Annual report

1.	Overview of Key figures	3
2.	Message to the Stakeholders	4
3.	Shared Value Creation	8
3.1	Who we are	8
3.2	Trends	10
3.3	Strategy	11
3.4	Our Value Creation Model	13
4.	Customer Value Strategy	15
5.	Governance	21
5.1	Corporate Governance Statement	21
5.2	Risk Management	47
6.	Sustainable Value	54
	Non-financial statements (CSRD report)	77
6.1	General Information	79
6.2	Environmental Information	122
6.3	Social Information	165
6.4	Governance Information	209
6.5	Assurance Report of the Independent Auditor	224
7.	Economic Value	232
7.1	Financial Review	232
7.2	Outlook for 2025	241
7.3	Financial Consolidated Statements	242
7.4	Report of the Joint Auditors	312

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This PDF version is not ESEF (European Single Electronic Reporting Format) compliant. The ESEF package is available on our website and includes a readable XHTML version. This pdf is prepared for the ease of use, the ESEF package prevails in case of discrepancy with other formats.

1. Overview of Key figures

Adjusted for the year ended 31 December

IN MILLION EUR	2024	2023	EVOLUTION 2024-2023
Total Operating Income (1)	4,341.3	4,272.2	1.6%
Result from operating activities (EBIT) (2)	224.9	248.5	-9.5%
Result of the year (consolidated - IFRS) (3)	127.8	147.9	-13.6%
Operating free cash flow (4)	(875.3)	220.7	-

Reported for the year ended 31 December

IN MILLION EUR	2024	2023	EVOLUTION 2024-2023
ECONOMIC VALUE
Total Operating Income	4,341.3	4,272.2	1.6%
Result from operating activities (EBIT)	(118.1)	160.8	-
Result of the year (consolidated - IFRS)	(204.1)	64.8	-
bpost NV/SA net profit (unconsolidated - Belgian GAAP)	(230.0)	111.5	-
Operating free cash flow (5)	(887.1)	223.8	-
Net debt/(Net cash) (6)	1,800.4	420.5	-
Basic earnings per share, in EUR	(1.03)	0.33	-
Dividend per share, in EUR	0.00	0.13	-100.0%
SOCIAL VALUE
Number of employees (at year end)	36.527	35.035	4.3%
Number of FTE (average)	32.434	31.240	3.8%
Number of FTE and interim (average)	37.500	37.782	-0.7%
Total training hours per FTE	27.2	31.3	-13.2%
ENVIRONMENTAL VALUE
Share of emission-free last mile delivery Belgium	21.0%	15%	40.0%
CO2 footprint (tCO2 e)7	431.477	453.477	4.9%
CUSTOMER VALUE
Customer satisfaction score - bpost NV/SA	85.0%	84.0%	1.2%

(1) Adjusted total operating income represents total operating income excluding the impact of adjusting items and is not audited.

(2) Adjusted EBIT represents profit from operating activities excluding the impact of adjusting items and is not audited.

(3) Adjusted result of the year represents result of the year excluding the impact of adjusting items and is not audited.

(4) Adjusted operating free cash flow for the year represents operating free cash flow for the year excluding the impact of adjusting items and is not audited.

(5) Operating free cash flow represents net cash from operating activities less net cash used in investing activities

(6) Net debt/(Net cash) represents interest and non-interest bearing loans and borrowings (incl. lease liabilities) plus bank overdrafts minus cash and cash equivalents

(7) 2023 updated for methodological improvements: (1) Switch to Well-to-Wheel emission factors, (2) Improved methodology for Purchased Goods and Services, (3) new category Capital Goods and (4) Extension of the scope of Fuel & Energy Related Activities.

For further details on reconciliation of Adjusted and reported key figures, please refer to section "Reconciliation of Reported to Adjusted Financial Metrics" of this document.

2. Message to the Stakeholders

bpostgroup 2025: a strategy that embraces change

Chris Peeters, CEO of bpostgroup

"In the B2B segment, bpost can really play a major role. Thanks to our large network of automated parcel lockers, pick-up points and post offices, we have assets that other players do not have."

Chris Peeters' first year as CEO of bpostgroup was all about accelerated transformation. The sooner-than-expected loss of the newspaper contract in Belgium is inevitably leaving its mark. But Peeters is resolute. "We have a clear strategy and all the signs show that our people are fully on board. This year, the new bpostgroup must take concrete shape. Everything is ready."

Peeters knew what he was getting into when he took over the helm as CEO of bpostgroup at the end of 2023. Just over a year later, he concludes that his assessment was correct. "2024 was more challenging than expected, because the newspaper distribution contract evolved faster than anticipated," he says. "What initially seemed to be a process that would take a few years suddenly turned into one with a transition period of barely six months."

"The short transition naturally placed pressure on the planning for the first half of the year," he explains. "We had to prepare a plan to deal with the social and financial impact. Together with the editors, we were able to develop a decent solution for all parties concerned."

But the newspaper contract was not the only challenge. The diversification strategy with Radial in the United States, aimed at reducing dependence on a few large customers, was not as far along as hoped. "A start had already been made in making that strategic shift, but progress remained slow and was taking more time than anticipated," Peeters comments. "However, we are pressing on with this shift and are now working hard on that new market positioning."

Globally however, Peeters remains positive about the past year and what lies ahead. "We continue to be a leading player in Belgium," he emphasizes. "Our excellent postal workers take great pride in their work and have a deep awareness of the social importance of what they do."

Peeters points to the scale of the operations. "People sometimes don't fully realize what bpost does every day and on what scale," he says. "Every day, a massive number of parcels and letters come in, and we ensure that they are delivered the next day. That demands incredible logistical competence. Not only in Belgium, by the way. With the acquisition of Staci, we have brought in a wealth of complementary expertise."

The complex transfer of the newspaper contract has emphasized that logistics strength. "It turned out quickly that in the past, bpost delivered the best value for money, for the benefit of the editors, as well as for the government.", says Peeters. "That daily distribution of newspapers is no small feat - it is a complex operation. We did it with dedicated postal workers, in an organization in which colleagues were always willing to help each other if necessary. That spirit is lacking among freelancers for whom delivering newspapers is nothing more than a quick way to earn a bit of extra income. And then it suddenly became clear that delivering newspapers more cheaply and more efficiently is not as simple as it seemed."

However, the reality remains that 2025 will mark the first full year in which bpost operates without income from a newspaper contract. That will also be visible in the 2024 figures. "When a contract of such magnitude suddenly disappears mid-year, it will of course be reflected in the results," Peeters acknowledges. "Our third quarter was marked by losses in our Belgian operations."

Even so, there is optimism. "Our organization is already demonstrating its resilience," Peeters remarks. "At the end of 2024, we achieved one of our best-ever peak periods, both in the US and in Belgium. Operational records were broken. And yet the workload during that period is so high that even a simple issue such as a broken label machine can cause major problems. But this year, everything went smoothly. The feedback of our customers on last year's peak is unisono positive."

That success must set the stage for 2025. "If 2024 was marked by operational resilience, then 2025 must be the year when we start to see the first results of our transformation," Peeters says. "The strategy is settled and has been finalized with the Board of Directors and our social partners. The transformation must succeed if we want to secure our future. But patience is required. On a positive note, the first synergies with Staci are already bearing fruit. The integration is progressing according to plan."

Where must this strategy lead? Reconnection with growth. "A successful business is a growing business. Without growth, you can only try to right-size your organization, but that alone does not guarantee a future," Peeters says. "At the moment, bpostgroup cannot call itself a growth company. To do so, we have to increase our relevance for our customers on all fronts."

The foundations for that growth are partly rooted abroad, where we need to achieve more synergies. bpostgroup must operate as one group rather than as a collection of different entities.

"In 3PL, the objective is clear. Our customer portfolio has to be more diversified, certainly in North America. We have to position ourselves more as a strategic partner for our customers. We may not have the scale of the global giants, but we do have our unique expertise. I see growth both in diversifying into new sectors and in deepening our presence in the locations where we are already active. Our cross-border activities are successful, but there is still a great deal of room there to develop additional solutions for mid-size e-commerce platforms. In Belgium, the challenge is complex," Peeters acknowledges. "The growth of B2C parcels is not compensating for the fall in letter volumes. Therefore, we are developing new market segments, such as C2C parcel solutions and especially B2B services."

With regard to the latter, Peeters sees great potential, particularly with SMEs. "This is where bpost can really play a major role. Thanks to our large network of automated parcel lockers, pick-up points and post offices, we have assets that other players do not have." he states. "With the necessary adjustments in our processes, we can quickly establish our relevance for B2B services. We can provide very flexible, customized solutions, relieving SMEs of the logistics burden."

Peeters sees potential in Staci's specific expertise. "For instance, in France, they manage all of the logistics around the delivery and collection of set-top boxes for the telecoms sector. In Belgium, we can combine that know-how with our hybrid network and the local presence of our postal workers to offer a fast and comprehensive solution."

These ambitions and plans must be realized by 2027 within the framework of a new management contract with the federal government. "It is clear that the new federal government wants to reduce the cost of that contract," Peeters acknowledges. "We are a professional company and will put forward a strong proposal in line with the framework that we get."

The social role of the bpost network remains a crucial pillar for our society. "The government decides how that proximity is defined, and it is then our role to implement it as efficiently as possible," says Peeters, who already has a number of specific ideas.

"We want to expand our social significance. The social aspect of the mail carriers and their rounds must not be underestimated. I hear stories of people waiting by their mailboxes. And from neighbourhoods that throw a retirement party for their mail carrier. Where else do you see that? The digitalization of pensions is a good idea, but we mustn't overlook the fact that the human aspect is still very important for many people. For some, that means a regular moment of social contact, not just a financial transaction."

An important role remains for the post office. "Our offices are places which everyone, sooner or later, will find themselves visiting, regardless of their role in society. We don't actively do community building, but we do help to maintain that community. In our strategy, we are going to reinforce this by expanding our range of services, thereby increasing the flow in our offices."

In parallel with this social role, Peeters also wants to put more effort into digitalization. "For years, there has been underinvestment in this regard," he recognizes. "One of my first decisions as CEO was to appoint a Chief Digital Officer. You don't bridge the digital divide by offering more analogue services, but by developing good digital tools. My mother is 90 years old and doesn't use a banking app, but she does know how to put rabbit ears on me in a TikTok video." It is all about ease of use.

With that philosophy, bpost is fully engaged in the digital reinvention of its core products such as post and parcels. "Our goal is to give our customers the flexibility to receive their products wherever and whenever they want. Customers can now use the My bpost app to let their mail carrier know that they want their parcel or letter delivered on a different day or even to a different address. And by working with itsme, our customers now also have complete control over the delivery of their registered mail. 2025 is going to be a year in which we will continue to prioritize digitalization and customer convenience."

bpostgroup Board Chair, Audrey Hanard takes the time to look back on 2024 and talks about how she sees the future unfolding.

"2024 marked a turning point for bpostgroup, bringing an end to a prolonged period of instability. With the appointment of Chris Peeters as CEO, the company entered a new phase of stability, strategic clarity, and operational discipline. His leadership provided much-needed direction, and under his guidance, bpostgroup already successfully navigated several major challenges, including the loss of the press concession. Despite this, the company remained committed to its societal role of ensuring democratic access to the press while finding economically viable solutions for its operations.

Another major milestone was the acquisition of Staci, a French B2B logistics player, which represents a crucial step in securing bpostgroup's future. This acquisition aligns with our long-term ambition of remaining an employer of choice while expanding into higher-value segments of the logistics chain.

On the governance front, 2024 allowed the Board to conclude its hands-on investigations related to the compliance reviews that were done in 2023. While certain negotiations with governmental bodies are still ongoing, the Board has completed its immediate role in addressing past issues and can now focus on the future. The foundation for a stronger governance culture has been laid, and the company is well-positioned to move forward with confidence."

Can you talk more concretely about this strengthened governance after the events of 2022 - 2023?

"Since the compliance reviews, initiated by the Board in 2022, bpostgroup has undergone a deep cultural transformation centered around transparency and integrity. The cornerstone of this transformation is the bpostgroup Code of Conduct, which establishes clear ethical standards for all employees. Every year, all 40,000 employees undergo mandatory training on the Code of Conduct to ensure these principles are embedded in daily operations.

Additionally, the Speak Up program has been reinforced to provide employees with a secure and confidential reporting channel, fostering a culture of openness and accountability. This initiative has strengthened trust across the organization and ensures that any concerns can be addressed swiftly and fairly.

To further enhance governance, the compliance and enterprise risk management team has been significantly reinforced. Their focus has been on defining clear governance models, establishing a group-wide compliance strategy, and embedding a robust enterprise risk management framework. While these measures were necessitated by past events, they have ultimately created a stronger and more resilient organization. Today, I trust in the integrity of our governance structures and our ability to uphold the highest standards."

2024 came with a new CEO. How does the Board look at this new leadership & approach?

"After years of turbulence, bpostgroup required stability and visionary leadership, and Chris Peeters has delivered just that. The Board has full confidence in him and the strong executive team he has further developed. Together, they have laid the foundation for a strategic roadmap that has been thoroughly reviewed, debated, and approved by the Board.

One of the key strengths of Chris' leadership is his ability to balance long-term vision with pragmatic execution. Under his guidance, bpostgroup has renewed its focus on innovation and digitalization. His rapid testing and deployment of new ideas have already modernized key products, such as registered mail, and further high-value services are in development across various business units.

The Board and management are fully aligned in their commitment to growth and transformation, ensuring that bpostgroup remains a leading force in the industry while securing a sustainable and promising future for this nearly 200-year-old company."

There is a new government and a new minister.

"I would like to extend my congratulations to Minister Matz on her appointment. I am convinced that bpostgroup will establish a productive and constructive working relationship with her in the coming months. She has already shown an understanding of our strategic direction and recognizes the importance of stability and continuity as we navigate the critical next two to three years of transformation.

bpostgroup remains committed to serving Belgian citizens as a trusted service provider while also playing a vital role in the country's economic ecosystem. We support SMEs and businesses by facilitating seamless B2B and B2C logistics, and we continue to prioritize our role as an employer of choice. Our commitment to offering demanding yet fulfilling jobs with long-term career prospects remains unwavering.

As we move forward, we trust that our stakeholders will recognize our solid plan and ambition to successfully navigate the challenges ahead. The road will not be easy, but we have built the foundations for sustainable growth, and we are confident that bpostgroup is on the right path toward a strong and resilient future."

3. Shared Value Creation

3.1 Who we are

3.1.1. How we are structured

bpostgroup is structured in 3 Business Units: BENE Last Mile; 3PL; and Global Cross-border. Furthermore, we also have a number of departments (functions) supporting the group.

3.1.2. Staci acquisition

In April 2024, bpostgroup announced the acquisition of Staci, a leading player in the contract logistics space. This strategic move is part of bpostgroup's broader vision to transform from a traditional postal operator into a global third-party logistics provider. The acquisition aligns with bpostgroup's goal to capture value from underlying market trends, leverage its existing strengths, and develop new capabilities in high-value, flexible logistics services. The transaction, valued at €1.3 billion, represents a significant investment in expanding bpostgroup's logistics capabilities and geographical footprint.

Presentation of Staci

Founded in 1989 and based in Saint-Ouen-l'Aumône, France, Staci specializes in complex logistics services, including multi-reference packages, single-unit picking, and distribution to multiple delivery points. The company operates across Europe, the US, and China, with a total space of about 900.000 square meters in 66 warehouses or logistics hubs. Staci serves over 2,000 blue-chip clients across various sectors, including healthcare, high-tech, FMCG, and retail. The company's asset-light business model, strong financial performance, operational excellence and customer focus made it an attractive acquisition.

Staci's unique positioning in "flexible high-value logistics" is characterized by its ability to handle complex logistics flows efficiently. The company has developed a highly efficient ordering and procurement management IT tool, which connects approximately 400,000 points of sales directly to its web solutions. This capability allows Staci to serve clients with diverse and complex logistics needs, making it a valuable addition to bpostgroup's portfolio.

Synergies from the Acquisition

The acquisition of Staci offers several strategic synergies for bpostgroup, enhancing its operational capabilities and market position.

1. Staci's strong presence in Europe, the US, and China complements bpostgroup's existing network, enabling it to expand its geographical footprint and better serve its global clients. This expansion is crucial for bpostgroup's strategy to become a regional leader in high-value logistics services.
1. Staci's expertise in handling complex logistics flows, such as multi-reference packages and single-unit picking, aligns well with bpostgroup's goal to broaden its service offerings. This acquisition allows bpostgroup to enhance its B2B logistics capabilities, including detailed logistics, return management, kitting, and multi-carrier transportation.
1. The integration of Staci's operations with bpostgroup's existing logistics network is starting to create significant operational synergies. These include pooling third-party transportation volumes, optimizing warehouse capacity, and developing integrated commercial offers. Additionally, the acquisition will enable bpostgroup to scale its operations, particularly in procurement savings and geographical expansion.
1. Staci's strong financial performance and robust cash flow generation will enhance bpostgroup's overall financial health. The asset-light business model of Staci, which requires low levels of maintenance and expansion capex, aligns with bpostgroup's strategy to maintain strong cash-generation potential.
1. Staci's diversified client base across various sectors, including healthcare, high-tech, FMCG, and retail, strengthens bpostgroup's market position. The acquisition allows bpostgroup to serve a broader range of industries and capitalize on cross-selling opportunities, further enhancing its revenue streams.

The acquisition of Staci is a pivotal step in bpostgroup's transformation journey. It aligns with the group's vision to capture value from market trends, leverage existing strengths, and develop new capabilities. By integrating Staci's expertise and expanding its geographical and sectoral reach, bpostgroup is well-positioned to become a regional leader in high-value, flexible logistics services. This acquisition not only enhances bpostgroup's operational capabilities but also strengthens its financial performance, paving the way for future growth and success.

3.2 Trends

bpost identifies the following trends impacting its business:

3.2.2. Social Cohesion

Social Cohesion has two aspects: digital and physical. Digital inclusion in Belgium improved post-COVID, with household internet access rising from 90% in 2019 to 92% in 2021, especially among the elderly and low-income groups. However, 46% of Belgians remain digitally vulnerable, with higher rates among those with lower education, older adults, and low-income individuals. The pandemic increased the use of digital services, but vulnerable groups still lag behind. The FPS Economy aims to reduce digital vulnerability to 20% by 2030, highlighting the need for non-digital access to essential services. Physical social cohesion, or the feeling of loneliness, has worsened since the pandemic, with 13% of Europeans feeling lonely most of the time. Loneliness is more prevalent among low-income individuals and is linked to poorer health and lower trust in others. Addressing loneliness requires frequent and quality social interactions, emphasizing the importance of social cohesion services.

3.2.3 Technology

Technology significantly impacts logistics by enhancing operational efficiency, quality, and customer experience. Advanced technologies like automation, AI, and IoT streamline processes, reduce errors, and optimize routes, leading to faster and more reliable deliveries. Realtime tracking systems provide transparency and allow customers to monitor their shipments, improving satisfaction. Additionally, data analytics helps in predictive maintenance and demand forecasting, ensuring better resource management and reducing downtime. Overall, technology enables logistics companies to offer more personalized and efficient services, meeting the evolving needs of customers.

3.2.4 Global Trade and Geopolitics

Geopolitical dynamics significantly influence global trade, particularly on specific trade lanes. The tensions between West and Russia, as well as recent US elections can be expected to rise trade restrictions and geopolitical tensions, which may lead to reshaped trade flows and policies1 . Countries are increasingly making trade decisions based on strategic geopolitical considerations rather than purely economic benefits² . This shift has led to the emergence of "friend-shoring," where trade is concentrated among geopolitically aligned nations1 . This can also lead e-commerce actors to opt for fulfilment services in "friendly" geographies.

3.2.1 consumer trends

1. Simplicity and Convenience: Consumers seek streamlined, efficient ways to manage daily routines, preferring online stores for their convenience, such as 24/7 shopping and delivery preferences. bpost has captured 3.3 million delivery preferences to meet this demand.
1. Sustainable & Ethical Consumerism: Increasingly, consumers favor brands committed to sustainability. This trend pushes logistics companies to adopt eco-friendly practices, like using electric vehicles and sustainable packaging.
1. Experience Economy: Consumers value experiences over material goods, driving the need for stores to offer inspirational and community-focused environments. bpost can enhance brand loyalty by integrating logistics with consumer experiences.
1. Circular Economy: Emphasizing recycling and reusing, the circular economy encourages logistics companies to develop services for secure payments, flexible deliveries, and robust return logistics, catering to the growing secondhand market.
1. Purchasing Power: Despite a recovery in Belgian purchasing power, many feel it has decreased, pressuring prices. Logistics companies may see a shift towards pricesensitive customer preferences.
1. Generation Z: This digital-savvy cohort demands quick, personalized, and sustainable shopping experiences. Brands must adapt to their preferences for fast delivery, free shipping, and real-time tracking.
1. Aging Population: The growing elderly demographic increases demand for specific logistics services, such as meal delivery and medication dispensing.
1. New Family Models: Diverse family structures require convenient and flexible delivery options to manage shared custody and busy schedules.
1. Urbanization: As more people move to urban areas, logistics companies face challenges in last-mile delivery but also opportunities to innovate with micro-fulfillment centers.
1. Privacy & Security: Rising awareness of data privacy pushes logistics companies to protect customer data while using it to enhance delivery safety and efficiency.

1 cepr.org/voxeu/columns/how-geopolitics-changing-trade

2 www.weforum.org/stories/2024/12/global-trade-geopolitics-uncertainty-economic-policy/

3.2.5 Fluidification and parcelization for B2B logistics

a. Employees, professionals, come to expect the same level of convenience in their work environment as they have come to experience in their personal lives. The adoption of technology (system integration, smartphone apps, a dense network of lockers available 24/7, …) can play a role to provide the flexibility and fluidity they desire.
b. The fluidity of modern logistics enables "real-time", last minute orders and decentralization of stock in retail shops, reducing the need for assets in warehouses. B2B shipments that were typically palletized, progressively tend to move more frequently, in individual, nimble parcels.
c. From ordering, warehousing, picking, packing, and transporting, every day, business continue to rely on their own personnel to execute logistical tasks that do not correspond to their core business. By developing new integrated end-to-end solutions, we want to allow our customers to focus on what they do best.

3.3 Strategy

3.3.1 Our ambition

bpostgroup, a regional and digital expert in parcel size logistics

We combine and integrate all the capabilities of the group to design End-to-End solutions that create value. We remain anchored in Belgium.
We aim for regional leadership in two core geographies: Western/Central Europe and North America, for our clients.
We combine digital and physical features into hybrid products. We become a "digital" company: providing best digital solutions for our customers, we are fast to market, we are data-centric.
"We set the benchmark" in terms of quality, innovation, customer centricity.
We capture the growth in the parcel-sized logistics B2C, C2C and B2B markets, leveraging our last mile, omni-channel fulfilment and cross-border capabilities.

3.3.2 What is our strategic vision?

This year, we have redefined our strategic vision, providing direction for bpostgroup for the 3-5 years horizon. We refer to it with the tag line of "Rethink the Possible".

Our Strategic framework illustrates the components of our vision:

5 core building blocks of the strategic vision;
4 "Excellence" pillars for bpostgroup to make a difference and deliver on the core vision;
2 "Care" commitments as we remain fully committed to our societal promises.

1. Preferred Parcel and Mail Last Mile Network, in Belgium and Beyond

Our vision is to be the most convenient, preferred, and efficient, cost-competitive, omni-channel parcel and mail last mile network, in Belgium and beyond. Key features include:

We offer a broad range of B2C and B2B parcel delivery services, ensuring full convenience for senders and receivers. Our omni-channel approach follows customer preferences (parcel lockers, at home, safe spaces), and we provide flexible, time-definite deliveries that meet the highest quality standards. Customers can drop and receive parcels anywhere through the densest network in the country, choosing bpost for the best delivery experience.
We deliver high-value mail products with the same standards as parcels, fully integrated into a hybrid physical and digital offering.
Operations are optimized to capture efficiencies and ensure cost competitiveness.

2. Leading Specialized 3PL Operator Focused on High-Value Logistics Markets

We aim to be the leading specialized 3PL operator, offering the most flexible and E2E solutions in high-value logistics markets. Key features include:

We excel at identifying unmet high-value logistics needs and designing complex, flexible solutions that create value for clients. This includes PoS, critical spare-parts, complex omni-channel, and patient deliveries. We simplify and consolidate complex logistical flows, capturing superior value through up-selling and cross-selling across clients and geographies.
We design full end-to-end solutions, combining a broad range of capabilities including first mile, warehousing, item preparation, and last-mile delivery

3. Leading Cross-Border Network, Focused on Specific Offerings and Lanes Yielding Superior Value

We aim to be a global leading cross-border network, focused on specific offerings and lanes yielding superior value. Key features include:

High-Value Lanes: We operate a specialized cross-border network, extracting superior value through a combination of own last mile and/or fulfillment offerings, specific custom-clearance capabilities, and differentiating digital integration capabilities.
Transport Excellence: We provide best-in-class transport services available to all group entities through digital platforms and a network of partners.

4. Reference Provider of Proximity Services to Belgian Citizens

We aim to be the reference provider of proximity services to Belgian citizens. Key features include:

Multi-Service Center: We deliver a broad range of proximity services through our retail network and new assets like mobile service centers, partnering with various sectors.
Partner of Government(s): We are the preferred partner of authorities for delivering convenient citizen services, leveraging our last mile network and physical and digital integration capabilities.

5. Design of End-to-End Solutions and Hybrid Products

We combine and integrate all group capabilities to design defendable End-to-End solutions that solve customer frictions and combine digital and physical features into hybrid products. A group-wide Center of Excellence maps customer frictions, designs, tests, and scales these solutions.

Mail and logistic products are integrated into a hybrid physical and digital offering, allowing customers to be digitally informed and in control of the delivery experience. This transition defends the relevance of mail products.
We design full end-to-end solutions, combining digital platforms, warehousing, picking, kitting, packaging, cross-border transportation, and omni-channel delivery.

We Excel…

Four "Excellence" pillars for bpostgroup enable us to make a difference and deliver on our core vision:

Quality: We set the benchmark, ensuring quality at a level where customers don't even think about it—like a light switch, always expected to work.
Customer Centricity: We adapt to the significant changes in how we live and work, understanding and meeting evolving customer needs. Our products reflect deep customer knowledge, providing optimal convenience. We continuously update our products, processes, and organization to stay aligned with client needs.
Digitalization: We offer advanced tools to support our teams and the best digital solutions for our customers. Embracing data and AI, we ensure maximum convenience and a simple, great user experience.
Innovation: We build an innovation engine, staying relevant and impactful by focusing on what creates value for our customers. We quickly scale successful innovations.

We Care…

We remain fully committed to our societal promises, which are core to our market operations and differentiation:

Environmental Sustainability: We decarbonize the logistics supply chain, positioning ourselves as one of the greenest logistics players. We consistently deliver on our decarbonization goals, optimize investments for maximum CO2 reduction, and support a scaled circular economy with leading reverse logistics and sustainable solutions for waste and packaging.
Employer of Choice: We promote inclusion and equal opportunity, ensuring all individuals feel welcomed and valued. We create a safe environment for physical and mental well-being, offer social lift opportunities, and provide market-conform contracts that balance flexibility and business needs. We are recognized for the growth opportunities we offer within the group and the broader job market.

3.4 Our value creation model

bpost creates value for all its stakeholder...

OUR STAKEHOLDERS	OUR STRATEGIC AMBITION	OUR KEY PERFORMANCE INDICATORS	OUR SDG IMPACT
Belgian citizens	• Access to proximity services through the bpost mail carrier and service centers channels, across a broad range of services, enabling physical touchpoints and digital inclusion in a context of highly digitized world. • Access the most convenient parcel and mail last-mile network, enabling the exchange of goods, mail and press products with highest convenience and quality standards.	bpost Belgium "Customer Satisfaction score": 85%		By being a reference earth & people friendly company through our commitment to the Paris Climate Agreement & to the Belgian Alliance for Climate Action, via our Science Based CO2 reduction Target, we contribute to taking urgent action to combat climate change and its impacts.
Belgian and international SME's and larger companies	• Access the most convenient parcel and mail last-mile network, enabling access to end consumers combining physical and digital channels for exchanges of goods, high value marketing activities, etc. • Access to high value E2E logistics solutions, combining a broad range of the capabilities that can be tailor made to companies' needs. This allows SME's and companies to focus on their core business and solve key frictions in their value chains. • Access to international markets through cross-border digital and logistics solutions.			By being an important contributor to social cohesion in society and the preferred partner for public services providing an affordable and reliable postal service to all Belgian citizens across rural and urban areas, we are helping to build a resilient infrastructure, promote inclusive and sustainable industrialization and foster innovation.

OUR STAKEHOLDERS	OUR STRATEGIC AMBITION	OUR KEY PERFORMANCE INDICATORS
Belgian governments	• Preferred partnership to deliver modernized and convenient citizen services across a very broad range of solutions, combining physical and digital integration. • As shareholder, renewed growth in cash generation and profitability, thanks to a rebalanced business portfolio exposed to growth, higher margin profile, and balanced risks across sectors/verticals and clients. • Continued commitment to our social responsibility (qualitative and market conform contracts, social lift…).	"FutureMe" program allowing bpost Belgium employees to follow a training track to obtain a Higher Secondary Degree Certificate • employees newly enlisted in program (2024): 40 • employees who obtained their degree (2024): 11	By being fully active in providing zero emission last-mile delivery in Belgian city centers and by working closely with suppliers, customers and communities, we help make cities and human settlements inclusive, safe, resilient and sustainable.
Shareholders	• Renewed growth in cash generation and profitability, thanks to a rebalanced business portfolio exposed to growth, higher margin profile, and balanced risks across sectors/verticals and clients.	Total operating income: 4,341.3m EUR EBIT (adjusted): 224.9m EUR	By being an inclusive organization, offering life-learning experiences enabling employability for our people, we help promote long-term, inclusive and sustainable economic growth, as well as full, productive and decent employment for all.
Employees	• Access to high quality contracts, growth opportunities within the group and broader job market (social lift), and an inclusive working environment fostering well-being.	bpost Employee Wellbeing Score: 3.7 (out of 5) bpost Belgium Employee training and development hours per employee: 32.2 hours average	By being a socially responsible employer that values the skills and competences of our employees, bpost provides training and development opportunities to our employees, job seekers, and external partners. bpostgroup is committed to ensuring sustainable employment based on continual upskilling opportunities in response to everchanging job requirements and society at large.
Environment	• We decarbonize the logistics supply chain, positioning ourselves as one of the greenest logistics players. • We consistently deliver on our decarbonization goals, optimize investments for maximum CO2 reduction, and support a scaled circular economy with leading reverse logistics and sustainable solutions for waste and packaging.	Emission-free last mile delivery (bpost Belgium): 21% Carbon footprint: 431.5ktCO2 e	By being a reference earth & people friendly company through our commitment to the Paris Climate Agreement & to the Belgian Alliance for Climate Action, via our Science Based CO2 reduction Target, we contribute to taking urgent action to combat climate change and its impacts.
			By investing in the reduction of the environmental impact of all our operations, buildings and facilities and investing in renewable electricity, we contribute to accelerating the transition to an affordable, reliable and sustainable energy system.

4. Customer Value Strategy

"At bpostgroup, we put businesses, citizens, and customers at the heart of everything we do. Every decision reflects our belief that we don't just deliver mail and parcels, but convenience, trust, and meaningful solutions."

Christel Dendas, Chief Commercial Officer, bpostgroup

Introduction

bpostgroup is undergoing a fundamental transformation – from a postal company with logistics capabilities to a logistics leader that also provides postal services. While mail remains an important service in Belgium, our primary focus is now on delivering seamless, end-to-end logistics solutions on an international scale, ensuring faster, smarter and more efficient deliveries for businesses and consumers.

But this transformation goes beyond logistics, it's about creating value at every step. Our customers today expect reliable, innovative, and tailored solutions. bpostgroup is present in 15 countries, offering a wide range of solutions and expertise. In 2024, we created the role of Chief Commercial Officer to implement a unified strategy, ensuring that our partners benefit from a consistent, customercentric experience. By uniting our strengths across three core business units and leveraging our global expertise, we cultivate an integrated logistics ecosystem that extends beyond delivery.

Guided by our four strategic pillars – customer centricity, quality, digitalization, and innovation – bpostgroup is redefining what it means to be a trusted logistics partner. Whether through AI-driven logistics, last-mile excellence, or sustainability-focused initiatives, our goal is clear: to empower businesses, enhance consumer experiences, and shape the future of logistics.

Customer Centricity

Customer centricity is at the heart of bpostgroup's transformation, ensuring services are tailored to evolving customer needs.

Key initiatives:

Enhancing customer focus with a Chief Commercial Officer
Service enhancements: raising the bar on customer experience
Supporting citizens and democracy through election mail services
Parcel locker network : further enhancing customer convenience

Enhancing customer focus with a Chief Commercial Officer

In 2024, bpostgroup appointed its first Chief Commercial Officer (CCO) to drive a more unified, customer-focused strategy. This role fosters collaboration across subsidiaries, ensuring seamless, end-to-end solutions that enhance service quality and strengthen customer relationships.

Service enhancements: raising the bar on customer experience

Customer needs are constantly evolving, and bpostgroup is committed to evolving with them. Based on direct customer feedback and market trends, we continuously improve our services to ensure greater reliability, speed and flexibility.

Key improvements include expanded delivery preferences, optimized last-mile logistics and refined fulfillment operations, all designed to maximize convenience. Whether through expanded locker networks, smarter routing, or new fulfillment partnerships, our focus remains on creating a seamless and stress-free delivery experience.

Supporting citizens and democracy through election mail services

During the 2024 federal and regional elections in Belgium, bpost played a vital role in delivering over 50 million unaddressed campaign mail items and voting cards. Using its nationwide logistics network, bpost ensured these critical documents reached households on time while adhering to electoral regulations and maintaining neutrality. This effort reinforced bpost's commitment to public service and voter engagement, ensuring reliable access to election information.

Parcel locker network: further enhancing customer convenience

In 2024, bpost further expanded its parcel locker network to enhance convenience and accessibility across Belgium. With over 3,500 locations, including 650 post offices, 670 post points, 900 parcel points, and 1,260 parcel lockers, nearly every person in Belgium is now within six minutes of a pick-up point—whether by car, bike, or on foot.

In response to growing demand, bpost expanded its network by installing one new locker per day in 2024, adding 365 new units by year-end. Looking ahead, bpost plans to install 1,200 more lockers in 2025, thereby tripling network capacity to 150,000 doors. With a focus on efficiency and private parcel exchanges, bpost is also inviting retailers to host lockers, ensuring continued network expansion and cementing its role as a leader in logistics innovation.

Parcel lockers have become a key touchpoint for customers, offering a fast, flexible, and reliable delivery option with 24/7 access. In 2024, usage surged by 44%, and they now deliver the highest customer satisfaction scores among bpost services.

Quality

Our goal is not just to meet industry benchmarks but to set them, making quality so seamless that customers don't even have to think about it.

Key initiatives:

Increased customer satisfaction scores year-over-year
Investment in total quality management to exceed industry benchmarks
Enhancement of cross-border, 3PL and last-mile delivery precision
Year-end 2024: managing quality amid rising parcel volume

Increased customer satisfaction scores year-over-year

Customer trust is built on consistency, reliability and service excellence. At bpostgroup, we closely track customer satisfaction through comprehensive feedback systems, including Net Promoter Score (NPS) analysis and direct customer insights.

Since 2019, bpost customer satisfaction score has steadily risen, reaching 85% in 2024 – a testament to our continuous improvements in service quality, digital tools, and delivery reliability. By actively listening to customers and implementing targeted improvements, we ensure that every interaction with bpost reinforces our reputation for efficiency, care, and excellence.

Investment in total quality management to exceed industry benchmarks

Net Promoter Score (NPS) is a key metric for measuring the customer experience at bpostgroup. Rated on a scale from -100 to 100, it reflects how likely customers are to recommend our services. bpost tracks and analyzes real-time feedback, using the insights to develop targeted action plans that improve service quality, delivery precision, and digital convenience.

At bpostgroup, quality isn't just a goal, it's a standard. To ensure seamless, reliable and high-performing logistics services, we have made total quality management a strategic priority. This involves continuous process optimization, rigorous performance tracking and data-driven decision-making to anticipate and exceed customer expectations. By implementing state-of-the-art sorting technologies, advanced tracking systems and automation in key logistics hubs, we aim to set new industry benchmarks. Through cross-business collaboration and training initiatives, we are empowering our teams to deliver with precision, ensuring that customers receive not just packages, but a consistently superior experience.

Enhancement of cross-border, 3PL and last-mile delivery precision

In logistics, last-mile delivery is the defining moment of customer satisfaction. At bpostgroup, we have invested heavily in cross-border services, fulfillment efficiency and last-mile precision, ensuring that packages arrive on time, intact, and exactly where customers expect them. Through AI-driven route optimization, real-time tracking and automated fulfillment centers, we have significantly reduced delays and errors. Our commitment to innovation in logistics extends to hyperlocal solutions like parcel lockers, urban delivery hubs, and sustainable transportation options, guaranteeing that customers receive their shipments faster and more conveniently than ever before.

Year-end 2024 peak: managing quality amid rising parcel volume

During year-end 2024, bpostgroup effectively managed the surge in demand across its three business units—3PL, cross-border, and lastmile. In order to maintain quality across the supply chain, the group implemented a dedicated process called the "End of Year Peak Quality Program". This initiative reinforced our commitment to operational excellence by ensuring that shipments, including cross-border parcels, moved efficiently despite seasonal challenges.

In last mile in Belgium, bpost saw its parcel volumes increase from a daily average of 500,000 to an all time record of 813,000 parcels distributed in one day nationwide. 3PL operations were significantly strengthened and some 3PL entities saw their e-commerce fulfillment volumes quadruple around Black Friday.

We strengthened our logistics network by expanding carrier partnerships and cross-border coverage, ensuring a smooth international package flow despite disruptions. To improve efficiency and delivery accuracy, we introduced advanced routing and exception management capabilities. Our IT system stability was upgraded with automated testing, enabling faster, error-free updates and greater reliability during peak season. Additionally, we expanded our 24/7 multilingual customer support, ensuring seamless service and problem resolution for our global customers.

Digitalization

The growth of new technologies is changing the way we consume.

Key initiatives:

The My bpost app: a digital gateway to seamless delivery
Merging physical and digital: the rise of 'phygital' logistics
Simplified e-commerce integration with Radial & Shopify
AI-driven fraud protection with "Pay by Bank"

The My bpost app: a digital gateway to seamless delivery

With a record 2.37 million monthly active users in the course of 2024, the My bpost app has become a cornerstone of customer convenience in Belgium. This digital platform provides seamless tracking, personalized delivery options, and flexible rescheduling features, offering a tailored logistics experience at customers' fingertips.

To meet growing expectations, bpost has introduced new app functionalities based on insights from a March 2024 internal market study. Research showed that 92% of users wanted to choose their delivery day, while 80% sought the flexibility to change their delivery address midtransit. In response, bpost launched two key features:

Postpone delivery by a day Since November 8, 2024, users can reschedule deliveries for a later date.
Change the delivery address Customers can update their parcel's destination with a single tap if it remains within the same region.

Additionally, 3.8 million registered delivery preferences now allow users to further customize their logistics experience. As part of bpost's ongoing digital transformation, the app continues to evolve, reinforcing our commitment to efficiency, transparency, and customer-centric innovation.

Merging physical and digital: the rise of 'phygital' logistics

E-commerce is evolving beyond transactions – it's about immersive brand experiences. Recognizing this shift, Staci Create introduced Staci Unboxing, a solution that transforms packaging into a personalized, brand-defining moment.

By blending physical and digital ('phygital') elements, Staci Unboxing helps brands:

Deliver premium, engaging experiences that delight customers
Reinforce brand identity with custom design and messaging
Build lasting customer loyalty through memorable unboxing moments

This innovation strengthens bpostgroup's hybrid logistics approach, merging fulfillment expertise with digital engagement to elevate the e-commerce experience.

bpostgroup expands its global reach with Staci acquisition

The acquisition of Staci in 2024 expanded bpostgroup's contract logistics expertise, further reinforcing its position in high-value, flexible logistics.

Founded in 1989, Staci specializes in flexible contract logistics, with expertise in complex order fulfillment, warehousing, and freight forwarding. Initially focused on non-commercial goods like point-of-sale materials (POSM), it has since expanded into commercial products and e-commerce fulfillment for B2B, B2C, and D2C customers. Operating 66 logistics hubs and over 900,000 sqm of warehouse space across France, Europe, the US, and Asia, Staci supports industries from retail to medical devices. Its freight forwarding and specialized supply chain services also facilitate field operations, managing spare parts distribution and returns for engineers and technicians.

Simplified e-commerce integration with Radial & Shopify

In 2024, Radial and Shopify strengthened their partnership, launching the Radial Fulfillment Connector to streamline logistics for e-commerce merchants. This tool seamlessly integrates Shopify stores with Radial's fulfillment network, simplifying inventory management, order processing, and shipping. By leveraging the Shopify Fulfillment API, merchants receive real-time order and inventory updates, reducing technical complexities and accelerating time-to-market.

AI-driven fraud protection with "Pay by Bank"

Primarily focused on the U.S. market, Radial's "Pay by Bank", powered by Link Money, transforms e-commerce payments by cutting transaction fees by up to 80% compared to traditional card payments. This system bypasses costly intermediaries through direct bank-tobank transfers, allowing merchants to retain more revenue while offering consumers a secure, streamlined payment experience.

To further enhance security, AI-driven fraud detection continuously monitors transactions in real time, identifying risks, preventing fraud, and reducing chargebacks. This advanced fraud prevention system strengthens payment security while ensuring a seamless, cost-effective transaction process for both merchants and shoppers.

With these innovations, Radial is optimizing e-commerce operations, cutting costs, and enhancing security, reinforcing its role as a leader in digital logistics solutions.

An Advanced-Automation Partnership

doTERRA, a global leader in essential oils and wellness products, partnered with Radial Europe in 2012 to streamline its growing logistics operations. As the company expanded across Europe, Radial introduced advanced automation in 2024, enabling order fulfillment within 3 to 6 hours and ensuring real-time inventory tracking. In collaboration with KNAPP, Radial upgraded warehouse systems and expanded capacity to handle high-volume logistics with greater efficiency. This seamless, automated fulfillment process has strengthened doTERRA's global supply chain, ensuring faster, more reliable deliveries and continued business growth.

"We have that trusting relationship. I would choose three words to describe it: rock-solid partnership. Faced with challenges in an ever-changing world, our collaboration brings problem-solving skills. This makes us stand out as a rock-solid partnership that is mutually beneficial."

Mark Wilkinson, Director Operations EMEA, doTERRA

Innovation

Innovation drives our future-ready approach to logistics.

Key initiatives:

Driving sustainable logistics with the CO₂ calculator
Product innovation: seamless sending and receiving registered mail
Ecozones: reducing carbon emissions in last-mile delivery
Expansion to B2B services, enhancing end-to-end solutions

Driving sustainable logistics with the CO₂ calculator

As sustainability gains importance, bpost is committed to providing eco-friendly solutions in Belgium. In 2024, we introduced the CO₂ calculator, enabling businesses to assess and reduce the carbon footprint of each parcel they ship. This tool offers precise, transparent emissions data based on weight, distance and other variables, empowering customers to make informed, sustainable choices. Compliant with ISO 14083 and the GLEC Framework, it also helps businesses meet future environmental regulations. By integrating innovation and accountability, bpostgroup supports a greener supply chain, ensuring greater transparency and sustainability in logistics.

Product innovation: seamless sending and receiving registered mail

In 2024, bpost made sending and receiving registered mail easier with a range of new digital features. Customers can now receive notifications via the My bpost app, personalize delivery preferences through secured identification using itsme®. Proxies can receive the registered mail via unique QR codes, and sending registered mail is simplified with the ability to create shipping labels directly through the app. These upgrades enhance convenience, flexibility, and efficiency while maintaining the legal reliability of registered mail.

Ecozones: reducing carbon emissions in last-mile delivery

bpost is making urban deliveries greener in Belgium, with Ecozones – designated areas where all deliveries are made without CO₂ emissions using electric vehicles. By developing a dense network of pick-up points and parcel lockers, bpost reduces delivery distances, cutting emissions significantly. Customers who collect their parcels on foot or by bike contribute even further, helping to lower CO₂ emissions by up to 90% compared to home delivery. This initiative supports sustainable urban logistics, making parcel delivery more eco-friendly for both businesses and consumers.

Expansion to B2B services, enhancing end-to-end solutions

Traditionally focused on B2C logistics, bpostgroup is expanding its B2B offerings, tapping into new opportunities with businesses that require customized logistics solutions. This shift recognizes the growing demand for omnichannel supply chains, where retailers and enterprises need seamless integration between warehouses, stores, and end customers. By leveraging its expertise in parcel delivery, warehousing, and fulfillment, bpostgroup is now a key player in business-to-business logistics, providing everything from inventory replenishment to specialized delivery solutions for sectors like retail, spare parts and healthcare. This strategic move ensures that companies can optimize their logistics operations with a single, trusted partner.

Conclusion

At bpostgroup, customer value drives our transformation. As society faces new challenges, we recognize our responsibility to adapt and contribute. As we evolve from a postal company to a leading logistics provider, we remain committed to seamless, high-quality, and futureready solutions. Our focus on customer centricity, digitalization, quality, and innovation ensures faster, smarter, and more sustainable logistics for businesses and individuals alike.

We are strengthening our ability to serve customers with precision and agility. Whether supporting global business expansion or ensuring reliable international deliveries, bpostgroup provides tailored logistics solutions across Europe, North America, and Asia.

As we look ahead, our mission remains unchanged: at bpostgroup, we deliver more than just mail and parcels—we provide trust, convenience, and a global competitive edge.

5. Governance

5.1 Corporate governance statement

Reference Code and introduction

In this Corporate Governance Statement, the Company outlines the key aspects of its corporate governance framework. This framework is consistent with the rules and principles set out in the Law of March 21, 1991 on the reform of certain economic public companies, as amended from time to time (the "1991 Law"), the Belgian Code of Companies and Associations¹ (the "BCCA"), the Articles of Association, and the Corporate Governance Charter.

As a public limited liability company under public law, the Company is governed by the BCCA, unless stipulated otherwise in the 1991 Law or other Belgian laws or regulations.

Articles of Association

The latest version of the Articles of Association was adopted at the General Shareholders' Meeting of May 13, 2020 and was approved by the Royal Decree of December 6, 2020² .

The main characteristics of the Company's governance model are the following:

The Board of Directors sets the Company's general policy and strategy and oversees operational management;
The Board of Directors has set up a Strategic Committee, an Audit, Risk & Compliance Committee, a Remuneration and Nomination Committee and an ESG Committee to assist and make recommendations to the Board of Directors;
An Ad Hoc Committee consisting of at least 3 independent directors of the Board of Directors, which is established and intervenes if and when the procedure prescribed by Article 7:97 of the BCCA must be applied;
The Chief Executive Officer ("CEO") is responsible for operational management; the Board of Directors has delegated the powers of day-today management to the CEO;
The Executive Committee assists the CEO with operational management;
There is a clear division of responsibilities between the Board of Directors and the CEO.

1 Dated March 23, 2019. This Code was published in the Belgian Official Gazette on April 4, 2019.

2 This Royal Decree was published in the Belgian Official Gazette on December 29, 2020. In accordance with article 41, §4 of the 1991 Law, any amendment to the Articles of Association must be approved by a Royal Decree following a debate in the Council of Ministers.

() Composition of the Executive Committee as of March 1, 2025*

Corporate Governance Charter

The Board of Directors adopted the Corporate Governance Charter on May 27, 2013. The Charter has been in effect since June 25, 2013 and was last amended by the Board of Directors' decision of December 11, 2023.

The Board of Directors regularly reviews the Corporate Governance Charter and adopts any changes deemed necessary and appropriate.

The Corporate Governance Charter contains rules with respect to:

the corporate governance structure: the Company applies a "one-tier" governance structure in accordance with Article 7:85 of the BCCA;
the duties of the Board of Directors, Board Committees, Executive Committee, and CEO;
the responsibilities of the Board of Directors' Chair and Corporate Secretary;
the requirements that apply to the Board of Directors' members to ensure that they have adequate experience, expertise, and competences to fulfill their duties and responsibilities;
the disclosure system on mandates held and rules aimed at avoiding conflicts of interests and providing guidance on how to inform the Board of Directors in a transparent way if conflicts occur, and a prohibition on director participation in the deliberations and voting on any matter in which he or she has a conflicting interest of a financial nature.

In accordance with provision 1.1 of the 2020 Belgian Code on Corporate Governance, at least once every five years, the Board of Directors should examine whether the chosen governance structure is still appropriate and, if not, it should propose a new governance structure to the General Meeting of Shareholders. On 26 February 2025, after an in-depth analysis, the Board of Directors confirmed that the current one-tier governance structure remains suitable for bpost's operational and strategic needs and decided to maintain this structure, until the next recommended review (no later than 2030).

Reference Corporate Governance Code

The 2020 Belgian Code on Corporate Governance³ (the "Corporate Governance Code") is the reference corporate governance code applicable to the Company. The Corporate Governance Code is based on a "comply or explain" approach. Belgian listed companies are required to follow the Corporate Governance Code, but may deviate from its provisions if they disclose the justification for any such deviation.

3 The Corporate Governance Code is available on the website of the Corporate Governance Committee (www.corporategovernancecommittee.be).

Deviations from the Corporate Governance Code

During the financial year 2024, the Company complied with the Corporate Governance Code, except for the following 4 deviations:

the Corporate Governance Code (provision 5.6) states that the term of a board mandate should not exceed 4 years. However, Christiaan ("Chris") Peeters was appointed at the Special General Shareholders' Meeting of November 23, 2023 as director for a term ending after 6 years as from November 1, 2023. This is the same duration as his mandate as CEO. Linking Chris' board mandate to his mandate as CEO, instead of setting a term of 4 years, was justified and even necessary to ensure continuity in the organization and management of the Company, and contributes to the achievement of the Company's long-term objectives.
the Corporate Governance Code (provision 7.6) provides that non-executive directors should receive part of their remuneration in the form of shares in the company to allow them to act from the perspective of a long-term shareholder. The Company deviates from this principle, and does not award any share-based remuneration to the non-executive members of the Board of Directors. Taking into account the current remuneration as well as the independence of the non-executive directors, the Company is of the view that granting remuneration in shares would not necessarily contribute to the objectives of the Corporate Governance Code, and believes that its Remuneration Policy already achieves the objective of enabling non-executive directors to act from the perspective of a long-term shareholder and reduces the likelihood of conflicts of interest. Moreover, per December 31, 2024, 6 of the 12 non-executive Directors were appointed upon nomination by the reference shareholder and, based on a survey of Spencer Stuart, many listed companies do not pay their non-executives directors in shares, including other Belgian state-owned listed companies. Therefore, the Company considers that such deviation from provision 7.6 of the Corporate Governance Code is justified.
the Corporate Governance Code (provisions 7.7 and 7.9) states that executives should hold a minimum number of shares in the company and receive an appropriate balance of cash and deferred remuneration. However, the members of the Executive Committee are not required to hold a minimum number of shares in the company and, apart from Thomas Mortier (see below the Remuneration Report), are not awarded any equity-based remuneration (shares, stock-options or other rights to acquire shares) and, under the Remuneration Policy as first approved by the General Shareholders' Meeting of May 12, 2021, no part of their remuneration was deferred. This deviation from the Corporate Governance Code is in line with the majority shareholder's expectation and the Company considers it to be justified as the Board of Directors is convinced that such remuneration package of executives contributes to achieving the objectives of promoting sustainable value creation and strategic objectives, as well as attracting and retaining talents. To further align the Remuneration Policy with the Corporate Governance Code in general and to ensure that the actions and initiatives taken by the executives are guided by longterm interests in particular, a long-term incentive plan has been introduced by the revised Remuneration Policy as approved by the Special General Shareholders' Meeting of November 23, 2023.
the Corporate Governance Code (provision 7.12) provides that contracts with executives should include clawback provisions. There are no specific contractual clawback provisions in favor of the Company for the short-term variable remuneration paid out to the members of the Executive Committee who were in office on November 23, 2023⁴ (excluding the CEO). The long-term incentive for the member of the Executive Committee located in the United States as applicable under the Remuneration Policy approved in 2021, is not subject to any clawback provisions either. This deviation from the Corporate Governance Code is justified as the variable remuneration of members of the Executive Committee is capped, and does not represent a significant portion of their remuneration package. In these circumstances, the insertion of clawback provisions with regard to the payment of variable remuneration to executives would have a limited influence in the pursuit of long-term and sustainable value-creation objectives. In addition, the number of situations that could give rise to a clawback is very limited, as grants of variable remuneration will be based on audited financial information. To further align the Remuneration Policy with the Corporate Governance Code, the CEO and Executive Committee members appointed after November 23, 2023 are awarded their short-term variable remuneration subject to clawback provisions. The long-term variable remuneration as introduced (for the Executive Members not employed by a US entity) or amended (for the Executive Members employed by a US entity) by the Remuneration Policy revised in 2023, is also subject to clawback provisions.

Board of Directors

Composition

General rules governing the composition of the Board of Directors

The composition of the Board of Directors is governed as described below:

the Board of Directors consists of a maximum of 12 directors, including the CEO, and comprises only non-executive directors, except for the CEO;
all directors are appointed by the General Shareholders' Meeting by simple majority, on proposal by the Board of Directors and from candidates nominated by the Remuneration and Nomination Committee;
directors are appointed for a renewable term of a maximum of 4 years, to the extent that the total term of their mandate (as renewed) does not exceed 12 years. To ensure continuity in the organization, these limitations do not apply to the CEO;
any shareholder holding at least 15% of the Company's shares has the right to nominate directors for appointment pro rata its shareholding ("nomination right"). Directors appointed upon nomination by a shareholder can be independent, provided they fulfill the general independence criterion laid down in Article 7:87 of the BCCA (also considering the specific independence criteria laid down in provision 3.5 of the Corporate Governance Code and article 4.2.6 of the Corporate Governance Charter), but do not have to be independent;
all directors, other than the CEO and those appointed through the aforementioned nomination right, must be independent directors. In any case, the Board of Directors must comprise at all times at least 3 directors fulfilling the general independence criterion laid down in Article 7:87 of the BCCA, also considering the specific independence criteria laid down in provision 3.5 of the Corporate Governance Code and article 4.2.6 of the Corporate Governance Charter. The Corporate Governance Charter further provides that at least half of the directors must at all times meet the independence criteria as set out in provision 3.5 of the Corporate Governance Code;
any director can be removed by decision of the General Shareholders' Meeting by simple majority;
should any director mandate become vacant, the remaining directors have the right, in accordance with Article 7:88 of the BCCA, to temporarily fill such vacancy until the next General Shareholders' Meeting.

The current composition of the Board of Directors complies with:

the gender representation requirements set forth in (i) Article 18, §2bis of the 1991 Law and (ii) Article 7:86 of the BCCA; and
the language requirements set forth in Article 16, 20, §2, 54/6, 5° and 148bis/1 of the 1991 Law.

Finally, the Company applies a diversity policy in relation to its administrative, management, and supervisory bodies with regard to aspects such as age, gender, disability, educational and/or professional backgrounds. A description of this policy, its objectives, how it has been implemented, and the results in the reporting period is provided further in this Annual Report.

The Board of Directors was, per December 31, 2024, composed of the following 12 members:

Members of the Board of Directors appointed by the General Shareholders' Meeting upon nomination of the Belgian State

NAME	POSITION	FIRST APPOINTMENT AS DIRECTOR	TERM
Chris Peeters (6)	Chief Executive Director	2023	2029
Audrey Hanard (1) (2)	Chair of the Board and Non-Executive Director	2021	2025
Ann Caluwaerts (5)	Non-Executive Director	2023	2027
Véronique Thirion (6)	Non-Executive Director	2023	2027
Denis Van Eeckhout (6)	Non-Executive Director	2023	2027
Ann Vereecke (5)	Non-Executive Director	2023	2027

Members of the Board of Directors appointed by the General Shareholders' Meeting

NAME	POSITION	FIRST APPOINTMENT AS DIRECTOR	TERM
David Cunningham (4)	Independent Director	2022	2026
Lionel Desclée (1)	Independent Director	2021	2025
Jules Noten (1)	Independent Director	2021	2025
Sonja Rottiers (1)	Independent Director	2021	2025
Michael Stone (3)	Independent Director	2014	2026
Sonja Willems (1)	Independent Director	2021	2025

(1) Appointed by the General Meeting of Shareholders of the Company held on May 12, 2021.

(2) Appointed as Chair by a Board of Directors decision of May 12, 2021.

(3) Appointed by the General Meeting of all Shareholders of the Company other than Public Institutions held on September 22, 2014.

His mandate was renewed by the General Meetings of Shareholders respectively held on May 9, 2018 and on May 11, 2022.

(4) Appointed by the General Meeting of Shareholders of the Company held on May 11, 2022.

(5) Appointed by the General Meeting of Shareholders of the Company held on May 10, 2023.

(6) Appointed by the General Meeting of Shareholders of the Company held on November 23, 2023.

Changes in the composition of the Board of Directors

There was no change in the composition of the Board of Directors in 2024.

At the close of the annual General Meeting of Shareholders of May 14, 2025, the mandate of Audrey Hanard as director appointed upon nomination by the Belgian State and the mandate of Lionel Desclée, Jules Noten, Sonja Rottiers and Sonja Willems as independent directors will expire.

The Remuneration and Nomination Committee and the Board of Directors have begun a process to find candidate directors to fill the vacant mandates.

Newly elected directors are invited to participate in an induction program aimed at acquainting them with the Company's activities and organization as well as with the rules laid down in the Corporate Governance Charter. This program includes visiting operational and sorting centers.

Powers and functioning

Powers and responsibilities of the Board of Directors

The Board of Directors is vested with the power to perform all acts that are necessary or useful for the realization of the Company's purpose, except for those actions that are specifically reserved by law or the Articles of Association to the General Shareholders' Meeting or other management bodies.

In particular, the Board of Directors is responsible for:

defining and regularly reviewing the medium- and long-term strategy, as well as the general policy orientations of the Company and its subsidiaries;
deciding all major strategic, financial and operational matters of the Company and its subsidiaries;
ensuring that the Company's culture is supportive of the realization of its strategy and that it promotes responsible and ethical behavior;
overseeing the management of the Company by the CEO and the Executive Committee;
all other matters reserved to the Board of Directors by the BCCA or the 1991 Law.

The Board of Directors is entitled to delegate special and limited powers to the CEO and other members of senior management and can allow sub-delegation of said powers. On December 12, 2024, the Board of Directors approved a delegation policy formalizing the delegation of specific powers by the Board of Directors to the CEO and other members of the Executive Committee. This policy, which does not affect the powers granted to the Board of Directors by or pursuant to the Articles of Association, has been published in the Annexes to the Belgian Official Gazette.

Functioning of the Board of Directors

The Board of Directors is called by the CEO or the Chair whenever the interests of the Company so requires or at the request of at least two directors. The Board of Directors meets in any event not less than five times a year. In 2024, the Board of Directors met 20 times.

In general, the Board of Directors' and Board Committees' decisions are taken by simple majority of the directors present or represented, although for certain Board matters a two-thirds' majority is required (such as, e.g., decisions on the approval of all renewals or amendments to the management contract and certain decisions on the administrative law status of statutory employees). In the case of a tie, the Chair has a casting vote.

The Corporate Governance Charter reflects the principles by which the Board of Directors and the Board Committees operate.

The Corporate Governance Charter provides, inter alia, that the Board of Directors' decisions of strategic importance, including the adoption of the business plan and the annual budget and decisions regarding strategic acquisitions, alliances and divestitures must be prepared by a standing or an ad hoc Board Committee. For any such decisions, the Board of Directors shall strive to achieve broad support across its various constituencies, it being understood that, following appropriate dialogue and consultations, the Board of Directors' Chair may call for a decision and the proposal shall carry if adopted by a majority of the votes cast.

Evaluation process of the Board of Directors

Under the Chair's lead, the Board of Directors conducts regular evaluations of its scope, composition, and performance, along with those of the Board Committees, as well as the interaction with the Executive Committee. If needed, the Chair shall propose the necessary measures to remedy any weaknesses of the Board of Directors or of any Board Committee.

The Board of Directors conducted an external assessment on its functioning and composition. The external assessment was led by Guberna and took place between June and November 2024. The results of this assessment were presented to the Board of Directors in December 2024 and initiatives were prepared to ensure that the functioning of the Board of Directors and the Board Committees always continues to improve. Initiatives derived from the assessment will be implemented in 2025 and the Board of Directors continues to look for opportunities to implement additional initiatives derived from such assessment.

The Board of Directors continuously evaluates and improves its functioning to steer the Company ever better and more efficiently.

Transactions between the Company, its Board members and executive managers

A general policy on conflicts of interest applies within the Company and prohibits any direct and indirect conflict of interests of a financial nature by a member of the Board of Directors with a decision or a transaction that is within its competences.

The conflicts of interest procedure laid down in Article 7:96 of the BCCA has not been applied in 2024.

Transactions between the Company and its related parties

The related party transactions procedure set forth in Article 7:97 of the BCCA must be observed for any transactions or decisions regarding related parties of the Company (other than those exempted under Article 7:97, §1, section 3 of the BCCA).

In 2024, the Company applied the procedure in the context of (i) the tender launched by the Belgian State to provide 679 services and (ii) the amendment of the Relationship Agreement following the transfer of the shares held by the Belgian State into bpost to the SFPIM. The announcements regarding these transactions and decisions, if any, are available on the Company's website.

Committees of the Board of Directors

The Board of Directors has established 4 Board Committees that assist the Board of Directors and make recommendations in specific fields: (i) the Strategic Committee, (ii) the Audit, Risk & Compliance Committee (in accordance with Article 7:99 of the BCCA), (iii) the Remuneration and Nomination Committee (in accordance with Article 7:100 of the BCCA) and (iv) the ESG Committee. The terms of reference of these Board Committees are set out in the Corporate Governance Charter. These Board Committees are advisory committees. Strategic decision-making remains the responsibility of the Board of Directors as a whole.

Strategic Committee

The Strategic Committee advises the Board of Directors on strategic matters and shall in particular:

regularly review industry, competitive and market developments against the objectives and strategies of the Company and its subsidiaries and recommend corrective actions if required;
assist and provide guidance to management in the preparation of strategic files for review by, and related discussions of, the Board of Directors. This includes without limitations: assisting and providing guidance to management on (i) the vision, mission & strategies of the company, (ii) strategic options and scenarios, (iii) value propositions, (iv) strategic canvas to monitor execution of the long-term strategy through strategic objectives, milestone plans and targets, and (v) business and implementation planning files in general;
review and refine strategic files with the management prior to being presented and proposed to the Board of Directors;
review strategic transactions or initiatives proposed by the Board of Directors, CEO or Executive Committee, including acquisitions and divestitures, strategic alliances or any longer-term cooperation agreements, and the entry into new markets or geographic areas;
monitor the progress of strategic projects and initiatives and of the business plan in line with the Company's progress against strategic objectives, using predefined and agreed KPIs and provide feedback and recommendations to the Board of Directors on the results and on corrective actions if required;
review the results of strategic transactions (e.g., acquisitions, mergers, disposals) against the foreseen value of the transaction to the Company and recommend action to the Board of Directors as required;
make reports to the Board of Directors on its activities including an annual review of the performance of the committee and any recommendations for changes in the scope of its duties, composition and working practices.

The Strategic Committee consists of a maximum of 6 directors. The Strategic Committee's Chair is designated by the Strategic Committee's members.

The Strategic Committee was, per December 31, 2024, composed of the following 6 members:

NAME	POSITION
Lionel Desclée (Chair)	Independent Director
Michael Stone	Independent Director
Jules Noten	Independent Director
Ann Caluwaerts	Non-Executive Director
Ann Vereecke	Non-Executive Director
Chris Peeters	CEO

The Strategic Committee met 7 times in 2024.

Audit, Risk & Compliance Committee

The Audit, Risk & Compliance Committee advises the Board of Directors on accounting, audit, and internal control matters, and shall in particular be in charge of:

monitoring the integrity of the Company's financial statements and the Company's accounting and financial reporting processes and financial statements audits as well as the Company's budget;
together with the ESG Committee,
- informing the Board of Directors on the results of the assurance of the sustainability information and explaining how the assurance of sustainability reporting contributed to the integrity of sustainability reporting, and what the role of the audit committee was in that process;
- monitoring the sustainability reporting process and submitting recommendations or proposals to ensure its integrity;
- monitor the effectiveness of the internal quality control and risk management systems and the internal audit in this regard; - monitoring the assurance of the sustainability information;
monitoring and overseeing the effectiveness of the Company's internal control and risk management framework;
monitoring the internal audit function and its effectiveness;
monitoring the performance of the Joint Auditors and the statutory audit of the annual and consolidated accounts, including any follow-up on any questions and recommendations made by the Joint Auditors;
reviewing and monitoring the independence of the Joint Auditors, especially in view of the provisions of the BCCA;
proposing candidates to the Board of Directors for the 2 Auditors to be appointed by the General Shareholders' Meeting;
informing the Board of Directors on the results of the statutory audit and the performance of its tasks;
appointing, dismissing, replacing, and annually evaluating the performance of the Chief Audit Officer;
addressing risk management and governance within the Company, notably in light of the Company's strategy and fostering an appropriate risk culture;
approving and reviewing the Company's risk management policy and process aiming at identifying, managing and monitoring critical risks and following the implementation of such policy and process;
closely following the process for risk identification within the Company and overseeing the risk exposure of the Company: this includes developing a view into critical risks and exposures and management's strategy for addressing them;
regularly advising and reporting to the Board of Directors on risk strategy and risk exposure and informing the Board of Directors of the implementation of the risk management policy and process;
reviewing risks and opportunities of the strategy as identified by the Company's strategic risk assessment and other key factors, such as: relevant industry trends and changes, emerging or evolving competitive activity, governmental or legislative developments, the Company's performance against the financial targets agreed by the Board of Directors and communicated to the shareholders;
monitoring the Company's potential or emerging compliance risks that are of a significant nature based on the Company's business operations and regulatory environments;
closely following any audits, reviews and investigations into potential compliance violations at the Company of a significant nature and the steps that have been taken to monitor, correct and/or mitigate such violations or risk of future violations;
reporting to the Board of Directors the main findings from reviews and investigations into potential compliance violations of a significant nature;
monitoring the implementation of, and providing oversight for, an effective compliance management system at the Company that is designed to ensure that the Company achieves the related objectives set by the Audit, Risk & Compliance Committee and Board of the Directors;
ensuring that the programs underlying the Company's compliance management system are adequately resourced;
reviewing periodically the structure, operation and effectiveness of the Company's compliance management system and making recommendations in this regard to the Board of Directors;
in general setting a tone of fostering a culture of compliance and ethics at the Company.

The Audit, Risk & Compliance Committee consists of a maximum of 5 non-executive directors, with at all times a majority of independent directors. The Audit, Risk & Compliance Committee's Chair must be an independent director and is designated by the Audit, Risk & Compliance Committee's members.

Collectively, the Audit, Risk & Compliance Committee's members have sufficient relevant expertise in the field of accounting and audit to fulfill their roles effectively, notably in financial matters. Sonja Rottiers is competent in accounting, internal control and risk management, as evidenced by her current positions as director of Belgian Finance Center VZW and independent director of Kinepolis Group NV and Matexi NV. Moreover, she has more than 35 years of professional experience in the financial industry (e.g., as CEO of Lloyd's Insurance Company, CFO of AXA Belgium and Dexia Insurance). The other members of the Audit, Risk & Compliance Committee hold or have held several board or executive mandates in top-tier companies or organizations.

The Audit, Risk & Compliance Committee was, as of December 31, 2024, composed of the following 5 members:

NAME	POSITION
Sonja Rottiers (Chair)	Independent Director
David Cunningham	Independent Director
Véronique Thirion	Non-Executive Director
Denis Van Eeckhout	Non-Executive Director
Michael Stone	Independent Director

The Audit, Risk & Compliance Committee met 8 times in 2024.

Remuneration and Nomination Committee

The Remuneration and Nomination Committee advises the Board of Directors principally on matters regarding the appointment and remuneration of members of the Board of Directors, CEO and Executive Committee members and shall in particular:

identify Board of Directors candidates to fill vacancies as they arise, thereby considering proposals made by relevant parties, including shareholders;
nominate for appointment candidates for the mandate of member of the Board of Directors (whether or not in application of the nomination right set forth in article 14, §2 of the Articles of Association);
advise the Board of Directors on the appointment of the Chair of the Board of Directors;
advise the Board of Directors on the appointment of the CEO and on the CEO's proposals for the appointment of other members of the Executive Committee;
advise the Board of Directors on the remuneration of the CEO and the other members of the Executive Committee, including arrangements on early termination;
advise the Board of Directors on the remuneration of the Board of Directors members;
review the remuneration (long-term share-based or cash-based, and short-term incentive schemes) of the directors, members of the Executive Committee and employees;
review periodically the performance evaluation processes at the Company;
establish performance targets and conduct performance reviews for the CEO and other members of the Executive Committee;
advise the Board of Directors on talent management, diversity & inclusiveness policies and in general HR policies;
review periodically the Company's stated values, desired leadership behaviors, and related elements that define the culture at the Company;
prepare and submit the remuneration report to the Board of Directors;
advise the Board of Directors on the remuneration policy to be submitted, as the case may be, to the Shareholders' Meeting;
lead the process for succession planning for Board of Directors and Executive Committee members taking into account the challenges and opportunities facing the Company, the skills and expertise needed in each position and the appropriate balance of skills, knowledge, experience and diversity to be maintained on the Board of Directors and its committees;
lead talent profile definition for Board members and Executive Committee members taking into account the required skills and expertise needed in each position and the competencies generally needed at the Company in light of the challenges and opportunities facing the Company.

The Remuneration and Nomination Committee consists of a minimum of 3 and a maximum of 5 non-executive directors, with at all times a majority of independent directors.

The Chair of the Board of Directors chairs the Remuneration and Nomination Committee.

Collectively, Remuneration and Nomination Committee's members have sufficient relevant expertise with regard to remuneration policies to fulfil their roles effectively.

The Remuneration and Nomination Committee was, per December 31, 2024, composed of the following 5 members:

POSITION
Chair of the Boardand Non-Executive Director
Independent Director
Independent Director
Independent Director
Non-Executive Director

The Remuneration and Nomination Committee met 10 times in 2024.

ESG Committee

The ESG (environmental, social and governance) Committee advises the Board of Directors principally on matters regarding the Company's ESG strategy and activities, including the preparation and implementation of ESG initiatives and supporting the group in developing a position as a global leader in ESG performance.

The ESG Committee consists of a maximum of 6 directors. The ESG Committee's Chair is designated by the ESG Committee's members.

The ESG Committee was, per December 31, 2024, composed of the following 5 members:

NAME	POSITION
Sonja Willems (Chair)	Independent Director
Ann Vereecke	Non-Executive Director
Audrey Hanard	Chair of the Board and Non-Executive Director
Denis Van Eeckhout	Non-Executive Director
Jules Noten	Independent Director

The ESG Committee met 3 times in 2024.

Executive Management

CEO

The CEO, Chris Peeters, was appointed by the Board of Directors upon recommendation of the Remuneration and Nomination Committee, for a term ending after 6 years as from November 1, 2023.

The CEO is vested with (i) the day-to-day management of the Company and the representation of the Company in respect of such management in accordance with article 7:121 of the BCCA, (ii) the implementation of the decisions of the Board of Directors and (iii) the special powers delegated to him or her by the Board of Directors in accordance with Articles 18, §2 and 25 of the Articles of Association. The CEO reports regularly to the Board of Directors.

The CEO can be removed by the Board of Directors by simple majority.

Executive Committee

The Company's operational management is ensured by the Executive Committee under the leadership of the CEO. The Executive Committee consists of a maximum of 9 members, who are appointed (for the duration determined by the Board of Directors) and removed by the Board of Directors, upon proposal of the CEO and after having received the advice of the Remuneration and Nomination Committee.

The Executive Committee convenes regularly at the invitation of the CEO. The Executive Committee is assisted by the Company Secretary.

The individual members of the Executive Committee exercise the special powers delegated to them by the Board of Directors or the CEO, as the case may be. Within the limits of these powers, the members of the Executive Committee may assign to one or more members of the Company's staff special and limited powers. The Executive Committee members may allow sub-delegation of these powers.

The Executive Committee was, as of December 31, 2024, composed of the following members:

NAME	FUNCTION
Chris Peeters	CEO
Anette Böhm	Chief Human Resources Officer
Frank Croket	Chief Digital Officer
Philippe Dartienne	CFO
Jozef ("Jos") Donvil	CEO BeNe Last Mile
Nicolas Baise	Chief Transformation Officer
James Edge	CEO Global Crossborder
Thomas Mortier	CEO 3PL Europe
Christel Dendas	Chief Commercial Officer

1991 Law Committee

The 1991 Law contains several provisions detailing the composition, appointment, and functioning of a "1991 Law Committee". However, the powers of the 1991 Law Committee are limited to the negotiation of the Management Contract with the Belgian State (it being understood that the Management Contract requires the subsequent approval of the Board of Directors).

The 1991 Law Committee was, as of December 31, 2024, composed of the CEO, who chairs the Committee, and two other members (one Dutch-speaking member and one French-speaking member): Jos Donvil and Nicolas Baise.

Company Secretary

The Board of Directors and the Advisory Committees are assisted by the Company Secretary, Ross Hurwitz, who is also the Company's Chief Legal Officer. He was appointed in such qualities on September 23, 2021.

Joint Auditors

The Joint Auditors audit the Company's financial condition as well as consolidated and unconsolidated financial statements. There are four Joint Auditors: (i) two Auditors appointed by the General Shareholders' Meeting and (ii) two Auditors appointed by the Court of Audit, the Belgian institution responsible for the verification of public accounts (Cour des Comptes/Rekenhof). The Joint Auditors are appointed for renewable terms of three years. The General Shareholders' Meeting determines the remuneration of the Joint Auditors.

Also the assurance of the consolidated sustainability reporting has been entrusted to the two Auditors appointed by the General Shareholders' Meeting⁵ .

The Joint Auditors of the Company were, as of December 31, 2024:

EY Réviseurs d'Entreprises–Bedrijfsrevisoren SRL/BV ("EY"), represented by Mr. Han Wevers (member of the Institut des Réviseurs d'Entreprises/Instituut van de Bedrijfsrevisoren), Kouterveldstraat 7B, box 1, 1831 Machelen, Belgium (its mandate was renewed by the annual General Shareholders' Meeting on May 8, 2024, and will expire after the annual General Shareholders' Meeting to be held in 2027);
PVMD Bedrijfsrevisoren Réviseurs d'Entreprises CV/SC ("PVMD"), represented by Mr. Alain Chaerels (member of the Institut des Réviseurs d'Entreprises/Instituut van de Bedrijfsrevisoren), Avenue d'Argenteuil 51, 1410 Waterloo, Belgium (its mandate was renewed by the annual General Shareholders' Meeting on May 8, 2024, and will expire after the annual General Shareholders' Meeting to be held in 2027);
Mr. Dominique Guide, Advisor to the Court of Audit (Rekenhof/Cour des Comptes), Rue de la Régence 2, 1000 Brussels, Belgium (he was appointed by the Court of Audit on June 1, 2023 until May 31, 2026); and
Mrs. Hilde François, first Chair of the Court of Audit (Rekenhof/Cour des Comptes), Rue de la Régence 2, 1000 Brussels, Belgium (she was appointed by the Court of Audit on October 1, 2024 until September 30, 2027).

EY and PVMD are responsible for the audit of the Company's financial statements. For the year ended December 31, 2024, EY and PVMD received 1,433,984 EUR (excluding value added tax) in fees for the audit of the financial statements of the Company and its subsidiaries, 142,500 EUR (excluding value added tax) in fees for the assurance of the consolidated sustainability reporting and 365,333 EUR (excluding value-added tax) in fees for non-audit services. The two auditors appointed by the Court of Audit received 95,809 EUR in remuneration for their services in connection with the audit of the Company's non-consolidated financial statements for the year ended December 31, 2024.

Shareholding structure and shareholders rights

The Company's shares are registered or dematerialized. On December 31, 2024, the Company's share capital was represented by 200,000,944 shares, admitted to trading on the regulated market of Euronext Brussels.

On December 31, 2024, the Belgian State (indirectly via SFPI/FPIM) held 102,075,649 (51.04%) of the Company's shares. The remaining 97,925,295 shares are held by retail shareholders and European and international institutional shareholders.

In 2024, the Company received one transparency declaration disclosing that a notification threshold had been reached (or crossed upward or downward) in accordance with the Law of May 2, 2007 on the disclosure of significant shareholdings in listed companies and the Articles of Association. All transparency notifications are available on the Company's website https://bpostgroup.com/investors/ transparency-declarations.

The Company's shares are freely transferable, provided that, according to Article 147bis of the 1991 Law and Article 11 of the Corporate Governance Charter, the direct participation of Public Institutions in the registered capital has to exceed 50%.

On December 31, 2024, the Company did not hold any of its own shares.

Each share entitles its holder to one vote. Apart from the restrictions on voting rights imposed by law, the Articles of Association provide that, if shares are held by more than one owner, are pledged, or if the rights attached to the shares are subject to joint ownership, usufruct or any other kind of split of such rights, the Board of Directors may suspend the exercise of the rights attached to such shares until one person has been appointed as the sole representative of the relevant shares vis-à-vis the Company.

Remuneration Report

This remuneration report of bpost NV/SA (the "Remuneration Report") is established in accordance with article 3:6, §3 of the Belgian Code of Companies and Associations (the "BCCA"), the Belgian Code of Corporate Governance 2020 (the "Corporate Governance Code"), market practices and trends.

The Company considers transparency and clear communication on the principles and implementation of its remuneration policy to be essential. It therefore shares relevant information in this Remuneration Report on the remuneration paid to the members of the Board of Directors and of the Executive Committee in the financial year 2024. The Remuneration Report also includes tables providing additional insight into the total remuneration of the members of the Board of Directors and of the Executive Committee, as well as the performance realized and the pay-out of the variable remuneration.

1. Procedure for establishing the remuneration policy and setting the individual remuneration of the members of the Board of Directors and Executive Committee

In accordance with article 7:89/1 of the BCCA and the Corporate Governance Code, the Company has a specific remuneration policy (the "Remuneration Policy") setting out the remuneration principles of (i) the non-executive members of the Board of Directors, (ii) the CEO and (iii) the other members of the Executive Committee.

The current Remuneration Policy was approved by the Special General Shareholders' Meeting of November 23, 2023⁶ and has been applicable since November 23, 2023. The Remuneration Policy, together with the results of the Shareholders vote, are available on the Company's website7 . Any material change to this Remuneration Policy has to be approved by the General Shareholders' Meeting, upon recommendation of the Board of Directors and the Remuneration and Nomination Committee. In any case, the Remuneration Policy must be approved by the General Shareholders' Meeting at least every four years.

The Company distinguishes three different groups for which the remuneration is set out in this Remuneration Report:

the non-executive members of the Board of Directors;
the CEO; and
the other members of the Executive Committee.

The individual remuneration of the members of the Board of Directors and the members of the Executive Committee depends on the category they belong to.

The Remuneration and Nomination Committee regularly examines the Remuneration Policy's principles and their application and will continue to do so.

2. Total remuneration of the members of the Board of Directors, the CEO and the other members of the Executive Committee

A.Remuneration of the non-executive members of the Board of Directors

The remuneration of the members of the Board of Directors (with the exception of the CEO) consists of two elements:

a monthly fixed fee; and
an attendance fee for each Advisory Committee8 meeting attended.

The monthly fixed fee and the attendance fee are subject to automatic indexation on March 1 of each calendar year on the basis of the Consumer Health Index.

No other benefits were paid to the Board of Directors' members for their mandate.

The CEO is not entitled to any remuneration for his mandate as a member of the Board of Directors.

⁶ https://bpostgroup.com/who-we-are/bylaws-and-charters: the current Remuneration Policy was approved by the Special General Shareholders' Meeting on November 23, 2023 with a majority of 89.32% votes in favour and 10.68% votes against.

⁷ https://bpostgroup.com/who-we-are/bylaws-and-charters.

⁸ The Advisory Committees include the Strategic Committee, the Remuneration and Nomination Committee, the Audit, Risk & Compliance Committee, the ESG Committee and the Ad Hoc Committee.

Monthly fixed fee

During the financial year 2024, the members of the Board of Directors (with the exception of the CEO) received the following monthly fixed fee:

4,256.46 EUR for the Board of Directors' Chair, who also chairs the Company's Joint Committee (Paritair Comité / Commission Paritaire), as indexed on March 1, 2024;
3,192.35 EUR for the Chair of the Audit, Risk & Compliance Committee, as indexed on March 1, 2024;
2,128.23 EUR for each other director (with the exception of the CEO), as indexed on March 1, 2024.

Attendance fees

The members of the Board of Directors (with the exception of the CEO) also received an attendance fee of 2,128.23 EUR, as indexed on March 1, 2024, per attended Advisory Committee meeting, regardless of whether as Chair or member of the Advisory Committee.

Overall remuneration

For the financial year 2024, the overall remuneration paid to all the members of the Board of Directors (with the exception of the CEO) totaled 647,981.90 EUR.

