consolidation of the partnerships with CEMS and with Junior Enterprises Italy. CEMS is an international network of 34 exclusive business schools and 68 multinational companies and NGOs that jointly offer a Master's in Management, with the objective of training responsible leaders focused on topics of sustainability, and which currently has a network of more than 18,000 students and alumni of 108 different nationalities. Junior Enterprises Italy is a non-profit association, present in 25 Italian universities with a network of more than 2,200 students, which offers its members the possibility of meeting the challenge of projects to be carried out jointly with partner companies. Moreover, the productive partnerships with AIESEC, the largest student association in the world with more than 100,000 students from more than 2,400 universities, and with the Luigi Bocconi University of Milan, the LUISS Guido Carli University of Rome, the Business School of the MIP Polytechnic of Milan, and other relevant universities present in the countries where we operate were also confirmed, among these are HEC Paris (France), ESADE (Spain), University of Cologne (Germany), and University of Rotterdam (the Netherlands). Finally, to have a proactive approach also on external talents, in 2021 a cooperation with some renowned executive search companies for targeted selections in the Marketing, IT, Retail Excellence, and General Management areas was established for some specific projects.

In 2021 Amplifon and the Bocconi University signed an agreement for the establishment of the Amplifon Chair in Customer Science, a chair created for understanding customers, their purchase and loyalty drivers through the most advanced computer science and artificial intelligence instruments. The activities include an intensive research program and initiatives involving the students in educational challenges that put them in direct contact with corporate situations.

~7,000

STUDENTS AND NEW GRADUATES INVOLVED IN TALENT ATTRACTION ACTIVITIES IN 2021

CEMS JUNIOR ENTERPRISE ITALY PARTNERSHIP CONSOLIDATED IN 2021

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AMPLIFON CHAIR IN CUSTOMER SCIENCE

AMPLIFON RECORDS GRADUATE PROGRAM

The first edition of the Amplifon Records Graduate Program was launched in 2021. It is a program designed to attract and accelerate the development of young professionals with a strong international edge. The program, which lasts 18 months, includes 3 rotations, with the first two in the Milan HQ and the third in one of the Group's 25 countries. During the program, participants will be called upon to work in a group on a Corporate Social Responsibility project, which will then be implemented at local level in one of the Group countries.

EARNED & OWNED MEDIA

Owned media is an increasingly important tool to make ourselves known and present our corporate values, and it has a synergic role to the one offered by traditional and digital media. The social-health context has accelerated further the development of our communication dedicated to Employer Branding activities, which devoted itself to the development of content expressly designed for owned media (our main social network media pages and our Group websites) which were fundamental for conveying the Company's and the sector's attractiveness, and for maintaining an active dialog with candidates. With the precise goal of being a reference point for our community, we have shared extremely diverse contents, leveraging the active involvement of our Top Management and the entire organization. During the year, also thanks to our global Social Leadership Program, we achieved a substantial increase in our reference KPIs on social platforms.

Our Career website, which by the end of 2021 had fulfilled for two years its new role as the global hub dedicated to career opportunities in Amplifon, ended the year registering a 68% increase in visitors and a 28% increase in visited pages compared to 2020, confirming its crucial role in creating a unique and compelling candidate experience worldwide and to affirm Amplifon as the employer of choice.

OF THE FOLLOWER BASE OF OUR SOCIAL MEDIA COMPARED WITH +17%

+55%

2020

VIEWS OF OUR SOCIAL MEDIA POSTS COMPARED WITH 2020

68

INTERVIEWS AND SPEAKING OPPORTUNITIES FOR OUR TOP MANAGEMENT

+68%

VISITORS TO THE CAREER SITE COMPARED WITH 2020

OUR GLOBAL ONBOARDING PROGRAM

The sixth edition of the Amplifon Global Onboarding (DaGO) program took place in 2021, in digital form. The program is built around various times that allow us to get to know the Group functions, meeting with the CEO first line and learning about the development and training opportunities the Group offers. The 2021 edition, which took place at two different times (Atlantic and Pacific) to embrace the different time zones, involved 126 back-office employees over the year.

NURTURING TALENT

We dedicate a lot of time and resources to training programs for a vast range of learning and professional development opportunities, so that everyone can fulfill their full potential.

Amplifon offers training and development programs to all its employees, at a regional and national level, as well as at a global level. A wide and differentiated offer enables us to respond to local needs and requirements, while allowing our workforce to benefit from best practices that are shared around our global network. Classroom and online courses offered to field force and back-office personnel, complemented with individual coaching and mentoring sessions, focus on professional and business skills, as well as behavioral and leadership skills.

AMPLI ACADEMY

On the basis of Amplifon's Leadership Model, the strengthening of the Ampli Academy continues for all back-office staff. Ampli Academy is a platform that comprises our development and training offer and was designed to be activated for all of Amplifon's staff, also clustered on the basis of specific needs of staff segments or countries. In 2021, through the introduction of a Learning Experience platform, the offering was enriched and reached more than 20,000 courses and programs that all employees can access.

Ampli Academy aims to develop two distinct areas of competencies: the first one is more focused on functional pathways, or rather functional skills, while the second one is focused on behavioral & leadership competencies, in order to develop soft skills. Considering the growing importance of inter-functional and interpersonal skills, the latter is based on four themes designed with the perspective of developing skills that will be required in the future:

• • AWARENESS: it is fundamental to create moments when we share the vision of our Company, Amplifon's structures, corporate culture, values, and changes. This is because independently of one's position in the organization, all employees make decisions every day and the better their understanding of the organization and its objectives is, the more their decisions will be in line with it;
• • DIGITAL EMPOWERMENT: we believe that technology is an opportunity to make repetitive but necessary activities more efficient, allowing people to focus on activities where creativity, ingenuity, and non-linear thinking allow them to achieve the maximum positive impact;
• • CONNECT: for Amplifon diversity is not a slogan but an opportunity to analyze situations and projects from different points of view, ensuring solid and sustainable execution. For this reason, programs that include mentoring or change management aim at connecting different experiences, backgrounds, functions, and Countries, so that everyone can constantly expand their horizons and comfort zones;
• • LEAD: to be a "High-Performing Organization" it is fundamental that people managers and people leaders operate as facilitators to enable the full potential of their teams. For this reason, Amplifon has structured various growth programs to cover different levels of management and leadership among its people.

AMPLI ACADEMY WAS LAUNCHED IN 2020

OF TRAINING ON DIGITAL TRANSFORMATION TOPICS PROVIDED IN 2021 TO MORE THAN 9,600 TOTAL HOURS

EMPLOYEES

EVERYDAY EXCELLENCE VALUE DIGITAL CITIZENS AND DIGITAL LAB

Following the Digital Readiness Assessment of 2020, a program was established in 2021 for improving the digital skills and expertise of Amplifon collaborators. In each of the four quarters of 2021, we focused on a specific area covering the topics of "Cybersecurity", "Digital Mindset", "Digital Workplace" and "Digital Transformation". Each area brought training and e-learning opportunities, but also global meeting moments and workshops on specific subjects.

There was also the opportunity for those more closely related to these topics of taking part in Digital Labs, which made it possible to better understand the impact digitalization is having on our lives, getting ideas and insights for experimenting with new solutions and concepts in our work environments.

In 2021, we invested in more than 340,000 hours of training for employees, with a total of more than 30 hours per person per year, considering both the back-office population and the field force. If we consider all workforce, both employees and workforce not on the payroll, the total hours of training delivered in 2021 amounted to about 367,000. In particular, the entire network of hearing care professionals (both employees and workforce not on the payroll belonging to the network of "autogestori") is constantly trained and updated on the most innovative protocols and instruments: in 2021 they received a total of more than 210,000 hours of training, with an average of almost 33 hours each.

LEADERSHIP DEVELOPMENT PROGRAMS

We invest in the professional development of talented individuals who show growth potential and the ability to cover positions of international responsibility, offering them a wide range of targeted training programs based on their position, their seniority, and their individual aspirations.

In 2021 the existing Leadership Program was extended, revising both its content and format. This was not only to ensure consistency with the Group's transformation process, but also with the HR processes, the Leadership Model and the Amplifon Employee Experience. LEAD the Future, LEAD the Way, BE Manager, BE Leader and RIDE the Change took place together with leading educational institutions.

• LEAD THE FUTURE

is a program for Country General Managers and the CEO first line managers, with the objective of consolidating a shared vision and leadership style among the Group's key figures.

• LEAD THE WAY

on the other hand, targets country leadership teams and Corporate Directors with the scope of promoting strategic, cultural, and leadership alignment.

• BE LEADER

has the objective of accelerating the development of managers who will go on to take a people's leader role in the near future.

• BE MANAGER

was designed to create a shared path for Amplifon's managerial population, not only to support the development of managerial skills, but to create a shared culture and strengthen the High-Performing Team, helping managers with the development of their teams.

• RIDE THE CHANGE

is dedicated to young, talent employees in the back-office and aims to strengthen the culture of change and innovation through digital skills.

+340,000

HOURS OF TRAINING FOR EMPLOYEES

$$
+210,000
$$

HOURS OF TRAINING FOR HEARING CARE PROFESSIONALS

PERSONAL IMPACT VALUE RIDE THE CHANGE

The third edition of RIDE the Change, which is still underway, counted on the participation of 21 young employees from 8 different countries. At the end of 2021, the participants embarked on a training path that covered digital topics, from collaboration among remote teams to digital reputation and influencing, all thanks to a gamification platform, followed by the development of proposals for introducing innovative solutions in various Amplifon business contexts.

In the second phase, highly diversified teams were involved in a laboratory session working on real business cases sponsored by the General Manager of Otohub (digital company part of the Group), with the objective of generating new ideas to strengthen Amplifon's leadership in the hearing care sector. The third phase, planned for the first half of 2022, will be a laboratory session based on what was experienced in 2021, the year in which digital collaboration was taken to its extreme, to create an experience that blends the "physical" and "digital" parts, thus consolidating the changes that will remain in the future.

We value the contribution of every one of our people based on a culture of constant feedback and place great value on recognizing and celebrating the achievement of results and successes.

CAREER DEVELOPMENT

The experience offered by Amplifon must be unique for all resources. For this reason, in line with the people management program, various internal "You@Amplifon" meetings were organized to discuss, update, and share information, thus training and supporting employees to face the various phases of their career path, from their arrival at Amplifon to growth, including objectives, results, recognition, and goal valuation. You@Amplifon makes it easier for employees to play an active role in building their development and career path. The goal is to support everyone on their journey toward growth and success, based on the characteristics and ambitions of each person. Strongly believing in global internal mobility as a driver of personal and professional growth, in order to facilitate relocation inside the Group, Amplifon has also implemented a competitive Global Mobility Policy.

Amplifon's continuous success depends on its employees' ability to maintain the highest standards of performance in their roles, in line with corporate objectives. Effective bidirectional communication with employees is fundamental to create a culture centered on the identification of clear individual objectives and a process of continuous performance management. Therefore, we encourage regular meetings during the year between employees and their managers to ensure anytime & continuous feedback capable of supporting the right orientation and recognition. In this way, we allow everyone to have their performance evaluated with transparent criteria regarding the achievement of their own objectives.

GOAL

GUIDE ALL EMPLOYEES TOWARDS GROWTH

PERFORMANCE DEVELOPMENT REVIEW

Like every year, the Performance Development Review (PDR) for the Group's back-office and field force personnel was carried out in 2021 to evaluate individual performances and incentivize the adoption of behaviors consistent with the Group's Leadership Model in accordance with its six dimensions: Strategic Thinking, Driving Success, Outstanding Execution, Building Relationships, People Champion, Pioneering Change.

The process is driven by a policy established at Group level. Finally, to accompany employees in their comprehension of the process and the tools available for their development, training sessions are regularly organized for all the interested employees with the objective, on the one hand to provide Directors and Managers with a clear understanding of their role in the professional growth of their human resources and, on the other hand to provide Professionals with a strong awareness of the role they can perform in their development and growth in Amplifon.

The training sessions related to the Leadership Model continue regularly to support the employee development process, while dedicated communication campaigns and collective meetings (You@Amplifon) take place just before each key moment of the process. The sessions organized in 2021 were focused, among other topics, on the definition of objectives, the recognition system, and the management of feedback in the assessment phase.

At Group level, approximately 87% of employees was included in the performance review process in 2021, representing more than 88% of women and more than 83% of men. This is an extremely satisfactory number, as it leaves out only those employees who cannot be included in the process due to special circumstances (for example, those on long maternity/paternity leave or leave of absence, and those with work/study contracts that provide for different assessment mechanisms, such as apprentice hearing care professionals in some Countries).

REMUNERATION POLICY

We believe in the concept of performance-based remuneration and we are committed to recognizing the most brilliant contributions both in terms of economic results and customer service. For this reason, our Remuneration Policy, in addition to being based on principles of global consistency in order to promote a One Company culture, is attractive, transparent and linear. Made of short and long-term fixed and variable components, it is aimed at motivating people to reach their goals, being challenging yet at the same time reachable, and is disclosed in a clear manner.

In order to bring the interests of Top Management into line with the primary objective of creating value in the medium-long-term, the Remuneration Policy is defined in line with our business strategy, our governance model, and the guidelines of the Italian Stock Exchange Corporate Governance Code. Based on the different elements that constitute the pillars of the policy, the Remuneration and Appointments Committee annually evaluates the quality of its contents, assisting the Board of Directors with its definition, leading to its approval by the Shareholders' Meeting later on.

~60

ONLINE TRAINING SESSIONS RELATED TO THE LEADERSHIP MODEL

EMPLOYEES INVOLVED IN TRAINING RELATING TO THE LEADERSHIP MODEL IN 2021

OF EMPLOYEES RECEIVED A PERFORMANCE REVIEW

~36%

OF BACK-OFFICE EMPLOYEES WERE EVALUATED AS TALENTS AND HIGH-PERFORMERS

REMUNERATION

FIND OUT MORE

POLICY

GO TO PAGE OUR

PLAN

SUSTAINABILITY

In 2020, Amplifon acquired further levers through which it guarantees the alignment of the Remuneration Policy with our sustainability strategy by applying the main objectives of the Sustainability Plan to the performance evaluation system (PDR) and short-term variable incentive scheme (MBO) designed for Top Management (Chief Executive Officer/General Manager and Directors with Strategic Responsibility).

With particular reference to the MBO incentivizing mechanism, a multiplier/ demultiplier, which ranges from 0% to 120%, is applied to the bonus resulting from the Group's three economic-financial KPIs that make up the Scorecard (EBITDA, Net Sales and Free Cash Flow), based on the achievement of the individual objectives related to the Performance Development Review (PDR). Individual objectives are measured through specific KPIs related to one's function and at least one of them is tied to the targets of our Sustainability Plan. Such objectives are included for the Chief Executive Officer/General Manager, as well as for other Directors with Strategic Responsibility in the PDR, in order to evaluate individual performance on these topics.

As confirmation of Amplifon's increasing focus on sustainability topics, in 2021 we also initiated an in-depth analysis on the definition of a new rewarding remuneration tool intended, in the first instance, for the Chief Executive Officer/General Manager, and designed to create a strong bond with the value creation for shareholders and all our stakeholders. This remuneration component is aimed to guarantee, at the same time, both safeguarding topics related to sustainability, and the value creation the medium-long-term and foster greater alignment between the interest of management and those of shareholders. This aim is actually guaranteed by the possibility of the Chief Executive Officer/General Manager of co-investing part ofthe MBO in Amplifon shares, allowing the latter to take advantage of the Group's expected success in the three-year period through a matching system24.

SHORT-TERM VARIABLE REMUNERATION (MBO) AND OTHER SHORT-TERM INCENTIVE SYSTEMS

Under the scope of our Remuneration Policy, we defined a short-term incentive scheme, designed to direct the behavior of the staff involved at achieving challenging annual results, while recognizing individual contribution. The beneficiaries of our short-term incentive scheme (MBO) are many (there were around 220 beneficiaries in 2021, with reference to the Leadership Team alone), as the Group wishes to value people and recognize their contribution to the Company's results.

In every country in which the Group operates, there are also short-term incentives for the population who are not part of the Leadership Team, aimed at rewarding individual/collective contributions in achieving objectives, as well as sales incentives for the population working in the stores and sales structure, aimed at driving performance and incentivizing reaching challenging commercial targets.

~220

BENEFICIARIES OF THE MBO PLAN IN 2021

24 - Further details are available in the Remuneration Report 2022.

LONG-TERM VARIABLE REMUNERATION (AMPLIFON STOCK GRANT PLAN) AND OTHER LONG-TERM INCENTIVE SYSTEMS

Furthermore, our Remuneration Policy foresees a long-term incentive system based on the allocation of shares aimed at aligning the interests of management with those of shareholders, as well as rewarding human capital. In 2019 Amplifon introduced the new incentive system (Stock Grant Plan 2019- 2025), which foresees two categories of beneficiaries:

• • The beneficiaries of the Long-Term Incentive Plan (LTI) are managers who hold key Group positions at global, regional, and local levels, identified by virtue of the band of the position they cover within the organization, according to Amplifon's banding system. During 2021, 93 people benefitting from the LTI plan (in 2020 there were 74).
• • The beneficiaries of the Amplifon Extraordinary Award Plan (AEA) include employees who are selected and identified from year to year according to criteria based on retention, promotability, and extraordinary recognition. During the year, 71 people benefitting from the AEA plan (in 2020 there were 56).

164

BENEFICIARIES OF THE 2019-2025 STOCK GRANT PLAN IN 2021

We recognize the best individual and team performances. Every year, in each country in which we operate, we award a prize to around 50 best stores that stand out by helping our customers and best meeting their needs, inspired by our values. The Charles Holland Award is the most important recognition of excellence in our network. Established in 2011, the award is named after the founder of Amplifon. Hundreds of points of sale have won this prestigious award since its introduction.

EVERYDAY EXCELLENCE VALUE AMPLIFON LEADERSHIP AWARDS

At the end of each year, the Company's Top Management hand out the Amplifon Leadership Awards, which reward and recognize the best company projects and results for the year associated with each of Amplifon's five values. The "Acting Responsibly" Special Award for 2021 was given for the first time symbolically

to all Amplifon employees who, adhering to the Amplifon Foundation initiatives, made it possible to implement a concrete plan of action dedicated to the communities in which we operate, specifically for seniors at risk of marginalization.

81

3.4 EMPLOYEES' HEALTH AND SAFETY

As foreseen in our Sustainability Policy, we are committed to maintaining a safe workplace for all our workforce and we consider health and safety at work to be a fundamental component of the general well-being of our employees.

Our Code of Ethics guides all Amplifon employees in maintaining a sound, healthy, and safe workplace, also by taking part in the process of risk prevention to protect their own, their colleagues', and third-parties' health and safety. Because our business involves a low risk of injury at work and considering the tools and procedures implemented to comply with local and regional regulations, to date Amplifon has not deemed it necessary to establish formal global policies and management models in relation to health and safety. Nonetheless, in many Countries specific organizational models have been set up in response to the provisions of national safety regulations or standards.

With the support of external specialists, if necessary, the country HR functions adopt local processes to identify and classify employees' health and safety risks which provide for the identification of potential risks for individuals and their relative preventive actions. All employees and their representatives are involved in the health and safety risk assessment process, and periodically the people in charge of such aspects prepare detailed reports regarding the measures undertaken in relation to the prevention and protection service, including occupational medicine activities. The identified risks are mainly related to activities conducted in stores and offices, including secondary activities such as maintenance, and they relate to, by way of example, ergonomic aspects, handling of tools, falls/slips, electrical hazard risk, fire, work-related stress. In the event of accidents at work, depending on the severity of the event, investigations are conducted with a view to identifying the cause for the purpose of adopting suitable precautions to prevent such risk situations in the future.

In addition to monitoring work-related injuries and health problems, training on health and safety at work, as by applicable local legislation is always guaranteed for all employees. The content of such training includes a descriptionofthe risks intheworkplace, specific safetyprocedures, knowledge of national regulations, and the roles and responsibilities as defined within the Organization. Finally, in some countries, special conventions are offered granting access to private specialized medical services, as well as personal health promotion programs (such as flu vaccination campaigns, initiatives related to the dissemination of anti-smoking information, advice on correct nutrition) and additional insurance cover directly included in the employment contract or made available on demand at special rates.

In 2021, 139 work-related injuries were recorded, the majority relating to very minor incidents, such as, for example, minor falls resulting from slipping or superficial cuts with office materials which, in many cases, did not give rise to sickness days. The total accident frequency rate was 7.72, while the highconsequence accident frequency rate was 0, as there were no accidents in this category. In addition, 11 cases of occupational illnesses were recorded, mainly due to work-related stress.

ACTING RESPONSIBLY VALUE OUR OPERATING PROTOCOL FOR GUARANTEEING SAFETY IN ALL OUR STORES AND OFFICES

Since 2020 we have increased our focus on people's health and safety by defining a specific global protocol for regulating measures for fighting the spread of Covid-19, with the collaboration of top experts in the fields of virology, microbiology, and otolaryngology as well as a specific local protocol for every country including the global guidelines with any additional requirements by local legislation. Our shops always stayed open in 2021 as well, and the rigorous operating protocol guaranteed compliance with all the recommendations of the main national and international health institutions for preventing the transmission of the virus, thereby protecting all people, with a particular focus on the over 70s population, which represents a significant part of our

customers and needs audiological assistance more often.

This commitment and focus have not involved only our stores: the shift system for office staff has continued, allowing anyone to combine smart working with working in the office while complying with social distancing, both at their desks and in communal areas, all equipped with hand sanitizer. Site access methods have been totally reorganized: there are thermal scanners at all entrances to measure body temperature and for validating the necessary entry requirements (e.g., green passes). All site employees have also been given a kit composed of certified masks (to be changed twice a day and then properly disposed of) and personal hand sanitizing gel.

WE RAISE AWARENESS ON THE IMPORTANCE OF PREVENTION AND HEARING WELL-BEING AND PROMOTE SOCIAL INCLUSION WITHIN COMMUNITIES

OUR GOALS

• Support the activities of the Group Foundations to spread the "sound of inclusion"
• Promote awareness about responsible listening among the younger generation
• Increase awareness about the importance of hearing well-being and the impacts of noise pollution among communities

CHAPTER 04

COMMUNITY IMPACT

4.1 OUR CONTRIBUTION TO THE COMMUNITY

We are engaged in awareness-raising, prevention, and educational activities to contribute to community well-being and to generate a positive and sustainable social impact over time.

Our awareness of the important role we play in society gave rise to "We Care", the Amplifon program that brings together the social impact initiatives for the communities we promote and support in the countries where the Group operates. Since 2019 "We Care" has had the objective of reinforcing our ability to create long-term shared value by supporting and highlighting many listening and inclusion activities, a distinctive element of our Purpose, and encouraging sustainable behavior for the benefit of future generations25. Thanks to the many initiatives implemented to support the local communities where we operate, we intend to promote education and raise awareness of the importance of hearing well-being, encouraging prevention, and fighting all forms of stigma through the active participation of the younger generations.

SOCIAL INITIATIVES FOR THE COMMUNITY

Over the years we have undertaken several initiatives, some recurrent and others more sporadic, for the benefit of the local communities within the scope of the "We Care" program. Even though to date such initiatives have not been driven by a specific Group-wide policy, the Sustainability Policy approved in 2018 formalizes Amplifon's commitment in this context, which is also reinforced by the Company's contribution to the Group Foundations for conducting their social inclusion activities.