The table below shows the total annual remuneration paid on an individual basis to each member of the Board of Directors (with the exception of the CEO) based on his/her participation in the Advisory Committee(s) meetings (*)(**):

BOARD OF DIRECTORS' MEMBERS	BOARD OF DIRECTORS		STRATEGIC COMMITTEE		REMUNERATION AND NOMINATION COMMITTEE		AUDIT, RISK & COMPLIANCE COMMITTEE		ESG COMMITTEE		AD HOC COMMITTEE		AD HOC REMUNERATION COMMITEE		TOTAL ANNUAL REMUNERATION (EUR)
	AMOUNT (EUR)	MEETINGS	AMOUNT (EUR)	MEETINGS	AMOUNT (EUR)	MEETINGS	AMOUNT (EUR)	MEETINGS	AMOUNT (EUR)	MEETINGS	AMOUNT (EUR)	MEETINGS	AMOUNT (EUR)	MEETINGS
ANN CALUWAERTS	25,405.84	17/20	14,831.15	7/7	19,021.15	9/10	N/A		N/A		N/A		10,641.15	5/5	69,899.29
DAVID CUNNINGHAM	25,405.84	15/20	N/A		N/A		16,892.92	8/8	N/A		2,128.23	1/3	10,641.15	5/5	55,068.14
LIONEL DESCLÉE	25,405.84	18/20	14,831.15	7/7	N/A		N/A		N/A		N/A		N/A		40,236.99
AUDREY HANARD (Chair of the Board of Directors)	50,811.68	17/20	N/A		19,021.15	9/10	N/A		6,384.69	3/3	N/A		N/A		76,217.62
JULES NOTEN	25,405.84	16/20	12,702.92	6/7	N/A		N/A		4,256.46	2/3	N/A		N/A		42,365.22
SONJA ROTTIERS (Chair of the Audit, Risk & Compliance Committee)	38,108.82	19/20	N/A		16,959.38	8/10	16,892.92	8/8	N/A		N/A		N/A		71,961.12
MICHAEL STONE	25,405.84	18/20	14,831.15	7/7	21,149.38	10/10	16,892.92	8/8	N/A		6,384.69	3/3	10,641.15	5/5	95,305.13
VÉRONIQUE THIRION	25,405.84	19/20	N/A		N/A		16,892.92	8/8	N/A		N/A		N/A		42,298.76
DENIS VAN EECKHOUT	25,405.84	19/20	N/A		N/A		16,892.92	8/8	6,384.69	3/3	N/A		N/A		48,683.45
ANN VEREECKE	25,405.84	20/20	14,831.15	7/7	N/A		N/A		6,384.69	3/3	N/A		N/A		46,621.68
SONJA WILLEMS	25,405.84	16/20	N/A		21,149.38	10/10	N/A		6,384.69	3/3	6,384.69	3/3	N/A		59,324.60
TOTAL	317,573.06		72,027.52		97,300.44		84,464.60		29,795.22		14,897.61		31,923.45		647,981.90

(*) These amounts cover all amounts awarded to the directors due to their participation in the Advisory Committee meetings held in financial year 2024, including amounts that were paid in financial year 2025.

(**) The total number of meetings used as reference in the table depends on when the concerned director has been appointed as member of the Board of Directors and/or of an Advisory Committee.

B.Remuneration of the CEO and the other members of the Executive Committee

In accordance with the Remuneration Policy, the remuneration package of the CEO and the other members of Executive Committee consisted in 2024 of:

a fixed base remuneration;
a variable short-term incentive;
a variable long-term incentive;
pension contributions; and
various other benefits.

Except for the variable long-term incentive of Thomas Mortier (see below), no shares, stock options, or other rights to acquire shares (or other share-based remuneration) were granted to or exercised by the CEO or the other members of the Executive Committee or have expired in 2024. No options under previous stock option plans were outstanding for the financial year 2024.

The relative importance of the various remuneration components of the CEO and Executive Committee members is illustrated in the graphs below.

RELATIVE IMPORTANCE OF THE VARIOUS ELEMENTS OF THE CEO'S REMUNERATION (2024)

RELATIVE IMPORTANCE OF THE VARIOUS ELEMENTS OF THE GLOBAL REMUNERATION OF THE MEMBERS OF THE EXECUTIVE COMMITTEE (EXCL. CEO) (2024)

Fixed base remuneration

The base remuneration consists of a fixed base salary paid in cash, defined by the nature and specificities of the functions, granted independently of the Company's results:

the CEO's total base remuneration for the financial year 2024 amounted to 571,610.52 EUR (as indexed on June 1, 2024). The CEO did not receive any remuneration for his mandate as a member of the Board of Directors;
the global base remuneration granted to the other members of the Executive Committee for the financial year 2024 amounted to 3,737,522.71 EUR (as indexed on June 1, 2024). The amount of their individual base remuneration reflects the responsibilities and characteristics of the position, the level of experience and, to a certain extent, the performance of the members of the Executive Committee during the past year.

The base remuneration is revised annually based on a benchmark study that covers large Belgian companies and/or postal companies in Europe in order to offer a base remuneration in accordance with the median on the reference market. For US equivalent positions in the USbased entities, benchmarking studies that reflect the market situation in the US are used for the same purpose.

Variable short-term remuneration

Purpose and allocation of the variable short-term remuneration

The short-term incentive aims to reinforce the performance-based managerial culture, and is based on the achievement of specific individual performance targets and collective objectives.

The short-term incentive consists of a variable remuneration that is granted in cash or, as of November 23, 2023, to choose every 3 years, in the form of a contribution to an extralegal pension plan.

In 2024, the CEO9 and the other members of the Executive Committee in Belgium received variable short-term remuneration with regard to the performance in relation to financial year 2023 of 30% (at target) of their annual fixed base remuneration. The member(s) of the Executive Committee in the United States received variable short-term remuneration of 50%10 (at target) of their annual fixed base remuneration. In the case of overperformance, the variable short-term remuneration could exceed 30%, respectively 50% and potentially reach a maximum at (i) 60% of the annual fixed base remuneration for the members of the Executive Committee in Belgium, and (ii) 105% of the annual fixed base remuneration for the member(s) of the Executive Committee in the United States.

In 2025, the members of the Executive Committee in Belgium will receive a variable short-term remuneration, if any, with regard to the performance in relation to financial year 2024.

The annual potential short-term incentive at target amounts to (i) up to 50% for the CEO and the Executive Committee members employed by a US entity, if any, and (ii) up to 30% for the other Executive Committee members, of their annual base remuneration. In the case of underperformance, the payment can drop to 0% of the annual base remuneration. In the case of overperformance, the payout can increase to (i) up to 100% for the CEO and the Executive Committee members employed by a US entity, if any, and (ii) up to 60% for the other Executive Committee members, of their annual base remuneration.

Performance is assessed by the Board of Directors upon recommendation by the Remuneration and Nomination Committee annually in light of the targets achieved over the past year.

Performance targets – collective and individual objectives

The variable short-term remuneration paid in 2024 was awarded on the basis of the achievement of both collective objectives and individual performance targets in relation to financial year 2023, which were set at the start of 2023. The ratio between the collective objectives and the individual performance targets is 70%-30%. Finally, the collective objectives are segmented for the group and the business units to improve the line of sight.

The collective objectives (70% of the total potential variable short-term remuneration at target¹¹) relate to performance against Key Performance Indicators (KPIs) set by the Board of Directors upon recommendation of the Remuneration and Nomination Committee. These KPIs include financial and non-financial indicators:
- EBIT (50%): reflects the group and business units' financial results. The financial results applicable to the CEO and the other members of the Executive Committee in charge of the support units are linked to the group, while those for the members of the Executive Committee in charge of a business unit, are linked, for 30% to the group and 70% to the respective business unit. The pay-out factor for 2023 was between 107% and 145.01%.
- Customer Loyalty Index (20%12,13): reflects the loyalty of the Company's customers. The pay-out for this criterion is equal to the results for the given year. The Customer Loyalty Index for 2023 is measured by the Net Promoter Score (NPS). The results for 2023 reached a payout factor between 95.2 % and 163 %.
The individual performance targets (30% of the total potential variable short-term remuneration at target¹⁴) are defined and agreed on at the beginning of each year (i) between the Board of Directors and the CEO and (ii) between the CEO and each Executive Committee member. The Board of Directors approves the individual performance targets of the CEO and the other Executive Committee members upon recommendation of the Remuneration and Nomination Committee.

14 With a minimum of 0% in the case of underperformance and a maximum of 200% in the case of overperformance.

⁹ The current CEO, Chris Peeters was appointed on November 23, 2023. During his term of office as CEO ad interim, Philippe Dartienne continued to be remunerated as a member of the Executive Committee (first CFO and subsequently as CEO e-Logistics North America / Eurasia ad interim) and received variable short-term remuneration based on the achievement of the collective objectives and individual targets during financial year 2023 as a member of the Executive Committee (CFO). His variable short-term remuneration as a member of the Executive Committee is included in the global variable short-term remuneration of the members of the Executive Committee paid in 2024.

¹⁰ As opposed to 70% (at target) of the annual fixed base remuneration as laid down in the Remuneration Policy.

¹¹ With a minimum of 0% in the case of underperformance and a maximum of 200% in the case of overperformance.

¹² The Remuneration Policy as first approved by the General Shareholders' Meeting on May 12, 2021 determines the following KPIs: EBIT (50%), Customer Loyalty Index (15%) and Short-term Absenteeism Index or Employee Engagement Index (5%). To ensure a constant alignment to market reality and best practices, the weight of the non-financial indicators for the collective objectives was slightly adapted. As from January 1, 2022 (including for the variable remuneration paid in 2024), the Customer Loyalty Index weighs 20% and the Short-term Absenteeism Index is no longer taken into account.

¹³ For the member(s) of the Executive Committee in the United States, the KPIs include the following financial and non-financial indicators: EBIT (50%), Customer Loyalty Index (10%) and Employee Engagement Index (10%).

These individual targets are assessed annually during the first quarter following the end of the financial year, by the Board of Directors upon recommendation of the Remuneration and Nomination Committee.

Clear and measurable targets are set, which are to be achieved within an agreed timeframe. The individual performance is measured against these targets.

The CEO's objectives for November and December 2023 were to ensure continuity of leadership, foster collaboration across functions, support strategic initiatives and continue to strengthen compliance and risk management frameworks.

In 2023, the individual performance reached a pay-out of 100% for the CEO for the exercise of his function.

The main individual performance targets to be achieved by the members of the Executive Committee (excluding the CEO) over financial year 2023 were the following:

Leadership and culture: promote leadership behaviours based on collaboration, clarity, continuous improvement and team focus.
Compliance: ensure team participation in Code of Conduct training and implement key controls as part of the Risk Management Framework.
Customers and performance: maintain commitments to customers with satisfaction targets, reinforce sales excellence and pursue organic and inorganic growth strategies internationally.
Employees and well-being: develop an employee well-being strategy, optimise talent management across the Group and improve the retention of key employees.
ESG: further integrate ESG considerations into bpost's strategy in order to become a benchmark for sustainable development.
Technology and security: modernise and simplify IT systems, strengthen cyber security and develop future-proof technology platforms.
Transformation and governance: support the implementation of the new organisational plan, improve governance practices and ensure strategic follow-up with the Board of Directors.
Financial management and reporting: develop financial strategies aligned with transformation objectives and improve reporting structures to track impacts across business units.

In 2023, the individual performance targets reached a pay-out between 90% and 100% for the members of the Executive Committee.

Variable short-term remuneration payment in 2024

In 2024, a variable short-term remuneration has been paid to the CEO for a total amount of 58,611.97 EUR based on the achievement of the collective objectives and the individual performance targets for the year 2023.

The members of the Executive Committee in Belgium (excluding the CEO) received a global variable short-term remuneration of 891,944.17 EUR in 2024 based on the achievement of the collective objectives and the individual performance targets for the year 2023.

The variable short-term remuneration for the achievement of the collective objectives and individual performance targets during the financial year 2024, if any, will be determined and paid in May 2025, after the performance assessment of each member of the Executive Committee and disclosed in the remuneration report to be published in 2026.

Variable long-term remuneration for the CEO and Executive Committee members not employed by a US entity

Purpose of the variable long-term remuneration

The long-term incentive for the CEO and the Executive Committee members in Belgium, introduced by the Remuneration Policy approved by the Special General Shareholders' Meeting of November 23, 2023, has been activated as from financial year 2024.

This plan is designed to keep the variable long-term remuneration of the executives balanced and attractive, as well as compliant with the shareholders and stakeholders' expectations. It aims to ensure that the actions and initiatives taken by the executives are guided by longterm interests.

Allocation of the variable long-term remuneration

The long-term incentive consists of a variable remuneration to be paid in cash and amounts at target to (i) 50% for the CEO and (ii) 30% for the other Executive Committee members, of the base remuneration for the vesting period (as defined below).

In the case of underperformance, the payment can drop to 0%. In case of overperformance, the payout can increase to (i) 100% for the CEO and (ii) 60% for the Executive Committee members.

Under this long-term incentive, the vesting is contingent on the achievement of the targets over a 3-year period ("vesting period"). At the end of the vesting period, the long-term incentive is paid in cash to the beneficiaries based on the final score resulting from the three performance criteria mentioned below.

This final score – and therefore resulting pay-out – consists in the average of the three yearly cumulated or average scores (with a minimum of 0% in the case of underperformance and a maximum of 200% in the case of overperformance).

Performance criteria of the variable long-term remuneration

The variable long-term remuneration plan is based on 3 performance criteria:

Market financial performance (50%) reflected by the Total Shareholder Return (TSR), measured as cumulated performance in percent over the vesting period;
Environment performance (30%) reflected by carbon emissions (CO² ), measured as average yearly target achievements over the vesting period;
Governance performance (20%) reflected by implementation of a bpostgroup risk management framework (i.e. the definition of key controls for specific definite key processes and implementation of an internal control program evaluating the effectiveness of these key controls, both at bpost and subsidiaries' levels), measured as average yearly target achievements over the vesting period.

The Board of Directors reviews each year the level of performance to be achieved for each criterion, except for TSR, which is set for 3 years from the year of allocation.

Variable long-term remuneration payment

After the end of the vesting period, the Board of Directors will approve the audited financial results and the level of achievement of the performance criteria. In the months following the end of the vesting period (e.g. in 2027 for the grant 2024), the variable long-term remuneration will be paid in a gross amount to the beneficiary, after deduction of applicable tax and social security deductions. This gross amount will be used to calculate the double vacation pay.

Variable long-term remuneration for the other Executive Committee member(s) employed by a US entity

The Landmark Global, Inc. Long Term Incentive Plan ("LTIP") is designed to reward outstanding financial performance on a KPI of stretch goals against Earnings Before Interest & Tax ("EBIT"). The LTIP is in line with general reward market practices and also serves as a retention tool by incentivizing long term retention of high performing key talent by providing monetary bonuses paid over a 3 year period. Achievement of the LTIP ensures rewards are only earned when EBIT is accelerated above agreed upon EBIT targets.

CEO EXCO MEMBER

One member of the Executive Committee eligible for the LTIP received in 2024 variable long-term remuneration of 132,207.63 EUR for the achievement of the performance targets over the financial years 2021, 2022 and 2023. As from the year 2024, in accordance with the amended Remuneration Policy, this member of the Executive Committee has participated in the same variable long-term remuneration plan as the other Executive Committee members.

Pension contribution

The CEO and the other members of the Executive Committee have a complementary pension plan (second pillar):

the CEO's total pension contribution for the financial year 2024 amounted to 101,249.82 EUR;
the other Executive Committee's global pension contribution for the financial year 2024 amounted to 504,644.01 EUR.

Other benefits

The CEO and the other members of the Executive Committee have received other benefits, e.g., an insurance covering death-in-service and disability, unemployment insurance, medical insurance, meal vouchers, representation fees and a company car. These benefits are benchmarked regularly and adapted according to standard practices. The amount of the other benefits is set out in the table below.

One member of the Executive Committee benefits from a share-based management incentive plan (see below).

Share-based management incentive plan of Thomas Mortier

Following the acquisition of Staci Group on August 1, 2024, Thomas Mortier, CEO of Staci, joined the Executive Committee of the Company. In order to foster this acquisition, the Company entered into a share-based management incentive plan with certain managers of the Staci Group ("Staci MIP"), including Thomas Mortier, for a maximum period of 3 years (i.e. until 2027).

Under the Staci MIP, certain managers of the Staci group were required to first subscribe and/or roll-over for ordinary shares in Augusta Progress, the French subsidiary of the Company owning the Staci Group, at fair value. In addition, they were granted free preferred shares in Augusta Progress, one for each ordinary share owned, subject to specific performance and service conditions.

The objectives of the free preferred shares are twofold: (i) to further align interests between certain key managers and the Company on the realization of the business plans of Staci Group, Radial Europe and Active Ants, as well as the synergies expected to arise from the transaction via a combined EBITDA target to be reached by the end of 2027, which will determine the ultimate value of these shares and (ii) therefore to contribute to the retention of the key managers.

The free preferred shares granted to Thomas Mortier under the Staci MIP are illustrated in the table below.

MAIN PROVISIONS							2024
						OPENING BALANCE	CURRENT YEAR		CLOSING BALANCE
NAME	PLAN	GRANTING DATE	VESTING DATE	END OF RETENTION PERIOD	PERFORMANCE CYCLE	EXERCISE PRICE	NUMBER OF SHARES AT BEGINNING OF THE YEAR	SHARES OFFERED AND UNDERLYING VALUE WHEN OFFERED	VESTED SHARES AND UNDERLYING VALUE OF SHARES ON VESTING	SHARES OFFERED BUT NOT YET VESTED	SHARES STILL TO BE RETAINED
Thomas Mortier	Staci MIP	7 Aug. 2024	7 Aug. 2025	7 Aug. 2026	7 Aug. 2024 - 31 Dec. 2027	N/A	0	857,959 0.1m EUR	0 N/A	857,959	857,959

As shown in the table above, Thomas Mortier was granted, on August 7, 2024, 857.959 free preferred shares in Augusta Progress. The preferred shares vest after one year, i.e. on August 7, 2025. After the vesting date follows a retention period of one year, i.e. until August 7, 2026, during which the preferred shares cannot be transferred. Liquidity put/call options exercisable in 2028 allow the management to monetize their preferred shares. Performance criteria have been set for Thomas Mortier as payout metrics depending on in particular (i) the realization of the Staci, Radial Europe and Active Ants' business plans (expressed in target EBITDA pre-IFRS16), (ii) the achievement of synergies within 3PL EU BU entities as well as with other bpostgroup's entities, (iii) the net financial debt of Staci, and (iv) the cumulative CapEx of Staci. Good leaver/ bad leaver rules apply as well in relation to the preferred shares.

Overall remuneration

The total remuneration paid to the CEO in 2024 amounts to 791,990.91 EUR (compared to 367,135.50 EUR in 2023) and can be broken down as illustrated in the table below.

The total remuneration paid to the members of the Executive Committee (other than the CEO) in 2024 amounts to 5,627,141.64 EUR (compared to 5,976,306.57 EUR in 2023) and can be broken down as illustrated in the table below:

		FIXED REMUNERATION (EUR)		VARIABLE REMUNERATION (EUR)	TOTAL REMUNERATION (EUR)	PROPORTION OF FIXED AND VARIABLE REMUNERATION15
NAME AND POSITION	BASE REMUNERATION16	OTHER BENEFITS	PENSION CONTRIBUTION
Chris Peeters	571,610.52	60,518.6017	101,249.82	58,611.97	791,990.91	Fixed: 92.60 % Variable: 7.40 %
Other Executive Committee members18	3,737,522.71	360,823.1319	504,644.01	1,024,151.80	5,627,141.64	Fixed: 81.80 % Variable: 18.20 %

TOTAL REMUNERATION OF THE CEO AND OTHER MEMBERS OF THE EXECUTIVE COMMITTEE IN 2024

15 Fixed remuneration comprises the base remuneration, the other benefits and the pension contributions. Variable remuneration comprises the variable short-term and, if any, long-term remuneration.

16 The base remuneration of the CEO and the other Executive Committee members includes end-year bonuses and holiday pay, as well as exceptional adjustments to tax allowances for one of the Executive Committee members paid in 2024 relating to the years 2022 and 2023.

17 Other benefits of the CEO include: (i) other insurances (29,103.74 EUR), (ii) leasing costs for company car (26,497.92 EUR), (iii) representation fees and meal vouchers (4,916.94 EUR).

18 During his term of office as CEO ad interim, Philippe Dartienne continued to be remunerated as a member of the Executive Committee (first CFO and subsequently CEO e-Logistics North America / Eurasia ad interim). His remuneration as member of the Executive Committee is included in the global remuneration of the other members of the Executive Committee paid in 2024.

19 Other benefits of the other members of the Executive Committee include: (i) other insurances (145,089.32); (ii) leasing costs for company car (99,235.82 EUR) and (iii) My Benefit My Choice (18,712.62 EUR), (iv) representation fees and meal vouchers (30,558.48 EUR), (v) the Staci MIP (67,226.89 EUR).

C.Use of clawback provisions

There are no specific contractual clawback provisions in favor of the Company for the short-term variable remuneration paid out to the members of the Executive Committee who were in office on November 23, 2023²⁰ (excluding the CEO). The CEO and the Executive Committee members who joined the Company after November 23, 2023 are awarded their short-term variable remuneration subject to clawback provisions.

The variable long-term remuneration, as introduced (for the Executive Members not employed by a US entity) or amended (for the Executive Members employed by a US entity) by the Remuneration Policy revised in 2023, is subject to clawback provisions.

No use was made of such clawback provisions in 2024.

D.Changes to the composition of the Company's Executive Committee

The following changes in the composition of the Executive Committee occurred in 2024:

From February 1, 2024:
- Frank Croket was appointed as Chief Digital Officer (CDO) and member of the Executive Committee. This new function replaced the Chief Technology Officer role, previously held by James Edge;
- James Edge continued to be CEO Crossborder Global a.i., with responsibility for both North America and Eurasia.
Christel Dendas was appointed as Chief Commercial Officer (newly created function) and member of the Executive Committee with effect from May 1, 2024.
From August 1, 2024, following the acquisition of Staci and to reflect the new structure of bpostgroup into 3 Business Units (BeNe Last Mile, 3 PL and Global Crossborder):
- James Edge, previously CEO Crossborder Global a.i., has been appointed as CEO Global Crossborder with no change in remuneration;
- Jos Donvil's previously CEO Belgium, has been appointed as CEO BeNe Last Mile with no change in remuneration; and
- Thomas Mortier has been appointed as CEO 3PL Europe and member of the Executive Committee;

3. Compliance with the Remuneration Policy, long-term objectives and sustainability

The total amount of remuneration paid out during the financial year 2024 is substantially in line with the principles of the Remuneration Policy as approved by the General Shareholders' Meeting.

As set out above, under the Staci MIP, Thomas Mortier (and other key managers of the Staci Group) was granted 857,959 free preferred shares in Augusta Progress.

This temporary deviation was approved by the Board of Directors, upon recommendation of the Remuneration and Nomination Committee, for a maximum period of 3 years (i.e. until 2027). This grant and the terms and conditions of the Staci MIP serve the (long-term) interests of bpostgroup since it has enabled the Company to successfully conclude the acquisition of Staci and retain its management and promotes the alignment of the interests of relevant key managers with the long-term performance of the bpostgroup.

The objective of the Remuneration Policy is to attract, motivate, and retain the best qualified talents needed to achieve the Company's short-term and long-term goals within a coherent framework. The Remuneration Policy is structured in a way that aligns the interests of the Company's Board of Directors and management with the interests of shareholders, stakeholders and society at large:

the level of the fixed base remuneration ensures that the bpostgroup could always rely on a professional and experienced management, even in more difficult times;
the payment of the variable short-term remuneration ensures the realization of both financial and non-financial performance criteria that translate the strategy of the Company;
the introduction of the variable long-term remuneration encourages sustainable and profitable performance and growth over the long term.

4. Remuneration of employees

The Company applies the same principles of remuneration for its management and employees: they both have a fixed base remuneration, a variable remuneration and various benefits. The fixed base remuneration component is reviewed regularly. The variable remuneration component depends on key financial and non-financial metrics of the Company. Additional benefits are granted, depending on the qualifications and seniority of the staff.

As Belgium's leading postal operator and a parcels and e-commerce logistics provider in Europe, North-America, and Asia, bpostgroup employs over 36,52721 experienced and talented employees, who are committed to serving clients and communities of bpostgroup. The Company is dedicated to continuing to improve working conditions to promote a collaborative, inclusive and healthy workplace. The Company is convinced that this will help the Company to attract, develop and retain the best talent and capabilities to drive the Company's strategy.

²⁰ The date of the Special General Shareholders' Meeting approving the revised Remuneration Policy.

²¹ The relevant scope represents bpostgroup including STACI group.

The ratio between the highest executive remuneration (CEO or member of the Executive Committee, as appropriate) and the lowest employee remuneration (on a fulltime equivalent basis) within the Company in 2024 was 41.5822.

For reasons of transparency and clarity, the Company has decided to introduce the disclosure of the following three additional ratios based on the scope of bpost SA/NV and on a remuneration structure on target (100% results on objectives) on a full time equivalent basis, which makes it possible to carry out measurements smoothing out any variations.

The ratio "highest to lowest remuneration" is measured by comparing the highest and lowest remuneration23, taking into account the total target remuneration package (including base remuneration, premiums, variable remuneration, group insurances and benefits), excluding employer's social contributions.
The ratio "highest to median remuneration" is measured by comparing the highest and median remuneration24, taking into account the total target remuneration package (including base remuneration, premiums, variable remuneration, group insurances and benefits), excluding employer's social contributions.
The ratio "highest to average remuneration" is based on remuneration costs including all the employees (full time, part time, fixed term and open-ended contract) even if an employee has less than one year of service.

	FY 2022	% CHANGE VS. FY 2022	FY 2023	% CHANGE VS. FY 2023	FY 2024
Ratio of highest to lowest remuneration	33.23	41%	35.61	31%	46.8125
Ratio of highest to median remuneration	25.51	37%	26.56	30%	34.63
Ratio of highest to average remuneration	19.25	8%	20.72	30%	33.20

5. Information on shareholder vote

The General Shareholders' Meeting of May 8, 2024 approved (advisory vote) the remuneration report of 2023 with a majority of 82.16% (compared to 85.56% in 2023) (with 17.84% against compared to 14.18% in 2023).

The Company encourages an open and constructive dialogue with its shareholders to discuss its approach to governance, including remuneration.

One concern raised about the Remuneration Policy is that the Company is reporting on previous year performance instead of the performance during the reporting year for the payment of the variable short-term remuneration. However, as stated above (see Section 2B), the variable short-term remuneration for the achievement of collective objectives and individual performance targets during the reporting year, if any, are only determined (and paid) in May of the following year, after the performance assessment of the CEO and of each other member of the Executive Committee. As a consequence, the amount of the variable short-term remuneration, if any, related to achievement during the financial year 2024 and to be determined (and paid) in May 2025, are not known on the day of the publication of this Remuneration Report and will be disclosed in the remuneration report to be published in 2026.

6. Remuneration of the members of the Board of Directors and of the Executive Committee in context

This section places the remuneration of the members of the Board of Directors and of the Executive Committee and its development over time in the broader context of the average remuneration of the Company's employees (on a full time equivalent basis) and of the Company's performance. The following table gives an overview of the evolution in time over the last 5 years of the total remuneration of the members of the Board of Directors and the members of the Executive Committee. The table further displays this evolution in the broader context of the average remuneration of the Company's employees (on a full time equivalent basis) and the overall annual performance criteria.

The methodology used for the calculation of the remuneration average (on a full-time equivalent basis) of the employees is the following: the sum of the monthly salary, annual bonus, other benefits, divided by the total number of employees on a full-time equivalent basis.

23 Fixed-term contracts have been excluded from the scope due to the difficulty in accurately calculating the annual remuneration package for such contracts. It is however important to note that these contracts adhere to the same remuneration policy as the contracts of indefinite duration and represent a minority among the Company's workforce (2%) and are not in the lowest pay range. This ensures consistency and integrity in the ratio calculation.
24 Fixed-term contracts have been excluded from the scope due to the difficulty in accurately calculating the annual remuneration package for such contracts. It is however important to note that these contracts adhere to the same remuneration policy as the contracts of indefinite duration and represent a minority among the Company's workforce (2%) and are not in the lowest pay range. This ensures consistency and integrity in the ratio calculation.
25 The ratio 46.81 is based on the target remuneration of the CEO on a full time equivalent basis taking into account that the variable long-term incentive remuneration granted in 2024 is not yet vested (value is zero).

²² The relevant scope represents bpost SA and the ratio of 41.58 is calculated based on the remuneration actually paid in 2024 in full time equivalent and not based on the remuneration on target.

	FY 2020 (EUR OR %)	% CHANGE VS. FY 2020	FY 2021 (EUR OR %)	% CHANGE VS. FY 2021	FY 2022 (EUR OR %)	% CHANGE VS. FY 2022	FY 2023 (EUR OR %)	% CHANGE VS. FY 2023	FY 2024 (EUR OR %)
BOARD OF DIRECTORS AND MANAGEMENT REMUNERATION(1)
Board of Directors' members' global remuneration	319,138	53.59%(4)	490,162	-7.05%	455,604	28.96%(9)	587,533	10.29%	647,982
CEO's global remuneration	623,285	-0.42%	620,659	56.02%	968,374(7)	-62.09%(10)	367,136	115.72%(11)	791,991
Other Executive Committee members' global remuneration	4,791,691	- 18.65%(5)	3,898,219	48.69%	5,796,182(8)	3.11%	5,976,307	-5.84%	5,627,142
COMPANY PERFORMANCE
Financial metric (adjusted EBIT)	280,573,881	24.51%	349,346,005	-20%	278,498,241	-10.8%	248,478,479	-9.5%	224,859,296
Total operating income (adjusted)	4,154,600,000	4.31%	4,333,721,259	1.47%	4,397,525,431	-2.9%	4,272,179,837	1.6%	4,341,305,925
Customer Loyalty Index	92%	34%(6)	123%	-3.36%	119%	-19.24%	96%	-0.83%	95.2%
Short-term Absenteeism Index	5%(2)	2.41%	5%	11.02%	6%	-14.83%	5.11%	1,76%	5.2%
Employee Engagement Index(12)			7%	-1.24%	72%	-	-	-	-
AVERAGE REMUNERATION ON A FULL-TIME EQUIVALENT BASIS OF EMPLOYEES (3)
Employees of the Company	48,118	0.1%	48,182	5.2%	50,704	3.35%	52,403.17	4.14%	54,571

Explanations regarding information included in the above table can be found below:

(1) The total remuneration of the members of the Board of Directors and of the members of the Executive Committee includes the variable shortterm and long-term (if any) remuneration. The total remuneration of the Executive Committee also includes severance pays, if any.
(2) The percentage of 4.96% is the Short-term Absenteeism Index for the full financial year 2020. However, for the calculation of the collective objectives of 2020, only the Short-term Absenteeism Index of Q3 2020 is taken into account due to the quarantine impact due to Covid-19, i.e., 3.94%.
(3) The average remuneration of employees of the Company excludes directors, members of the Executive Committee and the CEO who would have entered into an employment agreement with the Company.
(4) The increase in the total remuneration of the Board of Directors' members in 2021 is explained by the fact that (i) the number of Board of Directors members was lower in 2020 and (ii) there were a significant number of Remuneration and Nomination Committee meetings in 2021 as a result of the replacement of the CEO and other directors whose mandate terminated.
(5) The decrease in the total remuneration of the Executive Committee is explained by a decreased number of Executive Committee members during the financial year 2021.
(6) The increase in the Customer Loyalty Index in 2021 is explained by progresses and good performance in all indicators composing this Index in the course of the year.
(7) The increase in the total remuneration of the CEO in 2022 compared to the 3 previous financial years is explained by the fact that (i) the insurance policy coverage of the CEO (covering the period from July 2021 - date of appointment of Dirk Tirez as CEO - until 31 December 2021) was invoiced in 2022 and not in 2021, (ii) in 2020 and 2021, no bonus was paid to the respective CEOs as they had not completed a full year (i.e., Jean-Paul Van Avermaet for 2020 and 2021, Dirk Tirez for 2021) and (iii) the indexation during 2022.
(8) The increase in the total remuneration of the Executive Committee in 2022 is explained by (i) the fact that in 2021, the number of Executive Committee members was lower, (ii) the total remuneration includes the severance pay of 619,461.53 EUR paid to Jean Muls and (iii) the indexation during 2022.
(9) The increase in the total remuneration of the Board of Directors' members in 2023 is mainly explained by the fact that there were a significant number of Advisory Committee meetings in 2023, especially Remuneration and Nomination Committee meetings as a result of the replacement of the CEO and other directors whose mandate terminated.
(10) The decrease in the global remuneration of the CEO is explained by the fact that the mandate of the current CEO only started as of November 1, 2023.
(11) The increase in the total remuneration of the CEO in 2024 compared with 2023 is due to the fact that the CEO worked for only two months in 2023 as he was appointed with effect from November 1, 2023.
(12) The Employee Engagement Index was not measured as from 2023 (last survey carried out in September 2022). As a result, reporting on this KPI will disappear from the 2025 annual report. The decision was made to replace it by an Employee Well-Being Index as from 2024 (via pulse survey). As the base year is 2024, there are no measures to report.

Risk Management & Compliance

Risk Management

The Company's Enterprise Risk Management ("ERM") framework assists the Company in managing risks effectively and in implementing the necessary controls to pursue its objectives. The ERM framework covers: (i) risk management, allowing the Company to take informed decisions on risks it is willing to take to achieve its strategic objectives, thereby taking into account external factors; and (ii) internal control activities, which include all internal policies, procedures and business practices to mitigate risks. Best practices in risk management and internal control activities (e.g., international standard ISO31000) and the Commission on Corporate Governance's directions have been used as references to define the ERM framework.

The following description of the Company's internal control and risk management activities is factual and aims to cover the activities' main characteristics.

Risk assessment

The purpose of risk management, embedded in the ERM framework, is to deliver a consistent corporate approach and establish a sound risk management culture. A strategic risk assessment takes place as part of the process to define/revise the Company's strategy. Moreover, there is risk and internal control management at a process, product or project level. This includes an evaluation of the adequacy of the most important internal controls to mitigate risks at a process, product or project level. The same structured risk management process is applied:

identification of the risks that may have an impact on realizing the objectives;
assessment of risks in order to prioritize them;
decision on risk responses and action plans to address key risks;
monitoring action plan implementation and overall risk evolutions and identification of emerging risks.

The coherence of risk activities is ensured by using a single framework of risk evaluation criteria to assess the risks. This ensures the right risks are circulated, both top-down and bottom-up.

More information can be found in the "Risk Management" section of the annual report.

Control activities

In general

Policies and procedures are established for the key processes (accounting, procurement, investments, treasury, etc.). They are subject to regular controls. Internal controls are monitored where relevant.

All companies within bpostgroup use an Enterprise Resource Planning ("ERP") system or accounting software to support efficient processing of business transactions, to perform accounting and to deliver data for consolidation. These systems provide management with transparent and reliable information it needs to monitor, control, and direct business operations. A close monitoring of potential conflicts of separation of duties in the ERP system is carried out on a regular basis. The Company has established management processes to ensure the implementation of appropriate measures on a daily basis to sustain the performance, availability and integrity of its IT systems. The adequacy and effectiveness is monitored through internal service level agreements as well as periodic performance and incident reporting to the different Business Units involved.

Specifically related to the financial statements

Systematic and structured finance processes ensure a timely and qualitative reporting. These processes include the following main activities or controls:

careful and detailed planning of all activities, including owners and timing;
communication by the Group Finance Department prior to the closing of guidelines, including on all IFRS accounting principles, to be applied by all legal entities and operating units;
separation of duties between the accounting teams in the different legal entities actually performing the accounting activities and the departments responsible to review the financial information. The review is performed more specifically by (i) financial business partners responsible, inter alia, for the review of financial information in their area of responsibility, and (ii) the Group Finance Department, which is responsible for the final review of the financial information of the different legal entities and operating units and for the preparation of the consolidated financial statements;
systematic account justification and review after the closing triggering follow-up and feedback of the timelines, quality and lessons learned in order to strive for continuous improvement.

Information and communication

The Internal Communication department uses a wide variety of tools, such as the Company's intranet and employee newsletters, to circulate messages in a structured and systematic way both from top management and operational level. Regular digital touchpoints are organized at different levels in the organization.

Financial and performance information is shared between operational and financial management and the Executive Committee. Besides the monthly reporting analysis prepared by the financial business partners, the CEO, CFO, CTO conducts a thorough performance management dialogue with the different Business Units.

Proper assignment of responsibilities and coordination between the relevant departments ensures an efficient and timely communication process for periodic financial information. The Group Finance Department communicates on a regular basis all IFRS accounting principles, guidelines and interpretations, to be applied by all legal entities and operating units, to the accounting teams of the different legal entities and operating units.

Externally, the Press Relations, Public Affairs and Investor Relations departments manage stakeholders, e.g. press, public authorities and the financial community. These departments centralize and validate external communications with a potential impact at bpostgroup level. This includes, but is not limited to, financial information.

Financial information is made available to the market on a quarterly, semi-annual and annual basis. Prior to external publication, financial information is subject to (i) an extensive internal validation process, (ii) review by the Audit, Risk & Compliance Committee, and (iii) approval by the Company's Board of Directors.

Monitoring

Commitment to corporate governance fostering accountability

The Board of Directors supervises the Company's operational management. The Audit, Risk & Compliance Committee advises the Board of Directors on accounting, audit, risk management, compliance and internal control matters. Without prejudice to the monitoring role of the Board of Directors, the Executive Committee establishes risk and compliance management and internal control guidelines and procedures and monitors their effective roll-out. A "three lines of defense" model has been implemented:

the operational management is responsible for the design and maintenance of risk management and internal controls (first line);
the second line functions, such as Legal, HR, Finance, Enterprise Risk Management, ESG, Regulatory & Competition, Compliance & Data Protection, Cyber and Information Security, Safety & Prevention, Physical Security, provide expert support to the first line operational management. All second line functions report at least annually to the Executive Committee, the Audit, Risk & Compliance Committee and the Board of Directors on the risk evolution in their respective domains. In addition, a dedicated reporting line has been created for the Enterprise Risk Management and Compliance Directors to the Audit, Risk & Compliance Committee's Chair;
finally, Corporate Audit, responsible for the internal audits of bpostgroup, constitutes the third line of defense. The Director Audit reports to the Audit, Risk & Compliance Committee's Chair and CEO.

Corporate Audit (internal) and Joint Auditors (external)

The Company has a professional internal audit department that works in line with the Institute of Internal Auditors' standards. The department is subject to an external quality review every five years. Corporate Audit conducts an annual risk assessment with a semi-annual revision to determine the audit program. Via its audit assignments, Corporate Audit provides reasonable assurance on internal control effectiveness in the different processes, products or projects reviewed.

The Joint Auditors provide an independent opinion on the full year statutory and consolidated financial statements. They perform a limited review on the half-year interim condensed financial statements. In addition, they review material changes to the IFRS accounting principles and evaluate the different identified key controls on the processes that support the set-up of the financial statements.

Audit, Risk & Compliance Committee and Board of Directors

The Audit, Risk & Compliance Committee advises the Board of Directors on accounting, audit, compliance, risk management and internal control matters.

To do so, the Audit, Risk & Compliance Committee receives and reviews:

all relevant financial information to enable the Audit, Risk & Compliance Committee to analyze the financial statements;
the quarterly treasury update;
any significant change of the IFRS accounting principles;
relevant findings resulting from the activities of the Corporate Audit Department and/or the Joint Auditors;
the Corporate Audit, Risk and Compliance's quarterly status reports on the follow-up of audit, risk and compliance recommendations and their annual activity report;
the Executive Committee's annual conclusion on the effective execution of the Company's risk & compliance management and internal control activities as well as periodic information on the main business and related risk evolutions.

The Board of Directors ultimately ensures the establishment of internal control systems and procedures. The Board of Directors monitors the functioning and adequacy of the internal control systems and procedures, considering the Audit, Risk & Compliance Committee's review, and takes the necessary measures to ensure the integrity of the financial statements. A procedure is in place to convene the Company's appropriate governing body on short notice if and when circumstances so dictate.

More detailed information on the composition and functioning of the Audit, Risk & Compliance Committee and the Board of Directors is included in the section of this Corporate Governance Statement on the Board of Directors and the Audit, Risk & Compliance Committee.

Compliance

bpostgroup is built upon a foundation of strong corporate values and ethical business practices designed to support our sustainable and responsible business strategy. These values and practices reflect our commitment to our colleagues, employees, suppliers, customers, business partners, shareholders and the larger society. Building a reputation as a trustworthy and ethical organization among our stakeholders is necessary to maintain sound and robust relationships and drive positive customer experience and financial performance.

To achieve this, bpostgroup encourages each employee to continuously hold themself to the highest ethical standards. These standards, values and principles are set out in the bpostgroup Code of Conduct, which is reflected in multiple bpostgroup codes, policies and procedures.

Compliance with bpostgroup codes, policies and procedures is carefully monitored. The Board of Directors and the Audit, Risk & Compliance Committee oversees bpostgroup's commitment to strong corporate values and ethical business practices regularly and takes decisions and actions for enhancements, as appropriate.

bpostgroup Compliance Department

The bpostgroup Compliance Department is responsible for coordinating compliance activities within the bpostgroup, and aims to promote, at all levels, ethical conduct, respect of values and compliance with laws and internal and external rules and policies, prevent unlawful or unethical behavior and ensures an appropriate response in case such behavior occurs. The bpostgroup Compliance Department is managed by the Director Compliance, who reports directly to the Chief Legal Officer as well as to the Audit, Risk & Compliance Committee's Chair.

Commitment to integrity and ethical values

Code of Conduct

The Board of Directors and Executive Committee have approved bpostgroup's Code of Conduct, which was first issued in 2007, updated in 2022 and last updated in March 2023 mainly to update the dedicated part about Speak Up.

The Code – publicly available on bpostgroup's website - has general principles that describe the values and ethical standards for everybody working in the group and enables appropriate responses in the event that it is not followed. These principles are reinforced by the relevant codes, policies and procedures that are in place across bpostgroup's businesses, affiliates and ventures.

bpostgroup expects all its employees to comply with the Code of Conduct and use it as a reference in their day-to-day practice. Any violations of the Code of Conduct must be reported to the established channels provided for in the bpostgroup Code of Conduct, on a confidential basis as the case may be.

In 2024, over 98% of the bpostgroup employees have followed a dedicated e-learning, created by the HR and the Compliance departments, about the Code of Conduct. Designed to be an annual exercise, this training was built to be practical, insisting on best practices and processes to follow in case of doubt.

Human Rights Policy

bpostgroup is committed to the highest standards of ethical behaviour in the protection and promotion of human rights (including freedom of association and collective bargaining, prohibition of forced labor, human trafficking, modern slavery and child labor). bpostgroup has adopted and published a Human Right Policy. bpostgroup expects all people involved in the group's business to respect the Human Rights Policy. There is zero-tolerance regarding violations of human rights and there are no exceptions to this Human Rights Policy.

Dealing & Disclosure Code

To comply with insider trading and market manipulation regulations, bpostgroup has adopted a Dealing and Disclosure Code which is available on the bpostgroup website. This Code, amended from time to time to be in line with the most recent market abuse laws and regulations, aims to create awareness around possible improper conduct by employees, senior employees, and persons discharging managerial responsibilities (being members of the Board of Directors and of the Executive Committee) and their closely associated persons. The Dealing and Disclosure Code contains strict rules on confidentiality, non-use of "price sensitive" information, and dealing restrictions. The rules of this Code have been widely communicated within bpostgroup and the Code is available to all employees, senior employees and persons discharging managerial responsibilities. In conformity with the Market Abuse Regulation of April 16, 2014, persons discharging managerial responsibilities at the Company have been informed of their obligations in relation to insider trading under the Market Abuse Regulation.

Commitment to employee development and competence

Good leadership is invaluable and generates better results for the Company. To develop skills, the Company has established its own training center. Technical courses are held in the business units (e.g., training on the International Financial Reporting Standards ("IFRS") used to prepare the Company's consolidated financial statement) and ad hoc courses are developed on a need-to-have basis. Personal development is driven by clear job descriptions and a structured bi-annual evaluation. Ad hoc coaching sessions are promoted.

Diversity

Creating a culture of Diversity and Inclusion

The Company is a highly diverse company in terms of its workforce and is committed to creating and supporting a collaborative workplace culture. Such a diverse environment allows the group to optimize interaction with its customers and stakeholders, and responds to challenges in different and efficient ways.

In that context, the Company has designed a Diversity Policy aimed at creating diversity and inclusion awareness within the group. The purpose of this Diversity Policy is to support the Company's employees and management in building a culture where diversity and inclusion are a daily practice.

The program focuses on engagement, awareness, and involvement. The Board of Directors sets the tone at the top and is the true sponsor of the diversity and integration workshops organized for teams investing in diversity and inclusion awareness and/or dealing with specific topics within the diversity and inclusion framework.

Diversity within the Board of Directors and the Executive Committee

The Company adheres to the view that diversity of competences and views of the Board of Directors and Executive Committee facilitates a good understanding of the business organization and affairs. It enables the members to constructively challenge strategic decisions, ensure risk management awareness, and be more open to innovative ideas.

The Company complies with the provisions of Article 7:86 of the BCCA in terms of gender diversity, but the Diversity Policy for the members of its management goes beyond this strict legal minimum.

In the composition of the Board of Directors and Executive Committee, special attention is paid to diversity in terms of criteria such as age, professional background, gender, and geographic diversity. When considering candidates for vacancies, the Remuneration and Nomination Committee takes into account balanced scorecards of such diversity criteria.

Diversity aspects that are taken into account in relation to the Board of Directors and Executive Committee members are the following:

Gender: gender diversity promotes a better understanding of the market place, increases creativity, produces more effective leadership and promotes effective global relationships. To achieve greater gender diversity within its management, the Company aims to (i) identify potential female talents at an early stage, (ii) provide opportunities that allow women to reach their full potential, (iii) enroll women in development programs that prepare them for management roles.
Age: age diversity in the workplace is part of the human capital and provides a larger spectrum of knowledge, values, and preferences. Such age-diverse management will provide a more dynamic environment with continuous movement. To achieve age diversity, the Company aims to ensure that its management counts (i) older talents with breadth and depth of work experience, and (ii) high-potential younger talents who are eager to learn.
Professional background: to stay competitive in a changing environment, the Company must attract and retain talent with diverse professional backgrounds. Diversity of professional backgrounds provides the Company with a range of expertise and experience necessary to respond to the complex challenges it faces. To achieve professional background diversity within its management, the Company aims to identify people who (i) have distinct professional backgrounds, and (ii) come from various sectors at different points in their career.
Geographic diversity: geographic diversity is significant and positively correlated with firm performance, especially in increasing business and strategy internationalization. To stimulate geographic diversity, the Company takes into account foreign elements in the profile and the path of its candidates.

The Board of Directors assesses annually whether diversity within the Company's management has improved.

Diversity aspects – Implementation & outcome

On December 31, 2024, the outcome of diversity aspects in relation to the Company's Board of Directors and Executive Committee members is the following:

67%	Finance & Accounting, Risk Management, Audit	29%
33%	Transport & Logistics, Fullfilment, Warehousing, E-commerce	45%
17%	Postal & parcels services	38%
33%	Digital, Technology & Innovation	54%
75%	Human Resources Management & Talent Development	62%
33%	ESG	23%

5.2 Risk Management

1.1 Approach and methodology

In today's complex, highly regulated and rapidly evolving business landscape, bpostgroup's entities face uncertainties that may be the source of desirable events (opportunities) and may also lead to unwanted events (risks). Both fall within the scope of Enterprise Risk Management ("ERM"). Risk is inherent in all organizational endeavors. To proactively address risks and promote a culture of risk awareness and resilience, an effective ERM policy is paramount and provides the overarching framework on risk management to all entities. The bpostgroup ERM policy has been approved by the Audit, Risk and Compliance Committee in February 2024 and is reviewed annually.

Excessive risk aversion is incompatible with the creation of long-term value, as decision making will be severely delayed or paralyzed. Insufficient risk aversion will in turn lead to potential damage to business performance or continuity. bpostgroup recognizes the importance of correctly identifying and reporting the key risks associated with our activities and business objectives, as well as, having the appropriate risk conversations, at the right level of our organization, to ensure an informed decision on risk taking that matches the risk appetite of bpostgroup that is calibrated by the Board of Directors from time to time.

In mid 2023, a revision of the existing ERM framework was performed and the Board of Directors decided to position a bpostgroup ERM function in the Corporate Legal and Compliance department with, also, functional reporting line to the Chair of the Audit, Risk and Compliance Committee. During 2024, resources have been engaged and an ERM network has been cultivated to further embed companywide risk management processes within key activities of bpostgroup. The ERM network consists of ~ 10 ERM coordinators - senior executives named by members of the Executive Committee and ~ 50 ERM SPOCs - risk advisors/experts/ambassadors, trained on the ERM concepts, across all bpostgroup entities. Within the renewed operating model, we distinguish between two different levels to define the risk appetite of bpostgroup with dedicated mitigation, monitoring and governance rules.

For Process Risk Management purposes, we aim to implicitly define the risk appetite of bpostgroup through the definition of minimum control requirements while analyzing the risks attached to our key domains of activities. Workshops are organized with the business line managers and experts to discuss the main risks and controls that we want to have in place to ensure operational excellence and an end-toend quality management for the customer. The necessary checks and controls are then designed in our processes, turned into formalized Minimum Process Controls, communicated and implemented within bpostgroup, notably through the organisation of Self-Assessment confirmation processes in the relevant entities. Domains with heightened inherent level of risk such as compliance with laws and regulations, business continuity and recovery, IT security and data protection, ESG consequences, health, safety or security are specifically discussed and considered during these analysis.

Additionally, the 17 principles of the Committee of Sponsoring Organizations ("COSO") framework lead to the definition of a set a Group Key Controls that are reviewed and approved by the Audit, Risk and Compliance Committee. Those Group Key Controls solidify the foundations of the Internal Control Framework for bpostgroup and their implementation is verified by the bpostgroup ERM department and/or second line functions (for example, Compliance, Enterprise Risk Management, Legal, Cyber and Information Security, Data Protection, ESG, Regulatory and Competition Law, Finance and HR).

The Corporate Internal Audit Department independently tests the control effectiveness in function of their independent assessment of the risk areas. All internal audit reports are communicated to the bpostgroup CEO and the Chair of the Audit, Risk and Compliance Committee as well as the Executive Committee member responsible for the matter under review.

For Strategic Risk Management purposes, the risk appetite of bpostgroup is based on dimensions which capture financial, reputational, legal, regulatory, compliance, operational and strategic impacts of identified risks as well as the estimated likelihood of each such risk. With a one year horizon in mind and based on risk evaluation criteria that is calibrated by the Board of Directors from time to time, bpostgroup prioritizes risks into a bpostgroup Risk Heat Map that determines the communication and dialogue around risks throughout the company (top-down and bottom-up). The bpostgroup ERM department is responsible for maintaining a bpostgroup register of identified strategic risks (bpostgroup Register) with the support of second line functions and the ERM network. Three risks categories are used as taxonomy :

Strategic risks: uncertainties that may affect or endanger a successful deployment of bpostgroup's strategy;
Operational risks: mostly internally oriented risks or unforeseen disasters that may result in a significant financial impact or damage bpostgroup's reputation. These also includes financial risks;
Regulatory, Compliance and Legal risks: regulatory evolutions, and legal compliance issues that could substantially impact the realization of bpostgroup's strategy, have significant financial impact or damage bpostgroup's reputation.

The bpostgroup Risk Register is reviewed for completeness and accuracy, at least, twice a year and embedded within our bpostgroup strategic management, business planning and controlling processes. During these reviews, the bpostgroup Risk Register is updated (i) to reflect a re-evaluation of each identified risk's current likelihood and impact and (ii) consider the addition of emerging and new risks to the bpostgroup Risk Register. For the heightened risks in each category, a dedicated mitigation and monitoring approach is defined by an identified responsible party for that risk. When a risk exceeds the pre-defined risk appetite level set by the Board of Directors, additional documentation and details are provided, including immediate remediation actions to address the risk. All assessments are consolidated by the bpostgroup ERM function and undergo reviews by the Executive Committee, who ensures its accuracy and alignment with bpostgroup's objectives and strategies. The bpostgroup ERM function reviews and validates the final results of the assessments with the Audit, Risk & Compliance Committee.

While the Group Risk Register tracks risks that may arise over the next 12 months, ERM also develops an Emerging Risk Report to anticipate potential risks and opportunities over the next 10 years. This approach aims to provide a broader perspective by analyzing emerging trends, risks, and opportunities over an extended time horizon. By identifying and monitoring these factors early, the group strives to enhance resilience and maintain a competitive advantage. The report is created based on a scan of key analyses and market sources, both internal and external, as well as discussions with our Group Transformation Office and internal subject matter experts.

As explained in other sections of this report, the outcomes of the strategic risk assessment are also linked and aligned with the outcomes of the ESG Double Materiality Assessment which identifies and manages risks related to ESG factors. Below we provide a summary of the main risks captured in the bpostgroup Risk Register. Any of the following risks could have a material adverse effect on bpostgroup's business, financial position and operating results. There may be additional risks of which bpostgroup is currently unaware. There may also be risks that are currently considered to be immaterial, but that may ultimately have a material adverse effect. The risk mitigation and monitoring mechanism described here is no guarantee that risks will not materialize. It is meant to provide an overview of (i) potential risks and (ii) initiated action points in response to such risks - accordingly, the following should not be interpreted as a comprehensive list of risk responses. In addition, it should be noted that no risk management or internal control system can provide absolute safeguards against failure to achieve corporate objectives, fraud or breach of rules and regulations.

1.2 Strategic Risks

The risks mentioned in this section are considered in light of the long term strategy of bpostgroup that has been reactualized in 2024 under the leadership of the CEO and Executive Committee. A responsible person for each of the risks is identified at the level of the Executive Committee. He or she monitors the risk evolution and initiates mitigating actions if and when needed. The Audit, Risk and Compliance Committee oversees the application of this process on a regular basis with the support of the bpostgroup ERM function.

Related to the electronic substitution, market evolution, competition and innovation

As for several years now, the use of mail continued to decline in 2024. bpostgroup expects that the national and international mail volumes will continue to decrease. Faster than anticipated volumes decrease could not be excluded due to, among others, consumers behaviour changes, accelerated digitalization in society, E-government initiatives or other measures introduced by the Belgian State or other public authorities or private enterprises that encourage electronic substitution, etc. bpostgroup operates in a highly competitive and evolving market landscape, where industry trends such as commoditization and market consolidation are shaping the dynamics of competition. The new "digital" era also disrupts the e-commerce logistics and parcels industries in many ways. Some larger players capitalize on economies of scale, driving innovation and efficiency, which, also, can creates opportunities to adapt and differentiate. In key regions such as North America (Canada), Europe and Belgium, a diverse competitive environment—including traditional rivals, digital platforms, new entrants or overcapacity-driven players—presents challenges that bpostgroup is proactively addressing by leveraging its strengths and refining strategies but challenge the growth path in general and put pressure on the margins and overall profitability in the industries. The bpostgroup transformation plan answers the potential adverse market evolutions and innovates to develop new initiatives minimizing potential operational or financial impacts to an acceptable level for the Board of Directors.

More fundamentally, bpostgroup is taking the next steps in transforming into a regional and digital expert in the parcelized logistics market, in Belgium leading X2C and developing new B2B business, and internationally as a specialized 3PL player, focused on defendable high value market segments. In Belgium, bpost NV/SA transformed the mail distribution network into a sustainable integrated mail and parcels network and is taking the necessary measures to ensure that its organisation and resources can react with flexibility to the changing market conditions and client needs. In Europe and in the US, notably with the recent acquisition of Staci group, bpostgroup continues to increase its size and build a regional leadership position in specialized 3PL services and Global Cross-border networks. bpostgroup focuses on customer centricity, innovation to introduce new products and/or services lines, digitalization and continuously improve its efficiency to manage costs and quality.

Related to the complexity and ambitions of the transformation and culture shift

The execution of an array of interconnected strategic initiatives, particularly those that necessitate profound and extensive cultural transformations of an organization, inherently involves a range of significant risks. These risks are multifaceted, encompassing the potential for inadequate staffing levels, insufficient or ineffective communication strategies, a lack of deep organizational understanding, and challenges in achieving widespread organizational adoption of the changes. Moreover, there is an elevated risk of misalignment, either in the initial design phase or during the actual deployment of these initiatives, which could result in a discordance between the intended objectives and the outcomes. In recognition of these complexities, and to ensure the smooth and successful integration of all strategic initiatives, a centralized transformation office has been established in 2024. This office is tasked with the responsibility of providing directions, steering or supporting actions where and when needed, overseeing the governance structure and monitoring mechanisms put in place to drive the expected success. The challenges posed by the specific and broader political and social context in Belgium are acknowledged, particularly in light of its ambitious transformation agenda. Maintaining a constructive and unified social dialogue remains a priority. Efforts are focused on addressing key topics, such as past commitments, organizational adjustments, and ongoing operational priorities. We are mindful of potential risks related to industrial relation dynamics and are taking proactive measures to ensure open communication, minimize disruptions, and safeguard stability through robust contingency planning.

Related to the revenues generation, cost management, agility and flexibility in operations

Relatively fixed nature of bpostgroup's cost base, increased unforeseen volatility in the market, accelerated mail volumes decline or the inability to find new revenues engines may translate into significant impacts in profit and could affect our competitive position, unless bpostgroup can introduce the required flexibility and reduce its costs. Specifically in Belgium, bpost SA/NV continue to introduce multiple levers for the transformation of the legacy business in order to ensure a swift and efficient alignment of its operational activities to the changing market conditions while continuing to guarantee the quality of our services and qualitative jobs for its employees. There can be, however, no assurance that all of the benefits expected from such initiatives will be realized in time, since it depends from many exogenous factors. Some of the critical elements for success of our ambitious transformation are change management, project prioritization, resources availability and stakeholder alignment. While the most advanced program management approaches are applied, none of these critical success factors could be entirely secured and implementing such amount of organizational changes inherently induces a higher likelihood of temporary ineffective internal controls. Additionally, bpostgroup's activities and the transformation objectives may also be materially affected by other external factors, such as the current uncertainty regarding the impacts of the international geopolitical and macroeconomic market conditions, labour market constraints (including salary indexations), high transport or energy costs. bpostgroup is putting mechanisms in place as to monitor these evolutions and to continuously assess their potential impacts, notably on the speed of the transformation.

Related to addressing proactively the climate change and ESG related topics

The risk of a potential prolonged interruption of operations due to extreme natural events (e.g., fire, flood, storm, pandemic, and increase in employees' health issues due to pollution) has clearly increased these past years. Climate risks, including extreme weather events and evolving regulatory frameworks, present both challenges and opportunities for sustainable growth. In 2024, bpostgroup continued to proactively address climate risks and advanced its sustainability ambitions. A comprehensive group-wide climate risk assessment has been started in Q3 2024, with results expected by mid-2025. This initiative aims to ensure that potential financial impacts are thoroughly evaluated while aligning with CSRD compliance and advancing bpostgroup's climate resilience strategy in the meantime. bpostgroup remains on track to meet its waste-related ESG targets by 2030.

1.3 Operational Risks

bpostgroup faces many operational challenges that require an appropriate level of management attention, quality management approaches and internal controls definition. bpostgroup initiates mitigating action plans if and when needed. More details on the internal control and risk management system, inspired by the COSO framework, can be found in the Corporate Governance Statement.

Related to potential gaps in Business Continuity Management and Delays in Recovery

Insufficient business continuity management poses risks of operational disruptions, delayed crisis recovery, insurance resistance, and challenges in securing strategic tenders. bpostgroup may be unable to serve its customers or respect service levels for a period of time that could have a negative impact on reputation, customer satisfaction and financial performance. To monitor and mitigate these risks, a bpostgroup Business Continuity Management ("BCM") function defines guidelines, policies and procedures and oversees their implementation with the bpostgroup's entities. The bpostgroup BCM Policy is being implemented with support from dedicated coordinators across entities. Actions include addressing audit recommendations, providing expert team support, and defining and testing local continuity and recovery plans.

Related to Cyber Security, Data privacy, Information Security and Technology

bpostgroup relies on Information and Communication Technology ("ICT") systems to provide most of its services. The systems are subject to risks, such as power outages, disruptions of internet traffic, software bugs, cyber-attacks (such as data exfiltration attacks, encryption attacks, and other forms of hacking) and problems arising from human errors. This may result in cybersecurity incidents which might cause (personal) data breaches or significant disruption of bpostgroup's operations and of its customers.

Increased global cyber security intimidations, threats and more complex and targeted cyber-related attacks threatens the security of bpostgroup, its customers, partners, suppliers and third-party service providers in terms of services, systems and networks. The confidentiality, integrity and availability of the data of bpostgroup and its customers may be at risk. bpostgroup is taking the necessary measures and making the required investments to reduce these risks, including employee awareness trainings, protective measures, detective measures, security testing and roll out of contingency plans.

The Data Protection Officer and the Privacy Office in the bpostgroup Compliance department and the bpostgroup CISO function in the bpostgroup Technology department oversee these risks with the support of the bpostgroup ERM function.

Cyberattacks could cause financial losses, damages to reputation and disruptions if current protections are insufficient. In 2024, mitigation measures included hiring a new bpostgroup CISO, implementing DORA requirements for bpostgroup's business as insurance sub-agent, conducting a gap analysis using the NIS-2 framework, and identifying vulnerabilities through ongoing assessments. The definition of comprehensive policies, guidelines and their implementation, will translate into a higher maturity.

bpostgroup further prioritizes data privacy and security to protect customers and maintain trust. Following a detailed maturity assessment across most of bpostgroup entities, mitigation plans have been drafted and implementation is ongoing, complemented by the rollout of a new bpostgroup GenAI policy to strengthen data governance and enhance security while using GenAI tools. These measures reflect our ongoing commitment to safeguarding information and upholding regulatory standards.

Related to the challenges in attracting, developing and retaining talent

With a challenging transformation plan to implement, more than ever, bpostgroup recognizes the critical importance of attracting, developing, and retaining top talent to drive its strategic ambitions. To address this, enhanced HR strategies have been implemented to strengthen succession planning, foster leadership development, and ensure a balanced approach to talent acquisition through internal promotions and targeted external recruitment. These initiatives are designed to build a resilient and agile workforce, ensuring bpostgroup remains well-equipped to achieve its long-term objectives.

Related to rising operational costs and the integration of recent acquisitions

Due to an increased complexity of the operations and volatility of market conditions, bpostgroup entities might encounter unforeseen costs increases (such as salary costs, energy costs, IT maintenance spends to run legacy systems, adverse evolution of the real estate market conditions, etc.) with an impact on margin and profitability and requiring further value chain management improvements. Several initiatives are taken as to mitigate these risks, notably the simplification of the IT landscape, stable relations and constructive dialogues with the company's social partners or proactive management of all supporting costs (such as energy or real estate).

To pursue its growth ambitions, bpostgroup has acquired several companies over the last few years. In 2024, the acquisition of Staci Group was finalized. As for all acquisitions and integration paths, there is the risk of not being able to successfully integrate the acquired businesses and it is uncertain whether bpostgroup's subsidiaries will realise the related business plans, in particular in countries and regions where bpostgroup is not yet active prior to the relevant acquisition. Furthermore, there can be no assurance that bpostgroup will realise any or all the anticipated benefits of any acquisition or that the acquired companies can perform as anticipated, which could also lead to impairments of goodwill. Finally, bpostgroup may be or become involved in legal proceedings related to, or resulting from, acquisitions, the outcomes of which are difficult to predict. The aforementioned factors could have a material adverse effect on bpostgroup's business, financial condition, operating results and prospects. To mitigate these risks as much as possible, regular performance management dialogues are performed and post-acquisition integration activities have been strengthened. It is, however, uncertain that any actions undertaken by bpostgroup will achieve their required result.

Related to the press and periodical concession in Belgium

Despite the fact that the risks and financial impacts around the press and periodical concessions have largely materialized in 2024, uncertainties, notably regarding the future organisation in the south of Belgium, remains and could lead to social unrest and additional impacts.

Related to financial risks

bpostgroup faces different types of financial risks such as market risks from movements in foreign exchange rates, interest rates and other market prices or liquidity risk. Among the financial risks, the credit/counterparty risk is monitored with attention given the emerging adverse evolutions on the e-commerce markets that could lead to an increased risk of bankruptcy of our clients and ultimately to financial loss. bpostgroup is also exposed to concentration risks given his client portfolio mix. Concentration risks in the client portfolio are mitigated through a focus on diversification and robust contractual relationships, including with the Belgian State and key private clients (notably at Radial North America). At the end of 2024, and given the acquisition of Staci, refinancing measures have been successfully implemented ensuring bpostgroup's financial stability and operational resilience remains protected.

1.4 Regulatory, Compliance and Legal Risks

Appropriate policies, processes and internal control procedures are implemented in order to limit the exposure to complex regulatory, compliance and legal requirements. bpostgroup strives for a constructive stakeholder management towards, inter alia, government, decision makers and regulators. bpostgroup operates in markets that are heavily regulated, including by national, EU and global regulatory bodies. It is uncertain whether Belgian or European regulators or third parties will raise material issues with regard to bpostgroup's compliance with applicable laws and regulations or whether future legislative, regulatory or judicial changes or other regulatory developments might have a material adverse effect on bpostgroup's business, financial condition, operating results and prospects. In addition to existing measures, bpostgroup has conducted an evaluation of compliance levels across 11 critical domains within its various entities through a compliance maturity assessment. Based on the results, the bpostgroup Compliance department is developing plans to implement measures aimed at addressing areas for improvement.

Related to our mail and parcel business in Belgium

In 2012, the European Commission required bpost to repay alleged state aid for the period 1992 to 2012. On May 2, 2013, the European Commission approved the compensation granted to bpost NV/SA under the terms of the 5th management contract covering the period 2013 to 2015 ("5th management contract"). On December 3, 2015, bpost and the Belgian State signed a management contract ("6th management contract") with respect to a variety of services of public economic interest ("SGEIs") (inter alia, the maintenance of a retail network, distribution of pensions, cash at counter and other services). This 6th management contract provided for a continued provision of these SGEIs for a period of five years, ending on December 31, 2020, and for a remuneration in line with the principles of the 5th management contract, as approved by the European Commission on May 2, 2013. On June 3, 2016, the European Commission approved the 6th management contract and the press concession agreements under the state aid rules.

In December 2020, the Belgian government decided to extend the 6th management contract until December 31, 2021. The extension was approved by the European Commission on July 27, 2021. On September 14, 2021, the Belgian government and bpost NV/SA signed the 7th management contract covering the period until December 31, 2026 ("7th management contract"). This contract has been notified to the European Commission and was approved on July 19, 2022. As a consequence of this approval the contract entered into force. The 7th management contract is in line with the 6th management contract and only provides for minor changes to the scope of the SGEIs entrusted to bpost NV/SA compared to the 6th management contract.

Although the European Commission's decisions on state aid provide bpost NV/SA with a degree of certainty regarding the compatibility of the compensation it receives for the provision of SGEIs" with state aid rules, it cannot be excluded that bpost NV/SA could be subject to further state aid allegations and investigations in relation to SGEIs, other public services and other services it performs for the Belgian State and various public entities.

In accordance with the Belgian State's commitment to the European Commission, the Belgian State organized a competitive, transparent and non-discriminatory tendering procedure with respect to the distribution of recognized newspapers and periodicals in Belgium, following which the service concessions were awarded to bpost on October 16, 2015 to provide the services from January 1, 2016 until December 31, 2020. In December 2019, the Belgian government decided to extend the service concessions until December 31, 2022. The European Commission approved the compensation granted to bpost relating to this extension of the service concessions on September 2, 2021. An internal compliance review was requested by the Chair of the Board of Directors in August 2022 regarding the then ongoing public tenders of the Belgian State for the distribution of recognized newspapers and periodicals in Belgium (more details on this internal compliance review can be found in the Contingent liabilities section of this annual report). In February 2023, the Belgian government announced its intention to conduct a governmental audit into the compensation for the current press concession (2016-2020), which was extended until end 2023. In December 2023, following its decision not to award any new press concession and to replace it by a tax measure for the press publishers, the Belgian government decided to extend the current concession for an additional six months period, until mid-2024. These two extensions were notified to the European Commission. On May 24, 2024, the European Commission approved the compensation granted to bpost relating to both extensions. Reference is made to the Contingent liabilities section of this annual report concerning the possible impact thereof.

bpost NV/SA may be required to provide other postal operators access to specific elements of its postal infrastructure (such as information on requests for mail re-direction in case of address change or parcel lockers), access to its postal network and/or to certain universal services. It cannot be excluded that competent authorities impose access at uneconomic price levels or that the access conditions imposed upon may be not favourable for bpost NV/SA. In the event bpost NV/SA were to fail to comply with these requirements, it may also be subject to fines (under the competition law rules and postal regulation) and/or other postal operators may initiate proceedings seeking damages in national courts.

bpost NV/SA is required to demonstrate that its pricing for the services falling within the universal postal service obligations ("USO") complies with the principles of affordability, cost orientation, transparency, non-discrimination and uniformity of tariffs. Tariff increases for certain single piece mail and USO parcels are subject to a price cap formula and prior control by the Belgian Institute for Postal services and Telecommunications ("BIPT"). The BIPT may refuse to approve such tariffs or tariff increases if they are not in compliance with the aforementioned principles or price cap formula. It should be noted that the Postal Law, which entered into force in February 2018, provides for a price cap formula as part of a stable and predictable price control mechanism.

In addition, in relation to activities for which bpost NV/SA is deemed to have a dominant market position (or with respect to which other companies are deemed to be economically dependent on bpost), its pricing must not constitute an abuse of such dominant position (economic dependence). Failure to observe this requirement may result in fines and could result in an order by national courts to discontinue certain commercial practices or to pay damages to third parties.

bpost NV/SA is also subject to the requirement of no cross-subsidization between public services and commercial services. In addition, according to state aid rules, if bpost engages in commercial services, the business case for providing such services must comply with the "private investor test," that is, bpost NV/SA must be able to demonstrate that a private investor would have made the same investment decision. If these principles are not complied with, the European Commission could find that commercial services have benefited from unlawful state aid and order the recovery of this state aid from bpost.

According to the European Commission, cross-border parcel delivery is one of the key elements impacting e-commerce growth in Europe. A regulation on cross-border parcel delivery was adopted by the Council and EU Parliament in 2018 and imposes increased pricing transparency and regulatory oversight for cross-border parcel delivery operators such as bpostgroup. bpost NV/SA was designated by the Belgian State as the USO provider for an eight-year term commencing in 2011. In the Postal Law, bpost NV/SA is designated as a USO provider until the end of 2023. The special terms and conditions of the USO are defined in a dedicated management contract which entered into force in 2019. The new USO Management Contract between bpost and the Belgian State has been signed on 9 November 2023. Under the terms of this contract, bpost has been appointed as a USO provider until December 31, 2028. The obligation to provide the USO may represent a financial burden on bpost. Although the Postal Law provides that bpost is entitled to compensation by the Belgian State in the event the USO has created an unfair burden, there can be no assurance that the entire net cost of the USO will be covered.

bpostgroup is also subject to the Parcel Delivery Act of 17 December 2023 which aims at improving working conditions for parcel delivery workers, especially in the context of sub-contracting. A set of new obligations is progressively coming into force and apply to all parcel deliverers active in Belgium: mandatory notification to the BIPT, designation of a coordinator (to look after the rights of the deliverers), semestrial reporting on parcels delivery activities and usage of subcontractors (volume and paid amounts), daily recording of delivery time for each deliverer, minimum hourly remuneration paid to subcontractors, maximum permitted delivery time for parcel deliverers (as of 2026).

bpost SA, Euro-Sprinters and Dyna (all 3 in scope) are working on the implementation of the law. Failure to observe or implement timely these new requirements may result in fines from relevant authorities.

Related to the final outcomes and financial consequences of the recent crisis

As a consequence of the crisis weathered by bpostgroup, various potential litigations and compliance cases have arisen and remain pending today. Despite a financial provision of 87Mio EUR that has been recorded, various factors and circumstances should be considered beyond bpost's control and remaining uncertainties could lead to additional financial impacts. More detailed information on these compliance matters can be found in the Contingent liabilities section of this annual report.

Related to the third party management

In the context of the upcoming Supply Chain Due Diligence Regulation and given the rising importance of third party management in light of bpostgroup's strategic ESG ambitions, potential gaps, notably compliance related, within bpostgroup's current third-party management systems are possible and are currently being reviewed in greater details. In the case of material gaps being identified, appropriate mitigation plans will be defined and deployed on due time.

Related to bpost as agent to of BNP Paribas Fortis NV/SA ("BNPPF")

Following the sale by bpost NV/SA of its 50% stake in bpost bank NV/SA ("bpost bank") to BNPPF in 2021 (effective 2022), bpost bank has merged into BNPPF on January 19, 2024 and, as of January 22, 2024, bpost welcomes -as an agent of BNPPF- the clients of BNPPF (including former clients of bpost bank) in its network of postal offices for banking and insurance matters. The regulatory landscape for financial

institutions has changed considerably (e.g., increased focus on customer protection, cyber-resilience, anti-money laundering, etc.) and prudential supervision has been reinforced. It is uncertain whether future legislative, regulatory or judicial changes may have a material adverse effect on BNPPF's business, financial condition, results of operations and prospects which could have an impact on bpost as agent of BNPPF.

Related to other regulatory & legal requirements

bpostgroup is subject to extensive legislation. Many Group entities are subject to specific transport regulations inducing the potential for heightened compliance risks and liabilities. In Belgium, bpost SA/NV is subject to certain specific risks in relation to employment matters deriving from the application of certain public law provisions and principles, uncertain interpretation of tax exemption's right and is also subject to a correct application of public procurement law. In addition, the interaction between the laws applicable to listed limited liability companies and the specific public law provisions, especially in Belgium, may present difficulties in interpretation and cause legal uncertainty, notably regarding competition law and the Market Abuse Regulation (Regulation (EU) No 596/2014). It is possible that bpostgroup will face challenges complying with the existing regulatory landscape, including regarding certain employment matters on state aid grounds. Any noncompliance could have a material adverse effect on bpostgroup's business, financial condition, operating results and prospects.

Amendments to – or the introduction of new – legislation and regulations, including legislation and regulations relating to state pensions, could result in additional burdens for bpost. In addition, bpost SA/NV 's contractual employees could also challenge their employment status for being deprived of statutory employment protection and benefits.

The implementation of Council Directive (EU) 2017/2455 amending Directive 2006/112/EC and Directive 2009/132/EC as regards certain value added tax obligations for supplies of services and distance sales of goods may for example have an impact on bpostgroup. The recent introduction of the CSRD (Directive (EU) 2022/2464) and the CSDDD (Directive (EU) 2024/1760) will also impact the reporting obligations of bpostgroup and the requirement to act upon potential issues in the context of ESG. Stakeholders could also use this information to act against Group entities with potential reputational damages. Finally, the adoption of the Pillar II legislation (Directive 2022/2523), aiming to ensure a global minimum level of taxation for multinational enterprises, is expected to increase and complexify the reporting obligations of bpostgroup.

The recent challenges have underscored the critical importance of fostering a culture rooted in integrity and ethical behavior across the organization. In response, bpostgroup has taken decisive steps to reinforce its commitment to high standards of business conduct. A comprehensive Group Code of Conduct e-learning program has been developed and implemented across the organization, ensuring alignment with core values and expectations. These measures aim to prevent the recurrence of unacceptable behaviors and management practices while strengthening trust, accountability, and resilience at every level of the organization.

1.5 Emerging Trends and Challenges for 2025 and Beyond

Postal companies face rapid and accelerating change. Proactively managing these shifts allows us to seize opportunities and mitigate risks. To support this, bpostgroup ERM conducts regular strategic risk assessments and maintains a one-year horizon bpostgroup Risk Register. Complementing this is a broader review of emerging trends, risks, and opportunities with a 10-year outlook. This approach enhances resilience and sustains our competitive edge. Emerging risks stem from trends that may evolve into threats or opportunities, often uncertain and challenging to quantify. With greater insight, some trends may eventually transform into opportunities, underscoring the importance of early identification and monitoring.

The postal and logistics sector is rapidly evolving toward customer-centric models, driven by technological advancements and changing client behaviors. The rise of e-commerce and demand for faster deliveries require innovations like IoT, AI, and real-time tracking to optimize operations and improve customer experiences. Generative AI, robotics, and big data offer new possibilities for automation and data-driven decision-making.

Geopolitical shifts significantly impact logistics by altering trade routes, tariffs, and regulations, disrupting supply chains and increasing costs. Companies must remain agile, diversify supply chains, and closely monitor political developments. These challenges also create opportunities for consolidation, enhancing efficiency amid uncertainty.

Environmental sustainability remains paramount, with a commitment to net-zero emissions by 2040 through initiatives like zero-emission deliveries and recyclable packaging. Legal and regulatory compliance is critical as evolving laws influence transportation, trade, and workforce management. Embracing mobility innovations ensures competitiveness and customer satisfaction.

Demographic shifts, such as aging populations and longer life expectancy, shape market demands and consumer behavior, requiring tailored solutions. Concurrently, geopolitical tensions, volatile financial markets, recessions, and climate change add layers of complexity.

As we look ahead, the industry faces interconnected challenges, including climate change, cyber threats, geopolitical instability, and economic volatility. However, these crises also present opportunities to foster a sustainable, secure, and innovative future for the sector. Adaptability and strategic foresight will be critical to navigating this transformative era.

6. Sustainable Value

Overall Introduction & Strategic Perspective

"Sustainability is an integral part of bpostgroup redefined strategic vision and framework."

bpostgroup's aim to be a reference in Environmental Sustainability and an Employer of Choice reflects our continued full commitment to our societal promises which are core to our market operations and differentiation. In 2024, we updated our Double Materiality Exercise and identified eight material topics which are the focus of our ESG strategy and have been taken into account when building our corporate strategy.

bpostgroup double materiality assessment defines our strategic priorities

Double materiality 2024

Many initiatives supporting the implementation of our strategy include various elements of sustainability by design. For instance, in Belgium, our locker, B2B and C2C innovation strategies all support lower emissions for ourselves and/or our customers.

Furthermore, we have developed a tool enabling us to analyze current and future initiatives in light of their expected impact on those material topics.

"Being a reference in environmental sustainability in all markets we operate in."

ENVIRONMENT

A.Our Ambition

As a global mail and parcel-sized logistics service provider, bpostgroup has an impact on the environment across the e-commerce value chain. Every day we ship more than a million parcels around the world, using one of the largest car and truck fleets in Belgium and generating a significant carbon footprint. Which is why we are determined to fight climate change and be a force for good in the countries we operate in.

This shared ambition encourages us to accelerate our efforts to decarbonize and reduce air pollution in the e-commerce and third party logistics supply chain and to reuse and recycle packaging as part of a circular economy.

In 2024, bpostgroup advanced further on our path towards Net Zero and achieved a deeper integration of sustainability within our operating model to pave the way for further progress. We developed a group level environmental policy, refined our climate transition plan, strengthened ESG criteria in our Supplier code of conduct, and improved our measurement of environmental KPIs for Green House Gases, for pollution emissions and for packaging & waste.

3 principles underpin our environmental policy:

1. Decarbonize the e-commerce and third party logistics supply chain
1. Take action on any identified adverse impact on air quality,
1. Offer sustainable solutions for the e-commerce value chain through recyclable and reusable packaging

9.3%

Scope 1 & 2 emission reductions vs. 2023

21%

Emission-Free Last-Mile Delivery in Belgium

100%

of the electricity consumed in Europe is renewable

Over98%

of our sorted plastic or cardboard waste is recycled

B. Decarbonizing the e-commerce and Third-Party Logistics Value Chain

Our Net Zero Ambition

Our Climate Transition Plan

bpostgroup Climate Transition Plan through 2030, approved by SBTi, aims to reduce scope 1&2 emissions by 55% and scope 3 emissions by 14%. It includes 6 decarbonization levers:

Emission Free Last mile Deliveries
Truck fleet running on alternative fuel and double deck trailers
Electrification of company cars : New company cars zero emission
Green Electricity
Phasing out natural gas & heating oil from our buildings
Starting to reduce scope 3 emissions

In 2024, bpostgroup invested over 22 million Euros to progress on this plan and we have foreseen to continue with similar level of investment in 2025 and beyond.

Progress towards our targets

AMBITION	2024 PROGRESS	2024 ACHIEVEMENTS	LOOKING FORWARD
Reduce Scope 1&2 Emissions by 55% by 2030	21% zero-emission Last Mile Delivery	Expanded Ecozones to 4 new cities resulting in 18 Ecozones 2024 in total across Belgium	+ 7 ecozones to a total of 25 in 2025 +1000 e-vans and + 54 e-bike trailers
			in Belgium Plan to install a total of 4500 charging points by end 2029 to power electric van fleet. Install Solar Panel on an additional 54 mail centers in Belgium over 2025-2029 to power our growing electric fleet Fully implement policy beyond Belgium Gradually phasing out non sortable double components packaging in
		+ 600 e-vans (total of 2200 or 22% of fleet) + 86 e-bike trailers (total of 544) and +1000 charging points (total of 2400)
		Developed parcel level Carbon Calculator for customers to help them manage their scope 3 emissions (won Amazon "Excellence in Carbon Reporting" 2024 award)
		Dyna and Apple Express expanding use of electric vehicles in their subcontracted fleet
	100% Green Electricity in Europe	+6'000 m2 of Solar Panels installed on our Warehouses ( bpost, Dyna) for a total of over 73'000 m2 of installed capacity
		100% Green Electricity for our Operations in Europe
	88 Trucks On Alternative Fuel or Double deck trailers	2 Electric Trucks joined our fleet late 2024 early 2025
	100% new Company Cars in Belgium Zero Emission
	99.4% Recyclable or Reusable Packaging		Belgium

Carbon Footprint Table1 :

In 2024, bpostgroup total Scope 1 emissions decreased by 3% mostly as a result of the electrification of our fleet in Belgium. Scope 2 decreased by 26% reflecting increased use of green electricity (expansion of Solar Panel Park and purchase of Green electricity for our entire operations in Europe).

We updated our Scope 3 calculation with several methodological improvements: (1) Switch to Well-to-Wheel emission factors, (2) Improved methodology for Purchased Goods and Services, (3) new category Capital Goods and (4) Extension of the scope of Fuel & Energy Related Activities. To allow for like for like comparisons , we applied this improved methodology to both 2023 and 2024 data.

On this base, bpostgroup scope 3 emissions in 2024 decreased by 3% vs 2023. While we see an increase in emissions from Purchased Goods and services, we notice a decrease in emissions from outsourced road and air transport and from waste.

In total our 2024 GHG emission went down by 5% in 2024 vs 2023.

GHG CATEGORY	TOTAL 2019	TOTAL 2023 REPORTED	TOTAL 2023 UPDATED	TOTAL 2024	VARIATION
Scope 1	88.997	79.363	78.861	76.513	-3%
Scope 1 - Building	21.014	18.039	18.046	18.511	3%
Scope 1 - Refrigerant	Not available	472	472	646	37%
Scope 1 - Fleet	67.983	60.852	60.343	57.356	-5%
Scope 2 - Market-based	30.266	29.892	29.893	22.129	-26%
Total Scope 1 & 2 - Market-based	119.263	109.255	108.754	98.642	-9%
Scope 3	322.561	285.801	344.723	332.835	-3%
Scope 3 - Purchased goods and services	76.260	96.569	102.210	108.016	6%
Scope 3 - Capital goods	Not available	Not available	15.638	18.714	20%
Scope 3 - Fuel & Energy related activities	22.248	20.556	28.293	25.625	-9%
Scope 3 - Outsourced air transport	72.330	57.427	60.798	52.017	-14%
Scope 3 - Outsourced road transport	113.440	78.710	96.812	89.072	-8%
Scope 3 - Waste	3.932	4.768	4.768	2.373	-50%
Scope 3 - Business travel	1.374	1.157	1.763	1.952	11%
Scope 3 - Employee commuting	32.977	26.614	34.440	35.066	2%
Total - Market-based	441.824	395.056	453.477	431.477	-5%

Decarbonization Lever 1 : Emission Free Last Mile Delivery

Continuing to expand our emission free last mile delivery fleet and infrastructure

In 2024, we made further progress with the electrification of our fleet and the extension of the infrastructure supporting it . We expanded our fleet of e-vans by 607 to reach a total of 2197 E-vans . At the same time we added another 1000 loading stations to reach a total of 2400 by year end . Our goal is to install 4500 charging stations by 2029 to support a full electric last mile fleet.

In 2025, we plan to acquire another 1000 e-vans in replacement of end of life diesel vehicles, we have ordered 168 e-bike trailers for soft mobility parcel delivery and we will continue the installation of additional charging points.

Green fleet and delivery performance summary for bpost NV/SA in Belgium

METRIC	UNIT	2023	2024
Share of emission-free last-mile delivery (bpost NV/SA)	%	15(*)	21(*)
Total number of emission-free ecozones	Number	14	18
Total number of EV Charging points	Number	1400	2400
Share of last mile alternative fuel vehicles	%	36	41

(*)New methodology vs 2023 report

Initiatives towards emission-free last mile delivery are also taken by other bpostgroup entities for their subcontracted fleet with initiatives at Apple Express and Dynagroup to integrate electric vehicles within their subcontracted fleet.

bpost orders 168 new e-bike trailers

Parcel and letter deliveries using e-bike trailers have major advantages, not just for bpost's customers but for everyone who lives in Belgium's towns and cities. Delivery on foot or by bike reduces road congestion and frees up parking spaces, while also lowering traffic noise when delivery density makes it possible. It also reduces loads on road surfaces.

The use of e-bike trailers also leads to a substantial reduction in carbon emissions. A single e-bike trailer emits 1.7 tonnes less carbon dioxide per year than a regular diesel van. All bpost e-bike trailers combined emit 588 tonnes less carbon dioxide per year. This new order of 168 e-bike trailers will cut carbon emissions by a further 239.5 tonnes. That's good for the planet, good for consumers and good for city dwellers.

The 168 new e-bike trailers, which are scheduled for delivery in the course of 2025, can be easily clicked onto an e-bike to carry up to 50 parcels, plus letters, up to a total load of 150 kilograms. They will be added to the existing fleet, bringing the total number of e-bike trailers to 600.

bpost started using e-bike trailers on its rounds four years ago and has scaled the fleet up every year since. That is essential, as bpost launches Ecozones in more and more towns and cities in partnership with local authorities. Letters and parcels are delivered emission-free in these Ecozones, by electric van, by bike or on foot. bpost's ambition is to take a leading role in sustainability by rolling out this delivery method across the biggest Belgian cities by 2030.

100% Green Energy Vehicles by 2030 at

Apple Express in Canada

Apple Express has committed to transitioning its network of last-mile delivery vehicles to being exclusively green powered by 2030, marking a significant step towards sustainability and environmental responsibility. This ambitious plan will make us the first nationwide carrier in Canada to replace traditional fuel-powered vehicles with electric and hybrid alternatives, significantly reducing carbon emissions and reliance on fossil fuels. By 2030, the company aims to not only minimize its environmental footprint but also set a benchmark for the industry, demonstrating that the large-scale adoption of green vehicles is both feasible and beneficial for the planet.

Extending our network of Ecozones

Ecozone is a model that reduces the impact of our operations in Belgian cities. The Ecozones are based on 3 pillars: a dense network of collection points within city centers (PUDO points e.g. post offices, post points and parcel lockers), delivery by soft mobility devices (e-trailers, e-bikes) and replacement of the remaining diesel vans by e-vans. With the help of a fleet of green vans and bikes, the aim is to drastically reduce the number of car journeys made for pick-up and drop-off of deliveries.

The benefit for city-dwellers is twofold: first, it improves the air they breathe; and second, it relieves pressure in their busy lives. In 2020, bpost launched the concept in Mechelen and since then 18 cities have been transformed into a bpost Ecozone: Brussels, Mechelen, Louvain-La-Neuve, Leuven, Hasselt, Eupen, Namur, Liège, Mons¹ , Brugge, Sint-Niklaas, Kortrijk¹ , Oostende, Seraing, Verviers, Roeselare, Andenne and Diest. A total of 18 Ecozones and 109 zipcodes have emission free last mile delivery.

According to Mobilise, the research department at the Vrije Universiteit Brussels, bpost not only reduces its carbon emissions by 97% in Ecozones, but also achieves a significant reduction in noise and traffic for more liveable cities. The project won in the past already several prices from Becom and Parcel & Postal Technology International, in 2024 we won the World Post & Parcel Award 2024 in the category of "Commitment to sustainability".

In 2025 the ambition is to deliver 25 Ecozones covering large areas and cities in Belgium. This will result in one on three Belgians with emission-free mail and parcel deliveries. bpost also has an ambitious plan to double the amount of lockers in Belgium, which brings out-ofhome delivery closer to the end consumer.

A walkable pick-up network Transforming delivery habits

Soft Mobility Reducing traffic in the city

Electrification of the last mile Avoidance of CO2 emissions

Delivering in PUDO (Pick Up Drop Off) points: bpost installs record number of parcel lockers in 2024 and plans doubling in 2025

Parcel lockers play an increasingly important role in bpost's distribution network. They are very convenient. That's because parcels lockers can be accessed 24/7. It's something that Belgians appreciate: the number of people having a parcel delivered to a parcel locker rose by 44% this past year. And the statistics show that delivery to a parcel locker gets the highest customer satisfaction score of all delivery options offered by bpost.

This past year, bpost installed a record number of parcel lockers to ensure everyone has one nearby: 365 new parcel locker installations drove the active installed parcel locker base up to 1260. That is the equivalent of one new parcel locker installation every single day, on average.

And the network will continue to grow in 2025, based on bpost's ambitious plan for more than 1200 new parcel locker installations, doubling the number of installations in Belgium to 2500. The newer parcel lockers are typically larger and more efficiently designed, so the number of doors will triple from the current 50,000 to 150,000 by the end of 2025.

Decarbonization goes beyond a green fleet.

with an average of Reduce km's driven results in less fuel consumed. -30%

Consolidation and less failed deliveries

with a dense network of Pick-up points & lockers, results in less km's driven and livable cities.

Supporting our Customers on their Scope 3 decarbonization journey: bpost Carbon Calculator

Decarbonization Lever 2: Truck fleet running on alternative fuels & double-deck trailers

All investment bpostgroup makes towards low carbon deliveries also respond to the needs of many of our customers who are looking for a reliable partner to help reduce their own scope 3 emissions.

The carbon calculator, developed by bpost, estimates the carbon emissions associated with every parcel businesses use our services for. The tool calculates the carbon footprint taking into account various parameters, such as weight, number of parcels, distances covered, number of stops and the type of vehicle used. Until further notice bpost employees share the information provided by the tool with customers. We aim to open up the tool to customers at a later stage so that they can use the carbon calculator themselves.

It provides customers with carbon transparency validated by Vinçotte - the largest Belgian company in the field of control, inspection, and certification. From a technical point of view, it complies with ISO 14083 and the GLEC Framework.

Investing further in Double Deck Trailers and acquiring our first 2 electric Trucks

For the First Mile (Truck transport), we welcomed 24 new Double Deck Trailers who allow us to transport more parcels without driving more km's as 2 Double Deck Trailers replace 3 Simple Deck Trailers. In Q3 we also received our first e-truck mainly to execute Truck-transport in Brussels and we acquired a second e-truck at the start of 2025.

In 2025, we will continue exploring what are the best alternative fuel options for our fleet.

bpost acquires its first 2 electric trucks

Decarbonization Lever 3: Electrification of Company Car Fleet

Deploying New Zero Emission Company Cars

As of September 2023, all new company cars at bpost NV/SA are fully electric, representing a significant step forward. To encourage adoption, we launched an awareness campaign emphasizing the environmental benefits of selecting electric vehicles. We have also engaged with parking providers to secure battery charging facilities at our Brussels headquarters.

In 2024 , All new company cars acquired by the group entities in Belgium (>85% of our company cars fleet) were "full electric". Other countries are also in the process to shift to 100% new company cars.

Adopting the Federal Mobility Budget

In 2024, bpost adopted the Federal Mobility Budget in Belgium with the purpose to promote sustainable mobility for employees. The Federal mobility budget is a flexible system allowing employees to exchange their (right to a) company car for a budget. This budget can be spent on a more environmentally friendly car, other sustainable transport options (bike leasing, train/metro passes), and housing costs.

Decarbonization Lever 4 & 5 : Green Electricity and buildings Decarbonization

Our efforts to improve the energy efficiency of bpostgroup buildings have made significant progress. We managed to noticeably reduce our reliance on natural gas and fuel oil, demonstrating our commitment to adopting greener energy solutions.

Green Electricity and Energy Performance for bpostgroup

METRIC	UNIT	2023	2024
% Green Electricity	%	40%	58%
Solar Panel installed on bpost Facilities	M2	67'000	73'000
Energy Consumption from Buildings	Mwh Electricity	60'991	64'519
(bpost NV/SA)	Mwh Fossil Fuel	50'485	46'902

Exclusively using renewable electricity in Belgium and Europe

For the bpostgroup entities located in Belgium we have green electricity contracts for our buildings. As a result, a majority of our electricity consumption is green, and for the remainder, we purchase "Guarantee of Origin" certificates. In 2024 we expanded this strategy to our entire European operations (excluding recent Staci acquisition) meaning we are using 100% green electricity for our operations in Europe. In the future, we have the vision to proceed in steps to achieve 100% green electricity by 2030.

Building a Solar panel strategy at bpost

At the end of 2024, bpost NV/SA launched a new solar panel strategy for 2025-2029, with a vision to deploy solar panels on all our mail centres that are going to be equipped with electrical vehicles (EVs). The goal is to compensate EV-consumption, and the roll out is expected to begin in 2025.

Targeting (even) more green electricity with 1640 solar panels

Mail processing and delivery is an energy-intensive business. That's why rolling out further improvements to make logistics processes more sustainable is so important to bpost. The installation of 1100 solar panels at two bpost sites in Brussels in 2023 (Neder-Over-Heembeek and Evere) by green-energy solutions specialist Earth, is one way bpost is working towards its ambition to slash carbon emissions by 55% by 2030. Over the course of 2024, Earth installed another 600 or so panels at the international mail centre in Zaventem (Brucargo), where the international mail is processed. Sixty-seven percent of the solar energy produced by these solar panels will be consumed on site, which is equivalent to 36% of its annual electricity demand.

Opening first carbon-neutral bpost distribution centre in Evere, Belgium

bpost's new distribution centre in Evere was fully operational after the relocation of almost all teams in 2024. This carbon-neutral building is fully equipped with state-of-the-art technologies and has been designed with special concern for sustainability and climate neutrality, including solar energy, heat pumps for heating and ventilation with energy recuperation, modular LED lighting, loading facilities and rainwater harvesting.

The distribution center is not only energy-efficient, it also produces (some of) the energy it needs. Solar panels cover an area of 1236m² on the roof. The energy they produce is used to charge electric vehicles and cover the consumption needs of the activities. More than enough (100+) charging stations have been installed to keep the fleet of e-vans, e-bikes and e-bike trailers running.

Clearly, energy is consumed in a smart way. The LED lighting in the main hall is automatically dimmed (from 500 lux to 300 lux) as soon as employees leave on their rounds. All loading bays are equipped with two sets of doors to minimize heat loss.

The state-of-the-art heating and cooling systems ensure that no fossil fuels are consumed. Heat pumps draw in ambient energy to heat the building in winter and cool it in summer, as needed. This creates comfortable working conditions for employees as well as contributing to the reduction of carbon emissions.

Water management is another important aspect as we learn to live with the prospect of periods of great drought and excessive precipitation. State-of-the-art water management and rainwater harvesting systems in Evere ensure that the environmental impact remains limited. Rainwater from the roof is captured and harvested for showers and toilets, among other things. There is also an ingenious system that allows precipitation to slowly infiltrate into the ground. The parking spaces are surfaced with porous material, but all water on the roads is drained off to this infiltration system. It is very important to ensure that the water is not simply immediately directed to the drainage system. Furthermore, this can be easily monitored, including remotely.

Decarbonization Lever 6: Scope 3 Decarbonization program at bpostgroup

Closely collaborating with our suppliers

bpostgroup scope 3 reduction strategies is proceeding in 2 steps:

Step 1 : Getting the data and policy infrastructure to a more actionable level (Main focus in 2024)

Step 2: Engaging actively with suppliers to drive emission reductions (Main focus for 2025 and beyond)

Improving the data quality of our scope 3 emissions is the backbone of our scope 3 decarbonization program that was launched in 2024. Moving to a more advanced data collection model will be crucial to develop a fact-based roadmap for a realistic longterm decarbonization target in scope 3. This brings more accuracy to our emissions in the category Purchased Goods and Services and Capital Goods.. The hybrid data model unlocks ~40% of the generic sectorial data to be replaced by supplier specific emissions.

In the next steps, as of 2025, we will leverage our updated Supplier Code of Conduct, focusing on supplier engagement and fostering collaboration with suppliers to drive change and to set clear decarbonization expectations

We intend to use multiple levers in order to help drive GHG emission reduction among our supplier base in line with the framework from the World Business Council for Sustainable Development.

Leveraging Community of Practice on Outsourced Transport

A new internal community of practice on Outsourced Transport was launched in 2024 with the purpose to exchange best practices, improve our scope 3 performance, and discuss solutions to optimize engagement with bpostgroup suppliers. Through monthly meetings, the community brought together colleagues across different entities and geographies, specifically those responsible for managing transport suppliers.

BACA Supply Chain Leaders program

bpost extended its membership in the Belgian Alliance for Climate Action (BACA) as to exchange insights and best practices with the BACA community.

As a member of BACA, we commit:

To work towards integrating climate into our business strategy and recognize the importance of emissions in the supply chain.
To formally commit to setting science-based targets to reduce emissions across our supply chain.
To actively work with our supply chain partners, upstream and downstream, large and small, to support and incentivize them on their journey to decarbonization.
To share our journey and knowledge with other members, partners, policymakers and the general public.

C. Reducing Air Pollution

Bpostgroup identified Air Pollution as a material topic we should act upon specifically reflecting input from Environmental NGO's during the stakeholder consultation conducted for the Materiality Analysis.

Still, our Air Pollution reduction targets and actions are strongly linked to the actions we take to reduce CO2e emissions, namely the electrification of our last mile fleet and of our company cars.

In 2024 bpost NV/SA fleet (> 85% of our own fleet) emitted 74 T of NOx. About 60% of those emissions come from 20% of vehicles (vans and trucks).

Moving forward, we intend to phase out all Diesel Vehicles with a lower than Euro 6 engine by end 2026 latest and to ensure that any new leased diesel vehicle has at minimum a Euro 6d engine.

D.Reducing Reducing Waste

bpostgroup is equally focused on improving the recycling and reuse of waste generated by its operations. Its waste primarily consists of paper, cardboard and plastics, and it is committed to the following:

Increasing sorted waste: Our aim is to increase the proportion of sorted waste in the total waste produced by the Group, with the purpose of significantly improving the recycling of this waste.
Keeping best in class performance in Waste Recycling: More than 95% of the waste that is sorted is recycled. Our goal is to keep this level of performance in every of our entities, while increasing the percentage of sorted waste.
Reduce our waste intensity (kg waste/revenue): in the coming years, we will work with our customers and suppliers to reduce the waste everywhere it is possible.

Waste Management Performance

In 2024 bpostgroup sorted 78.3% of the waste weight generated by its operations. Of the sorted waste, 98.1% of the plastic waste and 98,6% of the paper/cardboard waste was recycled or reused.

METRIC	2030 TARGET	2023	2024
Waste not sorted and not recycled	15% max (to be refined in 2025)	N/A	21.7%
Waste that is recycled or re-used - plastic	> 95%	N/A	98.1%
Waste that is recycled or re-used - paper/cardboard	> 98%	N/A	98.6%

Improving waste sorting will be an area of focus for 2025 and beyond. To this end bpost NV/SA just launched a project to improve waste management in our mail centers to reduce unsorted waste from 34% to 15% within the next 2-3 years.

Active Ants and Staci are at the forefront of waste management practices within bpost group. Active Ants automatically cuts or folds packaging to size of content to minimize volume and hence carbon footprint of delivery. Staci employs people with disability onsite to transform their cardboard waste into protective cardboard based filler material.

E. Offering Sustainable Solutions for the E-Commerce Value Chain through Recyclable and Reusable Packaging

We recognize that packaging plays a key role in our environmental footprint. Therefore, our objectives are focused on:

Encouraging the use of reusable containers for internal flows: bpostgroup undertakes to limit the use of packaging during internal flows within its own logistics areas, by exclusively using reusable containers for all our internal flows (ie. between our sorting centers and our distribution offices, in our fulfilment facilities as well as in our exchanges with some recurring customers)
Encouraging Reusability: We are working to explore ways to make more of our packaging reusable. This includes piloting reusable packaging solutions for certain shipping products, and encouraging customers to reuse packaging when feasible.

Packaging KPI's

METRIC	2030 TARGET	2023	2024
Recyclable or re-usable packaging put in the market	100%	N/A	99.4%
Recycled materials sourced in packaging put in the market (bpost NV/SA)	80% (group target)	85% (bpost NV/SA)	93.7% (bpost NV/SA)
Double-components packaging (unsortable)	0% of Retail Sales	N/A	8.2%

In 2024, 99,4 % of the packaging used by bpostgroup was re-usable or recyclable . Within bpost NV/SA in Belgium, 93,7% of the material we used was made of recycled material, up from 85% in 2023. Also 8.2% of bpost SA packaging ( envelopes and parcel boxes) revenue was coming from unsortable double component packaging (envelopes with protective plastic "bubbles") . We are working with our packaging suppliers to find alternative solutions to those envelopes while still addressing consumer need for content protection.

Facilitating re-usable packaging

Following 2023 pilot with Hipli, we expanded use of Hipli reusable package to additional customers and added Re-zip of Raja as another reusable option.

Facilitating no pack - no label goods shipping

For consumers, we are currently piloting a "no packaging, no label" service, enabling locker-to-locker shipping to simplify and encourage more sustainable C2C (consumer-to-consumer) transactions.

Partnering with the Climathon of Charleroi Métropole to design circular business models

During the 50-hour challenge, bpost invited participants to design a business model for a circular start-up that integrates our lockers into their logistics. Two teams have taken up this challenge brilliantly, imagining innovative and sustainable solutions.

Recupel and Nespresso serve as examples, these projects have since been discontinued.

We actively help moving to a more circular economy

Facilitating re-usable packages

Hipli and Re-zip of Raja Packaging Innovation Award 2022 (PPTI) with Hipli pilot

Certified Ecovadis & ISO 14 0001 79% recycled fibers for standard boxes and 100% for gift packs and the Fashion Bag without altering the solidity

PACKAGING CIRCULAR WASTE STREAMS

Circular waste streams

bpost supports setting up circular waste streams for electronics*, fashion, consumer goods etc...
Not longer used laptop go to "Digital for Youth" Resell of EOL usable (e-)bikes to external companies
-

By default, customers now get a notification in the Existing packaging range C2C Digital ʻmissed delivery notifications' instead of paper

My bpost app or by email
This saves 302 tons of paper, 60.000 liters of ink, 52 tons of glue per year = 394 tons of carbon emissions per year

Repair

Dynafix helps to extend product life cycles by repairing consumer goods like cell phones, coffee machines, medical devices, drones, laptops, printers etc...

"Being a reference in social sustainability in all markets we operate in."

OUR PEOPLE: THE DRIVING FORCE BEHIND OUR SUCCESS

36,527 employees incl. Staci

38.01% women in management

120 nationalities present within the group

SOCIAL

At bpostgroup, our employees are at the heart of our mission: making our customers' daily lives easier. Their expertise, dedication, and diversity are what drive our success. Today, bpostgroup brings together more than 36.000 talented individuals across the globe, each with unique backgrounds and skills.

Ensuring a healthy, inclusive, and respectful work environment remains a top priority. We are committed to providing optimal working conditions, fostering ethical behavior, and prioritizing the safety and well-being of our teams.

A.Our Ambition

bpostgroup's ambition is to be a reference in social sustainability in all markets we operate in, with a focus on two areas where bpostgroup can have a significant impact:

Health and safety of our people first: we aim to become an employer of choice by creating an environment promoting physical safety and mental well-being.
Championing diversity, equity and inclusion (DE&I) across the group: we aim to be an inclusive employer offering equal opportunities, where all people – whatever their ethnic or social background, religion, gender, age, ability or disability (whether visible or invisible) – feel welcomed and valued.

B.Health and Safety Above All

"To become an employer of choice by creating an environment promoting physical safety and mental well-being"

1. Health and Safety

		BPOST NV/SA		BPOSTGROUP
METRIC	UNIT	2023	2024	2023	2024
Absenteeism of employees due to illness	%	9.09%	9.13%	8.02%	N/A
Frequency rate (total number of recordable work-related accidents of employees/ Total number of hours worked)	%	23.76%	21.86%	15.22%	17.07%
Accident severity rate of employees (total calendar days related to work-related accidents/total number of hours worked)	Lost days per 1000 hours worked	0.71	0.76	0.31	0.59
Lost days of employees	Days	23,608	25,487	24,435	27,625
Occupational accidents of employees1	Number	788	1,045	946	1,261
Total number of fatalities among employees	Number	0	1	0	1

In 2024, the definitions and calculations of key metrics were reviewed to comply with the CSRD, leading to changes that make comparisons with previous years not entirely relevant. As a result, 2024 will serve as the new baseline, and new targets will be defined during 2025.

bpostgroup maintained a strong focus on enhancing health and safety measures for both employees and temporary staff. Building on the initiatives of previous years, we continued investing in training, prevention, and risk assessment to strengthen our safety culture. Our key initiatives are described below. Our 2024 results reinforce our commitment to making bpostgroup a safer and healthier workplace for all employees.

Points, a mobile reporting tool

To improve workplace safety and efficiency, we introduced Points, a mobile reporting tool that allows bpost postal carriers to share critical route information. By reporting potential risks and key details, colleagues can stay informed about dangerous dogs, hard-to-find mailboxes, accessible restrooms, parking difficulties, … By leveraging shared knowledge, employees benefit from more safety (awareness of risks), more quality (better service) and more motivation (increased confidence). Points also supports smooth transitions during holiday time and other period of absence, ensuring continuity and efficiency in delivery services.

¹ As of the closing of this report, 127 accidents remain in "pending" status. The final number of accidents and the overall rate may fluctuate slightly by March 2025, allowing time for the insurance company to assess and qualify each case.

Safety Register

In 2024, we have expanded our unified safety register for all entities of bpost NV/SA. This comprehensive software tool inventories machines, installations, and transport means on the one hand and keeps track of the qualifications and competencies of certified personnel. It generates timely actions to follow up on internal inspections, external controls and monitors the expiration dates of training programs. Additionally, it guides the process of working with third parties through the introduction of work permits. This expansion ensures a streamlined and efficient approach to maintaining high safety standards across the organization.

Safety Performance Barometer

The Safety Performance Barometer is an advanced tool designed to measure and enhance safety performance by focusing on key safety indicators. It consolidates existing safety performance metrics, providing a comprehensive overview of regional safety

performance. This allows for the identification and prioritization of areas requiring the most attention. Fully integrated with bpost's Safety Register, the Barometer is a strategic instrument embedded in management's performance monitoring processes. By proactively addressing key leading process indicators, it supports a sustainable and continuously improving safety culture, ensuring a robust and resilient approach to safety management.

Safety Games

The Safety Games are revolutionizing the way safety rules. Best practices, and safe behavior are reinforced within all operational units of bpost NV/SA, which count more than 10.000 people. These games successfully engage and inspire a large portion of a traditionally hard-toreach audience, and make safety a topic of daily conversation during daily activities. By incorporating fun and interactive elements, Safety Games ensure that safety remains a key focus in the workplace.

Virtual Walking Challenge

The Virtual Walking Challenge encourages employees to track their steps and collectively "walk" as a team to each of Landmark Global's facilities across the U.S. and Canada, making their way from West to East. In 2024, the virtual format of the challenge allowed employees to participate flexibly, whether during their lunch break, evening walks, or weekend adventures. By sharing their progress and celebrating milestones together, participants fostered a sense of community. Overall, participants collectively walked more than 6.000 miles.

Ergonomics

In 2024, bpost NV/SA reinforced its commitment to employee health by focusing on workplace ergonomics. Key initiatives included:

Ergonomic Workstation Optimization: Assessments, awareness programs, and adjustments were implemented to reduce musculoskeletal risks.
Safe Lifting Training: A 'train-the-trainer' program trained 549 internal trainers and conducted 142 sessions to improve lifting techniques.
Ergonomic Aids Inventory: A review ensured ergonomic tools were accessible and properly used across distribution offices.

2. Employee Well-being

		BPOST NV/SA		BPOSTGROUP
METRIC	UNIT	2023	2024	2023	2024
Women in Top Management	%	N/A	N/A	N/A	31.17%
Women in Management	%	40.85%	41.51%	38.32%	38.01%
Well-being Measurement through survey	5-point scale	N/A	N/A	N/A	3.7

In 2024, the percentage of women in management remained steady at 38%, highlighting the need to reassess our 2025 target. A new action plan is underway, with revised objectives set for validation by March 2025. To strengthen our commitment to diversity and well-being, we are exploring additional KPIs to better capture progress in these areas. With updated methodologies in place, 2024 now serves as our new baseline, setting the foundation for future improvements and more accurate goal-setting.

At bpostgroup, employee well-being is a top priority. To keep a pulse on employee sentiment, the "My Voice" survey was carried out across bpostgroup, providing critical insights to enhance workplace well-being and engagement.

Heartworkers

During the busiest time of the year, between the Black Friday and the Holiday season, nearly 500 colleagues from the support services team in Belgium rolled up their sleeves with great enthusiasm to help manage the incredible volumes and give support in operations. They put their hearts and souls into tasks such as collecting, encoding, sorting, and distributing letters and parcels, demonstrating their unwavering commitment and teamwork.

"The magic, it's us" campaign: the sock challenge

To recognize our "heartworkers"' dedication, we launched a multi-week campaign, engaging participations by employees from 6 companies of bpostgroup through three challenges. Through one of them, the sock challenge, socks and a flyer were delivered at employees' home, setting the stage for participation. Instruction kits ensured smooth communication, and the website served as a hub for challenge entries and winner announcements. With 81 winners receiving personal vouchers, the campaign reinforced our culture of appreciation.

Associate Development Team

This year, Radial created a new team dedicated to Service Delivery Associate Development. Service Delivery Associates make up more than half of Radial's population and have unique learning needs as they are not regularly connected to company devices (laptops, phones, etc). This new team is focused solely on the career development and learning needs of this group of employees and their journey with Radial.

Mental Health and Wellness Enterprise Resource Group (ERG)

In 2024, the Mental Health and Wellness ERG of Radial US successfully organized two impactful wellness challenges. In January, the "Little Things Campaign" was launched in honor of Mental Wellness Month, to raise awareness about simple, yet effective actions individuals can take to enhance their mental well-being. The campaign saw a strong participation, with a total of 460 daily wellness activities logged by participants. In May, the ERG launched the "Miles for Mental Health" campaign, encouraging members to cover 100 miles throughout the month—whether by walking, running, or biking. The challenge resulted in a total distance of nearly 5.000 miles covered, with 39 participants contributing to the overall effort.

Mental Health First Aid Certification

Radial NA launched a Mental Health First Aid Certification program through the National Council for Mental Wellness. Team members learned how to recognize and respond to other adults who may be experiencing a mental health or substance use challenge in the workplace and how to provide immediate support and a safe space for conversations around these challenges.

Movember: raising awareness around men's mental health

Last Movember, Landmark Global UK raised awareness about men's mental health through a special collaboration. Pete Christopherson, an employee who recently became a mental health first aider, teamed up with rapper and mental health advocate Shocka (Kenneth Erhahon), widely known for his impactful work in music and advocacy, promoting self-love as a foundation for mental well-being.

3. Training and Development

		BPOST NV/SA		BPOSTGROUP
METRIC	UNIT	2023	2024	2023	2024
Average number of training hours per employee	hours	32.90	32.36	31.30	27.16
Number of executed performance reviews / agreed performance reviews	%	N/A	97.04%	N/A	91.39%

In 2024, we continued our commitment to employee development, with an average of 32.36 training hours per employee at bpost NV/SA and 27.16 at bpostgroup. Additionally, performance management remains a priority, with 97.04% of performance reviews completed at bpost NV/ SA and 91.39% at bpostgroup. These efforts will serve as a foundation for setting future goals that will support our transformation journey.

Training on Diversity, Equity and Inclusion (DE&I)

In 2024, bpostgroup expanded its Diversity & Inclusion Training. At bpost NV/SA, it was developed with UNIA (the interfederal centre for equal opportunities in Belgium) and included HR Business Partners. HR managers and recruiters continue to receive this training, ensuring fair and inclusive hiring. Additionally, new hires receive a DE&I introduction during their Welcome Day, reinforcing our commitment to an inclusive workplace. At Radial, the DE&I training was conducted for all managers at all sites.

The Talent Wheel Development Program

DynaGroup has its own training and talent development program: the Talent Wheel. Each and every employee has their own individual talent and Dyna is keen to help them develop it.

FutureMe

FutureMe is a 2-3 year program that allows participants to earn a secondary school diploma in Belgium. It combines distance learning with 12 in-person courses per year at the school. The courses are part of the general education curriculum, providing broad foundations such as languages, IT, mathematics, and science. In addition to personal success, this program can also open doors to new job opportunities or further studies. Since 2012, there have been 327 graduates (including 11 in June 2024), and in 2024, 40 new enrollments across Belgium.

FutureMe

C. Advocating Diversity, Equity, and Inclusion

Diversity is a fact. Inclusion is our choice. At bpostgroup, we strive to be an employer promoting equal opportunities within a participative culture, where all people – whatever their ethnic or social background, religion, gender, age, ability or disability (whether visible or invisible) – feel welcomed and valued.

Our Enterprise Resource Groups (ERG)

Pride Employee Resource Groups (Pride2Be, PRIDE)

In 2024, bpostgroup continued to address LGBTQIA+ inclusion through its Employee Resource Groups (ERGs), which are integral to our commitment to diversity, equality, and belonging.

Pride2B at bpost formalized its board, mission, and objectives, hosting its first event, "Let's Drag It Up – Trivia Edition," which saw nearly 70 colleagues participate in a fun evening of drag performances and an LGBTQIA+ culture quiz. The group also took part in Brussels and Antwerp Pride as part of the Open@Work network, further strengthening our visibility and commitment to inclusivity.
PRIDE at Radial was launched, offering a supportive space for LGBTQ+ employees and allies to connect, share experiences, and foster a culture of inclusivity. The group created a new logo symbolizing the vibrancy and diversity of the LGBTQ+ community.
In recognition of Pride Month, bpostgroup organized a panel discussion across multiple entities, focusing on the experiences of the LGBTQIA+ community and reinforcing the importance of fostering an inclusive and supportive workplace for all.

The purpose of these ERGs is to provide a platform for LGBTQIA+ employees and allies, empowering them to bring their full selves to work while promoting a culture of respect, acceptance, and understanding. Through these initiatives, bpostgroup continues to advance its diversity and inclusion agenda, ensuring everyone has the opportunity to thrive.

Women's Enterprise Resource Groups (WIN, XandY)

XandY is bpostgroup's community dedicated to empowering and advancing women in management, contributing significantly to gender balance and equity within the organization.

In 2024, XandY hosted an impactful interactive session focused on managing mental load, where participants gained insights into the effects of mental burden and stress. They were equipped with practical strategies and exercises to address stress, including a pragmatic approach to #StressManagement. This initiative was part of a broader learning journey centered around three key themes:

Understanding how to manage stress and negative thoughts effectively
Using meditation and breathing techniques to enhance self-control
Cultivating positive thinking and mental resilience through new habits

Another online session was dedicated to raising awareness about menopause.

Just like the Women's Initiative Network at Radial, the XandY ERG is key to support women's advancement while promoting overall wellbeing, fostering a culture of empowerment, mental health awareness, and work-life balance across bpostgroup.

Young bpostgroup

Young is a community open to young employees in management (aged 40 and below) and currently has approximately 450 members. In 2024, Young organized several high-impact events aimed at fostering a deeper understanding of bpostgroup. One of the key initiatives was a meet-and-greet with the ExCo, which provided an opportunity for young talent within the company to connect directly with top management. Another highlight was a visit to the Belgian facility of Staci, giving members valuable insights into their operational processes.

Veterans and Allies Network

Radial's Veterans and Allies Network proudly created a special edition Radial Challenge Coin to honor the bravery and dedication of our veterans and active service members. In celebration of Veterans Day, 175 of these unique coins were distributed, each symbolizing unity, pride, and a deep respect for those who have served.

Young at Staci

XandY

Women@sorting – 100 % respect

As part of our commitment to fostering inclusion and respect in the workplace, we launched in 2022 "All Unique, All bpostgroup," focusing on combating sexism through awareness and training. To further develop the "100% Respect" campaign, we rolled it out across the group and introduced in 2024 a 100% Respect manual for managers, designed to facilitate team discussions on respect and inclusion. This resource includes guided sessions using question cards on general and specific themes, encouraging open dialogue and proactive engagement. By equipping leaders with the tools to address inappropriate behavior, we are reinforcing a culture of respect and strengthening workplace inclusion for all.

Missisauga

Brave conversations

"Brave conversations" is our digital panel discussions that address important and sensitive topics. This year, James Edge (CEO of Global Cross Border) opened the discussion on "Well-being with a Diverse Workforce," setting the stage for an insightful conversation on how well-being initiatives can be adapted to meet the needs of a diverse workforce.

At bpostgroup, we believe that being an employer with a positive impact on society is not just important—it's fundamental to our purpose. The initiatives we have highlighted here represent just a small portion of the many efforts underway globally to benefit our employees and the communities we serve. While some of these changes will take time to fully manifest, many are already making a meaningful difference. What remains constant is our deep, unwavering commitment to creating social value—both now and in the future. One thing is certain: our people are at the heart of everything we achieve. Without their dedication and hard work, there can be no true success. Their contributions are not only key to our business but also to the positive impact we make in the world.

D.Due Diligence for Workers in Our Value Chain

At bpostgroup, we don't just connect people and businesses—we strive to set the standard for excellence in responsible and sustainable operations. As a trusted industry leader, we are committed to ethical labor practices and excellent customer service that drives social and environmental progress.

Our people and partners are the backbone of our success. From our employees to subcontractors, transporters, and suppliers, we go the extra mile to ensure fair treatment, safety, and respect across our value chain. With our policies as our guiding principles (including the Subcontractor Policy) and EcoVadis as our key risk management tool, we proactively assess and mitigate potential challenges—ensuring that we uphold the highest standards of Health and Safety, Labor Rights, and Diversity.

Our commitment is backed by a solid foundation of policies:

Human Rights Policy We uphold global best practices to protect workers' rights.
Supplier Code of Conduct We demand excellence in ethical labor practices and sustainability.
Speak Up Policy We empower every worker with a confidential platform to voice concerns.
Subcontractor Policy We ensure that every transport subcontractor aligns with our high standards.

Key Risks

bpostgroup remains committed to addressing potential material risks that could pose a threat to our own workforce and the workers of our business partners. We constantly strive to address issues that have been identified or raised to be a concern to us.

We are working to and have made progress to address the following topics:

Health and Safety Hazards
Labor Rights Violations
Gender Inequality
Workers Rights (including Collective bargaining, freedom of association and the existence of work councils)
Diversity
Measures against violence and harassment in the workplace

While no widespread systemic issues have been identified, we remain committed to continuously monitoring and mitigating these risks through policy enforcement and active engagement.

In 2025, we will launch a Third-Party Risk Management Framework and an enhanced Supplier Code of Conduct to reinforce our commitment to integrity and accountability. With zero major compliance violations reported in 2024, we proudly demonstrate our unwavering commitment to governance and responsible business practices.

E. Consistent Customer-Centricity

bpostgroup is more than a service provider—we are a trusted partner to individuals, SMEs, and enterprises. Our relentless focus on customer centricity, security, and inclusivity ensures that every customer experience is seamless, reliable, and rewarding.

World-Class Data Privacy and Security

With digital transformation at the core of our strategy, we prioritize cybersecurity. Our GDPR-compliant approach, Data Protection Office, security initiatives—including our Data Leakage Prevention Program—safeguard customer data at every touchpoint.

Unmatched Accessibility and Inclusivity

We believe in a world where postal and logistics services are accessible to all. Our Universal Service Obligation (USO) guarantees fair and standardized service nationwide. In 2024, we expanded our parcel locker network by 40%, enhancing convenience and accessibility. Our AUB Postbode/SVP Facteur initiative further ensures that individuals with mobility challenges receive personalized service at their doorstep. With over 2,500 service points, we are leading the way in bridging social, economic, and digital divides.

Commitment to Non-Discrimination

Beyond compliance, we continuously seek to foster an inclusive environment. While our internal policies promote workplace diversity, we recognize the need to extend these efforts externally, ensuring that every customer experiences fairness and respect in their interactions with bpostgroup.

Customer-Centric Innovation

We listen, we adapt, and we deliver. Every year, we analyze extensive consumer insights through satisfaction surveys, online feedback, and reputation tracking to refine our offerings. Our customer-first approach fuels continuous service enhancements, reinforcing bpostgroup's position as a brand that people trust and rely on.

Shaping the Future

At bpostgroup, we are not just responding to change—we are driving it. Our forward-thinking strategy is setting new industry benchmarks in privacy protection, service accessibility, and consumer engagement.

Looking ahead, we are committed to customer-centricity, transparency, and sustainability, ensuring that bpostgroup continues to lead the way in delivering value, trust, and impact. Our journey is just beginning, and we invite our stakeholders to be part of a future where excellence is the standard and progress never stops.

GOVERNANCE & BUSINESS INTEGRITY

At bpostgroup, robust governance is the cornerstone of our success. We uphold the highest ethical standards, ensuring transparency, accountability, and compliance across all operations. By fostering a culture of integrity, we build trust among employees, customers, partners, and stakeholders. Our governance framework aligns with best practices, integrating ethical leadership and corporate responsibility into our decision-making processes. Through comprehensive policies, dedicated oversight, and proactive risk management, we safeguard our reputation for responsible business practices.

We understand that good governance extends beyond compliance—it involves cultivating an environment where ethical behavior is the norm, and every employee and business partner understands their role in upholding our values. By embedding governance principles into our corporate DNA, we ensure long-term sustainability, operational excellence, and positive societal impact.

Upholding Responsible and Ethical Business Conduct

Our corporate culture is founded on respect, responsibility, and ethical leadership. Every employee is expected to embody our core values and adhere to our Code of Conduct, which outlines the principles guiding our business decisions and interactions. Regular training, leadership engagement, and performance assessments ensure that integrity remains at the heart of our operations. We actively promote ethical awareness through leadership initiatives and communication campaigns, encouraging employees to apply ethical considerations in their daily work.

Celebrating Integrity: bpostgroup's Inaugural Global Ethics Day

On October 16, 2024, bpostgroup celebrated Global Ethics Day for the first time, marking our commitment to promoting a culture of ethics and compliance. This event encouraged all employees to reflect on the significance of ethical decision-making in their everyday lives. A message was shared with the Group Leadership Team to spread the word throughout the company, and a post on the bpost4me platform featured employee quotes on the meaning of ethics.

Our commitment to ethics goes beyond a single day—we continuously integrate ethical leadership principles into training programs and corporate policies to reinforce our dedication to responsible business conduct.

Partnering for Good: Ensuring Ethical Practices in bpostgroup's Supply Chain

bpostgroup values its partnerships and collaborates with suppliers who share our commitment to ethical business practices. Our Supplier Code of Conduct establishes clear expectations regarding labor rights, environmental sustainability, and fair business practices. Through regular audits, compliance checks, and engagement programs, we ensure that our suppliers align with our high standards and contribute to a responsible supply chain.

Our Third-Party Risk Management Framework proactively addresses potential risks related to human rights, environmental impact, and business integrity within our supply chain. We believe in fostering long-term partnerships built on transparency, accountability, and mutual respect, ensuring an ethical and resilient supply chain.

Combatting Corruption and Bribery

bpostgroup continues to strengthen its compliance framework through the FACE Initiative (Fraud, Anti-Corruption, and Ethics), reinforcing our zero-tolerance policy for misconduct. In 2024, we expanded our Compliance Department to enhance oversight, implement proactive risk mitigation strategies, and drive adherence to global regulatory standards. With increased resources dedicated to internal controls and audits, we are setting new benchmarks for corporate governance excellence.

We take a proactive approach to combating corruption and bribery by implementing mandatory compliance training, internal whistleblower protection measures, and fraud detection systems. Our risk-based monitoring framework ensures that potential corruption risks are identified and mitigated before they impact our operations.

Empowering Voices: How bpostgroup's Speak Up Platform Promotes Transparency

We believe in empowering employees and partners to voice concerns without fear of retaliation. Our Speak Up Platform provides a confidential and secure channel for reporting unethical behavior, ensuring prompt and fair resolution of issues. By fostering open dialogue, we strengthen our organizational culture and uphold our commitment to transparency and accountability.

Regular awareness campaigns and training sessions help employees understand their rights and responsibilities when it comes to reporting concerns. Ensuring a speak-up culture where employees feel safe to report misconduct is a critical pillar of our governance strategy.

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Future-Ready: bpostgroup's Roadmap for Governance Excellence in 2025 1.

As we advance our governance initiatives, bpostgroup remains dedicated to continuous improvement, regulatory excellence, and ethical leadership. We will further refine our compliance structures, enhance supplier collaboration, and strengthen our whistleblowing mechanisms to maintain our reputation as a trusted and responsible corporate leader. What is this policy about? bpostgroup considers integrity and compliance with laws and regulations as well as the code of conduct and other company policies to be extremely important. Integrity )*(+'\$) - .. )/\$'/*+- . -1 +*./"-*0+ҍ. Who can report a concern? You may be an employee, a former employee, an external collaborator, or a person working for a subcontractor or supplier of bpostgroup.

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Our 2025 roadmap includes enhanced data-driven governance monitoring, increased stakeholder engagement, and the expansion of our sustainability-focused governance policies. By integrating ESG principles into our corporate governance framework, we ensure that bpostgroup remains a resilient and forward-thinking organization that is well-prepared for future challenges. public and other stakeholders, as well as to limit possible ҁ .0-*3+ '\$)) This policy describes the reporting channels available at bpostgroup (bpost and its subsidiaries, except in the 0*4 - 2#ң4'++.)) '#)"-/\$*+ -\$ .+ - -2# concern, you must: • #1 .0ȥ\$\$ )/- .*)./* '\$ 1 /#//# *) -)4*0- /.҄! '-\$ 1( /-0(* .\$."(-/\$*+ - • !*''*2/# - +*-/\$)"+-* 0- Ң. . /\$*)яң/#-*0"# Ң\$ң\$)/ -)'- +*-/\$)"҂1\$/# + &+**'҂/ ' +#*)

6.0 Non-financial statements (CSRD report)

6.1.		ESRS 2 - General Information	79
6.1.1.		Basis for Preparation	79
	6.1.1.1.	BP-1 – General Basis for Preparation of the Sustainability Statement	79
	6.1.1.2.	BP-2 – Disclosures in Relation to Specific Circumstances	82
6.1.2.		Governance	85
	6.1.2.1.	GOV-1 – The role of the Administrative, Management and Supervisory Bodies	85
	6.1.2.2.	GOV-2 – Information Provided to and Sustainability Matters Addressed by	91
		the Undertaking's Administrative, Management and Supervisory Bodies
	6.1.2.3.	GOV-3 – Integration of Sustainability-Related performance in Incentive Schemes	92
	6.1.2.4.	GOV-4 – Statement on Due Diligence	93
	6.1.2.5.	GOV-5 – Risk management and Internal Controls over Sustainability Reporting	97
6.1.3.		Strategy and Business Model	99
	6.1.3.1.	ESRS 2 SBM-1 – Strategy, Business Model and Value Chain	99
	6.1.3.2.	ESRS 2 SBM-2 – Interests and Views of Stakeholders	104
	6.1.3.3.	ESRS 2 SBM-3 – Material Impacts, Risks and Opportunities and Their Interaction	108
		with Strategy and Business Model
6.1.4.		Impact, Risk and Opportunity Management	117
	6.1.4.1.	IRO-1 – Description of the Process to Identify and Assess Material Impacts,	117
		Risks and Opportunities
	6.1.4.2.	IRO-2 – Disclosure Requirements in ESRS covered by the Undertaking's	121
		Sustainability Statement

6.2.		Environmental Information	122
6.2.1.		ESRS E1 – Climate Change	122
	6.2.1.1.	Disclosure Requirement Related to ESRS 2 GOV-3 Integration of Sustainability-Related 122
		Performance in Incentive Schemes
	6.2.1.2.	E1-1 – Transition Plan for Climate Change Mitigation	123
	6.2.1.3.	ESRS 2 SBM 3 – Material Impacts, Risks and Opportunities and Their Interaction	125
		with Strategy and Business Model
	6.2.1.4.	ESRS 2 IRO-1 – Description of the Processes to Identify and Assess Material	127
		Climate-Related Impacts, Risks and Opportunities
	6.2.1.5.	E1-2 – Policies Related to Climate Change Mitigation and Adaptation	128
	6.2.1.6.	E1-3 – Actions and Resources in Relation to Climate Change Policies	129
	6.2.1.7.	E1-4 – Targets Related to Climate Change Mitigation and Adaptation	136
	6.2.1.8.	E1-5 – Energy Consumption and Mix	136
	6.2.1.9.	E1-6 – Gross Scope 1,2,3 and Total GHG Emissions	138
	6.2.1.10.	E1-7 – GHG Removals and GHG Mitigation Projects Financed through Carbon Credits	142
	6.2.1.11.	E1-8 – Internal carbon pricing	142
	6.2.1.12.	E1-9 – Anticipated Financial Effects from Material Physical and Transition Risks	142
		and Potential Climate-Related Opportunities
6.2.2.		ESRS E2 – Pollution	143
	6.2.2.1.	ESRS 2 IRO-1 – Description of the Processes to Identify and Assess Material	143
		Pollution-Related Impacts, Risks and Opportunities
	6.2.2.2.	E2-1 – Policies Related to Pollution	143
	6.2.2.3.	E2-2 – Actions and Resources Related to Pollution	144
	6.2.2.4.	E2-3 – Targets Related to Pollution	144
	6.2.2.5.	E2-4 – Pollution of Air	145
	6.2.2.6.	E2-5 – Substances of Concern and Substances of Very High Concern	146
	6.2.2.7.	E2-6 – Anticipated Financial Effects from Pollution-Related Impacts,	146
6.2.3.		Risks and Opportunities ESRS E5 – Resource Use and Circular Economy
			146
	6.2.3.1.	ESRS 2 IRO-1 – Description of the Processes to Identify and Assess Material Resource Use and Circular Economy-Related Impacts, Risks and Opportunities	146
	6.2.3.2.	E5-1 – Policies Related to Resource Use and Circular Economy	147
	6.2.3.3.	E5-2 – Actions and Resources Related to Resource Use and Economy	148
	6.2.3.4.	E5-3 – Targets Related to Resource Use and Circular Economy	150
	6.2.3.5.	E5-4 – Resource Inflows	152
	6.2.3.6.	E5-5 – Resource Outflows	153

6.2.4.	EU Taxonomy	156
6.2.4.1.	Introduction	156
6.2.4.2.	bpostgroup EU Taxonomy eligibility assessment process	156
6.2.4.3.	bpostgroup EU Taxonomy alignment assessment process	157
6.2.4.4.	EU Taxonomy KPIs	160
6.2.4.5.	Mandatory disclosure on Nuclear and Gas	164
6.3.	Social Information	165
6.3.1.	ESRS S1 – Own Workforce	165
6.3.1.1.	S1 ESRS 2 SBM-2 – Interests and Views of Stakeholders	165
6.3.1.2	S1 SBM-3 Material Impacts, Risks and Opportunities and Their Interaction with Strategy and Business Model	165
6.3.1.3.	S1-1 – Policies Related to Our Own Workers	166
6.3.1.4.	S1-2 – Processes for Engaging with Own Workers' Representatives about Impacts	170
6.3.1.5.	S1-3 – Processes to Remediate Negative Impacts and Channels for Own Workers to Raise Concerns	172
6.3.1.6.	S1-4 – Taking Action on Material Impacts on Own Workforce and Approaches to Mitigating Material Risks and Pursuing Material Opportunities Related to Own Workforce and the Effectiveness of those Actions	174
6.3.1.7.	S1-5 – Targets Related to Managing Material Negative Impacts, Advancing Positive Impacts and Managing Material Risks and Opportunities	179
6.3.1.8.	S1-6 – Characteristics of Employees	180
6.3.1.9.	S1-7 – Characteristics of Non-Employee Workers in the Own Workforce	181
6.3.1.10.	S1-8 – Collective Bargaining Coverage and Social Dialogue	181
6.3.1.11.	S1-9 – Diversity Metrics	182
6.3.1.12.	S1-13 – Training and Skills Development Metrics	183
	6.3.1.13. S1-14 – Health and Safety Metrics	184
6.3.1.14.	S1-16 – Compensation Metrics	185
6.3.1.15.	S1-17 – Incidents, Complaints and Severe Human Rights Impacts	185
6.3.2.	ESRS S2 – Workers in the Value Chain	190
6.3.2.1.	S2 SBM-2 – Interests and Views of Stakeholders	190
6.3.2.2.	S2 SBM-3 Material Impacts, Risks and Opportunities and Their Interaction with Strategy and Business Model	191
6.3.2.3.	S2-1 – Policies Related to Value Chain Workers	192
6.3.2.4.	S2-2 – Processes for Engaging with Value Chain Workers about Impacts	198
6.3.2.5.	S2-3 – Processes to Remediate Negative Impacts and Channels for Value Chain Workers to Raise Concerns	199
6.3.2.6.	S2-4 – Taking Action on Material Impacts on Value Chain Workers, and Approaches to Managing Material Risks and Pursuing Material Opportunities Related to Value Chain Workers, and Effectiveness of those Actions	199
6.3.2.7.	S2-5 – Targets Related to Managing Material Negative Impacts, Advancing Positive Impacts, and Managing Material Risks and Opportunities	200
6.3.3.	ESRS S4 – Consumers and End-Users	201
6.3.3.1.	SBM-2 – Interest and Views of Stakeholders	201
6.3.3.2.	SBM-3 – Material Impacts, Risks and Opportunities and Their Interaction with Strategy and Business Model	201
6.3.3.3.	S4-1 – Policies and the Rights of Our Consumers and End-Users	202
6.3.3.4.	S4-2 – Processes for Engaging with Our Customers and End-Users	203
6.3.3.5.	S4-3 – Processes to Remediate Negative Impacts and Channels for Consumers and End-Users to Raise Concerns	206
6.3.3.6.	S4-4 – Taking Action on Material Impacts on Consumers and End-Users, and Approaches to Managing Material Risks and Pursuing Material Opportunities Related to Consumers and End-Users and Effectiveness of those Actions	208
6.3.3.7.	S4-5 – Targets Related to Managing Material Negative Impact	208
6.4. 6.4.1.	Governance Information ESRS G1 – Business Conduct	209 209
6.4.1.1.	G1-1 – Business Conduct, Policies and Corporate Culture	209
6.4.1.2.	G1-2 – Management of Relationships with Suppliers	213
6.4.1.3.	G1-3 – Prevention and Detection of Corruption and Bribery	217
6.4.1.4.	G1-4 – Confirmed Incidents of Corruption or Bribery	218
6.4.1.5.	G1-5 – Political Influence and Lobbying Activities	219
6.4.1.6.	G1-6 – Payment Practices	221

6.5. Assurance report of the independent auditor 224

6.1 ESRS 2 - GENERAL INFORMATION

6.1.1 Basis for Preparation

6.1.1.1 BP-1 General Basis for Preparation of the Sustainability Statement

Transparency and Integration

This report provides transparency on bpostgroup's sustainability performance in 2024 and describes the integration of sustainable practices into our business model and corporate strategy. The sustainability statements are prepared with reference to the European Sustainability Reporting Standards (ESRS) issued by the European Financial Reporting Advisory Group (EFRAG). Through our Double Materiality Assessment, we have identified our material topics. The data points related to these material topics (both quantitative and qualitative) are included in the Environmental (E), Social (S), and Governance (G) sections of this report. For information on the limitations of our DMA's scope and our methodology, please see Section IRO-1 Description of the Process to Identify and Assess Material Impacts, Risks and Opportunities.

Reporting Period and Scope

This sustainability report covers the period 1 January 2024 to 31 December 2024.

Basis for Preparation

Scope of Consolidation

In accordance with the ESRS guidelines the data is consolidated according to the same principles as the financial statements. Thus, the consolidated quantitative ESG-data comprises the parent company bpost NV/SA and subsidiaries controlled by bpost NV/SA.

Indication of Subsidiary Undertakings Included in Consolidation

The information disclosed in the non-financial consolidated statements was collected from our global business units and is based on information available through internal reporting which include regular updates. For the complete list of bpostgroup's subsidiaries please refer to Section 7.3 Financial Consolidated Statements 2024. We define a subsidiary as an entity in which bpost owns more than 50% of the shares, and that is significant in terms of turnover and employees. The correspondence with financial consolidation and the exceptions can be found in the table below.

Subsidiary Undertakings Included in Consolidation

BPOST ENTITIES	SUSTAINABILITY CONSOLIDATION	FINANCIAL CONSOLIDATION
bpost SA/NV	Yes	Yes
Radial, Inc	Yes	Yes
Landmark Global Inc	Yes	Yes
AMP NV-SA	Yes	Yes
Dynalogic Benelux BV	Yes	Yes
Active Ants BV	Yes	Yes
Speos Belgium NV-SA	Yes	Yes
Landmark Global (UK) Ltd	Yes	Yes
IMX France	Yes	Yes
Apple Express Courier, Ltd	Yes	Yes
Radial Poland Sp z o.o.	Yes	Yes
Radial GmbH	Yes	Yes
bpost Hong Kong Ltd	Yes	Yes
FDM Warehousing PTY, Ltd	Yes	Yes
Aldipress BV	Yes	Yes

Leen Menken Foodservice Logistics BV	Yes	Yes
Radial Netherlands B.V.	Yes	Yes
Dynafix Repair BV	Yes	Yes
Dynafix Care BV	Yes	Yes
Radial Commerce Ltd	Yes	Yes
Dynafix OnSite BV	Yes	Yes
Dynasure BV	Yes	Yes
Radial Italy s.r.l.	Yes	Yes
Freight Distribution Management Systems PTY, Ltd	Yes	Yes
Euro-Sprinters NV-SA	Yes	Yes
Active Ants Belgium BV	Yes	Yes
Active Ants Germany GmbH	Yes	Yes
bpost Singapore Pte. Ltd	Yes	Yes
IMX GmbH	Yes	Yes
Active Ants UK Ltd	Yes	Yes
Apple Express Courier, Inc	Yes	Yes
Landmark Trade Services, Ltd	Yes	Yes
Freight 4U Logistics BV	Yes	Yes
Radial Belgium NV-SA	Yes	Yes
Certipost NV-SA	Yes	Yes
DynaLinq BV	Yes	Yes
Landmark Trade Services (Netherlands) BV	Yes	Yes
Radial Omnichannel Technologies India, Private Ltd	Yes	Yes
Radial E-commerce (Shanghai) Corp. Ltd	Yes	Yes
bpost International Logistics (Beijing) CO Ltd	Yes	Yes
Landmark Trade Services (UK) Ltd	Yes	Yes
Dynalogic Belgium NV-SA	Yes	Yes
DynaGroup BV	Yes	Yes
Anthill BV	Yes	Yes
B2boost NV-SA	Yes	Yes
bpost North America Holdings, Inc	Yes	Yes
bpost US Holdings, Inc	Yes	Yes
Dynafix Computer Repair BV	Yes	Yes
Dynalogic Courier BV	Yes	Yes
Jofico CV	Yes	Yes
Marceau 1 SAS	Yes	Yes
Radial Commerce, Inc	Yes	Yes
Radial Holdings, LP	Yes	Yes
Radial III GP, LLC	Yes	Yes
Radial Luxembourg S.à.R.l.	Yes	Yes
Radial Omnichannel International, SL	Yes	No
Radial South GP, LLC	Yes	Yes
Radial South, LP	Yes	Yes
Augusta Progress	No	Yes
Staci	No	Yes
BLG Manco	No	Yes
BLG Holding	No	Yes
Base Logistics	No	Yes

Special Logistic Services	No	Yes
Healthlink Europe	No	Yes
Healthlink Europe Services	No	Yes
Healthlink International	No	Yes
Staci Belgium	No	Yes
Sepia	No	Yes
Sepia Digital	No	Yes
Pixel Inspiration Holdings	No	Yes
Pixel Inspiration France	No	Yes
MDA	No	Yes
Staci Americas	No	Yes
Staci Deutschland	No	Yes
Staci Logistics Spain	No	Yes
Staci Asia Pacific	No	Yes
Eurodislog	No	Yes
Publicsdispatch	No	Yes
Logigones	No	Yes
LM2S	No	Yes
Staci Italia	No	Yes
Staci Netherlands	No	Yes

Exemptions of Subsidiary Undertakings Included in Consolidation

Staci, a part of bpostgroup, is headquartered in France and operates over 80 logistics hubs across Europe, the USA, and Asia. Their core activity is order fulfilment logistics, offering multichannel logistics and distribution solutions. Staci specializes in managing complex logistics flows, including multi-supplier, multi-client, and multi-product streams. They serve various sectors such as FMCG, retail, pharmaceuticals, health, cosmetics, industrial, energy, financial services, catering, and public services. Staci, as its acquisition was completed as of August 2024 by bpostgroup, is out of scope for the 2024 ESRS data collection. Prior to its acquisition, Staci was eligible for CSRD from 2026, reporting year 2025. As a consequence, Staci was not yet ready with reasonable effort to collect CSRD data for 2024 in due time. For example, Staci 2023 sustainability report including GHG emission calculation -not under GHG protocol as bpostgroup- was issued in November 2024. This confirmed bpostgroup assessment that the required Staci 2024 data could not be collected in due time. A limited set of the ESRS required data for Staci in 2024 are collected such as number of employees. To simplify readability and for consistency, it was decided to have a clear scope common to the entire sustainability statement, so excluding Staci for this year sustainability report.

Nevertheless, bpostgroup and Staci ESG team have worked closely together to integrate Staci into bpostgroup DMA. For more detail on this acquisition and its implications for the DMA, please refer to Section IRO-1 Description of the process to identify and assess material impacts, risks and opportunities.

Staci is out of scope in Policies, Targets, Actions and Metrics disclosed in this report. From next year onward, Staci will be integrated in the ESRS report.

Furthermore, based on below key figures, bpostgroup estimates that the pro-rata temporis inclusion of Staci Metrics within bpostgroup Metrics would, have a limited impact on those - expected to be in a 5-10% range except for waste where the Staci's impact is higher.

As a matter of fact, for four KPI, below is the share of Staci out of bpostgroup:

8% of the revenue in 2024, considering Staci's inclusion in bpostgroup financial result since 1-August-2024
9% employees in 2024, meaning that pro-rata measurement such as accident rate is expected to be well below 5%.
8% of GHG emission on pro-rata temporis of 2023 full year emission. Even considering 3% organic growth in Staci's revenue between 2023 and 2024, we still expect Staci's GHG emission to be less than 10% of total bpostgroup 2024 GHG emission. Technical note, bpostgroup uses GHG Protocol while Staci uses Bilan Carbone calculation method.
17% of waste on pro-rata temporis of 2023 full year emission. That high percentage being an exception among the many ESG data points due to the nature of Staci's business model described in IRO. However, the waste topic was already material for bpostgroup and remains material but to a greater degree for the combined bpostgroup and Staci operations.

Disclosure of Extent to Which Sustainability Statement Covers Upstream and Downstream Value Chain

The sustainability statement in Section GOV–4 Statement on Due Diligence underscores the commitment to fostering a sustainable and responsible value chain that benefits all stakeholders, emphasizing continuous improvement and adherence to international standards. Our sustainability efforts comprehensively cover both the upstream and downstream value chains, detailing all relevant activities, resources, and relationships that impact sustainability.

Upstream activities focus on the initial stages of the value chain, including the sourcing and procurement of raw materials and services, with an emphasis on sustainable procurement practices to minimize environmental and social impacts.

Downstream, the statement includes the impacts on consumers and end-users, focusing on critical areas such as privacy, non-discrimination, and access to products and services. The protection of consumer rights and data is emphasized, facilitated through regular feedback mechanisms and channels for raising concerns. As a service company, we don't sell or produce physical products.

Our extensive due diligence in the value chain is detailed in Section GOV-4 - Statement on Due Diligence, where we outline our methodologies, data sources, and frameworks used to ensure compliance and continuous improvement.

Option to Omit Specific Piece of Information Corresponding to Intellectual Property, Know-How, or Results of Innovation Has Been Used

This disclosure is applicable but has not been utilized. The option to omit specific pieces of information pertaining to intellectual property, proprietary knowledge, or innovative results has not been exercised.

Option Allowed by Member State to Omit Disclosure of Impending Developments or Matters in Course of Negotiation Has Been Used

The option allowed by the Member State to omit disclosure of impending developments or matters currently under negotiation has not been exercised.

Externe Assurance

All quantitative data points and qualitative written sections in the Environmental (E), Social (S), and Governance (G) sections are covered by the ESG review (limited assurance) performed by our auditor, EY, unless otherwise stated and marked by an asterisk (*) and footnote. Please refer to Section 6.5. Assurance report of the independent auditor. for the limited assurance declaration by EY.

For an overview of the Disclosure Requirements (DR) prepared in accordance with the ESR, see the correspondence table in Appendix B.

6.1.1.2 BP-2 Disclosures in Relation to Specific Circumstances

Time Horizons Definitions

All the analyses and data gathering carried out as part of the European Sustainability Reporting Standards (ESRS) are based on a temporal definition set in ESRS 1, 6.4 Definition of short-, medium- and long-term for reporting purposes.

The following time definitions have been defined:

Short-term: Current year
Medium-term: Year N+1 to year N+5
Long-term: > year N+5

Upstream and/or Downstream Value Chain Data Estimation Using Indirect Sources

The usage of indirect sources to estimate value chain data is limited to E1-Climate Change, on specific topics.

For E1-Climate Change, the hypotheses are focused on scope 3 calculations. The calculation methods used for the Scope 3 categories reported are as follows (cf. E1 - Climate Change):

Purchased goods and services and Capital goods: The emission factors are first defined and calculated based on the latest available data from 2023. These factors are then multiplied by bpostgroup 2024's expenses for each supplier to estimate emissions. The calculations are performed at the supplier level, using four prioritized data sources: (1) Supplier-specific carbon emissions (2) Third-party database (3) Category-specific average.
Fuel- and energy-related activities (not included in Scope 1 or 2): Average-data method, based on energy consumption and average emission factors from DEFRA, IEA, and IPCC AR5.
Upstream transportation and distribution: Distance-based method, based on the mass, distance and mode of shipment and average emission factors from DEFRA.
Waste generated in operations: Waste-type-specific method, based on the waste type and treatment methods and average emission factors from DEFRA.
Business travel: Distance-based method, based on the distance and mode of business trips and average emission factors from DEFRA.
Employee commuting: Distance-based method, based on the distance traveled, which considers the home-work distance, the number of effective working days and teleworking days, and the mode of transportation used for commuting and average emission factors from DEFRA.

Metrics Included in Value Chain Data Estimated Using Indirect Sources, Such as Sector-Average Data or Other Proxies

DISCLOSURE REQUIREMENTS	METRIC	HYPOTHESIS & SOURCE
DR E1-5 – Energy consumption and mix DR E1-6 – Gross Scopes 1, 2, 3 and Total GHG emissions	E1.38(b) Fuel consumption E1.48(a) Stationary Combustion E1.48(a) Mobile Combustion	1. Buildings: If natural gas consumption data is missing for specific months, we estimate it based on the consumption trends from 2023 and 2024 if the data was available. Otherwise the estimation was based on an extrapolation of 2024 data. 2. Buildings: If no natural gas consumption data is available for a building, we estimate based on its floor area and the energy intensity of similar buildings within the group.
	E1.51 Fuel and energy related activities (not included in Scope1 or Scope 2)	3. Vehicles: If no information is available on fuel consumption, we base the estimate on the distance traveledby the vehicle andits average consumption(sourcedfromthemanufacturer'swebsite). 4. Vehicles: If no information is available on the vehicle (neither distance norfuel consumption), we use the average annual consumption and distance data for the corresponding vehicle type (sourced from the US Department of Energy for example).
DR E1-5 – Energy consumption and mix DR E1-6 – Gross Scopes 1, 2, 3 and Total GHG emissions	E1.37(c) and 38(e) Consumption of purchased or acquired electricity, heat, steam, and cooling E1.48(a) Mobile Combustion E1.49 Purchased Electricity E1.49 Purchased Heat, Steam, and Cooling E1.51 Fuel and energy related activities (not included in Scope1 or Scope 2)	1. Buildings: If electricity consumptiondata ismissing for specificmonths,we estimate itbasedon the consumption trends from 2023 and 2024 if the data was available. Otherwise the estimation was based on an extrapolation of 2024 data. 2. Buildings: If no electricity consumption data is available for a building, we estimate based on its floor area and the energy intensity of similar buildings within the group. 3. Vehicles: If no information is available on electricity consumption for certain vehicles, we base the estimate on the distance traveled by the vehicle and its average consumption (sourced from the manufacturer's website). 4. Vehicles: If no information is available on the vehicle (neither distance norfuel consumption), we use the average annual consumption and distance data for the corresponding vehicle type (sourced from the US Department of Energy for example). 5. If no directinformation is available aboutthe energy source (e.g., nuclear, gas),we use the same databases employed for Scope 2 market-based emission factors to determine the energy source breakdown. These sources include IEA and AIB for electricity and DEFRA for district heating.
DR E1-6 – Gross Scopes 1, 2, 3 and Total GHG emissions	E1.51 Purchased goods and services	We calculate our scope 3 procurement carbon emission footprint by using a mix of sources. We then blend our carbon data with our spend data to get to the most accurate picture of our carbon footprint. We multiply the latest validated data (2023 for emission factors and 2024 expenses). We prioritize the data from 1-4 where 1 is the first choice if available. 1. We ask our suppliers to report their carbon emissions. 2. We use a third-party data base to get carbon emissions. (Standard & Poor's, verified data, company annual reports). 3. We calculate a category specific emission factor based on a sample of at least 6 companies from the same category.
DR E1-6 – Gross Scopes 1, 2, 3 and Total GHG emissions	E1.51 Capital goods	We calculate our scope 3 procurement carbon emission footprint by using a mix of sources. We then blend our carbon data with our spend data to get to the most accurate picture of our carbon footprint. We multiply the latest validated data (2023 for emission factors and 2024 expenses). We prioritize the data from 1-4 where 1 is the first choice if available. 1. We ask our suppliers to report their carbon emissions. 2. We use a third-party data base to get carbon emissions. (Standard & Poor's, verified data, company annual reports). 3. We calculate a category specific emission factor based on a sample of at least 6 companies from the same category.
DR E1-6 – Gross Scopes 1, 2, 3 and Total GHG emissions	E1.51 Upstream transportation and distribution	1. Road transportation: The determination of vehicle type and size is primarily guided by the company's expertise, considering factors such as the specific route and parcel delivery requirements. 2. Road transportation: Fuel type is generally deduced from standard industry practice, with diesel being the prevalent choice for vans and trucks due to its widespread use in the sector. 3. Road transportation: Google API is used to calculate the distance traveled between departure and arrival points. 4. Air transport: The great-circle distance method is used to calculate the distance traveled between departure and arrival airports.
DR E1-6 – Gross Scopes 1, 2, 3 and Total GHG emissions	E1.51 Waste generated in operations	In general, bpostgroup entities provided waste volumes in kg or tonnes. In some cases, data was provided in cubic yards. In this specific case, a conversion factor from cubic yards to kg was applied.
DR E1-6 – Gross Scopes 1, 2, 3 and Total GHG emissions	E1.51 Employee commuting	1. If the mode of transport is unknown, we use an average mode of transport associated with the employee's country of work, based on national statistical studies on commuting. 2. If the commuting distance is unknown, it is calculated using the workplace address and the employee's postal code via the Google API. 3. When the workplace address orthe employee's postal code is unknown, we apply the average commuting distance of the entity. This average is calculated using the commuting distances of other employees within the same entity

Overall, level of accuracy is in line with ESRS requirements, as main hypotheses were identified through official public authorities (DEFRA, IEA, IPCC) or companies' documentation. bpostgroup is committed to improve the accuracy of its data by improving data collection processes throughout the year. Key measures include:

Installation of smart meters to monitor energy consumption in our buildings.
Continue to support our entities to simplify and streamline the process of data collection.
Develop and implement tools and platform for year-round reporting
Organize training sessions on accurate data collection and reporting.
Set up collaborative platforms where entities can share best practices, tools and resources.

In addition, bpostgroup engages with its suppliers to facilitate the reporting process and collect data directly from them. This collaboration aims to identify and fill data gaps, particularly for subcontracted transport.

Sources of Estimation and Outcome Uncertainty

As stated above, no high-level uncertainty on data at bpostgroup level has been identified. Some hypotheses were used, not leading to strong uncertainties. For Scope 3 – Purchased goods and services and Scope 3 – Capital Goods, an extrapolation is necessary. After calculating the emissions for the spend we have in our model, we have to extrapolate the remaining portion that is not covered. For 2024 the extrapolation factor is 29,5% based on the income statement operating expenses for the entities that are not covered in the model.

For Social metrics, bpostgroup is using extrapolations for 0.3% of employees where applicable.

Changes in Preparation or Presentation of Sustainability Information and Reporting Errors in Prior Period

As this is bpostgroup's first time complying with the Corporate Sustainability Reporting Directive (CSRD), there are no metrics available for comparing changes in the preparation or presentation of sustainability information to previous reports.

Changes in Preparation or Presentation of Sustainability Information and Reporting Errors in Prior Period

In this sustainability statement, bpostgroup references specific legislation and/or sustainability reporting pronouncements:

E1: bpostgroup refers to the GHG (Greenhouse Gas) protocol regarding the scope 3 carbon footprint calculation (cf. E1-6)
E5: bpostgroup refers to PPWR (Packaging and Packaging Waste Regulation) for the KPIs definition and targets setting (cf. E5-3)

Furthermore, bpost NV/SA has obtained ISO 14001 certification for its strategic sites in Belgium from AIB Vincotte.

Incorporation by Reference

We confirm that no information has been incorporated by reference as per ESRS 1 Section 9.1.

Use of Phase-In Provisions in Accordance with Appendix C of ESRS 1

These metrics are not applicable to bpostgroup as the company exceeds an average of 750 employees on its balance sheet date during the financial year.

6.1.2 Governance

6.1.2.1 GOV-1 The Role of the Administrative, Management and Supervisory Bodies

Composition and Diversity of the members of the Administrative, Management, and Supervisory Bodies

bpostgroup values diversity and independence within its administrative, management, and supervisory bodies, recognizing that diverse perspectives strengthen governance and enhance decision-making. For more information on the appointment procedure, term and expiry of directorships, please refer to Section 5.1 - Corporate Governance Statement.

Number of Executive and Non-Executive Members

The composition of our Board of Directors and Executive Committee is detailed as follows:

• Board of Directors: The Board is composed of 12 members, including 1 executive director (the CEO), 5 non-executive directors, and 6 independent directors.
• Executive Committee: The Exco consists of a maximum of 9 executive members; therefore, the concept of independence is not applicable in this case.

bpostgroup Board of Directors list 2024

NAME	POSITION TYPE	GENDER
Audrey Hanard	Chairperson – Non-Executive Director	Female
Chris Peeters	Executive Director	Male
Véronique Thirion	Non-Executive Director	Female
Denis Van Eeckhout	Non-Executive Director	Male
Ann Caluwaerts	Non-Executive Director	Female
Ann Vereecke	Non-Executive Director	Female
Sonja Rottiers	Independent Director	Female
Michael Stone	Independent Director	Male
Jules Noten	Independent Director	Male
Lionel Desclée	Independent Director	Male
Sonja Willems	Independent Director	Female
David Cunningham	Independent Director	Male

bpostgroup Executive Committee list 2024

NAME	FUNCTION	GENDER
Chris Peeters	CEO bpostgroup	Male
Philippe Dartienne	Chief Financial Officer	Male
Anette Böhm	Chief Human Resources Officer	Female
Christel Dendas	Chief Commercial Officer	Female
Nicolas Baise	Chief Transformation Officer	Male
Frank Croket	Chief Digital Officer	Male
Jos Donvil	CEO bpost Belgium	Male
Thomas Mortier	CEO 3PL Europe	Male
James Edge	CEO Global Cross Border	Male

Professional Background of Members

Understanding the professional background of our members, particularly their experience in relevant sectors, products, and geographic locations, is crucial for aligning their expertise with our strategic goals. This information provides valuable insights into how their skills and knowledge can contribute to our operations and growth in specific industries and regions. Below is a summary of the relevant experience of our key members:

Member Experience by Sector, Product, and Location

MEMBER NAME	RELEVANT SECTORS	RELEVANT PRODUCTS	GEOGRAPHIC EXPERIENCE
Audrey Hanard	Strategic advisory, Government, philanthropy	Philanthropic projects, Strategic consulting	Belgium, International
Chris Peeters	Energy, Engineering, Consulting, Grid Operations	Grid infrastructure, Business consulting, Engineering products	Europe, Africa, Middle East, Russia
Véronique Thirion	Law, Finance, Regulatory Authority	Law, Finance, Regulations	Belgium, Europe, US and Turkey
Denis Van Eeckhout	Public Sector, Regulatory Authority, Environmental Regulation, Non Profit Organizations	Environmental Regulations, Governmental Administration	Belgium, Europe
Ann Caluwaerts	Telecommunications, Media, Marketing, Strategy, Transformation	Telecommunications, Media, Marketing, Strategy, Transformation	Belgium
Ann Vereecke	Supply Chain Management, Education, Manufacturing, Digital Technologies	Supply Chain Management, Digital Technologies	Belgium
Sonja Rottiers	Finance, Insurance, Commerical Planning	Finance, Insurance, Commercial Planning	Belgium, UK, Europe
Michael Stone	Logistics, E-commerce, Digital Communications	Logistics, E-commerce, Digital Communications	Belgium, UK, Europe
Jules Noten	Consumer products, Logistics	Consumer Products, Logistics	Belgium
Lionel Desclée	Consumer Products, Retail Networks,	Consumer Products, Retail Networks	Belgium, Japan, International
Sonja Willems	Pharmaceutical, Medical Implants	International Management	Belgium, Germany, Canada
David Cunningham	Logistics, Finance	Logistics Management, Finance	United States, Asia, International

Independence of Board Members

Independent Board Members (%)

The bpostgroup Board of Directors is structured to uphold the highest standards of governance. Notably 50% of the board members are independent, ensuring impartial decision-making and adherence to best governance practices.

Representation of Workers and Employees

Worker Representation in Governance Bodies

bpostgroup does not have a designated worker representative within its Executive Committee or Board of Directors. However, employeerelated matters are represented at the Executive Committee level through the Chief Human Resources Officer (CHRO), who is responsible for overseeing workforce-related policies and engagement.

Gender and Diversity Representation

Gender Representation

In terms of gender representation the gender composition of the board is evenly balanced, with 6 male (50%) and 6 female members (50%), demonstrating our commitment to gender equality at the governance level. The Exco which consists of up to 9 members includes 2 females, reflecting our continued efforts to improve gender diversity in senior management.

Age and Nationality

Beyond gender, we recognize the importance of other diversity factors, such as nationality and professional background. Further details on the diverse backgrounds of our board members can be found in their CVs on our leadership webpage and in last year's Annual Report. The Exco composition has changed with three new members in 2024, while the composition of the board remains unchanged from 2023.

Executive Committee Members by Age and Nationality

MEMBER NAME	AGE	NATIONALITY
Chris Peeters	50-59	Belgian
Philippe Dartienne	50-59	Belgian
Anette Böhm	50-59	German
Christel Dendas	50-59	Belgian
Nicolas Baise	40-49	Belgian
Frank Croket	50-59	Belgian
Jos Donvil	60+	Belgian
Thomas Mortier	50-59	French
James Edge	50-59	British/US

Board of Director Members by Age and Nationality

Audrey Hanard 30-39 Belgian Chris Peeters 50-59 Belgian Véronique Thirion 60+ Belgian Denis Van Eeckhout 50-59 Belgian Ann Caluwaerts 50-59 Belgian Ann Vereecke 60+ Belgian Sonja Rottiers 60+ Belgian Michael Stone 60+ UK Jules Noten 60+ Belgian Lionel Desclée 40-49 Belgian Sonja Willems 60+ Belgian David Cunningham 60+ US	NAME	AGE	NATIONALITY

Commitment to Diversity and Inclusion at bpostgroup

bpostgroup is a highly diverse company in terms of its workforce and is committed to creating and supporting a collaborative workplace culture. Such a diverse environment allows the group to optimize interaction with its customers and stakeholders and responds to challenges in different and efficient ways.

Our Diversity Policy fosters an inclusive environment that embraces different perspectives, contributing to a positive and collaborative workplace culture. The purpose of our Diversity Policy is to support the company's employees and management in building a culture where diversity and inclusion are a daily practice. While bpostgroup does not have a unified Diversity & Inclusion policy at the group level due to significant differences in local legislation, individual entities have developed their own local policies. This policy is, furthermore, not applicable to our newest entity – Staci, a dedicated Diversity Policy for Staci will be further developed in 2025. For more information on these individual policies, please refer to Section S1-1: Policies Related to Own Workforce.

In the composition of the Board of Directors and Executive Committee, special attention is paid to diversity in terms of criteria such as age, professional background, gender, and geographic diversity. When considering candidates for vacancies, the Remuneration and Nomination Committee considers balanced scorecards of such diversity criteria.

Diversity aspects that are taken into account in relation to the Board of Directors and Executive Committee members are the following:

• Gender: gender diversity promotes a better understanding of the marketplace, increases creativity, produces more effective leadership and promotes effective global relationships. To achieve greater gender diversity within its management, bpostgroup aims to (i) identify potential female talents at an early stage, (ii) provide opportunities that allow women to reach their full potential, (iii) enroll women in development programs that prepare them for management roles.

• Age: age diversity in the workplace is part of the human capital and provides a larger spectrum of knowledge, values, and preferences. Such age-diverse management will provide a more dynamic environment with continuous movement. To achieve age diversity, bpostgroup aims to ensure that its management counts (i) older talents, with breadth and depth of work experience, and (ii) high-potential younger talents who are eager to learn.
• Professional background: to stay competitive in a changing environment, bpostgroup must attract and retain talent with diverse professional backgrounds. Diversity of professional backgrounds provides bpostgroup with a range of expertise and experience necessary to respond to the complex challenges it faces. To achieve professional background diversity within its management, bpostgroup aims to identify people who (i) have distinct professional backgrounds, and (ii) come from various sectors at different points in their career.