Among the more significant recurring initiatives there is the collaboration of Amplifon France with Les Enfants Sourds du Cambodge, a non-profit association that takes care of Asian children affected by hearing disorders, to whom we

^{25 -} The main environmental-responsibility activities promoted in recent years are presented in section 5.4 "Caring for the environment" of this document.

donate hearing aids, hearing care services, and training for local personnel, annually funding the purchase of audiological equipment for the children most in need. In 2021, as well as directly supporting the activities of the association, we also involved our customers in our stores and through our social channels, giving the opportunity to make charitable donations to the association, which Amplifon (France) then doubled. Among the more sporadic initiatives, there are several instances of cooperation with local associations and non-governmental organizations through which we contribute towards facilitating access to hearing care (for example, via the donation of hearing equipment and batteries), performing free hearing tests, or raising funds in conjunction with other associations.

WOW INTERNSHIP

The WOW internship is an exclusive educational and professional internship which gives the opportunity to students of audioprosthetic techniques in 14 Italian universities of having a training experience by shadowing our hearing care professionals. In 2021, more than 150 students took part in this scheme at one of our points of sale in Italy. Throughout the program, the interns are supervised, not only by their tutors, but also by the Area Managers, to maximize visibility and inclusion at the end of the program. Experience, professionalism and involvement are the essential ingredients of the pathway to daily excellence which, thanks to this internship, we offer to the communities in which we operate.

We have always been committed to transforming the way hearing care is perceived, in order to reduce the serious consequences deriving from hearing loss and maximize the individual and social benefits of prevention.

On average people who experience hearing loss delay consulting a specialist for seven years, notwithstanding the risk of very negative repercussions on their quality of life. For this reason, we play a fundamental role in spreading information and tools that enable people to identify and manage a potential hearing loss in a timely manner, overcoming the stigma that even today is often associated with a physiological condition that is usually associated with old age.

OUR COMMITMENT TO RESPONSIBLE LISTENING

Our prevention and awareness-raising activities on the importance of hearing well-being are aimed at all age groups and, through targeted campaigns and initiatives, are increasingly focused on younger generations. Indeed, World Health Organization estimates indicate that today over 1 billion young people are at risk of avoidable hearing loss, and that 60% of hearing loss in childhood is due to preventable causes26. In this context, the continuous use of personal hearing devices such as earphones for listening to excessively loud music, as well as frequent exposure to high volume sounds at concerts, discos, bars, and sporting events should not be underestimated. For this reason, it is fundamental to disseminate knowledge about the link between hearing and inclusion and to promote awareness about the importance of responsible listening, to allow people to live their lives to the full, while continuing to be active members of their communities.

YOUNG PEOPLE AT RISK OF AVOIDABLE HEARING LOSS +1 billion

26 - Source: «World Report on Hearing», World Health Organization, 2021.

The little-known link between exposure to excessive noise and the risk of causing hearing damage or premature hearing loss is at the center of our "Listen Responsibly" program, until now promoted in Italy through the "Ci Sentiamo Dopo [We'll Talk Later] – Listen Responsibly" project and, starting from 2021, also in Spain with the "Oyeah – Listen Responsibly" project, which is aimed at raising awareness about responsible listening among the younger generation.

After the launch of the project at Firenze Rocks in 2019, the project was promoted in more than 1,000 Italian secondary schools (and soon also in Spanish schools) thanks to an engaging multidisciplinary educational path that has turned about 24,500 students into genuine ambassadors of a new culture of sound. Workshops with experts from various fields and a gamification kit enabled the students to embark on the discovery of sounds from the past and the future.

In 2021, the project continued thanks to the new content posted on the cisentiamodopo.it portal dedicated to supporting teachers in distance learning activities, including an entire section dedicated to "The Professions" of the world of sound. In addition, 17 virtual workshops and educational labs were created with the participation of more than 1,350 students and prominent speakers such as Amplifon hearing care professionals, some members of the medical community, and external guests such as conductors, sound designers, and inclusion experts. Thanks to various tools in the educational toolkit, the "Ci Sentiamo Dopo" project lends itself to being a model that can be exported in the coming years to other countries where we operate.

The educational path also included an activity called citizen journalism: thanks to the "Listen Responsibly" App, students were involved as pioneers of a new discipline, acoustic ecology, and were sent out to record the noise levels of the environment using the app's noise tracker which was developed by Otohub, the start-up that was acquired by Amplifon in 2019, to create an interactive map of cities' soundscapes using gamification mechanisms. To date the App, which is available free of charge on all the main digital stores, has registered more than 5,700 users for a total of over 9,000 readings of noise levels. After the launch of the noise tracker in January 2020, on the occasion of the "Soundscape Ecology Elements" event, organized by the Triennale di Milano (Italy), the App also reached Spain in April 2021, on the International Noise Awareness Day, and was also launched in France in January 2022.

In 2021, for the first time Amplifon was a partner at the Bookcity Milano event, one of the largest literary exhibitions in Italy, which organizes meetings, readings, shows, and workshops every year in Milan about new reading practices. The show took place in November 2021 and its schedule of events included workshops on the "Ci Sentiamo Dopo – Listen Responsibly" project, +1,000

SCHOOLS INVOLVED

STUDENTS ENLISTED

CI SENTIAMO DOPO PORTAL FIND OUT MORE

USERS OF THE LISTEN RESPONSIBLY APP

NOISE MEASUREMENTS RECORDED

dedicated to students. The initiative was also part of Sodalitas Call for Future, the Sodalitas Foundation program that involves businesses committed to creating a sustainable future in accordance with the United Nations 2030 Agenda and young people, citizens of the world of tomorrow. The Amplifon project comes under the scope of the Call for People initiatives, because it contributes to reaching Sustainable Development Goals 3 "Health and Wellbeing" and 11 "Sustainable Cities and Communities".

Raising awareness among young people about hearing care is also carried out on social networks, where we have developed an effective dedicated communication strategy to disseminate prevention tips and "information pills". We also exploit social network pages to activate dedicated awareness-raising campaigns and highlight the messages of the World Health Organization on problems related to hearing disorders and untreated hearing loss on the occasion of World Hearing Day which is held every year in March.

FIND OUT MORE

THE CASE HISTORY "CI SENTIAMO DOPO - LISTEN RESPONSIBLY" FOR SODALITAS

FORWARD THINKING VALUE THE PURSUIT OF ACOUSTIC OASES IN ITALIAN CITIES

Amplifon launched a challenge to the young people of the AIESEC youth organization: a Noise Escape Challenge. It involves a real "hunt" for acoustic oases in which to have a pleasant, safe hearing experience by using the noise tracker of the "Listen Responsibly" App to find them. The initiative confirms Amplifon's commitment to prevention and increasing awareness in new generations of the damage noise pollution can cause to hearing.

Fifteen Italian cities were involved, with 65 young members of AIESEC who - in the period from July 16th to 19th, 2021 - launched the search for acoustic oases. Once the data tracked after the 54 measurements the participants took was processed, Parco del Valentino in Turin was ranked in first place for acoustic oases, with an average measurement of 35 dB.

NOISE ESCAPE CHALLENGE FIND OUT MORE

WE FIGHT ALL KINDS OF STIGMA

We have always been committed to contributing to overcoming prejudice and psychological obstacles preventing people with hearing loss from rediscovering the pleasure of hearing.

Misinformation, psychological obstacles, and stigma still represent a significant barrier to the treatment of hearing disorders even today. All of this is reflected in a considerable discrepancy in the use of hearing devices: the World Health Organization estimates that out of those who could benefit from using a hearing device globally, only 17% of them actually use one27.

OF THOSE WHO NEED A HEARING DEVICE ACTUALLY USE ONE

HOW DOES FIND OUT MORE

HEARING WORK?

27 - Source: «World Report on Hearing», World Health Organization, 2021.

In Amplifon, we try and respond to this challenge by strategically planning our awareness-raising campaigns, also aimed at so-called influencers, namely families and friends of people with a hearing loss. Recognizing, interpreting, and understanding when loved ones show the first signs of hearing loss can help you communicate better with them and seek help to improve their interaction with the world around them. In 2021 alone our awarenessraising campaigns on the importance of hearing care reached around 177 million people, and our websites have dedicated sections that provide influencers with information on how to identify friends or family who could have hearing difficulties.

~177 mln

PEOPLE REACHED BY OUR AWARENESS-RAISING CAMPAIGNS IN 2021

ACTING RESPONSIBLY VALUE THE SUBTLE POWER OF LANGUAGE AT THE CENTER OF AN EXPERIMENTAL STUDY ON OUR RELATIONSHIP WITH HEARING

In 2020, thanks to Amplifon's Center for Research and Studies, we set up an experimental research project to investigate the role of language in the evolution of stereotypes with respect to sensorineural hearing loss and the accessibility of solutions for treating hearing problems: "Words, as commonly heard". The study involved the analysis of neurophysiological parameters related to exposure to different words and was conducted together with the Department of Social Psychology of the Catholic University of Milan and a multidisciplinary team of linguists and psychologists coordinated by the start-up Diversity & Inclusion Speaking. The objective of the project was to create a platform to take an in-depth look into the problem to understand how a more informed use of language could help deal with a hearing condition which is destined to increase by 55% in Italy over the next 30 years and end up involving 11 million people. At the event, organized together with the Catholic University, the results of the first two phases of the research were presented. The first focused on the analysis of the terms used most often by the media to refer to symptoms, solutions and people with a hearing loss, the second concentrated on the importance of doctor-patient language in influencing attitudes with regard to hearing loss and hearing devices.

WORDS, AS COMMONLY HEARD FIND OUT MORE

ACTING RESPONSIBLY VALUE WE SIGNED THE "PAROLE O_STILI" (HOSTILE WORDS) MANIFESTO FOR PROMOTING INCLUSIVE COMMUNICATION

In 2021 Amplifon officially signed the Parole O\_ Stili's manifesto for non-hostile communication: a tangible sign of Amplifon's focus on a more informed use of language and promotion of social inclusion. The objective is to disseminate the principles of inclusive communication, countering hate in the network, and fighting the stigma related to hearing loss.

Through this initiative, as well as actively supporting the commitment of Parole O_Stili for educating and training the citizens of tomorrow, we have created an innovative active listening teaching kit for the schools that have signed up to the "Ci Sentiamo Dopo - Listen Responsibly" project.

In addition to this, in order to give immediate substance to the signing of the Manifesto, Amplifon also adopted a Netiquette through its global social media channels, inspired by the principles expressed by non-hostile, inclusive communication.

THE PAROLE O\_STILI MANIFESTO FIND OUT MORE

91

We make knowledge and best practices available to contribute to the invaluable work the Amplifon Foundation, together with the Miracle-Ear Foundation and GAES Solidaria Foundation, carry out for the community spreading the sound of social inclusion and allowing the most vulnerable communities to access hearing care.

AMPLIFON FOUNDATION

The Amplifon Foundation was established in Italy at the beginning of 2020 on the Group's seventieth anniversary with the goal of allowing those who live in disadvantaged conditions full human and social achievement and with a special focus on marginalized seniors or at risk of marginalization.

The operational strategy of the Foundation was built around Amplifon's values and designed to exploit the skills and experience of the Group, the know-how of Amplifon's Center for Research and Studies and the work of the other Foundations that operate respectively in the US and Spain.

Through new and innovative means, the Foundation promotes an inclusive culture to fight marginalization and to support active participation of disadvantaged people in social, cultural, and professional life. In its first two years, obviously affected by the pandemic, the Foundation developed a series of projects to fight the emergency and isolation, specifically aimed at senior generations. Projects were created aimed at promoting inter-generational awareness, active participation, and inclusion of seniors, combining the best energies, ideas, and professional expertise, both in the public and the private world, with the goal of restoring the role and wealth of life experience and knowledge of our grandparents to center stage.

THE OBJECTIVES AND ACTIVITIES OF THE AMPLIFON FOUNDATION FIND OUT MORE

The journey of the Amplifon Foundation continues to evolve thanks to the contribution of all stakeholders and the growing network of institutions, non-profit organizations, specialist and voluntary operators who, every day, provide an incentive for always doing better and finding innovative solutions for promoting an increasingly inclusive society.

FROM ECCOMI! TO CIAO!

In November 2020, through the EccoMI! Project extremely high-quality innovative audio and video conferencing systems were installed in Milan senior care homes to facilitate and enable greater proximity of the residents to their families. Promoted in partnership with Cisco, Durante, the network of UNEBA care homes, and the Municipality of Milan, the project has enabled 2,100 residents to continue to communicate with their loved ones in total safety.

Although revealing the existence of a strong digital divide in the accommodation facilities for seniors, this initial phase has also demonstrated the power of technology as a vehicle for social and relational inclusion. In effect, the equipment made available was used not only to connect families that remained apart during isolation, but also to restore volunteer activities, socializing opportunities, specialist visits, and court hearings, prayer and reading activities, getting seniors to feel actively involved again in the life of their communities. If, on the one side, seniors let themselves get involved with and are enthusiastic about the contents that technology delivers, and therefore with technology itself, on the other side, they have regained vitality and consequently emotional and cognitive well-being.

The challenge taken up by the Foundation was to continue this process of digital connection and increase the community involvement aspect, going from the provision of 24" video-connection screens to the provision of 75"/85" oversized screens to improve connection and entertainment opportunities for seniors. The Ciao! Project came about from this experience, with the goal of providing seniors, not only with effective video-conferencing systems, but also a rich schedule of cultural and entertainment options. Eight concerts by LaFil, the Milan Philharmonic, were promoted, more than 30 Silver Yoga lessons with MondoYoga, and seven theater engagements with the Gino Franzi Theater Company. Alongside this, there were also contents developed by the beneficiary structure networks (such as praying activities and daily newspaper readings) to enrich even more the program on offer. In this way, the care homes involved in the project take on the role of community and social platform capable of reinforcing a message of valuing seniors through specific communication projects, such as, for example, "Stories across generations".

CARE HOMES INVOLVED IN THE CIAO! PROJECT ~100

+7,000

SENIORS REACHED

AMPLIFON +70

EMPLOYEES INVOLVED

ACTING RESPONSIBLY VALUE RACCONTI TRA GENERAZIONI (STORIES ACROSS GENERATIONS)

"Racconti tra generazioni" (Stories across generations) is the Amplifon Foundation project that gives voice to seniors residing in the care homes involved in the Ciao! Project, who talk and offer their point of view on society through interviews conducted using the video-conferencing systems installed, having the opportunity to tell their stories while rediscovering the value of memory. In this way, we become conscious of the enormous wealth of experience our grandparents have inside of them and in the stories they tell.

FIND OUT MORE

THE COLLECTION OF ALL THE INTERVIEWS IS AVAILABLE ON THE AMPLIFON FOUNDATION'S YOUTUBE CHANNEL, AS WELL AS ON LINKEDIN AND FACEBOOK.

ACTING RESPONSIBLY VALUE CIAO! C'E' UN REGALO PER TE (CIAO! THERE'S A GIFT FOR YOU)

At Christmas 2021, the Amplifon Foundation asked several residents of care homes in Milan involved in the Ciao! Project what they wanted for Christmas. More than 140 answers were collected, all fulfilled thanks to the people from Amplifon and our partners in the project. The gifts were delivered directly to the care homes by volunteers (including over 70 Amplifon employees), thereby giving everyone an opportunity to meet and share experiences, tales, and life stories.

Placing Italian care homes at the center of inter-generational dialog again means recognizing that the residents of these communities are a valuable resource, with a wealth of human sensitivity and a social reference to take care of. Technology is a vital instrument for helping us to achieve this aim.

Susan Carol Holland, Chairperson of the Amplifon Foundation

In 2021 the Foundation also supported the "Viva gli Anziani" ("Long Live the Elderly") program, developed by the Community of Sant'Egidio, to guarantee support and assistance to seniors in Italian cities facing loneliness and isolation, focusing on home care. Since its inception in 2004, the program has reached more than 14,000 seniors over eighty and, just in Rome, over 23,000 people have been involved in the informal help network. In Milan, the first similar project was developed in the Corvetto district courtesy of the Amplifon Foundation and involved 120 people who benefitted from continuous phone monitoring as well as face-to-face support when needed (medical visits, purchase of food, etc.).

The Amplifon Foundation involved around 30 Amplifon employees in a volunteering program to support seniors and keep them company via telephone conversations which, as well as providing support and comfort, are useful for monitoring the well-being of the seniors taking part in the initiative. Also, thanks to face-to-face moments, whenever possible, bonds were created, friendships established and there were opportunities to exchange small gifts at Easter and Christmas.

Through "Viva gli Anziani!" and the support of the Community of Sant'Egidio we want to promote an ongoing exchange between the younger generations and seniors. The dialog between these two worlds represents a vital source of enrichment in our society, to rediscover, protect, and value forever.

Maria Cristina Ferradini, Managing Director of the Amplifon Foundation

OBIETTIVO3

Given the importance of social inclusion in its mission, the Amplifon Foundation supported Obiettivo3 in 2021, the initiative devised by Alex Zanardi to involve disabled athletes and introduce them to sport. In its first three years, Obiettivo3 recruited and supported more than 70 athletes, who find a point of reference in their colleagues for cultivating their passion for sport.

IO SONO – FESTIVAL DELL'UMANO

In September 2021, the city of Milan hosted the "Festival dell'Umano", an event that allowed more than 600 people (including students, professionals, and businesses) to converse, reflect, and compare the role of people in society. The festival brought to the fore of the discussion inter-generationality and active aging, understood as the possibility of a person's development regardless of age, through a continuous exchange between generations. In the meeting between the mission of "Io Sono" and the vision of the Amplifon Foundation there is a unity of purpose which places people at the center, specifically a focus and openness to the future as the first form of acceptance of others and therefore inclusion.

People close to the Amplifon Foundation took part in the festival, which put forward issues that are close to the heart of all the Foundation's stakeholders to draw concrete plans of action from. In addition, the possibility of interacting and working with authorities and celebrities allows the Foundation to raise its profile and be more effective in terms of the impact of its activities.

COLLABORATION WITH AMPLIFON'S PEOPLE

In 2021 the people who work at Amplifon took part in a decisive way in the implementation of the projects promoted by the Foundation, both actively contributing to the mission and taking part in two fund raising campaigns. The first, activated at the beginning of the year, made it possible to buy 5 video-conferencing systems for care homes involved in the Ciao! project (some of which were recommended by Amplifon people), while the second enabled the donation of the 5x1000 tax to the Foundation to support institutional activities28.

It was particularly important in the Christmas period, with over 70 Amplifon employees buying Christmas presents for care home residents under the scope of the "Ciao! there's a gift for you" initiative, some of whom participated actively in delivering gifts or in fun activities at the homes. To say thank you, as well as to announce the launch of a partnership with the Geronimo Stilton Foundation, the Foundation gave the "Small Book of Kindness" to children within the Amplifon family, reminding everyone that "a kinder world is a better world", in the hope that this vision of the world will go on with people in their daily lives. Lastly, in December 2021, the Amplifon Foundation held its first Christmas dinner: an evening of generosity and commitment that allowed all stakeholders to get better acquainted with the activities of the Foundation.

THE FOUNDATION AND EXTERNAL RELATIONS

Making its activities, and, above all, its values and mission known is a key activity for the Amplifon Foundation, which seeks to measure its impact also by ensuring a certain communication outreach. In 2021 the Foundation made investments to consolidate its presence on social media channels, increasing its interactions on LinkedIn and creating a Facebook page, and a YouTube channel. The social media pages of the Foundation have grown exponentially, and this continues to increase. In addition, a quarterly newsletter provides news on the Foundation and its progress.

FIND OUT MORE

TO SUPPORT THE AMPLIFON FOUNDATION PROJECTS

^{28 -} The 5x1000 is the share of the IRPEF tax (Italian income tax) that the Italian state shares among non-profit sector organizations that carry out activities of social interest.

MIRACLE-EAR FOUNDATION

The Miracle-Ear Children's Foundation was established in 1990 with the objective of empowering and improving the quality of life of poor children affected by hearing loss in North America, offering them the possibility to hear again.

In 2013 it was renamed Miracle-Ear Foundation with the aim of extending its scope to include other age groups, and today the Foundation provides hearing aids, follow-up, and educational resources to people affected by hearing loss who are unable to access care due to lack of financial resources. The various Miracle-Ear social programs are sustained both by direct stores as well as by the franchisees belonging to the Miracle-Ear network.

GIFT OF SOUND™

is the Miracle-Ear Foundation's main program, through which hearing aids are donated and services, assistance and follow-up are provided to individuals and families in need at no cost to the recipients. In 2021 the Foundation provided hearing services to more than 2,500 children and adults who met the program criteria, donating almost 5,000 hearing aids and the relative after-care assistance services, with the direct involvement in the Miracle-Ear stores. Since the program was first launched 30 years ago, the Miracle-Ear Foundation has provided approximately 34,000 hearing aids to nearly 18,000 people.

HEAR AGAIN™

Through the Hear Again™ program, Miracle-Ear customers can bring their old no longer used hearing aids to donate them to the Foundation to be subsequently reconditioned, also in order to support the Gift of Sound program and thus help to consolidate the relationship between donors and beneficiaries of the Miracle-Ear family. In 2021 alone, the Foundation reconditioned and donated approximately 500 hearing aids.

ONE DAY WITHOUT SOUND™

The One Day Without Sound™ awareness campaign, a cornerstone of the foundation's prevention program, endeavors to make people understand whatit means to live with hearing loss, a condition that creates great difficulties both at school and at work, asking participants to try to live a day without sounds by wearing two small earplugs, to directly experience the condition of hearing loss. In 2021 around 20,000 hearing dampers were distributed by Miracle-Ear stores to numerous participants who committed to experience one day without hearing.

TESTIMONY OF FIND OUT MORE

PROJECT

THE GIFT OF SOUND

HEARING AIDS DONATED IN 2021 +5,000

HEARING AIDS RECONDITIONED IN 2021 ~500

HEARING DAMPERS DISTRIBUTED IN 2021 ~20,000

MIRACLE MISSIONS

Still in 2021, the Foundation, in conjunction with the Miracle Ear network franchisees, identifiedthreeneedy communities inthe UnitedStates as recipients of specific hearing aid deliveries (Miracle Missions). The missions were carried out between September and November 2021 over a total of 5 days, with more than 200 people who gave approximately 450 hearing aids to the needy, also guaranteeing all the care services needed throughout their useful life.

GAES SOLIDARIA FOUNDATION

Established in 1996 and consolidated as a foundation in 2018, GAES Solidaria is a project that brings together employees, managers, consultants, and customers with a common objective: to fill the life of whoever needs it most with sounds, music, communication, and happiness.

The mission of GAES Solidaria is to provide people with hearing loss without financial resources with the opportunity to develop their linguistic and communication skills through the development of local and international hearing projects. The Foundation extends the original lines of action of GAES Solidaria through awards granted to the medical community that promotes research related to hearing care. Additionally, it is a means of raising public awareness of the importance of hearing health care as a fundamental element of well-being. More than 650 employees voluntarily donate 1 euro from their monthly salary towards a solidarity project, and GAES doubles the amount raised. Thanks to this initiative, from 2008 to 2021, 35 projects become a reality with more than Euro 185,000 donated.

Furthermore, GAES employees contribute and provide their skills by volunteering for specific initiatives. For example, some projects provide for carrying out hearing tests for children and adults in less developed areas of the world such as India, Morocco, Burundi, Cape Verde, and Mozambique. The Foundation's leading international projects are "Speech Therapy" and "Oídos del Tíbet", both of which in India.

SPEECH THERAPY & OÍDOS DEL TÍBET

"Speech Therapy" is a project conducted in collaboration with the Vicente Ferrer Foundation in Anantapur (India). It is managed by a multidisciplinary team that helps children of the Bukaraya Samudram school with hearing problems to use oral language with the help of hearing aids. Currently, 40 children are involved. On the other hand, "Oídos del Tíbet" is a project carried out together with the Casa del Tibet Foundation of Dharamsala (India) where hearing care professionals carry out hearing tests and provide new hearing aids to the local population.

"SPEECH THERAPY"

PROJECT

In 2021 the Foundation also worked on various medical research projects. Specifically, a donation was made to the Sant Joan de Déu Hospital (Barcelona) to promote research into otolaryngology and neurology, and partnerships were established with the Clarós Foundation and the Contigo Foundation. Lastly, the Foundation also supported the Dream Nepal non-profit to guarantee access to school and a safe home for the children of women serving a custodial sentence, who will thereby have the opportunity of growing up and enjoying their childhood.

Thanks to the research and training activities sponsored by the Amplifon Center for Research and Studies (CRS), we contribute to the dissemination of information on hearing health based on clinical evidence, spreading a culture of progress and innovation in the fields of Audiology and Otology within the medical-scientific community.

The Amplifon Center for Research and Studies was founded by Algernon Charles Holland in 1971 to consolidate company investments and resources towards development, research, and training in Audiology and Otology. The objective of the CRS, founded in Italy and now active also in Spain and France, has always been to contribute to the development and sharing of scientific knowledge in collaboration with national and foreign universities, as well as scientific societies. Since its inception, in Italy alone it has organized more than 700 courses and science conventions, as well as supported scientific publications and scholarships.

TRAINING ACTIVITIES

Training courses represent an important opportunity to examine topics related to hearing well-being, audiological services, and prevention in greater depth. Thanks to the CRS support, every year the most current topics related to audiology and ENT are discussed and analyzed in depth in national and international courses with the intervention of world-renowned speakers. From 2020, due to the Covid-19 health emergency, the CRS focused on digital communication sponsoring the development of the online publication ORL. news, the first training and updating portal for ENT doctors and healthcare professionals. To date, the site has developed a real digital community that numbers more than 3,500 specialists, and over 60 clinical professionals from all over Italy have been involved. The publications are examined by an

AMPLIFON CENTER FOR RESEARCH AND STUDIES FIND OUT MORE

SCIENTIFIC COURSES AND CONFERENCES ORGANIZED +700

VISIT THE PORTAL ORL.NEWS FIND OUT MORE

editorial committee that guarantees the quality of the proposed contributions. Specifically, the members of the board are six young specialists who have distinguished themselves for their scientific research in ENT: almost all of them have been awarded CRS scholarships.

In 2021, the CRS set its main goals as a multi-disciplinary approach among specialist doctors, the training and updating of doctors and health professionals, launching a new remote updating format: the CRSLab. The event was organized through regional round tables, which involved specialists in otolaryngology, audiology and phoniatrics, geriatrics and neurology. As far as professional development is concerned, ENT news periodically proposed new FAD (remotelearning) courses for doctors, regularly accredited CME, including advanced courses in tele-medicine and otoradiological imaging. In 2021, in partnership with Italian specialization schools, the CRS supported the first edition of "Basic Science in Audiology", an educational offering dedicated to doctors specializing in otolaryngology, audiology and phoniatrics. Real university lectures, which were part of the specialization training of young doctors, were offered through the project. In 2021, 295 doctors in their 2nd and 3rd years of ENT and Audiology specialization were involved, with 3 scholarships awarded at the SIAF Congress (Italian Society of Audiology and Phoniatrics) in November in Turin.

AMPLIFON'S CENTER FOR RESEARCH AND STUDIES CELEBRATES 50 YEARS

On the occasion of the 50th Anniversary of the CRS, in May 2021 a special event was held which, with the involvement of medical specialists, made it possible to relive several fundamental stages of the CRS and take a look at future research and projects (the event was called: CRS For a Healthier Future). National and local opinion leaders took part in round tables on the history of the CRS, the progress of tele-medicine, the Covid-19 pandemic, and other innovations in the field of otolaryngology, audiology and phoniatrics.

The CRS has always stood out through its values of innovation and proximity to professionals in the field of otolaryngology, this tradition has continued through this event, dealing with various issues related to qualify of life and progress in a clinical setting. This important anniversary was also the occasion of the inauguration of the CRS Ear Award, dedicated to the initiatives of 5 doctors who stood out through their social and professional commitment, later awarded at the plenary session of the SIAF Congress in November 2021 and involved in high-visibility projects with our media partners. In addition, The Best Researcher of The Year 2021 competition, dedicated to ENT doctors, hearing care professionals, and phoniatrics under 40 was launched to support young researchers in the industry. The winner, who received the prize later at the University Association of ENT Specialists (AUORL) in December 2021, will become a member of the Editorial Board of ORL.news for 2022.

THE 50TH ANNIVERSARY OF THE CRS FIND OUT MORE

CONGRESSES AND SCHOLARSHIPS

In 2021, the CRS attended major congresses in the field of otolaryngology, audiology and phoniatrics. The most important of these was the National Congress of the Italian Society of Otolaryngology and Head and Neck Surgery (SIO) which was held virtually this year. Amplifon held a dedicated symposium here, presenting the "Health Technology Assessment" project conducted by the Bocconi University together with Amplifon. Thanks to this research, a model to estimate the cost effectiveness of the use of hearing aids for the National Health System was created, establishing that the value generated by the use of hearing aids for the system exceeds the initial outlay incurred by the patient.

These results were presented, in a dedicated talk, to the National Congress of the Italian Society of Audiology and Phoniatrics (SIAF), in which Amplifon and the CRS attended not only the presentations and symposiums dedicated to digital development in a clinical setting, but also the plenary session of the event. Twelve scholarships from the SIAF, funded by the Amplifon Center for Research and Studies, were handed over on this occasion.

The last major event in 2021 was the AUORL Academy, where 36 doctors in their 3rd and 4th year of specialization selected by a scientific committee of the Association of ENT Specialists (AUORL) presented their work to the university professors of otolaryngology, and audiology-phoniatrics. The 8 most-deserving also received a scholarship provided by the Amplifon CRS.

EDITORIAL ACTIVITY

To support the training of specialists, the Amplifon CRS offers access to one of the best-stocked private libraries in the field of audiology and otolaryngology, which includes some of the most eminent international publications in the industry. Since 2020, this library has been expanded to include publications that can be consulted digitally on the Orl.news website and it is constantly growing.

In 2021 there was two major publications. The first was the book by Umberto Ambrosetti and Eleonora Carravieri entitled "Il silenzio è d'oro? Un viaggio tra i silenzi e il mondo dei suoni" (Is silence golden? A Journey between silence and the world of sound) which, produced through the contribution of various external authors, deals with the issue of silence from various aspects: the world of deafness, sound, music, and art. The second is the book "Otoscopia" (Otoscopy) by Giovanni Ralli which, published with the support of CRS, is a practical and highly educational guide to the practice of otoscopy for industry specialists.

Lastly, the CRS continued this year with the quarterly publication of the CRS Scientific Journal which, produced in English and shared with all Group countries, was also published in Italian in the section Publications of Orl.news. This was made possible thanks to collaboration with an international panel of Amplifon specialists, who regularly analyze the latest scientific papers to prepare short reports and critical reviews of the industry literature.

SCHOLARSHIPS PROVIDED IN 2021 8

HEARING LOSS-COGNITION RESEARCH

Nowadays, there is various evidence on the link between hearing loss and cognitive decline, especially in seniors. Taking into consideration the global trend of the increase in the average age of population, and that more 65% of the population over 65 years old suffers a certain degree of hearing loss, early detection becomes a variable, fundamental factor for limiting the negative impact hearing loss can have on the quality of life and cognitive state of patients. It is precisely for this reason it is increasingly vital to characterize the effect of the use of hearing aids on cognitive functions in a sample of patients with presbycusis: this is the exact purpose of the study on which experts including audiology doctors, psychologists, hearing care professionals, and neurologists worked for 6 months. The research, which will continue in 2022, is aimed at analyzing the effects of hearing aids, not only on physiological cognitive decline, but also on depression and hearing disability perceived by patients.

WE ALWAYS OPERATE RESPONSIBLY THROUGHOUT THE VALUE CHAIN WORKING WITH ALL STAKEHOLDERS AND RESPECTING THE ENVIRONMENT

OUR GOALS

Integrate sustainability criteria into the responsible management of the supply chain

Increase the use of renewable energy to limit the environmental impact of our business activities

Promote the use rechargeable hearing aids to reduce the use and disposal of batteries

CHAPTER 05

ETHICAL BEHAVIOR

5.1 MONITORING THE REGULATORY CONTEXT

We monitor the regulatory context in an efficient manner to guarantee our operations are fully compliant with regulations at all times and in a transparent manner.

To react promptly to potential regulatory changes in a medical sector where regulations differ from country to country, we have established for a number of years a Regulatory Affairs function, at Corporate level and also at local level, in the main countries in which we operate. Our Regulatory Affairs function ensures continuous monitoring of regulatory changes and their potential impact, centrally defines responsibilities regarding the management of current or potential topics, develops action plans (implemented with the support of local resources), and coordinates interaction with institutions by actively participating in international debates, associations, and conferences with particular interest in three main areas: hearing aids, licensed professionals, and terms of reimbursement.

HEARING AIDS

Hearing aids are considered medical devices in all the markets we operate, as they are aimed at compensating for a disability, and therefore are always compliant with the various national and international regulations that set product standards as well as establish packaging and labeling requirements.

EU COUNTRIES

On May 25th, 2017 the new Medical Device Regulation (EU) 2017/745 (MDR) came into force, superseding Directive 93/42/CEE (MDD), and maintained the classification of hearing aids as "class IIa low to medium risk devices". To be sold on the EU market a hearing aid needs to bear the EC (European Community) marking that confirms the product meets the essential requirements of all EU

directives related to medical devices. The Regulation further strengthens the concept of considering hearing aids as medical devices, distinguishing them from personal sound amplification products (PSAPs), which do not allow compensation for hearing loss.

USA

Hearing aids, regulated by the Food and Drug Administration (FDA), are classified as Class 1 or 2 Medical Devices depending on whether or not they are wireless. They can be introduced into the market without the so-called pre-market approval (PMA) by virtue of an exemption as provided for by the 510 (k) approval process. The FDA requires that, prior to making a purchase, the consumer receives information about hearing aids from licensed hearing care professionals who are allowed to distribute them. In addition, in 2017, the "Over-the-Counter Hearing Aid Act", annexed to a law on medical devices (the Medical Device User Fee Amendments) and included in the FDA Reauthorization Act, left the responsibility for defining and regulating this new category of hearing aids to the FDA within three years. This regulation involves the introduction of a separate category of hearing devices allowed to be sold over-the-counter (OTC) for adults with mild to moderate hearing loss, without the intervention of a qualified professional. In October 2021, the FDA published a regulatory proposal aimed at governing the operating methods for the introduction of this category of products, with special reference to the performance and technical specifications of these devices, their labeling and classification, as well as protection policies (refunds and returns) for the consumer. The proposed regulations were later the subject of a public consultation period of three months by various stakeholders, which will be followed by the publication of the final regulations not expected to effectively come into force before the second half of 2022. With reference to the regulations, there was a significant shift in the FDA proposal on performance and technical specifications (output limit and lack of gain limit) compared to the recommendations of the consensus paper prepared in 2018 by the main professional associations (American Academy of Audiology (AAA), Academy of Doctor of Audiology (ADA), American Speech-Language Hearing Association (ASHA) and International Hearing Society (IHS)) aimed at guaranteeing a suitable balance between safety standards, product effectiveness, and access to hearing care - in line with Amplifon's position. The performance and technical specifications currently proposed actually risk having repercussions on the health of consumers, causing possible excessive sound amplification effects and related hearing damage. Lastly, the FDA regulatory proposal, in addition to regulating the sale of OTC devices, also proposed to treat all other hearing equipment as prescription hearing aids, namely needing a prescription from a doctor, audiologist or another authorized hearing specialist, recognizing the importance of the role that professionals play in helping consumers access safe, effective hearing solutions, capable of adapting the hearing device to the needs of individuals, adjusting them over time based on hearing loss and providing other important care and maintenance services.

AUSTRALIA

The Therapeutic Goods Administration (TGA) is the competent authority for hearing aids, which are considered medical devices and therefore required to be registered in the Australian Register of Therapeutic Goods (ARTG) database before they can be introduced onto the Australian market.

LICENSED PROFESSIONALS

The use of hearing aids requires the support of a licensed professional to perform a thorough hearing assessment, as well as the selection, personalization, fitting, and sale of the device.

This is why we always adopt the standards in force in the various countries, as well as the new ISO / TC43 / WG10 "hearing aid and fitting management" standard currently at the proposal stage, maximizing the effectiveness of the hearing care professionals' work, whose profession is regulated differently in various countries.

EU COUNTRIES

The European Directive concerning medical devices requires that only licensed professionals in compliance with applicable national laws can select, fit, sell, and verify the effectiveness of hearing solutions. The hearing care professional profession is regulated in almost all EU countries, and the regulations in force in the several states require different academic and other study qualifications to be able to practice the profession, attributing various responsibilities to licensed professionals. In 2018, the Board of Health Technicians in Medical Radiology and Technical, Rehabilitation, and Prevention Professions was established in Italy, providing for the creation of the Register of Hearing Care Technicians in order to affirm and enhance the professionalism of hearing care professionals and protect customers' safety.

USA

The FDA requires hearing aids to be distributed only by licensed individuals, such as audiologists or hearing aid dispensers. For adults, a medical prescription to establish the cause of hearing loss is not required, while minors must undergo a medical examination before the purchase of a hearing aid. In addition, as indicated previously, the introduction of a new category of overthe-counter devices for adults with a mild to moderate hearing loss without the intervention of a hearing care professional is under way and the FDA is defining the operating methods for its introduction and implementation is expected to be in the second half of 2022.

AUSTRALIA

In order to obtain accreditation from the Office of Hearing Services (the office responsible for managing and administering the Australian Government's program for audiological services), hearing care professionals and audiometrists must be members of an accredited Australian professional association. Hearing care professionals have a university-level qualification (Master's in Clinical Audiology), while audiometrists attend courses at TAFE (Technical And Further Education) institutes. As regards the private market, there are no specific regulatory provisions regarding hearing care professionals. However, in Australia, Amplifon only avails itself of the services of hearing care professionals or audiometrists who are registered with an Australian professional association.

The conditions for reimbursing hearing aids and associated services vary according to the national health service from country to country. Among the various reimbursement conditions there are: (i) national health services that offer free hearing aids to everybody (such as in the UK); (ii) national health services that reimburse the cost of a hearing aid in full or in part to people who are eligible due to a given level of hearing loss (such as in France and Italy); (iii) national health services that do not provide for any reimbursement (such as in Spain and the US, except for minors under 16 years old and members of the Veterans Association, respectively).

In all countries, we promote efficient reimbursement systems and participate in the debate with healthcare companies and regulators to seek the right balance between free access to hearing care on the one hand, and the economic sustainability of health systems on the other. Many high-income countries have reimbursement systems that differ greatly: the most effective ones, capable of reconciling a high adoption rate with a high satisfaction rate together with the effective use of hearing aids, are those that favor the customer's freedom of choice (thus triggering positive dynamic competition among operators), leaving the option for the consumer to integrate the reimbursement to access higher-range products and services than those guaranteed by the basic reimbursement, adequate as they may be.

The most recent and significant regulatory evolution regarding reimbursement conditions concerned France, where an agreement for reforming the reimbursement system in the optical, dental, and hearing care sectors was announced in 2018, to be gradually implemented in 2019 and 2020 and becoming fully operational on January 1st, 2021. The new system, known as "reste à charge zéro", envisages the offer of fully reimbursed hearing solutions by social assistance and by supplementary health insurance (socalled "mutuelles") starting from 2021, while before the reform the majority of the French population did not have access to fully reimbursed products and services. The new regulation divides hearing aids into two categories: Class I, which includes devices fully covered by reimbursement systems, and Class II, which includes hearing solutions purchased at any price freely by the consumer by means of a "top-up" mechanism on the reimbursed portion. The reform has also established the minimum hearing loss threshold for reimbursement eligibility (30 dB), the timing to claim for reimbursement and guarantee (four years), and the requirement of a prescription by an ENT specialist for the initial purchase only, while the renewal can be made by a general practitioner as well. These provisions have significantly facilitated access to hearing care, while confirming customers' freedom of choice and the importance of the role played by hearing care professionals, as shown by the significant increase in volumes recorded in the French market in 2021.

In addition, still on the subject of reimbursement conditions, note that while currently in the United States only certain services and not hearing devices are reimbursed, the reimbursement of hearing solutions is being evaluated by Medicare-Part B (public health system for beneficiaries over 65). Initial draft legislation was presented to the chamber in November 2021.

5.2 BUSINESS ETHICS AND FIGHT AGAINST CORRUPTION

Given the key role we play in the hearing care sector, our way of doing business is permeated by respect for the highest ethical principles, standards of integrity, and values that are articulated in a coherent model of policies and tools to promote a culture of transparency.

All Amplifon activities are carried out in compliance with the laws and regulations in force, in a framework of fair competition and respect for customer needs and the legitimate interests of employees, shareholders, commercial and financial partners, as well as the communities in which it operates. Towards this end, a coherent corporate culture plays a fundamental role in correctly addressing everyone's behavior and ensuring any situations that have not already been regulated are dealt with in a collective and transparent manner.

OUR CODE OF ETHICS

We are committed to promoting a corporate culture based on honesty, integrity, fairness, and good faith, as well as, of course, respecting applicable laws in each country or context where we operate.

In this regard, in 2021 the Group's Code of Ethics was updated, which involved revising the ethical principles and rules of behavior contained therein, as well as substantially extending the subject areas dealt with, in line with sector best practices. These activities allowed us to further align the contents of our Group Code of Ethics with the values expressed in our corporate culture, formalizing the values, principles, and rules of behavior underpinning our daily actions.

THE CODE OF ETHICS OF THE AMPLIFON GROUP FIND OUT MORE

In addition to being an integral part of the Model 231 pursuant to Legislative Decree no. 231/2001, the Code of Ethics establishes the fundamental principles of conduct with respect to:

• • behavior policies in business, including conflicts of interest, confidentiality of information, privacy protection, responsibility in work activities, compliance with money laundering legislation, protection of intellectual property, the fight against corrupt practices (both direct or via third parties), illegal favors, collusive behavior and procuring advantages;
• • the management of human resources, including the fight against any form of discrimination, rejecting exploitation of child labor, safeguarding the principle of equal opportunities for all in all aspects of the working relationship, preserving a healthy, safe work environment, protecting the environment, the fight against any form of a harassment in the workplace and responsibility for assets;
• • clarity and completeness of accounting records, through the adoption of high standards of financial planning and control, and coherent and adequate accounting systems;
• • sustainability, with special reference to the creation of shared long-term sustainable value, the generation of positive, sustainable social impact, awareness of the importance of respecting the environment;
• • relations with external stakeholders, in particular with reference to relations with suppliers, public officials and public institutions, customers, the media as well as the financial community, also regulating the management of any gifts and gratuities.

The principles and provisions of the Group's Code of Ethics are applicable to all Amplifon employees and those of companies belonging to the Group, as well as all third parties acting on behalf of the Group. Furthermore, we strive to ensure that the principles of the Code are shared by agents, consultants, suppliers, business partners, and any other person with whom we conduct ongoing business relations. We do not establish or conduct business relations with anyone who refuses to respect the principles of the Code. Violation of the rules of the Code could constitute a breach of contractual obligations, with legal consequences, and may therefore lead to the possible termination of the contract or tenure with third parties and possible claims for damages, or the imposing of disciplinary sanctions against employees, in compliance with the law and provisions of collective bargaining agreements and company rules, where applicable.

As in the past, the Code of Ethics is applicable to and distributed in all countries in which the Group operates, so that all subsidiaries and associated stores are familiar with and respect its contents. In this regard, each Group company is bound to adopt the contents of the Code, guaranteeing its dissemination locally and to implement all the necessary conditions for its effective enforcement, involving the necessary people. In addition, a training course on "Business & Ethics" was delivered in 2021, broken down into four distinct modules, the first of which was dedicated to the Group's Code of Ethics and, specifically, the values, ethical principles and behavior rules underpinning our daily actions.

+11,300 TOTA L H O U R S

OF TRAINING ON "BUSINESS & ETHICS" PROVIDED IN 2021 TO OVER 4,600 EMPLOYEES

The completion of this course, which also includes contents on the Anticorruption policy, the Whistleblowing system and Model 231, is mandatory and will also be required of all employees when they are hired.

Amplifon S.p.A.'s Internal Audit department checks that the principles in the Code of Ethics are correctly implemented through the regular audits set out in its plan. Making use of dedicated reporting systems (Whistleblowing systems), the Group strongly recommends and encourages the reporting of actual or suspected violations of our Code of Ethics, ensuring the confidentiality of the reports received pursuant to applicable law, as well as protecting the whistleblower from any acts of retaliation or discrimination afterwards. No reports were received in 2021 regarding any violation of the Code of Ethics by employees or suppliers.

OUR TAX STRATEGY

Amplifon's tax strategy is approved by the Board of Directors and is periodically reviewed with the help and collaboration of the tax function. The document, based on the principles outlined in the Group's Code of Ethics, defines the objectives relating to tax variables and establishes the guidelines for their practical implementation in Italy and abroad, aware of the importance of the contribution to the tax revenue of the jurisdictions in which the Group operates and in the belief that the correct implementation of tax rules is essential for both the Group and its stakeholders.

Amplifon acts with integrity and honesty, adopting behavior aimed at formal and essential compliance with all tax laws, regulations, and procedures applicable nationally, internationally and supranationally in the countries in which it operates, maintaining a cooperative, transparent relationship with tax authorities. In this regard, the Group collaborates with the competent authorities to provide the necessary information for checking the tax obligations have been correctly complied with and adopts behavior aimed at guaranteeing the suitability of transfer prices applied in inter-group transactions, with the aim of allocating the revenue generated in the countries in which the Group operates, in compliance with the laws and in line with OECD guidelines. Based on this approach and these principles, in order to ensure that each decision is consistent with its tax strategy, Amplifon adopted its own tax risk internal management and control system (Tax Control Framework), in line with the OECD guidelines, as implemented by the Italian financial administration.

Amplifon also ensures the Group's tax function has adequate organizational resources (human, material and financial) as well as technological solutions to guarantee the execution of its functions29.

AMPLIFON'S TAX STRATEGY FIND OUT MORE

29 - For details of income taxes, please refer to the Consolidated financial statements and notes for the period January 1st - December 31st, 2021 "Explanatory notes" - "Income taxes for the period" section) in the 2021 Annual Report.

SHAREHOLDERS ENGAGEMENT POLICY

In Amplifon dialog with the financial market has always been an essential, defining element for the business. For this reason, in 2021 the Board of Directors approved an Investor Relations & Shareholder engagement policy aimed at formalizing the methods for managing the constant and ongoing relationship with the Company's shareholders, potential investors and main stakeholders, through active listening and dialog based on the principles of correctness and transparency. This policy describes the relationship between the Company and the financial market under the scope of corporate

functions and also regulates engagement activities to promote dialog between the Company and shareholders, defining the subjects, regulating the procedures and identifying those responsible for engagement activities and other parties potentially involved.