Professional Background of our Leadership Team

PROFESSIONAL BACKGROUND (BEFORE JOINING BPOSTGROUP)	BOARD MEMBERS	EXECUTIVE COMMITTEE MEMBERS
Finance & Accounting, Risk Management, Audit	67%	33%
Transport & Logistics, Fulfillment, Warehousing, E-commerce	33%	33%
Postal & Parcels Services	17%	33%
Digital, Technology & Innovation	33%	50%
Human Resources Management & Talent Development	75%	67%
ESG	33%	17%

• Geographic diversity: geographic diversity is significant and positively correlated with firm performance, especially in increasing business and strategy internationalization. To stimulate geographic diversity, bpostgroup takes into account foreign elements in the profile and the path of its candidates.

Governance, Risk Management and Compliance Framework at bpostgroup

The Audit, Risk & Compliance Committee (ARCC) advises the Board of Directors on accounting, audit, risk management, compliance and internal control matters. The Executive Committee, while respecting the Board's monitoring role, establishes guidelines and procedures for risk and compliance management and internal control, ensuring their effective implementation.

Three Lines of Defence Model

To systematically manage risks and ensure comprehensive oversight, bpostgroup employs the Three Lines of Defense model:

1. First Line: Operational management designs and maintains risk management and internal controls.
1. Second Line: Functions such as Legal, HR, Finance, Enterprise Risk Management (ERM), ESG, Regulatory & Competition, Compliance & Data Protection, Cyber and Information Security, Safety & Prevention, Physical Security, and Integrity provide expert support to operational management. These functions report annually to the Executive Committee, ARCC, and the Board of Directors. Additionally, the Enterprise Risk Management and Compliance Directors have a dedicated reporting line to the Chair of the ARCC.
1. Third Line: Corporate Audit, responsible for internal audits, reports to the Chair of the ARCC and the CEO.

The Enterprise Risk Management (ERM) framework assists the company in managing risks effectively and in implementing the necessary controls to pursue its objectives. The ERM framework covers: (i) risk management, allowing the company to take informed decisions on risks it is willing to take to achieve its strategic objectives, thereby taking into account external factors; and (ii) internal control activities, which include all internal policies, procedures and business practices to mitigate risks. Best practices in risk management and internal control activities (e.g., international standard ISO31000) and the Commission on Corporate Governance's directions have been used as references to define the ERM framework.

Furthermore, this comprehensive framework has also been implemented in our newest entity – Staci. Our Corporate Governance Charter clearly outlines the responsibilities of various bodies and individuals for managing impacts, risks, and opportunities, ensuring these duties are integrated into our terms of reference, board mandates, and related policies.

The Roles and Responsibilities of the Administrative, Management and Supervisory Bodies in Exercising Oversight of the Process to Manage Material Impacts, Risk and Opportunities

Management's Role in Governance and Risk Oversight

The Compliance Department is responsible for coordinating compliance activities within bpostgroup. It aims to promote ethical conduct, respect for values, and adherence to laws and internal and external rules and policies at all levels. Managed by the Director of Compliance, who reports directly to the Executive Committee, Audit, Risk & Compliance Committee, and the Board of Directors on compliance risks, including ethics and fraud. Furthermore, a dedicated reporting line exists for the Compliance Director to communicate directly with the Chair of the Audit, Risk & Compliance Committee, ensuring transparency and effective oversight.

The Remuneration and Nomination Committee advises the Board on performance targets and reviews for the CEO and other Executive Committee members. The Board has oversight responsibility, with the CEO providing reports on business conduct, performance, and risks at each board meeting.

A new Delegation Policy, effective January 1, 2025, aims to strengthen decision-making processes. It outlines safeguards for power delegation and decision-making, with major strategic, financial, and operational matters requiring Board approval. This policy ensures compliance with stated safeguards across all decision-makers within bpostgroup, including Staci.

Reporting Lines to Administrative, Management, and Supervisory Bodies

bpostgroup ensures robust governance and oversight of compliance, ethics, and risk management through well-defined reporting lines and structured interactions with its administrative, management, and supervisory bodies. Key governance bodies include:

The Audit, Risk & Compliance Committee (ARCC), which meets quarterly to review and advise on risk management, compliance, and internal control matters.
The ESG Committee which meets three times per year to address sustainability-related compliance matters.
The Strategic Committee, Remuneration and Nomination Committee, and ESG Committee: Operate under the authority of the Board of Directors, as outlined in bpostgroup's Corporate Governance Charter.

The Compliance Director reports directly to the Audit, Risk & Compliance Committee (ARCC), providing updates on compliance, ethics, and fraud risk evolution. These structured reporting lines ensure that compliance risks and strategies are effectively communicated and evaluated by the supervisory bodies.

According to the bpost Corporate Governance Charter, the ESG Committee is responsible for the coordination and advisory on the ESG sustainability initiatives and commitments across the group.

The ESG Committee of bpostgroup is a dedicated body responsible for coordinating and advising on ESG (Environmental, Social, and Governance) sustainability initiatives and commitments across the group. As outlined in the bpost Corporate Governance Charter, the ESG Committee plays a pivotal role in ensuring that ESG risks and opportunities are integrated into the group's long-term strategy and development. Key responsibilities include reviewing and approvingthe Double Materiality Assessment (DMA)¹ , monitoring sustainabilityrelated initiatives, and advising the Board of Directors on ESG matters. The Committee works closely with the Chief Transformation Officer, the Director of Group Sustainability, and the Group Sustainability Team to implement and oversee ESG-related actions and projects.

The administrative, management, and supervisory bodies ensure appropriate skills and expertise for overseeing sustainability matters by appointing committee members based on their specific competences and experience, in addition to the general competence requirements for Board members. Each committee is required to have the necessary competencies and experience to perform its tasks effectively. The duration of a committee member's appointment is aligned with their directorship, ensuring continuity and stability in sustainability oversight. This structured approach guarantees that the bodies can provide informed guidance and address emerging sustainability challenges.

The ESG Committee is composed of five highly experienced members, each bringing a unique set of skills and expertise to address the group's sustainability challenges and opportunities. Below is a detailed overview of the Committee's composition.

The ESG Committee was, per December 31, 2024, composed of the following 5 members:

ESG Committee Composition

POSITION
Independent Director
Non-Executive Director
Chair of the Board and Non-Executive Director
Non-Executive Director
Independent Director

The Executive Committee (ExCo), convened regularly under the leadership of the CEO, reviews compliance and risk management topics as they pertain to broader strategic initiatives or board-related matters. Specific compliance updates are also discussed in the Compliance Steering Committee, which meets quarterly and incorporates insights from Enterprise Risk Management (ERM) functions, ensuring alignment with bpostgroup's governance framework and three lines of defense model.

This structured reporting process enables bpostgroup to maintain a strong focus on transparency, accountability, and adherence to ethical business practices across all levels of the organization.

¹ The Double Materiality Assessment (including the identified Impacts, Risks and Opportunities) has been validated by the Board of Directors, after recommendation by the ESG Committee in September 2024.

Oversight of Targets

Our Corporate Governance Charter outlines how the administrative, management, and supervisory bodies, along with senior executive management, oversee the setting of targets related to material impacts, risks, and opportunities. The Board of Directors, supported by various committees such as the Audit, Risk & Compliance Committee (ARCC) and the ESG Committee, is responsible for defining and regularly reviewing the strategic objectives and policies. The Executive Committee, led by the CEO, ensures the effective implementation and monitoring of these targets, with structured reporting lines and regular evaluations to ensure alignment with the company's strategic goals and compliance with regulatory requirements.

To further reinforce this oversight, bpostgroup has established a Long-Term Incentive Plan (LTIP) for our Executive Committee and Senior Executive Management, which includes approximately 80 senior managers. Under this plan, 20% of the targeted bonus is dependent on previously laid out governance targets. These targets focus on the proper monitoring of strategic risks and the effective functioning of Group Key controls, which have been validated by the ARCC and the Board. This integration of governance targets into the LTIP ensures that senior management is incentivized to prioritize and achieve the three performance criteria:

1. Market financial performance (50%) reflected by the Total Shareholder Return (TSR), measured as cumulated performance in percent over the vesting period;
1. Environment performance (30%) reflected by carbon emissions (CO2), measured as average yearly target achievements over the vesting period;
1. Governance performance (20%) reflected by implementation of a bpostgroup risk management framework (i.e. the definition of key controls for specific definite key processes and implementation of an internal control program evaluating the effectiveness of these key controls, both at bpost NV/SA and subsidiaries' levels), measured as average yearly target achievements over the vesting period.

Further details can be found in bpostgroup's Remuneration policy.

The Expertise and Skills of Administrative, Management and Supervisory Bodies on Sustainability Matters or Access to Such Expertise and Skills

Sustainability-Related Expertise and Training

The Board of Directors, supported by the ESG Committee, regularly reviews the competencies and expertise of its members to ensure they align with the strategic goals related to sustainability. The ESG Committee advises the Board on ESG strategy and activities, ensuring that sustainability is fully integrated into the company's operations. Additionally, the Remuneration and Nomination Committee is responsible for reviewing the skills and characteristics of individual directors and making recommendations to the Board to ensure a balanced representation of expertise, including sustainability-related skills.

In 2024, 96% of the bpostgroup employees have received a training, created by the HR and the Compliance departments, about the Code of Conduct through in-class sessions for employees who do not have a professional email address or through a dedicated e-learning for the employees that received a professional email address. This training was built to be practical, insisting on best practices and processes to follow in case of doubt (first line of defense).

Good leadership is invaluable and generates better results for bpostgroup. To develop skills, the company has established its own training center. Technical courses are held in the business units (e.g., training on the International Financial Reporting Standards ("IFRS") used to prepare the bpostgroup's consolidated financial statement) and ad hoc courses are developed on a need-to-have basis. Personal development is driven by clear job descriptions and a structured bi-annual evaluation.

This comprehensive approach ensures that bpostgroup's workforce is well-equipped to address sustainability-related impacts, risks, and opportunities effectively.

ESG Committee Members, Their Sustainability-Related Expertise and Relation to Relevant IROs

1. Sonja Willems (Chair) – Independent Director

• Sustainability Expertise:
- Extensive experience in international management, particularly in the pharmaceutical and medical implants sectors, where sustainability and ethical practices are critical.
- Proven track record in governance and risk management, ensuring compliance with global sustainability standards.

• Contribution to IROs:

Provides strategic oversight on integrating ESG risks into the group's governance framework.
Leverages her international management experience to align bpostgroup's sustainability goals with global best practices.

2. Ann Vereecke – Non-Executive Director

• Sustainability Expertise:
- Expertise in supply chain management, digital technologies, and education, with a focus on sustainable operations and innovation.
- Strong background in driving digital transformation to enhance operational efficiency and reduce environmental impact.
• Contribution to IROs:
- Advises on sustainable supply chain practices and digital solutions to minimize the group's carbon footprint.
Supports the integration of ESG considerations into the group's digital transformation initiatives.

3. Audrey Hanard – Chair of the Board and Non-Executive Director

• Sustainability Expertise:

Associate Partner at Dalberg Global Advisors, specializing in social impact and sustainability projects for NGOs, UN agencies, governments, and foundations.
President of Be Education and Friday Group, focusing on improving education quality and promoting diversity in policy-making.
• Contribution to IROs:
- Brings a strong social impact perspective to the Committee, ensuring that bpostgroup's sustainability initiatives address societal challenges.
- Advises on diversity and inclusion strategies, aligning them with the group's ESG commitments.

4. Denis Van Eeckhout – Non-Executive Director

• Sustainability Expertise:

Coordinator of the Permanent Representation of Belgium to the European Union, with a focus on climate and environmental policies. - Extensive experience in environmental regulation and non-profit leadership, including roles as Secretary General of Inter-
Environnement Wallonie and President of Coordination Environnement.

• Contribution to IROs:

Provides critical insights into climate-related risks and opportunities, ensuring alignment with EU environmental regulations.
Advises on strategies to enhance bpostgroup's environmental performance and achieve its carbon reduction targets.

5. Jules Noten – Independent Director

• Sustainability Expertise:

Background in consumer products and logistics, with a focus on sustainable business practices and operational efficiency.
Experience in aligning business strategies with sustainability goals in competitive markets.

• Contribution to IROs:

Advises on sustainable logistics and consumer-focused initiatives to reduce environmental impact.
Supports the integration of ESG considerations into the group's operational and strategic planning.

The members of our ESG Committee bring extensive sustainability experience across various sectors, including agriculture, manufacturing, and others. Their diverse backgrounds enable a comprehensive approach to ESG strategy and governance. To ensure they remain at the forefront of evolving sustainability standards and best practices, committee members regularly participate in training sessions on key topics such as new regulations, including the CSRD and CSDDD.

6.1.2.2 GOV-2 Information Provided to and Sustainability Matters Addressed by the Undertaking's Administrative, Management and Supervisory Bodies

Integration of Sustainability Matters into Governance

The administrative, management and supervisory bodies, including their relevant committees are informed about material IROs and the implementation of Due Diligence, as well as results & effectiveness of policies, actions, metrics and targets.

Specifically:

The ARCC meets 4 times per year, and the ESG committee meets 3 times per year.
The Board of Directors has established 4 Board Committees to assist and make recommendations in specific fields: (i) the Strategic Committee, (ii) the Audit, Risk & Compliance Committee (in accordance with Article 7:99 of the BCCA), (iii) the Remuneration and Nomination Committee (in accordance with Article 7:100 of the BCCA), and (iv) the ESG Committee. More information can be found on the bpostgroup website

This approach ensures that bpostgroup remains at the forefront of the best governance practices fostering a robust leadership team.

Monitoring and Evaluation of Sustainability Performance

The company has a professional internal audit department that adheres to the Institute of Internal Auditors' standards and undergoes an external quality review every five years. Corporate Audit performs an annual risk assessment with a semi-annual update to determine the audit program. Through its audit assignments, Corporate Audit provides reasonable assurance on the effectiveness of internal controls in various processes, products, or projects.

Compliance with bpostgroup codes, policies, and procedures is regularly monitored. The Board of Directors and the ARCC oversee bpostgroup's commitment to strong corporate values and ethical business practices, making decisions and taking actions for improvements as needed. All core policies must be approved by the Board and reviewed according to the Policy Framework, which is pending approval.

6.1.2.3 GOV-3 Integration of Sustainability-Related Performance in Incentive Schemes

Overview of Sustainability Integration in Remuneration Policy

bpostgroup's Remuneration Policy, which was last reviewed and updated by the board in 2023, incorporates sustainability metrics to align with our broader Environmental, Social, and Governance (ESG) objectives. It includes a Short-Term Incentive Plan (STIP), which rewards employees based on annual performance targets, and a Long-Term Incentive Plan (LTIP), designed to incentivize the achievement of strategic goals over multiple years. While the STIP focuses on short-term accomplishments, the LTIP promotes long-term achievements, fostering sustained commitment and accountability. Both plans are carefully structured to advance our sustainability and climate-related commitments. Ownership of the Remuneration Policy, including its ESG components, ultimately rests with the Board, based on the recommendations of the Remuneration and Nomination Committee. This ensures proper oversight and alignment with corporate governance practices. This policy is applicable to all of our entities, except for our newest addition – Staci. Staci will be integrated into the Remuneration Policy as of 2025.

Incentive Schemes and Remuneration Policies Linked to Sustainability Matters for Members of the Undertaking's Administrative, Management and Supervisory Bodies

Eligible Employee Group

Around 1,600 employees, ranging from the Executive Committee (Exco) to Band 1 (Non-management employees), are eligible for the STIP. Approximately 100 employees, including Exco and Senior Executives (SENEX), are eligible for the LTIP. Specifically, there are around 60 employees in BE/EU, 30 in Radial US, and 10 in Landmark Global. The compensation for board members is based on fixed fees and meeting tokens, with no variable component tied to ESG performance.

Incentive Plan Metrics and Weighting

INCENTIVE PLAN	METRIC CATEGORY	METRIC	WEIGHTING (2024)	WEIGHTING (2025)
Short-Term Incentive Plan (STIP)	Social (S)	Net Promoter Score (NPS)	20%	10%
	Social (S)	Employee Wellbeing	N/A	10%
TOTAL STIP ESG WEIGHTING			20%	20%
Long-Term Incentive Plan (LTIP)	Environmental (E)	CO2 Emissions Reduction	30%	30%
	Governance (G)	Governance Framework Improvements	20%	20%
TOTAL LTIP ESG WEIGHTING			50%	50%

Short-Term Incentive (STI)

The CEO and Executive Committee members are eligible for a performance-based variable remuneration in cash or pension contributions. At target, the STI amounts to up to 30% (Belgium) and 50% (US) of annual base salary, with a maximum of 60% (Belgium) and 100% (US) for overperformance. No STI is paid if individual performance is zero or if financial results prevent dividend distribution.

The STI is structured as follows:

• Collective objectives (70%) Based on financial (50%, EBIT) and non-financial (20%, e.g., customer loyalty) KPIs set by the Board.
• Individual targets (30%) Assessed annually on both performance outcomes and leadership behaviors.

Long-Term Incentive (LTI)

To drive sustainable growth, the CEO and Executive Committee members are eligible for a long-term variable remuneration in cash, contingent on a three-year vesting period. At target, it amounts to 30% of gross base salary over the vesting period (10% annually).

Performance is assessed based on:

1. Market performance (50%) Based on Total Shareholder Return (TSR).
2. Environmental performance (30%) Measured by CO2 reduction targets.
3. Governance performance (20%) Evaluated through the implementation of a risk management framework.

For Belgium-based executives, participation is optional but limits salary indexation for three cycles. U.S.-based executives receive their LTI in stepped payments over three years (15%, 25%, 60%).

ESG Weighting in Remuneration and Methodology

Contribution of ESG to Total Remuneration

The total percentage of remuneration tied to ESG factors is significant, with 20% of the STIP and 50% of the LTIP linked to sustainability performance for both 2024 and 2025. These percentages underscore bpostgroup's commitment to driving tangible improvements in key ESG areas.

Methodology for ESG Performance Measurement

The ESG metrics within the STIP and LTIP are based on clear and measurable performance indicators:

CO2 emissions: Progress is tracked against specific benchmarks that align with bpostgroup's climate goals.
NPS (Net Promoter Score): Assesses customer satisfaction and loyalty through ongoing surveys.
Employee well-being: This metric will be evaluated using internal health and satisfaction surveys that started in 2024.
Governance framework: Assessed through advancements in regulatory compliance and the enhancement of governance structures.

6.1.2.4 GOV-4 Statement on Due Diligence

Introduction to Due Diligence at bpostgroup

We are enhancing our due diligence processes by integrating human rights and environmental considerations throughout our operations, value chain, and corporate governance.

At bpostgroup, we understand the importance of thorough due diligence in identifying and mitigating potential negative impacts associated with our operations and value chain. Our commitment to sustainability and responsible business practices is reflected in our comprehensive due diligence process.

Understanding Our Impact

Aligned with the Corporate Sustainability Reporting Directive (CSRD), we analyze our business through the lens of impacts, risks, and opportunities linked to specific activities. Consequently, we have defined distinct value chains for each type of business, taking into account geographical specificities. Together, these five value chains encompass the entirety of bpostgroup's revenues.

bpostgroup has five distinct value chains across three geographical business units:

1. BeNe Last Mile, 3PL (Third Party Logistics), and Global Cross-border
2. a. BeNe Last-Mile Distribution includes the core mail service delivered by bpost NV/SA in Belgium, as well as specialized last mile activities performed by Leen Menken (chilled/frozen deliveries) in the Netherlands, Dynagroup (white goods delivery/collection) in Belgium and the Netherlands
3. b. 3PL offers a range of services, including:
  - Fulfillment and warehouse solutions
  - Transportation and delivery solutions, including specialized last mile delivery Apple Express in Canada
  - Returns handling
  - Customer care
  - Omnichannel solutions, such as intelligent payment solutions, fraud protection, tailored supply chain services
  - B2B, D2C and e-commerce through our fulfilment and logistics services specialist Staci
4. c. Global Cross-border activities relate to shipping parcels across national borders, thereby dealing with transportation, customs, taxes and other formalities.

Landmark Global and IMX offer integrated cross-border management and transportation, handling parcel shipping, mail distribution, order processing, and returns. With global expertise swift customs processing through extensive partnerships is ensured. We operate a vast network of road and air connections across North America, Europe, and Asia, complemented by our own last-mile networks.

2. Distribution and Media

These activities occur exclusively in Belgium and the Netherlands through three entities: bpost NV/SA, Aldipress, and AMP. They encompass press distribution, retail network, and customer care.

Retail Services

Offered solely by bpost NV/SA in Belgium, these services include:

Distribution of banking services from BNP Paribas Fortis offered in bpost offices
Retail network for the sale of postal products (stamps, packs, etc.) and services, as well as customer care

4. Government Services

Provided exclusively by bpost NV/SA in Belgium, these services cover activities performed on behalf of the government, including the collection of traffic fines, distribution/collection of license plates, and management of cash accounts for Belgian authorities.

5. Document Flow Management

This activity is performed by bpost NV/SA and speos exclusively in Belgium, covering direct mailing activities.

Main Aspects and Steps of Due Diligence

Identification and Assessment of Impacts

Our due diligence process involves identifying and assessing impacts across our value chain, from sourcing materials to delivering products and services. We work closely with suppliers to ensure sustainable procurement practices and minimize environmental and social impacts. Furthermore, through our Double Materiality Assessment we concluded that our newest entity – Staci has a similar value chain and activities.

Upstream Activities

Our upstream activities involve the initial stages of our value chain, focusing on the sourcing and procurement of (raw) materials¹ and services. This includes sustainable procurement practices, where we source materials and services responsibly to minimize environmental and social impacts. Key upstream activities for bpostgroup include for example sourcing packaging and filler materials. We work closely with our suppliers to ensure that they adhere to our high standards of sustainability and ethical conduct.

Downstream Activities

Our downstream activities involve the later stages of our value chain, focusing on the distribution, sale, and use of our products and services. This includes the handling and delivery of mail, parcels, and other goods to our customers, as well as providing value-added services such as e-commerce logistics and cross-border shipping. We are committed to minimizing the environmental impact of our downstream activities by implementing efficient logistics solutions and promoting sustainable practices among our customers and partners.

By understanding and addressing the impacts of our upstream and downstream activities, we aim to create a positive and lasting impact on the environment and society. The following sections provide a detailed mapping of our due diligence process, highlighting the key aspects and steps we take to ensure responsible practices throughout our value chain.

Mapping of Material ESG Topics and Due Diligence Impacts

RELEVANT ESRS DISCLOSURE REQUIREMENT	TOPIC	DESCRIPTION OF IMPACT	LOCATION IN SUSTAINABILITY STATEMENT
ESRS E1 – Climate Change	Climate Change	Upstream: Scope 3 emissions from outsourced transport related to e-commerce fulfilment and cross-border services.	See Section E1-6 - Gross Scopes 1, 2, 3 and Total GHG emissions
		Downstream: Waste from packaging and delivery of our products.
ESRS E1 – Climate Change	Energy	Upstream: Fleet production, buildings, materials production, and fuel from outsourced transport.	See Sections E1-5 – Energy consumption and mix
		Downstream: Fuel consumption for deliveries and customer pick-ups	See Section E1-6 - Gross Scopes 1, 2, 3 and Total GHG emissions
ESRS E2 – Pollution	Pollution	Upstream: Transportation of materials, fleet production, and emissions from outsourced transport (land and air).	See Section E2 – Air Pollution
		Downstream: NA (not material)
ESRS E5 – Circular Economy	Circular Economy	Upstream: Resources and raw materials like textiles, paper, plastic, vehicles, and machines used for transport and packaging.	See Section E5 – Circular Economy
		Downstream: waste destruction and sorting operations.
ESRS S2 – Workers in the Value Chain	Health and Safety	Upstream: physical strain from handling heavy loads, challenging working conditions, tight delivery deadlines, night shifts, repetitive tasks, and insufficient safety measures.	See Section S2 - Workers in the Value Chain
		Downstream: NA

RELEVANT ESRS DISCLOSURE REQUIREMENT	TOPIC	DESCRIPTION OF IMPACT	LOCATION IN SUSTAINABILITY STATEMENT
ESRS S2 – Workers in the Value Chain	Collective Bargaining and Freedom of Association	Upstream: discussions and negotiations with workers' representatives, typically through unions, to establish the terms and conditions of employment.	See Section S2 - Workers in the Value Chain
		Downstream: NA
ESRS S2 – Workers in the Value Chain	Social Dialogue	Upstream: Right to open communication with management, participation in decision-making processes that affect workers' working conditions.	See Section S2 - Workers in the Value Chain
		Downstream: NA
		Upstream: NA
ESRS S4 – Consumers and End-Users	Privacy	Downstream: Data sensitivity management (names, addresses, financial details), Data securing, data protection measures implementation including encryption, access controls, and regular security audits	See Section S4 – Consumers and End-Users
ESRS S4 – Consumers and End-Users	Non-discrimination	Upstream: NA	See Section S4 – Consumers and End-Users
		Downstream: Social and proximity role within the population, personal services that may need supervision or a physical link, such as delivery of meals and medication, or health check-ups.
	Equal Access	Upstream: NA	See Section S4 – Consumers and End-Users
ESRS S4 – Consumers and End-Users		Downstream: equal and available access to essential products and services for all types of clients (including our USO – universal service obligations for mail and parcel delivery in Belgium)
ESRS G1 – Business Conduct	Protection of whistle blowers	Upstream: upstream whistle-blowers protection when reporting unethical behaviour	See Section G1-3/4 Prevention, detection and incidents of corruption and bribery
		Downstream: downstream whistle-blowers protection when reporting unethical behaviour
ESRS G1 – Business Conduct	Corporate culture	Upstream: Alignments of all suppliers on bpostgroup's values and ethical standards.	See Section G1-1 Business conduct policies and corporate culture
		Downstream: Alignments of all downstream stakeholders (suppliers, consumers, and end-users) on bpostgroup's values and ethical standards.
ESRS G1 – Business Conduct	Prevention and detection including training and incidents	Upstream: suppliers corruption and bribery, unethical conduct	See Section G1-3/4 Prevention, detection and incidents of corruption and bribery
		Downstream: B2B customers corruption and bribery, unethical conduct
ESRS G1 – Business Conduct	Political engagement and lobbying activities	Upstream: NA (linked to bpostgroup's own activities)	See Section G1-5 Political influence and lobbying activities
		Downstream: NA (linked to bpostgroup's own activities)
ESRS G1 – Business Conduct	Management of relationships with suppliers including payment practices	Upstream: fair and ethical treatment of all suppliers, transparency and timely payment.	See Section G1-2 Management of relationships with suppliers
		Downstream: NA

Detailed Explanations

ESRS E1 – Climate Change: Our upstream impacts include Scope 3 emissions from outsourced transport related to e-commerce fulfilment and cross-border services, which account for nearly 73% of Scope 3 emissions, half of which is outsourced transport. Downstream, the impacts include waste elimination. This involves managing the waste generated from the packaging and delivery of our products. We are committed to reducing the environmental impact of our downstream activities by promoting recycling and the use of biodegradable materials. Additionally, we are working on optimizing our logistics to minimize waste, such as reducing the use of excess packaging and improving the efficiency of our delivery routes. By doing so, we aim to lower the carbon footprint associated with the final stages of our value chain and contribute to a more sustainable environment.

ESRS E1 – Energy: Our upstream energy impacts include the production of our vehicle fleet, construction and maintenance of buildings, and materials production. We are addressing these by sourcing energy-efficient vehicles, implementing energy-saving technologies in buildings, and prioritizing recycled materials. Additionally, fuel used by outsourced transport partners is a major contributor, and we are collaborating with them to adopt fuel-efficient vehicles and alternative fuels. Downstream, our energy impacts involve fuel consumption for deliveries and customer pick-ups. We are optimizing delivery routes, investing in electric and hybrid vehicles, and promoting sustainable transportation options for customers. By addressing these impacts, we aim to reduce our overall energy consumption and contribute to a more sustainable future.

ESRS E2 – Pollution: Our upstream impacts include the transportation of materials, fleet production, and emissions from outsourced transport (land and air). Downstream, our pollution impacts are more limited and primarily involve waste linked to packaging and waste. The packaging used for our products can contribute to pollution if not managed properly, including plastic, cardboard, and other materials that can end up in landfills or as litter. To address this, we are focusing on reducing packaging waste by using recyclable and biodegradable materials, optimizing packaging designs to use less material, and encouraging customers to recycle. Furthermore, on waste, we are focusing on improving our waste sorting to increase our performance on recycling (cf. E5-2).

ESRS E5 – Circular Economy: Our upstream impacts in the circular economy involve the extensive use of resources and raw materials such as textiles, paper, plastic, vehicles, and machines used for transport and packaging. These materials are essential for our operations but also pose significant environmental challenges. To address these impacts, we are focusing on sourcing sustainable and recyclable materials, reducing material waste during production, and promoting the reuse and recycling of resources. Downstream, our impacts include waste destruction and sorting operations. The disposal and management of waste generated from our products and packaging are critical components of our circular economy strategy. We are implementing efficient waste sorting systems to separate recyclable materials from non-recyclable ones, promoting the recycling of packaging materials, and exploring waste-to-energy solutions to reduce landfill use.

ESRS S2 – Health and Safety: Our upstream impacts on health and safety are significant, particularly for workers in our value chain, including suppliers and subcontractors. These workers face risks such as physical strain from handling heavy loads, challenging working conditions, and tight delivery deadlines. Those working in warehouses, manufacturing, or logistics for bpostgroup's suppliers may face additional hazards, including night shifts, repetitive tasks, and insufficient safety measures. Downstream, bpostgroup currently does not monitor the impacts, risks, and opportunities (IROs) for its B2B and B2B2C customers given service centric activity of bpostgroup without discrimination.

ESRS S2 – Collective Bargaining and Freedom of Association: Our upstream impacts involve discussions and negotiations with worker representatives, typically through unions, to establish the terms and conditions of employment. These negotiations are crucial for ensuring fair labor practices and protecting workers' rights. bpostgroup's value chain is virtually fully located in countries with robust and applied working legislation, which supports collective bargaining and freedom of association. This legal framework ensures that workers can freely organize and engage in dialogue with management to address their concerns and improve working conditions. Downstream, bpostgroup currently does not monitor the impacts, risks, and opportunities (IROs) for its B2B and B2B2C customers.

ESRS S2 – Social Dialogue: Our upstream impacts are significantly influenced by the fact that bpostgroup's value chain is virtually fully located in countries with robust and applied working legislation. This strong legal framework supports social dialogue, ensuring that workers have the right to communicate openly with management and participate in decision-making processes that affect their working conditions. This environment fosters a culture of mutual respect and collaboration, which is essential for maintaining a healthy and productive workforce. Downstream, bpostgroup currently does not monitor the impacts, risks, and opportunities (IROs) for its B2B and B2B2C customers.

ESRS S4 – Privacy: Our downstream activities involve gathering a considerable amount of client data through various channels, especially our e-commerce platform. This data includes sensitive information such as names, addresses, and financial details, particularly when selling BNPPF banking products. Securing this personal information is crucial to respecting the fundamental right to privacy, maintaining trust, and protecting all our clients globally. We implement stringent data protection measures, including encryption, access controls, and regular security audits, to safeguard this information.

ESRS S4 – Non-discrimination: Downstream, bpostgroup serves a wide spectrum of clients, from large corporate businesses to individual citizens. Through our last-mile and retail services, we fulfill a unique social and proximity role within the population. This role provides an opportunity to offer more personal services in a society that may need supervision or a physical link, such as the delivery of meals and medication, or health check-ups. Our commitment to non-discrimination is an integral part of the principle of equality. It ensures that no one is denied their rights based on factors such as race, color, sex, language, religion, political or other opinion, national or social origin, property, or birth. Additionally, we prohibit discrimination on grounds such as age, nationality, marital status, disability, place of residence within a country, and sexual orientation. This commitment is embedded in our policies and practices, ensuring fair treatment and equal opportunities for all consumers and end-users in our value chain.

ESRS S4 – Equal Access: Our downstream commitment to equal access ensures that all individuals can utilize transportation, buildings and facilities, programs and services, employment opportunities, and technology. This principle is fundamental for the social inclusion of consumers and end-users, guaranteeing that everyone receives the same provisions for privacy, security, and safety. We embed this commitment in our policies and practices, ensuring that our operations are inclusive and accessible to all. As part of our role as a USO provider, we guarantee the right of all citizens to several fundamental postal services. Specifically, the 7th management contract (attributing Services of General Economic Interest to bpost) requires at least 1,300 points of postal service, among which minimum 650 post offices, and at least one post office in each Belgian municipality. At least 95% of the population must have access to a postal service point offering the basic range of services within 5 km (by road) and at least 98% of the population within 10 km (by road). Several quality-of-service targets are also part of the contract (opening hours, waiting time, customer satisfaction, …).

ESRS G1 – Protection of whistle-blowers: Our upstream commitment to the protection of whistleblowers involves working closely with all workers in the value chain. bpostgroup has had a whistleblower policy and a code of conduct for many years, ensuring that employees feel safe and supported when reporting unethical behavior. Downstream, it concerns all workers in the value chain, as well as consumers and end-users. By extending whistleblower protections to these groups, we ensure that anyone who interacts with our organization can report unethical behavior without fear of retaliation.

ESRS G1 – Corporate culture: Our upstream corporate culture impacts all suppliers in the value chain, ensuring they align with our values and ethical standards. Downstream, this influence extends to all suppliers, consumers, and end-users, promoting consistency and trust in all interactions and transactions.

ESRS G1 – Prevention and detection including training and incidents of corruption and bribery: Our upstream commitment to the prevention and detection of issues, including training and incidents of corruption and bribery, involves working closely with our suppliers. We implement training programs and monitoring systems to ensure that our suppliers adhere to ethical standards and practices. Downstream, we engage with B2B customers to ensure they are aware of and comply with our anti-corruption and anti-bribery policies, fostering a transparent and trustworthy business environment.

ESRS G1 – Management of relationships with suppliers including payment practices: Our upstream commitment focuses on ensuring fair and ethical treatment of all suppliers. This involves maintaining transparent and timely payment practices, fostering strong and positive relationships, and ensuring that suppliers are treated with respect and integrity. Downstream, bpostgroup currently does not monitor the impacts, risks, and opportunities (IROs) for its B2B and B2B2C customers.

6.1.2.5 GOV-5 Risk Management and Internal Controls over Sustainability Reporting

Main Features and Components of Risk Management and Internal Control Systems in Relation to Sustainability Reporting

Scope and Principal Features of Risk Management and Internal Control Systems

The scope and main features of risk management and internal control processes linked to reporting are designed to ensure comprehensive oversight and alignment with our organization's ESG objectives.

The risk management framework incorporates an annual top risk review conducted by the Enterprise Risk Management (ERM) team with top executives, operational managers and SPOCs from respective teams. This review focuses on the evolution of key ESG-linked risks, including climate change, regulatory compliance, and governance practices. This process integrates quantitative analysis, stakeholder engagement, and scenario planning to assess and mitigate risks while aligning with sustainability objectives.

Mitigation strategies for identified risks are directly linked to strategic goals, and findings are shared with top executives (ERM Coordinators) responsible for monitoring and providing quarterly updates on risk management efforts. Internal control processes include a Group Controls Questionnaire distributed annually to major entities (Active Ants, Radial NA, Staci, bpost NV/SA, Landmark Global, etc.) and a targeted review of critical process controls like payment systems, ensuring robust oversight of sensitive operations. Periodic reporting mechanisms are in place, with semi-annual reviews of top risks and quarterly monitoring of high-priority risks presented to the Executive Committee (ExCo) and the Board.

These systems ensure that sustainability-related risk assessments and internal controls are seamlessly integrated into the larger risk assessment framework, enabling effective decision-making and reinforcing the organization's commitment to sustainability.

Risk Assessment Methodology and Prioritization Framework

Our annual top risk review involves a structured evaluation with 50 ERM SPOCs (including ExCo members and senior management) and 10 ERM coordinators representing entities and business units (e.g., Radial, BU 3PL Europe, etc.) and functional teams (Insurance & Finance, Communication, etc.). This evaluation assesses the evolution of key risks and identifies emerging threats within the organization, particularly regarding ESG priorities.

This process employs a comprehensive risk assessment approach that combines quantitative data analysis, stakeholder consultations, and scenario planning. The review examines the organization's exposure to ESG-linked risks, such as climate change, regulatory compliance, social equity, and governance practices, ensuring alignment with corporate sustainability objectives.

Coordinators collaborate with operational managers to analyze the effectiveness of mitigation strategies implemented during the year and assess their impact on reducing risk severity or likelihood. Furthermore, the 2024 risk assessment identified new risks influenced by evolving ESG trends and market dynamics, fostering a proactive risk management culture that integrates ESG considerations into decision-making and strategic planning.

Main ESG Risks Identified in 2024

During the 2024 risk assessment, four major risks related to ESG related topics were identified:

1. Impact of climate change: Potential impacts, notably financial, of physical risks (e.g. extreme weather) and transitional risks (e.g. regulatory changes) related to climate change, and the associated opportunities for resilience and sustainable growth.
1. Achievement of ESG commitments around carbon emissions: Risk that the Carbon footprint targets are not achievable by 2030 (% of reduction of Scope 1, 2 and 3 GHG emissions) (cf.E1-4). This risk is further associated with the need to reclarify/reconfirm SBTI engagements in the short term.
1. CSRD and third-party management compliance: Non-compliance with the CSRD and potential gaps in our third-party management, in particular in the context of the upcoming new Supply Chain Due Diligence Regulation.
1. Achievement of ESG commitments around waste: Waste ESG target maybe not achievable by 2030 (% of recycled content in packaging; % of recyclability of packaging; % of waste recycled / reused / recovered as energy) (cf. E5-3)

Associated Mitigation Strategies

For the above four major risks, preliminary mitigation strategy has been detailed:

1. Impact of climate change: Group-wide Climate Risk Assessment has been launched in Q3 2024 with expected results by mid-2025. This initiative aims to ensure that potential financial impacts are thoroughly evaluated while aligning with CSRD compliance and advancing the Group's climate resilience strategy in the meantime.
1. Achievement of ESG commitments around carbon emissions: bpostgroup will define a clear strategy for Scope 3 commitment and related SBTI requirements, to be detailed on operational actions. For instance, bpostgroup successfully launched a Carbon footprint tool for parcels in Belgium.
1. CSRD and third-party management compliance: a comprehensive gap analysis and maturity assessment have been conducted in 2024, supported by a dedicated working group. An action plan is currently being defined as part of the organization's strategic initiatives, ensuring robust governance and alignment with regulatory expectations.
1. Achievement of ESG commitments around waste: While current waste targets are under control, the group acknowledges the importance of addressing this material topic, as identified in the Double Materiality Assessment. Moving forward, targeted strategies will be implemented to strengthen waste management practices, ensuring alignment with long-term ESG objectives and reinforcing bpostgroup's commitment to sustainable operations.

Integration of Risk Assessment Outcomes into Internal Functions and Processes

Once the top risks are reviewed, the report is shared with the ERM Coordinators, who include the top executives of the group or entity. As risk owners, they are responsible for monitoring these risks and providing quarterly updates on how they are being managed. Additionally, some of these risks are directly linked to the organization's strategic objectives, ensuring alignment between risk management and broader business goals.

Periodic Reporting to Administrative, Management, and Supervisory Bodies

A comprehensive Group Control Questionnaire is given each year to the largest entities within the organization (Active Ants, Radial NA, Staci, bpost NV/SA, Landmark Global, etc.) to evaluate the effectiveness of internal controls. Additionally, we are implementing a focused review of approximately ten critical process controls, such as payment systems. These reviews are sent to the CEOs and CFOs of the respective entities to ensure robust oversight of the most sensitive operations.

Top risks are reviewed semi-annually, with heightened attention to those with a 51-75% (score 4) and 76-100% (score 5) chance of occurrence. These high-priority risks are monitored quarterly, and the findings are presented to the Executive Committee and the Board. This periodic reporting ensures that administrative, management, and supervisory bodies remain informed of the organization's risk landscape and internal control effectiveness, enabling timely decision-making and strategic alignment.

6.1.3 Strategy and Business Model

6.1.3.1 SBM-1 Strategy, Business Model and Value Chain

Key Facts & Figures

bpostgroup is a leading provider of postal and e-commerce logistics services.

Main Services Offered

bpostgroup offers three core services:

1. Last Mile Delivery: This includes traditional postal services in Belgium, mainly performed by bpost NV/SA and Euro-Sprinters, with additional services in the Netherlands (Leen Menken, Dynagroup) and Canada (Apple Express).
1. Third-Party Logistics (3PL): Fulfillment center services provided by bpost NV/SA, Radial US, as well as other Radial EU entities, Active Ants (Belgium, Netherlands, UK), and FDM (Australia, New Zealand).
1. Global Cross-Border: Services carried out by Landmark Global and IMX.

bpostgroup also offers the following services in Belgium:

Retail Services: Provided by bpost NV/SA through its postal offices and partners.
Press Distribution: Managed by bpost NV/SA, Aldipress, and AMP.
Government Services: Including the collection of traffic fines, distribution of Belgian license plates, and management of the Government Cash Account (phasing out).
Document Flow Management: Delivered by bpost NV/SA and Speos.

Revenue by Significant ESRS Sector

bpostgroup generates over 90% of its business in the transportation sector.

Geographic Revenue Breakdown

Belgium: bpost NV/SA operates primarily in Belgium and serves both B2B and B2C customers, representing slightly more than 50% of bpostgroup's 2024 revenue.
USA: Radial US accounts for approximately 30% of the group's total 2024 revenue.
EU (Excluding Belgium): Other European entities make up about 10%.
Other Regions: Remaining markets include Canada (0.7%), followed by Australia, New Zealand, Singapore, and India.

Headcount by Geographic Area

• Total headcount in 2024: 32,723

Belgium: 26,629
USA: 3,650
Other: 2,444 (mainly within the European Union)

bpostgroup does not have any banned products in any market.

Integrating Sustainability into bpostgroup's Strategy and Operations

Sustainability Goals by Product, Customer, Geography, and Stakeholders – Assessment of Services, Markets, and Customers Impacting Sustainability Goals

bpostgroup's sustainability goals are set at an overarching level. Plans to achieve these goals and relevant "improvement levers" are activated within the various entities of the group, starting with those where the potential impact is the greatest—most notably bpost NV/SA and Radial US. We do not communicate specific objectives by business entity, customer group, geography, or stakeholder. Furthermore, our newest entity – Staci – has yet to integrate these sustainability goals into their strategy. They will be integrated into Staci's operations and strategy in 2025.

bpostgroup's key environmental objectives include:

1. Decarbonizing the e-commerce and third-party logistics supply chain, with a target to reduce Scope 1 and 2 emissions by 55% and Scope 3 emissions by 14% by 2030 (compared to 2019).
1. Reducing adverse impacts on air quality.
1. Offering sustainable solutions for the e-commerce value chain, including recyclable and reusable packaging.

These objectives apply across all business units, customer groups, and geographies. The most critical stakeholders in achieving these goals are end users and business consumers seeking to decarbonize their own value chains.

GHG emission reduction

Scope 1 Emission Reduction & Air Quality

Reducing Scope 1 GHG emissions and improving air quality are most significant for bpost NV/SA's last-mile delivery business, given its extensive fleet of trucks and delivery vans. bpost NV/SA accounts for 86% of bpostgroup's Scope 1 GHG emissions. To address this, we have developed concrete plans, including.

Electrifying our large last-mile fleet.
Expanding soft mobility deliveries and Ecozones.
Decarbonizing our buildings by phasing out heating oil and natural gas heating.
Transitioning our internal logistics truck fleet towards double-deck trailers and alternative fuels.

These efforts primarily impact Belgium, covering all last-mile delivery activities and customer segments. The most relevant stakeholders remain end users and business consumers striving to decarbonize their own value chains.

Conversely, our last-mile delivery business is the most critical contributor to achieving our Scope 1 GHG reduction and air quality improvement goals.

Scope 2 Emission Reduction

Our Scope 2 emissions reduction goal applies to all bpostgroup businesses globally. In Belgium, all entities already operate on 100% green electricity. For the rest of the world, across all entities, we aim to transition to 100% green electricity by 2030.

As a result, our 3PL (third-party logistics) and Cross-Border businesses play a crucial role in furthering our Scope 2 reduction efforts.

Scope 3 Emission Reduction

Our Scope 3 emissions reduction goal applies across all bpostgroup businesses and geographies for Purchased Goods & Services and employee commuting.

Decarbonizing subcontracted road transport is most relevant for our e-commerce fulfillment (3PL) and Global Cross-Border businesses, as they heavily rely on subcontracted transport. This primarily affects major customers and end users.
Decarbonizing outsourced air transport is particularly crucial for our Cross-Border business.

All bpostgroup suppliers are key stakeholders in achieving this goal, especially subcontracted road and air transport providers. Additionally, bpostgroup employees worldwide are critical stakeholders in addressing emissions from employee commuting.

Given these factors, our 3PL and Global Cross-Border businesses are particularly crucial for achieving our Scope 3 reduction goal.

Circularity

Our goal of offering sustainable solutions for the e-commerce value chain through recyclable and reusable packaging is particularly relevant for our e-commerce fulfillment and third-party logistics (3PL) businesses across all geographies. This is due to the high importance of bulk unpacking and order repacking within these operations. The key customers for this initiative are large e-commerce players, while relevant stakeholders include business customers, packaging suppliers, waste treatment providers, and end users.

Our circularity goals also play a significant role in:

Our Press business (AMP and Aldipress), which collects unsold newspapers and magazines, ensuring they are either reused or recycled.
Dynagroup, which collects old or defective large electrical appliances ("white goods") when delivering new ones.

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Relevant customers and stakeholders include:

For AMP/Aldipress: Press and magazine publishers in Belgium and the Netherlands, press distribution points, and paper waste treatment/ recycling companies.
For Dynagroup: Appliance retailers, end consumers, and electrical waste processing providers.

Additionally, our retail business within bpost NV/SA is engaged in circularity efforts through selling envelopes and delivery boxes, primarily targeting SMEs and residential customers. Key stakeholders include end users and companies handling residential waste collection and processing.

As a result, our 3PL business, AMP/Aldipress, Dynagroup, and the bpost NV/SA retail business are the most critical for achieving bpostgroup's circularity goals.

Social and Due Diligence in the Value Chain

Being an employer of choice is a core element of bpostgroup's strategy.

Our two main social sustainability goals are:

Improving health, safety, and well-being for our own workforce and for workers within our value chain.
Achieving a high degree of diversity, equity, and inclusion (DEI), both for our own workforce and for workers within our value chain.

These goals primarily apply to bpostgroup employees but, within the scope of our due diligence efforts, also extend to workers in our value chain as outlined in our Supplier Code of Conduct.

These commitments apply across all bpostgroup entities and geographies, covering all customer segments.

Progress is monitored across all business lines and entities, ensuring alignment with these objectives. For further details, see Sections:

S1 Own Workforce, particularly disclosure S1-4
S2 Workers in the Value Chain, particularly disclosure S2-4

Governance

bpostgroup has established three main governance sustainability goals:

1. Strengthening corporate culture in alignment with our Code of Conduct, embedding ethics across the organization and the value chain. (For details, see Section G1 Business Conduct, disclosure G1-1.)
1. Securing personal information to uphold the fundamental right to privacy, maintain trust, and protect customers globally. (For details, see Section S1 Own Workforce and S4 Consumers and End-Users.)
1. Ensuring access to mail and parcel postal services in Belgium through our last-mile and retail products and services.

The first two governance goals apply across all bpostgroup entities and geographies, covering all customer segments. Key stakeholders include employees, suppliers, customers, and end users.

The third governance goal is specific to bpost NV/SA, as it relates to its core postal services, ensuring accessibility for all customers and end users in Belgium.

Sustainability Commitments in Our Strategy

Sustainability is an integral part of bpostgroup's redefined strategic vision and framework.

Two of our core commitments—Reference in Environmental Sustainability and Employer of Choice—are "care" commitments with a strong sustainability focus. They demonstrate our continued dedication to societal responsibility, which is integral to our market operations and differentiation.

1. Reference in Environmental Sustainability

We are committed to decarbonizing the logistics supply chain, positioning ourselves as one of the greenest logistics players. We consistently deliver on our decarbonization goals by optimizing investments for maximum CO₂ reduction and supporting a scaled circular economy through leading reverse logistics and sustainable waste and packaging solutions.

2. Employer of Choice

We foster inclusion and equal opportunity, ensuring that everyone feels welcomed and valued. We provide a safe environment for physical and mental well-being, create social mobility opportunities, and offer market-conform contracts that balance flexibility with business needs. We are recognized for the career growth opportunities we offer both within the group and in the broader job market.

Sustainability-Driven Strategic Initiatives

Several strategic initiatives integrate sustainability into their design and implementation.

In Belgium, our Last Mile Strategy focuses on driving operational efficiency and reducing kilometers driven, which directly contributes to lower CO₂ emissions and air pollution. By expanding our network of Automated Parcel Machines (lockers), we enable more efficient deliveries while reducing the number of trips required. Additionally, low-emission last-mile delivery remains a key part of our value proposition for mail and parcel services. The expansion of Ecozones and the development of a Carbon Calculator for large parcel customers further strengthen our role as a sustainable last-mile delivery provider. (For more details, see Section E1-3 – Actions and Resources in Relation to Climate Change Policies.)

We are also developing specialized B2B logistics solutions aimed at reducing emissions and promoting circularity. Some of these solutions prioritize the use of reusable packaging and leverage bpost's locker network to minimize unnecessary transport. In addition to their environmental benefits, these initiatives will also create additional employment opportunities within bpost. These solutions are relevant for both our last-mile and third-party logistics (3PL) businesses.

Our innovation roadmap is designed to advance sustainability by introducing low-emission services, reduced-packaging options, and circular economy solutions. The expansion of C2C parcel delivery services, such as our program with Vinted, will facilitate second-hand transactions, reinforcing the circular economy for consumers.

With the acquisition of Staci, we are launching a group-wide transport excellence program that will improve subcontracted transport governance, reduce transport-related emissions, and contribute to our overall cost reduction efforts.

In our Global Cross-Border business, we plan to develop new logistics lanes that will direct volumes toward our low-emission last-mile models in Belgium and Canada. However, achieving our Scope 3 emissions reduction goals in this area will require innovative subcontracted transport management.

Finally, our strategy to enhance proximity services for Belgian citizens through our postal offices and workforce strengthens social inclusion. Our postal network plays a key role in bridging the digital divide and providing accessible services to communities. At the same time, this initiative creates more fulfilling job opportunities for our employees and fosters constructive social dialogue.

Business Model and Value Chain

Input, Output, and Outcome

To deliver its services, bpostgroup relies on several key inputs:

Human Resources are a critical factor for business operations, especially for the large personnel required for mail and parcel processing, as well as last-mile delivery.

Main Material/Physical Inputs include:

Packing materials, primarily paper and cardboard with some plastic.
Infrastructure, equipment, and facilities necessary for sorting mail and parcels and packing for e-commerce fulfilment.
Vehicles for transport, including the own fleet of trucks, vans, and lighter delivery vehicles (e-bikes and trailers), along with outsourced transport (road and air) for e-commerce fulfilment and cross-border services.
IT systems and infrastructure that enable efficient logistics operations.

Thanks to these inputs, bpostgroup delivers the following key outputs and outcomes:

bpostgroup offers a range of postal and logistics services, with outputs primarily consisting of:

Processing and physical delivery of letters and parcels.
E-commerce fulfilment, including warehousing bulk products and bespoke repacking for individual end consumers.
Cross-border operations facilitating international mail and parcel shipping.

Although the focus is on services, bpostgroup also offers limited packaging products, postcards, and stamps through its Belgian retail network.

Value Chain

While the internal and externally audited DMA memorandum provides an extensive description, below is a summary of the core of bpostgroup's value chain:

Activities and Business Relationships in the Value Chain

bpostgroup operates in three main business units:

BeNe Last Mile (mainly in Belgium and the Netherlands)
3PL (Third-Party Logistics / E-commerce Fulfilment)
Global Cross-Border (services in Europe and North America, with some presence in APAC and Australia/New Zealand).

Last-Mile Distribution

Primarily occurring in Europe, these activities include:

Core Mail Services: Delivered by bpost NV/SA in Belgium.
Specialized Last-Mile Activities: Including Euro-Sprinter, Leen Menken (chilled/frozen deliveries) in the Netherlands, Dynagroup (white goods delivery/collection in Belgium and the Netherlands), and Apple Express (Canada).
Retail Services: Offering postal products and services through our Belgian retail network.

Geographic Areas

Operations are carried out in Belgium (bpost NV/SA, Euro-Sprinter, Dynagroup), the Netherlands (Dynagroup, Leen Menken), and Canada (Apple Express).

Customers

• Regular postal service customers include citizens, public institutions, and businesses (both profit and non-profit).

Suppliers

Logistic/sorting/packing equipment manufacturers.
Vans and car manufacturers.
Packaging material providers (primarily cardboard).
Subcontractors for transportation and delivery services.

Third-Party Logistics / Full E-commerce Logistics and Global Cross-Border Services

These services are mainly available in Europe and North America, with a presence in APAC and Australia/New Zealand (FDM).

Key activities include:

Fulfilment and warehouse solutions.
Cross-border services.
Specialized transportation and delivery solutions (including last-mile delivery in Belgium, Netherlands, and Canada).
Returns handling, customer care, and lifecycle solutions (global returns and recycling/refurbishing of high-end products in Belgium/ Netherlands by Dynagroup).

Geographic Areas

These activities take place in North America (Radial USA, Landmark NAM), Europe (Radial, Landmark, Active Ants, Freight4U), and Australia/ New Zealand (FDM).

Customers

Primarily e-commerce businesses or companies engaged in e-commerce activities.

Suppliers

Logistic/sorting/packing equipment manufacturers.
Subcontractors for transportation and delivery services.
Packaging material providers (mostly cardboard).
Suppliers for the Purchased Goods and Services.
Vans and Car Manufacturers (limited as most transport is outsourced).

Engaging with Stakeholders Through the Value Chain

By having such awareness of its value chain, bpostgroup has been able to better engage with its stakeholders.

6.1.3.2 SBM-2 - Interests and Views of Stakeholders

Stakeholders Engagement and Impact on Business Model

As a global company with a public service mission in Belgium, bpostgroup consistently engages with numerous stakeholders, recognizing that long-term success depends on considering their interests. We maintain transparent and effective relationships with each stakeholder group through regular interactions at various levels within the company.

Senior management frequently meets with customers, continuously engages with labor unions representing our workers, and regularly consults with public authorities. Stakeholder feedback is integrated into our daily operations and the development of new services and capabilities. Their needs and interests, gathered during our "Double Materiality Process," have influenced the identification of key topics for the group.

Our board's composition, with 50% independent members, ensures a broad stakeholder perspective in board meetings. The new strategic framework released in 2024 reflects the interests of multiple stakeholders:

Our New strategic framework released during 2024 includes the interest of multiple stakeholders:

Excellence pillars: Focus on customer centricity and quality, prioritizing the interests of all customers and endusers (private, business, and government/non-profit).
Care commitments: Emphasize environmental sustainability and being an employer of choice, keeping the interests of employees and the environment at the forefront.
Proximity services: Demonstrate our commitment to meeting the needs of Belgian society by being the reference provider of proximity services.

Our Stakeholders Engagement Policy, available on our website, will be updated in 2025 to reflect enhanced engagement conducted in 2023 and 2024 as part of the double materiality assessment.

Overview of bpostgroup's Stakeholder Engagement

The table below lists key stakeholder group, the purpose and type of engagement as well as example outcomes from those engagements.

Key Stakeholder Groups, Engagement Purposes, Types, and Outcomes

STAKEHOLDER GROUP	RELEVANCE OF ENGAGEMENT	ENCOUNTER OPPORTUNITIES	EXAMPLE OUTCOME FROM ENGAGEMENT
Shareholders and Investors	• Ensuring long-term commitment and continuous financial resources • Generating (long-term) joint added value and benefits through interest alignment	• Annual shareholder meetings • "Investors relations" point of contact	• Planning an investor day in 2025 • Annual report
Customers • Major customers and corporate customers • SMEs, self-employed and liberal professions • Residential customers	• Strengthening trust • Identifying opportunities for product development and optimization • Developing business opportunities • Enabling positive customer experience • Prioritization of impacts, risks and opportunities (CSRD)	• Annual satisfaction surveys • Account management for key and corporate customers • Customer service contact point. • Active presence on social networks (Facebook, Twitter) and website	• Enhanced commitment put on low carbon delivery requested by large customer seeking to reduce their Scope 3 emissions • Development of new services and product lines (eg B2B, locker network, mybpost application…)
Employees • Staff • Social partners	• Enabling positive employee experience • Strengthening trust and loyalty • Identification of business opportunities • Prioritization of impacts, risks and opportunities (CSRD)	• Annual measurement of employee wellbeing and engagement • Awareness initiatives with staff on CSR themes • Joint Industrial Committee ( Paritair Comité/Commission Paritaire) meetings • Monthly consultations with social partners to implement and monitor change projects and projects affecting welfare at work	• Department level action plans from employee wellbeing survey • No social plan following loss of press concession subsidy
Suppliers	• Revealing potential for joint benefits • Enabling and contributing to sustainable innovations and sustainability in the value chain	• Study among main suppliers to gain greater insight into their vision and their sustainability results (Ecovadis methodology) • Survey on emission factors for top 50 suppliers. • Awareness raising among suppliers to encourage them to choose a sustainable environmental approach	• Development of the Supplier Code of Conduct • Supplier information session – decarbonization of scope 3 (kick-off survey on emission factor for top 50 suppliers)
Media	• Impact on the image and reputation	• Press meetings	• Systematic press and social media communication for any significant news, or achievements
Authorities • Federal government and the Minister of Public Enterprises • Federal parliament (Infrastructure, Communications and Public Enterprises Commission) • Cities and municipalities • Post & Telecom Regulator (IBPT BIPT)	• Decisions impacting bpostgroup's activities and license to operate • Control of various bpost NV/SA obligations	• Presentation by the CEO of the company's strategy to the members of the Chamber of Representatives Infrastructure Commission • Regular contact with the government and local authorities to inform them of the company's plans and to seek solutions to the problems they may face with regard to bpostgroup services • Regular contact with regulator related to their supervision & control activities on bpost NV/SA	• Implementation or compliance with Recurrent & Ad hoc IBPT decisions and positions on bpost NV/SA. • Implementation of the 2 Management Contract with Belgian authorities (Universal Service obligation and services of general economic interest)
Partners • NGOs and Associations: Natuurpunt, PEFC, UN Global Compact, The Shift, BACA, The Club of Rome EU Chapter • International Post Corporation (IPC), PostEurop Carbon experts	• Creating trust and loyalty • Contributing to the identification of business opportunities • Enabling/contributing to innovations and a sustainable development	• Participation in the International Post Cooperation environmental program • Exchange of "best practices" with regard to sustainable development between postal operators, via the IPC and PostEurop, The Shift and The Club of Rome EU Chapter Sustainability networks. • Exchange of best practices on the decarbonization of scope 3 (BACA Supply Chain Leader Group)	• Air Pollution added as a material topic reflecting input from environment NGO's • Exchange with our peers on a common way of interpreting and implementing the new legislation (EU Taxonomy, CSRD…)

Stakeholder Interests and Their Consideration by bpostgroup

In 2023, bpostgroup conducted an extensive internal and external stakeholder engagement process as part of the Double Materiality Assessment (DMA).

The table below summarizes the specific interests identified for key stakeholder groups and deemed material. It also details how these interests are considered and addressed by bpostgroup.

Summary of Stakeholder Interests and bpostgroup's Consideration

STAKEHOLDER GROUP	KEY NEED IDENTIFIED AND DEEMED MATERIAL	IF / HOW INTEGRATED BY BPOST GROUP IN ITS STRATEGY / OPERATIONS	STATUS / NEXT STEP / (IMPACT (IF ANY) ON STAKEHOLDER RELATIONSHIP)
Shareholders and Investors	Development of a resilient business model in light of climate change ( transition risk and physical risk)	Integration of Sustainability as one of the groups strategic pillar supporting the development of a climate transition plan and the development of customer solutions aimed to address climate related opportunities.	High Level client transition plan is ready and under implementation. Bene Last Mile offers low carbon solutions already ( Ecozones, Carbon Calculator) and more solutions are in development
			(contribute to increase trust in long term resilience of business)
Shareholders and investors	Business Conduct & Ethics	To strengthen our culture of ethics and compliance, we have been implementing bpostgroup's FACE Program (Foster a Culture of Ethics and Compliance) at group level. This comprehensive initiative enhan ces risk management and compliance practices by defining clear governance models, establishing a groupwide strategy, and embedding a robust enter prise risk management program and function.	Ongoing – New compliance department structure as of early 2025 to improve the coordination and communication across compliance domains and sup port the implementation of the result of the recently completed Compliance Maturity Assessment (CMA) across bpostgroup (part of FACE)
Environmental NGO's (e.g. Natuurpunt) , other partners ( eg PostEurop) and me-dia	GHG Emissions and Air Pollution	Development of an updated Climate Transition Plan – Fleet electrification, Soft Mobility solutions for deliveries in dense urban areas	High level plan ready, implementation in progress, updated quantification required (new SBTI submission post Staci Acquisition)
			(increased trust and possibly stronger willingness to engage)
Environmental NGO's e.g. Natuurpunt	Waste & Packaging / Circular economy	Development of a waste & packaging policy and targets integrated within bpost group environmental policy	Waste & Packaging related policy, part of the Environment policy has been approved by ESG Committee of the Board, to be implemented and monitored as of 2025
bpost workers	Health & Safety linked to night work and logistics fulfillment operations	Belgian entities track 14 indicators guiding the preventive policies of operational management.	Continue Monitoring Health & Safety performance in permanent dialogue with workers representatives
		Radial North America includes Health and Safety related measures in their employee handbook.
bpost Workers	Social Dialogue and preserving employment level	Decision to seek ways to limit the impact of the loss of important contracts (e.g. the press concession contract) in order to avoid a social plan.	Under implementation / Consolidation of relationship
			(Contributes to building more trustworthy social dialogue)
bpost Workers	Equal Treatment and Opportunities	All bpostgroup entities follow code of conduct which include provisions with regard to Diversity, Equity and Inclusion	Continue implementation of those policies
		Additionally, bpost NV/SA has a dedicated policy regarding Diversity, Equity & Inclusion. Radial North America has dedicated Diversity, Equity & Inclusion section in their employee handbook
Value chain workers	Health & Safety especially for subcontracted transport suppliers	Development of an enhanced Supplier Code of Conduct and Subcontractor Policy	Approved by the Board. and will be rolled out as of Q2 2025.
Customers	GHG emissions – need for low emission logistics solution	Continued extension of our Ecozones in Bel-gium and continued electrification of our fleet of electric vehicles. Development of a parcel delivery Carbon	Ongoing / Consolidate Relationship with Customers seeking to reduce their scope 3 emissions
		Emission calculator.	(Building Closer and Long term Partner ship with customers we will help achieve reduce their scope 3 emission reduction goals)

STAKEHOLDER GROUP	KEY NEED IDENTIFIED AND DEEMED MATERIAL	IF / HOW INTEGRATED BY BPOST GROUP IN ITS STRATEGY / OPERATIONS	STATUS / NEXT STEP / (IMPACT (IF ANY) ON STAKEHOLDER RELATIONSHIP)
Suppliers	Management of Relationship with Suppliers including Payment Practices	Fostering relationships with our suppliers through a robust Stakeholder Engagement Policy and a comprehensive Supplier Code of Conduct. These frameworks ensure that our suppliers align with our core values of transparency, sustainability, and ethical standards. To support supplier cash flow and strengthen relationships, bpost ensures clear payment terms by sharing them at the stage of the Request for Proposal (RFP) and in the General Terms and Conditions.	In 2025, bpostgroup will review its Stakeholder Engagement Policy and implement the new Supplier Code of Conduct starting early February. Enhan ced supplier assessments (extending existing EcoVadis requirements) will ensure adherence to ethical standards, while clear communication and training on business conduct will support sustai nable practices initiated by our compli ance and procurement departments. (increase trust and degree of collabora tion with suppliers sharing similar ESG
Government – Regulator	Business Conduct & Ethics	In 2024, bpostgroup achieved significant progress in promoting ethical behavior and corporate culture. We increased employee training completion on the Code of Conduct to 96%, launched the Speak Up Program for confidential reporting, and conducted regular assessments to ensure alignment with our core values.	objectives) In 2025, bpostgroup plans to further enhance its corporate culture and ethi cal standards by integrating dedicated training on bribery and corruption into its mandatory Code of Conduct training program. We will also continue to expand the Speak Up Program to ensure all employees feel empowered to report concerns confidentially.
Consumer and end User, Media	Privacy	Currently, bpostgroup integrates privacy considerations into its strategy through several key measures. The company conducts regular risk assessments to identify potential cybersecurity threats and maps out data usage to understand how information is collected and stored. A General Privacy Policy, compliant with GDPR and other regulations, are developed and made accessible to ensure transparency. Robust data security measures are implemented to protect personal information, and employees receive regular training on data privacy and security best practices.	In 2025, bpostgroup will review its current Privacy Policy, which was established in 2019. The updated policy will be implemented and communicated in Q2 2025
Consumer and end User, Media	Access to Products And Services	bpostgroup's Accessibility Declaration, emphasizes making its website readable and understandable for everyone. This declaration ensures that all users, regardless of their abilities, can access and benefit from the services provided. Additionally, bpost group is committed to ensuring that everyone has access to its products and services, bridging social, economic, and digital gaps. As part of our role as a USO provider, we guarantee the right of all citizens to a number of fundamental postal services	In 2025 bpostgroup is committed to improving accessibility step by step whenever changes are made to the website.
Consumer and end User, Media	Non-Discrimination	bpostgroup is committed to non-discrimination and fostering an inclusive environment. The Belgian entity in particular has a that supports creating a culture where diversity and inclusion are practiced daily.	In 2025, bpostgroup aims to extend its Diversity Policy across borders, ensuring that diversity and inclusion are practiced consistently throughout all its international operations. This initiative reflects bpostgroup's commitment to creating a unified culture of diversity and inclusion, promoting equal rights and opportunities for everyone.

The company's administrative, management, and supervisory bodies are kept informed about the views and interests of stakeholders affected by its sustainability-related impacts.

In 2024, the Double Materiality Assessment (DMA) was shared with both the ESG Steering Committee and the ESG Committee of the Board, and it was discussed three times throughout the year. Both committees approved the DMA.

The ESG Steering Committee, composed of EXCO members, meets monthly, while the ESG Committee of the Board meets three times per year. These meetings provide a continuous forum to review bpostgroup's progress on ESG matters and to discuss the impact of our strategy and business on ESG material topics.

6.1.3.3 SBM-3 – Material Impacts, Risk and Opportunities and Their Interaction with Strategy and Business Model

Material Impacts in the Value Chain

bpostgroup assessed its entire value chain as part of the Double Materiality Assessment (DMA). The company's impact extends both to its own operations and its business relationships.

The most significant impacts outside of its own operations include:

GHG emissions from outsourced road and air transport.
Health & Safety risks for the workforce of suppliers in the logistics and transport sectors.
Conflict of interest risks related to the Belgian state, which has three roles concerning bpost NV/SA: shareholder, client, and supervisory authority.

Changes to Material IRO vs Previous Period

In 2024, bpostgroup introduced a new material topic compared to 2023: Air Pollution

Material Impact

Below is a brief overview of bpostgroup's

material Impacts, Risks, and Opportunities (IROs). Within the ESRS report, each topical standard will further detail the IROs at the subsubtopic level.

This summary provides key insights, while full details are documented internally, which was reviewed by external auditors.

Based on the DMA, bpostgroup has identified eight ESG priorities. The connection between material sub-subtopics and these priorities is outlined in the table to the right.

Climate Change

Material sub-subtopics: Scope 1, Scope 2, Scope 3, Energy. For details, see E1.

Impact: bpostgroup's carbon footprint amounts to 431.5K TCO2 e emissions.
- Upstream: 77% of emissions fall under Scope 3, with outsourced transport accounting for half.

Double materiality 2024

Own operations: 18% of emissions come from Scope 1, primarily linked to bpostgroup's fleet.
Risk: Rapidly evolving regulations and changing customer expectations could impact the business model.
Own operations: The transition to an electrified fleet presents operational risks.
Downstream: Growing customer demand for low-emission solutions may influence service offerings.
Opportunity: Establishing bpostgroup as a climate leader in the sector, gaining market share, and unlocking long-term cost reduction opportunities.

Air Pollution

Material sub-subtopics: Pollution of air. For details, see E2.

Impact: bpostgroup's delivery activities produce NOx emissions through fuel consumption, contributing to urban smog.
Risk: Increasing city-level restrictions on older/heavy fuel vehicles could limit access to key delivery zones.
Opportunity: Stricter environmental regulations could serve as a market differentiator, restricting competitors with lower environmental standards.

Circular Economy

Material sub-subtopics: Inflow, Outflow, Waste. For details, see E5.

Impact: bpostgroup consumes significant amounts of plastic, self-adhesive materials, and foam for parcel protection.
Risk:
- Potential taxes on polluting and plastic waste due to packaging materials.
Costs associated with implementing reusable packaging solutions.
Opportunity: Investing in reusable packaging infrastructure could create an entry barrier for competitors and establish a new revenue stream.

bpostgroup double materiality assessment defines our strategic priorities

Own Workforce

Material sub-subtopics: Diversity, Gender equality, Violence and Harassment, Training, Privacy, Health & Safety, Collective Bargaining, Social Dialogue. For details, see S1.

Impact:
- Health & Safety (H&S): Workplace risks include road safety, handling heavy loads, night shifts in warehouses and sorting centers, and mental stress in office environments.
Diversity, Equity & Inclusion (DE&I): bpostgroup hires a diverse workforce, including low-skilled workers, and acts as a career enabler. • Risk:
H&S risks: Increased health costs, litigation, and potential work disruptions.
DE&I risks: Higher risk of workplace accidents due to language barriers and varying educational backgrounds.
Opportunity: Strong performance in H&S and DE&I can enhance reputation, employer branding, and talent attraction, as well as appeal to customers who value responsible business practices.

Workers in the Value Chain

Material sub-subtopics: Diversity, Gender equality, Violence and Harassment, Health & Safety, Collective Bargaining, Social Dialogue. For details, see S2.

bpostgroup's upstream value chain is located in Europe and North America, primarily Belgium and the USA. Most customers are also based in these regions, meaning the value chain operates within countries with robust labor laws.

However, bpostgroup recognizes the need to further develop its IRO process for the upstream value chain.

Current state:
- Upstream supplier risks are not yet fully mapped.
Downstream/customer-related risks are currently addressed through ad hoc analysis and actions but lack a dedicated process.
Impact: bpostgroup influences suppliers and subcontractors, with Health & Safety identified as a key area of impact.
Risk:
Potential human rights infringements in the value chain. While the likelihood is low, bpostgroup will further monitor risks through due diligence processes.
Opportunity: Strengthening ethical leadership and positioning bpostgroup as a responsible company can enhance reputation and attract customers who prioritize fair labor practices.

Consumers and End-Users

Material sub-subtopics: Privacy, Non-discrimination, Access to products and services. For details, see Section S4 Consumers and End-Users.

Impact: bpost NV/SA, the largest entity within bpostgroup, plays a unique social and proximity role through its last-mile and retail services. Ensuring social and financial accessibility is essential for disadvantaged, isolated, or elderly individuals. As a public service provider, bpost NV/SA contributes to bridging social, economic, and digital divides.
Risk:
- Failing to maintain minimum service levels or fulfill public service obligations could lead to reduced public funding and an increase in complaints.
- The cost burden of sustaining unprofitable services.
Opportunity:
- Expanding proximity services that require supervision or physical presence, such as:
- Meal and medicine delivery
- Health checks
- Property monitoring
- Personal transport services
- Particularly relevant for elderly and isolated individuals, reinforcing bpost NV/SA's social role.

Business Conduct

Material sub-subtopics: Corporate Culture, Corruption and Bribery, Management of Relationship with Suppliers, Political Engagement and Lobbying Activities, Protection of Whistle-blowers. For details, please refer to Section G1 - Business Conduct, Policies and Corporate Culture.

Impact: bpostgroup operates at the intersection of profitability requirements and public service obligations, where subsidized affordability plays a key role.
- As a major market player, large tenders increase exposure to risks such as corruption, bribery, and anti-competitive behavior.
The Belgian State's triple role as shareholder, client, and supervisory authority creates a potential conflict of interest, influencing the long-term strategy and the Board of Directors' decision-making.
Risk:
- Reputational damage due to ethical breaches.
- Financial penalties and legal action resulting from regulatory non-compliance.
Opportunity:
Strengthening brand reputation by reinforcing a strict ethical code of conduct and a consistent value framework across the organization.

List of material sub-subtopics and connection with bpostgroup's ESG priorities

BPOSTGROUP PRIORITY	ESRS STANDARD	MATERIAL SUB-SUB TOPIC
		Energy
		Scope 1 GHG Emissions
Carbon footprint	ESRS E1 – Climate Change	Scope 2 GHG Emissions
		Scope 3 GHG Emissions
Air Pollution	ESRS E2 – Pollution	Pollution of air
		Resource inflows; including resource use
Waste	ESRS E5 – Circular Economy	Resource outflows related to products and services
		Waste; waste generation and significant waste related impacts; management of significant waste-related impact
		Health and Safety
		Training and skills development
	ESRS S1 – Own Workforce	Social dialogue
Health and Safety		Collective bargaining and freedom of association; the existence of works councils and the information; consultation and participation rights of workers
		Diversity
	ESRS S1 – Own Workforce	Gender equality and equal pay for work of equal value
Diversity/ Inclusion		Measures against violence and harassment in the workplace
		Access to products and services
	ESRS S4 – Consumers and end-users	Non-discrimination
	ESRS G1 – Business Conduct	Management of relationships with suppliers including payment practices
		Collective bargaining and freedom of association; including the existence of work councils
		Social dialogue
Due Diligence in the value chain		Health and Safety
	ESRS S2 – Workers in the value chain	Diversity
		Gender equality and equal pay for work of equal value
		Measures against violence and harassment in the workplace
		Political engagement and lobbying activities
Business Conduct and ethics	ESRS G1 – Business Conduct	Prevention and detection including training and incidents
		Protection of whistle-blowers
	ESRS G1 – Business Conduct	Corporate culture
Data privacy and security	ESRS S1 – Own Workforce	Privacy
	ESRS S4 – Consumers and end-users	Privacy

Integration of Staci in bpostgroup's Extended DMA

The following is the only data point where Staci is integrated into the DMA. As outlined in BP-1, the scope of the sustainability report remains bpostgroup prior too Staci's acquisition. However, in response to reader interest, we have included the following exception.

While the 2025 report will provide a more in-depth analysis of Staci's integration into the DMA, here is a summary:

bpostgroup and Staci's Sustainability teams worked closely together to assess the integration. Given the similarities between their value chains, their collective experience, and insights gained through stakeholder engagement, both teams concluded that bpostgroup's DMA framework is applicable to Staci. Furthermore, Staci's integration does not introduce any new material sub-subtopics to bpostgroup's DMA. All sub-subtopics that were material to bpostgroup (prior to the Staci acquisition) remain material for Staci, with the exception of the following due to differences in business models and operations:

• Access to Services and Non-Discrimination for End-Consumers (S4): This applies exclusively to bpost NV/SA as part of its postal service. • Political Engagement and Lobbying Activities (G1): Staci does not engage in these activities.

For each sub-subtopic, the joint bpostgroup-Staci Sustainability team reviewed the scoring and comments. Adjustments were made where relevant to reflect Staci's fulfillment operations, as well as its Value Chain (VC), Strategy, and Business Model (SBM). However, these adjustments did not result in any material changes.

Other Information

How bpostgroup Impacts and/or Affects People or the Environment

In summary, bpostgroup's activities impact the following stakeholders:

The environmentthrough GHG emissions and waste generation related to packaging.
Its own workforce in various areas, including Health & Safety (H&S) and working rights.
Suppliers, particularly in the logistics and transport sectors, due to bpostgroup's influence as a large company, impacting their H&S and working rights.
End customers, specifically in terms of access to services and privacy. This applies to bpost NV/SA, which, as part of its postal public service mission, has extensive access to and use of customer data.
The Belgian State, both as a shareholder (holding 51% of bpost NV/SA) and as a representative of taxpayers and citizens benefiting from public services provided by bpost NV/SA.

Time Horizons of the Impacts

The time horizons for each sub-subtopic are detailed within the relevant ESRS topical standards (e.g., E1, S1, etc.) and in internal and externally reviewed documentation.

TIME HORIZON	DEFINITION
Short-term	1 year, year reported, year 0
Medium-term	year +1 to year +5
Long-term	>5 years

Entity-Specific Disclosure

Based on the DMA, there is no entity specific disclosure but some entity specific KPI within ESRS disclosure. Those KPI's were retained as they enable continuation from historical reporting and because some of them support quantification of identified material topics.

Please find below those entity specific KPI and where appropriate a reference to the material IRO they relate to.

Social (S1)

S1-6/14: Employee wellbeing Relate to Social Dialogue Impact and Risk
S1-6: New employee turnover
S1-6: Total number of new employee hires (headcount) during the reporting period
S1-6: Total rate of new employee hires during the reporting period
S1-9: Women in management Relate to Diversity Impact
S1-14: Absenteeism due to accidents Relate to Health & Safety Risk
S1-14: absenteeism due to sickness Relate to Health & Safety Risk
S1-14: Frequency rate (of work accident) Relate to Health & Safety Risk
S1-14: Severity rate (of work accident) Relate to Health & Safety Risk

Governance (G1-2)

Total number of Key Suppliers given consent to the Supplier Code of Conduct relates to the material topic of Management of Relationships with Suppliers including Payment Practices and more broadly speaking to Due Diligence in bpost Value Chain.
Active Key Suppliers screened or audited relates to the material topic of Management of Relationships with Suppliers including Payment Practices and more broadly speaking to Due Diligence in bpost Value Chain.
Spend of Key suppliers with SBTi Scope 1&2 validated targets. Relates to the material topic of Climate Mitigation and the reduction of bpostgroup Scope 3 GHG emissions.

Current and Financial Impacts of Identified Financially Material Risks & Opportunities

Several financially material topics have a current financial impact on bpostgroup. These impacts are reflected in bpostgroup's 2024 financial statements. Many of these were anticipated and do not present a significant risk of material adjustments in the 2025 financial statements.

That said, several of these topics are integrated into bpostgroup's Enterprise Risk Management framework and are analyzed in detail earlier in the annual report (pp…).

The detailed impact assessment for each financially material topic—covering both the Current Financial Effect and the Anticipated Financial Effect —is outlined below:

E1: Climate Change – Climate Mitigation

Current Financial Effect:

bpostgroup did not incur any costs or damages related to extreme weather events in 2024.

On the climate transition risk side, bpostgroup is proactively investing in reducing Scope 1 and 2 emissions, with investment levels exceeding €22 million in 2024. These investments cover initiatives such as:

Electrification of the last-mile fleet in Belgium (vehicles and infrastructure).
Electrification of the company car fleet.
Purchase of double-deck trailers.
Procurement of green electricity.
Improvement of building energy efficiency, including insulation, efficient lighting, heat pump installations, and solar panels.

A similar level of investment is expected in 2025 as part of our climate transition plan, which is integrated into our Long-Term Financial Plan.

On the climate transition opportunity side, several large parcel delivery customers have chosen bpostgroup partly due to its lower-emission last-mile delivery solutions. This trend is expected to continue in 2025.

At present, we do not see any financial impact from Scope 3 emission reductions resulting in higher prices from suppliers (e.g., transport and other purchased goods & services). Additionally, we have not encountered any financing challenges related to our decarbonization strategy and performance.

Anticipated Financial Effect:

From 2026 to 2029, we anticipate continued significant investments in climate mitigation, in line with our climate transition plan and Long-Term Financial Plan, as well as our approved solar panel installation plan in Belgium.

Additionally, we expect an increasing share of our revenue to come from customers with ambitious GHG reduction targets, as we progress in our decarbonization efforts.

While we do not yet have precise cost projections for Scope 3 emission reductions in the 2026-2029 period, we anticipate decarbonization costs for our value chain, particularly in outsourced road and air transport. However, we expect these costs to remain manageable, in line with our targeted 14% Scope 3 reduction by 2030. At this stage, we lack visibility regarding potential cost increases for purchased goods & services linked to GHG reduction efforts.

In 2025, we will conduct a financial impact analysis as part of our ongoing Climate Risk Assessment project. This will enable us to quantify climate transition and adaptation risks and costs for future years, including Scope 1, 2, and 3 emissions.

Furthermore, the implementation of our enhanced Supplier Code of Conduct in 2025 will provide valuable insights into Scope 3 reduction costs.

E5: Waste & Packaging Outflows

Current Financial Effect

In 2024, bpostgroup did not incur any risks or additional costs related to waste and packaging outflow. We do not anticipate such risks or costs in 2025 either, as the Packaging and Packaging Waste Regulation (PPWR) will not come into force before August 2026, with targets set for 2030.

Anticipated Financial Effect

We are actively preparing for the implementation of the PPWR by:

Engaging with packaging suppliers to ensure compliance.
Developing circular solutions for our customers.
Aligning our environmental policy with ambitious waste and packaging circularity targets in line with the PPWR.

At this stage, we cannot yet disclose the precise net financial impact of the risks and opportunities associated with this topic.

S1: Social Dialogue

Current Effect

Impact of Social Unrest and Operational Disruptions:

During the period from April 22 to April 25, 2024, bpost experienced significant operational disruptions in Belgium due to social unrest surrounding negotiations concerning the future of press distribution. These disturbances primarily affected sorting and distribution activities in Brussels and Wallonia, resulting in delays and interruptions across our network. We faced a mix of both direct and indirect impact of approximately €12.5 million in EBIT due to strikes and delays in the reorganization process, which compounded the operational challenges faced throughout the year. While we cannot predict strikes in 2025, we will continue to foster a positive social dialogue to limit this risk.

Anticipated Effect

We cannot accurately predict the potential impact of social unrest and operational disruptions beyond 2025. However, we are committed to continuing our efforts to promote positive social dialogue to minimize this risk in the future.

S1: Health & Safety

Current Effect

In 2024, the group recorded 27,625 lost workdays due to workplace accidents, resulting in an estimated cost exceeding €4 million.

Absenteeism, encompassing short- and medium-term absences due to illnesses lasting less than one year, stands at 9.13% in 2024, including short-term absences (less than one month) at 5.16% and medium- to long-term absences (between one month and one year) at 3.97%. This represents a financial impact of several dozens of millions.

Anticipated Effect (Short, Mid, and Long-Term)

We have achieved a reduction in accident rate since 2019 and will be pursuing our efforts to limit work accidents.

Looking ahead to 2025, we anticipate a potential increase in absenteeism rates due to upcoming legislative changes, particularly the entitlement to recuperate holiday days in cases of illness. As the new law related to illness during legal holidays was not formally incorporated into the bpost Work Regulation until July, and as the communication was unclear, we expect an increase in the use of this new employee benefit in 2025.

We are fully committed to strengthening our absenteeism action plan. An ambitious improvement plan, developed in 2023 and reviewed in 2024, in close collaboration with operational units at bpost NV/SA, has already shown some positive results. It focuses on enhancing well-being, team dynamics, and HR support, leveraging data-driven insights, raising awareness on health, clarifying management roles, and improving workplace conditions. Additionally, reactive measures include standardizing sickness notification, tightening medical certificate checks, optimizing disciplinary processes, and investing in IT tools for better monitoring.

In 2025, we intend to further reinforce our absenteeism management practices to ensure a sustainable reduction in absenteeism rates and a stronger, healthier workforce.

Privacy (S1, S4)

Current Effect

In 2024, there were no security or privacy breaches, so no additional costs were incurred for damage mitigation.

However, several initiatives have been implemented to enhance IT and Data security:

Information Security Roadmap: A framework to continuously improve security, reviewed annually to address emerging threats.
Data Security Governance Program: Covers areas like data discovery, governance, protection measures, and information rights management.
Data Classification Policy: Revised to guide stakeholders in applying security based on the Confidentiality-Integrity-Availability (CIA) model.
Data Leakage Detection Program: Protects against phishing, Dark Web threats, account takeovers, and data breaches.
Information Security Questionnaire: Ensures supply chain security in line with the EU NIS-2 Directive, based on the ISO27001 standard.
ICT Incident Management: Enhanced processes for handling data breaches, supported by employee awareness initiatives.

IT related expense/investment related to those initiatives in 2024 amounted to several million Euros. Continued investment of the same magnitude is planned in 2025.

More details regarding our Data Privacy and Security practices can be found in Section S4 Consumers and end-users.

Anticipated Effect

bpostgroup will continue enhancing privacy and security measures in 2026 and beyond with continued investment levels of several millions per year, included into our financial plan.

Strategy

Impact of the Double Materiality Assessment on bpostgroup's Strategy and Business Model

The completion of the Double Materiality Assessment has been instrumental in defining our Strategic Pillars and key initiatives. Overall, we have observed that the financially material risks and opportunities—including Carbon Footprint, Waste & Circular Economy, Health, Safety, and Wellbeing of our workforce (including social dialogue), and Data Privacy and Security—are already well integrated into our strategy.

The same applies to Business Conduct & Ethics, as well as Diversity, Equity & Inclusion. However, we acknowledge that we are still in the early stages of integrating Due Diligence in the Value Chain into our practices.

Additionally, our Group Sustainability team has developed a tool to facilitate the review of new strategic transformation projects and initiatives through the lens of the identified material IROs.

Carbon Footprint

Climate change mitigation and the reduction of our carbon footprint are central to our strategy.

In addition to our climate transition plan (refer to disclosure E1-1 – Transition Plan for Climate Change Mitigation), carbon footprint reduction is a key component of our BeNe Last Mile strategy. Our goal is to be and remain one of the best-performing mail and parcel delivery operators in terms of GHG emissions, and this objective is integrated into our customer value proposition.

This commitment is realized through:

the expansion of Ecozones network,
expansion of our network of "Lockers and Pick Up/Drop Off points (PUDO's),
"Greenification" of our fleet
"Greenification and decarbonization of our buildings (e.g. each new building construction or renovation is done according to very high environmental standards (for example, our new mail center in Evere)
capabilities such as our "parcel delivery" Carbon Calculator for our customers.

Apple Express, our last mile service in Canada, and Dynagroup in the Netherlands are also committed to driving electrification within their subcontracted last mile delivery fleets. This initiative aims to reduce emissions while ensuring long-term business sustainability. This effort is also an integral part of our 3PL strategy, which focuses on developing our B2B specialized logistics offer and introducing low-emission solutions. Additionally, we are taking steps to reduce emissions from subcontracted road transport, including last mile delivery.

Regarding the reduction of Scope 3 GHG emissions for our Global Cross-Border business, our initial focus will be on electrifying short-haul road transport (200 km) in North America once electric vehicles such as Tesla trucks and other solutions become available. We will continue to collaborate with our customers and suppliers to reduce the air freight footprint as technologies like Sustainable Aviation Fuel (SAF) become more widely accessible. Moreover, we will engage with our customers to explore low-carbon footprint alternatives to air freight.

Air Pollution

The reduction of air pollution is embedded within bpostgroup's strategy, alongside our efforts to reduce GHG emissions, as both issues are closely intertwined. We are addressing these concerns through the electrification of our fleet, the optimization of the number of kilometers driven, and the use of soft mobility where relevant. These initiatives are also part of our city logistics solutions (Ecozones).

Waste and Circular Economy

Circular economy is already a core consideration within our business, with a strong focus on minimizing waste and fostering circular value chains. Currently, we recycle 98.6% of our paper/cardboard waste and 98.1% of our plastic waste.

Active Ants sets a benchmark for best-in-class performance within our 3PL business line, where packaging is tailored to the size of goods for transport, and a circular value chain is maintained. Cardboard waste collected from deliveries is shipped to our supplier, where it is recycled and put back into production.

Furthermore, bpostgroup aims to be a facilitator of a more circular economy by developing a B2B specialized logistics offer. This includes addressing the rollout of more convenient C2C logistics solutions, as well as expanding the Vinted packaging-free "locker-to-locker" delivery system.

Health & Safety, Social Dialogue & Collective Bargaining

Health, safety, and wellbeing of our employees are central to bpostgroup's strategy and operational policies and practices.

bpostgroup is dedicated to creating a safer working environment by equipping its workforce with safer vehicles and strengthening protective measures, which not only enhance workplace safety but also improve employee satisfaction.

The company's commitment to fair compensation, labor rights, and employee engagement at all levels strengthens its reputation as a responsible employer and contributes to productivity gains. By respecting freedom of association and engaging in constructive social dialogue and collective bargaining, bpostgroup fosters trust and mutual respect between management and employees, further solidifying workforce relationships. This is especially important during periods of business transformation.

Additionally, bpostgroup promotes employability and retention by offering skills-focused training, job rotation, and subsidies for low-skilled workers to develop technical skills, ensuring the workforce is well-prepared for sustainable transitions.

Details about these policies and their outcomes are covered in topical standard S1 - Own Workforce. For Health & Safety, see disclosure S1-14 – Health and safety metrics.

Equal Treatment & Opportunities

Diversity, Equity, and Inclusion are fundamental to bpostgroup's operating model.

bpostgroup is a highly diverse company, with a workforce that reflects a broad range of backgrounds, perspectives, and experiences. The company is committed to fostering a collaborative workplace culture where diversity is valued and celebrated. This inclusive environment enables the group to engage effectively with its customers and stakeholders, and to respond to challenges in innovative and efficient ways.

bpostgroup actively promotes initiatives focused on gender equality, equal pay, and maintaining a gender-neutral image within the sector. These efforts not only position bpostgroup as an inclusive employer but also expand its talent pool, ensuring that diverse perspectives contribute to the company's success. The positive impact of these initiatives is visible across all regions where bpostgroup operates, with specific programs tailored to meet regional needs and adhere to local regulatory requirements.

Details regarding these initiatives can be found in disclosures S1-1 – Policies related to the workforce, S1-9 – Diversity metrics, and S1-16 – Remuneration metrics.

Due Diligence - Workers in the Value Chain

Due diligence in the value chain is becoming increasingly important within bpostgroup, especially as we prepare for the EU Corporate Sustainability Due Diligence Directive, which focuses on safeguarding human rights and protecting the environment.

At bpostgroup, we have implemented comprehensive policies to address the material impacts, risks, and opportunities concerning our value chain workers. These policies are designed to ensure the well-being, fair treatment, and respect for human rights of all workers within our value chain. Our key policies include:

1. Human Rights Policy
1. Speak Up Policy
1. Supplier Code of Conduct
1. Diversity Policy

Following the rollout of our Human Rights Policy in 2024, our Corporate ESG Procurement team led the review of our Supplier Code of Conduct, which will be deployed in Q2 2025. This is a further step towards strengthening due diligence in our value chain.

Additionally, it's important to highlight the rigorous onboarding checks and ongoing monitoring of bpost NV/SA transport subcontractors to ensure the fair treatment of their workers.

More details regarding our due diligence in the value chain practices can be found in ESRS 2, disclosure GOV-4 - Statement on Due Diligence.

Business Conduct and Ethics

At bpostgroup, responsible business conduct and ethics are fully integrated into our strategy and operating model. Our corporate culture is grounded in our Code of Conduct, which outlines the ethical standards and behaviors expected of all employees. We prioritize ethical behavior and foster a culture of integrity, inclusivity, and accountability. Ethics guide all our operations through robust governance, comprehensive policies, awareness communication campaigns, and extensive training.

We emphasize transparency, open dialogue, and ethical conduct. Our practices are regularly assessed and aligned with international standards to adapt to evolving expectations. Ethical values are actively developed, promoted, and evaluated across all organizational levels, supported by the FACE Program (Foster a Culture of Ethics and Compliance). This initiative enhances our risk management and compliance practices by defining clear governance models, establishing a group-wide strategy, and embedding a robust risk management function.

More details on our Business Conduct and Ethics practices can be found in disclosure G1-1 – Business conduct policies and corporate culture.

Consumers and End-Users

At bpostgroup, our clients are at the heart of everything we do, ensuring that their needs and rights are prioritized. We handle significant amounts of client information through our e-commerce platform and other services, which is why we focus on safeguarding this data with comprehensive policies and proactive measures that meet international standards. Our Information Security Roadmap continuously improves security and addresses emerging threats, while our Data Security Governance Program ensures data discovery, governance, protection, and information rights management.

By integrating these measures, bpostgroup demonstrates its commitment to protecting sensitive information and maintaining stakeholder trust.

Equally important is our commitment to ensuring that all consumers, including those who are disadvantaged, isolated, or elderly, have access to essential services. We strive to bridge social, economic, and digital gaps to provide equitable access to products and services that positively impact lives. Our extensive network of service points exemplifies this effort. For example, the 7th management contract requires at least 1,300 points of postal service, including a minimum of 650 post offices, with at least one post office in each Belgian municipality (cf. GOV-4 disclosure).

Regarding the Universal Service Obligation (USO), the non-discrimination rules are directly set in postal law. These rules ensure that services are offered to users in comparable conditions, available without discrimination (e.g., for political, religious, or ideological reasons), and distributed to all households across the territory. Service tariffs are transparent and non-discriminatory.

We are committed to ensuring that no one is denied their rights based on personal characteristics such as race, color, sex, language, religion, or any other factor. Our Diversity Policy is central to our workplace culture, and various initiatives promote an inclusive environment that optimizes interactions with customers and stakeholders, allowing us to respond effectively to challenges.

Through these efforts, we demonstrate our deep care for our clients, ensuring that their needs are met with the highest standards of service and integrity. More details on privacy protection, equitable access to services, and non-discrimination of our consumers and end-users can be found in S4 - Consumers and End-Users.

Impact of Strategy and Business Model on Material Impacts

Several material impacts directly result from bpostgroup's business as a provider of logistics and transportation services:

GHG emissions and Air Pollution are a direct consequence of transport activities, whether carried out directly by bpostgroup or through third parties. To mitigate this impact, we have developed a strategy focused on the electrification of our fleet (refer to our climate transition plan).
Similarly, the materiality of Health and Safety is linked to the nature of our work. This includes the requirement for night shifts in mail and parcel sorting activities (both for bpostgroup and other similar postal or logistics operators), as well as outdoor work throughout the year for workers involved in mail and parcel distribution.
The Circular Economy topic is also material due to the activity of e-commerce fulfillment, which inherently generates packaging material use and waste.
Finally, Business Conduct is a key material topic due to bpostgroup's size and its status as a public postal operator in Belgium. With the Belgian state being our majority shareholder, we are subject to a Universal Service Obligation and receive public subsidies for the postal and other services we provide to Belgian Authorities.

Resilience of Strategy and Business Model (SBM) to Address Material IROs

Overall, bpostgroup considers its strategy and business model to be resilient in addressing sustainability matters.

Resilience to Climate Change is detailed in disclosure E1 SBM-3.

As mentioned above, sustainability is a core component of bpostgroup's redefined strategic vision and framework. Many of our strategic initiatives are designed with sustainability in mind, particularly in the area of environmental sustainability. For example, the development and commercial exploitation of low-emission last mile delivery in Belgium is a key initiative aimed at reducing our environmental footprint. Additionally, the material IROs identified through the Double Materiality Assessment are integrated into the decision-making processes of bpostgroup's Executive Committee (EXCO) and Board of Directors. These material topics directly influence the development of bpostgroup's strategies and operating models.

Each financially material topic is addressed through our strategy, procedures, and operating model, such as our focus on the health, safety, and wellbeing of our employees, as well as the enhanced emphasis on business conduct and ethics.

6.1.4 Impact, Risk and Opportunity Management

6.1.4.1 IRO-1 - Description of the Process to Identify and Assess Material Impacts, Risks and Opportunities

The DMA memorandum offers a comprehensive understanding of the applied process. Here, bpostgroup aims to provide a detailed summary.

While the report's scope covers bpostgroup prior to the acquisition of Staci (see Section BP-1 - General basis for preparation of sustainability statements). The Double Materiality Assessment described in the report includes Staci. bpostgroup performed its DMA in three stages, first in 2023 and then at a sub-subtopic level in autumn 2024. In November/December 2024, the integration of Staci into bpostgroup's DMA was conducted. The method and outcome are described at the bottom of this disclosure.

Methodology Summary

The approach taken is consistent with EFRAG Guidance and has been externally audited. Overall, the process proceeded in three steps:

Step A – Understanding the Context:

As a first step, the context in which bpostgroup operates was thoroughly examined. This involved studying:

Sector-specific benchmarks: MSCI, SASB, S&P
Peers: La Poste, PostNL, DHL, etc.
Internal bpostgroup annual reports

Next, to provide a clear understanding of its business and activities, one value chain per type of business was defined, considering geographical specificities. Together, these five value chains represent the entirety of bpostgroup's revenues (pre-Staci acquisition).

Through this exercise, stakeholders affected by bpostgroup's activities were also identified.

Step B – Identifying Impacts, Risks and Opportunities (IRO's):

The identification of potential material topics and IROs was conducted through an extensive analytical and consultative process in 2023, involving both relevant internal and external stakeholders.

It is important to note that none of the actions taken to address certain impacts or risks, or to benefit from certain opportunities related to sustainability matters, have been found to cause material negative impacts or pose material risks to other sustainability matters.

Step C – Assessing and Determining Material IRO's:

A scoring exercise at the sub-subtopic level was conducted collaboratively by the bpostgroup ESG team, various bpostgroup experts (including those from procurement and the ERM team), and an external expert. This exercise built upon initial work and incorporated the latest business knowledge and judgment.

The impact and materiality thresholds, detailed further below, were set in accordance with the bpostgroup board's strategic vision. This approach allowed for the determination of the list of material topics down to the sub-subtopic level.

Assumptions

Overall, the analysis and assessments were conducted reflecting input from stakeholders, factual analysis, as well as the judgment and experience of bpostgroup's employees and advisors.

Specific assumptions were made in the following cases:

1. Climate Adaptation: The assessment this year was based on past events and a climate risk assessment conducted for bpost SA in 2022. For future reports, materiality will be reviewed based on the ongoing climate risk assessment project.
1. Workers in the Value Chain: Currently, there is limited visibility on this topic. However, significant improvements are expected in the coming years due to the due diligence process. Consequently, for this report, materiality for workers in the value chain has been assessed mainly based on the knowledge of its impact on bpostgroup's own workforce

Comprehensive Overview of the Process for Identifying, Assessing, Prioritizing, and Monitoring Potential and Actual Impacts on People and the Environment, Informed by Due Diligence

Value Chain

The impact on the entire value chain was considered. For each sub-subtopic, impacted stakeholders in the value chain were documented in the DMA exercise. Both internal and external stakeholders, along with ESG consultancy experts, were involved to ensure the full value chain was considered. For further details, please refer to Section on Consultation with Affected Stakeholders below.

Hot Spot

Based on an understanding of the context, the value chain, and the pre-selected list of IROs, along with stakeholder consultations, areas of heightened risks were identified and prioritized. These included bpost NV/SA due to its fleet importance, high number of employees, and unique situation as a postal universal service provider in Belgium, alongside the public-private governance model. Additionally, outsourced transport for e-commerce fulfillment and cross-border businesses in Europe and North America was analyzed due to the large scale of these operations.

Consultation with Affected Stakeholders

To identify Impact, Risk, and Opportunities (IRO), a sequence of different techniques was mobilized between June 2023 and September 2023 to gain valuable insights from internal and external stakeholders on the list of ESG topics (IRO) and incrementally increase the accuracy of the topics selected.

There were four key moments of engagement, in collaboration with an external expert consultancy:

1. Internal interviews with 11 members of the top management
1. Internal stakeholders panels, 3 hybrid workshops
1. External stakeholder panel, 1 face to face in Brussels office
1. Online survey for internal and external stakeholders.

During these engagements, affected stakeholders and external experts representing them were involved, including:

Key suppliers, such as waste management companies
Own workforce, represented by internal experts and external expert Unia
Vice President of Fulfillment at Radial, due to specific Health & Safety topics for fulfillment and to ensure good coverage of potential specific IROs for operations in the USA
Key clients
Citizens and public authorities, represented by the Belgian authority BIPT
Nature, represented by Natuurpunt

Dependencies

For every sub-subtopic, dependencies on access to natural and human resources were considered and documented. This work was performed through consultation with internal and external experts, as detailed in the Consultation with Affected Stakeholders section above.

Being in the transport sector, some of the key dependencies are:

Workers
Availability and cost of energy to power vehicles
Total cost of ownership for net zero vehicle (NZV)
Legal framework, e.g. access to city for fuel vehicles

Assessment And Prioritization

DMA and ERM Integration

The DMA is based on and complements the ERM, using the same criteria and scoring methods. While the ERM focuses on risks over the next 12 months, the DMA assesses financial magnitude and probability of occurrence within a 1 to 10-year horizon. The conclusions of the DMA are integrated within the ERM, and vice versa, taking into account the different time horizons.

Financial Risk Alignment: The financial risk is aligned with the ERM approach and scale (see "Scoring Legend" below): - 5-point Magnitude Scale, from Minor (1) (< €5 million) to Critical (5) (> €100 million)
- 5-point scale for probability
ESG Risks: For detailed ERM assessments (e.g., Climate Change, Health, Safety & Well-being, Diversity & Inclusion, Waste), the DMA builds on these assessments, factoring in the longer-term horizon (1-10 years) versus the ERM (1 year), and breaks it down to the sub-subtopic level using professional judgment.
For topics like Climate and Waste, the financial magnitude over a 1-10 year horizon is much higher than the 1-year financial impact from the ERM, resulting in higher DMA scores for these topics.
Topics Without Detailed ERM Assessment: For topics not covered by a thorough ERM assessment, professional judgment, informed by stakeholder interviews, was used to assess financial risk and its probability.
Rating Scale: All ratings are scored according to the revised rating scale, with explanations for each rating to ensure clarity and transparency.
- For example, for climate mitigation scope 1, the incremental cost of a green fleet versus the current fleet was considered based on a preliminary business case. The magnitude is "almost certain" due to the commitment to SBTi, which is a prerequisite for doing business with several key customers today and is expected to become even more critical in the next five years.

Technical Approach for Impact, Risk, and Opportunity Assessment

The following process was used to assess and prioritize sub-subtopics:

Criteria & Formula:
- Impact Materiality = Severity * % Likelihood
- Severity is the average of scale, scope, and remediability.
- Financial Materiality = Magnitude * % Likelihood
Scoring Legend:
Severity and magnitude are scored on a scale from 0 to 5, with 0 being "not applicable."
Likelihood is scored on a scale from 0 to 6, with 6 being "actual." Each score is associated with a percentage probability, with 0 being 0% and 6 (or "actual") being 100%.

Threshold

For Impact Materiality, the board wanted to ensure bpostgroup would address all "medium" severity impacts which were either actual or with almost certain occurrence. With the formula used, this corresponds to a score of >2,5. To reflect bpostgroup eagerness to tackle relevant sustainability challenges, the threshold was set slightly below at >2,5 which also corresponds to the mid-point of the 0 to 5 range from the scoring.

For Financial Materiality, the board and risk committee wanted to ensure that all of the following Risk & Opportunity situations would be considered:

Moderate financial magnitude with an almost certain likelihood (>76%, score of 1.72)
Significant financial magnitude with a high likelihood (>51%, score of 1.89 or more)
Major or Critical financial magnitude with an average likelihood (>26%, score of 1.52)

As a result, the threshold was set at ≥1.5.

Financial Materiality Threshold: 1,5

	0-5%	3%	0 1 Mi no	0,1 2 Mo	0,1 3 Sig	0,1 4 Ma	0,1 5 Cri
	Unlikely
	Possible 6-25%	18%	0,2	0,4	0,5	0,7	0,9
Likelihood	Likely 26-50%	38%	0,4	0,8	1,1	1,5	1,9
	Highly likely 51-75%	63%	0,6	1,3	1,9	2,5	3,1
	Almost certain 76-100%	88%	0,9	1,8	2,6	3,5	4,4
	Actual	100%	1	2	3	4	5

Magnitude

DMA: An Integrated Part of Risk and Overall Management Process

Overview

The double materiality assessment (DMA) has been performed in collaboration with the Enterprise Risk Management (ERM) team. Both processes have informed each other. While the time horizons used as references may differ between the two approaches, the outcomes of the strategic risk assessment are linked and reconciled with the outcomes of the ESG double materiality assessment. This ensures that risks related to ESG factors are identified and managed to minimize their impact on the environment and society, and to promote sustainable performance in these areas.

Twice a year, there is a dialogue and alignment between the ESG team in charge of DMA and the ERM team. The highest risks and opportunities identified in the DMA are integrated into the ERM and, when relevant—based on the risk appetite statement—escalated to the Audit, Risk, and Compliance Committee, as well as the Executive Committee member responsible for the matter under review.

Impact, risk, and opportunities are discussed at various levels of the organization, from the ESG team and operational team up to the board. The ESG Steerco (Exco) meets monthly and selects key topics for the ESG Committee of the Board, which meets three times per year.

As a result, both financial and sustainability statements are aligned when disclosing risks and opportunities.

Two of the top opportunities discussed at the strategic level are:

SBTi commitment reached: A competitive advantage towards customers.
Net zero vehicle fleet: An opportunity to lower the total cost of ownership in the long run and ensure access for bpostgroup's fleet to city centers with strong pollution restrictions.

Decision-Making Process

The double materiality assessment (DMA) was prepared by the DMA core team, composed of an external expert, an ESG senior manager, two ESG analytics experts, and one product owner responsible for driving ESG initiatives across bpostgroup. The preparation work was performed in collaboration with the ERM team. Their conclusions were reviewed by the ESG Committee of the Board and then approved by the Board.

The Director of the Business Control group is responsible for reviewing top risks.

Future Revision of the DMA

In 2024, bpostgroup significantly enhanced its DMA based on the latest EFRAG guidance and growing expertise. Three main changes include a review of its granular analysis at the sub-subtopic level, a methodology aligned with the latest EFRAG guidelines, and the addition of Air Pollution as a material topic. As a result of the acquisition of Staci in 2024, bpostgroup has included Staci in its DMA. As a reminder, the scope of this 2024 report—including ESRS 2—is bpostgroup prior to Staci's acquisition. In 2025, the start of the due diligence process will also complement this update.

By following the above approach, bpostgroup feels confident about the conclusion of its first extended Double Materiality Assessment aligned with EFRAG's latest guidance. This helps ensure that material impacts, risks, and opportunities are reported and addressed.

Integration of Staci into bpostgroup DMA

In order to understand the impact of the integration of Staci on bpostgroup's DMA, between October to December 2024, bpostgroup ESG team and the Staci ESG team worked closely together to compare their businesses.

Comparison of business activities and value chain

The combined Staci and bpost group ESG team identified very strong similarities between Staci's and bpostgroup 3rd party logistics and fulfilment entities. This combined ESG team did a deep dive on value chains, leveraging work done by Staci team pre acquisition and concluded that Staci value chain was very similar to bpostgroup e-commerce fulfillment value chain.

Both bpostgroup and Staci ensure goods move from one location to another. Whether it's through owned fleets (bpost SA) or subcontracted carriers (Staci and Radial, FDM or Active Ants within bpostgroup), the end goal is timely, cost-effective delivery.

Main differences include:

Part of transport by sea for Staci, not for bpostgroup
Kitting and Refurbishment is even more important in Staci's own operations
Return logistics is more important for Staci vs bpostgroup.

These differences were taken into account when assessing IRO's on the combined bpost-Staci Operations. The initial bpost group scoring of each topic was reviewed by the joint bpostgroup -Staci ESG team and adjusted whenever relevant to reflect specifics of the Staci fulfilment operation, as well as its Value Chain (VC) and its Strategy and Business Model (SBM). This did not result into any change in material topics identified.

For example, this lead to an increase in the Impact & Financial materiality on sub sub topics within E5 due to the importance of waste & resource inflow within Staci. However, this topic was already material for bpostgroup and remains material but to a greater degree for the combined bpostgroup and Staci operations. Likewise , some of the specifics of the Staci value chain indicate Health and Safety for own workers as an important topic. This topic was already Material for bpostgroup both for impact and financially and remains as such in the combined operation.

Methodology for DMA

As part of this exercise, all work done by Staci pre-acquisition, including a broad Stakeholder engagement process, was leveraged.

Due to the acquisition by bpostgroup , this DMA Staci specific work was not finalized. Identification of IROs was performed but not the scoring / assessment. Nevertheless all learning were integrated in the exercise done to update bpostgroup DMA in light of the acquisition of Staci.

Key steps performed by Staci – identification of Staci's IRO

Drawing-up an initial long-list of sustainability matters with internal stakeholders based on ESRS-topics
Analyzed the business model and value chain to:
- Identify additional sustainability matters to add to the long list (completeness check of longlist)
- Identify relevant stakeholders to include in the CSRD required stakeholder interaction
Executed a stakeholder interaction to identify additional sustainability matters for the long list from the perspective of stakeholders (completeness check)

Key stakeholder's engagement to identify Staci's IRO

Internal stakeholders: 3 Stakeholder Workshops and 2 surveys
External stakeholders: online and in person interviews with customers and suppliers

All the listed IROs by Staci were already part of material sub-sub topic for bpostgroup.

Staci's ESG team has reviewed the Double Materiality Assessment of bpostgroup (pre-Staci acquisition) at sub-sub topic level . Staci's ESG team has discussed it with bpostgroup ESG team to both ensure that Staci has not missed IROs specific to their value chain and business activities and to check if some of the material sub-sub topic for bpostgroup do not apply for Staci.

Conclusion

Based on similarity among the value chains, their experience, their knowledge built throughout stakeholder's engagement, both ESG teams conclude that bpostgroup's DMA can be applied to Staci and that the integration of Staci within bpostgroup is not adding any material subsub topic to the bpostgroup's DMA.

All sub-sub topics being material for bpostgroup (pre-Staci acquisition) are material for Staci, – except below sub-sub topics due to differences in the business model and operation:

Access to Services and Non-Discrimination for end-consumers (S4) as these solely apply to bpost SA for its postal service.
Political engagement and lobbying activities (G1), not performed by Staci.

6.1.4.2 IRO-2 - Disclosure Requirements in ESRS covered by the Undertaking's

Sustainability Statement

As a result of the Double Materiality Assessment the list of disclosures covered and related page number can be found in the table of content on the very top of this report.

For the table of all the data points that derive from other EU legislation, see Appendix 9.6 - EU legislation and data points.

The approach followed to determine the material information to be disclosed, including the use of criteria an threshold, is described above in part IRO-1 - Description of the process to identify and assess material impacts, risks and opportunities.

6.2 Environmental Information

6.2.1 ESRS E1 – Climate Change

6.2.1.1 Disclosure Requirement related to ESRS 2 GOV-3 Integration of Sustainability Related Performance in Incentive Schemes

Governance

Integration of Climate-Related Considerations in Remuneration Policies

In accordance with ESRS 2 GOV-3, our organization has integrated climate-related considerations into the remuneration of members of the administrative, management, and supervisory bodies. Specifically, the performance of these members is assessed against the GHG emission reduction targets as outlined in Disclosure Requirement E1-4. 30% of the remuneration recognized in the current period is linked to these climate-related considerations, ensuring alignment with our sustainability objectives. For more detailed information, please refer to Section GOV-3 Integration of Sustainability-Related Performance in Incentive Schemes.

Strategy

At bpostgroup, we are committed to being a reference in sustainability in all countries we operate in. This shared ambition encourages us to accelerate our efforts to decarbonize the e-commerce and third party logistics supply chain and reuse and recycle packaging as part of a circular economy. Continuous improvement of environmental performance in our global operations is the backbone of our shared value creation at bpostgroup.

As one of the greenest logistics players in the markets we operate in, we consistently deliver on our decarbonization trajectory, while optimizing our investments to maximize CO² reduction impact. As a leading innovator in circular business models, we enable the development of a scaled circular economy through the provision of a leading reverse logistics network combined with re-use, repair and recycling solutions, offering sustainable solutions for our own waste and packaging. For more details, please refer to Section E5 Resource Use and Circular Economy.

As a global logistics service provider, bpostgroup is the best partner for our clients to reduce emissions across the e-commerce and third party logistics value chain. Every day we ship more than a million parcels around the world, using one of the largest van and truck fleets in Belgium, and generating a significant carbon footprint when combined with our outsourced activities with our transportation partners across bpostgroup. This is why we are determined to fight climate change and be a force for good in the countries we operate in.

We commit to three specific objectives:

1. Decarbonize the e-commerce and third party logistics supply chain
1. Take action on any identified adverse impact on air quality, please refer to Section E2 Pollution
1. Offer sustainable solutions for the e-commerce value chain through recyclable and reusable packaging, please refer to Section E5 Resource Use and Circularity

Our Path to Net Zero

bpostgroup's Net Zero Roadmap

6.2.1.2 E1-1 – Transition Plan for Climate Change Mitigation

bpostgroup's Commitment to Sustainability and Decarbonization in Belgium

At bpostgroup, we are committed to being a reference in sustainability in all countries we operate in. This shared ambition encourages us to accelerate our efforts to decarbonize the e-commerce and third-party logistics supply chain. To underline our commitment to decarbonization, we have set near term targets for our own operations and in our supply chain: Reduce Scope 1 and 2 emissions by 55% (in line with the 1.5-degree scenario) and reduce Scope 3 emissions¹ by 14% by 2030. Those targets were approved by SBTi in 2022. Furthermore, by joining BACA (Belgian Alliance for Climate Action) bpost pledged to align its business to a 1.5°c or a well below 2-degree trajectory with the purpose to reach net zero emission by 2050.

1 This reduction target applies to the following Scope 3 categories: purchased goods and services, upstream transport and distribution, waste generated by operations, business travel and employee commuting.

bpostgroup's long-term Net Zero target will be submitted to SBTi for validation in 2025 as part of updating our carbon reduction targets and plans, necessitated by the acquisition of Staci. These targets, related to our environmental policy (please refer to Section E1-2 Policies Related to Climate Change Mitigation and Adaptation), are defined in relative terms (percent reduction vs baseline). This transition plan was approved by bpostgroup's ESG Steering Committee in December 2024.

Additionally, bpostgroup is not excluded from EU Paris-aligned benchmarks.

Assessment of Locked-In Emissions and Mitigation Strategies

bpostgroup does not have any significant potential locked-in emissions from key assets that might jeopardize achieving our 2030 GHG emission reduction target (-55% on Scope 1 and 2).

Our largest carbon-emitting assets is our own fleet in Belgium. Our last mile fleet (10,124 delivery vans) represented 31% of our 2019 baseline Scope 1 and 2 emissions and 29% of our 2024 Scope 1 and 2 emissions, while our truck fleet (483 trucks) represented 20% of our 2019 baseline Scope 1 and 2 emissions and 24% of our 2024 Scope 1 and 2 emissions.

bpost NV/SA is in the process of electrifying our last mile fleet to reach net zero last mile fleet by 2030. Out of our last mile van fleet of 10,124 vehicles, only 10 have a leasing period extending beyond 2030. We are also electrifying our fleet of company cars (6% of Scope 1 and 2 in baseline year 2019 and 5% in 2024), aiming for full electrification well ahead of 2030.

These ongoing actions, alongside our growing production and purchase of green electricity (target 100% by 2030), make us confident in achieving our 2030 emission reduction commitment made to SBTi. While we will still have fossil fuel-powered trucks and fossil fuel-heated buildings by 2030, we are in the process of gradually upgrading our heating facilities in Belgium to heat pumps and integrating trucks running on alternative fuels into our fleet based on market conditions. Our goal is to achieve a net zero target by 2050 without forced decommissioning of locked-in assets.

Plan for Aligning Economic Activities with European Taxonomy Criteria

To enhance revenue alignment with the European Taxonomy, bpost NV/SA is expanding the use of soft mobility solutions (e-bikes and e-bike trailers) and electric vans for mail and parcel deliveries, aiming for Zero Emission Last Mile delivery by 2030. In 2024, bpost acquired an additional 607 electric vans and 169 e-bike trailers. Additionally, bpost SA began electrifying its truck fleet, purchasing its first electric truck in 2024 and a second one at the start of 2025.

bpost is also working to increase the percentage of its electric vans that meet the Do Not Significantly Harm (DNSH) criteria. This involves updating procurement specifications to include eligible tires (since mid-2023) and ensuring replacement tires meet eligibility targets (since 2024). As a result, the eligibility of bpost's electric vans increased from 2.5% to 46.7% .

Furthermore, bpost will ensure comprehensive documentation of waste generated from construction and demolition work in transshipment buildings to meet DNSH criteria.

Explanation of How Transition Plan is Embedded in and Aligned with Overall Business Strategy and Financial Planning

bpostgroup's transition plan is fully integrated and aligned with our strategy. As a key pillar of our strategic framework, environmental sustainability is central to our mission. We are dedicated to decarbonizing the e-commerce and parcel-sized B2B logistics value chains in the markets we serve. Our strategy includes expanding Ecozones and achieving emission-free last mile delivery in Belgium by 2030, providing customers with the lowest emission mail and parcel delivery services as they pursue their own carbon reduction goals.

Our transition plan is also embedded in our financial planning. Our five-year long-term financial plans allocate annual investment amounts for delivery fleet electrification, lower-emission trucks, building renovations, and locker network expansion. Additionally, the bpost 2025-2029 Solar Panel Strategic Plan, approved in November 2024, aims to deploy solar panels on all our mail centers in Belgium, which will be equipped with charging infrastructure for our electric vehicles.

Explanation of Progress in Implementing Transition Plan

The implementation of bpostgroup's climate transition plan is ongoing. In 2024, we reduced our Scope 1 and 2 emissions by 17% compared to our 2019 baseline.

Details of our 2024 initiatives related to this plan can be found further in this report (please refer to Section E1-3 - Actions and Resources in Relation to Climate Change Policies).

The table below outlines progress towards specific operational targets linked to the plan.

Progress Towards Operational Targets in the Climate Transition Plan

	2024 SITUATION (PROGRESS VS 2023)
Zero Emission last mile delivery in Belgium - # of charging stations	2,400 (+1,000)
Zero Emission last mile delivery in Belgium - # of Electric Vans	2,197 (+607) - 22% of vans fleet
Green Electricity	58% (100% in Europe)
All New Company car full Electric	100% for new company Cars in Belgium (>85% of total group company cars)
Trucks running on Alternative Fuel or Double Deck Trailers	88 (+24) - 9% of truck and 11% of trailers

6.2.1.3 SBM-3 – Material Impacts, Risks and Opportunities and Their Interaction with Strategy and Business Model

Climate Risk Assessment and Resilience Analysis

In Q4 2024, bpostgroup completed the first phase of its Climate Risk Assessment, covering the entire scope of its operations. This initial phase focused on identifying both physical and transition risks, including the exposure of bpostgroup facilities and operations to climate hazards under various scenarios. The second phase, scheduled for the first half of 2025, will involve a detailed analysis of the magnitude of these risks and the vulnerability of bpostgroup assets.

Type of Climate-Related Risk

Physical Risk refers to the potential negative impacts and damages caused by climate-related events and changes in the physical environment.
Transition Risk refers to the financial, legal, and operational risks associated with the transition to a low-carbon and sustainable economy.

As part of our Climate Risk Assessment conducted in late 2024, we identified the following three potentially significant climate-related risks:

1. Property, Equipment, and Customer Stock Damage: From extreme weather events.
1. Operations and Supply Chain Disruptions: Due to increased frequency and severity of weather events affecting both our operations and transport suppliers.
1. Employee Safety: Risks related to heat and storms.

These risks stem from the following climate hazards that some bpostgroup facilities are exposed to:

Increasing frequency and intensity of heatwaves
River flooding
Heavy precipitation

A limited number of facilities are also potentially exposed to Fire Risk, Tornadoes (US Mid-West) Hurricane (US East Coast) and Blizzard (Canada and North USA).

8 significant Climate Related Transition Risks were identified:

1. Increased regulation and resulting compliance costs and risks (Legal)
1. Reduced access to city centers (Legal)
1. Increased fuel costs and more volatile energy prices (Economic)
1. Increased subcontracted road and air transport costs (Economic)
1. Growing customer expectations for sustainability and low-carbon deliveries (Social)
1. Limited solutions for electrified mid and large-size fleets (e-trucks) (Technology)
1. Availability of low-carbon air transport solutions (SAF, other) (Technology)
1. Availability of cost-competitive low-carbon technologies (heat pumps, electricity storage) (Technology)

1 significant Climate Related Transition Opportunity was identified:

Commercial and reputational opportunities from low-carbon solutions.

Description of Scope of Resilience Analysis

bpostgroup conducted a comprehensive Climate Risk Assessment using climate scenario analysis. This assessment of physical risks encompassed all of bpostgroup's global locations, though it did not include physical risks related to the value chain. For the evaluation of transition risks and opportunities, bpostgroup considered its own operations as well as the upstream and downstream value chain.

Disclosure of How Resilience Analysis Has Been Conducted

bpostgroup initiated a Climate Risk Assessment using climate scenario analysis to understand both physical and transition risks and opportunities. For the physical risk assessment, we examined the exposure of all bpostgroup's global operations to relevant climate hazards using two emission scenarios (RCP2.6 and RCP8.5) and three time periods (2030, 2050, and 2080/2100, depending on the climate hazard).

Representative Concentration Pathways (RCPs) describe different levels of greenhouse gases and other radiative forcings that might occur in the future

RCP2.6: A "low" emission scenario that would lead to a temperature increase of below 2°C.
RCP8.5: A "high" emission scenario that would lead to a temperature increase of above 4°C.

Data from the World Climate Research Programs (WCRP) CORDEX, along with flood mapping and coastal erosion information from the World Resources Institute (WRI) and the Joint Research Centre (JRC), has been applied. By examining the RCP8.5 scenario, bpostgroup modeled climate-related physical risks for a high emissions scenario.

Transition risks were identified by considering reports from other stakeholders in the sector and through workshops and interviews with internal experts. bpostgroup applied the PESTEL framework in identifying climate-related risks and opportunities, considering various macro-economic triggers and drivers.

Currently, bpostgroup has a clear overview of the exposure to physical climate-related risks and potential transition risks. For physical risks, potential adaptation or mitigation solutions still need to be identified. A qualitative evaluation of transition risks and opportunities, leveraging climate scenarios from the International Energy Agency (IEA) or the Network for Greening the Financial System (NGFS), will take place in early 2025. In this step, economic impact drivers modeled in different climate scenarios will be used to quantify transition effects. Both a high emissions scenario and a net-zero scenario, aligned with a 1.5°C target, will be applied.

Date of Resilience Analysis

bpostgroup has started the climate risk assessment using scenario analysis and resilience analysis in 2024. The process will be concluded in the first half of 2025.

Time horizons applied for resilience analysis:
Short-term = current and historical effects
Mid-term = 2030
Long-term = 2050 and 2080 or 2100

bpostgroup's GHG emission reduction targets are set for 2030 (a 55% reduction in Scope 1 and 2 emissions) and aim for Net Zero by 2050 at the latest.

Description of Results of Resilience Analysis

bpostgroup's strategy and business model are resilient in relation to climate change. Although the Climate Risk Assessment is not yet fully finalized, bpostgroup can already conclude that climate change does not pose critical and fundamental threats to its future existence.

For physical risks, exposure to several climate hazards has been identified, particularly in a high emissions scenario. However, bpostgroup expects that most risks can be mitigated through adaptation solutions, either implemented directly by bpostgroup or by third parties (e.g., governments investing in flood defense systems).

On transition risks, bpostgroup considers increased climate-related regulations, reduced access to city centers, and growing customer expectations for low-carbon deliveries as especially relevant topics being addressed in our plans. The current lack of mature and affordable technologies for electrified mid and large truck fleets and other low-carbon technologies (heat pumps, electricity storage) are seen as shortterm challenges for rapid decarbonization. These issues affect the entire logistics industry. Addressing the availability and cost of low-carbon solutions for air or long-distance freight will be the biggest challenge for our Global Cross-border business.

The transition to a net-zero economy could also present opportunities for bpostgroup. With ambitious GHG emission reduction targets, bpostgroup is well-positioned to meet the growing demand for low-carbon logistic solutions.

Description of Ability to Adjust or Adapt Strategy and Business Model to Climate Change

bpostgroup currently doesn't anticipate obstacles in its ability to adapt it strategy or business model in the context of climate change in the short-, medium- or long-term. bpostgroup transition to a net-zero economy, as outlined in the transition plan, will require investments. However, bpostgroup does not expect fundamental difficulties in realizing this ambitious plan.

6.2.1.4 IRO-1 Description of the Processes to Identify and Assess Material Climate-Related Impacts, Risks and Opportunities

Description of Process in Relation to Impacts on Climate Change

In line with the identification of impacts, risks, and opportunities for other ESG topics, climate change-related impacts, risks, and opportunities (IROs) were identified, assessed, and prioritized using the Double Materiality Assessment methodology described above. To evaluate the impacts on climate change, data on bpostgroup's corporate carbon footprint was taken into account.

Description of Process in Relation to Climate-Related Physical Risks in Own Operations and Along Value Chain

As part of the Double Materiality Assessment, bpostgroup did not perform climate scenario analysis. However, a climate risk assessment using climate scenario analysis is currently ongoing to evaluate bpostgroup's climate resilience and the financial impacts of climate-related risks and opportunities. Moving forward, bpostgroup will update its Double Materiality Assessment to reflect the outcomes of the climate scenario analysis.

In the climate scenario analysis, bpostgroup is assessing physical risks through a location-specific, in-depth analysis to identify exposure to climate hazards. Two emission scenarios (RCP2.6 and RCP8.5) and three time periods (2030, 2050, and 2080/2100) are being evaluated using data from the World Climate Research Programs (WCRP) CORDEX, along with flood mapping and coastal erosion information from the World Resources Institute (WRI) and the Joint Research Centre (JRC).

By examining the RCP8.5 scenario, bpostgroup modeled climate-related physical risks for a high emissions scenario, investigating exposure across all global assets. Additionally, evidence from recent stakeholder dialogues has been captured to evaluate if the modeled exposure to physical climate hazards aligns with observations.

So far in the Climate Risk Assessment process, asset exposure (at the individual facility level) has been identified. The actual vulnerability of exposed assets will be determined in phase 2 of the CRA project during the first half of 2025.

Identification of Climate-Related Hazards Over Time Horizons

Climate-related hazards have been identified over short-, medium-, and long-term time horizons. Specifically, bpostgroup has assessed eight climate change-related hazards for two emissions scenarios (RCP2.6, RCP8.5) and three time periods (2030, 2050, and 2080/2100).

Screening of Assets and Business Activities for Climate-Related Hazards

bpostgroup has screened whether assets and business activities may be exposed to climate-related hazards. Specifically, bpostgroup assessed the exposure of all locations globally to different climate-related hazards. The analysis of the vulnerability of assets and business activities is still ongoing.

Definition of Time Horizons

Short-, medium-, and long-term time horizons have been defined. The time horizons considered in bpostgroup's Climate Risk Assessment (2030, 2050, and 2080/2100) go beyond the typical long-term horizon. bpostgroup screened for exposure beyond the expected lifetime of its assets and beyond the strategic planning horizon or plans for capital allocation.

Assessment of Exposure and Sensitivity to Climate-Related Hazards

Exposure to all of bpostgroup's global assets was investigated by performing a geospatial analysis using climate hazard datasets. Exposure of locations in the supply chain was not modeled explicitly, as bpostgroup's sourcing strategy is robust and flexible to accommodate temporary changes when necessary. The likelihood of exposure to climate hazards is implicitly taken into account by considering different climate scenarios. The magnitude of exposure is obtained directly as an output of the analysis, and duration is considered for several chronic climate hazards by considering relevant variables (e.g., SPI-6, which allows for the consideration of drought duration).

Use of High Emissions Climate Scenarios

By considering the IPCC SSP5-8.5 scenario, bpostgroup modeled the potential impact of high emissions scenarios (> 4°C).

Use of Climate-Related Scenario Analysis to Inform Risk Assessment

When assessing exposure to climate-related physical hazards, data on current climate patterns was examined to understand short-term risks. Medium- and long-term risks were evaluated using data for 2030, 2050, and 2080/2100, which goes beyond bpostgroup's typical horizon for risk assessment. Information on exposure to climate change hazards will be complemented by assessing the vulnerability of assets and activities to climate change-related hazards.

Process for Evaluating Climate-Related Transition Risks and Opportunities

bpostgroup is currently finalizing the evaluation of transition risks using climate scenarios, including a low emissions (net-zero 2050) scenario. The outcome of the Double Materiality Assessment and the preliminary results of the Climate Risk Assessment do not yet consider transition scenarios.

Identification of Transition Events Over Time Horizons

Potential transition risks over short-, medium-, and long-term time horizons were considered in the same way as for other topics. bpostgroup screened the exposure of assets and business activities to transition risks, considering risks reported in the sector and relying on the expertise of external experts and internal stakeholders. The qualitative evaluation of the magnitude of these risks, considering climate scenario analysis (including a net-zero scenario), has not yet been finalized.

Assessment of Exposure and Sensitivity to Transition Events

Similar to other risks and opportunities, the analysis of exposure to climate-related transition risks and opportunities considered the potential size of the financial impact and the likelihood. The duration of transition events was only considered implicitly, as it is expected to affect the size of the financial impact.

Use of Climate-Related Scenario Analysis for Transition Risks

bpostgroup plans to use climate scenario analysis to evaluate transition risks, but this activity has not yet been finalized.

Identification of Incompatible Assets and Business Activities

bpostgroup has not identified assets and business activities that are incompatible with or need significant efforts to be compatible with a transition to a climate-neutral economy. However, the part of our Global Cross-border business that relies on long-distance freight and/or air freight will depend on low-carbon air transport solutions to reduce its Scope 3 impact.

Use of Climate-Related Scenario Analysis for Transition Risks and Opportunities

Potential transition risks over short-, medium-, and long-term time horizons were identified by considering sector reports and conducting workshops and interviews with external experts and internal stakeholders. A robust evaluation of the significance of these transition risks is still to be finalized. bpostgroup will evaluate how economic impact drivers, modeled in state-of-the-art climate scenarios, evolve and impact the identified transition risks.

Compatibility of Climate Scenarios with Financial Statements

The climate scenarios used are compatible with the critical climate-related assumptions made in the financial statements. Based on identified short-term climate-related physical and transition risks, no climate-related provisions or accelerated asset depreciation have been made.

6.2.1.5 E1-2 – Policies Related to Climate Change Mitigation and Adaptation

Environment Policy

Scope of Policy

At bpostgroup, we commit to three specific objectives in our Environment Policy (available online), covering all bpostgroup's material subsubtopics related to Environment, namely:

1. ESRS E1 Climate Change: Decarbonize the e-commerce and third-party logistics supply chain
Scope 1, 2 and 3 Green House Gas emissions
- Energy
1. ESRS E2 Pollution: Take action on any identified adverse impact on air quality
Pollution of air (NO^x )
1. ESRS E5 Resource use and circular economy: Offer sustainable solutions for the e-commerce value chain through recyclable and reusable packaging

Scope and Exclusions

The scope includes all employees within bpost NV/SA and its subsidiaries (referred to as "bpostgroup"), regardless of their duties or position, as well as persons closely connected with bpostgroup's activities and operations who are not employees but to whom this Policy is communicated. This includes directors, individuals in executive, consultancy, managerial, or supervisory roles, temporary workers, trainees, and contractors. Exclusions apply to individuals or entities not explicitly communicated with this Policy.

In addition, bpostgroup is committed to request its suppliers and related third parties to adhere to and comply with principles set out in this policy. The environmental ambition, target and commitment to reducing environmental impacts are outlined in the bpostgroup Supplier Code of Conduct.

A detailed description of the identification and assessment process of the impacts, risks and opportunities linked to the double materiality assessment of bpostgroup related to ESRS E1 – Climate Change, for more information please refer to Section ESRS 2 IRO-1 – Description of the Processes to Identify and Assess Material Climate-Related Impacts, Risks and Opportunities.

Disclosure of Third-Party Standards or Initiatives That Are Respected Through Implementation of Policy

A formal validation approach through stakeholder consultation (including relevant Business Units such as Group Sustainability, Group Procurement, Environmental Squad Leaders, and other relevant stakeholders) has been followed to set the environmental policy. The process included following bpostgroup policy standards/processes, as well as third-party standards:

Following the policy requirements as outlined by European Sustainability Reporting Standards (ESRS)
A standard environmental policy process outlined by Ecovadis
Standard policy validation process for a 'strategic policy' at bpostgroup:
Business approver (Group Sustainability Department Head)
- Reviewer (Group Compliance)
- Formal validation by Executive Committee
- Board Advisors (ESG Committee of the Board)
Formal validation by Board

Description of Most Senior Level in the Organization That is Accountable for Implementation of Policy

bpostgroup's CEO, along with the Executive Committee, holds overall accountability for the environmental impact of bpostgroup. The environmental policy, validated by the Executive Committee, began implementation in 2024. However, it still requires review and validation by the Board before its planned publication on the website in April 2025.

Explanation of Whether and How Policy is Made Available to Potentially Affected Stakeholders and Stakeholders Who Need to Help Implement It

The policy is made available on our website in multiple local languages in the countries we operate, to potentially affected stakeholders and stakeholders who need to help to implement it. Over the course of 2025, we will implement measures to raise internal and external stakeholders' awareness of the environment policy and environmental impacts, risks and opportunities through roadshows, campaigns, trainings, and collaboration with our sector peers through our memberships and associations.

Main Principles of Conduct in the Policy-Related to Climate Change

A detailed description of the main principles of conduct in the policy related to the management and remediation of our material climate change mitigation and adaptation impacts, risks and opportunities, can be found in the Environment policy on our website.

6.2.1.6 E1-3 - Actions and Resources in Relation to Climate Change Policies

Decarbonization Strategy and Key Actions

At bpostgroup, we are committed to decarbonizing the e-commerce and third-party logistics supply chain. Continuous improvement of environmental performance in our global operations is the backbone of our strategy and implementation of key actions planned to reduce the carbon footprint of our operations, as well as our outsourced transportation and logistics activities.

Our approach can be summed up in the following near-term targets: Reduce Scope 1 and 2 emissions by 55% (validated in line with the 1.5-degree scenario of SBTi)¹ , and reduce Scope 3 emissions2 by 14% by 2030 through the following decarbonization³ on levers:

Zero-emission last-mile deliveries
Truck fleet running on alternative fuels
Green electricity
New company cars zero-emission
Recyclable or reusable packaging
Phasing out natural gas & heating oil buildings
1 bpostgroup scope 1,2 and 3 targets are validated by the Science Based Targets Initiative (SBTi).
2 This reduction target applies to the following Scope 3 categories: purchased goods and services, upstream transport and distribution, waste generated by operations, business travel and employee commuting.
3 For a detailed overview of our key climate change mitigation actions across bpostgroup in 2024 (and future plans) please see Section 'Climate Change Mitigation Actions – 2024 Key Initiatives' below.

Consequently, bpostgroup has implemented a series of actions to address the environment policy, targets, and key levers in the run up to 2030:

bpostgroup's Decarbonization Strategy and Targets for 2030

2030 TARGET	KEY DECARBONIZATION LEVERS	ACHIEVED GHG EMISSION REDUCTIONS (2024)	INVESTMENT IN BPOSTGROUP'S CLIMATE TRANSITION PLAN (2024)	CLIMATE CHANGE MITIGATION ACTIONS(3) (2024 ACHIEVEMENTS & FUTURE PLANS) FOR DETAILS, SEE BELOW PARAGRAPHS
Reduce emissions by 55% of Scope 1 & 2 by 2030	1. Emission-free last mile delivery (electrification of our fleet)	-6.4%	15M euros (e-vans and charging infrastructure + Bike/ E-Bikes & bike trailers bpost NV/SA)	• Electrification of our last mile fleet • Ecozone Expansion • Expanding Charging infrastructure • Delivery in PUDO (Pick Up Drop Off) points • Carbon calculator
	2. Green electricity (use of renewable electricity)	-26.1%	0.63M euros for Solar Panel installation	• Investment in RECs in Belgium
	3. Phasing out natural gas & heating oil buildings / Green Buildings	+2.6%	4.76M euros ( Insulation, Heat Pumps, Relighting for bpost NV/SA	• Solar panel strategy at bpost • LED Lighting in buildings • Replacing boilers with heat pumps
	4. New company cars zero emissions	-12.8%	1.66 M euros ( for bpost NV/ SA Active Ants and Radial Europe)	• New company car policy • Federal mobility budget
	5. Truck fleet running on alternative fuels & double-deck trailers	-1.1%	5.96 M euros ( bpost NV/SA)	• Investing further in Double Deck Trailers
Reduce emissions by 14% of Scope 3 by 2030	6. Scope 3 Decarbonization program	-3.4%	Increase Group Procurement ESG team from 1 to 2 FTE's as of mid 2024	• Scope 3 Decarbonization program including Supplier webinar and Engagement Survey • Community of Practice on Outsourced Transport

Future reductions expected in 2025 and beyond align with our goal to achieve a 55% reduction in Scope 1 and 2 emissions and a 14% reduction in Scope 3 emissions by 20304 . While setting these targets, bpostgroup has not yet considered a diverse range of climate scenarios to identify relevant environmental, societal, technological, market, and policy developments for determining decarbonization levers. A global Climate Risk Assessment project is underway, and in the first half of 2025, various climate scenarios (including a low-emission scenario) will be analyzed to assess the magnitude of transition risk. This scenario analysis will also be used to update our climate targets and transition plans to reflect the Staci acquisition, with a new SBTi submission planned for 2025.

Financing of Climate Transition Plan

Dedicated resources for the implementation transition plan are foreseen in bpostgroup 5-year Long Term Financial plan (AR 21). Additional resources were approved for the Solar Panel Strategic plan for the 2025-2029 period.

bpostgroup invested around 28 million euros in 2024 for the implementation of its climate transition plan, mostly with bpost NV/SA. Taxonomy aligned Capex amounts to 14,5 millions euros. The difference of about 14 million comes mostly from: (1) the exclusion of investment in lower emission truck fleet and electrification of company from Taxonomy eligibility ( 7.6 million) and from the exclusion of a part of our investment in e-vans / e-vans infrastructure and in more energy efficient buildings due to a very prudent application of the DNSH criteria which led to the "non alignment" of large amounts of bpostgroup decarbonization enabling investments (see section 6.4.4.2 ).

Climate Plan Related investments were entirely funded from internal resources and did not include the use of any sustainable finance instrument. bpostgroup also foresees that financing of the climate transition plan over 2025-2029 as foreseen in our Long Term plan will be covered by internal resources

Note, bpostgroup does not have any Taxonomy related Capex plan.

There are no references to those investments in the notes from the financial statement.

4 This reduction target applies to the following Scope 3 categories: purchased goods and services, upstream transport and distribution, waste generated by operations, business travel and employee commuting.

Climate Change Mitigation Actions – 2024 Key Initiatives

Decarbonization Lever 1: Emission-Free Last Mile Delivery

Electrification of Our Last Mile Fleet: bpost NV/SA orders 168 new e-bike trailers, nationwide zero-emission deliveries by 2030 remains ambition

Parcel and letter deliveries using e-bike trailers have major advantages, not just for bpost's customers but for everyone who lives in Belgium's towns and cities. Delivery by bike reduces road congestion and frees up parking spaces, while also lowering traffic noise. It also reduces loads on road surfaces.

bpost started using e-bike trailers on its rounds four years ago and has scaled the fleet up every year since. That is essential, as bpost launches Ecozones in more and more towns and cities in partnership with local authorities. All letters and parcels are delivered emission-free in these Ecozones, by electric van, by bike or on foot. bpost's ambition is to take a leading role in sustainability by rolling out this delivery method across Belgium by 2030.

Ecozone Expansion

The benefit for city-dwellers is twofold: first, it improves the air they breathe; and second, it relieves pressure in their busy lives. In 2020 bpost NV/SA launched the concept in Mechelen and since then 18 cities have been transformed into a bpost Ecozone: Brussels, Mechelen, Louvain-La-Neuve, Leuven, Hasselt, Eupen, Namur, Liège, Mons⁵ , Brugge, Sint-Niklaas, Kortrijk⁵ , Oostende, Seraing, Verviers, Roeselare, Andenne and Diest. A total of 18 Ecozones and 109 zipcodes have emission free last mile delivery.

In 2025 the ambition is to deliver 25 Ecozones covering large areas and cities in Belgium. This will result in one on three Belgians of which the parcels are emission free delivered. bpost also has an ambitious plan to double the amount of lockers in Belgium, which brings out-of-home delivery closer to the end consumer.

Expanding Charging Infrastructure for a Greener Fleet

To accelerate our transition toward an electric fleet, bpost NV/SA is committed to building a robust charging infrastructure across Belgium. By 2030, we aim to install more than 4,500 electric vehicle chargers nationwide, ensuring that our operations and employees have ready access to the charging points necessary for sustainable mobility. As of 2024, nearly 1,400 chargers are already operational, and this number has been growing by 1,000 each year, reaching 2,400 by the end of 2024.

Our efforts to expand EV infrastructure go beyond Belgium. In North America, Radial has continued making progress toward sustainable transportation, creating a forward-looking space with the capacity for future EV truck charging stations. By prioritizing the development of a charging network that supports low-emission operations both locally and abroad, bpostgroup is laying the foundation for a sustainable logistics network that aligns with our long-term carbon reduction goals.

PUDO (Pick Up Drop Off) Delivery Points: Record Parcel Locker Installations in 2024: bpost NV/SA Plans to Double in 2025

Parcel lockers play an increasingly important role in bpost's distribution network. They are highly convenient because they can be accessed 24/7, a feature that Belgians appreciate. The number of people choosing to have a parcel delivered to a parcel locker rose by 44% over the past year. Statistics also show that delivery to a parcel locker receives the highest customer satisfaction score of all delivery options offered by bpost NV/SA.

This past year, bpost NV/SA installed a record number of parcel lockers to ensure everyone has access to one nearby: 365 new installations brought the total number of active parcel lockers to 1,260. This equates to one new parcel locker installation every single day, on average.

The network will continue to grow in 2025, based on bpost's ambitious plan to install more than 1,200 new parcel lockers, doubling the total number of installations in Belgium to 2,500. The newer parcel lockers are typically larger and more efficiently designed, with the number of doors expected to triple from the current 50,000 to 150,000 by the end of 2025.

100% Green Energy Vehicles by 2030 at Apple Express in Canada

bpost NV/SA Launches Carbon Calculator for Sustainable Logistics in Belgium

The carbon calculator, developed by bpost, estimates the carbon emissions associated with each parcel businesses send using our services. The tool calculates the carbon footprint by considering various parameters, such as weight, number of parcels, distances covered, number of stops, and the type of vehicle used. Until further notice, bpost employees will share the information provided by the tool with customers. We aim to make the tool available to customers at a later stage so that they can use the carbon calculator themselves.

It provides customers with carbon transparency, validated by Vinçotte – the largest Belgian company in the field of control, inspection, and certification. From a technical perspective, it complies with ISO 14083 and the GLEC Framework.

Decarbonization Lever 2: Green Electricity and Decarbonization Lever 3: Phasing Out Natural Gas & Heating Oil in Buildings

Our efforts to improve the energy efficiency of bpostgroup buildings have made significant progress. We have successfully reduced electricity consumption and our reliance on natural gas, district heating, and fuel oil, demonstrating our commitment to adopting greener energy solutions. These initiatives have led to a clear reduction in energy consumption per employee, indicating that we are using our energy resources more efficiently across all our operations.

Investment in Green Certificates in Belgium

For the bpostgroup entities located in Belgium, we have green electricity contracts for our buildings. As a result, a majority of our electricity consumption is green, and for the remainder, we purchase "Guarantee of Origin" certificates. In the future, we plan to expand this strategy to other countries where bpostgroup operates, with the goal of achieving 100% green electricity in seven steps by 2030.

Solar Panel Strategy at bpost

At the end of 2024, bpost NV/SA launched a new solar panel strategy for 2025-2029, with the vision of deploying solar panels at all our mail centers that will be equipped with electric vehicles (EVs). The goal is to offset the energy consumption of the EVs, and the rollout is expected to begin in 2025.

bpost NV/SA Targets Even More Green Electricity with 1,640 Solar Panels by Earth

Mail processing and delivery is an energy-intensive business. That's why rolling out further improvements to make logistics processes more sustainable is crucial for bpost. The installation of 1,100 solar panels at two bpost sites in Brussels in 2023 (Neder-Over-Heembeek and Evere) by green-energy solutions specialist Earth is one of

the ways bpost is working towards its goal of slashing carbon emissions by 55% by 2030. Earth also installed approximately 600 more panels at the international mail center in Zaventem (Brucargo) throughout 2024. This site processes international mail. 67% of the solar energy produced by these panels will be consumed on-site, which covers 36% of its annual electricity demand. See video here.

First Carbon-Neutral bpost NV/SA Distribution Center in Evere, Belgium

bpost's new distribution center in Evere became fully operational after the relocation of nearly all teams in 2024. This carbon-neutral building – a first for bpost – is equipped with state-of-the-art technologies and has been designed with a strong focus on sustainability and climate neutrality, including solar energy, heat pumps for heating and ventilation with energy recuperation, modular LED lighting, loading facilities, and rainwater harvesting.

The distribution center is not only energy-efficient but also produces some of the energy it needs. Solar panels cover an area of 1,236 m² on the roof. The energy they produce is used to charge electric vehicles and meet the consumption needs of the activities. More than enough (100+) charging

stations have been installed to keep the fleet of e-vans, e-bikes, and e-bike trailers running.

Clearly, energy is consumed in a smart way. The LED lighting in the main hall is automatically dimmed (from 500 lux to 300 lux) when employees leave for their rounds. All loading bays are equipped with two sets of doors to minimize heat loss.

The state-of-the-art heating and cooling systems ensure that no fossil fuels are consumed. Heat pumps draw ambient energy to heat the building in winter and cool it in summer, as needed. This creates comfortable working conditions for employees while contributing to the reduction of carbon emissions.

Water management is another important aspect as we adapt to the prospect of both droughts and excessive precipitation. State-of-the-art water management and rainwater harvesting systems in Evere ensure that the environmental impact remains minimal. Rainwater from the roof is captured and harvested for showers, toilets, and other uses. There is also an ingenious system that allows precipitation to slowly infiltrate into the ground. The parking spaces are surfaced with porous material, and all water on the roads is drained into this infiltration system. It is crucial to ensure that the water is not immediately directed to the drainage system. Furthermore, this system can be easily monitored, including remotely.

Decarbonization Lever 4: New Zero Emission Company Cars

New Zero Emission Company Cars

As part of our drive toward sustainability, the bpost NV/SA company car policy updated in 2021, set the goal to transition fully to electric vehicles for company cars. To support this shift, we provide financial subsidies for electric vehicle purchases and have installed charging points at employees' homes for convenient access.

Federal Mobility Budget

In 2024, bpost NV/SA adopted the Federal Mobility Budget in Belgium with the purpose to promote sustainable mobility for employees. The Federal mobility budget is a flexible system allowing employees to exchange their (right to a) company car for a budget. This budget can be spent on a more environmentally friendly car, other sustainable transport options (bike leasing, train/metro passes), and housing costs.

Decarbonization Lever 5: Truck Fleet Running on Alternative Fuels & Double-Deck

Trailers

Investing Further in Double Deck Trailers

2024 has been a year of further investments in a more sustainable fleet. As of Q4 2024, our Last Mile Fleet consists of about 2,200 e-vans, marking a 50% increase compared to 2023. We are planning to order an additional 1,000 e-vans in 2025. The number of e-trailers has also increased from 458 to 544, with the order of 168 new e-trailers, partly to replace the first-generation e-trailers that are reaching the end of their life, and partly to support an increase in e-trailer trips in dense areas.

For the First Mile (Truck Transport), we welcomed 24 new double-deck trailers, which allow us to transport more parcels without increasing kilometers driven, as two double-deck trailers replace three simple-deck trailers. In Q3, we also received our first e-truck, primarily for truck transport in Brussels, and we acquired a second e-truck at the start of 2025.

In 2025, we will continue to explore the best alternative fuel options for our fleet.

Decarbonization Lever 6: Scope 3 Decarbonization program

Scope 3 Decarbonization Program at bpostgroup

To drive decarbonization among our suppliers, bpostgroup expanded the Group Procurement ESG team from 1 FTE to 2 FTE as of mid-2024.

bpostgroup's Scope 3 reduction strategy is proceeding in two steps:

Step 1: Improving the data and policy infrastructure to make it more actionable (main focus in 2024)
Step 2: Actively engaging with suppliers to drive emission reduction (main focus for 2025 and beyond)

Step 1:

Improving the data quality of our Scope 3 emissions is the backbone of our Scope 3 decarbonization program launched in 2024. Moving to a more advanced data collection model is crucial for developing a fact-based roadmap for a realistic long-term decarbonization target in Scope 3. We upgraded from a spend-based data model to a hybrid model, which combines spend-based, volume-based, and supplier-specific data. This approach increases the accuracy of our emissions reporting in the categories of Purchased Goods and Services and Capital Goods, as we move away from industry-wide emission averages and towards supplier-specific emissions. The hybrid model allows us to replace ~40% of the spendbased data with supplier-specific emissions.

To achieve this, we launched a carbon survey targeting our top 50 suppliers at bpostgroup, based on factors such as: having a significant share of bpostgroup's total procurement spend, contributing a significant share of CO² emissions, and/or being an important contributor to the business. The survey data and insights give us the ability to more accurately track individual supplier performance or benchmark suppliers. We view this as a key enabler for setting a long-term target for Scope 3 emissions reduction. Increasing data accuracy and transparency is a crucial step in identifying opportunities to reduce our carbon impact.

We also updated our Supplier Code of Conduct, which now reinforces the expectation that our suppliers share their emissions data with bpostgroup and encourages them to commit to net-zero targets with the Science-Based Targets initiative (SBTi). This updated Supplier Code of Conduct has been approved by our Executive Committee and is awaiting review by our Board before publication and broader implementation.

Step 2:

In the next steps, starting in 2025, we will focus on supplier engagement and fostering collaboration with suppliers to drive change. We intend to use multiple levers to help drive GHG emission reductions among our suppliers, in line with the framework from the World Business Council for Sustainable Development.

bpostgroup's Updated Supplier Code of Conduct

The updated Supplier Code of Conduct will be a key lever for achieving our decarbonization goals in 2025 and beyond, with clear expectations for suppliers to set carbon reduction targets. This initiative will support our Scope 3 emissions reduction6 strategy by fostering collaboration and driving sustainability across our supply chain.

While the details of our 2025-2029 Scope 3 emission plan are still under development, the inclusion of ESG criteria into RFPs and the expansion of relationships with suppliers will undoubtedly play a crucial role. Through these actions, we expect to achieve our -14% Scope 3 reduction6 target by 2030.

Community of Practice on Outsourced Transport

A new Community of Practice was launched in 2024 by the Group Sustainability team, in close collaboration with Group Procurement. The purpose of this community is to exchange best practices, improve Scope 3 performance, and discuss solutions for optimizing engagement with bpostgroup suppliers. Through monthly meetings, the community brought together colleagues across different entities and geographies, specifically those responsible for managing transport suppliers.

BACA Supply Chain Leaders Program

In 2024, bpostgroup joined the Belgian Alliance for Climate Action (BACA), committing to advancing decarbonization efforts in the e-commerce supply chain. As the largest buyer of e-vans in Belgium, and with our commitment to purchasing green electricity, we are eager to continue driving sustainability across our value chain. As part of the Supply Chain Leaders Group, we committed to:

Integrating climate considerations into our business strategy and recognizing the importance of emissions in the supply chain.
Setting science-based targets to reduce emissions across our supply chain.
Actively collaborating with supply chain partners—both upstream and downstream—to support and incentivize their decarbonization efforts.
Sharing our journey, insights, and knowledge with other members, partners, policymakers, and the public.

⁶ This reduction target applies to the following Scope 3 categories: purchased goods and services, upstream transport and distribution, waste generated by operations, business travel and employee commuting.

6.2.1.7 E1-4 - Targets Related to Climate Change Mitigation and Adaption

bpostgroup has established greenhouse gas (GHG) emissions reduction targets to address climate-related impacts, risks, and opportunities. These targets were defined following a comprehensive analysis of bpostgroup's operations and carbon footprint, using 2019 as the baseline year to ensure a representative starting point unaffected by major disruptions like the COVID-19 pandemic. The targets cover both direct emissions (Scope 1 and 2) and value chain emissions (Scope 3), reflecting bpostgroup's commitment to reducing global emissions and supporting the Paris Agreement's goal of limiting global warming to 1.5°C.

Scope

The scope of bpostgroup's reduction targets is based on operational control, consistent with the boundaries used in its carbon footprint analysis. Currently, there are no separate reduction targets for Scope 1 and Scope 2 emissions, nor for location-based emissions. The targets do not include GHG removals, carbon credits, or avoided emissions, focusing solely on direct reductions in bpostgroup's operational and value chain emissions. Following the acquisition of Staci, bpostgroup is reviewing its targets and baseline year to ensure alignment with the expanded organizational scope.

Methodology

The reduction targets were developed using the Science Based Targets initiative (SBTi) framework, ensuring alignment with validated methodologies. The near term targets were validated by SBTi in 2022, reflecting bpostgroup's commitment to contributing to global climate goals. Since their establishment, no significant changes have been made to the targets, methodologies, or assumptions.

The targets were set in 2021 after a broad internal consultation process, including input from the CEO, CFO, and other operational leaders, as well as a competitive benchmarking exercise conducted by a leading strategic consulting firm. The 55% reduction target for Scope 1 and 2 emissions by 2030 reflected a strategic decision to set ambitious goals compared to our peers, including PostNL, La Poste, and Deutsche Post, as well as being more aggressive than the SBTi's 1.5°C pathway.

When setting these targets in 2021, expected developments in the business and technology were taken into account. bpostgroup plans to proceed similarly when updating GHG reduction targets in 2025, considering the impact of the Staci acquisition on our business scope.

Progress

The table below summarizes the reduction targets, baselines, and progress to date for Scope 1, 2, and 3 GHG emissions.

SCOPE	TARGET	BASELINE YEAR	BASELINE VALUE	TARGET PERIOD	STATUS 2024
Scope 1 & 2 GHG Emissions (Market-based)	-55%	2019	Scope 1 = 88,997 tCO2 e (75%) Scope 2 = 30,266 tCO2 e (25%) Scope 1 and 2 = 119,263 tCO2 e	2030	-17%
Scope 3 GHG Emissions	-14%	2019	322,562 tCO2 e	2030	+3%

For a list of climate change mitigation actions and decarbonization levers, please refer to E1-3 – Actions and Resources in Relation to Climate Change Policies.

6.2.1.8 E1-5 – Energy Consumption and Mix

As part of its commitment to sustainable operations, bpostgroup is focused on transitioning toward greener energy solutions for its buildings and vehicle fleet.

For a detailed list of actions related to this topic, please refer to Section E1-3 – Actions and Resources in Relation to Climate Change Policies.

To provide an overview of bpostgroup's energy performance, the following tables detail the total energy consumption and mix, energy production, and energy intensity of our operations.

Total Energy Consumption in MWh Related to Rwn Operations Disaggregated

ENERGY CONSUMPTION AND MIX	2024
(1) Fuel consumption from coal and coal products (MWh)	0
(2) Fuel consumption from crude oil and petroleum products (MWh)	224,671
(3) Fuel consumption from natural gas (MWh)	93,381
(4) Fuel consumption from other fossil sources (MWh)	0
(5) Consumption of purchased or acquired electricity, heat, steam, and cooling from fossil sources (MWh)	36,820
(6) Total fossil energy consumption (MWh) (calculated as the sum of lines 1 to 5)	354,872
Share of fossil sources in total energy consumption (%)	75
(7) Consumption from nuclear sources (MWh)	10,889
Share of consumption from nuclear sources in total energy consumption (%)	2
(8) Fuel consumption for renewable sources, including biomass (also comprising industrial and municipal waste of biologic origin, biogas, renewable hydrogen, etc.) (MWh)	0
(9) Consumption of purchased or acquired electricity, heat, steam, and cooling from renewable sources (MWh)	96,392
(10) The consumption of self-generated non-fuel renewable energy (MWh)	8,371
(11) Total renewable energy consumption (MWh) (calculated as the sum of lines 8 to 10)	104,763
Share of renewable sources in total energy consumption (%)	22
Total energy consumption (MWh) (calculated as the sum of lines 6, and 11)	470,525

In 2024, our energy consumption was mainly fuel-based, reflecting the operational demands of our sector and the still significant role of conventional fuels in our operations.

However, 22% of our energy comes from renewable sources, demonstrating our commitment to integrating renewable energy into our operations.

Overall, our total energy consumption for the year reached 470,525 MWh, highlighting the importance of continuing our efforts in energy efficiency and the adoption of greener energies.

Total Energy Production in MWh Related to Own Operations Disaggregated

ENERGY PRODUCTION	2024
Non-renewable energy production (MWh)	0
Renewable energy production (MWh)	11,399
Total energy production (MWh)	11,399

In 2024, we exclusively produced renewable energy. There was no production from non-renewable energy, reflecting our commitment to supporting a greener energy mix and contributing positively to our overall sustainability goals.

Energy Intensity from Activities in High Climate Impact Sectors

ENERGY INTENSITY PER NET REVENUE	2024
Total energy consumption from activities in high climate impact sectors (MWh)	470,525
Net revenue from activities in high climate impact sectors (million euros)	4,003.6
Total energy consumption from activities in high climate impact sectors per net revenue from activities in high climate impact sectors (MWh/million euros)	117.5
NET REVENUE	2024
Net revenue (million euros) from activities in high climate impact sectors used to calculate energy intensity	4,003.6
Net revenue (other) (million euros)	337.7
Total net revenue (million euros)	4,341.3

bpostgroup operates in sectors identified as having a high climate impact, as listed in NACE Section H: Transport and Storage. This includes activities under H49.4.1 (Freight Transport by Road) and H53 (Postal and Courier Activities). Given the nature of its business model, bpostgroup generates its revenue from these high-climate-impact sectors. As a result, the net revenue presented in the financial statements is entirely attributable to the activities within these sectors. In 2024, we calculated our energy intensity per net revenue for the first time. This measure will serve to highlight the energy efficiency of our operations and the importance on optimizing energy use in terms of business performance.

The net revenue used to calculate energy intensity exclude revenue from Staci, as they are not yet integrated into the energy consumption and mix.

6.2.1.9 E1-6 – Gross Scopes 1,2,3 and Total GHG Emissions

bpostgroup is committed to ensuring that its GHG emissions reporting evolves in line with best practice and industry standards. Ongoing evaluation of methodologies and categories aims to improve the completeness and accuracy of emissions data.

Scope

bpostgroup applies the operational control approach to define its organizational boundary, encompassing all subsidiaries under its operational control. This year, the acquisition of Staci is noted as an exception, with plans to integrate Staci into the reporting scope starting next year.

bpostgroup accounts for all relevant GHG emissions within its operational control, excluding GHG removals, carbon credits, and GHG allowances from its calculations. Additionally, no biomass is used in bpostgroup's operations or value chain, so no biogenic emissions are reported.

Methodology

bpostgroup applies the Greenhouse Gas Protocol to collect activity data and calculate emissions, ensuring consistency and accuracy in its methodology. Emissions are calculated using emission factors from five databases: DEFRA, AIB, IEA, IPCC AR5, and S&P. For AIB, residual mix factors were used, but emissions are reported in CO2 rather than CO2 equivalent, as the latter is not available. For market-based Scope 2 emissions, the following order is applied: (1) Energy attribute certificates (2) Contracts for electricity (3) Supplier-specific emission factors (4) Residual mix emission factors from AIB (5) Grid-average emission factors from IEA when no other data is available. In 2024, 55% of our electricity consumption is covered by energy attribute certificates, while the remaining 45% is covered by residual mix and grid-average emission factors. Scope 3 emissions for business travel, employee commuting, and upstream transportation and distribution are calculated using Well-to-Wheel (WTW) emission factors. For air travel, emission factors exclude radiative forcing.

Significant Assumptions

In preparing the Sustainability Statement and determining certain metrics with respect to our greenhouse gas emissions, management made use of assumptions, judgments and estimates that affect the amounts reported. As a result, there is an inherent uncertainty in certain of our calculations.

More particularly, within our Scope 3 emissions, category 1 "purchased goods and services" and category 2 "capital goods", we utilized a combination of approaches:

Supplier specific emission factors multiplied by financial spend
Supplier average sector multiplied by financial spend
Assessment of approximated financial spend to estimate total emissions related to the remaining portion of our spend.

The sector specific averages are calculated based on the whole cohort of suppliers within the same procurement category, i.e. transport, where all transport companies with supplier specific emission factors contribute to a sector average that is used for the companies without supplier specific emission factors.

Because we only have spend visibility on a part of our business at the time of closing the Annual Report, we resorted to extrapolating the rest of the emissions footprint by multiplying the carbon footprint we calculated with what we estimate to be the non-covered part of spend. The non-covered part of spend is calculated by subtracting the covered spend in the emissions model from the group's total operating expenses. By doing that we come to an extrapolation factor of 29.5%.

The extrapolation factor induces a high level of uncertainty and a large amount of GHG emissions, therefore improvements to our estimation methods for categories 1 and 2 will be a priority in 2025.

Further details on the assumptions used for emissions calculations are covered earlier in this report in section Section 6.1.1 General Basis for Preparation of Sustainability Statements.

Improvements to Carbon Footprint Calculation

This year, bpostgroup made several adjustments to improve the accuracy and completeness of its carbon footprint:

Two new GHG emissions categories—fugitive emissions and capital goods—were added to provide a more comprehensive representation of both operational and value chain emissions.
The methodology for calculating emissions from purchased goods and services was enhanced.
Emission factors for business travel, employee commuting, and upstream transportation and distribution were updated from Tank-to-Wheel (TTW) to Well-to-Wheel (WTW), providing a full life-cycle perspective on emissions.

These updates align with evolving industry standards and enhance transparency. While these changes have led to an increase in reported emissions compared to previous years, they demonstrate bpostgroup's ongoing commitment to improving its reporting practices.

Scope 3 Emissions Categories

bpostgroup continues to assess and refine the inclusion of Scope 3 emissions categories. Several categories have been excluded following a thorough evaluation of their materiality and relevance to bpostgroup's activities. A detailed explanation of these exclusions is provided in the table below.

Exclusion by Scope

CATEGORY	INCLUDED (Y/N)	REASON FOR INCLUSION
SCOPE 1: DIRECT EMISSIONS
Stationary Combustion	Yes
Mobile Combustion	Yes
Fugitive Emissions	Yes
Process Emissions	No	No manufacturing processes are involved in postal and transport services.
SCOPE 2: INDIRECT EMISSIONS FROM ENERGY
Purchased Electricity	Yes
Purchased Heat, Steam, and Cooling	Yes
SCOPE 3: OTHER INDIRECT EMISSIONS
Purchased Goods and Services	Yes
Capital Goods	Yes
Fuel- and Energy-Related Activities (not included in Scope 1 or 2)	Yes
Upstream Transportation and Distribution	Yes
Waste Generated in Operations	Yes
Business Travel	Yes
Employee Commuting	Yes
Upstream Leased Assets	No	Emissions from leased assets are already in-cluded in scopes 1 and 2, avoiding double counting.
Downstream Transportation and Distribution	No	bpostgroup mainly provides services (transpor-tation). The packaging products sold have neg-ligible emissions as they are used directly in the post centers or in our warehouses. Emis-sions from transportation performed by our subcontractors are reported under "Upstream transportation and distribution" in our Scope 3 report. Emissions from transportation by our own fleet are reported under Scope 1 and Scope 2.
Processing of Sold Products	No	bpostgroup mainly provides postal and transport services, and packaging products sold do not require processing.
Use of Sold Products	No	bpostgroup mainly provides postal and transport services, and packaging products sold have no emissions during their use.
End-of-Life Treatment of Sold Products	No	bpostgroup mainly provides postal and transport services, and packaging products sold, consisting mainly of paper and cardboard, have negligible end-of-life emissions.
Downstream Leased Assets	No	bpostgroup does not lease assets to third par-ties, and emissions from vehicles and buildings used are already included in scopes 1 and 2.
Franchises	No	bpostgroup does not operate under a franchise model.
Investments	No	Investments represent less than 1% of bpost-group's assets. Given their negligible contribu-tion, this category has been excluded from the carbon footprint.