INVESTOR RELATIONS & SHAREHOLDERS ENGAGEMENT POLICY FIND OUT MORE

WHISTLEBLOWING SYSTEM

In line with our commitment to complying with the highest standards of behavior endorsed in our Code of Ethics, from 2020 a process was introduced for managing Whistleblowing in the Group which, launched in Italy at the end of 2020 and then in the United States, Canada, Australia and Germany in 2021 and in Spain and France at the beginning of 2022, will gradually be adopted in all Group countries with a view to harmonizing conditions with local ones30. Through this process, in order to guarantee a safe, compliant and protected workplace, a set of rules and communication methods was defined to report, in complete confidentiality, any violation, reasonable suspicion of a violation or behavior that does not conform to the Code of Ethics, Anti-corruption policy and internal procedures (such as, for example, Model 231), as well as the laws and regulations applicable to each Group company.

In 2020 Amplifon adopted the Group Whistleblowing Policy, later updated to include regulatory amendments and organizational changes, in line with reference best practices. The Whistleblowing Policy, the latest release of which was approved by Amplifon S.p.A.'s Board of Directors in July 2021, defines what types of unlawful behavior that may come to the attention of the employees of Amplifon or third parties can be reported, as well as the reporting methods.

The Policy provides for the creation of a Whistleblowing Committee composed of the heads of HR, Legal Affairs, and the Group Internal Audit & Risk Management function, which will have the task of receiving, analyzing, and if needed investigating and proposing disciplinary measures in relation to reports received. The Policy also defines the three channels through which reports can be implemented: in addition to ordinary mail and a specific

pursuant to Legislative Decree 231/2001 of Amplifon S.p.A.

30 - Note that even before 202 there was already a local whistleblowing system in some countries if required by local legislation. Specifically, a whistleblowing system was adopted in Italy in accordance with the provisions of the Organizational, Management and Control Model

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FIGHT AGAINST CORRUPTION AND MODEL 231

dedicated e-mail address, a digital platform called E-Whistle was developed and constitutes a simple, secure, and confidential manner to handle reports and manage further confidential exchanges of information between the whistleblower and the Committee for in-depth analysis in full compliance with the requirements laid down by regulations. In compliance with the general principles of confidentiality, non-retaliation, and the possibility of anonymity, the Policy and the reporting channels guarantee that every report is treated confidentially, that the whistleblower's identity is protected, and that a nonretaliation policy is applied to anyone who files a report in good faith.

In line with the progressive implementation of the Policy and its related reporting channels in the various countries, a specific online training program, which is mandatory for all company management and staff, was organized with the aim of informing and forming all Amplifon employees and workforce in general on how to behave in the event they become aware of illegal behavior. While we expect all employees and workforce to maintain the high standards contemplated in our Code of Ethics, we encourage anybody who becomes aware of non-compliant behavior to report it, to give us the opportunity to address problems in their initial phase, reducing the risk of potential damage to the business and to our reputation.

COMPETITIVE BEHAVIOR AND RESPONSIBLE MARKETING

In light of the peculiarities of the sector in which we operate, characterized by competition between several national and international companies, including specialty and non-specialty operators (for example pharmacies and optical chains), as well as online stores, our commercial policy is based on respect of all the rules in place to safeguard fair competition. For this reason, we constantly monitor market evolution and address our investments towards the differentiation of the service offered and new acquisitions, always in the context of an ethical approach to competition. Towards this end, the Legal Affairs function has the task of ensuring that Amplifon's competitive behavior complies with ethical principles and applicable laws.

Given the type of service and product we provide, full transparency towards customers is also a fundamental aspect of our business ethics. As described in the Code of Ethics, it is therefore a primary objective of Amplifon to observe all the procedures for the correct management of customer relations, to provide accurate and comprehensive information about our products and services, as well as to state the truth in our advertising or in communications of any kind.

Responsible and reliable communication towards customers is fundamental to prevent any risk of non-compliance with existing regulatory provisions, as well as any reputational damage. In order to promote responsible marketing and sales practices, ensuring transparent, reliable interactions with customers and stakeholders, Amplifon has global guidelines which mean that any marketing material, from television campaigns to brochures, must be checked by a lawyer in order to ensure compliance with local legislation related to the promotion of medical devices and advertising communications.

+5,700

HOURS OF TRAINING SPECIFICALLY ON THE WHISTLEBLOWING POLICY PROVIDED IN 2021 TO MORE THAN 2,000 EMPLOYEES

In any case, the Code of Ethics provides that all employees and consultants who have direct contact with customers must provide complete and accurate information on products and services, and also explain clearly the content of the advertising or other campaigns as to enable customers to make informed decisions. To make this easier, we always seek to build networks of creative partners that are as much as possible in synergy with one another at regional level in order to align marketing, advertising, and communication strategies, thus maximizing the effectiveness and efficiency of our brand awareness while maintaining our ability to grasp and address local peculiarities.

FIGHT AGAINST CORRUPTION

As provided in our Sustainability Policy and our Code of Ethics, we are strongly committed to conducting our activities in a correct and honest manner around the world, in compliance with applicable laws and regulations in the various countries where we operate. We have zero-tolerance regarding corrupt practices, illegal favors, collusive behavior, and the procurement of advantages.

In order to prohibit the practice of active or passive corruption in favor of anyone, Amplifon provides specific rules for its prevention, as well as for the management of corruption risk that may arise from corporate transactions. Towards this end, in 2017 the Board of Directors of Amplifon S.p.A. approved the Group Anti-Corruption Policy, to guarantee the ethical conduct of daily activities, protecting value creation and those fundamental values on which Amplifon's activities are based. All directors and employees of the Group, as well as suppliers, consultants, and anyone who acts on our behalf are required to act in compliance with the values, standards, and principles set by such Policy as well as the laws that govern corruption in the various Countries.

The provisions and guidelines contained in the Policy are inspired by our corporate culture and by the behavioral principles stated in our Code of Ethics, which have been developed by analyzing the activities that can potentially expose Amplifon to corruption risk. They promote the highest standards in all commercial relationships, the conduct of activities according to the principles of loyalty, correctness, transparency, honesty, and integrity, and well as provide specific rules to prevent, identify, and manage the risk of corruption. Following its approval, the Policy was formally communicated in 2017 and training was provided to all the General Managers and selected key managers from the various subsidiaries in each of the three regions through dedicated sessions.

In 2021, the Anti-Corruption Policy was updated to include additional general principles and specific rules of behavior and control, based on reference international standards and best practices. In addition, a short version of the policy was drafted containing the Group's reference principles, to be shared with the third parties involved through publication on the Amplifon corporate website.

AMPLIFON GROUP ANTI-CORRUPTION POLICY FIND OUT MORE

The Group Internal Audit & Risk Management function is tasked with facilitating the dissemination of the Anti-Corruption Policy and compliance with it. At a local level, training and awareness activities on anti-corruption are developed in line with Group guidelines and taking into account the specific requirements of individual countries. In addition, from 2020, several compliance audits were conducted in the countries in which the Group operates in order to verify the level of implementation of the safeguards set out in the policy ("Readiness Assessment") and the local actions to guarantee its full and correct application. Awareness activities concerning anti-corruption, as well as support in mapping corruption risks and implementing the safeguards set out on the policy, were also carried out for some recently acquired companies. Lastly, the whistleblowing channels also guarantee more efficient monitoring of any deviant or non-compliant behavior with regard to the Anti-Corruption Policy and other rules and regulations in this area.

MODEL 231

In addition to the Anti-Corruption Policy and the Code of Ethics, which apply to all the companies of the Group, Amplifon S.p.A. arranged the adoption of an Organizational, Management and Control Model pursuant to Legislative Decree no. 231/2001 (Model 231) as provided by the relative applicable law in force in Italy in relation to administrative liability of companies. Model 231 was prepared based on the guidelines of Confindustria (General ConfederationofItalianIndustry)andofothermorespecific tradeassociations, considering the sector in which Amplifon operates (Confindustria Medical Devices). The implementation of Model 231, also through the intervention of the Supervisory Board which monitors its correct functioning and takes care of its updating, favors business activities in accordance with principles of fairness and transparency, as well as avoids risk situations, with a dual objective: preventing the commission of the offenses set out in the Decree and protecting the image of the company and the work of all employees and associates.

Amplifon S.p.A.'s Model 231 is composed of a general part and the specific part. The general section contains the guiding principles for conducting corporate transactions, illustrates the contents of the decree, defines the methods for the establishment and operation of the Supervisory Body and describes the sanctions system and training of personnel. The specific section, on the other hand, illustrates the control protocols for corporate activities deemed "sensitive" as set by Legislative Decree 231/2001 and describes the behavior and measures to reduce the risk of committing offenses pursuant to the decree.

The Code of Ethics constitutes the very foundation of Model 231: the two documents form a set of internal rules aimed at spreading a culture based on ethics and corporate transparency. In addition to the Group process of managing whistleblowing, in line with reference regulations, Amplifon S.p.A. has two institutional channels of communication for reaching the Supervisory Body (an email address and a dedicated freephone number) to report significant violations pursuant to Legislative Decree 231/2001.

+5,200

HOURS OF TRAINING SPECIFICALLY ON ANTI-CORRUPTION AND MODEL 231 PROVIDED IN 2021 TO MORE THAN 1,800 EMPLOYEES

MODEL 231 AND THE SUPERVISORY BODY FIND OUT MORE

Model 231 is, by definition, dynamic: the need for updating to comply with regulatory and organizational developments is checked periodically, in line with sector best practices and standards. Specifically, following the redefinition of Amplifon S.p.A.'s corporate structure, which took place in the first half of 2021 and involved the separation of operating activities for Italy from the strategic planning and strategic coordination activities carried out by the Parent Company, the Amplifon S.p.A. Model for Italy, containing only the sections applicable to the corporate entity were extrapolated from the Model 231 previously in force (and the related annexes). This model was approved by Amplifon's Board of Directors on April 29th, 2021. Later on, from a development perspective and in line with reference best practices, Amplifon S.p.A.'s 231 management system was revised, involving the updating of the risk-offense mapping in the light of the recent legislative amendments on predicate offenses, as well as the revision of Model 231 from a procedural perspective. The new version of Model 231 was approved by the Board of Directors at the meeting of July 29th, 2021. Generally speaking, Amplifon Group subsidiaries, where applicable, adopt compliance programs in conformity with local regulations which include corporate administrative liability (e.g., Legislative Decree 231/01 in Italy, Ley Organica in Spain, etc.).

5.3 PROCUREMENT AND SUPPLY CHAIN MANAGEMENT

Responsible procurement and supply chain management is essential to guarantee compliance with the highest ethical standards along the value chain. For this reason, we are progressively integrating specific sustainability criteria in the selection and qualification of our suppliers, while at the same time guaranteeing the highest level of quality of products and services, as well as competitiveness of proposals.

In Amplifon procurement (direct and indirect purchases) and supply chain management is carried out and coordinated at various levels of the organization, from global to regional functions as well as country ones. All activities are aligned and coordinated by the guidelines and governance exercised centrally. National management teams are responsible for the local implementation of global guidelines, in both tactical and operational terms, as well as for defining and implementing other specific aspects limited to a given market or business unit.

DIRECT PROCUREMENT

Purchasing of hearing aids and related products and services (hearing devices and accessories, service and spare parts for hearing aids, batteries, ear molds, other products).

INDIRECT PROCUREMENT

Purchasing of products and services that are not directly linked with hearing aids (marketing and advertising, rental fees, IT, facility management, consultancy, general expenses, logistics services).

SUPPLY CHAIN

Management of logistics and storage phases (definition of the logisticsdistribution model, transport to and from suppliers and stores, warehouse, and storage services, planning and management of inventories, definition of store operations relating to the management of materials).

QUALIFICATION AND STANDARDS OF BEHAVIOR

During the qualification phase, all suppliers acknowledge and sign Amplifon's Code of Ethics, in order to be involved in tender and procurement dealings or providing goods and services. As expressed in the above-mentioned code, and in line with the UN Global Compact principles and international conventions, Amplifon rejects suppliers which admit, in violation of the principles of the freedom and dignity of people and fundamental human rights, to the exploitation of forced and child labor, as well as any form of personal discrimination. In support of the foregoing, starting from 2019 all suppliers of hearing aids whose contract is subject to renegotiation are required to recognize and comply with the principles set forth in Amplifon's Sustainability Policy.

In addition, at the start of 2022 a new Supplier Code of Conduct was defined and adopted, which describes the principles and standards of conduct required of all of Amplifon's suppliers and business partners to conduct business ethically and responsibly, as well as for full compliance with national and international legislation31. The Code will be gradually integrated into the qualification process so that any supplier, either new or with an existing commercial relationship with Amplifon, signs up to and proactively implements the principles and standards relating to business ethics, compliance, anticorruption, human rights and workers' rights, diversity and inclusion, health, safety, the environment, etc. To further strengthen cooperation along the entire value chain, in addition to integrating these principles and standards in their activities, suppliers are required to pass them on to their workforce and their suppliers, ensuring they are complied with, as well as making sure that their sub-contractors or any third parties working on their behalf operate in full compliance with these principles. For this reason, Amplifon reserves the right, by means of specific contractual clauses, to check the good conduct of suppliers asking for any supporting documentation or other information that demonstrates compliance with the Code of Ethics and the Supplier Code of Conduct, as well as conducting special audits on these themes. The violation of these rules, principles and minimum standards of behavior may constitute a breach of contractual obligations with full legal consequences.

The implementation ofthe Supplier Code of Conductis the first components of the new global framework for the evaluation of suppliers which, as set out in our Sustainability Plan, was defined in 2021 in order to evaluate all Amplifon suppliers in relation to the main ESG risks. Based on the reference product category and geography of the administrative, production and distribution sites of suppliers, this framework allows to classify every supplier in a specific ESG risk class (low, medium, high) based on universally-recognized metrics and indicators inherent in the main ethical, social and environmental topics.

SUPPLIER CODE OF CONDUCT FIND OUT MORE

119 INTRODUCTION • AMPLIFON: LISTENING AHEAD • PRODUCT & SERVICE STEWARDSHIP • PEOPLE EMPOWERMENT • COMMUNITY IMPACT • ETHICAL BEHAVIOR • ANNEX

There are specific actions to implement for each risk class to get to know the supplier and/or mitigate the residual risks, including for example:

• • the suppliers completing a questionnaire, which clarifies certain important aspects;
• • including the supplier in an ESG evaluation/rating process;
• • conducting an ad hoc audit carried out by a third party with a focus on ESG topics.

By 2023 this framework will be implemented in at least one country in which the Group operates as a pilot project. The results of this pilot will then be subject to further evaluation and fine-tuning to revise and improve it and produce an implementation plan for other Group countries in future years.

HEARING AID MANUFACTURERS

As a global leader, we only have relationships with the best manufacturers of hearing aids to ensure the safety and quality of the products we sell, as well as to support to our customers throughout the expected lifespan of the products in all the Countries in which we operate. By communicating with the managers of the various countries and markets, the Procurement & Supply Chain function is also able to select the most suitable suppliers, products, and technologies for the various markets.

Since the evolution of the technologies used in the design of hearing aids is an important factor in defining the ways of interacting with customers, the relation with hearing aid manufacturers plays a crucial role for our business. Indeed, we are engaged in monitoring suppliers' roadmaps so that technological innovation always allows us to maintain and further improve the already excellent level of experience offered to our customers. We also closely monitor the introduction and withdrawal phases of the different models to ensure that we can offer customer support throughout the product life cycle. Likewise, we share the knowledge and experience gained over years of presence on the market with manufacturers and collaborate with them to improve customers' overall hearing and use experience, providing useful guidelines for the development of future products.

INDIRECT GOODS AND SERVICES PURCHASING PROCESS

In 2021, we continued to implement a new single, harmonized model for the management of indirect purchases, purchase orders and contracts. Such model will be progressively adopted by all the countries of the Group and is based on the most recently developed in cloud-based ERP technologies, in order to provide all Amplifon people with the same purchasing experience, wherever they are and for whatever the type of merchandise and/or service they need to cater. At the same time, thanks to this harmonization, we will be able to constantly monitor indirect procurement and therefore assess with minimal effort our spending profile in the best possible way without delay, seizing all the opportunities for improvement and optimization we may identify.

SUPPLY CHAIN

Hearing aids and associated accessories distribution logistics vary in the different regions in which we operate. While in the United States it is operated directly by the suppliers to the members of Miracle-Ear, in EMEA, APAC and Canada the procurement process requires that, once the hearing profile and the customer's needs have been established, the store forwards a purchase request for the identified product to the local function responsible for procurement which, at a centralized level for each country, manages the order by initiating a stock transfer operation from a warehouse or by sending an order to a supplier, who will provide for sending the product directly to the central warehouse of the country or to the store. In the event that the identified product consists of an in-the-ear hearing aid or if it is necessary to use a custom-made ear plug, a silicone impression of the ear canal is taken and, once solidified, it is sent to the manufacturer who subsequently delivers the in-the-ear hearing aid directly to the store. In LATAM, following the completion of the first integration phase based on existing processes and instruments, a further step will be taken to implement the new process currently being rolled-out in EMEA and APAC.

Within the supply chain organization, Amplifon has the responsibility of stores and local warehouses stock planning, collecting and fulfilling store needs by arranging transport from warehouses to points of sale and vice versa, as well as receiving and managing local warehouses stocks. Moreover, Amplifon manages the transport of unsold products at the end of trial periods from points of sale to warehouses, the demand planning for hearing aid suppliers on a forecast basis, and the review of supply flows with a view to harmonizing, modernizing, and digitizing operational and administrative processes. Finally, in equally important product repair phase, we pay close attention to execution timescales to guarantee hearing aids are returned to customers as soon as possible.

The transport of all products, whether new, repaired or to be returned is carried out entirely by specialized external logistics companies selected by Amplifon or by the direct suppliers, depending on who is responsible for organizing the transport (usually the sending party). Together with the manufacturers, we are committed to optimizing logistics with the aim of reducing the related energy consumption, CO 2 emissions, and related costs. For this reason, some manufacturers have regional centers for the digital scanning of customers' ear impression, thus eliminating the need to transport the impressions to the production plants.

Furthermore, in 2021, the strengthening of the central and local supply chain function continued with the aim of ensuring the most advanced planning, storage, and distribution solutions for the sales network. This investment confirms the ambition to review the distribution logistics model, demand and stock planning, warehouse operations and transport logistics. Leveraging end-to-end integration with upstream suppliers and downstream points of sale, we intend to make the distribution chain more efficient, thanks to the introduction of new planning methodologies, new technologies for topping up store stocks automatically, and strong digitalization of processes.

5.4 CARING FOR THE ENVIRONMENT

As mentioned in our Code of Ethics and Sustainability Policy, we are committed to protecting the environment through specific initiatives, to monitoring the environmental footprint of our activities, both for the headquarters and the distribution network.

Even though our business model is based on retail activities and offering hearing care services, thus not including any industrial or production activities, at Amplifon we are sensitive and attentive to environmental topics and the challenges posed by climate change. We are aware that in order to effectively implement a forward-looking responsible business strategy, it is necessary to assess one's environmental impact and ensure maximum respect for the planet and future generations. For this reason, the very nature of our way of doing business aims at reducing the environmental impact of our activities to a minimum, increasingly favoring streamlining and dematerialization processes of the business, always in full compliance with applicable environmental regulations in force.

This commitment has also been implemented since 2019 through specific local initiatives to promote environmental responsibility under the "We Care" program. Among the initiatives promoted in recent years by Amplifon headquarters in various countries, also in order to raise awareness among employees on these topics, there are some pilot projects for increasing separate waste collection for recycling and reducing waste production, while other initiatives aim at promoting the reduction of food waste, single-use plastics and the responsible use of printers. For example, since 2019 at our Headquarters in Milan (Italy) a Food Giving activity has been promoted, with the support of the local NGO "Banco Alimentare" (Food Bank), with the aim to recover surplus food from the Company canteen and redistribute it to people in need. Over the years, local facility teams responsible for environmental topics have also implemented energy consumption optimization actions, such as for example on the occasion of the refurbishment of the central headquarters in Milan (Italy) or the progressive replacement of conventional lights in direct stores with LED lights.

ENERGY AND CLIMATE

In 2021, we continued to monitor the main environmental performance indicators of the headquarters and direct shops, with the aim of giving our stakeholders as complete a vision as possible. In 2021 our offices and direct stores in Italy, Germany, the Netherlands and partly in Australia, the United Kingdom, Portugal, and Switzerland, were supplied with electricity certified as coming from renewable sources by obtaining guarantees of origin, thereby allowing the saving of around 4,400 tons of CO2e (calculated with the Markedbased approach). Thanks to the Sustainability Plan, this practice will also be extended to other countries in coming years, thereby contributing to saving an increasing amount of CO2e.

Even in 2021 heating, air-conditioning, and lighting in our offices and stores still accounted for the largest share of the Group's energy consumption. During the year, approximately 30 GWh of electricity were consumed, broken down into consumption for direct stores (approximately 25 GWh, of which 28% came from renewable sources) and headquarters (approximately 5 GWh, of which 38% came from renewable sources). Other energy consumption was due to heating offices and stores, mainly relating to the consumption of natural gas and, to a lesser extent, fuel oil and district heating, as well as the consumption of fuels related to the company car fleet.

In spite of the fact that in 2021, in the light of the recovery of full business activity compared with the emergency periods of the previous year, a total increase in energy consumption of approx. 16% compared with 2020 was recorded (around 196 TJ compared with 168 TJ in 2020), there is an approx. 4% decrease in total consumption compared to the 2019 pre-pandemic level (205 TJ) and, above all, a positive trend in terms of energy intensity. In effect, in 2021 the ratio between total energy consumption and revenues was around 10.0%, a substantial decrease compared with 2020 (10.8%) and 2019 (11.8%).

OF PURCHASED ELECTRICITY COMES FROM RENEWABLE SOURCES ~30%

TONS OF CO2E AVOIDED BY ~4,400

PURCHASING ELECTRICITY FROM RENEWABLE SOURCES

ENERGY CONSUMPTION COMPARED TO PRE-PANDEMIC LEVEL -4%

ENERGY INTENSITY TOTAL ENERGY CONSUMPTION COMPARED WITH REVENUES (GJ/K€)

In line with what emerged from the materiality analysis and with the requests implied by the TCFD recommendations, we periodically monitor the environmental impact of our activities in terms of direct and indirect greenhouse gas emissions in accordance with universally-recognized specific metrics for the correct management of impacts on climate change. In addition to monitoring energy consumption, these also include the calculation of emissions caused directly by the Group's activities (Scope 1), namely resulting from energy consumption for heating the offices and direct stores, the fuel consumption by the Company car fleet and the refrigerant gas used by the air conditioning systems, as well as indirect emissions from the consumption of electricity and thermal energy bought from outside (Scope 2)32, as well as indirect emissions due to Company travel by employees (Scope 3, with special reference to category 3.6 of the GHG Protocol).

Specifically, in 2021 direct greenhouse gas emissions (Scope 1) stood at around 5.2 thousand tons of CO2e, indirect emissions (Scope 2) at around 8.4 thousand tons of CO2e (calculated in accordance with the Location-based approach, while in accordance with the Market-based approach these are around 6.6 thousand ton of CO2e), while emissions related to business travel (Scope 3) stood at around 1.8 thousand tons of CO2e.