The calculation methods used for the Scope 3 categories reported are as follows:

Purchased Goods and Services & Capital Goods: Emission factors are defined and calculated based on the most recent available data from 2023. These are calculated based on a supplier's revenue and total Scope 1, 2 and 3 upstream emissions. These factors are then multiplied by bpostgroup's 2024 expenses for each supplier to estimate emissions. The calculations are performed at the supplier level, using three prioritized data sources:

1. Surveyed supplier-specific carbon emissions
1. Supplier-specific emissions from a third-party database
Sector-specific averages
Fuel- and Energy-Related Activities (Not Included in Scope 1 or 2): The average-data method is used, based on energy consumption and average emission factors from DEFRA, IEA, and IPCC AR5.
Upstream Transportation and Distribution: The distance-based method is used, factoring in the mass, distance, and mode of shipment along with average emission factors from DEFRA.
Waste Generated in Operations: The waste-type-specific method is employed, considering the type of waste, treatment methods, and average emission factors from DEFRA.
Business Travel: The distance-based method is used, factoring in the distance and mode of business trips along with average emission factors from DEFRA.
Employee Commuting: The distance-based method is applied, considering the home-work distance, the number of effective working days and teleworking days, and the mode of transportation used for commuting, along with average emission factors from DEFRA.

The following table includes a detailed breakdown of bpostgroup's carbon footprint.

Gross Scopes 1, 2, 3 and Total GHG Emissions

	2019	2023 - REPORTED	2023 - UPDATED	2024	% N / N-1
SCOPE 1 GHG EMISSIONS
Total Gross Scope 1 GHG emissions (tCO2 eq)	88,997	78,043	78,861	76,513	-3%
1. Stationary Combustion	21,014	18,039	18,046	18,511	3%
2. Mobile Combustion	67,983	60,004	60,343	57,356	-5%
3. Fugitive Emissions	N/A	N/A	472	646	37%
Percentage of Scope 1 GHG emissions from regulated emission trading schemes (%)	0	0	0	0	0%
SCOPE 2 GHG EMISSIONS
Total Gross location-based Scope 2 GHG emissions (tCO2 eq)	N/A	N/A	38,477	36,300	-6%
1. Purchased Electricity	N/A	N/A	38,413	36,212	-6%
2. Purchased Heat, Steam, and Cooling	N/A	N/A	65	88	36%
Total Gross market-based Scope 2 GHG emissions (tCO2 eq)	30,266	27,904	29,893	22,129	-26%
1. Purchased Electricity	29,794	27,840	29,828	22,041	-26%
2. Purchased Heat, Steam, and Cooling	472	64	65	88	36%
SIGNIFICANT SCOPE 3 GHG EMISSIONS
Total Gross indirect (Scope 3) GHG emissions (tCO2 eq)	322,562	285,570	344,722	332,835	-3%
1. Purchased goods and services	76,260	96,569	102,210	108,016	6%
2. Capital goods	N/A	N/A	15,638	18,714	20%
3. Fuel and energy-related activities (not included in Scope1 or Scope 2)	22,248	20,323	28,293	25,625	-9%
4. Upstream transportation and distribution	185,770	136,137	157,609	141,089	-10%
5. Waste generated in operations	3,932	4,768	4,768	2,373	-50%
6. Business travel	1,374	1,157	1,763	1,952	11%
7. Employee commuting	32,977	26,614	34,440	35,066	2%
TOTAL GHG EMISSIONS
Total GHG emissions (location-based) (tCO2 eq)	N/A	N/A	462,061	445,648	-4%
Total GHG emissions (market-based) (tCO2 eq)	441,824	391,517	453,477	431,477	-5%

In 2024, we continued to progress with our sustainability initiatives, making real progress in reducing our carbon footprint.

To ensure that our carbon footprint follows the latest best practice, we also updated our 2023 emissions to include some methodological improvements:

Switch to Well-to-Wheel emission factors
Improved methodology for Purchased Goods and Services
Introduction of a new category Capital Goods
Extension of the scope of Fuel & Energy Related Activities

These updates improve transparency by clearly demonstrating the impact of methodological changes, and enable a consistent comparison of data between 2023 and 2024.

Scope 1 GHG emissions

Stationary Combustion: Emissions from our buildings rose by 3% mainly due to higher natural gas consumption and the integration of propane at certain sites. Despite this, we continued to improve efficiency by reducing fuel oil consumption and improving energy management practices.

Mobile Combustion: We achieved a 5% reduction by expanding our LNG fleet and double-deck trailers, and significantly reducing the number of petrol vehicles with the electrification of our Fleet (vans in Belgium and Company Cars)

Fugitive Emissions: This year, we introduced a new category, Refrigerant, which was not previously taken into account. This aims to provide a more comprehensive and transparent approach by capturing all significant sources of emissions.

Scope 2 GHG emissions

Purchased Electricity: We achieved a significant reduction of 26% in Scope 2 emissions through a combined approach:

Expanding our solar panel installations
Expanding our use of Guarantees of Origin for green electricity across Europe

These initiatives have helped to reduce our carbon footprint while reinforcing our commitment to renewable electricity.

Scope 3 GHG emissions

Overall, we achieved a 3% reduction in Scope 3 emissions. This progress reflects our ongoing efforts to adopt more sustainable practices across our supply chain and improve data accuracy.

Purchased Goods and Services: We implemented a new methodology that enhanced data quality and reliability. The increase of emissions in 2024 compared to 2023 is due to improvements in spend visibility which means that the portion of covered spend has decreased. This has in turn led to an increase in overall emission as the extrapolated portion has increased.

Capital Goods: This year, we introduced a new category, Capital Goods, which was not previously taken into account. This aims to provide a more comprehensive and transparent approach by capturing all significant sources of emissions.

Fuel and Energy Related Activities: The reduction in emissions is mainly due to lower fuel consumption.

Upstream Transportation and Distribution: We reduced our transport emissions by 10% through route optimization, improved data accuracy and reduced activity for Radial US. We remain focused on finding additional opportunities to reduce these emissions as part of our goal to operate more sustainably and efficiently.

Waste generated in operations: We significantly reduced our emissions by 50% through improved data collection and quality and corrections to 2024 emissions factors, following an update in the DEFRA database.

Business Travel: We introduced class-specific emission factors and integrated travel by car, taxi and public transport. This improvement has led to an increase in reported emissions, reflecting a more accurate and comprehensive approach.

Employee Commuting: We improved our data collection processes for more accuracy and updated our emission factors. As a result, our emissions have increased, giving us a more accurate picture of our impact.

bpostgroup relies on primary activity data, such as purchase records, utility bills, or fuel consumption reports, whenever available, to calculate its carbon footprint. However, for emission factors, we primarily use average data from reliable databases such as IEA and DEFRA. These emission factors are not specific to the activities or our suppliers, and as such, qualify as secondary data.

As a result, the proportion of emissions calculated using both primary activity data and primary emission factors is limited, with exceptions in categories like Purchased Goods and Services and Capital Goods.

To address this, bpostgroup is actively collaborating with its suppliers to enhance the availability and use of primary data. The current efforts are focused on two main Scope 3 categories: Purchased Goods and Services and Upstream Transportation and Distribution.

Type and Share of Contractual Instruments

TYPE OF CONTRACTUAL INSTRUMENTS	SHARE OF PURCHASED OR ACQUIRED ELECTRICITY, STEAM, HEAT, AND COOLING COVERED
Renewable Energy Certificates	0.7%
Power purchase agreements	0.0%
Guarantees of Origin	14.7%
Green electricity contract	35.9%
Supplier-specific emission rates	0.0%
Other Energy attribute certificates	1.2%

Overall, in 2024, we are maintaining our commitment to renewable electricity, both through contractual instruments and self-generation of electricity. A significant portion of our electricity is covered by green electricity contracts, supplemented by guarantees of origin.

In addition to these contractual choices, we also generated our own renewable electricity. This balanced strategy supports our efforts to reduce our carbon footprint.

GHG Emissions Intensity

GHG INTENSITY PER NET REVENUE	2023 - UPDATED	2024	% N / N-1
Total GHG emissions (location-based) (tCO2 eq)	462,061	445,648	-4%
Total GHG emissions (market-based) (tCO2 eq)	453,477	431,477	-5%
Net revenue (million euros)	4,272.2	4,003.6	-6%
Total GHG emissions (location-based) per net revenue (tCO2 eq/million euros)	108.2	111.3	3%
Total GHG emissions (market-based) per net revenue (tCO2 eq/million euros)	106.1	107.8	2%

NET REVENUE	2023	2024
Net revenue (million euros) used to calculate GHG intensity	4,272.2	4,003.6
Net revenue (other) (million euros)	0	337.7
Total net revenue (million euros)	4,272.2	4,341.3

Despite a reduction in absolute GHG emissions, GHG intensity per net revenue increased slightly in 2024. This was mainly due to a more pronounced decline in net revenue than in emissions.

The net income reported in the financial statements has been used to calculate the GHG emissions intensity, excluding revenue from Staci as they are not yet integrated into the carbon footprint

The data used for the emissions covers the entire calendar year of 2024, and no significant events or changes in circumstances relevant to GHG emissions occurred between the reporting date for bpost entities and the publication of bpostgroup's financial statements.

6.2.1.10 E1-7 – GHG Removals and GHG Mitigation Projects Financed Through Carbon Credits

At bpostgroup we do not include GHG removals or carbon credits as a means of achieving our GHG emission reduction targets.

6.2.1.11 E1-8 – Internal Carbon Pricing

Currently, bpostgroup does not have any internal carbon pricing schemes in place. However, we plan to analyze the opportunity of implementing a carbon pricing system, a carbon budget, or a similar mechanism in the future to better link our projects, initiatives, and plans with our carbon emissions targets.

6.2.1.12 E1-9 – Anticipated Financial Effects from Material Physical and Transition Risks

and Potential Climate-Related Opportunities

We plan to disclose the anticipated financial effects from material physical and transition risks, as well as potential climate-related opportunities, in our next annual report for FY 2025.

We have recently completed Phase 1 of the climate risk assessment project for bpostgroup, where we identified significant climate-related physical and transition risks, along with potential climate-related opportunities (see Sections 6.2.1.3 and 6.2.1.3). The next step will involve quantifying the anticipated financial effects of these risks and opportunities over the course of 2025.

6.2.2 ESRS E2 – Pollution

6.2.2.1 ESRS 2 IRO-1 – Description of the Process to Identify and Assess Material

Impacts, Risks and Opportunities

The IRO identification and assessment methodology is outlined in ESRS 2 and is extensively detailed in the internally and externally reviewed DMA Memorandum.

Regarding pollution, bpostgroup, as a service company rather than a manufacturer, has not conducted a comprehensive pollution screening or engaged in consultations with affected communities. However, its main Belgian sites have undergone a high-level screening as part of the ISO 14001 certification process. The certification process concluded that these sites do not have a material impact on pollution.

As a result of the Double Materiality Assessment (DMA), it was determined that air pollution is a material issue within bpostgroup's own operations. The company's delivery activities generate NO^x emissions through fuel consumption, contributing to harmful smog in cities and urban areas.

6.2.2.2 E2-1 – Policies Related to Pollution

The Environmental Policy was developed following stakeholder consultations conducted during the DMA—see ESRS 2 IRO-1—and incorporates both internal and external input, including feedback from panelists such as Natuurpunt and bpost's waste management supplier, Renewi.

The Environmental Policy, detailed in the Climate Change Policy (E1-2), includes the following key elements related to air pollution within our own operations:

1. Address Identified Adverse Impacts on Air Quality:

Collect the necessary data to develop emission inventories for major pollutants associated with our activities.
Quantify air pollution generated by our operations and products.
1. Implement Air Pollution Reduction Programs Through Our Decarbonization Strategy and Fleet Electrification:
2. All newly leased vehicles must be equipped with a Euro 6 engine.
3. From 2025, all diesel vehicles must have a particle filter installed (note: this is already the case for the vast majority of vehicles).
4. Identify and assess opportunities for further actions to improve air quality.
1. Raise Awareness Through Transparent Communication:
2. Conduct awareness campaigns to communicate emissions levels from our operations.
3. Explain planned measures to reduce emissions.

Note: Investing in zero-emission last-mile deliveries and charging infrastructure will positively impact both GHG emissions reduction and air pollution mitigation.

The Environmental Policy focuses on air pollution, as it is the only pollution-related sub-topic identified as material. Consequently, it does not address water and soil pollution, substances of concern, substances of very high concern, or incident prevention, as these sub-topics have been assessed as not material to bpostgroup. However, bpostgroup will continue to monitor these areas through its regular DMA updates and ISO 14001 certification process.

The Pollution section of the Environmental Policy does not reference third-party standards.

As a logistics service provider, bpostgroup's emissions primarily result from fuel consumption in its vehicle fleet. The company does not directly process pollutants and complies with traffic restrictions in cases of poor air quality. Therefore, the Environmental Policy on Air Pollution does not include specific measures for incident and emergency prevention.

The Environment Policy is available online.

6.2.2.3 E2-2 – Actions Related to Pollution

Since air pollution is almost exclusively generated by fuel combustion in our vehicles and buildings, it is closely correlated with CO₂e emissions. The actions we take to reduce CO₂e emissions also contribute to reducing air pollution. These actions include:

607 e-vans delivered in 2024, bringing the total share of e-vans to 22% of all bpost NV/SA vans.
Expansion of Ecozones in Belgium, increasing from 14 in 2023 to 18 by the end of 2024, with a target of 25 by the end of 2025.
Deployment of e-bike trailers, with 86 additional e-bike trailers delivered in 2024, bringing the total to 544, and 168 more ordered for delivery in 2025 to support Ecozone expansion.
100% of new company cars are electric as of 2024.

The actions listed above resulted in a 5% reduction in CO₂ emissions in 2024 compared to 2023 from bpostgroup's own fleet. It is expected that NOx emissions have been reduced to a similar extent, contributing to improved air quality across Belgium and benefiting its citizens.

The primary measures to combat air pollution are covered under Climate Change (E1), particularly through investments in zero-emission last-mile deliveries and charging infrastructure. In addition, bpostgroup implements specific air pollution reduction initiatives beyond these core climate actions:

ACTION	SCOPE	SUB-DOMAIN	KPIS ASSOCIATED	TIME HORIZON
Euro 6d engine, ensure the case for all new leasing of vehicles	Own operation for all entities in Europe	Air pollution	Share of new vehicle leasing contract with Euro 6D	End 2026
Put end of life of all diesel vans in operations with engine lower than Euro 6	Own operation for all entities, all geographies	Air pollution	Share of all diesel vehicle being euro 6	End 2026

Note, allocated resources for the above action are not significant, hence not disclosed. The most significant allocated resources, contributing to mitigate air pollution, are linked to Climate Change and described in part E1-3.

6.2.2.4 E2-3 – Targets Related to Pollution

Although the core targets for addressing air pollution are covered under Climate Change (E1), bpostgroup has also set additional, specific targets related to air pollution within its own operations.

All targets outlined below are voluntary.

For E1-related targets, see disclosure E1-4.
For the E2-specific target, bpostgroup's ESG team consulted and aligned with the bpost NV/SA fleet manager. The targets were defined based on the bpost NV/SA fleet renewal plan, ensuring that vehicles are replaced with Euro 6-compliant or better models upon contract expiration

According to PNAS, electric vehicles do not emit NO^x as they operate without combustion. Additionally, data from the EEA Emission Factor Data Viewer confirms that the latest Euro emission standards are designed to significantly reduce NO^x emissions.

KPI	SCOPE	BASELINE (2024)	TARGET	TARGET RATIONALE	TARGET YEAR	POLICY GOAL ASSOCIATED
Share of van being electric (E1)	bpost NV/SA	22%	100%	Electric Vehicles emit no NOx – Consistent with Climate Mitigation target	2030	The establishment of program to reduce air pollution Scope 1 and 2 GHG emission reduction target
Share of new company car being fully electric (E1)	all entities	85% + (100% for bpost NV/SA and Belgian entities)	100%	Electric Vehicles emit no NOx – Consistent with Climate Mitigation target	2030	The establishment of program to reduce air pollution Scope 1 and 2 GHG emission reduction target
Share of all diesel vehicle being euro 6	all entities	98,5%	100%	Important role in the overall emissions control strategy	2026	All diesel vehicles must have particle filter installed

Since air pollution is the only pollution-related sub-topic identified as material, these targets focus exclusively on air pollution. As a result, bpostgroup's targets do not address water pollution, soil pollution, substances of concern, or substances of very high concern, as these have been assessed as not material to the company. However, bpostgroup remains committed to complying with all legal requirements, including through environmental permits, and will continue to monitor these topics and take action whenever relevant.

Additionally, as a service company, specific air pollutant load measurements are not applicable and are therefore not addressed.

This is the first year these targets have been established. Any changes to the targets in the coming year will be reported alongside our progress in the next sustainability report.

All targets are expressed in relative terms (percentage of compliant vehicles).

6.2.2.5 E2-4 – Pollution Metrics

It is the first year bpostgroup reports on air pollution.

Scope

The focus is on bpost NV/SA, which accounts for more than 85% of Scope 1 emissions. As a result, the vast majority of fuel consumption within bpostgroup's operations—leading to NOx emissions—is attributed to this entity.

Formula and Emission Factor

bpostgroup calculates NOx emissions using the following formula: NOx emissions = Kilometers driven per vehicle type × Emission factors

A vehicle type is defined based on a combination of:

Fuel type
Gross vehicle weight
European emission standards

The emission factors used are sourced from the European Environment Agency (EEA).

Method, Process and Assumption

Vans and Trucks

The number of kilometers driven and vehicle types are recorded in FleetWave, bpost NV/SA's fleet management software.
Kilometers driven are determined by the difference in odometer readings between January 1st and December 31st. This data is collected via telematics installed in each vehicle.
If a vehicle's Euro emission standard is incomplete (e.g., "Euro 6" without a letter suffix) or missing in FleetWave, it is assumed based on the model year (also known as the registration year). The minimum Euro emission standard required for that year is applied.

Company Cars

Car type and estimated kilometers driven are provided by the two leasing companies that bpost NV/SA partners with.
If a company car is used for less than 12 months in 2024, its annual mileage estimate is adjusted pro rata temporis.
For each leased vehicle, the Euro emission standard is determined based on the contract start year, applying the minimum mandatory Euro standard for that year.
All leased vehicles are new, as bpost NV/SA does not lease second-hand vehicles.

NOx Emissions in 2024

Based on the above methodology, bpostgroup estimates its total NOx emissions for 2024 at 74.3 metric tons, distributed as follows:

72.6 metric tons from the fleet of light- and heavy-duty vehicles
1.6 metric tons from the fleet of company cars

Among light- and heavy-duty vehicles:

20% of the fleet, which also represents 20% of the total kilometers driven, accounts for 60% of NOx emissions.
Within this segment, 2,625 vehicles with older Euro emission standards -older than Euro VI for HDV and older than euro 6 a/b/c for LDV- are responsible for 60% of NOx emissions.
In 2025, over 2,000 vans (classified below Euro 6d) will be replaced with Euro 6e or electric vehicles.
For heavy-duty vehicles, most Euro III and Euro IV trucks will be replaced by Euro VI E models.

These fleet upgrades will significantly reduce bpost NV/SA's NOx emissions in 2025 and beyond.

6.2.2.6 E2-5 – Substances of Concern and Substances of Very High Concern

Not material as per the DMA.

6.2.2.7 E2-6 – Anticipated Financial Effects from Material Pollution-Related Risk and

Opportunities

The DMA concludes there is currently no material risk and opportunities related to pollution.

6.2.3 ESRS E5 – Resource Use and Circular Economy

6.2.3.1 IRO-1 – Description of the Process to Identify and Assess Material Impacts, Risks and Opportunities

IRO Identification Methodology

The IRO identification methodology was carried out in three main steps:

1. Initial Double Materiality Assessment (DMA) in 2023:

Conducted at an aggregated topic level.
Included benchmarking against other postal (PostNL, La Poste, etc.) and logistics operators (e.g., DHL, FedEx, etc.).
Involved stakeholder consultation (both internal and external) with qualitative and quantitative materiality assessments.
Led to the initial identification of material topics at an aggregated level.

2. Review of DMA in 2024 post-STACI acquisition:

Evaluated IRO materiality at a sub-subtopic level.
Identified IROs at a sub-subtopic level among all previously identified aggregated topics.
Analyzed IROs for sub-subtopics not previously identified by the DMA.
1. IRO scoring at the sub-subtopic level:
2. Defined the scoring methodology.
3. Applied the methodology to all previously identified IROs.
4. Established material sub-subtopics via scoring thresholds.

The methodology is comprehensively detailed in the DMA Memorandum.

Resource Inflows, Including Resource Use

bpostgroup has identified resource inflows as a material issue due to the significant resources required for its operations. The company uses and sells large quantities of paper and cardboard products to manage its mailing and logistics activities, assisting citizens and end users in sending mail and parcels. Resource inflows are considered widespread because bpostgroup needs local resources in every country where it operates. This issue is already affecting bpostgroup's operations and its upstream supply chain.

Starting in 2026, the Packaging and Packaging Waste Regulation (PPWR) will come into effect, requiring entities to comply with new standards on recyclability and the emptiness rate of packaging. Non-compliance could result in fines and reputational risks.

However, resource inflows also present new opportunities. By optimizing packaging dimensions and materials, bpostgroup can reduce the cost of purchasing packaging materials, decrease waste, and lower transport costs and related CO2 e emissions. The company can also adopt eco-design practices for packaging, such as using recycled or biodegradable materials, which can reduce waste management costs and enhance brand image. Additionally, training staff to optimize resources and use materials efficiently can further support these efforts.

Resource Outflows Related to Packaging

bpostgroup has identified resource outflows related to packaging, primarily consisting of cardboard and paper, as a material issue. This is due to the extensive geographic scope of bpostgroup's fulfillment activities. Resource outflows are already negatively impacting bpostgroup's operations and downstream processes, as increasing packaging outflows lead to higher waste production for end-users. However, this issue is considered remediable with effort, particularly by encouraging the reuse of packaging through dedicated shipping solutions (as outlined in the "packaging goals" of the Environment policy).

Opportunities related to resource outflows include new revenue streams and customer retention. Although bpostgroup is not responsible for the packaging of the parcels it delivers, it is likely to play an active role in promoting the reusability of packaging. The new EU packaging directive aims to increase the reusability of packaging. Similar to how retailers collect empty glass bottles, postal companies could collect packaging from parcels. bpostgroup has already conducted some pilot projects in collaboration with customers to explore this potential.

However, there are also risks, such as the costs associated with complying with new regulations, which are expected to be implemented between 2026 and 2030.

Waste

bpostgroup has identified waste as a material issue due to the significant amount generated, primarily from paper and cardboard products used in its mailing and logistics activities. The company also uses large quantities of plastic, self-adhesive materials, and foam protection for parcels in its 3PL activities. Minimizing and reusing packaging and operational waste is crucial, as waste negatively impacts the entire value chain by causing soil and water pollution and necessitating the production of new products, especially when not recycled or recovered as energy. This issue can be managed through dedicated policies (e.g., E5-1: Increasing sorted waste; Reducing plastic waste; Enhancing waste recycling) and supported by specific actions (e.g., E5-2).

Opportunities in waste management include implementing waste reduction programs at the source and improving sorting, recycling, reuse, and repair practices. These initiatives can help bpostgroup reduce waste disposal costs and enhance its reputation.

However, there are risks associated with the costs of complying with regulations and EU standards, which will come into effect as early as 2026 and could increase by 2028 if not properly anticipated. Additionally, the costs of setting up reusable packaging can be significant for customers, along with transport costs. The new EU packaging directive aims to increase the reusability of packaging, making it essential to address this issue.

6.2.3.2 E5-1 Policies Related to Resource Use and Circular Economy

Disclaimer

Currently, Waste & Packaging actions are managed at the subsidiary level, and there is no overarching Waste & Packaging policy at the bpostgroup level. However, as a subdomain of the Environment domain, a new Waste & Packaging policy will be fully integrated into the Environment policy (cf. E1).

The Environment policy will include two dedicated paragraphs outlining goals specific to Waste & Packaging. These goals were identified through the DMA exercise for the IRO process, resulting in the identification of three material sub-subtopics: resource inflow, resource outflow, and waste management (cf. E5.IRO-1).

Waste Management Goals

bpostgroup is dedicated to improving the recycling and reuse of waste generated by its operations, which primarily consists of paper, cardboard, and plastics. The company is committed to the following initiatives:

Increasing Sorted Waste: The goal is to increase the proportion of sorted waste within the total waste produced by the Group, significantly enhancing recycling efforts. This involves adapting the products used (e.g., minimizing unsortable dual-component packaging) and improving sorting infrastructures in warehouses, fulfillment centers, and distribution offices.
Reducing Plastic Waste: Acknowledging the environmental impact of plastic, bpostgroup is committed to reducing plastic use in its packaging wherever possible. When plastics are necessary, the company will prioritize recyclable options and collaborate with suppliers to minimize plastic waste.
Enhancing Waste Recycling: The aim is to increase the percentage of waste that is recycled, focusing specifically on paper, cardboard, and plastic waste. bpostgroup plans to implement or enhance recycling programs at all facilities, ensuring that no recyclable waste is sent to landfill. By 2030, the company aims to recycle 98% of its cardboard waste and 95% of its plastic waste.

These initiatives reflect bpostgroup's commitment to sustainability and environmental responsibility.

Packaging Goals

We recognize that packaging significantly impacts our environmental footprint. Therefore, our objectives are focused on:

Encouraging the Use of Reusable Containers for Internal Flows: bpostgroup is committed to minimizing packaging use within its logistics areas by favoring reusable packaging (e.g., plastic boxes and containers). We already use reusable packaging exclusively for all internal flows, including between sorting centers and distribution offices, in fulfillment facilities, and in exchanges with some recurring customers.
Encouraging Reusability: We are exploring ways to increase the reusability of our packaging. This includes piloting reusable packaging solutions for certain shipping products and encouraging customers to reuse packaging when feasible.
Maximizing Recyclability: We are committed to ensuring that most of our packaging is recyclable, currently at 99.37%. Our goal is to achieve 100% recyclable content in our cardboard and envelope packaging by 2030. To address non-recyclable packaging, we will progressively stop selling double-component packaging, aiming for zero by 2030.
Increasing Recycled Content: We aim to steadily increase the percentage of recycled materials used in our packaging, focusing on the cardboard and envelopes sold in our Belgian retail offices and used in our businesses. By sourcing packaging materials with a higher proportion of recycled content, we reduce the demand for virgin materials and contribute to a more sustainable packaging supply chain.

These initiatives reflect our commitment to sustainability and reducing our environmental impact.

Consistency Between Waste & Packaging Goals and IRO's Material Topics

IRO Material Topics Context

The IRO identified three material topics: resource inflows, resource outflows, and waste management (cf. E5.IRO-1). Consequently, the goals mentioned above have been drafted to correspond to these material topics.

Waste

Tracking and Reduction of Unsorted Waste: This goal focuses on improving the waste sorting process, enhancing preparation for waste treatment, and increasing the volume of waste recovered from all waste produced (cf. E5-3 target: "Waste not sorted and not recycled").
Precise Tracking of Recycled Waste: Monitoring volumes and percentages of recycled waste (plastic and cardboard) aligns with bpostgroup's aim to minimize its impact on resource use and comply with upcoming PPWR regulations (cf. E5-3 target: "Waste that is recycled or reused or recovered as energy – plastic and cardboard").
Waste Hierarchy KPIs: bpostgroup closely follows KPIs related to sorting, reusability, and recyclability.
Regulatory and Voluntary Goals: These goals are set within the framework of regulatory obligations (e.g., recyclable or reusable packaging placed on the market; waste that is recycled, reused, or recovered as energy; recycled content in packaging) and a voluntary reporting initiative aimed at improving the circularity of its value chain (cf. E5-3 target: "Reduction of double-component packaging").

Packaging

KPIs and Targets: A list of KPIs and targets has been defined (cf. E5-3) to ensure policy goals are met. bpostgroup has established four Key Performance Indicators (KPIs) for packaging, with quarterly reviews and actions taken in case of deviations.
Increasing Recyclable/Reusable Packaging: This goal aims to improve material circularity by minimizing the need for new packaging, reducing the demand for primary resources, and lowering associated energy requirements (cf. E5-3 target: "Recyclable or reusable packaging put in the market").
Increasing Recycled Content: By increasing the percentage of recycled materials in packaging, bpostgroup limits the need for primary materials in the production process.
Stopping the Sale of Double-Component Packaging: This objective aims to enhance consumers' ability to sort packaging, thereby improving its downstream use in the value chain.

These goals and initiatives reflect bpostgroup's commitment to sustainability and aligning its Waste & Packaging policies with the identified material topics.

6.2.3.3 E5-2 Actions Related to Resource Use and Circular Economy

List of Actions

bpostgroup's ambition is to significantly optimize the use of resources, energy and materials, via its packaging consumption and production and via waste production. These goals are detailed within the Environmental Policy (increasing sorted waste; reducing plastic waste; enhancing waste recycling; encouraging the use of reusable containers for internal and external flows; Encouraging recyclability; increasing recycled content), and reinforced by dedicated KPIs and target associated (cf. ESRS E5-3)

To fulfil its goals in resource use and circularity, bpostgroup has identified a series of actions to implement within the next months and years.

E5-2 Actions Related to Resource Use and Circular Economy1

ACTION	SCOPE	SUB-DOMAIN	KPIS ASSOCIATED	TIME HORIZON	ALLOCATED RE SOURCES (INCL. FINANCIAL)
Carrying out an audit by entity to understand the sorting rate and the reasons for the lack of sorting	Entities that contribute the most to reach at least 90% of our non sorted waste (with focus on bpost NV/SA and Radial US)	Waste	Waste not sorted and not recycled	Mid 2025	Man-days from entities managers
Modification of RFPs to take greater account of the need for circularity, recyclability and reusability	bpost NV/SA (for packaging we sell in our Belgian retail offices) 3PL BU for the packaging we use in our 3PL activities, starting with the biggest ones	Packaging inflows and outflows	Recyclable or re-usable packaging put on the market Recycled materials sourced in packaging put on the market	End 2029	Man-days from procurement team
Identify a recyclable alternative to double component bubble envelopes	bpost NV/SA	Packaging inflows and outflows	Double-components packaging	End 2026	Additional purchase cost associated with the solution identified
Identify and implement fit-for-purpose packaging processes (leading to reduction of empty space and packaging per delivery)	Fulfillment entities wherever it is possible	Packaging inflows and outflows	Weight of packaging / shipped parcel.	End 2029	Capex for additional plant and equipment
Generalize the use of waste packaging to fill parcels as part of fulfilment activities	Fulfillment entities wherever it is possible	Packaging inflows and outflows Waste	Recycled materials sourced in packaging put in the market Weight of waste / revenues	Early 2030	Capex for additional plant and equipment
Evaluate the relevance of a post-delivery cardboard recovery program (B2B and B2C)	All entities	Packaging inflows and outflows Waste	Recyclable or reusable packaging put in the market Weight of packaging / shipped parcel Weight of waste / revenues	End 2026	Man-days from business development team

Relation Between Actions, Resource Use and Circularity

Waste

Tracking and Reduction of Unsorted Waste: This aims to improve the waste sorting process, enhance preparation for waste treatment, and increase the volume of waste recovered. A preliminary audit on the types of unsorted waste and the reasons for it is essential for further actions.
Generalizing the Use of Waste Packaging: Using waste packaging to fill parcels in fulfillment activities will reduce the volume of waste packaging produced and improve packaging circularity by reusing products destined for disposal.
Evaluating Post-Delivery Cardboard Recovery: Assessing the relevance of a cardboard recovery program (B2B and B2C) will validate the reuse potential of cardboard placed on the market and not discarded by end users. A positive outcome would increase the reuse rate of cardboard and reduce the volume of scope 3 waste.

Packaging

Modification of RFPs: Adjusting Requests for Proposals (RFPs) for packaging sold in Belgian retail offices and used in 3PL activities to emphasize circularity, recyclability, and reusability will ensure compliance with the PPWR by 2030. This will also ensure the selection of suppliers offering optimal solutions for circularity and reusability.
Identifying Recyclable Alternatives: Finding a recyclable alternative to double-component bubble envelopes will increase the recyclability of packaging on the market and reduce downstream packaging waste.
Implementing Fit-for-Purpose Packaging Processes: Developing packaging processes that reduce empty space and packaging per delivery will decrease empty space in parcels, as required by PPWR, and reduce packaging intensity (weight of packaging per shipped parcel), transport costs, and related emissions.

These actions are designed to enhance resource use efficiency and promote circularity within bpostgroup's operations.

6.2.3.4 E5-3 Targets Related to Resource Use and Circular Economy

Reported KPIs at bpostgroup Level and Associated Targets

bpostgroup's ambition is to significantly optimize the use of resources, energy and materials, via its packaging consumption and production and waste production. Consequently, bpostgroup has defined a series of KPIs on which to report in direct relation to its objectives defined at group level.

E5-3 Targets Related to Resource Use and Circular Economy
-----------------------------------------------------------	--	--	--	--	--

DOMAIN	KPI	ENTITY	BASELINE	TARGET	TARGET RATIONALE	TARGET YEAR	POLICY GOAL ASSOCIATED
Packaging (resource inflow and outflow)	Recyclable or reusable packaging put in the market	Retail (bpost NV/SA)	86.3% (2022)	100%	Retention of the target previously applied, based on the 2019 baseline	2030	Encouraging the use of reusable containers for internal flows
		Fulfilment	N/A (2024 is our baseline)	100%		2030	Encouraging Reusability Maximizing Recyclability
	Recycled materials sourced in packaging	Retail (bpost NV/SA)	80.9% (2022)	80%	Retention of the target previously applied, based on the 2019 baseline	2030	Increasing Recycled Content
	put in the market	Fulfilment	N/A (2024 is our baseline)	80%		2030
	Double-component packaging (unsortable)	Retail (bpost NV/SA)	N/A (2024 is our baseline)	0%	Target in line with PPWR (article 6, paragraphs 1 and 2)	2030	Increasing sorted waste Increasing Recycled Content
	Weight of packaging / shipped parcel (ie. Packaging intensity of the activity)	Retail + Fulfilment	N/A (2024 is our baseline)	TBD	TBD	TBD	Encouraging Reusability
(§24e) Waste	Waste not sorted and not recycled	Retail + Fulfilment + Delivery	N/A (2024 is our baseline)	15% max (to be refined in 2025)	Target in line with Cooperation Agreement on Waste in Belgium)	2030	Increasing sorted waste Enhancing Waste Recycling
	Waste that is recycled or reused or recovered as energy – plastic	Retail + Fulfilment + Delivery	N/A (2024 is our baseline)	95%	Target strictly above on PPWR minimum requirement and adapted to current bpost value (96.7%)	2030	Enhancing Waste Recycling Reducing Plastic Waste
	Waste that is recycled or reused or recovered as energy – paper/cardboard	Retail + Fulfilment + Delivery	N/A (2024 is our baseline)	98%	Target strictly above on PPWR minimum requirement and adapted to current bpost value (99.7%)	2030	Enhancing Waste Recycling
	Weight of waste / revenues (ie. Waste intensity of the activity)	Retail + Fulfilment	N/A (2024 is our baseline)	TBD	TBD	TBD	Enhancing Waste Recycling

Note: Except for the retail BU, the entities in the target scope for 2024 are bpost SA, Radial NAM, and AMP (including Aldipress). The goal is to expand the scope to all entities by 2030.

The Cooperation Agreement is a legal framework for the prevention and management of all types of packaging waste in Belgium, whether industrial/commercial or household. It applies to companies that place more than 300 kg of household and industrial/commercial packaging on the Belgian market per year. The minimum overall targets, expressed as a percentage by weight relative to the total weight of one-way packaging material placed on the Belgian market, are 80% for recycling and 85% for recovery, including incineration at waste incineration plants with energy recovery.

KPI Review Process

bpostgroup will review the results of the KPIs versus targets on a quarterly basis. All actions already implemented or to be implemented to reach these targets are detailed in Section E5-2 - Actions and resources related to resource use and economy. The progress made toward targets will be reviewed as follows:

Quarterly Review: The bpostgroup ESG team and ESG Steering Committee will review the KPIs quarterly to ensure progress and follow up on actions.
Monthly Operational Review: Implemented actions and their impact on KPIs will be reviewed during dedicated sessions with operational teams on a monthly basis.
Target and KPI Review: The targets and current values of the KPIs will be reviewed to validate bpostgroup's ability to achieve its objectives.

If there are difficulties in achieving the objectives, bpostgroup will take the following actions:

Identification of Underperforming BUs/Entities: Identify business units or entities that are underperforming.
Review of Actions in Progress: Identify actions currently in progress within the underperforming entities.
Action Plan Development: Define an action plan and allocate resources to improve performance on the concerned KPIs.

This structured approach ensures continuous monitoring and improvement, helping bpostgroup stay on track with its sustainability goals.

Relation Between Targets, Resource Use and Circularity

Packaging

Increasing the percentage of recyclable/reusable packaging helps to improve the circularity of materials by minimizing the need to produce new packaging, limiting the need for primary resources, but also the associated energy requirements (production, transformation, etc.) downstream of the value chain of bpostgroup subsidiaries.
Similarly, increasing the percentage of recycled materials in bpost packaging limits the need for primary materials to be used in the production process.
Finally, the objective of stopping the sale of double-component packaging is to increase consumers' ability to sort this packaging, and therefore to increase recyclability downstream in the value chain.

Waste

The tracking and reduction of unsorted waste is aimed in particular at improving the waste sorting process, improving preparation for waste treatment and therefore improving the volume of waste recycled or recovered from all waste produced.
Finally, precise tracking of volumes and percentages of recycled waste (plastic and cardboard) is in line with bpostgroup's desire to minimise its impact on resource use, and with the regulations soon to come into force under the PPWR.
In waste hierarchy, KPIs closely followed by bpostgroup mainly refer to sorting, reusability and recyclability.
These targets are set within the framework of both regulatory obligations (Recyclable or reusable packaging placed on the market; Waste that is recycled, reused, or recovered as energy; Recycled content in packaging placed on the market) as well as a voluntary reporting initiative by bpost aimed at improving the circularity of its value chain, both in its own operations and upstream and downstream in its value chain (Reduction of double-component packaging; Percentage of waste that is unsorted and not recycled)

Methodology

The methodology to define the KPIs reported and tracked with targets by bpostgroup is the following:

(A) Identification of KPI previously reported with dedicated targets on specific entities.
(B) Identification of KPI included in dedicated regulation with adequate targets (eg. PPWR, Cooperation Agreement in Belgium).
(C) Identification of material KPIs regarding specific bpostgroup activities
(D) Identification of peers and public organizations' KPIs
Synthesis of (A) (B) (C) (D) to determine key KPIs for bpostgroup to set targets on

The methodology to define the target per KPI by bpostgroup is the following:

(D) Identification of regulations
(E) Review of direct and indirect benchmarking
(F) Review of internal targets for dedicated KPIs
Definition of targets based on (D) (E) and (F):
Comparison with actions currently implemented (To link the targets with the underlying levers, as well as strategy and investments)
Regular adjustment of intermediary targets as actions progress

The stakeholder's involvement

To define the KPIs and targets based on this methodology, bpostgroup has involved several categories of stakeholders:

Operational teams (packaging product managers, BU managers, etc.) to define the actions implemented or to be implemented
External professional organisations to understand the impact of regulations
bpostgroup ERM team, responsible for identifying bpostgroup's risks, impact and opportunities in terms of resource use and circularity
bposgroup's ESG Steerco including Exco members, and ESG committee of the Board and the Board of Directors, responsible for validating the KPIs and targets, in line with bpostgroup's risks, impacts and opportunities identified in the DMA
bpostgroup ESG team, responsible for managing the process and methodology defined above, and for summarising all the stakeholders

These consultations were held throughout 2024.

6.2.3.5 E5-4 Resource Inflows

Disclaimer

This section of disclosure requirement E5-4 - Resource inflows refers to packaging as our resource inflow. Products transiting through bpostgroup's facilities are held by bpostgroup's customers and are therefore not the responsibility of bpostgroup. Consequently, bpostgroup is only responsible for the packaging sold in its retail offices and secondary packaging in which bpostgroup packs the products sold by its customers (e-fulfilment activities).

Description of Resource Inflows

bpostgroup is a company that is active in the mail and e-commerce logistics, encompassing a range of activities from e-fulfilment to postal operations. In our operations, packaging is sourced from manufacturers and intermediate packaging providers.

(§30) Diving deeper into packaging as a resource inflow, several types of packaging are identified: cardboard, plastics, envelopes, pallets and others.

Based on this identification of the resource inflows and qualitative assessment, detailed metrics have been calculated.

E5-4 Metrics on Resource Inflows (Packaging)

METRIC	METRIC CALCULATION VALUE
(§31a) Total weight of products and technical and biological materials used (in kg)	Sum(Weight of biological 17,612,834 material)
(§31b) Percentage of biological materials (and biofuels for non-energy purposes) used to manufacture products and services (including packaging) that is sustainably sourced	= (Total weight of biological 98.55% packaging /
	Total weight of packaging)*100
(§31c) Absolute weight of non-virgin reused or recycled components, intermediary products and materials used to manufacture products and services (including packaging)1 (in kg)	Total weight of recycled 1,268,641 packaging
(§31c) Percentage of non-virgin reused or recycled components, intermediary products and materials used to manufacture products and services (including packaging)	= (Total weight of recycled packaging/	7.1%
	Total weight of packaging)*100

The total weight of the packaging amounts to 17,872,636.43 kg of which 98.55% are made of biological materials. This high percentage of biological materials is due to the fact that the majority of the materials used in the packaging are paper, cardboard and wood.

As this is the first year bpostgroup has collected this data, there is no reference year for comparison. bpostgroup plans to track these metrics annually to identify trends and evaluate progress in terms of sustainability and packaging efficiency.

Data and Evidence Gathering Process

Data Collection

To collect data on resource inflows, bpostgroup implemented a structured and transparent data-gathering process to obtain the required information from all entities. This process was conducted on two designated occasions during the year (Half Year 1 2024 and Half Year 2 2024), allowing entities to familiarize themselves with the data-gathering process ahead of the end-of-year period.

To ensure transparency, the following actions were taken:

Division of Metrics: Metrics were divided into indicators to facilitate their calculation.
Individual Data Provision: Each entity provided the indicators (i.e., raw data) directly to the bpostgroup ESG team, minimizing the need for transformations and assumptions.
Data Consolidation: All collected data were consolidated at the bpostgroup level.

Entities were also required to provide evidence of the correctness and completeness of the data, such as supplier invoices, relevant emails with important information, or Excel files.

To enhance transparency, a data lineage was created for each entity, mapping out the entire data collection process. This data lineage shows the complete journey that data goes through from its origin to its end use, describing how data moves through different systems, processes, and transformations.

6.2.3.6 E5-5 Resource Outflows

Disclaimer

The outflows of bpostgroup consist of packaging and waste. However, this report will primarily focus on the waste aspect of resource outflows since packaging is not modified in any way after inflows in bpostgroup's facilities, so its nature remains unchanged (e.g. packaging is folded only, with no material added or removed). Moreover, it has already been thoroughly addressed in Section E5-4 Resource Inflows.

Description Resource Outflows

Packaging outflow

(§35) The packaging that exits bpostgroup as a resource outflow enters bpostgroup as a resource inflow under the same conditions. As mentioned in Section E5-4 Resource inflows documentation, only adjustments such as folding and filling occur in bpostgroup's facilities. Consequently, the characteristics of recyclability, use of biological materials, and potential for secondary reuse and recycling remain unchanged as the packaging only moves through bpostgroup's facilities. Extra details you can find in E5-4 Metrics on resource inflows (packaging).

Waste outflow

(§38) Waste is generated at bpostgroup through various processes, such as removing plastic film from pallets, cardboard used in shipping and distribution, electronic waste from faulty equipment.

Types of waste are the following:

Aerosols
Aggregates
Average construction
Batteries
Brown goods
Chemical waste
Clothing
Commercial and industrial waste
Glass
Household residual waste
Insulation
Metal
Mineral oil
Organic
(e.g. Food and drink, garden, mixed)
Paper and board (e.g. Board, mixed, paper)
Plastics
Plastics: average plastic film
Soils
Waste from Electrical and Electronic Equipment (e.g., fridges and freezers, large, mixed, small)
Wood

Each entity manages its waste differently. For instance, bpost NV/SA's sorting centers utilize cardboard presses, and the compressed cardboard is collected by a recycling company that converts it into energy or recycles it. On the other hand, all bpostgroup entities have their own waste management companies. They all initially pre-sort waste before letting the waste management companies take it. However, the degree of recycling varies significantly depending on the capabilities of the recycling companies, leading to notable differences between entities. Moreover, bpostgroup's entities are spread over a wide geographical area (Europe, US, Australia, Asia), with different historical reporting regulations. While some entities (e.g. Europe) have historically had a detailed data granularity given local legislation, others (e.g. US) still have a lower level of data maturity. This leads to difficulties for some entities in providing data at the right granularity in 2024, preventing reporting across the entire bpostgroup scope for certain metrics. However, best practices from top level entities are shared by ESG teams to whole entities, in order to continuously improve the granularity of the data reported over the coming years.

The following table describes what data bpostgroup obtained from waste with the corresponding figures.

Details on Resource outflows (waste)

DATA	ABSOLUTE NUMBER IN KG	PERCENTAGE
Hazardous or	Hazardous: 1,778,280	Hazardous: 3.62%
non-hazardous waste	Non-Hazardous: 47,404,234	Non-Hazardous: 96.38%
Types of Waste	Commercial and industrial waste: 4,555,826	Commercial and industrial waste: 9.26%
	Glass: 1,445	Glass: 0.00%
	Household residual waste: 4,259,417	Household residual waste: 8.66%
	Organic: 148,571	Organic: 0.30%
	Plastics: 771,646	Plastics: 1.57%
	Wood: 1,092,510	Wood: 2.22%
	Mineral oil: 530	Mineral oil: 0.00%
	Paper and board: 30,025,354	Paper and board: 61.05%
	Batteries: 1,848	Batteries: 0.00%
	WEEE1 : 7,903,649	WEEE: 16.07%
	Aggregates: 24,472	Aggregates: 0.05%
	Soils: 11,205	Soils: 0.02%

DATA	ABSOLUTE NUMBER IN KG	PERCENTAGE
Types of Waste	Insulation: 43,240	Insulation: 0.09%
	Average construction: 900	Average construction: 0.00%
	Clothing: 18,990	Clothing: 0.04%
	Metal: 322,911	Metal: 0.66%
Diverted from disposal	44,570,952	90.62%
Reason for diversion	Recycling: 24,851,952 Other recovery operations: 6,009,600 Preparation for reuse: 13,709,401	Recycling: 50.53% Other recovery operations: 12.22% Preparation for reuse: 27.87%
Recycled waste	38,493,558	78.27%
Disposal type	Incineration: 679,087 Landfilling: 3,932,475	Incineration: 1.38% Landfilling: 8%

Based on this identification of the resource inflows and qualitative assessment, detailed metrics have been calculated. The first table contains an explanation on how the metrics were calculated.

Metric Explanations on Resource Outflows (Packaging and Waste)

CATEGORY	METRIC	METRIC CALCULATION
(§36c) Resource outflows - Packaging	Rates of recyclable content in products packaging	= (Total weight of recyclable packaging / Total weight of packaging)*100
(§37a 37b 37c 37d) Resource outflows - Waste	Total amount of waste generated from own operations (in kg)	= Sum(Waste mass KG)
	Total amount of hazardous waste diverted from disposal by weight (in kg) by recovery operation type	= Sum(Hazardous waste if (diverted from disposal)) by treatment type
	Total amount of non-hazardous waste diverted from disposal by weight (in kg) by recovery operation type	= Sum(Non-Hazardous waste if (diverted from disposal)) by treatment type
	Amount of hazardous waste directed to disposal by weight (in kg) by waste treatment type	= Sum(Hazardous waste if (directed to disposal)) by treatment type
	Total amount of non-hazardous waste directed to disposal by weight (in kg) by treatment type	= Sum(Non-Hazardous waste if (directed to disposal)) by treatment type
	Percentage of non-recycled waste	= (Total weight of waste not diverted from disposal /
		Total weight of waste)*100
	Total amount of non-recycled waste (in kg)	= Sum(waste if (non-recycled))
(§39) Hazardous waste	Total amount of hazardous waste generated	= Total amount of hazardous waste (Explosive, Oxidizing, Flammable, Irritant, Harmful, Toxic, Carcinogenic, Corrosive, Infectious, Teratogenic, Mutagenic, Toxic for reproduction, Eco-toxic)

Based on the explanations outlined above, the following metrics were calculated.

Metric Results on Resource Outflows (Packaging and Waste)

CATEGORY	METRIC	VALUE
E5-5 36c	Rates of recyclable content in products packaging	99.37%
E5-5 37a	Total amount of waste generated from own operations (in kg)	49,182,514
E5-5 37b	Total amount of hazardous waste diverted from disposal by weight (in kg) by recovery operation type	1,671,882
	(i) Preparation for reuse	101
	(ii) Recycling	1,375,051
	(iii) Other recovery operations	296,730
E5-5 37b	Total amount of non-hazardous waste diverted from disposal by weight (in kg) by recovery operation type	42,899,070
	(i) Preparation for reuse	13,709,300
	(ii) Recycling	23,476,900
	(iii) Other recovery operation	5,712,870

CATEGORY	METRIC	VALUE
E5-5 37c	Amount of hazardous waste directed to disposal by weight (in kg) by waste treatment type	106,398
	(i) Incineration	2,591
	(ii) Landfilling	103,806
	(iii) Other disposal operations	-
E5-5 37c	Amount of non-hazardous waste directed to disposal by weight (in kg) by waste treatment type
	(i) Incineration	676,496
	(ii) Landfilling	3,828,668
	(iii) Other disposal operations	-
E5-5 37d	Percentage of non-recycled waste (in kg)	21.73%
E5-5 37d	Total amount of non-recycled waste (in kg)	10,688,956
E5-5 39	Total amount of hazardous waste and radioactive waste generated by the undertaking, where radioactive waste is defined in Article 3(7) of Council Directive 2011/70/Euratom [List]	1,778,280

The total weight of the waste is 49,182,514 kg, an increase of 5% compared to last year, mainly due to improved data collection.

Notably, 78.27% of the waste is recycled and 90.62% is diverted from disposal. Diverted from disposal includes recycling, recovery operations and preparation for reuse. However, 3.932.475 kg or 8%, of the waste is still being landfilled, mostly by Radial NA .

Additionally, a portion of the waste (3.62%) is classified as hazardous waste mainly coming from activities from Dynagroup, such as batteries and other electronic waste. 77.32% of the hazardous waste gets recycled.

bpostgroup has a high rate (99.37%) of recyclable content in their packaging. This is largely attributed to the nature of the products it sells. With a significant percentage of its offerings consisting of materials such as paper, cardboard, and wood, the company is able to contribute to circularity.

Data Gathering Methodology

Methodology

To collect the data on resource outflows, the same structured and transparent data-gathering process as in Section E5-4 Resource inflows was implemented. The following actions were followed/completed:

The metrics were divided into indicators on which the entities provided us the data with the same Excel template that was made for the packaging.
Several meetings were held with the entities to ensure clarity and transparency.
The entities were required to upload the various evidence in the sharepoint and create a data lineage (i.e.. process of tracking how data is generated, transformed, transmitted, and used).

The different metrics on the packaging are shown in Table E5-4 Metrics on resource inflows (packaging). In Table E5-5 metric results on resource outflows (packaging and waste) and Table metric explanations on resource outflows (packaging and waste), you can find the different metrics for waste with the accompanying calculations.

Assumptions

In certain cases, we lacked qualitative data, such as information on whether waste is being recycled or not. In instances where we were unable to obtain proof or specific data, we assumed the worst-case scenario. For example, regarding waste management, when no specific treatment data was available, we assumed that this waste was entirely being sent to landfills.

Additionally, for some entities, we were unable to gather data for the last month of 2024. In these instances, we performed an extrapolation based on the available data from previous months and previous year when it was available in order to estimate the missing figures.

The total percentage of assumptions made for the Level 1 entities is estimated to be 5.02% on waste data and 3.67% on packaging data.

6.2.4 EU Taxonomy

6.2.4.1 Introduction

This section reports on the key performance indicators required under Regulation EU 2020/8521 and the related Delegated Acts² (the EU Taxonomy). The EU Taxonomy was enacted by the European Commission to support the objective of directing capital towards sustainable activities. Reaching this objective is essential to meet the EU ambition of becoming climate neutral by 2050.

The EU Taxonomy is a classification system defining which economic activities can be considered environmentally sustainable. An environmentally sustainable activity is one that:

Is included in the EU Taxonomy under one of the six environmental objectives (i.e., is considered a 'Taxonomy-eligible' activity);
Meets the Technical Screening Criteria to prove Substantial Contribution to one or more environmental objectives (detailed in section 6.2.4.3.1);
Does not significantly harm any of the other environmental objectives (detailed in section 6.2.4.3.2);
Complies with the Minimum Safeguards3 requirements, which address human rights, anti-corruption and anti-bribery, taxation and fair competition).

An environmentally sustainable activity, also referred to as a 'Taxonomy-aligned' activity, is considered to make a substantial contribution to one of the six environmental objectives of the EU Taxonomy, without doing any significant harm to any of the other objectives:

climate change mitigation;
climate change adaptation;
the sustainable use and protection of water and marine resources;
the transition to a circular economy;
pollution prevention and control;
the protection and restoration of biodiversity and ecosystems.

As a logistics and postal company, bpostgroup strives to reduce our impact on the environment on several levels, as described within this chapter '6.2. Environmental Information', specifically sections '6.2.1. Climate Change and '6.2.2 Air Pollution'; 6.2.3 Resource use and Circular Economy' of this report to inform our stakeholders where bpostgroup stands in our sustainable journey. In this section we look at our contribution through the lens of EU Taxonomy, legislation which continues to evolve and for which no common interpretation yet exists within the postal and logistics sector. In this third year of reporting, bpostgroup has chosen to continue its prudent approach to assess Taxonomy-eligibility and alignment.

EU Taxonomy eligibility and alignment must be reported as financial Key Performance Indicators (KPIs), as percentages of a company's total revenue, CapEx additions and OpEx. In the event that the total amount of OpEx is considered not material for the business model of the company, that company is exempt from the requirement to calculate the numerator of the OpEx percentage, and instead should disclose the numerator as being equal to zero and report the value of the denominator (total amount of OpEx). bpostgroup's EU Taxonomy KPIs are detailed in section 6.2.4.4.

6.2.4.2 bpostgroup EU Taxonomy eligibility assessment process

A 'Taxonomy-eligible' economic activity is one that is described in the EU Taxonomy. When an economic activity is 'Taxonomy-eligible', it has the potential to be environmentally sustainable (i.e. 'Taxonomy-aligned') if it meets additional criteria (see section 6.2.4.3) laid out in the related Delegated Acts.

The evaluation of our eligible activities under the EU Taxonomy involved the following steps:

¹ Regulation EU 2020/852 of the European Parliament and of the Council, published in the Official Journal of the European Union on June 22, 2020.

² This includes the Climate Delegated Act (Commission Delegated Regulation (EU) 2021/2139 of June 4, 2021), the Disclosures Delegated Act (Commission Delegated Regulation (EU) 2021/2178 of July 6, 2021), the Complementary Climate Delegated Act (Commission Delegated Regulation (EU) 2022/1214 of March 9, 2022), the Environmental Delegated Act (Commission Delegated Regulation (EU) 2023/2486 of 27 June 2023) and all related Annexes.

³ The Minimum Safeguards shall be procedures implemented by a company that is carrying out an economic activity to ensure the alignment with the OECD Guidelines for Multinational Enterprises and the UN Guiding Principles on Business and Human Rights, including the principles and rights set out in the eight fundamental conventions identified in the Declaration of the International Labour Organisation on Fundamental Principles and Rights at Work and the International Bill of Human Rights.

a) Looking for a match based on bpostgroup's main NACE Code (H53.10 Postal activities under universal service obligation). This resulted in a match with activity 6.6 Freight transport services by road (contributing to the environmental objective of climate change mitigation)
b) Reviewing the description of the activities under our NACE Code4 .
c) Further screening our activities and matching them with other activities described in the EU Taxonomy (besides activity 6.6 listed above).
d) The result of this second screening led us to identify the following additional eligible activities performed by bpostgroup. All of the identified activities contribute to the environmental objective of climate change mitigation:
- i) 6.4 Operation of personal mobility devices, cycle logistics
- ii) 6.5 Transport by motorbikes, passenger cars and light commercial vehicles
- iii) 6.15 Infrastructure enabling low-carbon road transport and public transport (transshipment infrastructure). We have considered all of our sorting centers in the EU as part of the transshipment infrastructure included in the description provided by the EU Taxonomy.

The eligibility analysis was performed by collaborating with and involving each of the relevant business units, as well as the Corporate and Support Units which carried out the mapping exercise detailed above.

The identification of potential eligible activities for bpost has been performed considering the whole set of environmental objectives and we did not identify any eligible activities that might contribute to multiple environmental objectives.

At this stage bpostgroup considers that, consistent with reporting in previous years, revenue-generating activities of Third Party Logistics activities in Europe and North America and the major part of our Global X-Border activities are not in explicit scope of the activity descriptions presented in the EU Taxonomy. Therefore, adopting a prudent approach, bpostgroup considers the activities of all of our e-commerce fulfilment centres as non-eligible. This analysis has been made based on bpostgroup's best interpretation efforts while maintaining the prudent approach mentioned above, as the guidance from the EU on the interpretation of what is included or excluded in a specific activity is limited. By adopting this prudent approach, the scope of this analysis focuses on the Belgian activities of the group. All activities were 100% eligible in 2023 & 2024.

6.2.4.3 bpostgroup EU Taxonomy alignment assessment process

An 'aligned economic activity' is one that is Taxonomy-eligible, and furthermore meets the accompanying Technical Screening criteria to prove Substantial Contribution to one of the environmental objectives of the EU Taxonomy, the Do No Significant Harm criteria for that activity and the Minimum Safeguards requirements. Such an economic activity is considered environmentally sustainable ('Taxonomy-aligned').

The evaluation of our eligible activities to determine if they are additionally aligned under the EU Taxonomy involved the following steps:

a) For each eligible activity, analyzing whether the applicable Substantial Contribution criteria for that activity are also met.
b) For each eligible activity, analyzing whether the Do No Significant Harm criteria for that eligible activity are also met.
c) Analyzing whether bpostgroup as a whole complies with the Minimum Safeguards.

6.2.4.3.1 Substantial Contribution Technical Screening Criteria

The Technical Screening criteria which must be applied to determine whether an eligible activity makes a substantial contribution to one of the environmental objectives of the Taxonomy are different for each Taxonomy-defined activity. It Is therefore necessary to separately examine the various Taxonomy-eligible bpostgroup activities as they are grouped under the Taxonomy.

Local delivery services

A significant portion of bpostgroup's postal delivery services is conducted by (e-)bike and/or cargo bike and are considered Taxonomy-eligible under Taxonomy activity 6.4 Operation of personal mobility devices, cycle logistics. As these activities are inherently 'green', the substantial contribution criteria are relatively straightforward: the activity must employ zero-emission personal mobility devices powered by the user,

⁴ The EU Taxonomy includes a reference to NACE codes (Revision 2) on each activity. However, such references are only indicative and do not prevail over the specific definition provided in the text of the Climate Delegated Act.

a battery or a combination of both, and the mobility devices must be legally permitted to operate on the same infrastructure as bicycles or pedestrians. The bpostgroup activities identified as Taxonomy-eligible under this activity meet these Technical Screening Criteria. The percentage of alignment in 2023 was 100%, and it remained 100% in 2024.

Medium-range delivery services

For somewhat longer distances and larger packages, bpostgroup employs a fleet of light commercial vehicles, which is in the process of being converted from internal combustion engines to electric power. Taxonomy-eligible under Taxonomy activity 6.5 Transport by motorbikes, passenger cars and light commercial vehicles, such delivery services are subject to a Technical Screening criterion for vehicle emissions: light vehicles for the carriage of goods (vehicle category N1) must emit no more than 50 gCO² /km. Delivery services conducted with bpostgroup's electric delivery vans meet this requirement.The percentage of alignment in 2023 was 0.3% due to strict criteria on electric engines & tires regulation. This percentage evolved to 9.5% in 2024 thanks to more eletricification & larger adoption of compliant tires.

Bulk transport of post and packages

For the bulk transport of post and packages over longer distances, bpostgroup employs a modern fleet of conventional lorries and tractortrailers which includes one electric truck, and which is eligible under Taxonomy activity 6.6 Freight transport services by road. Additionally none of the bpost group vehicles is dedicated to the transport of fossil fuels. However, the Technical Screening Criteria for Substantial Contribution are stringent: heavy-duty vehicles (trucks/lorries and tractor-trailers falling under vehicle categories N1, N2 and N3) must be either zero-emission or qualify as 'low-emission heavy-duty vehicles⁵ ' with specific CO² emissions of less than half of the reference CO2 emissions of all vehicles in their vehicle sub-group. Therefore, only the one electric truck meets this criterion. Taxonomy-eligible bulk transport by conventional vehicles, which produce emissions that can be considered average for their vehicle sub-group, does not meet the set emissions requirement. Because Taxonomy-alignment depends on the abovementioned Technical Screening Criteria which are meant to be applied to the vehicle pulling the trailer, the positive impact of bpostgroup's fleet of double-decker trailers is not reflected in the Taxonomy-aligned revenue. Nevertheless, these trailers can be seen to have a significant impact, providing 60% increased load capacity with translates into 40% lower carbon emissions for the amount of freight transported, as well as fewer trucks on the road, reducing traffic congestion. The percentage of alignment in 2023 was at 0% given the stringent criteria on electric engines & tires regulation. In 2024, an electric truck was acquired, meeting the technical criteria for electric engine, although this specific truck did not meet the tire criteria for the tires. Therefore, the alignment in 2024 remains 0%.

Supporting infrastructure

All bpostgroup's delivery services depend on a supporting network of sorting and distribution centers, which seek to adhere to the latest environmental standards. Activities related to postal and package delivery (excluding e-commerce logistics) are considered Taxonomyeligible under activity 6.15 Infrastructure enabling low-carbon road transport and public transport. The Technical Screening criteria specify that infrastructure and installations must be dedicated to transshipping freight between the modes: terminal infrastructure and superstructures for loading, unloading and transshipment of goods. Additionally, the infrastructure must not be dedicated to the transport or storage of fossil fuels. The identified bpostgroup Taxonomy-eligible activities meet these Technical Screening criteria. The percentage of alignment reported in 2023 was 100% based on an extrapolation from an analysis conducted for 1 large building. In 2024, due to a more comprehensive analysis done on 51% of the infrastructure and the fact that, in a very prudent approach, only the analyzed buildings were considered for alignment purpose, the alignment reaches 45%.

6.2.4.3.2 Do No Significant Harm Technical Screening Criteria

In order to qualify for alignment, Taxonomy-eligible activities must also not do any significant harm to any of the environmental objectives of the EU Taxonomy. Although there is substantial overlap, the specific Do No Significant Harm criteria can differ per Taxonomy-defined activity.

All Taxonomy-eligible activities

As part of the Do No Significant Harm criteria, all bpostgroup Taxonomy-eligible delivery services and supporting infrastructure must be subject to a robust climate risk and vulnerability assessment. Similarly, for all eligible activities, measures must be in place to reduce waste during use and at end-of-life, in line with the transition to a circular economy. In Q4 2024, bpost group conducted the first phase of Global Climate Risk Assessment plan covering the entirety of its buildings worldwide and updating , for the most critical buildings in Belgium, a prior Belgian Climate Risk and Vulnerability analysis done in 2022 for the entire bpost NV/SA sites in Belgium. The vulnerability part of this global analysis will be conducted in 2025 and adaptation plans will be built accordingly.

Activities employing transport vehicles

To prevent pollution, the tires used on light commercial vans, lorries and tractor-trailers must comply with the highest class (class A) of external rolling noise requirements, and must comply with one of the highest two classes (class A or B) for energy efficiency (rolling

⁵ As defined in Article 3, point (12), of Regulation (EU) 2019/1242 of June 20, 2019.

resistance). Moreover, building on the Do No Significant Harm requirements for circular economy, bpostgroup's light delivery vans and bulk transport vehicles must be reusable or recyclable to a minimum of 85% by weight, and reusable or recoverable to a minimum of 95% by weight to qualify for Taxonomy-alignment.

Currently 46.7% of the electric vans are fitted with tires that meet the abovementioned do no significant harm requirement for pollution prevention, an increase from just 2.5% in the previous year. Measures have been taken to ensure that all newly-purchased electric vans are directly fitted with Taxonomy-compliant tires. For older e-vans that are still fitted with non-compliant tires, bpostgroup employs a prudent approach to replace non-compliant tires with Taxonomy-compliant ones in the course of normal operations. As the tires on the electric van fleet are replaced over time as a result of normal use, the percentage of Taxonomy-aligned revenue for this activity will continue to increase.

The one electric truck is currently not fitted with tires that meet the abovementioned Do No Significant Harm requirement for pollution prevention. When the tires are due to be replaced, it is expected that compliant tires will be fitted.

Supporting infrastructure

Additional Do No Significant Harm requirements apply for supporting infrastructure (sorting and distribution centers). Environmental degradation risks related to preserving water quality and avoiding water stress are identified and addressed. At least 70 % (by weight) of any non-hazardous construction and demolition waste that is generated on construction sites is prepared for reuse, recycling and other material recovery, and where applicable the EU Construction and Demolition Waste Management Protocol is followed. Where relevant, noise and vibrations from use of infrastructure are mitigated, and during construction or maintenance works measures are taken to reduce noise, dust and pollutant emissions. An Environmental Impact Assessment or screening has been completed, and where an Environmental Impact Assessment has been carried out, the required mitigation and compensation measures for protecting the environment are implemented if required by the permit . For sites/operations located in or near biodiversity-sensitive areas an appropriate assessment, where applicable, has been conducted and any necessary mitigation measures are implemented.

The most strategic buildings (17 in total, covering 51% of total m² of transshipment activities) in Belgium were analyzed to understand whether each environmental dimension from the DNSH (water, waste, pollution, noise, vibration, biodiversity) is addressed by reviewing in details the permits to verify those dimensions are concretely addressed. For Biodiversity, a specific analysis using Ibat database was conducted to identify the transshipment buildings located close to a biodiversity-sensitive areas and we paid attention to the Environmental Impact Assessment in the permit or whether such an assessment was considered as not needed due to the nature of the activity. When the permit required implementation of mitigation measures, we checked on the implementation of these.

17 buildings were selected representing 51% of the overall total m² of all supporting infrastructure. Taking a prudent approach, the percentage of alignment is limited to the coverage of this selection. It was found that the selected buildings are aligned to 87% to the DNSH criterions based on available documentation (we missed appropriate evidence of construction waste disposal for 1 building) . The selection represents 51% of the full supporting infrastructure. Therefore, the final alignment was limited to 45%. bpostgroup has the intention to extend the selection of buildings to expand the analysis, which will provide a more truthful representation of the alignment of the supporting infrastructure, as the current alignment percentage is mostly limited due to the coverage of the selection, and not the actual measures adopted throughout the supporting infrastructure.

6.2.4.3.3 Minimum Safeguards

To be compliant with the Minimum Safeguards requirements as set out in the EU Taxonomy, a company must implement procedures to ensure its actions are conducted in accordance with the following international standards:

the OECD Guidelines for Multinational Enterprises;
the UN Guiding Principles on Business and Human Rights;
the principles and rights set out in the eight fundamental conventions identified in the Declaration of the International Labour Organisation on Fundamental Principles and Rights at Work;
the International Bill of Human Rights.

In addition to the already established procedures, bpostgroup has continued to progressively introduce measures concerning the topics of human rights, anti-corruption and anti-bribery, taxation and fair competition. These measures are considered to provide a sufficient level of assurance to conclude bpostgroup's compliance with the Minimum Safeguards requirements. The mininum safeguard assessment was carried by cross-checking the international standards above with the internal practices of bpostgroup.

For more information, see the sections 6.3 Social information and 6.4 Governance information of bpostgroup's FY2024 Annual Report, and bpostgroup's Human Rights Policy.

6.2.4.4 EU Taxonomy KPIs

6.2.4.4.1 Turnover

FINANCIAL YEAR 2024		YEAR				SUBSTANTIAL CONTRIBUTION CRITERIA					( 'DOES NOT SIGNIFICANTLY HARM')	DNSH CRITERIA
ECONOMIC ACTIVITIES (1)	CODE (2)	TURNOVER (3) EUR MILLION	PROPORTION OF TURNOVER, YEAR 2024 (4)	CLIMATE CHANGE MITIGATION (5)	CLIMATE CHANGE ADAPTATION (6)	WATER (7)	POLLUTION (8)	CIRCULAR ECONOMY (9)	BIODIVERSITY (10)	CLIMATE CHANGE MITIGATION (11)	CLIMATE CHANGE ADAPTATION (12)	WATER (13)	POLLUTION (14)	CIRCULAR ECONOMY (15)	BIODIVERSITY (16)	MINIMUM SAFEGUARDS (17)	OR -ELIGIBLE (A.2.) TURNOVER, YEAR N-1 (18) PROPORTION OF TAXONOMY-ALIGNED (A.1.)	CATEGORY ENABLING ACTIVITY (19)	CATEGORY TRANSITIONAL ACTIVITY (20)
A. TAXONOMY-ELIGIBLE ACTIVITIES
A.1. Environmentally sustainable activities (Taxonomy-aligned)
Operation of personal mobility devices, cycle logistics	CCM 6.4	16.3	0.4%	Y	N/EL	N/EL	N/EL	N/EL	N/EL	n.a.	Y	n.a.	n.a.	Y	n.a.	Y	0.3%
Transport by motorbikes, passenger cars and light commercial vehicles	CCM 6.5	109.4	2.5%	Y	N/EL	N/EL	N/EL	N/EL	N/EL	n.a.	Y	n.a.	Y	Y	n.a.	Y	0.3%
Infrastructure enabling low carbon road transport and public transport	CCM 6.15	305.9	7.0%	Y	N/EL	N/EL	N/EL	N/EL	N/EL	n.a.	Y	Y	Y	Y	Y	Y	15.0%	E
Turnover of environmentally sustainable activities (Taxonomy aligned (A.1.)		431.6	9.9%	100.0%	0%	0%	0%	0%	0%	n.a.	Y	Y	Y	Y	Y	Y	15.5%
Of which enabling		305.9	7.0%	70.9%	0%	0%	0%	0%	0%	n.a.	Y	Y	Y	Y	Y	Y	15.0%	E
Of which transitional		0.0	0.0%	0.0%						n.a.	n.a.	n.a.	n.a.	n.a.	n.a.	n.a.	0.0%
A.2. Taxonomy-Eligible but not environmentally sustainable activities (not Taxonomy-aligned activities)
Transport by motorbikes, passenger cars and light commercial vehicles	CCM 6.5	1,033.5	23.8%	Y	N/EL	N/EL	N/EL	N/EL	N/EL								28.5%
Freight transport services by road	CCM 6.6	151.4	3.5%	Y	N/EL	N/EL	N/EL	N/EL	N/EL								3.1%
Infrastructure enabling low carbon road transport and public transport	CCM 6.15	373.9	8.6%	Y	N/EL	N/EL	N/EL	N/EL	N/EL								0.0%
Turnover of Taxonomy-eligible but not environmentally sustainable activities (A.2.)		1,558.9	35.9%	100.0%	0%	0%	0%	0%	0%								31.5%
Turnover of Taxonomy-eligible activities (A.1. + A.2.)		1,990.5	45.9%														47.0%
B. TAXONOMY-NON-ELIGIBLE ACTIVITIES
Turnover of Taxonomy-non-eligible activities		2,350.8	54.1%

TOTAL 4,341.3 100.0%

Numerator

The numerator includes the eligible and aligned net revenue related to the economic activities listed below:

6.4. Operation of personal mobility devices, cycle logistics
6.5. Transport by motorbikes, passenger cars and light commercial vehicles
6.6. Freight transport services by road
6.15. Infrastructure enabling low-carbon road transport and public transport

From this list, only activity 6.15 could be considered as enabling, as referred to in Article 10(1) point (i) of Regulation (EU) 2020/852.

In line with bpostgroup's eligibility analysis, the numerator does not include revenue from e-fulfillment center activities. Third Party Logistics North America and Europe and a major part of global Cross border activities turnover, hence a major part of bpostgroup turnover has been excluded for eligibility and alignment upon the interpretation by bpostgroup of the EU legislation.

Double counting was avoided by following bpostgroup's financial reporting process; each unit provided the information separately, based on the classification of activities. Total net revenues were then aggregated and validated by the finance consolidation team. As the analysis focused on bpost NV/SA, there was no intercompany transaction.

To calculate Taxonomy-eligible and Taxonomy-aligned revenue, the revenue associated with each Taxonomy-eligible activity must first be identified. bpostgroup revenues are not grouped in a way that could allow for a straightforward allocation of revenue to the identified Taxonomy-eligible activities. For this reason, a cost-based allocation key was used to assign revenues to the Taxonomy-eligible activities in proportion to the costs that were incurred for those activities.

Denominator

The denominator is the total net turnover for the financial year 2024, as seen in the consolidated income statement included in the financial consolidated statements.

Comments on the KPI's

There is an increase in the proportion of the taxonomy aligned turnover from the activity "transport by motorbike, passenger car and light commercial vehicle from 0.3% to 2.5%. (% of total bpostgroup turnover). This reflects the extension of our fleet of electric delivery vans, with all new vans equipped with taxonomy compliant tires. For perspective if all e-vans in the fleet were equipped with compliant tires, this percentage would rise to 5.3%.

On the other hand we see a significant decrease in the proportion of taxonomy aligned revenue from the activity "infrastructure enabling low-carbon road transport and public transport" from 15% to 7.0% (% of total bpostgroup turnover). As outlined above, this reflects the more prudent approach to only consider the fully analyzed building covering 51% of our transshipment capacity for the alignment calculation as opposed to the sample based extrapolation we used in previous years. This does not reflect a decrease in the sustainability of our transshipment infrastructure especially as we build or renovate our buildings according to very high environmental standards (e.g. Evere mail center case explained in this report) . For perspective, if the degree of alignment found on our the sample of transhipment buildings analyzed (87%) was extrapolated to the entire population of buildings, the % of aligned revenue from this activity would rise to 13.6%.

6.2.4.4.2. CapEx

FINANCIAL YEAR 2024		YEAR		SUBSTANTIAL CONTRIBUTION CRITERIA							DNSH CRITERIA ( 'DOES NOT SIGNIFICANTLY HARM')
ECONOMIC ACTIVITIES (1)	CODE (2)	EUR CAPEX (3) MILLION	PROPORTION OF CAPEX, YEAR 2024 (4)	CLIMATE CHANGE MITIGATION (5)	CLIMATE CHANGE ADAPTATION (6)	WATER (7)	POLLUTION (8)	CIRCULAR ECONOMY (9)	BIODIVERSITY (10)	CLIMATE CHANGE MITIGATION (11)	CLIMATE CHANGE ADAPTATION (12)	WATER (13)	POLLUTION (14)	CIRCULAR ECONOMY (15)	BIODIVERSITY (16)	MINIMUM SAFEGUARDS (17)	PROPORTION OF TAXONOMY-ALIGNED (A.1.) OR -ELIGIBLE (A.2.) CAPEX, YEAR N-1 (18)	CATEGORY ENABLING ACTIVITY (19)	CATEGORY TRANSITIONAL ACTIVITY (20)
A. TAXONOMY-ELIGIBLE ACTIVITIES
A.1. Environmentally sustainable activities (Taxonomy-aligned)
Operation of personal mobility devices, cycle logistics	CCM 6.4	4.9	1.9%	Y	N/EL	N/EL	N/EL	N/EL	N/EL	n.a.	Y	n.a.	n.a.	Y	n.a.	Y	0.1%
Transport by motorbikes, passenger cars and light commercial vehicles	CCM 6.5	2.6	1.0%	Y	N/EL	N/EL	N/EL	N/EL	N/EL	n.a.	Y	n.a.	Y	Y	n.a.	Y	0.1%
Infrastructure enabling low carbon road transport and public transport	CCM 6.15	7.1	2.8%	Y	N/EL	N/EL	N/EL	N/EL	N/EL	n.a.	Y	Y	Y	Y	Y	Y	31.6%	E
CapEx of environmentally sustainable activities (Taxonomy-aligned (A.1.)		14.5	5.7%	100.0%	0%	0%	0%	0%	0%	n.a.	Y	Y	Y	Y	Y	Y	31.8%
Of which enabling		7.1	2.8%	48.6%	0%	0%	0%	0%	0%	n.a.	Y	Y	Y	Y	Y	Y	31.6%	E
Of which transitional		0.0	0.0%	0.0%						n.a.	n.a.	n.a.	n.a.	n.a.	n.a.	n.a.	0.0%
A.2. Taxonomy-Eligible but not environmentally sustainable activities (not Taxonomy-aligned activities)
Transport by motorbikes, passenger cars and light commercial vehicles	CCM 6.5	24.7	9.7%	Y	N/EL	N/EL	N/EL	N/EL	N/EL								11.5%
Freight transport services by road	CCM 6.6	12.6	4.9%	Y	N/EL	N/EL	N/EL	N/EL	N/EL								3.0%
Infrastructure enabling low carbon road transport and public transport	CCM 6.15	8.6	3.4%	Y	N/EL	N/EL	N/EL	N/EL	N/EL								0.0%
CapEx of Taxonomy-eligible but not environmentally sustainable activities (A.2.)		45.9	18.0%	100.0%	0%	0%	0%	0%	0%								14.5%
CapEx of Taxonomy-eligible activities (A.1. + A.2.)		60.5	23.7%														46.3%
B. TAXONOMY-NON-ELIGIBLE ACTIVITIES

CapEx of Taxonomy-non-eligible 194.4 76.3%

activities
TOTAL 254.9 100.0%

Numerator

The numerator includes: (i) CapEx linked to the taxonomy-eligible and taxonomy-aligned activities listed in Section 6.2.4.4.1 above and (ii) CapEx linked to expenses related to other taxonomy-eligible and taxonomy-aligned economic activities, following Section 1.1.2.2 of Annex I of the Disclosures Delegated Act. Based on the description of the capex and its nature, the capex was assocatied with the corresponding activities of the EU taxonomy. EAch capex is only associated to one activity. The total EU Taxonomy-eligible CapEx is mainly calculated from the following economic activities:

6.4. Operation of personal mobility devices, cycle logistics
6.5. Transport by motorbikes, passenger cars and light commercial vehicles
6.6. Freight transport services by road
6.15. Infrastructure enabling low-carbon road transport and public transport

From this list, only activity 6.15 could be considered as enabling, as referred to in Article 10(1) point (i) of Regulation (EU) 2020/852.

Importantly , the numerator does not include large Capex amounts related to work in progress investments for the extension of our Fleurus sorting center , the construction of our new Charleroi mail center and the refurbishment of our Vilvoorde mail center. This reflects a very prudent approach in light of the taxonomy strict requirements ( DNSH and requirement for a formally approved Taxonomy Capex plan). Those buildings, when finished , will meet very high environmental standards ( such as for the new Evere mail center) in line with bpostgroup strategy. We plan to include them in the assessment for Taxonomy aligned revenue when they come in operation.

Denominator

The denominator is comprised of bpostgroup total CapEx (investments made in the financial year 2024) and additions of right-of-use assets, as seen in the consolidated income statement included in the financial consolidated statements.