GREENHOUSE GAS EMISSIONS IN 2021 (TON CO2e)

CIRCULARITY AND WASTE MANAGEMENT

Despite the low impact of our business activities in terms of resources consumption, we continued to ensure proper management of the waste produced in our business activities in order to assess possible reduction strategies, and since 2021 we have also been monitoring our water consumption. The quantity of waste produced by our headquarters, mainly paper, plastic, electrical equipment, and printer toner, which in 2021 amounted to approximately 301 tons (down by 2% compared with 2020), of which around 94% referred to non-hazardous waste and around 32% was reused or sent for

OF WASTE PRODUCED IN 2021 COMPARED TO 2020 -2%

^{32 -} As required by GRI Sustainability Reporting Standards, there are two different approaches for calculating Scope 2 indirect emissions. "Location-based" and "Market-based". The "Location-based" approach involves the use of average emission factors relating to specific nationally-produced electricity energy mixes. The "Market-based" approach involves the separation of electricity and thermal energy acquired from renewable sources and certified with guarantees of origin, as well as the issue of a national residual mix, where available, as an emission factor. The emission factors used and the related sources are described in the Note on methdology.

Looking atthe entire value chain, ourbusiness alsooffersusmanyopportunities in terms of reduction of waste connected to the use of our products. Thanks to the sale and use of rechargeable hearing aids, from 2018 to 2021 we contributed to saving approx. 131 million batteries that would otherwise have been used by customers, of which almost 57 million saved as a result of the rechargeable devices sold in 2021 alone34. As formalized in our Sustainability Plan, these positive impacts will become more and more substantial due to the increasingly widespread use of rechargeable solutions among our customers. Among the measures to promote circular economy, in addition to the initiatives launched in the headquarters, it should also be noted that some countries, including the Netherlands, are gradually providing shops with collection points for the batteries used by customers in their non-rechargeable hearing aids to ensure they are properly recycled.

ACTING RESPONSIBLY VALUE THE NEW ECO-FRIENDLY PACKAGING FOR AMPLIFON PRODUCTS

In 2021 we designed and launched in Spain (at the same time as the roll-out of APE) the new Cube All-in-One which contains all Amplifon-brand products, with a view to eco-sustainability. The packaging is made of 100% recyclable paper, which reduces the percentage of plastic components to a minimum to ensure the smooth operation of the product during its useful life. Given the limited presence of secondary materials, the Cube is totally recyclable and, in spite of being designed to be long-lasting in our customer's houses, it can be disposed of with paper waste. In addition, in accordance with the applicable legislation on environmental labeling, the packaging is marked with the recycling symbol and code, indicating how the entire packaging should be disposed of. The launch of the new eco-sustainable packaging will continue throughout 2022 and 2023, gradually involving almost all the countries in which Amplifon is present.

^{33 -} The quantity of water consumed in the offices and stores for civil use was estimated based on the water consumption of the HQ and reproportioned over the total number of employees.

^{34 -} The quantity of saved batteries is estimated on the basis of the number of rechargeable devices sold and in circulation, the average quantity of batteries used annually by a non-rechargeable device, and an average device's life of 5 years.

ANNEX

AMPLIFON'S SUSTAINABILITY TOPICS UNIVERSE

The table below illustrates the universe of 20 economic, environmental and social topics evaluated during Amplifon's 2021 materiality analysis. For every pillar or area of engagement, the sustainability topics subject to evaluation were listed, their materiality (evaluated in accordance with the double materiality principle, both by Top Management and internal and external stakeholders), as well as a description of the main contents of each topic.

Pillar / Area of commitment	Topic	Materiality
	Long-term resilience and profitability
Amplifon business	Sustainability strategic approach and governance
	Availability and accessibility to hearing care
	Innovation, digitalization and personalization of the customer experience
Product & Service Stewardship	Quality, reliability and safety of products and services
	Cybersecurity and data privacy
	Responsible marketing and sales practices
People Empowerment	Attraction and development of key resources
	Employees' health and safety
	Diversity, equity and inclusion
	People's welfare and engagement
	Awareness-raising and education on hearing well-being
Community Impact	Supporting the local communities
	Regulatory framework
	Ethical and responsible business conduct
	Waste management and circular economy
Ethical Behavior	Water management
	Energy efficiency and climate action
	Responsible management of the supply chain
	Logistics and distribution process optimization

Generate shared economic value and strengthen global leadership by ensuring long-term sustainable economic growth, through responsible and forward-looking management of financial, physical, intellectual, human, social, and relational assets
Integrate sustainability principles and areas of commitment into the Group's strategy, governance, and risk management, by promoting business initiatives in line with the Sustainability Plan's goals and with the market and regulatory sustainability trends
Facilitate hearing care accessibility and availability by investing in the expansion of a global distribution network and in the provision of innovative services to help to overcome social and physical barriers due to disabling hearing impairment
Invest in technology and increasingly innovative, engaging and digital hearing solutions and services, enhancing and personalizing the customer experience in the stores and outside, from the first contact to the after-sale
Guarantee the highest standards of quality while ensuring adequate reliability and safety of products and services offered to customers, leveraging the expertise of hearing care professionals, in full compliance with applicable regulations
Adopt practices and policies aimed at safeguarding IT security and protecting the personal and sensitive data provided by customers and all stakeholders, in line with the evolution of regulations and considering the increasing digitalization of the services offered
Promote responsible marketing and sales practices, ensuring transparent and reliable interactions with customers and stakeholders
To be an employer of choice and invest in excellence by attracting and developing the best talents, enhancing their potential, and encouraging their professional development, through training and leadership development programs and assignments within global projects
Adopt policies, practices and management systems aimed at ensuring a healthy and safe workplace for people involved in company activities, through ad hoc training plans and prevention activities in the field of health and safety
Ensure an inclusive working environment for all people, guarantee equal opportunities for all and protect diversity and minorities by fighting all forms of discrimination and moral or psychological harassment based on any characteristic of the human person
Guarantee the best working conditions, workers' rights, and people's well-being, in order to promote an engaging and stimulating working environment through internal communication, involvement activities and fair relationships with trade unions
Raise awareness and consciousness about the importance of hearing well-being and responsible listening, encouraging the prevention of noise pollution and fighting the stigma, while transforming the perception of hearing care and maximizing its individual and social benefits
Support the territories through local development initiatives and philanthropic activities aimed at involving communities, with particular reference to the most vulnerable ones, by providing knowledge and resources in order to generate a long-lasting sustainable social impact
Monitor the regulatory framework in order to ensure business operations to be fully compliant with national and international regulations on technical aspects of hearing aids, sales and distribution of hearing aids to the public (i.e., training and qualification of licensed professionals) and terms of reimbursement
Conduct business activities in accordance with the highest ethical and moral standards, actively opposing any kind of unethical, corruptive and anti-competitive practice and operating with honesty and integrity in all areas, including tax strategy
Manage the waste collection and disposal responsibly, adopting circular economy practices for the valorization of waste as a resource and the recovery of materials, as well as seizing opportunities in terms of waste reduction (e.g., through the promotion of rechargeable hearing aids)
Manage water resources efficiently within business operations by adopting policies and best practices that promote responsible water usage within offices and shops to limit water consumption

Pillar / Area of commitment Topic Materiality Description

Energy efficiency and climate action Promote energy efficiency initiatives and encourage the use of renewable energy in business activities, as well as implementing strategies to reduce greenhouse gas emissions to reduce the environmental impact and promote climate change mitigation and adaptation

Responsible management of the supply chain Integrate sustainability criteria (e.g., protection of human rights, working conditions, environmental practices) into supply chain management, through procurement processes that enable the traceability of supplies, and suppliers' assessment and selection

Logistics and distribution process optimization Increase the efficiency of the logistics-distribution model, from demand and stock planning to warehouse operations and transport logistics, with a view to optimizing the distribution chain and reducing energy consumption, emissions and costs

MAIN STAKEHOLDER ENGAGEMENT ACTIVITIES

The table below shows the main stakeholder engagement activities carried out in 2021. The activities are explained according to engagement channels used, any concerns raised, and Amplifon's response.

Stakeholder Type of engagement activity
Quantitative and qualitative market research (focus groups, one-to-one, telephone Hearing impaired and online interviews), usability tests, customer satisfaction surveys and customer experience feedback surveys (paper questionnaire, call center, e-mail, SMS)
Internal feedback sharing programs (One Amplifon, Leadership Touchpoint, Town hall, global functional conferences), Global Engagement Survey, "Your Voice", anytime and Employees continuous feedback in individual performance reviews, area meetings and store visits, Global Internal Communication Framework, updates on global projects and initiatives, Good Morning Amplifon, in-house newsletter, induction activities
Franchisees and agents35 Focus groups, Global Engagement Surveys, annual summits
Conference calls on results, participation in roadshows and industry conferences Shareholders, investors through one-to-one and group meetings with institutional investors (both equity and and financial community debt), company visits by analysts and investors, sharing of feedback with rating agencies (both credit and ESG) and sustainability-conscious investors
Business review meetings, discussion during the definition of terms and conditions for Hearing aid manufacturers36 new contracts, partnerships
One-to-one meetings, site visits, participation in speaking opportunities organized by Suppliers36 suppliers, partnerships
Dialog with institutions and participation in working groups, periodic consultations, Regulatory authorities and joint projects
Industry and consumer associations Focus groups, seminars, conferences, public presentations, and joint projects
Health care system Surveys, meetings with health agencies (EU, WHO)
Collaboration in research projects, university events, offers of internships and Headhunters and universities partnerships with universities
Media/ Press releases, conference calls, social media, media conferences, interviews, influencers participation in speaking opportunities

35 - Engagement with franchisees and agents (such as "autogestori" [self-managers] in Italy and Spain) takes place only at local level due to the specific features of the business in each country.

In addition to these activities, as explained in the Reading guide, since 2018 we have been engaging with certain categories of stakeholders for the prioritization of our material topics, in order to integrate their expectations with regard to Amplifon in this area (for more details, please refer to the "Materiality Analysis" section).

	Topics/concerns raised by stakeholders	Amplifon's response
difficulties	• Enhancing customer experience at each touchpoint with Amplifon, both physical and virtual • Obtaining a better understanding of products features and of the hearing solution selection process to reap the maximum benefit • Reducing the social stigma associated with hearing loss and providing a clear explanation of the consequences of untreated hearing loss • Helping influencers in supporting friends and relatives with hearing	• Continuous improvements to the Amplifon App in terms of usability and accessibility • Development of a new communication approach aimed at fighting stigma • Planning a set of improvement actions in terms of customer experience (products, services, physical and digital touchpoints)
	• Ensuring a One Employee Experience at Group level • Strengthening recruiting in key areas such as marketing, digital, CRM, and retail • Internal feedback • Professional growth and skills development • Recognition and reward • Quality of work, in terms of process simplification and harmonization	• Implementation of the You@Amplifon people management program • Strengthening of the global attraction and retention strategy and Employee Value Proposition • Digital Amplifon Global Onboarding program (DAGO) • Enhancement of the training offer for Talent Development and implementation of Ampli Academy • Leadership Development programs • New Performance Development Review process • Migration of HR processes on a single integrated cloud platform • Continuous improvement of Intranet functionality and roll-out in the main countries • Internal survey for updating the materiality analysis
	• Quality of work • Professional training and development	• Continuous improvement of the training offer • Recognition and rewards program
	• Transparency of financial information • Business performance • Possible impacts of regulatory changes on the achievement of strategic goals • Continuous updates on key strategic events (e.g., acquisitions, Amplifon Product Experience) • Progressive integration of sustainability into the business strategy	• Updates about the latest events in presentations to investors and during conference calls on results and in the so-called Capital Markets Day • Progressive improvement of the corporate website, including more information on sustainability • Setting of sustainability goals and targets
	• Market, industry, and technological trends • Possible impacts of regulatory changes • Amplifon multichannel eco-system development process	• Sharing of insights about market and customers • Sharing of insights about the Amplifon multichannel ecosystem development
	• Future development of the business • Adoption of new technologies	• Sharing of mutual interests, as well as information about commercial activities and customers • Joint projects (e.g., Amplifon App)
	• Promotion of quality, sustainability, and accessibility of hearing solutions in the industry	• Development of joint actions in collaboration with consumer and industry associations • Sharing of information on industry-specific issues
	• Raising awareness about hearing care • Increasing customer satisfaction	• Collaboration in research projects • Development of joint actions • Entry into EHIMA (European Hearing Instrument Manufacturers Association)
	• Need to improve accessibility of hearing solutions • Raising awareness about hearing care	• Participation in awareness-raising campaigns • Awareness-raising activities aimed at ENT professionals
activities	• Ensuring recruitment is based on clinical evidence • Bringing young people closer to the world of work with concrete	• Joint participation in research projects • Funding of scholarships • Global partnerships with student associations and universities
	• Up-to-date information on the business and business performance • New technologies for customers and employees • Amplifon's social role and raising of awareness among young people on hearing care	• Involvement of Top Management in speaking opportunities and interviews • Top Management positioning on social media • Participation in events (e.g., CSR & Social Innovation Fair) • Promotion of the "Ci Sentiamo Dopo" app for noise measurements

36 - Engagement with hearing aid manufacturers and major suppliers takes place mainly at Corporate level, as the relationship with these stakeholders is managed through the Procurement & Supply Chain function.

MAIN RISKS RELATED TO SUSTAINABILITY TOPICS

To provide full information for stakeholders, the table below summarizes the potential risks identified by Amplifon throughout the value chain, as well as the main management methods, with reference to the main material sustainability topics37, including those attributable to the aspects expressly referred to in

POTENTIAL RISKS ASSOCIATED WITH MATERIAL ESG TOPICS FOR AMPLIFON (1/2)

Material Issue	Potential risk	Description of the risk
Long-term resilience and profitability	Potential strategic and financial risks related to the performance of the company in relation to the economic and global context and to the uncertainties resulting from the effects of Covid-19	The evolution of the global context with regard to the main macro trends, with a special focus on the spread of Covid-19 and the related restrictive measures adopted by individual countries, could lead to a reduction in footfall at the points of sale and consequently in revenues and profitability
Sustainability strategic approach and governance	Potential strategic and non-conformity risks related to regulatory development on sustainability topics	Possible regulatory pressures on the reporting of sustainability commitment requirements on several specific topics (e.g., environmental) could lead to difficulties in alignment with sector laws, regulations, and best practices, as well as in achieving the sustainability goals, with possible effects on compliance and reputation
Availability and accessibility to hearing care	Potential financial risks related to the difficulties of customers in accessing and enjoying hearing care products and services on account of physical, social and digital barriers	The possible difficulty for older people in getting to points of sale, as well as the stigmatization of hearing care, could have an impact on the penetration of the products and services offered by Amplifon, thereby restricting availability and accessibility to hearing care
Innovation, digitalization and personalization of the customer experience	Potential strategic risks and loss of competitiveness related to the capacity to offer innovative, digital, technologically advanced services for customers, as well as customized to meet specific needs	Possible limitations in technological development, as well as in digitalization and customization of services offered, could have an impact on competitiveness, reducing the market share and customer satisfaction
Quality, reliability and safety of products and services	Potential non-conformity risks of products and services offered in terms of quality and reliability or in safety measures for customers	The possible non-conformity with specific rules on quality and product labeling, quality standards of the Amplifon App or the possible incorrect use of hearing devices by customers, could lead to possible risks for the health and safety of customers, financial penalties, and reputational damage
Cybersecurity and data privacy	Potential operating and non-conformity risks related to possible breaches in cybersecurity and data privacy systems with consequent losses of customer information and personal data	Non-conformity with legal requirements of cybersecurity and data privacy, as well as the continuous digitalization of services offered and work methods, could lead to IT system breaches, the theft and/ or loss of sensitive data with consequent operational damage and interruptions to business continuity, as well as possible financial (financial penalties) and reputational impacts
Responsible marketing and sales practices	Potential reputational risks related to imprecise and/or not fully transparent information to customers, both in marketing campaigns and relating to the instructions given by store staff	Communication to customers and potential customers that is not completely effective, clear, transparent, and reliable could lead to impacts in terms of reputation, credibility, and confidence
Attraction and development of key resources	Potential operating risks relating to the difficulties of identifying, attracting, retaining, and training qualified talents and key figures in points of sale, in the back-office and senior management roles, to run an effective business	The rapid growth of the reference industry constitutes a challenge to attracting and retaining talents and key figures. The lack of specific technical expertise in personnel both in stores and back office staff, could lead to inefficiencies in the Group's operations and in guaranteeing the pipeline of talents necessary for supporting business objectives. In addition, taking into consideration the growth of the business managerial figures may not be available to cope with the succession plans for key roles

^{37 -} Note that more details on the major risks identified in the 2021 ERM process (inherent to the "Long-term resilience and profitability", "Innovation, digitalization and customization of the customer experience", Cybersecurity and data privacy", "Attracting and nurturing key resources" and Regulatory framework" topics) because they are more closely connected to Amplifon's business, and are described in the Report on Operations as at December 31st, 2021 of the 2021 Annual Report ("Risk Management" section).

Material Issue Potential risk Description of the risk Response to the risk/Management methods38

• Benefits resulting from the actions implemented from 2020 on cost reduction, maximizing the cash generation and strengthening the financial structure
• The establishment and ongoing updating of specific regulation protocols for fighting the spread of Covid-19 consistent with the regulatory provisions and constantly update in relation to the development of the pandemic
• Supervisory activities for issues related to sustainability by the Control, Risks and Sustainability Committee

the analyses no material exposures to these types of ESG risks emerged.

• Activities coordinating and implementing sustainability-related projects by a dedicated team (IR & Sustainability)
• Continuous alignment between the IR & Sustainability team, all corporate functions, as well as the regions and countries, with regard to the reporting of sustainability, regulatory requirement and any projects
• Internal induction activities dedicated to the Top Management and corporate functions involved in sustainability reporting
• Continuous monitoring of the reaching of the Sustainability Plan goals and sharing with the Executive Leadership Team
• Offering of examinations, hearing tests and trials free of charge
• Investments in the expansion of the network
• Awareness-raising campaigns on the importance of hearing care to overcome stigma
• Introduction of digital products and services, technologically advanced and capable of interacting at any time with customers through the Amplifon App
• Intensification of services offered remotely
• Introduction of digital products and services, technologically advanced and capable of interacting at any time with customers through the Amplifon App
• Intensification of services offered remotely
• Specific training activities for hearing care professionals on products and services offered and on interaction with customers
• Close cooperation with hearing aid manufacturers
• Training of hearing care professionals on the correct use of products and the Amplifon App
• Monitoring of regulatory changes
• Conformity to local and regional laws and regulations relating to health and safety
• ISO certification and the introduction of procedures for adaptation to the new Medical Devices Regulation (EU) 2017/745
• Conformity with the general Regulation on data protection (General Data Protection Regulation, GDPR) in the EU countries in which Amplifon operates and to local rules in other geographical areas
• Establishment of an internal cybersecurity committee
• Investments in cybersecurity and IT security systems (e.g., multi-factor authentication, anti- phishing systems, blocking access to suspect internet sites, network protection)
• Strengthening the protection of the corporate network through control instruments with artificial intelligence
• Training and awareness-raising activities
• Training hearing care professions on the correct use of products and the Amplifon App
• Global guidelines for revising and approving marketing contents
• Amplifon 360 protocol for providing all major customers with information and insight during the customer journey
• Support for research in order to disseminate information based on clinical evidence

• Intensification of employer branding initiatives, partnerships with universities, internships, recruitment and talent attraction activities

• Upgrading of the training programs and platforms (Ampli Academy) and continuous investment in the training of hearing care professionals
• Introduction of talent mapping processes for the development of succession plans
• Expansion of the Leadership Program for professional development
• Implementation of the Performance Development Review (PDR)
• Recognition and investment in top performers and talents

38 - In addition to what has been reported, note that since 2018 Amplifon's Sustainability Policy constitutes a preliminary response in terms of commitment and the management of all material topics related risks.

POTENTIAL RISKS ASSOCIATED WITH MATERIAL ESG TOPICS FOR AMPLIFON (2/2)

Material Issue	Potential risk	Description of the risk
Employees' health and safety	Potential non-conformity and operating risks related to failure to comply with health and safety regulations for store employees and back-office staff	Non-conformity with health and safety regulations on workplace conditions (including in relation to the spread of Covid-19) could lead to financial penalties
Diversity, equity and inclusion	Potential non-conformity and reputational risks related to possible cases of discrimination for several categories of employees in the workplace, psychological violence and/or unequal treatment	Any discriminatory actions or moral or psychological violence in the workplace, or difficulties in guaranteeing equal opportunities for all and protecting diversity and minorities in certain countries, could lead to possible non-conformity and financial penalties, reputational damage and loss of confidence
People's welfare and engagement	Potential operating and reputational risks relating to the loss of talents through low retention and limited well-being and internal engagement activities, as well as potential risks of non-conformity to laws and regulations on correct working conditions	The possible incomplete effectiveness by the organization to cope with a changing situation, to listen and respond to the needs of employees in terms of internal well-being, as well as guaranteeing compliance with adequate working conditions for all, could lead to cases of non-conformity, reputational damage and loss of talents
Awareness-raising and education on hearing well-being	Potential reputational risks related to incomplete effectiveness of the awareness and communication programs (hearing care awareness-raising, education and prevention campaigns) as a result of stigmatization and social barriers	Awareness and communication programs that are not completely effective, credible, and engaging for potential customers and care givers, could lead to losses in credibility and confidence, reputational damage and an impact on the penetration of products and services offered by Amplifon
Supporting the local communities	Potential reputational risks related to a not fully effective dissemination of expertise and resources for local communities	Inadequate support for local communities through the development of resources and the dissemination of expertise could result in less benefit for the community in terms of social impact, and missed opportunity for Amplifon
Regulatory framework	Potential regulatory risks depending on the development of the regulatory framework in the reference markets in which the Company operates	A change in regulations (e.g., in reimbursement conditions, accessibility to the national health service, the role of ENT specialists and hearing care professions, the requirements for the sale of hearing equipment and related services) could have a direct effect on the market and therefore the performance of the Group
Ethical and responsible business conduct	Potential non-conformity and reputational risks related to cases of corruption, unfair competition or unethical business practices	The possible failure by employees to comply with legislation, the possibility that staff commit unlawful acts, corruption (in either the public or private sphere) or violate internal regulations, internal procedures or the Code of Ethics, could lead to financial penalties and bans or reputational damage
Waste management and circular economy	Potential risks of non-conformity with laws and regulations on the correct management of waste	Possible failure to comply with applicable regulations on the correct disposal, treatment, reuse and reduction of waste, also including those connected with the use of hearing devices, can lead to financial penalties
Energy efficiency and climate action40	Potential operating, financial, non conformity and reputational risks related to Group energy consumption and commitment in terms of the fight against climate change	Energy efficiency and emission reduction strategies that are not fully effective could lead not only to reputational damage, but also to increased operating costs and a greater environmental impact
Responsible management of the supply chain	Potential operating, financial, non conformity and reputational risks relating to failure to comply with minimum standards of ethical conduct along the supply chain	Standard and minimum requirements control strategies for suppliers that are not fully effective could lead to cases on non conformity with issues such as human rights, adequate working conditions and environmental standards, with consequent interruptions to business relations, sanctions and reputational damage

38 - In addition to what has been reported, note that since 2018 Amplifon's Sustainability Policy constitutes a preliminary response in terms of commitment and the management of all material topics related risks.

Material Issue Potential risk Description of the risk Response to the risk/Management methods38

committees, the identification of managers for this area and the implementation of local procedures • The establishment and ongoing updating of specific regulation protocols for the measures for fighting the spread of Covid-19 consistent with the regulatory provisions and constantly update in relation to the development of the pandemic • Code of Ethics and corporate culture programs • Sustainability Policy • Training, communication, and internal engagement activities • Launch of the 2021 edition of the Global Engagement Survey "Your Voice" • Membership of the UN Global Compact • Code of Ethics and corporate culture programs • Sustainability Policy • Training, communication, and internal engagement activities • Launch of the 2021 edition of the Global Engagement Survey "Your Voice" • Membership of the UN Global Compact • Smart-working program • Package of flexible benefits • Short and long-term incentive schemes • Implementation of a Global Press Book and country and corporate editorial meetings through the Weekly & Monthly Newsroom mechanism • Global guidelines for revising and approving marketing contents • Investments in an integrated multi-channel and communication strategy approach • Awareness-raising and education activities for the new generations in the "Listen Responsibly" program • Support for research in order to disseminate information based on clinical evidence • Launch of the "We Care" program and consequent improvement of the internal and external reporting and communication relating to local social initiatives • Support of the Amplifon Foundation, Miracle-Ear Foundation and GAES Solidaria Foundation • Specific local activities supporting local communities through ad hoc projects responding to individual needs (e.g., sponsorships, charitable donations, etc.) • Establishment of the Regulatory Affairs function • Continuous monitoring of regulatory changes and their evolution • Development and coordination of local action plans relating to any regulatory changes • Active participation in discussions, industry associations and institutions • Adoption of Model 231 in Italy and related supervisory, maintenance and updating activities • Group Anti-corruption Policy • Group Whistleblowing Policy and related reporting channels (being adopted by countries) • Code of Ethics and corporate culture programs • Sustainability Policy • Training and communication activities • Communication crisis management manual • Implementation of the Supplier Code of Conduct • Training delivered to local representatives on the reporting of environmental data • Adoption of the Sustainability Plan • Studying the measures and initiatives for reducing waste in offices and stores (e.g., through separate collection) • Progressive sale of rechargeable hearing devices to reduce the number of batteries • Membership of the UN Global Compact • Training delivered to local representatives on the reporting of environmental data39 • Adoption of the Sustainability Plan • Studying the measures and initiatives for energy efficiency in offices and stores (e.g., using LED lighting) • Progressive purchase of electricity from renewable sources certified by origin guarantees for offices and direct stores • Membership of the UN Global Compact

• Conformity with local and regional regulations on the health and safety of employees through the establishment of internal

• Acceptance of the Code of Ethics by suppliers through specific contractual clauses
• Subscription of the Sustainability Policy by direct suppliers
• Implementation of the Supplier Code of Conduct
• Definition of a new global framework for the evaluation of suppliers based on the main ESG risks
• Membership of the UN Global Compact
• 39 These initiatives, although not representing a real response to the risk in question, should be considered as preparatory for the implementation of the initiatives already identified as the responses to the risk that have not yet been implemented. The actual Sustainability Policy represents an initial formalization of the areas of engagement to oversee.
• 40 Note that more details on the main climate change related risks, identified through an Amplifon business model analysis based on the TCFD recommendations can be found in the second dedicated table and in the dedicated Annex "Content Index of the TCFD recommendations".

POTENTIAL CLIMATE CHANGE-RELATED RISKS AND OPPORTUNITIES

In order to identify the main climate-related risks presented in the table below, a preliminary analysis of the scenarios related to the effects of climate change which may potentially have an impact on the Group was conducted. According to various international sources (e.g., the International Energy Agency), a steep increase in the price of raw materials is predicted in the future (with reference to fossil fuels) and, as a result, electricity prices, as well as the strengthening of national and international regulations on energy efficiency and the mitigation of climate change. Taking Amplifon's business model into consideration, as long as no significant exposures to the risks associated with climate change are identified, the Company is committed to keep its oversight of these issues constant, continuing to monitor climate-related risks.

Potential risk related to climate change	Description of the risk	Type of risk in accordance with the TCFD recommendations
Potential risk of an increase in operating costs caused by the increase in energy procurement costs and the supply of raw materials, also as a result of emerging rules for the promotion of renewable resources	The increase in the cost of energy (also due to the effects of climate change and the transition of the market towards the use of renewable sources) and the growing requirements of energy efficiency (both under the scope of commercial operations and in the supply and distribution chains) could lead to a rise in operating costs the effect of which could also be due to a possible delay in the definition of renewable energy purchasing strategies and policies, energy efficiency and Group energy consumption control	Transition - Market
Potential risk of non-conformity with regulations relating to mitigation and adaptation to climate change	A possible non-specific strategy for mitigating Amplifon's impact on climate change, with the lack of specific goals for reducing carbon emissions, could lead to cases of non conformity with regulations, as well as potential financial sanctions and reputational damage	Transition - Policy
Potential market and reputational risks due to the increase in sector competitiveness in terms of technological innovation, as well as the growing awareness of customers, relating to minimizing the impacts on the climate of products and services offered	A market strategy not fully capable of integrating environmental and climate topics in the innovative products and services offered to customers (e.g., carbon-neutral products, sustainable packaging, sustainable layout of stores, etc.) could cause a loss in competitiveness in the sector, as well as reputational damage	Transition – Reputational Transition - Technological
Potential risk of interruption of the procurement and distribution chain caused, for example, by natural disasters due to the effects of climate change, which could compromise the regular supply to stores	Procurement methods that are not fully diversified could lead to an interruption in the supply and distribution chain due to exceptional, destructive natural events (e.g., water bombs) which, in addition to representing an additional cost, could comprise the regular sales of products	Physical - Acute Physical - Chronic

41 - These initiatives, although not representing a real response to the risk in question, should be considered as preparatory for the implementation of the initiatives already identified as the responses to the risk that have not yet been implemented. The actual Sustainability Policy represents an initial formalization of the areas of engagement to oversee.

Response to the risk/management methods	Potential opportunities
• Training delivered to local representatives on the reporting of environmental data41 • Studying the measures and initiatives for energy efficiency in offices and stores • Progressive purchase of electricity from renewable sources certified by origin guarantees for offices and direct stores	• Opportunities for minimizing energy consumption, emissions, and costs, with a consequent reduction in environmental impacts, through the optimization of procurement methods, stock the management and logistics-distribution process • Opportunities for using innovative, low emission solutions for logistics, with the consequent potential reduction of future costs following emerging regulatory requirements • Opportunities for promoting good environmental and behavioral practices with regard to suppliers • Activating management paths for the end of the life of the product (reuse/recovery), with a consequent potential reduction in future costs and/or delivery of incentives following emerging regulatory requirements
• Training and internal engagement activities • Induction sessions with Top Management and the main corporate functions • Monitoring sector and market macro-trends and regulatory development on climate change • Preparation of an annual Non-Financial Statement	• Opportunities for defining long-term strategies and goals in the fight against climate change • Opportunities for attracting new types of funding (green-social funding)

• First reporting exercise in line with the TCFD recommendations
• Sustainability Plan

In light of the Amplifon business model, this type of risk, although considered within the Risk Universe, is not currently considered to be applicable thanks to the ongoing technological innovation and collaboration with the major global manufacturers of hearing devices

In light of the Amplifon business model, this type of risk, although considered within the Risk Universe, is not currently considered to be applicable thanks to the diversification of the procurement methods and logistics-distribution process

PERFORMANCE INDICATORS

CORPORATE GOVERNANCE

COMPOSITION OF THE BOARD OF DIRECTORS42 AS AT DECEMBER 31ST, 2021

Role	Name	Executive	Independent43	C.C.R.S.44	C.R.N.45	Gender	Nationality Year	of birth	Year of first appointment	Attendance rate
Chairperson	Susan Carol Holland			•	•	F	Italian	1956	2001	100%
CEO	Enrico Vita	•				M	Italian	1969	2015	100%
Director	Andrea Casalini		•		•	M	Italian	1962	2016	100%
Director	Alessandro Cortesi46		•	•		M	Italian	1962	2016	100%
Director	Maurizio Costa		•		•	M	Italian	1948	2007	83,3%
Director	Laura Donnini		•	•		F	Italian	1963	2016	100%
Director	Maria Patrizia Grieco		•		•	F	Italian	1952	2016	100%
Director	Lorenzo Pozza		•	•		M	Italian	1966	2016	100%
Director	Giovanni Tamburi					M	Italian	1954	2013	100%

COMPOSITION OF THE BOARD OF STATUTORY AUDITORS47 AS AT DECEMBER 31ST, 2021

Role	Name
Chairperson	Raffaella Pagani48
Standing auditor	Patrizia Arienti
Standing auditor	Dario Righetti
Alternate auditor	Alessandro Grange48
Alternate auditor	Maria Venturini

42 - The current Board of Directors was appointed by the Shareholders' Meeting held on April 17th, 2019 and will remain in office until the approval of the financial statements as at December 31st, 2021. In 2021, the Board of Directors met six times, with an attendance rate of 98.3%.

43 - Directors who declare that they qualify as independent as defined under current law and in the Corporate Governance Code of Italian Stock Exchange.

• 44 C.C.R.S.: Members of the Risk, Control and Sustainability Committee. In 2021, the Risks, Control and Sustainability Committee met five times with an attendance rate of 95%.
• 45 C.R.N.: Members of the Remuneration and Appointments Committee. 46 - Director appointed from the minority list.
• 47 The current Board of Statutory Auditors was appointed at the Shareholders' Meeting held on April 23rd, 2021 and will remain in office until the approval of the financial statements as at December 31st, 2023.

48 - Members of the control body from the minority list.

MEMBERS OF THE RISK, CONTROL AND SUSTAINABILITY COMMITTEE AS AT DECEMBER 31ST, 2021

Role	Name	Attendance rate
Chairperson	Lorenzo Pozza	100%
Member	Susan Carol Holland	100%
Member	Alessandro Cortesi	80%
Member	Laura Donnini	100%

MEMBERS OF THE REMUNERATION AND APPOINTMENTS COMMITTEE AS AT DECEMBER 31ST, 2021

Role	Name	Attendance rate
Chairperson	Maurizio Costa	100%
Member	Susan Carol Holland	100%
Member	Andrea Casalini	100%
Member	Maria Patrizia Grieco	75%

MEMBERS OF THE RELATED-PARTY TRANSACTIONS COMMITTEE AS AT DECEMBER 31ST, 2021

Role	Name
Chairperson	Andrea Casalini
Member	Laura Donnini
Member	Alessandro Cortesi

COMPOSITION OF THE SUPERVISORY BOARD AS AT DECEMBER 31ST, 2021

Role	Name
Chairperson	Lorenzo Pozza
Member	Laura Donnini
Member	Laura Ferrara (Group Internal Audit & Risk Management Officer from February 1st, 2021)

LEAD INDIPENDENT DIRECTOR

Lorenzo Pozza

EXECUTIVE RESPONSIBLE FOR FINANCIAL REPORTING

Gabriele Galli

SECRETARY OF THE BOARD OF DIRECTORS

Federico Dal Poz (appointed on February 1st, 2021)

EXTERNAL AUDITORS

KPMG S.p.A.

ECONOMIC DISCLOSURES

ECONOMIC VALUE GENERATED AND DISTRIBUTED49

Direct economic value generated and distributed (thousands of euros)	2019	2020	2021
Economic value generated by the company	1,737,751	1,572,836	1,957,396
Revenues50	1,737,751	1,572,836	1,957,396
Economic value distributed by the company	1,455,249	1,262,977	1,613,835
Operating costs	792,026	697,828	832,793
To employees (wages and benefits)	562,996	493,493	639,033
To providers of capital	45,070	17,335	65,687
- of which dividends	30,939	-	49,356
- of which interest paid to providers of capital	14,131	17,335	16,331
To the Public Administration	53,564	52,728	72,460
- of which current income taxes	47,332	47,386	63,437
- of which other corporate taxes and penalties	6,233	5,342	9,023
To the community	1,593	1,593	3,862
- of which membership of associations	-	-	1,400
- of which charitable donations	-	-	2,045
- of which community sponsorships	-	-	227
- of which expenses for other business-related activities in favor of the community (e.g., events, universities, etc.)	-	-	190
Economic value retained by the Company	282,502	309,859	343,561

49 - It should be noted that the figures for 2019, 2020 and 2021 presented in the table "Economic value generated and distributed" are prepared in accordance with the IFRS 16 accounting standard. In addition, in line with what is reported in the Consolidated Financial Statements as of December 31st, 2021, the 2021 figures for the "Economic value generated and distributed" refer to the income statement in which the Elite business is classified as a discontinued operation.

50 - Revenues differ from the value reported in the Consolidated Financial Statements because they refer to revenues from sales and services plus other income.

DISTRIBUTION NETWORK BY COUNTRY AS AT DECEMBER 31ST, 2021

Country	Brand	Corporate shops	Shop-in-shops & corners	Franchisees
Italy	Amplifon	737	2.840	-
France	Amplifon	589	115	-
Spain	GAES	560	131	1
Germany	Amplifon	571	-	-
The Netherlands	Beter Horen	163	50	-
UK	Amplifon	105	36	-
Switzerland	Amplifon	100	-	-
Belgium	Amplifon	89	38	8
Hungary	Amplifon	77	-	-
Portugal	Minisom	66	100	-
Poland	Amplifon	77	-	-
Egypt	Amplifon	30	-	-
Israel	Medtechnica Orthophone	58	-	-
EMEA		3,222	3,310	9
USA	Miracle-Ear	206	-	1,325
Canada	Amplifon	73	-	-
Argentina	GAES	24	-	4
Chile	GAES	32	-	-
Colombia	GAES	11	-	2
Ecuador	GAES	19	-	4
Mexico	GAES	12	-	-
Panama	GAES	2	-	-
AMERICAS		379	-	1,335
Australia	Amplifon, Attune e Bay Audio	376	130	-
Nuova Zelanda	Bay Audiology & Dilworth	116	23	-
India	Amplifon	78	148	-
China	Amplifon	115	-	-
APAC		685	301	-
Amplifon Group		4,286	3,611	1,344

SOCIAL DISCLOSURES

EMPLOYEES51 BY PROFESSIONAL CATEGORY AND GEOGRAPHICAL AREA AS AT DECEMBER 31ST

		EMEA52			AMERICAS			APAC			CORPORATE			GROUP
Group Total (no. of employees)	2019	2020	2021	2019	2020	2021	2019	2020	2021	2019	2020	2021	2019	2020	2021
Hearing care professionals (qualified by law/certified)	3,746	3,726	3,759	234	246	386	822	932	1,150	0	0	0	4,802	4,904	5,295
Hearing care professionals (apprentices or equivalent)	480	421	421	9	17	129	0	10	39	0	0	0	489	448	589
Client advisors and other shop personnel	2,336	2,423	2,506	275	216	350	636	670	1,052	0	0	0	3,247	3,309	3,908
Area managers	219	249	219	20	18	27	46	42	78	0	0	0	285	309	324
Total field force	6,781	6,819	6,905	538	497	892	1,504	1,654	2,319	0	0	0	8,823		8,970 10,116
Executives	0	0	0	1	1	1	1	1	1	10	10	11	12	12	13
Directors	71	78	78	20	12	48	28	31	58	32	33	45	151	154	229
Managers	204	202	208	67	48	47	51	55	66	59	68	90	381	373	411
Professionals	925	958	905	217	282	366	437	454	445	49	62	102	1,628	1,756	1,818
Total back-office	1,200	1,238	1,191	305	343	462	517	541	570	150	173	248	2,172	2,295	2,471
Total employees	7,981	8,057	8,096	843	840	1,354	2,021	2,195	2,889	150	173		248 10,995 11,265 12,587

EMPLOYEES BY PROFESSIONAL CATEGORY AND GENDER AS AT DECEMBER 31ST

	2019		2020		2021
Group Total	No. of employees	%	No. of employees	%	No. of employees	%
Total men	3,141	28.6%	3,166	28.1%	3,469	27.6%
Total women	7,854	71.4%	8,099	71.9%	9,118	72.4%
Total employees	10,995	100.0%	11,265	100.0%	12,587	100.0%

52 - Note that back-office employees responsible for centralized management pertaining to the EMEA area are included in Corporate.

^{51 -} The figures for employees as at December 31st, 2020 and December 31st, 2021 include the employees of the company Otohub s.r.l. (Italy), in contrast to the 2019 figures, where this company was excluded from the reporting scope. In addition, note that the employee data as at December 31st, 2021 includes employees of Bay Audio Pty Ltd (Australia) even if this company, which became part of the Group in October 2021 is formally excluded from the 2021 reporting scope and is not included in the other performance indicators on health and safety, training and performance evaluation.

	2019		2020		2021
Field force	No. of employees	%	No. of employees	%	No. of employees	%
Total field force	8,823	80.2%	8,970	79.6%	10,116	80.4%
Men	2,217	20.2%	2,177	19.3%	2,357	18.7%
Women	6,606	60.1%	6,793	60.3%	7,759	61.7%
Hearing care professionals (qualified by law/certified)	4,802	43.7%	4,904	43.5%	5,295	42.1%
Men	1,557	14.2%	1,542	13.7%	1,638	13.0%
Women	3,245	29.5%	3,362	29.8%	3,657	29.1%
Hearing care professionals (apprentices or equivalent)	489	4.4%	448	4.0%	589	4.7%
Men	182	1.7%	174	1.5%	211	1.7%
Women	307	2.8%	274	2.4%	378	3.0%
Client advisors and other shop personnel	3,247	29.5%	3,309	29.4%	3,908	31.0%
Men	293	2.7%	253	2.2%	314	2.5%
Women	2,954	26.9%	3,056	27.1%	3,594	28.5%
Area managers	285	2.6%	309	2.7%	324	2.6%
Men	185	1.7%	208	1.8%	194	1.6%
Women	100	0.9%	101	0.9%	130	1.0%

	2019		2020		2021
Back office	No. of employees	%	No. of employees	%	No. of employees	%
Totale back office	2,172	19.8%	2,295	20.4%	2,471	19.6%
Men	924	8.4%	989	8.8%	1,112	8.8%
Donne	1,248	11.4%	1,306	11.6%	1,359	10.8%
Executives	12	0.1%	12	0.1%	13	0.1%
Men	11	0.1%	10	0.1%	11	0.1%
Women	1	0.0%	2	0.0%	2	0.0%
Directors	151	1.4%	154	1.4%	229	1.8%
Men	107	1.0%	106	0.9%	153	1.2%
Women	44	0.4%	48	0.4%	76	0.6%
Managers	381	3.5%	373	3.3%	411	3.3%
Men	196	1.8%	210	1.9%	229	1.8%
Women	185	1.7%	163	1.4%	182	1.5%
Professionals	1,628	14.8%	1,756	15.6%	1,818	14.4%
Men	610	5.5%	663	5.9%	719	5.7%
Women	1,018	9.3%	1,093	9.7%	1,099	8.7%

EMPLOYEES BY PROFESSIONAL CATEGORY AND AGE GROUP AS AT DECEMBER 31ST

	2019		2020		2021
Group Total	No. of employees	%	No. of employees	%	No. of employees	%
Total <30	2,532	23.0%	2,400	21.3%	2,707	21.5%
Total 30-50	6,088	55.4%	6,466	57.4%	7,208	57.3%
Total >50	2,375	21.6%	2,399	21.3%	2,672	21.2%
Total employees	10,995	100.0%	11,265	100.0%	12,587	100.0%

	2019		2020		2021
Field force	No. of employees	%	No. of employees	%	No. of employees	%
Total field force	8,823	80.2%	8,970	79.6%	10,116	80.4%
<30	2,170	19.7%	2,037	18.1%	2,327	18.5%
30-50	4,782	43.5%	5,045	44.8%	5,639	44.8%
>50	1,871	17.0%	1,888	16.8%	2,150	17.1%
Hearing care professionals (qualified by law/certified)	4,802	43.7%	4,904	43.5%	5,295	42.1%
<30	1,341	12.2%	1,263	11.2%	1,347	10.7%
30-50	2,710	24.6%	2,873	25.5%	3,106	24.7%
>50	751	6.8%	768	6.8%	842	6.7%
Hearing care professionals (apprentices or equivalent)	489	4.4%	448	4.0%	589	4.7%
<30	342	3.1%	301	2.7%	335	2.7%
30-50	127	1.2%	133	1.2%	199	1.6%
>50	20	0.2%	14	0.1%	55	0.4%
Client advisors and other shop personnel	3,247	29.5%	3,309	29.4%	3,908	31.0%
<30	479	4.4%	464	4.1%	632	5.0%
30-50	1,728	15.7%	1,812	16.1%	2,090	16.6%
>50	1,040	9.5%	1,033	9.2%	1,186	9.4%
Area managers	285	2.6%	309	2.7%	324	2.5%
<30	8	0.1%	9	0.1%	13	0.1%
30-50	217	2.0%	227	2.0%	244	1.9%
>50	60	0.5%	73	0.6%	67	0.5%

E-MARKET SDIR
CERTIFIED

ANNEX
ETHICAL BEHAVIOR • COMMUNITY IMPACT •
AMPLIFON: LISTENING AHEAD • PRODUCT & SERVICE STEWARDSHIP • PEOPLE EMPOWERMENT •
INTRODUCTION •
145

	2019		2020			2021
Back-office	No. of employees	%	No. of employees	%	No. of employees	%
Total back-office	2,172	19.8%	2,295	20.4%	2,471	19.6%
<30	362	3.3%	363	3.2%	380	3.0%
30-50	1,306	11.9%	1,421	12.6%	1,569	12.5%
>50	504	4.6%	511	4.5%	522	4.1%
Executives	12	0.1%	12	0.1%	13	0.1%
<30	0	0.0%	0	0.0%	0	0.0%
30-50	10	0.1%	8	0.1%	8	0.1%
>50	2	0.0%	4	0.0%	5	0.0%
Directors	151	1.4%	154	1.4%	229	1.8%
<30	0	0.0%	0	0.0%	2	0.0%
30-50	120	1.1%	125	1.1%	183	1.5%
>50	31	0.3%	29	0.3%	44	0.3%
Managers	381	3.5%	373	3.3%	411	3.3%
<30	12	0.1%	11	0.1%	9	0.1%
30-50	291	2.6%	301	2.7%	337	2.7%
>50	78	0.7%	61	0.5%	65	0.5%
Professionals	1,628	14.8%	1,756	15.6%	1,818	14.4%
<30	350	3.2%	352	3.1%	369	2.9%
30-50	885	8.0%	987	8.8%	1,041	8.3%
>50	393	3.6%	417	3.7%	408	3.2%

EMPLOYEES BY TYPE OF EMPLOYMENT CONTRACT, GENDER, AND GEOGRAPHICAL AREA AS AT DECEMBER 31ST

		EMEA			AMERICA			APAC			CORPORATE			GROUP
Group Total (no. of employees)	2019	2020	2021	2019	2020	2021	2019	2020	2021	2019	2020	2021	2019	2020	2021
Permanent contract	7,018	7,073	7,111	841	839	1,354	1,878	2,007	2,722	149	173	247		9,886 10,092 11,434
Men	1,947	1,955	1,937	228	233	375	534	560	678	89	107	151	2,798	2,855	3,141
Women	5,071	5,118	5,174	613	606	979	1,344	1,447	2,044	60	66	96	7,088	7,237	8,293
Fixed term contract	963	984	985	2	1	0	143	188	167	1	0	1	1,109	1,173	1,153
Men	328	302	302	2	0	0	13	9	26	0	0	0	343	311	328
Women	635	682	683	0	1	0	130	179	141	1	0	1	766	862	825
Total employees	7,981	8,057	8,096	843	840	1,354	2,021	2,195	2,889	150	173		248 10,995 11,265 12,587

EMPLOYEES BY TYPE OF EMPLOYMENT AND GENDER AS AT DECEMBER 31ST

Group Total (no. of employees)	2019	2020	2021
Full-time	7,782	8,224	9,197
Men	2,726	2,816	3,043
Women	5,056	5,408	6,154
Part-time	3,213	3,041	3,390
Men	415	350	426
Women	2,798	2,691	2,964
Total employees	10,995	11,265	12,587

WORK-RELATED INJURY RATES⁵³

Group Total	2019	2020	2021
Number of fatalities due to accidents at work	0	0	0
Number of high-consequence work-related injuries	1	0	0
Total number of recordable work-related injuries	103	76	139
Total worked hours	16,795,749	15,762,658	18,011,703
Rate of high-consequence work-related injuries	0.06	0	0
Rate of total recordable work-related injuries	6.13	4.82	7.72
Number of cases of occupational illnesses recorded	7	4	11

53 - The figures relating to work-related injury rates in 2020 include the 11 employees of the company Otohub s.r.l. (Italy), in contrast to the 2019 and 2019 figures, where this company was excluded from the reporting scope. More details on how injury rates are calculated can be found in the Note on Methodology.