Comments

We see a decrease in the percentage of taxonomy eligible Capex in 2024 vs 2023 from 46.3% to 23.7% . Besides year on year fluctuations in Capex , this reflects the exclusion of Capex related to the work in progress construction/renovation in Fleurus Sorting Center , Charleroi Mail Center and Vilvoorde mail centers for an amount of about 26.5 million Euros. Should this Capex be considered eligible, the percentage eligibility for 2024 would rise to 34%

We also see a decrease in the percentage of taxonomy aligned Capex in 2024 vs 2023 from 31,8% to 5.7%

This reflects the exclusion of Capex related to the work in progress construction/renovation work in Fleurus, Charleroi and Vilvoorde as well as the more conservative approach taken for the alignment of the transshipment infrastructure as explained in section 6.2.4.3.2. and netting to a 45% alignment. For perspective, Should we consider the Fleurus, Charleroi and Vilvoorde related investments as aligned and extrapolated the 87% alignment achieved on the 17 buildings analyzed , the percentage Capex alignment for 2024 would rise to 18,7%

163

FINANCIAL YEAR 2024		YEAR					SUBSTANTIAL CONTRIBUTION CRITERIA				( 'DOES NOT SIGNIFICANTLY HARM')	DNSH CRITERIA
ECONOMIC ACTIVITIES (1)	CODE (2)	EUR OPEX (3) MILLION	PROPORTION OF OPEX, YEAR 2024 (4)	CLIMATE CHANGE MITIGATION (5)	CLIMATE CHANGE ADAPTATION (6)	WATER (7)	POLLUTION (8)	CIRCULAR ECONOMY (9)	BIODIVERSITY (10)	CLIMATE CHANGE MITIGATION (11)	CLIMATE CHANGE ADAPTATION (12)	WATER (13)	POLLUTION (14)	CIRCULAR ECONOMY (15)	BIODIVERSITY (16)	MINIMUM SAFEGUARDS (17)	PROPORTION OF TAXONOMY ALIGNED (A.1.) OR ELIGIBLE (A.2.) OPEX, YEAR N-1 (18)	CATEGORY ENABLING ACTIVITY (19)	CATEGORY TRANSITIONAL ACTIVITY (20)
A. TAXONOMY-ELIGIBLE ACTIVITIES
A.1. Environmentally sustainable activities (Taxonomy-aligned)
OpEx of environmental sustainable activities (Taxonomy-aligned (A.1)		0	0%	%	%	%	%	%	%	Y	Y	Y	Y	Y	Y	Y	0%
Of which enabling		0	0%	%	%	%	%	%	%	Y	Y	Y	Y	Y	Y	Y	0%	E
Of which transitional		0	0%							Y	Y	Y	Y	Y	Y	Y	0%		T
A.2. Taxonomy-Eligible but not environmentally sustainable activities (not Taxonomy-aligned activities)
OpEx of Taxonomy-eligible but not environmentally sustainable activities (not Taxonomy-aligned activities) (A.2)		0	0%	%	%	%	%	%	%								0%
OpEx of Taxonomy eligible activities (A.1+A.2)		0	0%	%	%	%	%	%	%								0%
	B. TAXONOMY-NON-ELIGIBLE ACTIVITIES
OpEx of Taxonomy-non-eligible activities (B)		4,459.4	100%
TOTAL		4,459.4	100%

The EU Taxonomy follows a limited definition of OpEx. According to Section 1.1.3.1 of Annex I of the Disclosures Delegated Act, the only expenses to be considered as part of the OpEx KPI are direct non-capitalized costs from: research and development, building renovation measures, short-term leases, maintenance and repair, and other day-to-day expenses for the servicing of property, plant & equipment. Within this limited EU Taxonomy definition, bpostgroup identifies short-term leases and maintenance and repair expenses (under the bpost accounts 'rent and rental costs' and 'maintenance and repairs', respectively).

According to Section 1.1.3.2 of Annex I of the Disclosures Delegated Act, companies are exempted from the calculation of the numerator of the OpEx KPI in the event that the OpEx figure is not material for the business model. The OpEx numerator should be thereby be disclosed as being equal to zero. For FY2024 the total value of the OpEx denominator as per the EU Taxonomy definition of OpEx specified in Section 1.1.3.1 of Annex I of the Disclosures Delegated Act equals 226.2 mEUR. This amount is small compared to the total bpostgroup operating expenses and the total size of the bpostgroup business and is therefore considered not material for bpostgroup's business model. Major contributors to bpostgroup's business model are payroll costs, interim costs and transport costs which are not part of the definition of OpEx within EU Taxonomy. Employing this exemption from the calculation of the OpEx KPI numerator, the OpEx numerator is disclosed as zero.

6.2.4.4.3. OpEx

6.2.4.5 Mandatory disclosure on Nuclear and Gas

Article 8(6) and 8(7) of the Disclosures Delegated Act (Commission Delegated Regulation (EU) 2021/2178 of July 6, 2021) requires companies to disclose on nuclear- and gas-related activities, using the mandatory table provided In Annex 3 of the Complementary Climate Delegated Act (Commission Delegated Regulation (EU) 2022/1214 of March 9, 2022).

bpostgroup does not engage in any nuclear energy or fossil gas related activities.

ROW	NUCLEAR ENERGY RELATED ACTIVITIES
1.	The undertaking carries out, funds or has exposures to research, development, demonstration and deployment of innovative electricity generation facilities that produce energy from nuclear processes with minimal waste from the fuel cycle.	YES/NO
2.	The undertaking carries out, funds or has exposures to construction and safe operation of new nuclear installations to produce electricity or process heat, including for the purposes of district heating or industrial processes such as hydrogen production, as well as their safety upgrades, using best available technologies.	YES/NO
3.	The undertaking carries out, funds or has exposures to safe operation of existing nuclear installations that produce electricity or process heat, including for the purposes of district heating or industrial processes such as hydrogen production from nuclear energy, as well as their safety upgrades.	YES/NO
	FOSSIL GAS RELATED ACTIVITIES
4.	The undertaking carries out, funds or has exposures to construction or operation of electricity generation facilities that produce electricity using fossil gaseous fuels.	YES/NO
5.	The undertaking carries out, funds or has exposures to construction, refurbishment, and operation of combined heat/cool and power generation facilities using fossil gaseous fuels.	YES/NO
6.	The undertaking carries out, funds or has exposures to construction, refurbishment and operation of heat generation facilities that produce heat/cool using fossil gaseous fuels.	YES/NO

6.3 Social Information

6.3.1. ESRS S1 - Own Workforce

6.3.1.1 S1 SBM-3 – Interests and Views of Stakeholders

Description of Own Workers

Our workforce from operations, value chain and business relationships affected by material impact are included and detailed extensively in ESRS 2, along with other key bpostgroup's stakeholders.

bpostgroup's Own Workers include all types of workers who could be materially impacted by its operations, spanning direct employees, fixed-term contract workers, temporary personnel, and individuals provided by third-party contractors. Approximately 92% of bpostgroup's workforce holds permanent contracts, with temporary personnel accounting for about 8%—below the OECD average of 16%.

Temporary and part-time staff are primarily used for momentary internal worker shortages, which adds flexibility to meet short-term needs without destabilizing long-term employment. bpostgroup ensures that temporary workers (e.g. fixed-term contracts) receive social protections and benefits in line with local requirements, helping mitigate risks.

6.3.1.2 S1 SBM-3 – Material Impacts, Risks and Opportunities and their interaction with Strategy and Business Model

Actual Impacts on our Own Workers

Nature and Beneficiaries of Positive Impact Actions

bpostgroup actively creates a safer working environment by equipping its workforce with safer vehicles and strengthening protective measures, which boost workplace safety and employee satisfaction. The company's commitment to fair compensation, labor rights, and employee engagement across all levels enhances its reputation as a responsible employer and contributes to productivity gains.

By respecting freedom of association and participating in constructive collective bargaining, bpostgroup fosters trust and mutual respect between management and employees. Additionally, the company promotes employability and retention through skills-focused training, job rotation, and subsidies for low-skilled workers to build technical skills, ensuring the workforce is well-prepared for sustainable transitions. Initiatives to promote gender equality, equal pay, and gender-neutral image of the sector further position bpostgroup as an inclusive employer, expanding its talent pool and supporting diversity.

These positive impacts are evident across all regions where bpostgroup operates, with specific programs tailored to meet regional needs and regulatory requirements.

Actions' Negative Impact Identification and Materiality

No widespread or systemic issues like child or forced labor within its operations were identified. However, certain isolated risks could materially impact workforce well-being, operations, and reputation. Exposure to heavy machinery, moving equipment, and night shifts may lead to health costs, litigation, and work disruptions. Cultural differences across the global workforce can create misalignment in safety priorities and labor regulations, increasing accident risks. The physical demands of some roles also raise healthcare, insurance, and absenteeism costs, with repetitive tasks and high turnover impacting retention and stability.

Low-skilled workers are especially vulnerable due to language barriers and limited job-specific training, which can lead to misunderstandings and accidents. Misconduct or disrespectful behavior create a risk of legal action and reputational damage. Limited diversity in top management, which remains predominantly male, might affect bpostgroup's attractiveness and retention of diverse talent, with a lack of diversity weakening business resilience and exposing reputational risks.

Overall, while these impacts are not widespread across the company, isolated incidents and context-specific risks indicate areas where bpostgroup is focusing on continuous improvement in labor practices, safety standards, and workforce diversity to strengthen operational and reputational resilience.

bpostgroup holds personal data but does not currently handle highly sensitive employee information. Materiality may evolve with developments such as AI integration or an increase in cyberattacks.

The implementation ofthe GDPR policy is closely monitored by the Data PrivacyOfficer(DPO), ensuring compliance and proactive risk management.

Specific Workforce Risk factors and Their Management by bpostgroup

bpostgroup's diverse workforce includes individuals from a wide range of nationalities, backgrounds, cultures, and educational levels, with 75% of its workforce having a minimal educational background. This diversity brings both strengths and challenges, as cultural differences and language barriers can sometimes lead to varied understandings of safety practices and labor regulations. Low-skilled workers, who may face a higher risk of accidents due to language misunderstandings, require additional safety support and training.

Additionally, bpostgroup addresses a range of Health and Safety (H&S) risks associated with specific roles, from road safety for drivers and postal carriers to the physical demands of lifting heavy loads, meeting tight delivery times, and managing night shifts in warehouses. Through robust social dialogue, bpostgroup fosters open communication between management and staff, ensuring worker concerns are addressed and that all employees benefit from protections tailored to their roles and associated risks. This commitment enhances employee well-being and promotes a safe and respectful working environment for all.

Risks and Opportunities Related to bpostgroup Actions

Workforce-related Risks and Opportunities

bpostgroup encounters workforce-related risks that, while manageable given current labor availability, could impact operations and reputation. Turnover (18.2%) and potential skill shortages, especially among low-skilled workers, increase accident risk and necessitate enhanced safety measures.

Repetitive tasks and mental pressures further challenge retention, with risks of burnout and absenteeism affecting productivity. Potential strikes or disputes with trade unions present additional risks of service disruption and increased operational costs. Ensuring compliance with freedom of association and collective bargaining is essential to safeguarding bpostgroup's reputation and mitigating legal risks.

Privacy Related Risks

bpostgroup faces risks of cyber-attacks that could damage networks and systems, disrupting critical physical and digital infrastructure. Phishing emails and social engineering attacks may result in fraud and operational harm. Cyber incidents can incur costs, including remediation, business interruption, legal penalties, and lawsuits. Failure to address these risks effectively could damage reputation, erode stakeholder trust, and endanger critical infrastructure and public safety.

Risks Related to Operational Workers

bpostgroup's workforce comprises diverse age groups, skill levels, and cultural backgrounds, presenting specific risks and opportunities. Notably, low-skilled workers, who represent a large segment of the workforce, face higher risks of accidents (cf. above). Operational dependency on roles such as drivers, postal carriers and warehouse workers introduces high-impact risks in the event of health crises, potentially disrupting essential services.

6.3.1.3. S1-1 – Policies related to Our Own Workers

Policies to Manage Material Impacts, Risks, and Opportunities Related to Our Own Workers

bpostgroup has an Enterprise Risk Management (ERM) Policy with an ERM framework containing an evaluation of the different material risks including the ones linked to the workforce.

On top of this ERM risk policy, bpostgroup is adopting a robust Policy framework, which ensures effective management of material impacts, risks, and opportunities related to the workforce by providing a structured approach for policy creation, validation, and implementation across the group. The framework supports the development of policies including compliance, employee well-being, health and safety, diversity, and risk management.

The Governance framework applies to all employees, as well as relevant coworkers (ie external staff). It ensures that policies are developed, validated, and communicated across all levels of the group, ensuring comprehensive coverage of workforce-related material impacts.

Policies typically cover all employees within the organization, but specific policies may target particular employee categories (e.g., senior management or specific business units).

The Policy Owner is responsible for drafting, validating, and implementing these policies, engaging key stakeholders across different stages. The Policy Owner must consult with relevant stakeholders (e.g., HR, Compliance, Risk, and Legal) during policy creation to ensure alignment with business needs and compliance requirements.

Policies undergo validation by the relevant senior management forum (e.g., ExCo) and, where needed, the Board. Local employee representatives, such as unions, may also be consulted. After validation, the policy is communicated to the target audience, and training is provided if necessary.

In summary, bpostgroup's policies address impacts, risks and opportunities for its workforce comprehensively, engaging appropriate stakeholders, and covering all employees or specific groups as relevant to each policy.

Alignment of Workforce Policies with International Standards

Workforce policies are explicitly aligned with the United Nations Universal Declaration of Human Rights (UDHR) and the Principles of the United Nations Global Compact (UNGC). These frameworks serve as the foundation for the company's code of conduct and operational guidelines, ensuring adherence to globally recognized human rights and labor standards.

While the policy is based on the UDHR and UNGC Principles, these are directly linked to the United Nations (UN) Guiding Principles on Business and Human Rights, the International Bill of Human Rights, and the International Labor Organization (ILO) Declaration.

The International Bill of Human Rights builds upon the UDHR by formalizing its principles into legally binding covenants. Similarly, the UN Guiding Principles on Business and Human Rights rely on both the International Bill of Human Rights and the ILO's labor standards to define corporate responsibilities. Additionally, the UNGC Principles explicitly incorporate ILO conventions, ensuring alignment with international labor rights.

As a result, while the company's workforce policies are based on the UDHR and UNGC, they inherently align with the broader framework of UN Guiding Principles, the International Bill of Human Rights, and the ILO Declaration, ensuring consistency with global human rights and labor standards.

Our Own Workforce-related Policies

Namely, bpostgroup's policies related to its own workforce include:

1. Human Rights Policies
1. Code of Conduct
1. Speak Up Policy
1. Escalation Policy
1. Diversity Policy (NB: this policy relates to bpost NV/SA but other entities in the group can adapt it for their organization, accordingly to their country legal framework).
1. Stakeholders Policy

Scope and accountability for each policy are gathered in the following table:

Our Own Workforce-related Policies list

POLICY NAME	VALUE CHAIN SCOPE	ENTITIES SCOPE	ACCOUNTABLE PERSON / GROUP
Human Rights Policy	Own Workforce	bpostgroup
Code of Conduct	Own Workforce	bpostgroup	Cf S1-1 §1
Speak Up policy	Own Workforce	bpostgroup	Policies undergo validation by the relevant senior management
Escalation Policy	Own Workforce	bpostgroup	forum (e.g., ExCo) and, where needed, the Board. Local employee
Diversity Policy	Own Workforce	bpost NV/SA (based on Code of Conduct)	representatives, such as unions, may also be consulted.
Stakeholders Policy	Own Workforce	bpostgroup

NB: description of each policy is detailed below

Human Rights Policy and Code of Conduct

bpostgroup commits to respecting international human rights standards, including the UN Guiding Principles on Business and Human Rights, the ILO Declaration on Fundamental Principles and Rights at Work, and the OECD Guidelines for Multinational Enterprises. These principles are integrated into the company's code of conduct and operational guidelines, ensuring a robust adherence to globally recognized human rights and labor standards.

The Company ensures compliance through its governance framework, including external assessments of its compliance maturity, and alignment with legal standards. It addresses issues such as forced labor, child labor, human trafficking, fair working conditions, and equal opportunities through risk management and transparent operational practices.

To ensure continuous alignment with UN Guiding Principles on Business and Human Rights, ILO Declaration on Fundamental Principles and Rights at Work and the OECD Guidelines for Multinational Enterprises, those policies are frequently reviewed to reflect the latest developments in global human rights and labor standards.

The company emphasizes collective bargaining rights by engaging with unions and worker representatives, on a very frequent basis. It fosters interaction and open communication and collaboration through different means: proactively via Pulse Surveys and reactively via platforms such as Speak Up.

Speak Up Policy and Escalation Policy

Speak Up is a confidential and anonymous platform where employees can ask questions about ethics, compliance, or company policies, report workplace concerns such as financial irregularities or harassment, and track their submissions

Inclusivity and diversity are key pillars of bpostgroup's human rights approach, ensuring all voices are heard in decision-making processes that affect workplace policies and conditions. These principles underpin bpostgroup's commitment to providing a safe and respectful environment for all workers

bpostgroup offers grievance mechanisms, such as confidential reporting channels for employees, to raise concerns about human rights impacts. Investigations are conducted promptly, and remedial actions range from corrective measures to disciplinary actions, including termination of relationships with offending parties. The policy ensures accountability and compliance with legal frameworks.

Specifically, the Speak Up Platform is used to flag and investigate all impacts on Human Rights reported by workers.

Health & Safety Related Policies (Workplace Accident Prevention)

bpostgroup does not have an aggregated policy for workplace accident prevention at group level, due to strong differences in local legislation. However, entities developed local policies. We present below the examples of bpost NV/SA and Radial North America, accounting for 90% of total employees:

Example 1: bpost NV/SA

In bpostgroup's Belgian activities, the employees' Health & Safety policy is based on the Federal Government's Act of August 4, 1996 on well-being of workers in the execution of their work. This policy is driven by a dynamic risk management system: the structural planned approach to prevention based on the general principles of prevention that results in the preparation of a global prevention plan (covering 5 years) and an annual action plan; The management system is based on a monthly reporting (Safety Performance Barometer) on health and safety leading indicators, with 14 indicators guiding the preventive policies of operational management. These 14 indicators include namely accidents severity rate, training volumes over first 10 days at work, or accident frequency rate.

Example 2: Radial North America

Regarding Radial North America & India branches, the Section 10.1 of the employee handbook relates to Health & Safety management, for the United States, Canada and India. At Radial North America, safety is the mutual responsibility of the Company and its employees. The Company strives to provide a safe, clean, and hazard free working environment. Employees must do everything possible to safeguard coworkers, visitors, and themselves against accidents. Employees are responsible for observing safe work practices and notifying the Company immediately (through any manager) of any observed or perceived unsafe condition. Failure to observe safety rules, regulations and/or posted directions may result in disciplinary action, up to and including termination.

Diversity, Equity & Inclusion Related Policies

bpostgroup has a global Code of Conduct, which includes some guidance related to diversity. The code of conduct clearly mentions a series of prohibited and non-tolerated conducts (harassment and discrimination; violence and threats, etc.), as well as expected behavior and list of diversity criteria. There is zero-tolerance regarding any form of discrimination, inappropriate or prohibited behavior.

Moreover, the Speak-up & Escalation Policies at bpostgroup level clearly states a procedure to report inappropriate behavior with several possibilities. The escalation policy at bpostgroup ensures the confidential handling of reported concerns by assigning cases to designated case managers, implementing escalation rules to prevent conflicts of interest, and restricting information disclosure to what is strictly necessary for the investigation.

On the other hand, it does not have a specific aggregated policy for diversity, equity & inclusion at group level, due to differences in local legislation and specific actions per entity.

However, entities developed local policies. We present below the example of bpost NV/SA and Radial North America, accounting for 90% of total workforce:

Example 1: bpost NV/SA

Diversity Policy Content

bpost NV/SA has specific policies aimed at eliminating discrimination, including harassment, and promoting equal opportunities, as well as advancing diversity and inclusion. These policies are detailed in the company's Code of conduct and Diversity Policy and the various measures outlined in the Diversity Brochure.

Diversity Policy Criteria

The bpost NV/SA Diversity Policy refers to bpostgroup Code of Conduct, which explicitly refers to the following criteria regarding discrimination: alleged race, skin color, nationality, descent or national or ethnic origin, disability, philosophical or religious convictions, sexual orientation, age, financial means, civil status, political convictions, union membership, state of health, physical or genetic characteristics, birth, social origin, gender and language. There is zero-tolerance regarding any form of discrimination, inappropriate or prohibited behavior.

Diversity Policy Commitments Related to Inclusion of Groups at Risk and Dedicated Actions

bpost NV/SA's Diversity Policy focuses on a culture of inclusion. Our vision is to develop an inclusive working environment in which everyone feels respected.

bpost subscribes to a broad-based definition of diversity. Diversity covers differences in gender, age, language, ethnicity, family composition, education, skills, abilities, religion, sexual orientation, socioeconomic status, ways of working and behaving and others

In more detailed information sources on the intranet, bpost NV/SA has more information that concern specific groups with directives and procedures to follow related to:

Pregnancy and parenthood
Gender
Gender identity
Generations
Disabilities
Ethnicity
Sexual orientation

Diversity Policy Implementation Procedures

bpost NV/SA has established procedures to implement its policies aimed at preventing, mitigating, and addressing discrimination, as well as promoting diversity and inclusion within the company, with for example:

Training on diversity & discrimination for HR managers
Language courses
Manager led tool to enforce a respectful and inclusive team environment
Deontological code for recruitment
Specific procedure on recruitment & reasonable accommodation request for people with disabilities and partnership with Diversicom to support in the recruitment of integration of people with disabilities
Flexible work possibilities (in line with the legal framework in Belgium), for instance work-from-home policy
Sensibilization campaigns around our ambition "100% respect" and material to further promote "100% respect" such as posters, stickers, badges

Example 2: Radial North America

Diversity & Inclusion Related-Policies Content

Radial North America is committed to providing a work environment that is free from unlawful discrimination or harassment, and that is detailed for several location of the entity within their employee handbook (cf. United States, Section 3.4 of employee handbook; Canda, Section 3.4; India, Section 3.3). In keeping with this objective, the entity maintains a strict policy prohibiting conduct which treats employees differently based on any status protected by law, such as race, color, religion, gender, physical or mental disability, pregnancy, medical condition, national origin, ancestry, age, sexual orientation, gender identity, gender expression, genetic information, or marital status. Forms of harassment and discrimination may include, but are not limited to, verbal (suggestive, insulting or derogatory comments, etc.) physical (assault, unwanted physical contact, interference with movement, etc.), or visual (text messages, posters, cartoons, objects, etc.).

Diversity & Inclusion Related-Policies Criteria

All Radial North America Diversity & Inclusion policies subscribe to local law, with dedicated Sections in employees handbook for sub entities (e.g. such as race, color, religion, gender, physical or mental disability, pregnancy, medical condition, national origin, ancestry, age, sexual orientation, gender identity, gender expression, genetic information, or marital status).

Policy Commitments Related to Inclusion of Groups at Risk and Dedicated Actions

Radial North America developed both the Discrimination Policy which covers prevention as well as the Equal Opportunity Policy which states the entity is committing to promoting, hiring, compensating employees based on qualifications regardless of their characteristics and then provides allowances for accommodations related to legally covered elements.

Policies Implementation Procedures

Radial North America policies outline the procedures for reporting discrimination, the company's commitment to investigating these claims, the expectation that substantiated claims will result in corrective action (up to and including termination), as well as retaliation prohibition.

Stakeholders Policy

Stakeholder engagement is currently outlined and detailed in a Stakeholder Policy. The policy describes how commitment to stakeholder should be established and moreover, how stakeholder engagement should be integrated with governance, strategy and operations.. However, this policy is being reviewed and will gradually be replaced or potentially phased out as its content will be covered by other, more targeted policies, including the Public Affairs Policy, Communication Policy, and Relationship Agreement. Additionally, the governance structure and responsibilities associated with this policy will be reassessed.

6.3.1.4 S1-2 – Processes for Engaging with Own Workers and Workers' Representatives

About Impacts

bpostgroup does not have a Global Framework Agreement (GFA) at group level, nor a uniformized engagement process for engaging with Own Workers and workers' representative at group level, due to strong differences in local legislation as internal organization. However, entities developed local processes. We present below the example of bpost NV/SA and Radial North America, being the two most material entities and representing 90% of materiality:

Example 1: bpost NV/SA

Engagement with Our Own Workforce

At bpost NV/SA, engagement occurs through continuous feedback and discussions, particularly with operations managers, supported by regional staff and performance management processes. This feedback loop is formalized through mechanisms like the social dialogue, where trade union delegates convey staff input. Relevant feedback is compiled into actionable files for adapting postal regulations, which are subsequently reviewed and approved by the Joint Committee.

To support these processes, bpost NV/SA has established a dedicated well-being team, comprising experts in DEI, absenteeism, well-being, and a director of well-being. This team collaborates with institutions like the Antwerp Management School to enhance well-being policies. Tools such as the "My Voice" survey and expertise centers provide structured platforms for gathering and interpreting employee feedback. HR Business Partners (HRBPs) work alongside management to review and communicate results, facilitating informed decision-making. Managers are supported by training and expertise, ensuring they possess the necessary skills to navigate complex team dynamics effectively. This framework underscores bpost NV/SA's commitment to integrating workforce views into impactful decisions (cf. S1-17 – Incidents, complaints and severe human rights impacts).

As a direct consequence, workforce views significantly influence decision-making processes regarding the management of impacts. The company employs a multi-faceted engagement strategy tailored to its diverse workforce, incorporating feedback mechanisms and structured planning frameworks. For blue-collar workers, hiring controls have been implemented to mitigate potential job losses, particularly in response to changes like press concession losses. For white-collar employees, workforce planning is guided by a structured budgetary framework, with HRBPs and CHRO oversight. A dedicated manpower planning team ensures comprehensive checks on contracts (fixed-term contracts, open-ended contracts and interim), coupled with structured follow-ups.

Impact of Engagement with Workforce on Decision or Activities

The company places a strong focus on workforce planning (focused on blue collars so far, to be extended to white collars), upskilling, and reskilling as part of its commitment to employee development and well-being, fostering a "consensus culture" where all stakeholders, including social partners, are actively consulted.

Pulse surveys are shared across all levels of the company and analyzed in dedicated focus groups to identify key areas of improvement. Employee input has directly shaped significant decisions, including the declaration of vacant contractual positions and the reinstatement of part-time work at 40% for medically challenged employees—proposals that were formalized and included in the agenda for management approval.

Beyond these efforts, the company encourages engagement through Speak Up policies and regular audits, ensuring that employee voices are heard and acted upon. Starting in 2025, the well-being survey score will be integrated into the Short-Term Incentive Plan (STIP) to reinforce the commitment to tangible outcomes (To qualify for the STIP, you must be employed on December 31st of the reference year and have at least six months of service within that year. Eligibility is limited to specific employee levels, including managers, statutory employees with a mandate, trainees, and statutory or baremic contractual employees at the H level).). This comprehensive approach also includes regular dialogue with social partners, structured discussions, and initiatives to promote employee well-being. For example, the introduction of flexible work arrangements following union advocacy has significantly enhanced work-life balance. Thus, the company ensures that its workforce planning, well-being, and engagement initiatives are impactful and sustainable.

Deep-Dive on Vulnerable Workers Categories

bpost NV/SA takes specific steps to understand and address the perspectives of vulnerable or marginalized groups within its workforce, such as women, migrants, and people with disabilities:

Feedback Mechanism (regular bi-annual employee surveys and focus groups to gather employees' insights, including a question related to respect and fairness)
Internal support structure (psychosocial team is trained to give support to all employees and bring support to make sure employees feel supported) + Internal networks (Young @ bpost, Pride2b, X and Y, etc.)
Collaboration with External Organizations (Partnerships with DIVERSICOM and EMINO & Duo for a Job Program & TADA/TAJO)

Internal Parties Involved on Engagement with Workforce and Operational Responsibilities

bpost NV/SA's approach to managing impacts on its workforce is shaped by a combination of direct engagement with employees and collaboration with workers' representatives, fulfilling both legal obligations and organizational values. The company consults unions when appropriate, ensuring alignment with established labor rights. Beyond compliance, the company recognizes the value of engaging with unions and managers to test and refine initiatives before implementation, reflecting a commitment to thoughtful decision-making.

Employee well-being is prioritized through structured processes, including individual well-being interviews with managers, which provide a platform for employees to express concerns, share feedback, and identify necessary adjustments to their roles. This personalized engagement is complemented by broader organizational efforts, such as surveys conducted at the team, entity, or organization level, capturing workforce sentiment and identifying trends across the company.

In parallel, employee representatives play a key role in amplifying workers' voices. Employees can raise questions, concerns, or suggestions with their representatives, who then address these issues during monthly consultation meetings or through informal channels. Regular dialogue in various joint subcommittees ensures that these inputs are systematically reviewed and acted upon.

Responsibility for ensuring workforce engagement and informed decision-making typically falls under the role of managers, supported by specific teams and processes. Managers play a key role in addressing workforce concerns and escalating relevant issues, with input from HR Business Partners (HRBPs), well-being teams conducting surveys, and Health & Safety teams focusing on psychological safety. Workforce planning, along with structured feedback mechanisms, ensures employees are engaged and their voices are heard. However, no dedicated training has been assigned to this role.

Engagement on Environmental Transition

bpostgroup actively engages with its workforce on the impacts of its transition to greener operations, particularly regarding electrification and carbon reduction initiatives. The shift towards professional electric vehicles has required employees to adapt to new technologies, prompting targeted training programs.

This engagement ensures that workforce concerns are considered in the green transition strategy, with structured training minimizing negative impacts and facilitating workforce adaptation. The structured dialogue with the CPPT further integrates employee feedback into decision-making on safety and operational adjustments linked to new vehicle technologies.

Engagement Effectiveness Assessment

The company assesses the effectiveness of its engagement with the workforce through several mechanisms. It employs continuous feedback groups, communication sessions, surveys such as the biannual well-being survey "My Voice". These tools measure factors like personal wellbeing and provide insights into workforce concerns. The results are shared and discussed with unions through regular joint commissions at different levels. Additionally, workforce engagement is integrated into the performance objectives of people managers and is monitored through key indicators like turnover rates. When processes highlight significant exceptions, they are reviewed to ensure alignment with employee needs.

Agreements with Workers' Representatives

At bpost NV/SA, several agreements (such as the Administrative, Monetary and Trade Union Statute, as well as Labor Regulations) have been negotiated by the company with its trade unions in the competent consultative body and subsequently approved in the Joint Committee of bpost NV/SA. These lay down a number of (human) rights of the employees, including in terms of remuneration, working hours, well-being at work, etc. Moreover, on a yearly / bi-yearly basis, the company negotiates a company collective labor agreement with the Trade Unions, which also provides for a number of rights for the workforce.

Example 2: Radial North America

Engagement with Our Own Workforce

Employee engagement is managed collaboratively across all levels of management, with dedicated support from HR professionals. Workforce views are gathered through regular engagement activities. This feedback is integrated into decision-making processes to improve organizational impact, ensuring that decisions align with employee needs and perspectives.

Impact of Engagement with Workforce on Decision or Activities

Radial North America engages on a regular basis with its workforce to ensure appropriate decision-making process.

Radial NA invites all employees to participate in a biannual well-being survey; based on results, focus groups may be warranted in order to detail specific issues or solutions and also invites fulfillment employees to provide more frequent survey results through "Workstep", a survey tool inviting workers to respond at set intervals throughout their employment journey.

Additionally, Radial NA encourages all employees to provide feedback to their managers, executives or HR partners throughout the year for continuous improvement purpose.

Results of these surveys in the form of themes are shared back with employees.

Deep-Dive on Vulnerable Workers Categories

Radial North America has several feedback mechanisms to support all employees including biannual surveys which include, among others, questions surrounding belonging, inclusion, and trust. Radial North America also conducts more frequent Voice of the Associate sessions in which employees are encouraged to provide feedback to on-site leadership.

The Radial North America Human Resources Team is trained in Mental Health First Aid in order to provide real-time support for employees in mental health crises.

Radial North America provides access to ERGs (Employee Resource Groups) ensuring that diversity, equity, and inclusion are shared to management and embedded into all aspects of Radial (including Women's Initiative Network, Mental Health and Wellness, Veterans and Allies Network, and Pride.)

Internal Parties Involved on Engagement with Workforce and Operational Responsibilities

The views of the workforce play a significant role in influencing decisions about managing impacts on them. Feedback gathered through wellbeing surveys "Workstep" and one-to-one discussions is actively considered. It informs action planning at both the team and company levels, ensuring that individual voices are heard, providing a collective perspective. These approaches help align company actions with workforce needs and expectations.

Responsibility for ensuring workforce engagement and informed decision-making typically falls under the role of managers, supported by specific teams and processes. Managers play a key role in addressing workforce concerns and escalating relevant issues, with input from HR Business Partners (HRBPs and HR conducting surveys. Engagement tools, along with structured feedback mechanisms, ensure employees are engaged and their voices are heard. Managers have received training on how to interpret results and develop action plans.

Engagement Effectiveness Assessment

As for bpost NV/SA, Radial North America assesses the effectiveness of its engagement with the workforce through several mechanisms. It employs continuous feedback groups, planning sessions, surveys such as the annual well-being survey "My Voice", and pulse surveys. These tools measure factors like stress levels and provide insights into workforce concerns. Additionally, workforce engagement is integrated into the performance objectives of managers and is monitored through key indicators like turnover rates. When processes show significant exceptions, they are reviewed to ensure alignment with employee needs.

6.3.1.5 S1-3 – Processes to Remediate Negative Impacts and Channels for Own Workers

to Raise Concerns

bpostgroup does not have uniformized channels for remediating negative impacts for Own Workers at group level. However, entities developed local channels. We present below the example of bpost NV/SA and Radial North America, being the two most material entities and representing 90% of materiality.

Example 1: bpost NV/SA

General Approach for Negative Impact Remediation

The company addresses and remedies significant negative impacts on its workforce through a structured approach centered on social dialogue and risk analysis. Remedying measures are implemented through the mechanisms outlined in the Trade Union Statute and its associated Guidelines, ensuring employee engagement and adherence to formal procedures. The effectiveness of these remedies is assessed using the 'My Voice' survey, which gathers employee feedback. Additionally, the company collaborates with its Enterprise Risk Management (ERM) team to identify and mitigate workforce-related risks proactively. By integrating reskilling trajectories (eg. external mobility), flexible planning, and engagement initiatives into its workforce strategy, the company aims to improve skills management and minimize risks.

Available Channels to Raise Concerns

The company provides different channels for its workforce to raise concerns or needs. Primarily, workforce can seek support through team managers. Secondly, staff members can seek support from confidential counsellors employed by the Prevention and Psychosocial department. This support is available on the Intranet, in the "wellbeing" Section.

Then, the company uses its "Speak up" policy as a secondary mechanism for addressing concerns. These channels are managed internally by the company and are designed to ensure employees have multiple avenues to voice their needs and receive support.

Grievance Handling Mechanism – Principle and Availability

Each HR related issue has a dedicated grievance handling process, with specific hierarchical chain to follow and instance to reach. For example, Performance Management Process (PMP) offers workforce an opportunity to challenge evaluation scoring.

Furthermore, in addition to tools and policies (Code of Conduct, Speak Up and Escalation Policy), any staff member can raise any issue with the company through managers.

bpost NV/SA ensures availability of channels to raise concerns via its compliance and audit teams, and complaints processes are regularly updated and shared to employees (either via mail, communication sessions or Intranet, depending on workforce category).

Grievance Handling Mechanism – Effectiveness Assessment

Privacy and Compliance team provides quarterly reports on compliance matters to the ExCo and the Board's Audit, Risk, and Compliance Committee (ARCC), including issues raised by our workforce.

Within the framework of the Speak up program, management takes action when a reported issue requires attention. For other workforcerelated concerns, bpost NV/SA has a dedicated team focusing on well-being and prevention. This team ensures that appropriate steps are taken to support our workforce by implementing relevant actions.

Workforce Awareness and Trust's Assessment Regarding Implemented Grievance Handling Mechanism

Available channels for raising concerns are shared with employees through the Code of Conduct. To ensure all recipients have received the information, each recipient must confirm receipt of the Code of Conduct. Through various tools already used, bpost NV/SA has an overall view of the trust of different channels by workforce.

Workforce Protection Against Retaliation for Using Grievance Handling Mechanism

The company has policies in place to protect individuals, including workers' representatives, who use the available channels from retaliation. The Speak Up policy ensures that people reporting are protected, with confidentiality guaranteed for all cases, including those related to prevention management. Additionally, the Trade Union Statute explicitly safeguards union delegates from dismissal for actions directly tied to their duties. The anonymity of employees using the Speak Up process is further guaranteed, with designated trusted people, such as social assistants, bound by professional secrecy to uphold confidentiality.

Example 2: Radial North America

General Approach for Negative Impact Remediation

Concerns raised by employees may come through surveys, focus groups or direct feedback. Leaders create tracking that is shared with employees on what concerns are raised and the actions being taken to remedy any negative impact.

Available Channels to Raise Concerns

Radial North America provides channels for its workforce to raise concerns or express needs. Employees can report issues anonymously through the company's ethics hotline, ensuring confidentiality and security. Additionally, they can address concerns directly with HR representatives, offering a personal and approachable option. These channels are established internally by the company to create a supportive environment where employees feel empowered to voice their concerns.

Grievance Handling Mechanism – Principle and Availability

The company developed a complaint handling mechanism specifically for employee matters. This complaint mechanism includes but is not limited to HR Central, management, HR Business partners with the employee handbook outlining the complaints procedures. Employee concerns are evaluated in collaboration with the HR department. If necessary, these concerns are investigated further through interviews conducted by an HR representative, ensuring a fair and thorough process for addressing employee issues.

The company ensures that its workforce has access to channels for raising concerns or needs by maintaining an ethics hotline (cf above). Those channels are also communicated on on-site materials such as posters and handouts, provided in yearly trainings, and send by reminders from HR and management. Employees are regularly trained on how to use the hotline effectively, fostering awareness and confidence in the process. This proactive approach ensures that staff is equipped with a reliable and confidential mechanism to report concerns.

Grievance Handling Mechanism – Effectiveness Assessment

The company ensures that issues raised by its workforce are tracked and monitored effectively through regular reviews of complaints by the appropriate owners in HR and Legal departments. These reviews evaluate the legitimacy, accessibility, and transparency of the complaint channels to ensure they align with human rights standards. Insights gained from this process are used to improve the complaint mechanisms and proactively prevent future issues.

Here are a few results coming from the survey result:

• Top Priority Survey Result – Appreciation

Local initiative to remedy: Increased engagement and communications. Awards ceremony scheduled for August 2024 to recognize associates for their performance and attendance along with random giveaways across all shifts. Sunday Funday implemented with lunches or snacks along with prize giveaways weekly. A family day is scheduled for October 2024 at the site to give associates the opportunity to bring family members to the site for Trunk or Treat events and facility tours. Trade Port Times newsletter published monthly and displayed in breakrooms on table-toppers.

• 2nd Priority Survey Result – Accountability for Team Performance

Local initiative to remedy: Daily and weekly feedback being provided from leadership with both a recognition and rewards program in place as well as re-training opportunities as applicable. Collectively, results are shared daily and weekly towards our Safety, Quality, Delivery and cost results against our goals. Quarterly business updates now also being shared.

• 3rd Priority Survey Result – Inclusion Local initiative to remedy: Hosted Pride Parade at the site in conjunction with a wear pink day, honored veterans with a luncheon on Veteran's Day and have included our agency partners in Town Hall events. Have recently identified bilingual ambassadors to help support our ESL population. DEI training for leaders is scheduled for August 2024.

Workforce Awareness and Trust's Assessment Regarding Implemented Grievance Handling Mechanism

The company ensures that its workforce is aware of and trusts the available channels for raising concerns by regularly communicating information about these channels. Additionally, survey responses are shared with employees, providing transparency and reinforcing trust in the process. By openly sharing survey feedback, the company demonstrates its commitment to maintaining effective communication and addressing concerns.

Workforce Protection Against Retaliation for Using Grievance Handling Mechanism

Radial North America has policies in place to protect individuals who use the available channels from retaliation. This is explicitly outlined in the company's handbook, which includes a non-retaliation policy to ensure a safe environment for reporting concerns without fear of adverse consequences.

6.3.1.6 S1-4 – Taking Action on Material Impacts on Own Workforce and Approaches to Mitigating Material Risks and Pursuing Material Opportunities Related to Own Workforce, and Effectiveness of Those Actions

bpostgroup does not have uniformized actions to remediate negative impacts or to deliver positive impacts, given strong operational differences between entities. However, entities developed local actions and processes to prevent, mitigate and remediate negative material impacts on its own workforce, as well as to achieve positive material impact on its own workforce. bpostgroup has not yet taken any action regarding 'privacy' & 'collective bargaining' due to timing constraints but plans to do so in the coming years. We present below the examples of bpost NV/SA and Radial North America, being the two most material entities and representing 90% of materiality:

Example 1: bpost NV/SA

Actions Identification Process

bpost NV/SA identifies actions needed to address negative impacts on its workforce by first assessing the materiality of the impact and determining the appropriate response. The company engages in discussions with unions when the materiality of the issue and its potential impact on employees warrant collaborative dialogue. This process involves a wide variety of potential measures such as workforce planning, upskilling, and reskilling. Stakeholder feedback, gathered through mechanisms like employee pulse surveys, plays a crucial role in understanding workforce concerns and guiding decisions.

As a specific example, to address absenteeism, bpost NV/SA launched an improvement plan in 2023, reviewed in 2024 with operational units, and already showing results. Key proactive measures include:

Monitoring well-being through pulse surveys
Enhancing workplace atmosphere and HR support
Leveraging data-driven insights to track absenteeism
Promoting healthy lifestyles, including a comprehensive smoking policy
Clarifying management roles and increasing stakeholder involvement
Improving workplace conditions

By continuously refining our approach, we aim to reduce absenteeism, strengthen workforce resilience, and enhance overall well-being.

Actions to Deliver Positive Impact

The company has taken additional actions to deliver positive impacts for its workforce by focusing on clear performance monitoring and fostering open communication.

Objectives are set as part of the performance cycle, with mechanisms such as bonuses and development plans to incentivize achievement and align individual goals with organizational priorities. Additionally, management plays a dual role in supporting employees by facilitating social dialogue to identify and address workplace issues proactively. Moreover, Attract to Onboard team prioritizes internal hiring over external recruitment.

The company is actively pursuing opportunities to develop and enhance the skills of its workforce in response to evolving needs in the postal sector and broader market trends. With logistics skills becoming increasingly important, initiatives are underway to upskill and reskill employees, particularly those transitioning from other activities. Efforts include exploring opportunities for secondments to subsidiaries, addressing workforce imbalances across entities, and facilitating external mobility initiatives. For example, statutory and contractual employees may be seconded to organizations such as public transport, offering them the chance to gain new experience. These actions aim to ensure the workforce remains agile, skilled, and well-positioned for future challenges (cf. S1-17 – Incidents, Complaints and Severe Human Rights Impacts). You can find bellow a list of actions bpostNV/SA is taking to deliver positive impact.

Diversity, Equity & Inclusion (DE&I)

Pride2B

Pride2B, bpost NV/SA's LGBTQIA+ and allies' network, strengthened its foundation by formalizing its board, mission, and objectives. The group hosted "Let's Drag It Up – Trivia Edition," drawing nearly 70 colleagues for a night of drag performances and LGBTQI+ awareness. Pride2B also participated in Brussels and Antwerp Pride as part of the Open@Work network. Key priorities include raising awareness, building community connections, and strengthening non-discrimination policies. In honor of Pride Month, a panel discussion highlighted LGBTQIA+ workplace inclusion, with employees sharing experiences on corporate allyship and identity.

XandY

XandY and Women's Initiative Network are bpostgroup's women's leadership networks dedicated to women's empowerment. In 2024, XandY hosted an interactive session on managing mental load and stress, featuring insights from experts in, HR, and workplace well-being. This session was part of a broader initiative focusing on stress management, self-control through meditation, and building mental resilience. Another event organized in 2024 was dedicated to menopause.

Young

Young, an ERG for employees aged 40 and below, expanded to 450 members and hosted key events, including a meet-and-greet with ExCo, a visit to Staci's Belgian facility, and networking afterwork gatherings. An online touchpoint was launched to gather member feedback and ensure alignment with evolving needs.

Learning & Development

Diversity and Antidiscrimination Training

bpostgroup expanded its Diversity & Discrimination Training, developed with UNIA, to include HR Business Partners alongside HR managers and recruiters. Additionally, new hires receive DE&I training on Welcome Day, reinforcing bpost NV/SA's commitment to an inclusive workplace.

The Young community visited the Staci's Belgian facility

FutureMe

FutureMe is a 2–3-year program in Belgium that enables participants to earn a secondary school diploma through distance learning and 12 in-person courses per year. Covering general education subjects like languages, IT, mathematics, and science, it includes assignments, exercises, study tasks, a final year project, and an internship. Running from September to June, it not only supports personal success but also creates opportunities for career advancement or further studies. Since 2012, there have been 327 graduates (including 11 in June 2024), and in 2024, 40 new enrollments across Belgium.

Actions to Mitigate Negative Impacts

The company has taken proactive steps to mitigate significant negative impacts on its workforce by focusing on reskilling initiatives, internal and external mobility programs. For example, dedicated reskilling tracks have been developed to help employees, such as postal carriers and sorting agents, transition into roles like truck drivers and commercial profiles within retail, equipping them with the appropriate skills. Additionally, the company has boosted internal and external mobility opportunities, including white-collar, to facilitate career growth and evolution in a fast-changing postal market environment. While these activities emphasize capacity building and opportunity creation, the company also tracks outcomes, such as turnover rate or actual number of training hours, to validate the application and results of these actions.

The company has taken action to address and provide remedies for actual significant negative impacts on its workforce. This has been achieved through a comprehensive strategy involving workforce planning actions (cf.S1-2 – Processes for Engaging with Own Workers' Representatives about Impacts). Furthermore, HR Business Partnering Professionals (HRBPP) are responsible for monitoring implementation and quantifying the impact of actions taken. Finally, actions are monitored regularly through surveys to ensure effectiveness. Key measures include initiatives for re-skilling and up-skilling employees, fostering internal mobility to enhance career development opportunities. These actions are designed to mitigate negative impacts, support workforce stability, and promote long-term employee growth and satisfaction (cf. S1-17 – Incidents, Complaints and Severe Human Rights Impacts). You can find bellow a list of actions bpost NV/SA is taking to mitigate negative impact.

Health and Safety

Points Mobile Reporting Tool

To enhance workplace safety and efficiency, Points, a mobile reporting tool, enables postal workers to share critical route information, such as risks, difficult mailboxes, and parking issues. This improves safety, service quality, and confidence, especially for new and replacement workers. It also ensures smooth transitions during absences and operational changes.

Safety Register

In 2024, bpost NV/SA expanded its unified safety register, tracking machines, transport means, and certified personnel qualifications. The system automates inspections, training follow-ups, and work permits, ensuring high safety standards across all entities.

Safety Games

The Safety Games engage over 10,000 employees, making safety training interactive and effective. By integrating fun elements, they foster daily safety awareness and reinforce best practices across all operational units.

Ergonomy Optimization

A comprehensive ergonomic assessment was conducted to enhance workplace safety and comfort, followed by awareness training and workstation adjustments to prevent musculoskeletal disorders (MSDs). A structured lifting techniques training program using the train-the-trainer method covered key departments, with 549 internal trainers trained through 142 sessions in collaboration with external prevention services. An inventory of ergonomic aids ensured availability and proper use, supported by procedural improvements. To reinforce safe workplace practices, an educational film on ergonomics was distributed across all business units of bpost NV/SA.

Collaboracœurs

During the busiest time of the year, between the Black Friday and the holiday season, nearly 500 colleagues from the support services team in Belgium rolled up their sleeves with great enthusiasm to help manage the incredible volumes and give support in operations. They put their hearts and souls into tasks such as collecting, encoding, sorting, and distributing letters and parcels, demonstrating their unwavering commitment and teamwork.

Diversity, Equity & Inclusion

Women@Sorting – 100% Respect

As part of "All Unique, all bpostgroup," a targeted action plan was developed to combat sexism and promote workplace respect in operations. A 100% Respect manual was introduced for managers, featuring guided team discussions and training sessions.

Brave Conversations

The "Brave Conversations" series tackled well-being in a diverse workforce, led by James Edge, CEO of Global Cross Border. Panelists explored equitable wellbeing approaches across age, gender, disability, and socioeconomic backgrounds.

Focus on Actions to Mitigate Negative Impacts from Green Transition

The shift towards electrification, such as the adoption of professional electric vehicles, has required employees to adapt to new technologies. To facilitate this transition, the company provides targeted training courses for postal carriers, provided by the FRAC ("Formation Rationnelle et Accélérée des. Conducteurs") and supervised through the Comité de Prévention et Protection du Travail (CPPT), an official consultation body responsible for overseeing mandatory training programs. These efforts ensure that employees are equipped to handle changes, minimizing negative impacts on the workforce while addressing external risks associated with dependency on traditional technologies.

Actions to Mitigate Dependencies on Own Workforce

bpost NV/SA has implemented actions to mitigate material risks related to its workforce by bringing in, under the applicable legal frameworks, interim workers and fixed-term contracts workers in case of full-time internal workforce shortage, thus enhancing the flexibility of its core workforce. By developing a flexible staffing model that combines permanent employees with a "flexible shell" of interim workers and temporary internal workers, the company ensures operational adaptability while reducing reliance on external labor.

Actions Effectiveness' Tracking and Assessment Processes

The company tracks and assesses the effectiveness of its actions and initiatives for its workforce through a structured and hierarchical system. Objectives and Key Results (OKRs) are defined in a top-down manner, with managers setting OKRs for workers and the board setting OKRs for managers, ensuring alignment with organizational goals. This structured approach allows the company to evaluate performance consistently and determine appropriate bonus levels based on OKRs outcomes. Regular follow-up within the hierarchical chain of command ensures that objectives are met, and performance is assessed effectively.

Example 2: Radial North America

Actions Identification Process

The company tracks and assesses the need for actions and initiatives for its workforce through regular employee feedback surveys, as well as focus groups, which provide insights into workforce satisfaction with company efforts. These surveys help identify areas for improvement and measure the success of initiatives in delivering positive outcomes. Additionally, the feedback informs strategies to prevent and reduce negative impacts, ensuring that employee concerns and priorities are addressed effectively.

It also monitors external labour market conditions to anticipate potential challenges and implement proactive or reactive measures as needed. Workforce-related risks, such as employee turnover and external labour market pressures, are integrated into the company's overall risk management processes to ensure a comprehensive approach to addressing dependencies and impacts on its workforce effectively.

Actions to deliver positive Impact and mitigate negative Impact & Risk

Radial North America employees who are not working in a distribution site are provided the opportunity to work a flex schedule that allows them to work from home all or part of their work week. Employees have responded on employee engagement and exit surveys that they experience and appreciate the work flexibility that improves their work-life balance.

Moreover, Radial North America has implemented family planning benefits that support extended healthcare benefits for many life milestones including IVF (In Vitro Fertilization) treatment, adoption, pregnancy, menopause and more. As a result of these more inclusive benefits and other efforts, many focused-on women in the workplace, Radial was recognized as a Great Place to Work for Women in 2024.

Radial North America is committed to pursuing material opportunities related to its workforce by ensuring compliance with regulatory wage requirements and actively monitoring market trends. This includes planning wage adjustments to align with both market conditions and business needs. In 2024, several roles benefited from market wage adjustments, reflecting the company's dedication to maintaining competitive and equitable compensation practices.You can find bellow a list of actions Radial NA is taking to mitigate negative impact.

Health & Safety

Mental Health and Wellness ERG

The Mental Health and Wellness ERG of Radial North America organized two major wellness challenges in 2024. The "Little Things Campaign" in January promoted small, daily actions for mental well-being, resulting in 460 activities logged. In May, the "Miles for Mental Health" challenge encouraged participants to walk, run, or bike 100 miles, with 39 members covering a total of 4,855.98 miles.

Mental Health First Aid Certification

The Radial NA HR team introduced a Mental Health First Aid Certification program through the National Council for Mental Wellness. Employees were trained to recognize and respond to colleagues facing mental health or substance use challenges, ensuring a supportive and safe workplace.

Diversity, Equity & Inclusion

Veterans and Allies Network

In 2024, the Veterans and Allies Network proudly created a special edition Radial Challenge Coin to honor the bravery and dedication of our veterans and active service members. In celebration of Veterans Day, they distributed 175 of these unique coins, each symbolizing unity, pride, and a deep respect for those who have served. Rooted in military tradition, challenge coins represent camaraderie and achievement, and through this gesture, we reaffirm our commitment to supporting and celebrating the strength and resilience of our military community.

Best Place for Management to Work

In 2024, Radial proudly earned a spot on Forbes' prestigious "America's Best Employers for Women" list. This recognition highlights our ongoing commitment to fostering an inclusive and supportive work environment where women are empowered to thrive. We are dedicated to advancing diversity and equity across all levels of our organization, and this acknowledgment reflects the progress we have made in creating a workplace that values and promotes the contributions of women. This achievement is a testament to the hard work of our team and our continued efforts to ensure a positive, inclusive culture for all employees.

Training Skills and Development

Service Delivery Associate Development Team

Radial launched a dedicated Service Delivery Associate Development Team to support the learning and career growth of Service Delivery Associates, who make up more than half of the workforce and have limited access to company devices. This team focuses on enhancing their professional journey within Radial.

Actions Effectiveness' Tracking and Assessment Processes

The company tracks and assesses the effectiveness of its actions and initiatives for its workforce through regular employee feedback surveys, as well as focus groups, which provide insights into workforce satisfaction with company efforts. These surveys help identify areas for improvement and measure the success of initiatives in delivering positive outcomes. Additionally, the feedback informs strategies to prevent and reduce negative impacts, ensuring that employee concerns and priorities are addressed effectively.

It also monitors external labor market conditions to anticipate potential challenges and implements proactive or reactive measures as needed. Workforce-related risks, such as employee turnover and external labor market pressures, are integrated into the company's overall risk management processes to ensure a comprehensive approach to addressing dependencies and impacts on its workforce effectively.

6.3.1.7 S1-5 – Targets Related to Managing Material Negative Impacts, Advancing Positive Impacts and Managing Material Risks and Opportunities

Process to Set and Track Targets, as well as Identifying Lessons Learned

bpostgroup does not have a general, standardized process for setting targets at group level; instead, target-setting processes are typically determined on an ad hoc basis, with each domain or area of expertise establishing its own specific targets.

The level of workforce involvement in target-setting varies depending on the topic or area in question. In some cases, engagement can be minimal, such as through information sharing or consultation, while in other instances, it can be more active, with employees or their representatives being directly included in the process. When relevant, unions or employee representatives are involved in discussions about the targets, particularly when these targets are impactful to the workforce.

Additionally, in the Belgian distribution department, there is a separate HR process for setting individual objectives, which may include input from regional managers or Mail Center Manager (MCMs), but this is distinct from the broader process for setting group targets.

The tracking process is similar to the target-setting process, with no standardized group methodology. It is ad hoc and varies depending on the specific KPI. Different tracking methods are used, and the frequency of tracking can range from yearly to monthly, depending on the target. Similarly, workforce & workers' representative involvement in the tracking process depends on the specific topic. Engagement can range from minimal information sharing to active participation, based on the relevance of the KPI and its impact on the workforce.

Finally, bpostgroup's process for identifying lessons or improvements based on performance follows a similar approach to target-setting and tracking, with no standardized group methodology. The process is ad hoc and varies depending on the specific KPI, leading to different corrective actions being implemented. Engagement of internal workforce can range from sharing information to active participation in developing corrective actions, depending on the relevance of the KPI and its impact on the workforce.

For example, ESG targets are set by identifying KPIs based on factors such as historical performance, legal requirements, current group objectives, and benchmarks against peers. ESG targets are tracked by local relevant operational teams, collected, computed and analyzed by group sustainability team and reported to ESG steerco and ESG Committee of the Board, with quarterly board meetings dedicated to reviewing performance and improvements - for instance, accident rates and absenteeism metrics at bpost NV/SA are retrieved from dedicated dashboards, owned by relevant teams and regularly reported and discussed in the different mentioned committees. In the case of ESG KPIs, the process to identify key lessons and improvements involves:

Identifying underperforming Business Units (BUs) and entities
Reviewing actions in progress within those BUs and entities
Defining an action plan to improve performance on the concerned KPI
Tracking progress made

bpostgroup tracks the effectiveness of policies through a strong commitment to social dialogue, structured reporting processes, and active engagement with worker representatives. We foster open communication with employees, ensuring their voices are heard and considered in decision-making. Regular assessments and feedback mechanisms help us identify areas for improvement, while transparent reporting allows us to monitor progress and compliance.

Workforce Related Targets

KPI	ENTITY	BASELINE	TARGET	TARGET RATIONALE	TARGET YEAR	IN RELATION WITH POLICY
Frequency rate	bpost NV/SA Radial NA	28 4.75	24 <10	Retention of the target previously applied, based on the 2019 baseline	2025	Workplace accident prevention policy
Women in management (%)	bpostgroup	37.8%	45%	Retention of the target previously applied, based on the 2019 baseline	2025	Diversity and inclusion policy
Absenteeism rate (%)	bpost NV/SA	9.09%	8.6%	Retention of the target previously applied, based on the 2023 baseline	2025	Workplace accident prevention policy

bpostgroup has not yet established any targets for the following disclosures: S1-6, S1-7, S1-8, S1-13, and S1-16 due to timing constraints. In 2025, we will initiate a target-setting process for all disclosures, including those currently without targets as well as the existing targets, all of which are focused on the year 2025.

The frequency rate metric is performing better than target across both entities, reflecting our continued commitment to workplace safety and risk prevention.

Absenteeism remains stable, preventing us from moving closer to the target. Despite the initiatives implemented to improve attendance, additional efforts will be required to drive meaningful progress. We will continue to assess and strengthen our actions to achieve our objectives.

Despite the efforts made, the progress achieved in increasing the proportion of women in management is not sufficient to meet the set objective. Aware of the importance of this issue and the opportunity it represents in the context of our transformation, and based on the integration of new entities in the group, we will revisit and update the target during the course of 2025 and implement a strengthened action plan to accelerate progress in this area.

Frequency rate is a bpost specific metric that is further detailed in the S1-14 Health and Safety Section.

6.3.1.8 S1-6 – Characteristics of Employees

Number of Employees per gender

GENDER	NUMBER OF EMPLOYEES (HEADCOUNT)
Male	21,480
Female	11,084
Other	0
Not reported	159
Total Employee Headcount	32,723

Number of Employees per Country

COUNTRY	NUMBER OF EMPLOYEES (HEADCOUNT)
Belgium	26,628
United States of America	3,649

Number of Employees per Contract Type

	FEMALE	MALE	NOT DISCLOSED	TOTAL
Number of employees (headcount)	11,084	21,480	159	32,723
Number of permanent employees (headcount)	10,355	19,757	158	30,270
Number of temporary employees (headcount)	729	1,723	1	2,453
Number of non-guaranteed hours employees (headcount)	106	121	75	303

Turnover

BPOSTGROUP
Number of person who left	5,898
Number of new employee hire	3,717
% of employee turnover	18.02%
New employee turnover	11.36%

The policies related to the 'Characteristics of employees' are detailed in Section S1-1, while the corresponding actions are outlined in Section S1-4.

bpostgroup recorded a slight decrease in the overall number of employees, primarily due to a reorganization within the US entities. Despite this, the distribution between male and female employees, as well as between temporary and permanent contracts, remains largely consistent with last year's report.

bpostgroup takes pride in the fact that a significant portion of its workforce holds permanent contracts, providing stability and security to its employees. Additionally, many of our workers have limited formal qualifications, yet they find meaningful and long-term employment within the company. This reflects bpostgroup's strong social commitment to inclusivity, job security, and creating opportunities for all

For reporting purposes, employees on non-guaranteed hours contracts are categorized as 'temporary,' which may lead to a double count in some figures in Table Number of Employees per Contract Type.

At the group level, employee turnover registered a slight decrease compared to the previous year, reflecting ongoing efforts to enhance retention and workforce stability. This positive trend underscores bpostgroup's commitment to fostering a more sustainable and engaged work environment.

bpostgroup reports workforce data at the end of the reporting period (EOY) to capture an accurate, point-in-time snapshot of both employee and non-employee numbers.

All figures are collected through workforce management systems, and there is no average across the reporting period; this provides a clear and precise count of active employees and non-employees at a specific moment in time. By avoiding estimates as much as possible and relying on actual headcounts, bpostgroup ensures the reported data accurately reflects its workforce composition. Extrapolation are used to breakdown the headcount for gender & contract type for 0.3% of employees.

bpostgroup includes all types of workers who could be materially impacted by its operations in this report, spanning direct employees, fixedterm contract workers, and individuals provided by third-party contractors. Approximately 92% of bpostgroup's workforce holds permanent contracts, with temporary personnel (e.g. fixed-term contracts) accounting for about 8% – below the OECD average of 16%.

Temporary and part-time roles are primarily filled to support short-term project requirements, rather than as replacements for permanent positions.

As of the reporting date, the total number of employees stands at 32,723, while the financial statements report 36,527 employees. The difference arises from the integration of STACI, which is included in the financial statements but not yet reflected in this CSRD report. STACI will be integrated into the CSRD report in the next reporting period.

6.3.1.9 S1-7 – Characteristics of Non-employee Workers in the Own Workforce.

The total number of non-employees contributing to bpostgroup's operations is 9,533.

bpostgroup reports workforce data at the end of the reporting period (EOY) to capture an accurate, point-in-time snapshot of both employee and non-employee numbers.

All figures are collected through workforce management systems, and there is no average across the reporting period; this provides a clear and precise count of active employees and non-employees at a specific moment in time. By avoiding estimates and relying on actual headcounts, bpostgroup ensures the reported data accurately reflects its workforce composition. bpostgroup does not rely on estimates for reporting the number of non-employees within its workforce, as detailed in the employee data collection Section.

bpostgroup employs external workers primarily to manage for temporary absences (e.g. illness). This approach provides the necessary flexibility to meet short-term operational needs while maintaining stability in long-term employment. External workers (e.g. interim) are provided with social protections and benefits in line with local requirements, mainly via their interim agency with whom they have an employment contract, ensuring they are supported even during brief employment periods.

Our reporting on non-employees is based on end-of-year (EOY) figures, reflecting the workforce composition at that specific point. As the use of external staff aligns with consistent absence trends (e.g. illness), there has been no significant fluctuation from the previous reporting periods. Additionally, all figures reported are based on actual data, without reliance on estimates.

The policies related to the 'Characteristics of non-employees' are detailed in Section S1-1, while the corresponding actions are outlined in Section S1-4 .

6.3.1.10 S1-8 – Collective Bargaining Coverage and Social Dialogue

The policies related to the 'collective bargaining and social dialogue' are detailed in Section S1-1 – Policies Related to Own Workforce (ie. Human Rights, Code of Conduct etc.), while the corresponding actions are outlined in Section S1-4 – Taking Action on Material Impacts on Own Workforce and Approaches to Mitigating Material Risks and Pursuing Material Opportunities Related to Own Workforce and the Effectiveness of Those Actions.

Collective Bargaining Coverage and Social Dialogue

	COLLECTIVE BARGAINING COVERAGE		SOCIAL DIALOGUE
COVERAGE RATE	EMPLOYEES – EEA (FOR COUNTRIES WITH >50 EMPL. REPRESENTING >10% TOTAL EMPL.)	EMPLOYEES – NON-EEA (ESTIMATE FOR RE GIONS WITH >50 EMPL. REPRESENTING >10% TOTAL EMPL)	WORKPLACE REPRESENTATION (EEA ONLY) (FOR COUNTRIES WITH >50 EMPL. REPRESENTING >10% TOTAL EMPL)
0 -19 %		United States
20 -39 %
40 -59 %			Belgium
60 -79 %
80 -100 %	Belgium

The overall percentage of bpostgroup employees that are covered by collective bargaining agreements is 77.9%, with 90.8% in the European Economic Area (EEA) countries and 1.53% in non-EEA countries.

The percentage of employees covered by collective bargaining agreements is calculated using the following formula:

Number of employees covered by collective bargaining agreements/ Total number of employees ×100

Regarding social dialogue, we report the percentage of employees who are employed in establishments where employees are represented by workers' representatives. An establishment is defined as any location where the company conducts a non-transitory economic activity involving human resources or goods.

The formula used is: Number of employees working in establishments with workers' representatives/ Total number of employees × 100

Across bpostgroup, 42.3% of employees are covered by workers' representatives, while 49.36% of employees in EEA countries are covered by workers' representatives. For all data presented above, extrapolation isare used for 0.3% employees.

NB: There is no agreement with employees for representation by European Works Council (EWC), Societas Europaea (SE) Works Council, or Societas Cooperativa Europaea (SCE) Works Council

6.3.1.11 S1-9 – Diversity Metrics

The policies related to the 'diversity' are detailed in Section S1-1 – Policies related to own workforce (i.e. Diversity Policy, Code of conduct etc.), while the corresponding actions are outlined in Section S1-4 – Taking Action on Material Impacts on Own Workforce and Approaches to Mitigating Material Risks and Pursuing Material Opportunities Related to Own Workforce and the Effectiveness of Those Actions (ie. our Enterprise Resource Groups (ERG) like Pride2B, XandY and Young, Brave conversations, Best Places for Management to Work (Radial), DEI trainings for HR business partners)."

The target linked to '% of women in management' is detailled in S1-5.

Additionally, bpostgroup measures the gender distribution in management as a voluntary metric. This ensures a broader and more sustainable impact across the organization by increasing diversity at multiple levels of leadership, creating a foundation for a long-term, systemic improvement journey.

Gender distribution

	FEMALE	MALE	OTHER ( *1 )
Gender distribution in top management (in headcount)	126	274	4
Gender distribution in top management (in percentage)	31.19%	67.81%	1%
Gender distribution in management (in headcount)	1,204	1,920	43
Gender distribution in management (in percentage)	38.01%	60.63%	1.36%

In 2024, women made up 31.19% of our top management, while men accounted for 67.81%. Across all management levels, 38.01% were women and 60.63% were men.

Age

AGE	HEADCOUNT	PERCENTAGE
<30	5,210	16.10%
30-50	15,365	46.97%
>50	12,148	36.93%
TOTAL	32,723	(100%)

In 2024, our workforce comprised 32,723 employees, with 16.10% (5,210 employees) under the age of 30, 46.97% (15,365 employees) between 30 and 50, and 36.93% (12,148 employees) over 50.

As a part of the CSRD, bpostgroup is using its own Top Management definition which is the following:

Top management includes GTM (Group Top Management) & GLT (Group Leadership Team): GTM = exco and direct reports of exco members if at least banding 3.1 for bpost NV/SA

GLT = bpost NV/SA: banding 3.2 and up or 3.1 with at least N-2 of Exco

Affiliates: defined monthly by HRD's, typically MCo's of affiliates and Senior directors and VP's of bigger affiliates (Radial North America)

6.3.1.12 S1-13 – Training and Skills Development Metrics

The policies related to the 'Training and skills development' are detailed in Section S1-1. There is no group level policy on training.

The corresponding actions are outlined in Section S1-4 (i.e. DEI training for HR Business partners at bpost NV/SA).

Performance Reviews

	UNIT	FEMALE	MALE	OTHER/ NOT DISCLOSED	TOTAL
Number of employees that participated in performance review	Headcount	6,441	6,155	179	12,774
% of employees that participated in performance review1	%	58.29%	28.74%	113%	39.16%
Number of executed reviews	Number	6,498	6,306	179	12,983
Number of agreed reviews	Number	7,102	6,913	192	14,207
Number of executed reviews/number of agreed reviews (%)	%	91.78%	91.50%	93.48%	91.67%
Number of performance reviews per employee	Number	0.59	0.29	1.13	0.40

The performance review process includes both active and inactive employees. Employees who have undergone at least one performance review during the year are included in the data.

A regular performance review is defined as a review based on criteria known to the employee and their superior undertaken with knowledge of the employee at least once a year. The review can include an evaluation by the individual's direct superior, peers, or a wider range of employees, it can also involve the human resources department.

It is important to note that the performance review process varies depending on the level within the defined hierarchy. For instance, postmen participate in a different evaluation process tailored to their specific role and responsibilities. The fact that women are more represented in the higher levels of hierarchy, where performance reviews are done, explained the difference observed between men and women.

Training Hours

				OTHER/
	UNIT	FEMALE	MALE	NOT DISCLOSED	TOTAL
Sum of training hours	Number	293,672	593,513	1,492	888,677
Number of employees2 (headcount)	Number	11,084	21,480	158	32,723
Average number of training hours per employee	Number	26.58	27.72	9.44	27.24

1 The numerator includes employees that performed performance review (both active and inactive on Dec 31st, 2024) while the denominator only includes the number of active employees.

² Just like above, the sum of training hours includes all training hours for active and inactive employees on Dec 31st, while the average is calculated based on the number of active employees on that date.

The above data provides a breakdown of total training hours, employee headcount, and average training hours per employee across the different gender categories. The overall average training hours per employee is 27.24, with male employees (27.72 hours) receiving slightly more training on average than female employees (26.58 hours). Extrapolation is used for 0.3% of employees for which no data was available.

In 2025, new targets will be established regarding the number of training hours per employee.

6.3.1.13 S1-14 – Health and Safety Metrics

The policies related to the 'Health and safety" are detailed in Section S1-1 – Policies Related to Own Workforce (ie. workplace accident prevention policy). There is no group level policy on Health and Safety.

The corresponding actions are outlined in Section S1-4 – Taking Action on Material Impacts on Own Workforce and Approaches to Mitigating Material Risks and Pursuing Material Opportunities Related to Own Workforce and the Effectiveness of Those Actions (ie. our Safety Register, the Safety Games, Points, Virtual Walking Challenge, Collaboracoeurs, Mental Health First Aid Certification, ...).

Health and Safety Metrics

EMPLOYEES

The percentage of Own Workers who are covered by the undertaking's health and safety management system	98.13%
The number of fatalities resulting from work-related injuries	1
The number of recordable work-related accident	1261
The rate of recordable work-related accidents	27.0
The number of days lost from work-related accidents	27,625

Severity Rate and Absenteeism

SEVERITY RATE
Accident severity rate (number of lost days per 1.000 hours)	0.59
Accident frequency rate (number of accidents per 1M hours)	17.07
Absenteeism due to sickness (bpost NV/SA) (%)	9.13

127 work-related accidents are still under review, which may result in slight adjustments to the final reported numbers. Ensuring accuracy in our reporting remains a priority as we continue to monitor and validate these cases.

In line with our commitment to transparency, adherence to industry best practices, and to ensure consistency with prior reporting and targets outlined in Section S1-5 – Targets Related to Managing Material negative Impacts, advancing positive Impacts and Managing Material Risks and Opportunities, bpost NV/SA has adopted the frequency rate as a reliable and essential metric for reporting work-related accidents and evaluating workplace safety performance.

The frequency rate is calculated by multiplying the number of work accidents with at least one day of absence by 1,000,000 and dividing the result by the total hours worked.

This metric focuses on work-related accidents that result in significant impact, defined as at least one day of absence, for bpost NV/SA, the frequency rate for this year is 21.85.

The frequency rate plays a key role in enhancing workplace safety, promoting proactive solutions, and benchmarking our performance against industry peers in Belgium, driving continuous improvement.

The severity rate is a key indicator of the impact of workplace accidents, measuring the total number of lost workdays per thousand hours worked. This metric helps assess not only the occurrence but also the consequences of work-related incidents, guiding our efforts to minimize risks and support employees in their recovery.

This year, the introduction of new CSRD methodologies has led to shifts in scope of some reported figures.

Despite these methodological adjustments, our commitment to reducing workplace incidents has yielded positive results. The frequency rate targets for our two largest entities have been successfully met and exceeded,(i.e. target of 24 for bpost NV/SA and 10 for Radial NA, and 2024 numbers being 21.85 for bpost NV/SA and 3.4 for Radial NA) demonstrating the effectiveness of our safety initiatives and reinforcing our focus on accident prevention.

Absenteeism at bpost NV/SA is monitored as a specific metric, distinct from group-wide reporting. While the target has not yet been met, ongoing initiatives aim to improve attendance and support employee well-being, reinforcing our commitment to a resilient and engaged workforce.

The wellbeing score for bpostgroup is 3.7 (out of five), based on a survey completed by employees across the group, measuring overall satisfaction, work-life balance, and workplace support.

The overall score for employee wellbeing at bpostgroup reflects our strong commitment to creating a positive and supportive work environment. This metric remains a top priority as we continuously invest in initiatives that promote health, balance, and satisfaction among our workforce.

6.3.1.14 S1-16 – Compensation Metrics

The policies related to the 'Compensation metrics' are detailed in Section S1-1 – Policies Related to Own Workforce (i.e. Diversity policy, Code of conduct ). While those policies are encouraging gender equality in regards to pay, they do not particularly address equal pay.

Gender Pay Gap

BPOSTGROUP
Unadjusted Gender Pay Gap	-0.64%
Annual total remuneration ratio	84.3

All employees are included in the workforce data, calculated using the ESRS-prescribed formula: (average gross hourly pay of men - average gross hourly pay of women) / average gross hourly pay of men.

Currency conversions are conducted using the end-of-year (EOY) exchange rate, aligning with financial reporting standards.

The annual total remuneration ratio reflects the evolving remuneration landscape and the impact of a new methodology, leading to a significant difference compared to last year's figure.

This year's calculation is based on actual remuneration, which has led to exceptional cases among top-paid employees, significantly impacting the ratio. Since the ratio is calculated on a global scale, this has strongly contributed to its increase.

At bpostgroup, the gender pay gap remains close to zero, supported by a structured and closely monitored salary framework. In Belgium, standardized pay scales (barèmes) further ensure equitable compensation. bpostgroup takes pride in this achievement, reinforcing its commitment to fairness and equal pay.

The global gender pay gap does not fully reflect disparities across different roles; bpostgroup has a higher percentage of women in management positions compared to other roles, resulting in a slightly negative gender pay gap globally.

6.3.1.15 S1-17 – Incidents, Complaints and Severe Human Rights Impacts

bpostgroup places significant importance on integrity and compliance with laws, regulations, the code of conduct, and other corporate policies. Upholding integrity and complying with legal standards are not only essential for maintaining bpostgroup's reputation, credibility, and trust among employees, the public, and other stakeholders, but they are also crucial for mitigating potential exposure to financial risks.

Speak Up

bpostgroup's specific Speak Up Policy outlines the reporting channels available within bpostgroup to confidentially, and without fear of retaliation, report any situation that they become aware of, which may constitute or appear to constitute a violation. For more information on who can report an incident, please refer to the Table below.

Individuals Eligible to Report Incidents under bpostgroup's Speak Up Policy

CATEGORY	DESCRIPTION
Employee	An individual who is in an employment relationship with bpostgroup according to national law or practice.
Former Employee or Future Employee	Individuals who have worked or will work for bpostgroup.
External Collaborator	Individuals collaborating with bpostgroup but not directly employed.
Subcontractor or Supplier Personnel	Individuals working for a subcontractor or supplier of bpostgroup.
Shareholder	Individuals holding shares in bpostgroup.
Management or Supervisory Body Member	Members of the management or supervisory body, including non-executive directors.
Volunteers	Individuals offering services voluntarily.
Paid or Unpaid Trainees	Individuals undergoing training, whether paid or unpaid.

Individuals are encouraged to report concerns as such:

Abuse of company assets and resources
Bribery
Bullying, workplace violence, or sexual harassment: those wishing to file a complaint for any psychosocial risk at work are encouraged to use the internal reporting channels which are communicated to respective teams.
Conflicts of interest
Discrimination¹
Fraud
Inaccurate reporting or recordkeeping of financial and other data
Insider trading
Misappropriation of funds, products, supplies or equipment
Misuse of personal data and violation of privacy
Money laundering or violations of sanction laws
Retaliation against someone who has reported a concern in good faith under this policy
Violation of any company policies including: The Code of Conduct, Supplier Code of Conduct, Stakeholder Policy, Human Rights Policy, Diversity Policy and other related policies.¹
Violation of competition law

The reporting procedure must be followed, which includes (i) internal reporting through the Speak Up tool, the telephone hotline, or a registered letter to the reporting manager of the local entity, (ii) external reporting to the competent authority, or (iii) public disclosure.

Handling of Reported Concerns and Actions Taken

When a concern is reported via the Speak Up tool or the telephone hotline, it is received by the Compliance department of bpostgroup, which acknowledges receipt within 7 days. If the concern relates to a subsidiary, it is transferred to the competent person or entity within that subsidiary for follow-up, investigation, and feedback. The Compliance department oversees this transfer.

Concerns reported by registered letter to the local reporting manager are managed directly by that manager, who acknowledges receipt within 7 days, unless the report is anonymous.

The Compliance department or the local reporting manager can take the following decisions regarding the reported concern:

The report is inadmissible if the concern does not fall within the scope of this policy.
The follow-up is stopped if the concern is unfounded, lacks sufficient evidence for further investigation, or has already been reported and investigated.
The reported concern requires further investigation to verify it.
Actions are proposed to management if the reported concern contains sufficient evidence to conclude the investigation.

The Compliance department or the local reporting manager will inform the reporting party of the investigation's progress within 3 months of the acknowledgment of receipt of the reported concern. If possible, they will also inform the reporting party via the Speak Up tool about the outcome of the investigation if this was not already done in the initial follow-up (after 3 months).

Reported concerns will be investigated independently, fairly, and impartially, with respect for all parties involved and in accordance with relevant laws and principles (including due process). Detailed information about the concern, the identity of the reporting party, and the identity of anyone mentioned in the report will be kept confidential during and after the investigation and shared only with those who need the information.

For incidents of discrimination and harassment, immediate actions are taken to protect the affected individuals and prevent further occurrences. This may include disciplinary actions against the perpetrators, training programs to raise awareness, and revising policies to close any gaps. For other complaints, such as those related to compliance with laws, employee relations, and safety concerns, bpostgroup implements corrective measures to address the issues.

ISSUE TYPE	NUMBER OF REPORTED CONCERNS BPOSTGROUP*	NUMBER OF REPORTED CONCERNS RADIAL NA
Discrimination	7	9
Harassment	31	9
Sexual harassment	9	1

S1-17 103a Number of Incidents of Discrimination, Including Harassment Reported via the Speak Up Tool

*excluding the entities located in the United States (Radial NA & Landmark US)

The total amount of material fines, penalties, and compensation for damages as a result of incidents and complaints of discrimination, including harassment, reported during the reporting period is €0.

S1-17 103b Number of Complaints Filed by the Own Workforce, Excluding Discrimination and Harassment Reported via the Speak Up Tool

ISSUE TYPE	NUMBER OF REPORTED CONCERNS BPOSTGROUP*	NUMBER OF REPORTED CONCERNS RADIAL NA
Abuse of Power, Authority, or Control	6	2
Compliance with Laws, Rules, and Regulations	1	0
Employee Relations	12	0
Hostile Work Environment	0	2
Undocumented Worker	0	4
Policy Violation	6	3
Protection of Privacy and Personal Data, and Security of Network and Information Systems	2	0
Retaliation	0	1
Safety Concerns	2	2
Unfair Treatment	0	7
Unprofessional Behavior	5	13
Wrongful Termination	0	2
Security Policies and procedures	1	0

*excluding the entities located in the United States (Radial NA & Landmark US).

The total amount of material fines, penalties, and compensation for damages as a result of number of complaints filed by the own workforce, excluding discrimination and harassment reported via the Speak Up tool during the reporting period is €0.

During the reporting period, the number of complaints filed to the National Contact Points for OECD Multinational Enterprises was 0. Consequently, the total amount of material fines, penalties, and compensation for damages resulting from this period is €0.

Initiative: Speak Up Policy: 2024 Highlights and Updates

In 2024, the monthly cases reported through the Speak Up tool saw a notable rise, averaging eight cases per month, with the majority involving harassment or employee relations issues. To mark its one-year anniversary, the Speak Up program has undergone a review, leading to updates that ensure compliance with legal standards and improve the tool's effectiveness. Additionally, initiatives have been launched and are planned to increase awareness of the Speak Up Policy, such as the 2024 Global Ethics Day and the upcoming 2025 Global Whistleblowing Day.

Next year, the revised Speak Up Policy will be reviewed with trade unions before being translated and distributed across all entities of bpostgroup.

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Comprehensive Approach to Managing Psychosocial Risks at bpostgroup 1.

While the Speak Up Policy is open to a wide range of stakeholders (as detailed in Table Individuals Eligible to Report Incidents under bpostgroup's Speak Up Policy) for reporting concerns related to integrity and compliance, bpostgroup also recognizes the importance of addressing psychosocial risks within its Belgian operations. To this end, the bpost NV/SA Psycho-Social team has established comprehensive procedures to manage and mitigate these risks, ensuring employee well-being and workplace safety. These measures are specifically tailored for the Belgian entity and are inspired by Belgian law. What is this policy about? bpostgroup considers integrity and compliance with laws and regulations as well as the code of conduct and other company policies to be extremely important. Integrity )*(+'\$) - .. )/\$'/*+- . -1 +*./"-*0+ҍ. reputation, credibility, and trust of employees, clients, the public and other stakeholders, as well as to limit possible Who can report a concern? You may be an employee, a former employee, an external collaborator, or a person working for a subcontractor or supplier of bpostgroup. *- \$1 +-*/ /\$*)Ң. . /\$*)ѓң҂2# )- +*-/\$)" concern, you must:

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Based on Chapter Vbis of the Act of 4 August 1996 on well-being of workers in the performance of their work, modified most recently by the laws of 28 February 2014 and 28 March 2014, Belgian law defines psychosocial risks at work as professional risks that can cause psychological and potentially physical harm to employees. These risks may also impact workplace safety and the proper functioning of companies. Employers are required to take the necessary measures to: This policy describes the reporting channels available at bpostgroup (bpost and its subsidiaries, except in the 0*4 - 2#ң4'++.)) '#)"-/\$*+ -\$ .+ - -2# (*/\$\$'/ -!*- !0/*2\$/#( ( (*(-/\$*+ -( situation you become aware of, which violates or seems to violate laws, regulations, the code of conduct or other *(+)4+*'\$\$ .ҁ - Ȩ -/#-*0"#*0//#\$.+*'\$42 0. /.҄! '-\$ 1( /-0(* .\$."(-/\$*+ - • !*''*2/# - +*-/\$)"+-* 0- Ң. . /\$*)яң/#-*0"# Ң\$ң\$)/ -)'- +*-/\$)"҂1\$/# + &+**'҂/ ' +#*) hotline or registered letter to your local entity reporting ()" -҂Ң\$\$ң- +*-/\$)" 3/ -)''4/*/# *(+ / )/ 0/#*-\$/4҂*-Ң\$\$\$ң+0'\$\$.'*.0- ҁ

Prevent psychosocial risks at work.
Prevent harm resulting from these risks, OR
Mitigate the harm caused by these risks.