TOTAL HOURS OF TRAINING AND HOURS PRO CAPITA DELIVERED TO EMPLOYEES BY PROFESSIONAL CATEGORY AND GENDER54

	2019		2020		2021
Group Total	Total training hours	Average training hours	Total training hours	Average training hours	Total training hours (Group Total)	Average training hours (Group Total)
Hearing care professionals (qualified by law/certified)	156,919	32.7	104,288	21.3	156,427	32.6
Hearing care professionals (apprentices or equivalent)	42,962	87.9	50,438	112.6	34,480	78.7
Client advisors and other shop personnel	78,392	24.1	57,711	17.4	82,748	24.8
Area managers	6,480	22.7	5,690	18.4	16,787	28.9
Total field force	284,753	32.3	218,127	24.3	290,441	31.8
Executives	195	16.3	28	2.3	287	19.1
Directors	2,547	16.9	1,481	9.7	4,300	25.4
Managers	7,293	19.1	5,314	14.3	13,070	36.4
Professionals	27,914	17.1	22,736	13.0	32,503	21.3
Total back-office	37,948	17.5	29,559	12.9	50,160	24.2
Total employees	322,701	29.3	247,686	22.0	340,601	30.4
Men	94,937	30.2	68,588	21.7	104,754	32.6
Women	227,764	29.0	179,098	22.1	235,847	29.5

PERCENTAGE OF EMPLOYEES RECEIVING A PERFORMANCE REVIEW BY PROFESSIONAL CATEGORY AND GENDER55

	2019		2020		2021
Group Total	No. of employees	%	No. of employees	%	No. of employees	%
Hearing care professionals (qualified by law/certified)	3,272	68.1%	4,252	86.7%	4,634	88.8%
Hearing care professionals (apprentices or equivalent)	231	47.2%	236	52.7%	357	63.9%
Client advisors and other shop personnel	2,493	76.8%	3,016	91.1%	3,119	88.2%
Area managers	271	95.1%	274	88.7%	271	87.4%
Total field force	6,267	71.0%	7,778	86.7%	8,381	87.1%
Executives	11	91.7%	12	100.0%	13	100.0%
Directors	124	82.1%	136	89.5%	191	86.8%
Managers	321	84.3%	321	86.3%	353	86.7%
Professionals	1,304	80.1%	1,303	74.5%	1,517	85.9%
Total back-office	1,760	81.0%	1,772	77.6%	2,074	86.2%
Total employees	8,027	73.0%	9,550	84.9%	10,455	86.9%
Men	2,492	79.3%	2,557	81.0%	2,797	83.4%
Women	5,535	70.5%	6,993	86.4%	7,658	88.3%

54 - The figures relating to training do not include the 11 employees of the company Otohub s.r.l. (Italy), Audibel s.r.l. (Italy) and Bay Audio Pty Ltd (Australia), as well as Amplifon Middle East SAE (Egypt), Medtechnica Ortophone Ltd (Israel), Attune Hearing Pty Ltd (Australia) and the companies operating in China, as the related integration process is still in progress.

55 - The performance review is carried out based on the results achieved in the previous year, and consequently the related figures are reported in the reporting period of this Non-financial Statement. The figures relating to performance reviews do not include the 11 employees of the company Otohub s.r.l. (Italy).

ENERGY CONSUMPTION WITHIN THE ORGANIZATION

			HEADQUARTERS			DIRECT STORES			GROUP
Energy consumptions by type	u.m.	2019	2020	2021	2019	2020	2021	2019	2020	2021
Direct energy consumption from non-renewable sources	GJ	68,123	46,969	63,558	18,884	21,095	19,492	87,008	68,064	83,050
	GJ	4,052	4,843	6,376	17,757	19,898	18,844	21,809	24,741	25,220
Natural gas	m3	108,532	122,204	160,543	475,653	502,094	474,485	584,185	624,298	635,028
Fuel oil	GJ	120	109	63	1,127	1,197	648	1,247	1,306	711
	Litri	3,236	2,928	1,687	30,399	32,294	17,487	33,635	35,222	19,174
Diesel (car fleet - HQs only)	GJ	43,948	25,981	37,479	-	-	-	43,948	25,981	37,479
	Litri	1,147,960	678,672	974,979	-	-		- 1,147,960	678,672	974,979
Petrol (car fleet - HQs only)	GJ	20,004	16,036	19,640	-	-	-	20,004	16,036	19,640
	Litri	578,435	464,208	563,302	-	-	-	578,435	464,208	563,302
Indirect energy consumption	GJ	24,617	20,302	22,804	93,010	80,024	89,658	117,627	100,326	112,462
Electricity purchased from	GJ	7,370	3,713	6,722	37,114	22,985	25,155	44,484	26,698	31,877
renewable sources	MWh-e	2,047	1,031	1,867	10,310	6,385	6,987	12,357	7,416	8,855
Electricity purchased from	GJ	12,040	12,697	10,949	55,846	56,963	64,308	67,886	69,660	75,257
non-renewable sources	MWh-e	3,344	3,527	3,041	15,513	15,823	17,863	18,857	19,350	20,904
District heating	GJ	5,207	3,892	5,037	50	76	195	5,257	3,968	5,232
	MWh-t	1,446	1,081	1,399	14	21	54	1,460	1,102	1,453
Electricity (car fleet - HQs only)57	GJ	-	-	96	-	-		-	-	96
	MWh-e	-	-	27	-	-		-	-	27
Total energy consumption	GJ	92,740	67,271	83,362	111,894	101,119	109,150	204,635	168,390	195,512

GREENHOUSE GAS EMISSIONS

Direct emissions – Scope 1 (tons of CO2e)	2019	2020	2021
From fuels used for the car fleet	4,736	2,839	3,741
From fuels used for heating in headquarters	229	255	329
From fuels used for heating in direct stores	1,043	1,098	1,006
From refrigerant gases used for cooling systems in headquarters and stores	271	143	155
Total	6,279	4,335	5,231

• 56 More details about the calculation methods, any estimates and the conversion and emission factors used can be found in the Note on methodology.
• 57 It should be noted that the total energy consumption for the year 2021 also includes the electricity consumption of the company car fleet and that, following an improvement in the data collection process, such consumption was also reconstructed for the years 2019 and 2020, respectively 1.4 MWh-e (5 GJ) and 17.3 MWh-e (62 GJ).

		ANNEX
		ETHICAL BEHAVIOR •
		COMMUNITY IMPACT •
		AMPLIFON: LISTENING AHEAD • PRODUCT & SERVICE STEWARDSHIP • PEOPLE EMPOWERMENT •
		INTRODUCTION •
	149

Indirect emissions – Scope 2 (tons of CO2e)	2019	2020	2021
From electricity purchased for headquarters (Location-based)	2,063	1,634	1,512
From electricity purchased for headquarters (Market-based)	1,732	1,577	1,165
From electricity purchased for direct stores (Location-based)	8,550	7,065	6,596
From electricity purchased for direct stores (Market-based)	4,983	4,863	5,162
From electricity purchased for the car fleet (Location-based)	-	-	11
From electricity purchased for the car fleet (Market-based)	-	-	13
From district heating for headquarters	255	187	243
From district heating for direct stores	2	4	30
Total (Location-based)	10,870	8,890	8,392
Total (Market-based)	6,972	6,631	6,613

Other indirect emissions – Scope 3 (tons of CO2e)	2019	2020	2021
From business travel by airplane58	4,624	925	1,588
From business travel by train	115	50	121
From business travel by car (rental)	131	19	124
Total	4,871	994	1,833

WASTE GENERATED AND DISPOSED WITHIN THE HEADQUARTERS59

Waste generated by category (kilograms)	2019	2020	2021
Hazardous waste	43,146	20,350	19,147
Electrical and electronic equipment		14,617	18,964
Printer toner		103	56
Other waste		5,630	127
of which reused or recovered (%)			60%
Non-hazardous waste	333,301	288,333	282,270
Paper		140,849	121,966
Plastic		20,445	16,209
Organic fraction		13,599	26,089
Electrical and electronic equipment		1,858	4,425
Printer toner		890	2,631
Other waste		110,692	110,950
of which reused or recovered (%)			30%
Total	376,447	308,683	301,417
of which reused or recovered (%)			32%

^{58 -} Since 2019, emissions caused by air travel have been monitored by distinguishing between the different classes of flights, i.e. between Economy, Premium Economy, Business and First Class, for which different emission factors have been applied.

^{59 -} The figures relating to waste generated do not include the headquarters of Germany and Poland, as this data could not be obtained. The breakdown of waste by category is available only from 2020 onwards.

NOTE ON METHODOLOGY

IThis Sustainability Report (the "Report") constitutes Amplifon's Consolidated Non-Financial Statement (the "Non-Financial Statement") drawn up in accordance with Articles 3 and 4 of Legislative Decree no. 254 of December 31, 2016 ("L.D. 254/2016" or the "Decree") and subsequent amendments or additions thereto in implementation of Directive 2014/95/EU. The Group made up of Amplifon S.p.A. (the "Parent Company") and its subsidiaries (collectively "Amplifon", "Group" or "Company") falls within the scope of application of the Decree, and therefore this document sets out the main policies applied by the company, the management models, the main activities carried out and the results achieved by the Group during 2021 in relation to the topics expressly cited by the Decree (environmental, social, employee matters, active and passive anti-corruption and respect for human rights), as well as the main identified risks related to the above-mentioned topics.

The content of the Report was prepared on the basis of the results of the materiality analysis carried out in 2021 and validated by the Risk, Control and Sustainability Committee and the Board of Directors in December 2021, which made it possible to identify the main ESG aspects considered to be material both for the Group and for its stakeholders. The definition of the content of the Report and the related indicators was based on the principles of materiality, stakeholder inclusion, completeness of data and the sustainability context of the Group. With regard to the quality of the reported information and indicators, the principles of accuracy, balance, clarity, comparability, reliability and timeliness were followed. Each material topic is related to a specific area of sustainability commitment defined by the Group's Sustainability Policy, in order to facilitate the understanding of the progress made by Amplifon in each of the four areas of commitment.

With regard to the topics expressly referred to by Legislative Decree 254/2016, and in relation to the results of the materiality analysis, note that:

• • The aspects relating to respect for human rights are addressed by the Group in the ethical and responsible management of relations with its employees, collaborators and suppliers, in accordance with the principles and values set out in the Code of Ethics and the Group's Sustainability Policy and in full compliance with the Universal Declaration of Human Rights and the International Labor Organization Conventions on fundamental human rights, as well as in line with the UN Global Compact Principles;
• • Taking into consideration the specific business model and lack of any type of production activity, Amplifon's activitiesdonotinvolve significantwater consumption,therefore the "Watermanagement" topic is not material. However, with a view to transparency for stakeholders, this Report includes an estimate of the Group water consumption based on the water consumption of the HQ and reproportioned according to the number of employees;
• • The "Waste management and circular economy" topic is dealt with in terms of the Group's commitment to the reduction of waste and their reuse, also reporting the quantity of waste produced by the head offices, even if this is hardly significant in the light of the Amplifon business model;
• • The aspects relating to the "Energy efficiency and climate action" topic are applied by Amplifon in the Group's efforts for greater energy efficiency in our business activities, as well as reporting the main greenhouse gas emissions produced by the Group. Also note that Amplifon, as it emerged from the analyses conducted during the first reporting exercise in accordance with the recommendation of the Task Force on Climate-related Financial Disclosures (TCFD) and taking into consideration our activities and business model, does not have any significant exposure to environmental risks, specifically climate change related;
• • The aspect of taxes, from this year included in the subject "Ethical and responsible business conduct", is dealt with by providing a qualitative description of Amplifon's tax strategy.

The 2021 Non-Financial Statement has been prepared according to the "GRI Sustainability Reporting Standards" published in 2016 by the Global Reporting Initiative (GRI), based on the "in accordance

– core" option. It should also be noted that as regards GRI Standards 403 (Occupational Health and Safety) and 306 (Waste), Amplifon has adopted the most up-to-date versions issued in 2018 and 2020 respectively. Annexed to this document is the table of GRI Standards which serves as an aid to navigation (GRI Content Index).

Consistent with one of the two options provided for by Article 5 of the Decree, this Non-Financial Statement constitutes a separate report. However, as mentioned in the text of this document through specific notes, more details about some policies, management models and main identified risks are also included in the Report on Operations as at December 31st, 2021 of the 2021 Annual Report, in the Report on Corporate Governance and Ownership Structure at December 31st, 2021, and in the Remuneration Report 2022.

The Non-Financial Statement is published annually. The Non-Financial Statement is also available on the Group's corporate website, in the Sustainability section.

UN GLOBAL COMPACT

Following the signing of the United Nations Global Compact in December 2021, this Sustainability Report also represents the initial Communication on Progress (COP) concerning the activities carried out and the progress achieved by Amplifon with regard to the compliance, application and promotion of the Global Compact Ten Principles relating to respecting human and workers' rights, safeguarding the environment and the fight against corruption. The annex to the document contains a correlation table between the contents of this Report and the UN Global Compact Ten Principles (Content index of the Ten Principles of the United Nations Global Compact).

EUROPEAN TAXONOMY

Regulation (EU) 2020/852 of the European Parliament and Council ("The Regulation on EU Taxonomy"), proposed under the scope of the action plan of the European Commission for financing sustainable growth (going back to March 2018) has the goal of redirecting capital flows to boost sustainable and inclusive growth. This Regulation provides businesses and investors with uniform criteria for the classification of economic assets as "eco-sustainable", namely capable of substantially contributing to the environmental goals of the EU pursuant to Article 9 of the Regulation. Article 8 requires businesses subjectto the Directive on the communication of non-financial information to disclose how and to what extent their activities are associated with eco-sustainable economic activities, specifically indicating the percentage of the turnover, capital expenditure and operating costs associated with the activities covered by EU Taxonomy, namely "eligible" in accordance with the conditions of eco-sustainability of economic activities60 indicated by the Commission and "aligned" with the technical screening criteria established by same.

In accordance with Article 8 of the Regulation and related delegated acts, in 2021 Amplifon undertook a preliminary evaluation exercise concerning the eligibility and alignment of its own business activities with EU Taxonomy. Based on the conditions of the Regulation, the technical screening criteria established by the Commission and the sectors included in the Annexes of the delegated act relating to the first two goals of the EU Taxonomy (mitigation of climate change and adaptation to climate change), and taking Amplifon's business model into consideration, note that for 2021 no materiallyrelevant business activities emerged that could be deemed "eligible" in relation to the conditions of the Regulation relating to the first two goals. In spite of this, Amplifon is committed to actively monitor future developments in this area with special reference to the delegated acts and related technical screening criteria which will be published for the other four goals.

^{60 -} The eco-sustainable conditions of economic activities include: 1) contributing in a substantial way to achieving one or more of the six environmental goals pursuant to Article 9 of the Regulation; 2) not causing significant damage to any of the objectives in conformity with Article 17 of same; 3) being conducted in compliance with the minimum safeguarding social guarantees set out in Article 18; 4) conforming with the technical screening criteria established by the Commission through delegated acts.

REPORTING SCOPE

To the extent necessary to ensure an understanding of the company's activity, performance and results, as well as its impacts in relation to the main non-financial topics, this document describes the sustainability initiatives and the main results in terms of performance achieved during the financial year 2021 (reporting period: from January 1st, 2021 to December 31st, 2021). If available, for comparative purposes and in order to allow an assessment of the performance trends for the Group's activities, the data for the previous two financial years are also given in the "Performance indicators" section of the Annex. Where relevant, information is also included about initiatives undertaken in previous years but applicable in 2021, as well as events of particular interest for 2022 already known at the date of completion of this Non-Financial Statement.

The reporting scope for economic and non-financial information is the same as for the Consolidated Financial Statements, and therefore covers the companies belonging to the Amplifon Group as at December 31st, 2021 consolidated using the line-by-line method within the Group's 2021 Consolidated Financial Statements. However, while this provides a true understanding of the Group's activities, it should be noted that:

• • Amplifon Cell (Malta), Amplifon South America Holding LTDA (Brazil), Amplifon Rete (Italy), Otohub Australasia Pty Ltd (Australia) and Otohub Unit Trust (Australia) are not included in the reporting scope inasmuch as they are either companies in the process of liquidation, or non-operational companies, or companies with no associated employees or facilities such as offices or points of sale;
• • The new company Bay Audio Pty Ltd (Australia) is not included in the 2021 reporting scope because it joined the scope of consolidation in October 2021. However, in order to provide information that is as complete as possible, the Group total headcount information in this document includes the employees of the above-mentioned company as at December 31st, 2021;
• • In keeping with previous reporting periods, the scope of information and data related to environmental aspects (energy consumption, greenhouse gas emissions, waste disposal, water) only includes sites, offices and those stores that are directly operated by the Group, excluding stores that are not directly operated by Amplifon. Furthermore, Amplifon Middle East SAE (Egypt), a company which, due to its dimensions does not have an effect on a general understanding of Amplifon's environmental impact is not included in the scope of environmental data for 2021.

In conformity with the reporting standard used and in accordance with the provision of Legislative Decree 254/16, these and any other minor scope limitations are expressly indicated in the document, in correspondence with the numerical tables and the GRI Content index. The ownership structure has not undergone significant changes in the reporting period. With regard to the scope, note that:

• • On April 12th, 2021, the project for redefining the company structure approved by the Board of Directors on March 3rd, 2021 was implemented. It involved the separation of the business unit for operating activities for Italy (Amplifon Italia S.r.l.) as a company whose share capital is entirely owned by Amplifon S.p.A.;
• • In the fourth quarter of 2021, the effective liquidation of Elite Hearing Network, Inc. in the United States took place, in line with the Group's customer-centric strategy aimed at offering the best customer proposition directly to the final customer.

For any further information regarding changes in the Group's scope and ownership structure during the year, please refer to the Report on Operations as at December 31st of the 2021 Annual Report and the Report on Corporate Governance and Ownership Structure at December 31st, 2021.

REPORTING PROCESS AND CALCULATION CRITERIA

The definition of the content of the 2021 Non-Financial Statement involved all the key Company functions, who worked in close collaboration and under the coordination of the Investor Relations & Sustainability team.

The performance indicators were selected on the basis of the materiality analysis and gathered according to a process of data and information collection, aggregation and communication at Group level, tracked in a specific non-financial reporting Manual aimed at standardizing the process of nonfinancial data collection and validation.

To obtain a true representation of performance and ensure the reliability of the data, the use of estimates has been limited as far as possible. Where present, these are based on the best available methodologies and suitably highlighted.

With regard to the calculation criteria:

• • For the environmental data, conservative estimates have been used where data is not available. In particular, with regard to consumption by direct stores, where data was not available at the time of the completion of the document, the consumption has been estimated based on the average consumption of other stores in the same country, weighted, where possible, in proportion to the surface areas of the stores concerned;
• • Data on electricity from renewable sources includes self-produced energy from renewable sources, if any, and the energy purchased from the grid and certified as coming from renewable sources according to the instruments envisaged by the different regulatory frameworks;
• • Emissions have been calculated in terms of CO2 equivalent using the following emission factors:
• • Direct (Scope I) emissions: for emissions connected with heating, air-conditioning refrigerant gases and the company's car fleet, the emission factors taken from the UK Department for Environment, Food & Rural Affairs (Defra) database have been used for 2019, 2020 and 2021;
• • Indirect (Scope II) emissions: for electricity purchased from the national grid, the emission factors related to the different countries in which Amplifon operates were used for the Location-based approach, particularly those developed by Terna ("Terna international comparisons") with reference to the 2017 and 2018 data, and by the International Energy Agency (IEA) for 2021. With regards to the Market-based approach, the Residual Mix factors published by the Association of Issuing Bodies in 2018 and 2019 have been used for European countries, while the factors published by the Center for Resource Solutions ("Green-e Energy Residual Mix Emissions Rates" and related updates for 2018, 2019 and 2020), by the International Energy Agency (IEA) e by the Institute for Global Environmental Strategies (IGES), in the latest version available, have been used for the other countries. Finally, for the calculation of emissions related to district heating, the emission factor developed by Defra for natural gas production has been used;
• • Indirect (Scope III) emissions: for emissions connected with business travel by air, train and car rental (Category 3.6 of the GHG Protocol), the emission factors taken from the Defra databases have been used for 2019, 2020 and 2021.
• • For the calculation of the total weight of hazardous waste, the legislative frameworks of the individual countries have been taken into consideration. Non-hazardous waste is typically waste deriving from office activities carried out at headquarters.
• • The indices relating to health and safety, i.e., the injury rates of total recordable work-related injuries and high-consequence work-related injuries, refer to employees only and have been calculated in accordance with the provisions of the GRI Sustainability Reporting Standards, namely as a ratio between the number of injuries and the hours worked, using a multiplier of 1,000,000.

APPROVAL AND ASSURANCE

This Statement was presented for review and evaluation by the Risk, Control and Sustainability Committee on February 24th, 2022 and subsequently approved by the Board of Directors of Amplifon S.p.A. on March 3rd, 2022.

This Statement has been subjected to a limited assurance engagement, in accordance with the criteria indicated by ISAE 3000 (Revised), by KPMG S.p.A., which in a separate report makes a declaration regarding the conformity of the information provided pursuant to Article 3, paragraph 10 of Legislative Decree no. 254/2016. The audit was conducted in accordance with the procedures outlined in the "External Auditors' Report" annexed to this document.

CONTACTS

For any information relating to Amplifon's Sustainability Report, please use the following contact details:

Amplifon S.p.A.

Registered office: Via Ripamonti 133, 20141 Milan (Italy) Email: ir@amplifon.com

GRI CONTENT INDEX

The following table shows a reconciliation between Amplifon's material topics, the GRI Standards reported on in this document and the areas referred to in Legislative Decree no. 254/2016. Also reported are the entities capable of producing an impact with respect to each topic, both internal and external to the Group (material topic boundary), as well as any boundary limitations in the reporting of topics, without compromising the representativeness of the disclosure with respect to what is required by Legislative Decree no. 254/2016.

Material topics	GRI Standards	Scopes of Legislative Decree 254/2016
Long-term resilience and profitability	GRI 201 Economic performance (2016)	-
Sustainability strategic approach and governance	-	-
Availability and accessibility to hearing care	-	Social aspects
Innovation, digitalization and personalization of the customer experience	-	-
Quality, reliability and safety of products and services	GRI 416 Customer health and safety (2016)	Social aspects
Cybersecurity and data privacy	GRI 418 Customer privacy (2016)	Social aspects
Responsible marketing and sales practices	GRI 417 Marketing and labeling (2016)	Social aspects
Attraction and development of key resources	GRI 404 Training and education (2016)	Personnel management
Employees' health and safety	GRI 403 Occupational health and safety (2018)	Personnel management
Diversity, equity and inclusion	GRI 405 Diversity and equal opportunities (2016)	Personnel management and respecting human rights
People's welfare and engagement	GRI 401 Employment (2016)	Personnel management
Awareness-raising and education on hearing well-being	-	Social aspects
Supporting the local communities	-	Social aspects
Regulatory framework	GRI 415 Public Policy (2016)
	GRI 419 Socioeconomic compliance (2016)
	GRI 205 Anti-corruption (2016)	Fight against corruption
Ethical and responsible business conduct	GRI 206 Anti-competitive behavior (2016)	Social aspects
	GRI 307 Environmental compliance (2016)	Environmental aspects
Waste management and circular economy	GRI 306 Waste (2020)	Environmental aspects
Energy efficiency and climate action	GRI 302 Energy (2016)	Environmental aspects
	GRI 305 Emissions (2016)	Environmental aspects
Responsible management of the supply chain		Environmental and social aspects and respecting human rights

	SCOPE OF MATERIAL TOPICS	SCOPE LIMITATIONS
Internal	External	Internal	External61
Group	-	Bay Audio Pty Ltd (Australia) - excluded from reporting
Group	- -	-
Group	- -	-
Group	- -	-
Group	Manufacturers of hearing equipment; franchisees; - corporate shops on commission		Partial cover for manufacturers
Group	- -	-
Group	Manufacturers of hearing equipment; franchisees; - corporate shops on commission		Partial cover for manufacturers
Group	Franchisee; corporate shops on commission reporting	Otohub s.r.l. (Italy), Audibel s.r.l. (Italy) and Bay Audio Pty Ltd (Australia) excluded from the	No cover for the franchisees
Group	Franchisee; corporate shops on commission	Bay Audio Pty Ltd (Australia) excluded from reporting	No cover for partners not employed
Group	Franchisee; corporate - shops on commission		No cover for the franchisees
Group	Franchisee; corporate - shops on commission		No cover for the franchisees
Group	- -	-
Group	- -	-
Group
Group
Group	- -	-
Group	- -	-
Group	- -	-
Group	Manufacturers of hearing equipment; franchisees; corporate shops on commission	Corporate shops excluded from the reporting: Amplifon Middle East SAE (Egypt), Bay Audio Pty Ltd (Australia), Amplifon Deutschland GmbH (Germany) and Amplifon Poland Sp. z o.o. (Polonia) excluded from the reporting	No cover for manufacturers of equipment and stores not directly managed by Amplifon
Group	Manufacturers of hearing equipment; franchisees; corporate shops on commission	Amplifon Middle East SAE (Egypt) and Bay Audio Pty Ltd (Australia) excluded from the reporting	No cover for manufacturers of equipment and stores not directly managed by Amplifon
Group	Manufacturers of hearing equipment; franchisees; corporate shops on commission	Amplifon Middle East SAE (Egypt) and Bay Audio Pty Ltd (Australia) excluded from the reporting	No cover for manufacturers of equipment and stores not directly managed by Amplifon
Group	Hearing equipment manufacturers

157 INTRODUCTION • AMPLIFON: LISTENING AHEAD • PRODUCT & SERVICE STEWARDSHIP • PEOPLE EMPOWERMENT • COMMUNITY IMPACT • ETHICAL BEHAVIOR • ANNEX

61 - The reporting limitations on material topics in relation to the external scope are due to access limitations to third-party information.

In accordance with the "GRI Sustainability Reporting Standards" based on the "in accordance – Core" option, the following table shows the GRI Standards reported in this document and the related Disclosures. Each Disclosure is provided with a reference to the section of the Report where it can be found, or to other publicly available sources that can be referred to.

GRI 102: GENERAL DISCLOSURES

Disclosure	Description	Reference	Notes and/or omissions
Organizational profile
102-1	Name of the organization	p. 154
102-2	Activities, brands, products and services	p. 20-23; 44-49
102-3	Location of headquarters	p. 154
102-4	Location of operations	p. 19; 141
102-5	Ownership and legal form	p.24, p.7 of the Report on Corporate Governance and Ownership Structure at December 31, 2021
102-6	Markets served	p. 19; 22,23; 141
102-7	Scale of the organization	p. 12; 19; 28,29; 140,141
102-8	Information on employees and other workers	p. 64-69; 142-146
102-9	Supply chain	p. 118-121
102-10	Significant changes to the organization and its supply chain	p. 21; 152
102-11	Precautionary Principle or approach	p. 26,27; 132-137
102-12	External initiatives	p. 36,37; 66
102-13	Membership of associations	Amplifon is a member of several national industry associations, such as HIA (Hearing Industry Association) in the USA, HCIA (Hearing Care Industry Association) in Australia, and NHCA (National Hearing Conservation Association) and SYNEA (Syndicat National des Enterprises de l'Audition) in Europe. Since 2019, Amplifon has also been a member of EHIMA (European Hearing Instrument Manufacturers Association)

Strategy
102-14	Statement from senior decision-maker	p. 4,5
Ethics and integrity
102-16	Values, principles, standards and norms of behavior	p. 16,17; 32,33; 110,111; 119
Governance
102-18	Governance structure	p. 24,25; 138-140
Stakeholder engagement
102-40	List of stakeholder groups	p. 7,8
102-41	Collective bargaining agreements	p. 68
102-42	Identifying and selecting stakeholders	p. 7,8
102-43	Approach to stakeholder engagement	p. 7-9; 130,131
102-44	Key topics and concerns raised	p. 7,8,11; 130,131

Disclosure	Description	Reference	Notes and/or omissions
Reporting practice
102-45	Entities included in the consolidated financial statements	p. 152
102-46	Defining report content and topic Boundaries	p. 8,9; 151,152; 156,157
102-47	List of material topics	p. 10; 128,129
102-48	Restatement of information	p. 9,10; 128,129
102-49	Changes in reporting	p. 9,10; 128,129
102-50	Reporting period	p. 152
102-51	Date of most recent report		March 2021
102-52	Reporting cycle	p. 151
102-53	Contact point for questions regarding the report	p. 154
102-54	Claims of reporting in accordance with the GRI Standards	p. 150,151
102-55	GRI content index	p. 156-164
102-56	External assurance	p. 167-171

GRI 200: ECONOMIC DISCLOSURES

Disclosure	Description	Reference	Notes and/or omissions
Economic performance
	GRI 103: Management Approach (2016)
103-1	Explanation of the material topic and its Boundary	p. 8-11; 128,129; 150; 156,157
103-2	The management approach and its components	p. 29,30
103-3	Evaluation of the management approach	p. 29,30
	GRI 201: Economic performance (2016)
201-1	Direct economic value generated and distributed	p. 29,30; 140
Anti-corruption
	GRI 103: Management Approach (2016)
103-1	Explanation of the material topic and its Boundary	p. 8-11; 128,129; 150; 156,157
103-2	The management approach and its components	p. 115-117
103-3	Evaluation of the management approach	p. 115-117
	GRI 205: Anti-corruption (2016)
205-3	Confirmed incidents of corruption and actions taken	In the three-year period 2019-2021, no corruption cases occurred, testifying to the effectiveness of the prevention systems in place and the solid corporate culture
Anti-competitive behavior
	GRI 103: Management Approach (2016)
103-1	Explanation of the material topic and its Boundary	p. 8-11; 128,129; 150; 156,157
103-2	The management approach and its components	p. 114,115
103-3	Evaluation of the management approach	p. 114,115
	GRI 206: Anti-competitive Behavior (2016)
206-1	Legal actions for anti-competitive behavior, antitrust and monopoly practices	In the three-year period 2019-202, the Company was not involved in any significant legal proceedings in relation to unfair competition, testifying to the solid company culture that demonstrates the company's respect for the market in which it operates

GRI 300: ENVIRONMENTAL DISCLOSURES

Disclosure	Description	Reference	Notes and/or omissions
Energy
	GRI 103: Management Approach (2016)
103-1	Explanation of the material topic and its Boundary	p. 8-11; 128,129; 150; 156,157
103-2	The management approach and its components	p. 122,123
103-3	Evaluation of the management approach	p. 122,123
GRI 302: Energy (2016)
302-1	Energy consumption within the organization	p. 122,123; 148
Emissions
	GRI 103: Management Approach (2016)
103-1	Explanation of the material topic and its Boundary	p. 8-11; 128,129; 150; 156,157
103-2	The management approach and its components	p. 124; 148,149
103-3	Evaluation of the management approach	p. 124; 148,149
GRI 305: Emissioni (2016)
305-1	Direct (Scope 1) GHG emissions	p. 124; 148,149
305-2	Indirect (Scope 2) GHG emissions	p. 124; 148,149
305-3	Other indirect (Scope 3) GHG emissions	p. 124; 148,149
Waste
	GRI 103: Management Approach (2016)
103-1	Explanation of the material topic and its Boundary	p. 8-11; 128,129; 150; 156,157
103-2	The management approach and its components	p. 124, 125
103-3	Evaluation of the management approach	p. 124, 125
	GRI 306: Management Approach (2020)
306-1	Waste generation and significant waste-related impacts	p. 124, 125
306-2	Management of significant waste-related impacts	p. 124, 125
GRI 306: Waste (2020)
306-3	Waste generated	p. 124; 149
Environmental compliance
GRI 103: Management Approach (2016)
103-1	Explanation of the material topic and its Boundary	p. 8-11; 128,129; 150; 156,157
103-2	The management approach and its components	p. 111; 122
103-3	Evaluation of the management approach	p. 111; 122
GRI 307: Environmental Compliance (2016)
307-1	Non-compliance with environmental laws and regulations	In the three-year period 2019-2021, no significant penalties in relation to non-compliance with the provisions of environmental laws and regulations were recorded

GRI 400 SOCIAL DISCLOSURES

Disclosure	Description	Reference	Notes and/or omissions
Employment
	GRI 103: Management Approach (2016)
103-1	Explanation of the material topic and its Boundary	p. 8-11; 128,129; 150; 156,157
103-2	The management approach and its components	p. 64; 68-70; 78-81
103-3	Evaluation of the management approach	p. 64; 68-70; 78-81
	GRI 401: Employment (2016)
401-2	Benefits provided to full-time employees that are not provided to temporary or part-time employees	p. 69,70
	Occupational health and safety
	GRI 103: Management Approach (2016)
103-1	Explanation of the material topic and its Boundary	p. 8-11; 128,129; 150; 156,157
103-2	The management approach and its components	p. 82, 83
103-3	Evaluation of the management approach	p. 82, 83
	GRI 403: Management Approach (2018)
403-1	Occupational health and safety management system	p. 8-11; 128,129; 150; 156,157
403-2	Hazard identification, risk assessment, and incident investigation	p. 82, 83
403-3	Occupational health services		Given the limited extent of the risks to which Amplifon's employees are exposed in terms of health and safety, the company does not consider this Disclosure to be applicable. These aspects are managed in accordance with the provisions of the legislative systems of the countries in which the Group operates
403-4	Worker participation, consultation, and communication on occupational health and safety		Given the limited extent of the risks to which Amplifon's employees are exposed in terms of health and safety, the company does not consider this Disclosure to be applicable. These aspects are managed in accordance with the provisions of the legislative systems of the countries in which the Group operates
403-5	Worker training on occupational health and safety	p. 82, 83
403-6	Promotion of worker health	p. 82, 83
403-7	Prevention and mitigation of occupational health and safety impacts directly linked by business relationships		Given the limited extent of the impacts in terms of health and safety linked to Amplifon's business relationships, the Company does not consider this Disclosure to be applicable. These aspects are managed in accordance with the provisions of the legislative systems of the countries in which the Group operates
GRI 403: Occupational Health and Safety (2018)
403-9	Work-related injuries	p. 146	No information is available about workforce not on payroll
403-10	Work-related ill health	p. 146	No information is available about workforce not on payroll

Disclosure	Description	Reference	Notes and/or omissions
Training and education
	GRI 103: Management Approach (2016)
103-1	Explanation of the material topic and its Boundary	p. 8-11; 128,129; 150; 156,157
103-2	The management approach and its components	p. 74-77
103-3	Evaluation of the management approach	p. 74-77
	GRI 404: Training and Education (2016)
404-1	Average hours of training per year per employee	p. 76; 147
404-2	Programs for upgrading employee skills and transition assistance programs	p. 76; 78,79
404-3	Percentage of employees receiving regular performance and career development reviews	p. 76; 78,79; 147
	Diversity and equal opportunity
	GRI 103: Management Approach (2016)
103-1	Explanation of the material topic and its Boundary	p. 8-11; 128,129; 150; 156,157
103-2	The management approach and its components	p. 65-68
103-3	Evaluation of the management approach	p. 65-68
	GRI 405: Diversity and Equal Opportunity (2016)
405-1	Diversity of governance bodies and employees	p. 24,25; 65-67; 138; 142-145
405-2	Ratio of basic salary and remuneration of women to men	p. 68	The indicator was calculated considering 58% of employees, excluding part-time staff, interns and apprentices, staff on fixed-term contracts and some of the workforce in minor countries. The figures reported do not consider the additional sums paid to employees such as cash bonuses or share incentive schemes, benefits, extraordinary or any additional compensation to the basic wage

Public policy

GRI 103: Management Approach (2016)
103-1	Explanation of the material topic and its Boundary	p. 8-11; 128,129; 150; 156,157
103-2	The management approach and its components	p. 106-112
103-3	Evaluation of the management approach	p. 106-112
GRI 415: Public Policy (2016)
415-1	Political contributions	In the three-year period 2018- 2021, Amplifon did not make any contributions to individual lawmakers, parties or committees. It should be also noted that in the same period, Amplifon (USA) entered into a contract with advocacy firms in the United States to support the principles of safety, effectiveness and availability in policies on hearing care in the country, and that these activities have been fully disclosed in compliance with the US Lobbying Disclosure Act. Specifically, in 2021 Amplifon (USA) spent around €238,000 on these activities

Disclosure	Description	Reference	Notes and/or omissions
	Customer health and safety
	GRI 103: Management Approach (2016)
103-1	Explanation of the material topic and its Boundary	p. 8-11; 128,129; 150; 156,157
103-2	The management approach and its components	p. 54,55; 106-108; 120
103-3	Evaluation of the management approach	p. 54,55; 106-108; 120
	GRI 416: Customer Health and Safety (2016)
416-2	Incidents of non-compliance concerning the health and safety impacts of products and services	In the three-year period 2019-2021, no incidents of product recall or of non compliance with the regulations in force or with the voluntary codes adopted with regard to the safety of the products and services offered were recorded. There were also no cases of customer complaints relating to malfunctions of the Amplifon App that might put the user's health at risk
Marketing and labeling
	GRI 103: Management Approach (2016)
103-1	Explanation of the material topic and its Boundary	p. 8-11; 128,129; 150; 156,157
103-2	The management approach and its components	p. 54,55; 106-108; 114,115
103-3	Evaluation of the management approach	p. 54,55; 106-108; 114,115
	GRI 417: Marketing and Labeling (2016)
417-1	Requirements for product and service information and labeling	p. 54,55; 106-108; 114,115; 120
417-2	Incidents of non-compliance concerning product and service information and labeling	In the three-year period 2019-2021, no significant reports concerning product and service information and labeling were received
417-3	Incidents of non-compliance concerning marketing communications	In the three-year period 2019-2021, no significant reports concerning commercial and marketing communications were received
Customer privacy
	GRI 103: Management Approach (2016)
103-1	Explanation of the material topic and its Boundary	p. 8-11; 128,129; 150; 156,157
103-2	The management approach and its components	p. 56-58
103-3	Evaluation of the management approach	p. 56-58
	GRI 418: Customer Privacy (2016)
418-1	Substantiated complaints concerning breaches of customer privacy and losses of customer data	In the three-year period 2019-2021, systems were implemented for data protection and cybersecurity to ensure an adequate level of data protection. In 2021 there were no serious cases of violation of customer's privacy by control bodies and outside organizations
Socioeconomic compliance
	GRI 103: Management Approach (2016)
103-1	Explanation of the material topic and its Boundary	p. 8-11; 128,129; 150; 156,157
103-2	The management approach and its components	p. 110-117
103-3	Evaluation of the management approach	p. 110-117
	GRI 419: Socioeconomic Compliance (2016)
419-1	Non-compliance with laws and regulations in the social and economic area	In the three-year period 2019-2021, no significant sanctions for non compliance with laws and regulations in the social and economic area were recorded

Amplifon material topics not covered by specific GRI Standards

Disclosure	Description	Reference	Notes and/or omissions
Sustainability strategic approach and governance
	GRI 103: Management Approach (2016)
103-1	Explanation of the material topic and its Boundary	p. 8-11; 128,129; 150; 156,157
103-2	The management approach and its components	p. 25,26; 32-38
103-3	Evaluation of the management approach	p. 25,26; 32-38
	Availability and accessibility to hearing care
	GRI 103: Management Approach (2016)
103-1	Explanation of the material topic and its Boundary	p. 8-11; 128,129; 150; 156,157
103-2	The management approach and its components	p. 52,53
103-3	Evaluation of the management approach	p. 52,53
	Innovation, digitalization and personalization of the customer experience
	GRI 103: Management Approach (2016)
103-1	Explanation of the material topic and its Boundary	p. 8-11; 128,129; 150; 156,157
103-2	The management approach and its components	p. 44-51
103-3	Evaluation of the management approach	p. 44-51
	Awareness-raising and education on hearing well-being
	GRI 103: Management Approach (2016)
103-1	Explanation of the material topic and its Boundary	p. 8-11; 128,129; 150; 156,157
103-2	The management approach and its components	p. 88-91
103-3	Evaluation of the management approach	p. 88-91
	Supporting the local communities
	GRI 103: Management Approach (2016)
103-1	Explanation of the material topic and its Boundary	p. 8-11; 128,129; 150; 156,157
103-2	The management approach and its components	p. 86,87; 92-99
103-3	Evaluation of the management approach	p. 86,87; 92-99
Responsible management of the supply chain
GRI 103: Management Approach (2016)
103-1	Explanation of the material topic and its Boundary	p. 8-11; 128,129; 150; 156,157
103-2	The management approach and its components	p. 118-121
103-3	Evaluation of the management approach	p. 118-121

CONTENT INDEX OF THE TCFD RECOMMENDATIONS

The mitigation of and adaptation to climate change and the transition towards a low carbon emissions economy are the topics currently at the top of the global agenda. In this context, as leaders of the hearing care sector, we are committed to promote the management of our business activities in an increasingly sustainable manner in order to reduce the environmental impacts along the entire value chain.

In the light of the growing importance of topics relating to the fight against climate change, in 2021 and at the same time as the Enterprise Risk Management process, we promoted an initial reporting exercise in accordance with the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD) to guarantee a full, transparent disclosure of climate-related risks and opportunities.

In this regard, we have integrated and extended the evaluation of the main existing ESG risks in the ERM system, at the same time guaranteeing a preliminary alignment with the recommendations of the TCFD concerning climate change related risks and opportunities, which will be gradually explored and developed in coming years. Based on the results of the evaluations of the main ESG risks carried out in 2021, and taking into consideration the Group's business model and activities, no material exposure to climate-related risks was identified. We will, however, continue to be monitored and evaluated annually in accordance with the Group's risk assessment process.

The table below summarizes the main areas and recommendations of the TCFD as well as the reference to the sections of this Report in which the required contents in terms of reporting are explained.

TCFD Recommendations	Reference
Subject area: Governance
Disclose the organization's governance around climate-related risks and opportunities	• Materiality analysis • Sustainability governance • Internal control and risk management system
Subject area: Strategy
Disclose the actual and potential impacts of climate-related risks and opportunities on the organization's businesses, strategy, and financial planning	• Internal control and risk management system • Assessment of the main ESG risks • Our commitment to a sustainable business • Main risks related to sustainability topics
Subject area: Risk management
Disclose how the organization identifies, assesses, and manages climate-related risks	• Internal audit and risk management system • Assessment of the main ESG risks • Our commitment to a sustainable business • Note on methdology
Subject area: Metrics and targets
Disclose the metrics and targets used to assess and manage relevant climate-related risks and opportunities	• Our commitment to a sustainable business • Caring for the environment • Performance indicators • Note on methdology

CONTENT INDEX OF THE TEN PRINCIPLES OF THE UNITED NATIONS GLOBAL COMPACT

As a member of the UN Global Compact, this Sustainability Report represents Amplifon's first Communication on Progress (COP) on the implementation of the Ten Principles of the UNGC. Therefore, with a view to transparency and sharing with all stakeholders, the table below illustrates, for each principle, in which part of the document the main activities and management methods, as well as the GRI Standards reported are described.

Area	Principle	Reference	GRI Standards
Human Rights
	1. Businesses should support and respect the protection of internationally proclaimed human rights	• Well-being and internal engagement • Business ethics and fight against corruption	• GRI 102-16 Values, principles, standards and rules of behavior
	2. Businesses should make sure that they are not complicit in human rights abuses	• Procurement and Supply Chain management • Note on methdology	• GRI 102-41 Collective bargaining agreements
Employment
	3. Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining	• Diversity, inclusion and equal	• GRI 102-16 Values, principles, standards and rules of behavior • GRI 102-41 Collective bargaining agreements • GRI 401 Employment (2016) • GRI 405 Diversity and equal opportunity (2016)
	4. Business should uphold the elimination of all forms of forced and compulsory labor	opportunity • Well-being and internal engagement
	5. Businesses should uphold the effective abolition of child labor	• Business ethics and fight against corruption • Procurement and Supply Chain
	6. Businesses should uphold the elimination of discrimination in respect of employment and occupation	management
Environment
	7. Businesses should support a precautionary approach to environmental challenges	• Assessment of the main ESG risks • Caring for the environment • Main risks related to sustainability topics • Note on methdology • Content Index of the TCFD recommendations	• GRI 102-16 Values, principles, standards and rules of behavior • GRI 302 Energy (2016) • GRI 305 Emissions (2016) • GRI 306 Waste (2020) • GRI 307 Environmental compliance (2016)
	8. Businesses should undertake initiatives to promote greater environmental responsibility
	9. Businesses should encourage the development and diffusion of environmentally friendly technologies
Anti-corruption
	10. Businesses should work against corruption in all its forms, including extortion and bribery	• Business ethics and fight against corruption	• GRI 102-16 Values, principles, standards and rules of behavior • GRI 205 Anti-corruption (2016)

ON PROGRESS This is our Communication on Progress in implementing the Ten Principles of the United Nation Global Compact and supporting broader UN goals.

We welcome feedback on its contents.

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