The sources of these risks can be found in:

Interpersonal relationships at work
Organisation of work
Content of the work
Working conditions
Living conditions at work
General

In our commitment to employee wellbeing, we have implemented both formal and informal procedures for managing psychosocial risks in the workplace. These complementary approaches allow us to respond flexibly and effectively to concerns ranging from everyday stressors to more complex issues, all while providing employees with accessible support options and legal protections where needed.

The informal procedure is designed as an accessible, and confidential approach for employees to address concerns like stress, interpersonal conflicts, and harassment without the need for formal escalation. Employees initiate this process by contacting either a Confidential Counsellor or a Prevention Advisor specializing in psychosocial matters. Through a supportive and confidential discussion, the advisor listens to the employee's concerns, provides guidance, and explores informal resolution options. Often, this process includes facilitated dialogue between involved parties or practical adjustments to the employee's environment, tailored to the specific situation. The informal procedure prioritizes privacy and flexibility, making it less intimidating and more approachable for employees. It also enables faster problem resolution, addressing issues before they escalate and fostering a workplace culture of open communication and early problem-solving. This serves as an effective means to manage everyday concerns while promoting a proactive and supportive environment.

On the other hand, the formal procedure is a structured and legally recognized process tailored to address severe or complex cases that cannot be managed informally, such as incidents involving harassment or violence. This procedure begins when an employee submits a written complaint to the Prevention Advisor for psychosocial aspects, who is employed within the internal service for prevention and protection at work. This ensures that the process is internal and independent from management, providing an unbiased intervention. Following an initial assessment, a formal investigation may proceed, during which evidence is gathered, witnesses are interviewed, and comprehensive documentation is compiled to ensure impartiality and accountability. The Prevention Advisor then submits a detailed report to the employer, outlining findings and recommending corrective measures. Based on these recommendations, an action plan is developed and implemented, with regular follow-ups to ensure effectiveness. Unlike the informal procedure, the formal approach includes legal safeguards, protecting the employee from dismissal or adverse employment changes for up to twelve months. This rigorous process aligns with legal standards, ensuring transparency, accountability, and consistent handling of complex cases. While this approach is more timeintensive, it is essential for handling incidents with legal implications, protecting employee rights, and addressing issues that may impact the broader organizational culture.

Together, these formal and informal procedures create a balanced framework for managing psychosocial risks, empowering employees with accessible support options while ensuring that serious issues are handled with the rigor and protection they warrant. Through these channels, we uphold our commitment to maintaining a safe, supportive, and adaptable workplace that prioritizes both individual and collective well-being.

The advisor may refuse a request if it is unrelated to workplace psychosocial risks, and specific procedures apply to cases involving violence or harassment.

S1-17 103a Number of Incidents of Discrimination, Including Harassment Filed Through Internal Procedures in bpost NV/SA (Belgium Only)

ISSUE TYPE	NUMBER OF REPORTED CONCERNS BPOST NV/SA
Discrimination	18
Harassment	224
Sexual harassment	33

We have considered as harassment the following reported issues: Aggression/robbery on postman (pension, parcels, etc.), Hold up, Severe verbal aggression by third parties (e.g. death threats), Physical aggression by third parties, Violence at work, harassment, Verbal aggression by third parties. We have considered as sexual harassment the following reported issues: Sexual harassment and inappropriate behaviour.

S1-17 103b Number of Complaints Filed by the Own Workforce, Excluding Discrimination and Harassment Reported via the Psychosocial Risks at Work

ISSUE TYPE	NUMBER OF REPORTED CONCERNS BPOST NV/SA
Adjustment difficulties at work (adherence to procedures, behaviour, unlawful absence )	13
Nature of task (variation, complexity, frequent changes in task content, physical strain)	48
Work equipment	11
Autonomy or lack of autonomy	5
Burnout	46
Communication (lack of communication between colleagues and hierarchy, lack of information)	35
Contract type, pay conditions	15
Clarity in tasks and roles (unclear job description, organisation chart)	12
Clarity of roles	7
Emotional strain, contact with third parties (customers, suppliers, verbal aggression per customer)	28
Workplace design (open space, ergonomics, lack of light, noise)	12
Internal relations with colleagues and co-workers (working atmosphere, collegiality)	186
Internal relations with the hierarchical line / line management	195
Difficult relationships with colleagues from other departments	30
Work organisation, way of dividing tasks (horizontally or vertically), work procedures MRS (Mail Retail Solutions)	17
Employee participation in the decision-making process (participation, consultation)	5
Strategy and structure of the organisation (mergers, reorganisations, impact of liberalisation, mission and vision)	8
Stress	110
Future prospects (job insecurity, lack of training, recruitment policy, promotion opportunities, reaffectation)	57
Safety and health protection	14
Work schedule, flexibility, work-life balance, leave	61
Work pace (workload, lack of staff)	23
Other - Mainly collective in nature	1

ISSUE TYPE	NUMBER OF REPORTED CONCERNS BPOSTGROUP	NUMBER OF REPORTED CONCERNS RADIAL NA	NUMBER OF REPORTED CONCERNS LANDMARK US
Severe Human Rights Issues and Incidents	0	0	0
Non-respect of UN Guiding Principles on Business and Human Rights	0	0	0
Non-respect of ILO Declaration on Fundamental Principles and Rights at Work	0	0	0
Non-respect of OECD Guidelines for Multinational Enterprises	0	0	0

*excluding the entities located in the United States (Radial NA & Landmark US)

There were no severe human rights issues or incidents connected to our workforce during the reporting period. This includes no cases of nonrespect of the UN Guiding Principles on Business and Human Rights, the ILO (International Labor Organization) Declaration on Fundamental Principles and Rights at Work, or the OECD Guidelines for Multinational Enterprises. Consequently, there were no fines, penalties, or compensation for damages related to severe human rights incidents during the reporting period.

6.3.2. ESRS S2 – Workers in the Value Chain

6.3.2.1. S2 SBM-2 – Interests and Views of Stakeholders

Description of Value Chain Workers

bpostgroup ensures that all value chain workers who can be materially impacted are included in the scope of disclosure under ESRS 2. This approach enables us to effectively address and mitigate potential risks.

We categorize value chain workers subject to material impacts into the following types:

Workers of our subcontractors and transporters. They can be directly impacted, as they execute similar work as our own employees, on our premises and during delivery and transport.
Workers of our suppliers.

While we have not yet identified specific groups within our value chain workers who face greater risks, we recognize the importance of continuous assessment. Furthermore, we recognize that value chain workers may encounter different material impacts depending on their geographic location. Our supply chain risk management system, EcoVadis, analyzes the country risk, taking into account aggregate country performance in the areas of

Environment, Health and Social, Human Rights and Governance. This along with the other EcoVadis scorecard components, that will be detailed further on, allow us to have a better understanding of how companies treat their own workforce.

The health, safety, and wellbeing of our workers, as well as those of our suppliers and subcontractors, have always been of utmost importance to bpostgroup. This is why we prioritize it. Additionally, we have identified various risks and opportunities associated with this aspect.

6.3.2.2. S2 SBM-3 - Material Impacts, Risks and Their Interaction with Strategy and Business Model

Actual Impacts on Our Value Chain Workers

Negative impact including:

• Health and Safety

Workers may face significant risks such as physical strain from heavy loads, challenging conditions, and tight delivery deadlines.

Warehouse, manufacturing, or logistics employees working for bpostgroup's suppliers may encounter additional hazards, including night shifts, repetitive tasks, and inadequate safety measures.

• Collective Bargaining and Freedom of Association

Disregard for workers' rights to collective bargaining and freedom of association by suppliers could lead to strikes or labor disputes, disrupting the supply chain and increasing operational costs.

Suppressing these rights could damage bpostgroup's reputation as a socially responsible company, potentially resulting in lost customers and business partners who prioritize ethical labor practices.

• Social Dialogue

Failure to respect workers' rights to social dialogue could result in labor disputes, causing supply chain disruptions and heightened operational costs.

Suppression of social dialogue could tarnish bpostgroup's reputation, leading to customer distrust and loss of ethically driven business partnerships.

• Gender Equality and Equal Pay for Work of Equal Value

Non-compliance with gender equality principles among suppliers could harm bpostgroup's reputation, undermining customer trust and stakeholder confidence.

Delays in adhering to EU due diligence legislation on gender equality could pose compliance risks, while breaches of confidentiality could result in legal consequences or public scandals.

• Measures Against Violence and Harassment in the Workplace

Ensuring safe and respectful working environments is essential. Suppliers failing to address workplace violence or harassment may face reputational damage, particularly if incidents become public.

Delayed implementation of EU due diligence laws or breaches of confidentiality on this matter could lead to compliance risks, legal liabilities, and stakeholder concerns.

• Diversity

Upholding diversity is critical to fostering an inclusive and innovative value chain. Supplier mismanagement or unethical behavior could harm bpostgroup's reputation, causing loss of trust among customers and partners.

Failure to meet EU diversity requirements or breaches of confidentiality may exacerbate legal and operational risks.

Positive impact include:

• Health and Safety

Supporting the creation of healthier and safer working conditions can reduce accidents and delays, leading to lower operational costs and improved efficiency.

bpostgroup addresses both the positive and negative impacts on workers in the value chain through various strategies and policies. While the seven identified risk areas—Health and Safety, Collective Bargaining and Freedom of Association, Social Dialogue, Gender Equality and Equal Pay, Measures Against Workplace Violence and Harassment, and Diversity—may affect these workers, they have not been found to cause widespread or systemic issues in the contexts where bpostgroup engages with its suppliers.

bpostgroup does not yet have a formal mechanism to assess how workers with specific characteristics in certain contexts may face greater risks. However, our Supplier Agreements (Supplier Code of Conduct, Subcontractor Policy, and General Terms and Conditions) require suppliers to safeguard worker health and safety and adapt measures as needed. bpostgroup is actively assessing mechanisms to identify and assess heightened risks for workers in specific contexts, in line with CSRD requirements on due diligence and impact assessment.

6.3.2.3 S2-1 – Policies related to Value Chain Workers

Policies to Manage Material Impacts, Risks, and Opportunities Related to Value Chain

Workers

At bpostgroup, we have implemented comprehensive policies to address the material impacts, risks, and opportunities concerning our value chain workers. These policies are crafted to ensure the well-being and fair treatment of all workers within our value chain. Our key policies include:

1. Human Rights Policy
1. Speak Up policy
1. Supplier Code of Conduct
1. Diversity policy
1. Subco Policy

Human Rights Policy

bpostgroup has always been committed to the highest standards of ethical behavior in the protection and promotion of human rights, including compliance with applicable laws and regulations.

Key Contents of Policy

bpostgroup conducts its business and activities in a manner that respects human rights and their underlying principles. In that respect, bpostgroup and its corresponding Human Rights Policy respects and supports the following core principles:

1. Diversity and inclusion: bpostgroup strives to be a highly diverse company in terms of its workforce and is committed to creating and supporting a collaborative workplace culture. bpostgroup has designed and adopted a Diversity Policy aimed at creating diversity and inclusion awareness within the group. The purpose of this Diversity Policy is to support bpostgroup employees and management in building a culture where diversity and inclusion are a daily practice. bpostgroup does not tolerate disrespectful or inappropriate behavior, unfair treatment or retaliation of any kind.
1. Freedom of association and collective bargaining: bpostgroup respects its employees' right to join, form or not join a labor union, or to have legally recognized employee representation in accordance with local law;
1. Forced labor, human trafficking and modern slavery: all employment within bpostgroup is voluntary. bpostgroup prohibits the use of all forms of forced labor whatsoever, any form of human trafficking or modern forms of slavery;
1. Child Labor: bpostgroup does not use child labor in any of its operations or facilities. bpostgroup fully respects all applicable laws establishing a minimum age for employment, in order to support the effective abolition of child labor worldwide;
1. Decent work hours, remuneration and benefits: bpostgroup compensates its workers accordingly.

Within bpost NV/SA, for the workers of our subcontractors and transporters, we conduct regular assessments, controls and audits allowing us to identify and mitigate any potential human rights violations.

Scope and Exclusions

This Human Rights Policy applies to all people involved in the bpostgroup's business, in the context of all decisions, strategies, operations, activities, projects and other business of the group.

Disclosure of Third-Party Standards or Initiatives That Are Respected Through Implementation of Policy

The Human Rights Policy sets out the fundamental principles embedded in bpostgroup business operations, strategy and culture to:

the United Nations Universal Declaration of Human Rights (UDHR);
the core fundamental instruments identified by the International Labor Organization (ILO);
the Principles of United Nations Global Compact (UNGC)
UN Guiding Principles on Business and Human Rights
the OECD Guidelines for Multinational Enterprises

While we have aligned our human rights policy with these standard frameworks, we acknowledge that we do not yet have a specific systematic way to monitor compliance regarding these frameworks specifically for workers in the value chain. As we move forward, we are committed to developing and implementing robust monitoring systems to ensure adherence to these international standards.

Description of Most Senior Level in the Organization That is Accountable for Implementation of Policy

The most senior level accountable for the implementation of this policy is the Board of Directors of bpost NV/SA. They are responsible for adopting and updating the Human Rights Policy, ensuring that it aligns with the company's values and ethical standards.

Description of Consideration Given to Interests of Key Stakeholders in Setting Policy

In setting this policy, bpostgroup has taken into account the interests of key stakeholders, including, colleagues, employees, suppliers, value chain workers, business partners, international standards and non-governmental institutions (as mentioned in Scope and Exclusions), shareholders and society at large. The policy reflects our commitment to maintaining healthy and safe workplaces for all of our employees and value chain workers. Stakeholder engagement is an ongoing process and their input is considered crucial for aligning the policy with their expectations and needs.

Explanation of Whether and How Policy is Made Available to Potentially Affected Stakeholders and Stakeholders Who Need to Help Implement It

The Human Rights Policy is available on the bpostgroup website. Additionally, the Human Rights are an integral part of the Supplier Code of Conduct, a document that suppliers sign and agree to at the beginning of their business relationship with bpostgroup.

If any concerns arise, workers can refer and report them using our Speak Up tool. Workers, including value chain workers, can report violations or potential violations of laws and regulations which fall under the scope of the national whistleblowing rules (see the country annex), as well as violations or potential violations of bpostgroup's code of conduct and other company policies.

In 2024 bpostgroup did not have any cases of non-respect of the UN Guiding Principles on Business and Human Rights, ILO Declaration on Fundamental Principles and Rights at Work or OECD Guidelines for Multinational Enterprises that involved value chain workers.

Speak Up Policy

Key Contents of Policy

In 2021, Belgian authorities initiated investigations into alleged labor law violations within the parcel delivery sector. These investigations uncovered systemic gaps in compliance with labor regulations, especially among subcontractors working under tight deadlines and cost constraints.

As a result of these investigations, bpostgroup decided to implement more robust due diligence mechanisms to report legal, policy and other related violations. If any concerns arise, workers can refer to our Speak Up Policy, which describes the reporting channels available at bpostgroup. This policy ensures that workers can report any situation that violates or seems to violate laws, regulations, the Code of Conduct, or other company policies in confidence and without fear of retaliation.

Scope and Exclusions

The Speak Up Policy applies to bpostgroup and its subsidiaries, except in the USA where specific reporting channels apply. It covers reporting channels available for raising concerns about violations or potential violations of laws, regulations, the code of conduct, or other company policies. It is accessible for employees, former employees, external collaborators, or persons working for a subcontractor or supplier of bpostgroup.

Description of Most Senior Level in the Organization that is Accountable for Implementation of Policy

The Speak Up Policy is part of the Code of Conduct. The Board of Directors of bpost NV/SA are responsible for adopting and updating the Code of Conduct, ensuring that it aligns with the company's values and ethical standards.

Description of Consideration Given to Interests of Key Stakeholders in Setting Policy

In setting this policy, bpostgroup has carefully considered the interests of key stakeholders, including employees, former employees, external collaborators, subcontractors, suppliers, and the broader community. The Speak Up Policy underscores our dedication to integrity, compliance, and the protection of all stakeholders' rights. By providing a confidential and secure channel for reporting concerns, we aim to foster a culture of transparency and trust.

Explanation of Whether and How Policy is Made Available to Potentially Affected Stakeholders and Stakeholders Who Need to Help Implement It

The Speak Up Policy is available on our bpostgroup website and through the Speak Up tool. Each concern is handled by our compliance department, ensuring confidentiality and preventing retaliation as outlined in Section S1-17 Incidents, Complaints, and Severe Human Rights Impacts. For more specific information on Speak Up and how the tool works, please refer to Section S1-17 – Incidents, Complaints and Severe Human Rights Impacts.

Supplier Code of Conduct1

Key Contents of Policy

bpostgroup has implemented a Supplier Code of Conduct that suppliers are required to adhere to. The Supplier Code of Conduct is an integral part of our general terms and conditions. The Supplier Code of Conduct is the foundation of the relationship between bpostgroup and its suppliers - creating a mutual understanding of bpostgroup's core values and beliefs. The purpose of the Supplier Code of Conduct is to outline our expectations according to the law and our company's core values and beliefs, especially as it pertains to sustainability and our sustainability strategy – ensuring consistent compliance from our suppliers.

We require our suppliers to fully comply with all laws, rules, and regulations applicable in their country of operation and locations where bpostgroup entities are located. Suppliers are required to be ethical in all aspects of their business, practices, operations, and relationships. The Supplier Code of Conduct is an instrument to guide appropriate governance of these issues and risks. For this purpose, bpostgroup expects its suppliers to adhere to the Supplier Code of Conduct which will form an integral part of the contractual relationship with the relevant bpostgroup entity/entities. The principles expressed in this Supplier Code of Conduct also comprise an important component of supplier selection and evaluation during the tender process.

The Supplier Code of Conduct reflects bpostgroup's commitment to sustainability and ethical business practices across three main areas:

Environment:

• Suppliers are expected to measure and reduce their carbon footprint, adopt science-based emissions reduction targets, and continuously improve environmental performance. Compliance with local and international environmental laws is mandatory, with efforts focused on minimizing resource consumption and emissions.

Social:

• Suppliers must ensure safe and healthy work environment, respect labor rights including freedom of association and fair compensation and reject child or forced labor. They are also required to promote diversity and inclusion, provide equal opportunities and reject any form of discrimination. Respect for human rights is essential, aligning with principles like the Universal Declaration of Human Rights.

Governance:

• Ethical business practices are critical, with zero tolerance for bribery, corruption, or fraudulent activities. Suppliers must implement anonymous grievance mechanisms, avoid conflicts of interest, and support compliance through annual assessments. Non-compliance or failure to improve may lead to contract termination.

This code serves as the foundation for sustainable collaboration, guiding suppliers to align with bpostgroup's societal and environmental goals. Key suppliers2 must undergo an annual assessment by an independent organization, such as Ecovadis or an equivalent, to ensure compliance with the Supplier Code of Conduct. They are expected to continuously improve and meet at least the sector benchmark level each year. Our procurement department conducts an annual screening using the Ecovadis tool to detect and monitor any infringements. If any are found, the procurement department requests corrective actions with the supplier. Moving forward, we will continue to leverage our Supplier Code of Conduct to enhance our screenings and audits where relevant.

Scope and Exclusions

The Supplier Code of Conduct currently applies only to bpost NV/SA. However, our new Supplier Code of Conduct will be validated by the board and will be implemented across the entire bpostgroup in 2025.

The new Supplier Code of Conduct applies to all tiers of suppliers, including manufacturers, distributors, and service providers, who deliver goods or services procured by bpostgroup. It also covers subcontractors and agents working on behalf of these suppliers. Suppliers are expected to ensure that their own suppliers and subcontractors are aware of and comply with the standards set forth in this Code.

We disclose the number and nature of any cases of non-respect of these principles and guidelines that involve value chain workers. This transparency helps us maintain accountability and continuously improve our practices. Currently there are no active cases. More details on the reporting can be found in Section S1-17 – Incidents, Complaints and Severe Human Rights Impacts.

Disclosure of Third-Party Standards or Initiatives That Are Respected Through Implementation of Policy

Although the current Supplier Code of Conduct does not explicitly reference any third-party standards, the new Supplier Code of Conduct, to be validated in early 2025, will. The following third-party standards will be included in the new Supplier Code of Conduct:

1 In alignment with the Corporate Sustainability Reporting Directive (CSRD), bpostgroup has developed an improved supplier policy aimed at enhancing our sustainability practices. This policy is scheduled to be implemented early to mid 2025.

² Key suppliers = 80 % top spend

Currently, we have a valid supplier policy that addresses the material topics for bpostgroup. The new policy will further close gaps and strengthen our commitment to sustainable and responsible sourcing. This initiative underscores our dedication to continuous improvement in our Environmental, Social, and Governance performance, ensuring that we meet and exceed regulatory requirements while fostering a more sustainable supply chain.

1. Environmental Standards:

Science Based Targets initiative (SBTi)
ISO 14001 (Environmental Management System)
GHG Reporting Standards

2. Social Standards:

Universal Declaration of Human Rights (UDHR)
ILO Declaration on Fundamental Principles and Rights at Work
United Nations Global Compact (UNGC)
Convention on the Rights of the Child

3. Governance Standards:

General Data Protection Regulation (GDPR)
ISO 27001 (Information Security Management)
ENISA (Cybersecurity Standards)

Description of Most Senior Level in the Organization that is Accountable for Implementation of Policy

The Board of Directors of bpost NV/SA are responsible for adopting and updating the Supplier Code of Conduct, ensuring that it aligns with the company's values, ethical standards and evolving market and regulatory requirements.

Description of Consideration Given to Interests of Key Stakeholders in Setting Policy

In setting this policy, bpostgroup has taken into account the interests of key stakeholders, including colleagues, employees, Procurement, suppliers, value chain workers, subcontractors and other related parties. This Supplier Code of Conduct reflects our commitment to constantly improving and striving towards better supplier relationships and quality of service.

Explanation of Whether and How Policy is Made Available to Potentially Affected Stakeholders and Stakeholders Who Need to Help Implement It

The Supplier Code of Conduct is a mandatory document that suppliers must acknowledge and sign before entering into a business relationship. It is furthermore made publicly available on our bpostgroup website.

If any concerns arise, workers can refer and report them using our Speak Up tool. Workers, including value chain workers, can report violations or potential violations of laws and regulations which fall under the scope of the national whistleblowing rules (see your country annex), as well as violations or potential violations of bpostgroup's code of conduct and other company policies.

Diversity Policy

Key Contents of Policy

bpost NV/SA's Diversity Policy takes a broad view on diversity. Diversity encompasses, inter alia, differences in backgrounds, gender, age, language, ethnic origin, parental status, education, skills, abilities, religion, sexual orientation, socio-economic status, work and behavioral styles.

Promoting diversity and developing a culture that values differences are now a core principle and will be reflected in all bpost NV/SA activities, including recruitment, training, promotion, talent development, skills enhancement, retention of talent, flexible work arrangements available to employees and group policies and procedure. We request our subcontractors, transporters and suppliers to adhere to the same principles.

Scope and Exclusions

The Diversity Policy is specifically designed and tailored for bpost NV/SA.

Group subsidiaries incorporate Diversity into their daily practices in different ways, such as Radial North America which is committed to providing a work environment that is free from unlawful discrimination or harassment, and that is detailed for several location of the entity within their employee handbook (cf. United States, Section 3.4 of employee handbook; Canada, Section 3.4; India, Section 3.3). In keeping with this objective, the entity maintains a strict policy prohibiting conduct which treats employees differently based on any status protected by law, such as race, color, religion, gender, physical or mental disability, pregnancy, medical condition, national origin, ancestry, age, sexual orientation, gender identity, gender expression, genetic information, or marital status. Forms of harassment and discrimination may include, but are not limited to, verbal (suggestive, insulting or derogatory comments, etc.) physical (assault, unwanted physical contact, interference with movement etc.), or visual (text messages, posters, cartoons, objects, etc.)

Description of Most Senior Level in the Organization that is Accountable for Implementation of Policy

The most senior level accountable for the implementation of this policy is the Board of Directors of bpost NV/SA. The Board of Directors assesses annually whether diversity within bpost NV/SA management has improved. Workshops are organized for teams investing in diversity and inclusion awareness and/or dealing with specific topics within the diversity and inclusion framework.

Description of Consideration Given to Interests of Key Stakeholders in Setting Policy

In setting this policy, bpostgroup has taken into account the interests of key stakeholders, including colleagues, employees, suppliers, customers, business partners, shareholders, and society at large. The policy reflects our commitment to maintaining and growing a diverse workforce because individuals from different backgrounds, cultures, perspectives and experiences enhance work culture.

Explanation of Whether and How Policy is Made Available to Potentially Affected Stakeholders and Stakeholders Who Need to Help Implement It

Diversity is integrated in our Supplier Code of Conduct, a mandatory document suppliers must acknowledge and sign. The policy is also publicly available on the bpostgroup website.

If any concerns arise, workers can refer and report them using our Speak Up tool. Workers, including value chain workers, can report violations or potential violations of laws and regulations which fall under the scope of the national whistleblowing rules (see your country annex), as well as violations or potential violations of bpostgroup's code of conduct and other company policies.

Subco Policy

Key Contents of Policy

At bpost NV/SA, we recognize the need to ensure that our practices not only meet but exceed legal and ethical standards. In response, we conducted a thorough assessment of the transport subcontractor landscape to evaluate the alignment of their practices with our values and commitments in Belgium and in the Netherlands. This was followed by a detailed audit in 2022 to examine compliance across our supply chain. As a result, a robust subcontractor policy was developed, providing clear guidelines to:

1. Clear Guidelines to Uphold Labor Laws

The policy establishes strict requirements for subcontractors (subco's) to ensure compliance with labor laws. Key elements include:

Verification of Legal Documents: Subco's must provide proof of valid transport permits, insurance (e.g., Third-party liability insurance for vehicles, Carrier's Liability Insurance, Work accident insurance ), and compliance with labor regulations (e.g., valid employment contracts, work permits for non-EU drivers).
Criminal Record Check: Subco's and their directors must submit criminal record extracts to ensure no serious violations (e.g., human trafficking, illegal employment, or tax fraud) are present.
Daily and Ad Hoc Controls: Regular checks are conducted to ensure drivers have valid licenses, work permits, and comply with labor laws during transport operations.

This ensures that all subco's and their employees adhere to legal standards, preventing labor exploitation and illegal practices.

1. Promote Ethical Employment Practices The policy promotes ethical practices by:
2. Prohibiting Illegal Subcontracting: Subco's are generally prohibited from further subcontracting transport tasks unless explicitly approved by bpost NV/SA. This prevents unethical practices like labor exploitation or underpayment by unauthorized third parties.
3. Ensuring Fair Working Conditions: Subco's must provide proof of valid employment contracts, insurance, and fair treatment of workers. Drivers must be either employees or legally recognized self-employed individuals with proper documentation.
4. Monitoring and Reporting: Regular ad hoc controls and reporting mechanisms ensure that subco's maintain ethical standards throughout their operations.

By enforcing these measures, bpost NV/SA ensures that subco's treat their workers fairly and ethically.

3. Reinforce Social Responsibility

The policy reinforces bpost NV/SA's commitment to social responsibility by:

Avoiding Exploitative Practices: The policy explicitly aims to prevent underpayment, illegal employment, and labor exploitation in the transport sector.
Transparency and Accountability: Subco's must provide detailed documentation (e.g., proof of insurance, solvency, and compliance with labor laws) during onboarding and ongoing operations. This ensures transparency and accountability in the supply chain.
Supporting Legal and Ethical Subco's: bpost NV/SA prioritizes working with subco's that comply with legal and ethical standards, creating a "reliable pool" of transporters.

These measures demonstrate bpost NV/SA's commitment to being a socially responsible organization that sets high standards for its partners.

4. Setting a Higher Standard

The policy goes beyond basic legal requirements to set a higher standard by:

Strict Onboarding Process: Subco's must undergo a rigorous onboarding process, including verification of transport permits, insurance, solvency, and capacity. Only compliant subco's are allowed to work with bpost NV/SA.
Proactive Monitoring: Regular daily and ad hoc controls ensure ongoing compliance with the policy. Subco's that fail to meet standards face consequences, including contract termination.
Limiting Subcontracting Layers: The policy restricts subco's from further subcontracting tasks, ensuring bpost NV/SA maintains control over the entire supply chain and prevents unethical practices.

By implementing these measures, bpost NV/SA sets a higher standard for ethical and responsible business practices in the transport sector.

A fundamental part of our subcontractor policy entails a rigorous control plan. Our daily controls and ad hoc controls, which puts us in direct contact with the workers of our subcontractors offers the possibility for the workers to engage with our employees and our controllers.

bpost NV/SA aims to use a clear policy to engage a "reliable pool" of subcontractors for its transport assignments.

Scope and Exclusions

The policy guidelines and conditions apply to all subco's engaged by bpost NV/SA for transport assignments. This means that the policy must be respected when bpost NV/SA engages subco's for the transportation of mail and goods, including parcels, and when the contracted subco's in turn engage third-party subco's for transport assignments on behalf of bpost NV/SA.

The policy does not apply to intra-group services where entities of the bpostgroup provide services to other entities within the bpostgroup.

Any deviations from this policy, depending on the circumstances and/or complexity of operational activities, must be coordinated with the Transport Compliance Department of bpost NV/SA.

Description of Most Senior Level in the Organization that is Accountable for Implementation of Policy

The Transport Compliance Department at bpost NV/SA is responsible for the implementation of the subcontractor policy and reports to Transport Governance Board, Exco Belgium, and the Audit & Risk Committee.

Explanation of Whether and How Policy is Made Available to Potentially Affected Stakeholders and Stakeholders Who Need to Help Implement It

The policy document can be accessed on the bpost NV/SA intranet and is also available from the Transport Compliance Department. All departments, including those of subsidiaries, that engage external carriers are expected to strictly apply this policy in practice. The policy is communicated to all relevant stakeholders to ensure they understand and adhere to the guidelines and conditions set forth.

If any concerns arise, workers can refer and report them using our Speak Up tool. Workers, including value chain workers, can report violations or potential violations of laws and regulations which fall under the scope of the national whistleblowing rules (see your country annex), as well as violations or potential violations of bpostgroup's code of conduct and other company policies.

Significant Changes to our Policies

Supplier Code of Conduct

In early 2025, bpostgroup plans to develop and implement new procedures to ensure the Supplier Code of Conduct can be applied uniformly across all group entities. These procedures will also introduce a supplier self-assessment mechanism, enabling suppliers to evaluate their compliance and identify areas for improvement. The revised code, aligned with the Corporate Sustainability Reporting Directive (CSRD), will clearly categorize all principles as either "Minimum Requirements" or "Aspirations."

Minimum Requirements are mandatory standards that suppliers must meet to ensure compliance.
Aspirations outline recommendations designed to help suppliers go beyond basic compliance and enhance their practices over time.

Looking forward, these updates will strengthen bpostgroup's ability to foster transparent, consistent, and sustainable practices throughout its value chain while preparing for a comprehensive rollout of supporting procedures in the coming years.

Types of Communication of Policies

We communicate our policies through various channels, including:

In bpost NV/SA General Terms and Conditions
Annexes of our supplier contracts

^• Publication on our website

6.3.2.4 S2-2 – Processes for Engaging with Value Chain Workers About Impacts

Disclosure of Whether and How Perspectives of Value Chain Workers Inform Decisions or Activities

Workers in our Value Chain are important for bpostgroup.

In 2024 we focused on the most critical part of our value chain, the workers of our transport subcontractors. We established controls for safety and human rights at several levels of engagement.
For the workers of our key suppliers, we have implemented regular reactive screening via EcoVadis. EcoVadis is a tool for supplier performance management that we use post-contract to evaluate suppliers. Once the contract begins, suppliers must perform an assessment with EcoVadis or equivalent. EcoVadis is a minimum requirement for key suppliers.

Looking ahead to 2025, we aim to extend the scope of controls for our workers, specifically focusing on the transport sector.

Engagement with Value Chain Workers or Their Representatives

We engage with value chain workers or their legitimate representatives directly, or through credible proxies, to gather insights and feedback. This engagement provides us an understanding of their needs and concerns. For 2024 no concerns were addressed.

Disclosure of Stage, Type, and Frequency of Engagement

Engagement with value chain workers occurs at various stages, including:

• Onboarding:

Our transport subcontractors are screened during the onboarding process from a compliance perspective.
During onboarding bpost NV/SA's suppliers are provided with our Supplier Code of Conduct which entails Health & Safety requirements, whistle blowing/grievance processus and our control processus. We are currently developing a renewed bpostgroup Supplier Code of Conduct, which will be implemented in 2025 for bpostgroup as a cornerstone of our Third-Party Risk management plan.
Representatives of the workers can provide feedback and raise concerns during the onboarding process.

• During the relationship:

With our transport subcontractors we perform daily controls and ad hoc audits as described in our general terms and conditions.
The individuals workers can express their feedback, concerns during the direct interaction during the controls (daily, ad hoc annual controls).

Disclosure of Function and Most Senior Role Responsible for Engagement

The operational responsibility for ensuring engagement with value chain workers and that the results inform our approach lies with various roles within the organization. Please note that the specific functions and roles may evolve as our processes and organizational structure develop.

Disclosure of Global Framework Agreement or Other Agreements

bpostgroup is committed to respecting the human rights of workers as stated in S2-1: Policies Related to Value Chain Workers under the title "Human Rights Policy".

Disclosure of How Effectiveness of Engagement is Assessed

We assess the effectiveness of our engagement with value chain workers through two distinct approaches:

• Subcontractors:

Our permanent control plan includes daily on-site controls, ad hoc controls, and ad hoc on-site audits to track and trace possible infringements. These controls are monitored monthly. Any infringements are discussed during the business review with the subcontractor and may result in corrective actions.

• Key Suppliers:

The annual screening of our key suppliers, using the EcoVadis tool, enables our procurement department to detect warnings of possible infringements. If a supplier's EcoVadis score is below 45 points, our procurement department requests general improvements. For scores between 44 and 25 points, a mitigation plan is set up, and progress is assessed to achieve the sector average within 24 months. For scores between 0 and 24 points, on-site audits may be conducted, and reassessment within 12 months is required. If the supplier's actions are inadequate, the Sustainability Steering Committee can decide to delist the supplier.

Statement on General Process for Engagement

At present, our engagement with value chain workers is limited. We are in the early stages of developing more comprehensive processes to ensure their well-being and compliance with our standards. For that we have controls for the safety, well-being and human rights in place. As we progress, we aim to implement more robust measures and improve our engagement strategies.

Disclosure of Timeframe for Adoption of General Process

As part of our third-party risk management program, we will ensure that the Value Chain Workers process is integrated into the framework addressing suppliers' responsibilities on this matter. The plan will include drafting a policy and defining the varying levels of involvement expected from third parties, depending on compliance requirements. This plan is scheduled for implementation in 2025.

6.3.2.5 S2-3 – Processes to Remediate Negative Impacts and Channels for Value Chain Workers to Raise Concerns

Processes for Remediation

At bpostgroup, our Speak Up tool is open to a wide variety of employees and stakeholders, internal and external (for more information on individuals eligible to report under bpostgroup's Speak Up Policy – please refer to S1-17 – Incidents, complaints and severe human rights impacts). As such it enables workers in our value chain to raise concerns which may have negative impacts on them. Our Speak Up tool is generally available and accessible via our website.

All concerns are processed according to our Speak Up Policy. The Compliance department will acknowledge receipt within 7 days via the Speak Up Tool. Monitoring is done by our Compliance department or local entity reporting manager, which informs on the decisions within 3 months from the acknowledgement of receipt. Our Speak Up Policy ensures confidentiality as well as protection from retaliation.

Recognizing that certain workers in our value chain may be particularly vulnerable to negative impacts or marginalized due to their working conditions, socio-economic status, or other factors, we are actively working to enhance our understanding of their perspectives. We are currently developing structured engagement mechanisms to assess whether these workers are aware of, have access to, and trust the Speak Up process. This includes gathering direct feedback, conducting awareness-raising initiatives, and evaluating barriers that may prevent them from reporting concerns. These efforts aim to ensure that our grievance mechanisms are inclusive, effective, and responsive to the needs of value chain workers, particularly those who may be at greater risk of adverse impacts.

As stated in the Speak Up Policy, bpostgroup has robust policies in place to protect individuals who raise concerns through our established channels. If any worker reports a concern in good faith, whether through internal reporting (via the Speak Up Tool, telephone hotline, or by registered letter to your local entity reporting manager), external reporting to an authority, or public disclosure, bpostgroup ensures that they will not face retaliation. This includes protection from disciplinary measures, changes in working conditions, dismissal, and other forms of retaliation.

6.3.2.6 S2-4 – Taking Action on Material Impacts on Value Chain Workers, and Approaches to Managing Material Risks and Pursuing Material Opportunities Related to Value Chain Workers, and Effectiveness of Those Actions

Concerning Actions

The material impacts affecting workers of our suppliers, subcontractors, and transporters have always been a key priority for bpostgroup. To mitigate risks and ensure responsible business conduct, we have implemented relevant policies as outlined in S2-1: Policies Related to Value Chain Workers. As we continue to strengthen our approach, we are developing new initiatives to enhance oversight, accountability, and social responsibility in our value chain.

One of the key initiatives currently underway is the development of a Third-Party Risk Management Framework. This framework is based on the results of a compliance maturity assessment conducted at the bpostgroup level, with a particular focus on Compliance, Health & Safety, and Social Responsibility. We plan to roll out this framework in 2025 for bpost NV/SA, followed by a phased implementation across the rest of the group. The framework will establish a structured approach to supplier categorization, defining clear risk taxonomies and setting specific risk appetite parameters. This will enable a more systematic evaluation of suppliers, ensuring that those operating within our value chain meet our compliance and safety expectations. In cases where risks are identified and do not align with bpostgroup's risk appetite, appropriate mitigation measures will be applied.

The Third-Party Risk Management Framework will also reinforce our commitment to workers' rights, including collective bargaining, freedom of association, and social dialogue. By embedding due diligence processes that assess supplier adherence to these principles, bpostgroup aims to prevent labor disputes, reduce supply chain disruptions, and uphold its reputation as a socially responsible employer. Moreover, this framework will strengthen oversight of health and safety conditions, ensuring that suppliers comply with robust safety standards to mitigate risks associated with physical strain, challenging working conditions, and inadequate safety measures.

Another major initiative is the upcoming publication of the new Supplier Code of Conduct, scheduled for early 2025. This revised code, aligned with the Corporate Sustainability Reporting Directive (CSRD), introduces a clear distinction between mandatory compliance requirements and aspirational best practices. The code will ensure that suppliers meet minimum compliance standards while encouraging continuous improvements in areas such as gender equality, diversity, equal pay, and measures against workplace violence and harassment. To support the implementation of these principles, bpostgroup is developing standardized group-wide procedures to ensure that the Supplier Code of Conduct is uniformly applied across all entities.

A new supplier self-assessment mechanism will be introduced alongside the updated code, allowing suppliers to evaluate their own compliance and identify areas for improvement. This approach aims to empower suppliers, fostering a culture of continuous enhancement in labor conditions, social responsibility, and ethical business practices.

Although bpostgroup is actively taking steps to address material impacts affecting value chain workers, many of these initiatives are in development or planned for 2025 and beyond. Consequently, details on their effectiveness, resource allocation, and financial impact will be disclosed in future reporting cycles as these processes evolve.

In the meantime, bpostgroup continues to monitor suppliers through EcoVadis, as outlined in S2-2: Processes for Engaging with Value Chain Workers About Impacts. This tool enables us to assess supplier performance on key social and sustainability indicators. If a supplier's EcoVadis score falls below an established threshold, targeted action plans are implemented to drive improvements and strengthen risk mitigation efforts.

These ongoing developments will reinforce bpostgroup's ability to implement transparent, consistent, and sustainable practices throughout its value chain, ensuring that responsible business conduct remains a cornerstone of our operations.

Additionally, bpostgroup has not yet adopted specific actions under MDR-A 62 due to ongoing development of our risk assessment methodologies and supplier engagement processes. Given the complexity and diversity of our value chain, we are focusing first on establishing a robust foundation through initiatives such as the Third-Party Risk Management Framework and the revised Supplier Code of Conduct. These steps will enable us to better assess material risks, measure impacts, and define appropriate actions in the coming years.

6.3.2.7 S2-5 – Targets Related to Managing Material Negative Impacts, Advancing Positive Impacts, and Managing Material Risks and Opportunities

Tracking and Performance Evaluation of Sustainability-Related Impacts, Risks, and Opportunities

At this stage, bpostgroup has not yet established specific targets related to the material impacts, risks, and opportunities affecting workers in our value chain. However, we remain committed to continuously improving our due diligence processes and assessing the effectiveness of our initiatives. For bpost NV/SA's specific procurement KPIs to strengthen engagement with workers in the value chain, please refer to Section G1-2 Management of Relationships with Suppliers.

Ambition and Target Setting

While bpost NV/SA tracks additional metrics beyond those required by the CSRD, as shown in G1-2, we plan to establish robust targets following the implementation of our new Supplier Code of Conduct. This updated Code will enhance our ability to track the effectiveness of policies and actions related to material sustainability impacts, risks, and opportunities.

Tracking Effectiveness and Performance Evaluation

To track effectiveness, we will implement structured monitoring processes, including:

Supplier Self-Assessments: Suppliers will conduct self-assessments to evaluate their compliance with our sustainability criteria.
Third-Party Evaluations: We will use third-party assessments, such as EcoVadis ratings, to validate supplier sustainability performance.
Internal Compliance Reviews: Regular internal audits and compliance checks will ensure alignment with sustainability commitments.

Key Material Sustainability-Related Impacts

We assess key material sustainability-related impacts, including:

Health and Safety: Ensuring safe working conditions for suppliers' employees, particularly in logistics, warehousing, and manufacturing.
Collective Bargaining and Freedom of Association: Upholding workers' rights to unionize and engage in social dialogue.
Social Dialogue: Promoting transparent communication and engagement between workers and management to prevent labor disputes.
Gender Equality and Equal Pay for Work of Equal Value: Ensuring fair treatment and equal opportunities for all workers.
Measures Against Violence and Harassment in the Workplace: Preventing workplace misconduct and fostering a culture of respect.
Diversity: Encouraging inclusive hiring practices and equal opportunities across the supply chain.

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Metrics Used to Evaluate Performance and Effectiveness

Our performance evaluation includes both qualitative and quantitative indicators:

Supplier Compliance Rates: Measured through contractual adherence and audits.
Sustainability Performance Scores: Assessed via third-party tools like EcoVadis.
Incident Reports and Corrective Actions: Tracked through supplier reporting mechanisms.
Improvement in Working Conditions: Measured through engagement surveys and audit findings.

Methodologies and Assumptions

To ensure consistency in evaluation, our methodologies include:

Risk-Based Supplier Segmentation: Classifying suppliers based on risk exposure, materiality, and industry-specific factors.
Benchmarking Against Industry Standards: Aligning assessments with recognized frameworks like CSRD, UN Global Compact, and OECD Guidelines.
Data Collection from Multiple Sources: Utilizing self-assessments, third-party audits, and grievance mechanisms to validate findings.
Assumptions on Supplier Improvement: Assuming targeted corrective action plans lead to measurable improvements.

External Validation

We engage external validation bodies to strengthen the credibility of our performance evaluation:

EcoVadis: An independent platform assessing supplier sustainability performance.
Procura+: A European network promoting sustainable public procurement.
BACA Supply Chain Leader Group: A group of supply chain leaders focused on sustainable supply chain engagement.
Big Buyers Initiative (BBI): A European Commission project supporting collaboration for sustainable solutions in public procurement.
The Shift: A Belgian community focused on advancing sustainability across industries.

Defining Ambition and Measuring Progress

Our ambition is to create a resilient and sustainable supply chain that meets regulatory requirements and drives progress in key sustainability areas. We will define both qualitative and quantitative indicators to measure progress, including compliance rates, sustainability performance scores, and improvements in working conditions. The base year for measuring progress will be established after the rollout of our Supplier Code of Conduct in 2025, providing a reference point for assessing long-term advancements.

6.3.3. ESRS S4 – Consumers and End-Users

6.3.3.1 SBM-3 – Interests and Views of Stakeholders

Description of Our Consumers and End-Users

All consumers and end-users, as defined in our Stakeholder Engagement Policy who may be significantly affected by bpostgroup's operations fall within the scope of disclosure under ESRS 2. This encompasses any individual or group utilizing our services or products, who could experience substantial impacts—whether positive or negative—from our business activities.

bpostgroup serves a diverse range of customers and end-users through its comprehensive postal, logistics, and financial services. These stakeholders are integral to our operations and are implicated by our commitment to ensuring data privacy, protecting their rights, and delivering essential services.

The types of consumers and end-users subject to material impacts by own operations or through the value chain include:

1. Major Customers and Corporate Customers: Large corporations and businesses.
1. SMEs, Self-Employed, and Liberal Professions: Small and medium-sized enterprises, self-employed individuals, and professionals.
1. Residential Customers: Individual citizens using postal, logistics, and financial services.
a. General Public: The broader population that benefits from bpostgroup's last-mile and retail services, which fulfil a unique social and proximity role, providing opportunities for more personal services. It encompasses clients who use e-commerce flows (e.g., Zalando, Coolblue) for their online shopping needs.
b. E-commerce Customers: Clients who use the eshop to create a postal label, personalized stamps and much more.
c. Financial Product Customers: Clients purchasing BNPPF banking products through bpost NV/SA, whose financial data needs to be secured.

These groups are impacted by bpostgroup's operations in terms of Privacy, Non-discrimination, and Access to Products and Services¹ . The negative material impacts include privacy violations and cyber threats. The positive material impacts include ensuring equal rights for all individuals, regardless of race, color, etc., and the assurance of rights in accessing products and services. Furthermore, the material risks, specifically for Privacy, will be detailed further on in the disclosure.

6.3.3.2 SBM-3 – Material Impacts, Risks and Opportunities and Their Interaction with Strategy and Business Model

Actual Material Impacts and Risks on our Consumers and End-users

bpostgroup is committed to our customers and end-users. Through our Double Materiality assessment as detailed in Section IRO-1 - Description of the Process to Identify and Assess Material Impacts, Risks and Opportunities, we have identified three critical areas that significantly impact our operations and stakeholders: Privacy, Non-discrimination, and Access to Products and Services ¹ . Stability in managing the impacts on these key areas is essential for ensuring trust, compliance, and the seamless delivery of our services.

Privacy

Our company identifies a single (short-term) negative impact area being cybersecurity risks (Privacy¹ ). Through its activities, especially its e-commerce platform, bpostgroup processes a considerable amount of client data, including names, addresses. When any of the identified consumer groups in Section S4 - Consumers and End-Users use or visit bpostgroup digital or physical locations and applications (e.g., mybpost), digital or paper forms, email, telephone, cookies or similar technologies, their personal data is collected.

Securing this personal information is crucial to respect the fundamental right to privacy, maintain trust, and protect all clients around the globe. These risks include for instance a cyberattack causing network and system damage, leading to sustained disruption of critical physical or digital infrastructure. Specific threats include:

Unauthorized access to identification data such as names, first names, and signatures.
Breaches involving address details provided directly by the persons concerned or indicated on letters or packages.
Compromises of contact details such as email addresses and telephone numbers.
Exposure of details of mail or parcels sent as part of bpostgroup's postal and parcel activities.
Theft of transaction data, including information on products or services purchased, VAT numbers, and company numbers.
Exploitation of online and technical information, such as IP addresses, device information, language preferences, and website behaviour.
Misappropriation of information resulting from interactions with bpost, such as feedback from satisfaction surveys, email content, and complaints.
Unauthorized access to camera images.

We have performed, and regularly update, risk analysis for each of these risks, which allows us to identify action plans and concrete measures. Based on that, we monitor these risks to avoid significant losses, and any issues are addressed accordingly to ensure compliance with privacy standards. Although our policies related to data privacy and security do address other material risks that may impact our end-users and consumers, these policies do not specifically address material risks related to cyberattack threats. Privacy has been identified as an area where material negative impacts may occur. While bpostgroup takes measures to safeguard the privacy of consumers and end-users, there remains a risk of data breaches or misuse of personal information, which could lead to significant consequences for affected individuals. Our assessment indicates that these potential negative impacts are not widespread or systemic but may arise in specific contexts. To mitigate these risks, bpostgroup has implemented strict data protection policies, cybersecurity measures, and employee training programs.

Non-Discrimination

At bpostgroup, Diversity and Inclusion is one of our core values. We are committed to ensuring that no one is denied their rights based on race, skin color, sex, language, religion, political opinion, national or social origin, property, birth, age, nationality, marital status, disability, place of residence, or sexual orientation. Through our various initiatives, detailed in Section S1-1 Policies Related to Own Workforce, and our inclusive services, we play a unique social and community role. This commitment allows us to offer more personalized services in a society that increasingly needs support and physical connections, such as meal and medication deliveries, next-day delivery etc.

Access to Products and Services

bpostgroup plays a unique and vital role in serving a diverse range of clients, from large corporations to individual citizens. Our ability to provide essential services helps bridge social, economic, and digital gaps, particularly benefiting disadvantaged, isolated, or elderly individuals. Through our last-mile and retail services, we ensure that everyone has access to products and services that positively impact their lives, addressing customer needs and trends effectively.

Material Negative Impacts on Consumers and End-Users

bpostgroup assesses the potential for negative impacts related to Non-Discrimination and Access to Products and Services. Based on our evaluations, these topics have not been identified as having widespread or systemic negative impacts in the contexts where bpostgroup sells or provides its products and services. Furthermore, no material negative impacts have been linked to individual incidents (e.g., defects in specific products) or specific business relationships (e.g., inappropriate targeting in marketing).

6.3.3.3 S4-1 – Policies and the Rights of Our Consumers and End-Users

bpostgroup has implemented measures and necessary programs related to Privacy, Access to Products and Services, and Non-Discrimination, which are integrated into our operations. Our general privacy policy specifically addresses the negative material impacts related to Privacy. However, we have no other polcies that specifically address the material impacts related to Access to Products and Services and Non-Discrimination.

Privacy

bpost NV/SA has a General Privacy Policy, which focuses on addressing potential material impacts and risks to ensure the protection of personal data. This Statement is overseen by the Data Protection Officer (DPO), Privacy Office and the Chief Information Security Officer (CISO). The ICT department is accountable for the implementation of the IT-related policies. The General Privacy Policy outlines how bpost NV/SA collects and processes personal data when you use our websites, applications, products, and services, or interact with them in any other way (e.g. by calling the bpost call centre). The current Privacy Statement was established in 2022 and is under review, with the last revision on November 13, 2024. The new revised version of the Statement will be submitted for approval in early 2025.

Additionally, bpost provides Specific Privacy Policies for particular websites, applications, products, and services, which must be read in conjunction with the General Privacy Policy. These specific policies are made available on the relevant websites and within the relevant applications, products, and services, which must be read in conjunction with the General Privacy Policy.

Furthermore, these policies do not target any specific consumer or end-user group but instead apply broadly to all consumers and end users (as detailed in 'Our Consumers and End Users') who access bpost NV/SA web pages or services.

Each bpostgroup entity also has its own privacy statements related to its activities. Furthermore, bpostgroup is expanding its Privacy Policy, which is currently limited to bpost SA, to cover all its companies.

Data Classification Policy

As part of bpostgroup's Data Security Governance Program, the Data Classification Policy, based on the Confidentiality, Integrity, and Availability (CIA triad) framework, ensures proper handling of personal data to safeguard its Confidentiality, Integrity, and Availability (CIA triad). The implementation and accountability of this policy is managed by the Data Protection Officer (DPO) and Privacy Office and it guides stakeholders, including data owners, ICT custodians, contractors, and vendors, in applying appropriate security measures for data protection. Moreover, this policy is directly targeted to the ICT, Compliance departments and the CISO Office. The Privacy Office disseminated to its Privacy Network composed of representatives of all bpostgroup subsidiaries, to be used as an example and further disseminated.

In terms of data retention, bpostgroup retains personal data only as long as necessary for specific purposes, considering legal obligations:

Contractual data: Retained for up to 10 years after contract termination.
Parcel delivery preferences: Kept for 36 months, or 13 months if linked to a specific parcel.
Requests, applications, and complaints: Stored for 12 months after resolution.
Camera footage: Retained for 30 days.
Call recordings: Stored for up to 6 months.

The purposes for retaining and classifying data include contract management, parcel delivery, safety and security, service quality enhancement, and handling customer interactions. This comprehensive approach reflects bpostgroup's commitment to data protection and operational efficiency.

This policy does not directly cover specific groups, but rather apply to various situations involving any of our consumer or end user groups (as detailed in 'Our Consumers and End Users).

Non-discrimination and Human Rights

bpost NV/SA not only strives to have inclusive and welcoming postal points and offices, but also has an obligation. As laid out in the Universal Service Obligation (USO), given to bpost NV/SA by the Belgian government, bpost NV/SA shall play a "pioneering role" in the sustainable management of its personnel and "social inclusion", as stated in Chapter 2 "Business Sustainability", Article 40: Social Responsibility Charter". The mandate explicitly states that "bpost is there for all citizens", strictly prohibiting discrimination of any kind.

The Universal Service Obligations (USO) ensure:

1. Nationwide postal service availability at affordable prices.
1. Delivery of mail (up to 2kg) and parcels (up to 10kg) at least five days a week.
1. A dense network of access points for accessibility.
1. Transparent service, pricing and quality standards regulated by authorities

Non-discrimination is a key principle of bpost's Universal Service Obligations (USO). This means:

Equal access All consumers, regardless of location (urban or rural), must receive the same quality of service.
Uniform Fair pricing same prices for all consumers No unjustified price differences between customers or regions.
Impartial treatment No discrimination based on, among others, personal characteristics or business size.

This ensures that everyone benefits from affordable, reliable, and inclusive postal services. The BIPT (Belgian regulator) is entitled to control the application of these obligations.

Access to Products and Services

Regarding Access to Products and Services, bpostgroup has an Accessibility declaration page on their website. This declaration was written on October 25, 2020, and emphasizes making the website readable and understandable for everyone.

bpost NV/SA has a particularly important role to play in the everyday lives of Belgian citizens. As stated and laid out in our Universal Service Obligation (USO), as given and mandated by the Belgian government, we must provide postal and related services to the Belgian population. Furthermore, there are specific requirements that must be adhered to, such as having a physical presence in/ a reasonable distance from every commune in Belgium. This governmental mandate obligates us to provide postal products and services to every Belgian citizen. This document was published by the "Belgische Staatsblad/Moniteur Belge" and is publically available on our website.

Our Belgian parent company is dedicated to connecting society. bpost NV/SA ensures the delivery of newspapers and magazines to homes across Belgium by 7:30 am on weekdays and by 10 am on Saturdays, under concessions granted by the Belgian state. Several publishers have signed a commercial contract with bpost NV/SA or with its subsidiary AMP for the distribution of their newspapers and periodicals (magazines). For the lower volumes of periodicals, bpost NV/SA also has a standard offering. Furthermore, as part of our management contract with the Belgian government, several quality-of-service targets are also part of the contract (opening hours, waiting time, customer satisfaction, …)

This service guarantees that Belgian citizens have timely access to essential information. Additionally, our extensive network of over 2,500 service points throughout Belgium ensures that we are always nearby, so customers never have to travel far to pick up or drop off parcels. This widespread presence also allows us to offer services that require physical interaction.

Ensuring Human Rights for Consumers and End-Users

bpostgroup is dedicated to upholding human rights for consumers and end-users through several key principles:

1. Respect for Human Rights: bpostgroup adheres to the United Nations Universal Declaration of Human Rights and the core conventions of the International Labour Organization. This commitment ensures that all business operations respect and promote human rights. Additionally, bpostgroup aligns with the UN Guiding Principles on Business and Human Rights, the OECD Guidelines for Multinational Enterprises, and the Principles of the United Nations Global Compact.
1. Ethical Business Practices: The company has a Code of Conduct that outlines the ethical standards expected from all employees, contractors, and consultants. This code helps prevent any activities that might directly or indirectly violate the rights of our stakeholders, including consumers and end-users.

While we have aligned our human rights policy with these standard frameworks, we acknowledge that we do not yet have a specific systematic way to monitor compliance regarding these frameworks specifically for our consumers and end-users. As we move forward, we are committed to developing and implementing robust monitoring systems to ensure adherence to these international standards.

Based on a thorough review conducted by our compliance department, we have identified zero indications of any cases involving noncompliance with the UN Guiding Principles on Business and Human Rights, the ILO Declaration on Fundamental Principles and Rights at Work, or the OECD Guidelines for Multinational Enterprises that involve consumers and/or end-users.

Our Privacy Policy outlines the rights consumers and end-users have regarding their personal data. Their rights, as stated in the policy, are the following:

Right of Access: Consumers and end-users have the right to access personal data that bpostgroup processes about them and to obtain a copy of these personal data (subject to certain exceptions)
Right to rectification and erasure: Consumers and end-users have the right at any time to have their personal data rectified or erased by bpostgroup free of charge, provided that legal conditions for doing so are met. Personal data that bpostgroup needs in order to fulfill ongoing orders or for which bpostgroup is legally obliged to hold cannot be deleted.
Restriction of processing: Consumers and end-users. can require bpostgroup, subject to compliance with applicable legal provisions, to restrict the processing of their data.
Right to data portability: Under certain conditions, consumers and end-users have the right to portability of the personal data they have provided.
Objection: Consumers and end-users may object to processing for advertising purposes or processing for the legitimate interests of bpostgroup. They may do so even without grounds for the processing of personal data for direct marketing purposes.
Withdrawal of consent: If bpostgroup processes personal data on the basis of consent, they have the right to withdraw it at any time.
Complaint to the competent authority: Consumers and end-users always have the right to contact the data protection supervisory authority of the Member State of the European Economic Area where they normally reside, where they have their place of work (if applicable) or where the alleged breach has taken place, and to lodge a complaint if appropriate. The respective authority for Belgium is the Gegevensbeschermingsautoriteit/Autorité de protection de données.

Our Privacy Policy additionally lays out where consumers and end-users or affected parties can go to contact bpost to ask a question, file a complaint or exercise their rights related to personal data. They contact bpost via a web form or by sending a letter to the following address:

bpost SA, Attn. Data Protection Office, Anspach Boulevard 1 box 1, 1000 Brussels

In the provided web form , bpost NV/SA consumers and end-users can request that their personal data be deleted, including their entire bpost account, they can request to see what personal data bpost has or also modify their existing personal data. The bpostgroup compliance department processes and evaluates these requests. Based on GDPR criteria, they decide whether to accept or refuse the request to delete personal data.

bpost NV/SA follows strict procedures to safeguard the confidentiality and privacy of Data Subjects. The most important steps include:

1. Identity Verification Before processing any request, the company verifies the requestor's identity using:
2. a. Secure account logins for employees/customers.
b. Identity documents (with sensitive details masked) for unregistered Data Subjects.
1. Secure Communication Responses to requests are shared through:
2. a. Encrypted emails.
3. b. Dedicated secure portals.
c. Verified postal addresses (for paper correspondence).
1. Limited Data Disclosure When responding to requests:
2. a. Only personal data belonging to the requestor is shared.
3. b. Third-party data is anonymized or excluded unless consent is obtained.
4. c. Data is never disclosed if identity verification fails.
1. Strict Handling of Requests Requests are only processed if:
a. They are clear and sufficiently specific.
b. The requestor has a legal basis (e.g., data subject, authorized representative).
c. The request is not excessive, repetitive, or unfounded (to prevent abuse).
1. Retention & Deletion of Verification Data
2. a. Identity documents provided for verification are deleted immediately after authentication.
3. b. A record of the request (but not identity proof) is maintained for compliance.
1. Notification to Third Parties If a request affects personal data processed by third parties (e.g., service providers), bpost NV/SA: a. Notifies them of necessary updates, erasures, or restrictions.
b. Ensures they confirm compliance with the request.
1. Internal Oversight & Compliance
a. The DPO/PAM manages all requests.
b. Requests are documented in an internal register for tracking compliance.
c. If needed, the Privacy Office within bpostgroup compliance department provides guidance.
1. Handling Refusals Responsibly If a request is denied:
a. The requestor is given a written explanation.
- b. They are informed of their right to appeal or lodge a complaint with the National Data Protection Authority.

These safeguards ensure GDPR compliance, data security, and respect for privacy rights while preventing unauthorized access or misuse of personal information.

Concerns can be reported through our bpost NV/SA customer care service online reporting form, available on our website, by directly contacting a company spokesperson or by calling our (+32 2 278 51 26), Reports can also be made by phone, whether you are a residential private or professional business client, or in a Post Office, Post Point, or Parcel Point. Our consumers and end-users are always welcome in one of our offices. For our Belgian citizens we also offer a postal address for written reports: bpost, Postbus 5000, 1000 Brussel. These multiple reporting avenues ensure that all concerns are heard and addressed promptly and effectively.

While bpost NV/SA handles complaints and issues raised via the channels and mechanisms described above and follows up on them, we do not currently have any mechanisms to thoroughly monitor them.

Moreover, there are no explicit policies in place to protect consumers from retaliation from raising issues or concerns.

Disclosure of Cases of Non-Compliance with International Guidelines Connected to Consumers and/or End-Users

In 2024, there were no reported cases of non-compliance with international guidelines specifically related to our consumers and end-users at bpostgroup. We remain committed to upholding the highest standards of compliance and ensuring that all concerns are addressed promptly and effectively.

6.3.3.4 S4-2 – Processes for Engaging with our Consumers and End-Users

As an omnicommerce logistics group, bpostgroup plays a crucial role in society, both in Belgium and internationally. Our mission is to unite and sustain connections among people and communities, regardless of physical distance. We strive to meet the needs of our customers, suppliers, and providers in Belgium and abroad by developing services that address their current and future requirements. Customer and citizen value is a central focus of our sustainability efforts.

bpostgroup engages with consumers and end-users through regular customer satisfaction surveys and feedback collection through social media, websites, and customer service interactions. The objective is to ensure that the perspectives of consumers and end-users are integrated into bpostgroup's decision-making processes and service offering. This helps in managing both positive and negative impacts, risks and opportunities effectively.

Consumer Satisfaction Survey

We continuously measure customer satisfaction at bpost Belgium through monthly telephone surveys, consolidating data quarterly and annually. With over 15 years of historical data, we can reliably compare and explain trends. The survey includes 2,400 residential customers and 2,400 business customers annually, representing a cross-section of the Belgian population. Topics covered include overall satisfaction with bpost, satisfaction with sending and receiving letters and parcels, and service touchpoints like post offices and customer service. Satisfaction is measured on a 7-point scale, with scores translated into a satisfaction percentage. Results are frequently reported to the Management Team and annually to the BIPT, which oversees performance and provides recommendations.

Reputation Survey

A third-party organization, conducts ongoing quarterly surveys with a representative sample of 5,200 individuals across Belgian society to assess the reputation of bpost NV/SA. The purpose of these surveys is to evaluate how individuals perceive bpost NV/SA in various areas, including its efforts to reduce its environmental footprint, protect the environment, and positively influence society. The surveys also measure perceptions of how bpost NV/SA improves people's lives, cares for its employees, offers equal opportunities, makes positive economic contributions to society, practices ethical and fair business, and ensures transparency in its operations and supply chain.

Informing Decisions and Activities

bpostgroup integrates consumer perspectives into its decisions by directly engaging with affected consumers and end-users or their representatives at various stages, such as product development, service delivery, and post-service evaluation. The frequency of these engagements is tailored to the nature of the service and specific consumer needs. The communication and commercial departments are responsible for ensuring that engagement results are integrated into the company's strategies and operations.

The effectiveness of engagement is assessed through follow-up surveys, feedback analysis, and performance metrics like the Net Promoter Score (NPS).

Although bpostgroup integrates consumer perspectives into its decisions, it does not have specific mechanisms to gain insight into the perspectives of consumers and end-users, particularly those who may be vulnerable to impacts and/or marginalized.

Furthermore, stakeholder engagement is currently outlined and detailed in a Stakeholder Policy. The policy describes how commitment to stakeholder should be established and moreover, how stakeholder engagement should be integrated with governance, strategy and operations. This policy falls under the responsibility of our Compliance department. However, this policy is being reviewed and will gradually be replaced or potentially phased out as its content will be covered by other, more targeted policies, including the Public Affairs Policy, Communication Policy, and Relationship Agreement. Additionally, the governance structure and responsibilities associated with this policy will be reassessed. As part of this review, we are also evaluating the need to develop a Consumer Policy to address specific consumer-related concerns.

For additional information on channels allowing consumers and end-users to raise issues, please refer to S4-1 Ensuring Human Rights for Consumers and End-Users.

6.3.3.5 S4-3 – Processes to Remediate Negative Impacts and Channels for Consumers and End-Users to raise concerns

Privacy

bpostgroup has established a robust data protection and privacy organization to prevent, mitigate, and remediate material negative impacts related to Privacy. This includes the Data Protection Office (DPO) and the Privacy Office, which ensure compliance with GDPR and other data protection laws. Subsidiaries appoint their own DPOs or Privacy Ambassadors to manage privacy and data protection effectively at the local level.

All subsidiaries are part of the Privacy Network within bpostgroup, which aims to:

Harmonize privacy governance
Improve compliance and risk management.
Provide centralized support and enhance collaboration
Disseminate documentation regarding AI and emerging technologies

An example of actions taken by the Chief Information Security Officer (CISO) Office includes the review of access to over 100+ business applications of bpostgroup. The default review frequency is yearly, except for sensitive applications or those with specific contractual agreements.

In the event of a data breach, bpostgroup has a dedicated process involving the Privacy Office, the DPO Office, and the CISO. This process includes four key phases:

Four-Phase Data Breach Management Process

Each phase has clearly defined roles and responsibilities to ensure a coordinated and effective response to data breaches. Risky data breaches are analysed using an external tool to evaluate risks for data subjects and determine notification and communication obligations.

At bpostgroup, creating value for our clients is at the heart of everything we do. By identifying our customers' needs and conducting thorough risk assessments, we strive to positively impact our consumers and end-users throughout their entire journey. Our commitment to understanding and addressing these needs ensures that we deliver exceptional service and build lasting relationships.

A key foundation of our approach is building a robust and secure data environment. This allows our clients to safely enjoy the services offered by bpostgroup, whether through their account or other business applications. By ensuring data security, we reinforce our role as a trusted partner to our consumers and end-users. Our successful implementation of a data leakage prevention program further underscores our dedication to safeguarding our clients' information.

Data Leakage Program

bpostgroup is enhancing its data security with a comprehensive data leakage detection program supported by an external provider. This program includes:

Domain Protection: Identifying and mitigating malicious domains mimicking bpostgroup to prevent phishing and cyberattacks.
Dark Web Monitoring: Detecting and addressing targeted attacks discussed on Dark Web forums and messaging platforms.
Account Takeover Prevention: Monitoring for leaked credentials to prevent unauthorized access.
Data Breach Prevention: Securing publicly accessible sensitive data before breaches occur.

In addition to our data leakage prevention efforts, we have made considerable progress in ICT incident management. This includes improving the handling of data breaches and enhancing our overall cybersecurity measures.

ICT Incident Management

bpostgroup has significantly advanced its ICT incident management, particularly in data handling. Regular ICT Incident Response exercises, known as Incident Specific Simulation Exercises, are conducted to test and validate cyber incident use cases, playbooks, and automated remediation scripts.

Information Security Questionnaire

To comply with the EU NIS-2 Directive, DORA, etc. particularly the requirements concerning Supply Chain Risk, we are currently developing and rolling out an Information Security Questionnaire. Providers will progressively be required to fill out this questionnaire and implement additional security measures where necessary. We anticipate this Questionnaire to be yet another part of our ongoing Third-Party Risk Management Plan. As data security is one of our top priorities, the questionnaire will also be based on the ISO27001 Information Security Standard.

Actions related to privacy are followed up on and monitored by the DPO office. Specific tooling to track effectiveness of said actions are not yet in place.

6.3.3.6 S4-4 – Taking Action on Material Impacts on Consumers and End-Users, and Approaches to Managing Material Risks and Pursuing Material Opportunities Related to Consumers and End-users, and Effectiveness of Those Actions

Actions to Deliver Positive Impacts for Our Consumers and End-Users

Access to Products and Services

1. Parcel Locker Expansion

bpost NV/SA is dedicated to making access to products and services even easier. In 2024, bpost NV/SA installed over 1260 parcel lockers in Belgium, that is a 40% increase compared to the previous year. Furthermore, bpost NV/SA plans on delivering another 1200 parcel locker installations in 2025, which would double the existing network making it easier and more convenient than ever for consumers to access their closest parcel locker. Locker efficiency and strategic planning is monitored and conducted by our commercial department.

2. AUB Postbode/SVP Facteur

bpost NV/SA is committed to offering services to groups that may be at a disadvantage. bpost NV/SA engages in a variety of initiatives to accommodate specific populations, including through our program introduced digitally in 2024 "AUB Postbode/SVP Facteur". Customers that may have a disability, reduced mobility or another impairment can request a postwoman or man to help them buy stamps, drop off registered mail or other postal-related services, without leaving their home. This program allows us to provide essential services and therefore will be kept and expanded in 2025 and for the foreseeable future.

bpost NV/SA, along with its dedicated postal and retail teams, continuously evaluates the program's offerings and effectiveness, addressing needs as they arise. For instance, following an assessment that identified a demand for additional contact options beyond phone support, bpost NV/SA introduced a digital platform to enhance accessibility to the service.

Non-Discrimination

There are no specific initiatives related to delivering positive impacts for consumers and end-users when it comes to non-discrimination. Currently, we focus on promoting diversity internally through our comprehensive Diversity Policy, which ensures equal treatment and opportunities for all employees. We also have various initiatives like Pride2b, which focuses on the inclusion of LGBTQI+ workers. While these efforts are primarily internal, they reflect a commitment to non-discrimination and inclusivity, which can indirectly benefit consumers and end-users by fostering a more inclusive corporate culture. However, as previously stated, bpost NV/SA remains committed and compliant with its USO mandate from the Belgian government, which includes a strong focus on non-discrimination.

While bpost NV/SA does not currently have an explicit evaluation process in place, we have determined that our practices do not cause or contribute to material negative impacts on consumers and end-users. We remain committed to maintaining high standards and will continue to monitor and assess our operations to ensure alignment with our responsibility to stakeholders.

6.3.3.7 S4-5 – Targets Related to Managing Material Negative Impact

Targets Set to Manage Material Impacts, Risks and Opportunities Related to Consumers and End-Users

Our organization is committed to addressing material impacts, risks, and opportunities related to our consumers and end-users. While we recognize the importance of setting specific targets in this area, we have not yet established them. We are currently in the process of evaluating our strategies and methodologies to ensure they align with our overall sustainability goals.

Our approach includes aligning with broader sustainability and policy objectives to effectively address material impacts, risks, and opportunities related to consumers and end-users. We are working on defining specific, measurable targets that will allow us to accurately track our progress and impact.

The scope of our future targets will cover all relevant areas where our operations intersect with consumer and end-user interests, including Non-discrimination, Access to products and services & Privacy. We will determine baseline values and establish a baseline year as part of our ongoing evaluation process. Consumers and end-users will be directly engaged in setting targets through surveys, focus groups, and other participatory methods. We will involve consumers and end-users in tracking our performance through regular updates and feedback mechanisms. We are committed to transparency and will update our stakeholders as we develop and implement these targets in the future.

Disclosure of Severe Human Rights Issues and Incidents Connected to Consumers and/or End-Users

In 2024, there were no reported cases of non-compliance with international guidelines and severe human rights violations specifically related to our consumers and end-users at bpostgroup. We remain committed to upholding the highest standards of compliance and ensuring that all concerns are addressed promptly and effectively.

bpost NV/SA will not be reporting on metrics under the S4 - Consumers and End-Users category for the current reporting year. Additional metrics in this category will be introduced in subsequent reports, following the completion of further initiatives and in-depth analyses. We remain committed to enhancing our reporting framework and providing meaningful insights as we progress.

6.4 GOVERNANCE INFORMATION

6.4.1 ESRS G1 - Business Conduct

6.4.1.1 G1-1 Business Conduct, Policies and Corporate Culture

At bpostgroup, we are committed to upholding the highest standards of ethical behavior and fostering a corporate culture rooted in integrity, inclusivity, and accountability. Our approach emphasizes clear governance, robust policies, and comprehensive training to ensure that ethical principles guide every aspect of our operations. We continuously strive to promote transparency, encourage open dialogue, and create an environment where all employees understand their role in maintaining ethical standards. Through ongoing assessments and improvements, we align our practices with international standards and adapt to evolving expectations.

Our policies, programs, and initiatives ensure that our values are not only established but actively developed, promoted, and evaluated across all levels of the organization, reflecting our dedication to embedding ethics into our organizational framework.

How bpostgroup Establishes, Develops, Promotes, and Evaluates Its Corporate Culture

Establishing Corporate Culture through our Code of Conduct

At bpostgroup, our foundation is built on strong corporate values and ethical business practices that support our sustainable and responsible business strategy. Each bpostgroup employee is a custodian of our company culture, embodying our commitment to colleagues, employees, suppliers, customers, business partners, shareholders, and society at large. Our values and practices reflect our dedication to maintaining sound and robust relationships, driving positive customer experiences, and achieving financial performance. Building a reputation as a trustworthy and ethical organization among our stakeholders is essential for our success. To achieve this, we encourage every employee to uphold the highest ethical standards. This Code of Conduct sets out the values that guide and inspire us to ensure bpostgroup's performance meets these standards.

Key Contents of Policy

The policy encompasses several critical areas to ensure comprehensive coverage of ethical standards and practices within bpostgroup:

1. General Provisions: Overview of the fundamental principles and guidelines that govern the behavior of all employees.
1. Employment Relationships: Policies related to health, safety, and wellness at work, ethical and responsible collaboration, managerial responsibilities, respect for others, equal opportunity and diversity, communication and social dialogue, use of company and customer property and resources, and dress code.
1. Commercial Relationships: Guidelines and practices related to conflict of interest, corruption, gifts and other favors, money laundering, and fair competition.
1. Personal Data and Confidentiality: Guidelines on the protection of personal data and the importance of maintaining confidentiality.
1. Communication: Standards for internal and external communication to ensure transparency and consistency.
1. bpostgroup as a Responsible and Sustainable Company: Commitment to sustainability and corporate responsibility, outlining initiatives and practices that support these goals.

Scope and Exclusions

This Code of Conduct was adopted by bpost NV/SA's Board of Directors on November 7, 2018, and last updated by the Board on December 9, 2022. The Code applies to all employees of bpost NV/SA and its subsidiaries, regardless of their duties or position. Subsidiary means any company directly or indirectly controlled by bpost NV/SA (within the meaning of Article 1:15 of the Belgian Code of Companies and Associations), regardless of its activities, corporate purpose, or geographic location. bpost NV/SA and its subsidiaries collectively form the bpostgroup.

This Code also applies to persons closely connected with bpostgroup's activities and operations who are not employees but to whom this Code is communicated. Such persons include all directors, persons holding executive, consultancy, managerial or supervisory positions within bpostgroup, temporary workers, trainees, and contractors. For the sake of convenience, the persons to whom this Code applies are hereinafter referred to as "Coworkers."

In addition to this Code, Coworkers must comply with all applicable local laws and regulations as well as the delegations of powers, procedures, and internal operating rules of the entity for which they work, which may vary from one entity to another.

This Code is not intended to provide an exhaustive list of the rules applicable to the activities of Coworkers in the various countries in which bpostgroup operates. It merely contains guidance on the minimum standards to be observed. Subsidiaries are encouraged to adopt their own codes of conduct that are consistent with this Code but adapted as necessary to their specific jurisdiction and local legal requirements ("Subsidiary Code of Conduct"). Provided that the Subsidiary Code of Conduct has been approved by the bpost Chief Legal Officer, that Subsidiary Code of Conduct will govern such subsidiary in lieu of this Code.

Description of Most Senior Level in the Organization that is Accountable for Implementation of Policy

The most senior level accountable for the implementation of this policy is the Board of Directors of bpost NV/SA. They are responsible for adopting and updating the Code of Conduct, ensuring that it aligns with the company's values and ethical standards.

Description of Consideration Given to Interests of Key Stakeholders in Setting Policy

In setting this policy, bpostgroup has taken into account the interests of key stakeholders, including colleagues, employees, suppliers, customers, business partners, shareholders, and society at large. The policy reflects our commitment to maintaining sound and robust relationships, driving positive customer experiences, and achieving financial performance. Stakeholder engagement is an ongoing process, and their input is considered crucial for aligning the policy with their expectations and needs.

Explanation of Whether and How Policy is Made Available to Potentially Affected Stakeholders and Stakeholders Who Need to Help Implement It

The Code of Conduct is made available to all employees and relevant stakeholders through multiple channels. It is accessible on the bpostgroup intranet and official website, ensuring that all employees, directors, consultants, temporary workers, trainees, and contractors can easily access it. Additionally, the Code is communicated during onboarding sessions for new employees and through regular training programs to ensure that everyone understands and adheres to the ethical standards set forth.

Strengthening Our Culture of Ethics and Compliance

The foundation of our corporate culture lies in our Code of Conduct, which outlines the ethical standards and behaviors expected of all employees. To strengthen our culture of ethics and compliance, we have been implementing bpostgroup's FACE Program (Foster a Culture of Ethics and Compliance) at group level. This comprehensive initiative enhances risk management and compliance practices by defining clear governance models, establishing a group-wide strategy, and embedding a robust enterprise risk management program and function.

A key element of the program was the Compliance Maturity Assessment, which evaluated and improved compliance practices across all companies and jurisdictions where bpostgroup operates. The assessment was conducted with the help of an external partner, who has helped us in defining the methodology to align with FACE's compliance management building blocks. The Board of Directors has identified eleven domains that require attention, with an initial focus on Third-Party Compliance (TPC), Procurement, Business Continuity, Bribery and Corruption, and Cybersecurity, due to current legislative initiatives and bpostgroup's needs.

Developing Corporate Culture

At bpostgroup, we develop our corporate culture by embedding strong ethical values and principles into every aspect of our operations. This is achieved through clear governance, robust policies, and comprehensive training programs that emphasize integrity, inclusivity, and accountability. We promote transparency and open dialogue, ensuring all employees understand their role in upholding our ethical standards. By continuously assessing and improving our practices, we align with international standards and adapt to evolving expectations, fostering a culture of accountability and excellence across the organization.

Promoting Corporate Culture

We promote transparency and accountability through initiatives like the Speak Up Program accompanied by our Speak Up Policy and Escalation Policy, launched in 2023. This secure and confidential reporting channel empowers employees to raise concerns or report incidents without fear of reprisal. By encouraging open dialogue, this program strengthens trust across the organization and aligns with our commitment to integrity.

Key Contents of Policy

The Speak Up Policy underscores the importance of integrity and compliance with laws, regulations, and the company's code of conduct. It details the channels available for reporting concerns confidentially and without fear of retaliation through the designated tool by the reporter.

The Escalation Policy complements the Speak Up Policy by detailing the process for handling concerns related to a case manager. Concerns are reported through a webform or telephone hotline, and then assigned to a case manager by admin users, rather than being entered directly into the tool by the reporter. This ensures a structured and secure approach to managing and investigating reported issues.

Scope and Exclusions

The Speak Up Policy applies to all employees, former employees, external workers, and subcontractors or suppliers of bpostgroup. It covers violations or potential violations of laws, regulations, the company's code of conduct, and other company policies. However, it excludes reporting immediate dangers to life, health, safety, or property, grievances about employment conditions, personal or legal issues unrelated to potential misconduct, or false accusations. The Escalation Policy complements this by providing a structured process for handling concerns related to a case manager, ensuring these concerns are managed securely and systematically.

Description of Most Senior Level in the Organization that is Accountable for Implementation of Policy

The most senior level in the organization accountable for the implementation of the Speak Up Policy is the Compliance department of bpostgroup. This department is responsible for receiving and handling reports of concerns. For concerns related to subsidiaries, the local reporting manager within the relevant subsidiary is accountable. The Compliance department ensures that every case is handled promptly, objectively, and thoroughly.

Explanation of How Policy is Made Available to Potentially Affected Stakeholders and Stakeholder Who Need to Help Implement It

The Speak Up Policy is publicly available on the bpostgroup website making for easy access for internal and external stakeholders. Furthermore, all employees are made aware of the Speak Up tool and policy and Escalation Policy when onboarded.

Description of Consideration Given to Interests of Key Stakeholders in Setting Policy

In setting the Speak Up Policy, bpostgroup has given significant consideration to the interests of key stakeholders, including employees, customers, the public, and other stakeholders. The policy ensures that concerns can be reported confidentially and without fear of retaliation, thereby protecting the interests of those who report issues. It aligns with national regulations and provides specific guidelines for different countries, ensuring that the policy is relevant and effective across all regions where bpostgroup operates. This approach fosters a culture of integrity and trust, which is beneficial for all stakeholders involved.

Global Ethics Day 2024

On 16 October 2024, bpostgroup celebrated Global Ethics Day for the first time, marking a commitment to promoting a culture of ethics and compliance across the organization. This event encouraged all employees within bpostgroup to reflect on the significance of ethical decision-making in their everyday lives. To support this initiative, a message was shared with the Group Leadership Team to help spread the word throughout all levels of the company. Additionally, a post was made on the bpost4me platform featuring brief quotes from employees sharing their perspectives on the meaning of ethics.

Evaluating Corporate Culture

To ensure our corporate culture remains effective and aligned with our values, we conduct regular assessments of governance and ethical practices. These evaluations include monitoring the impact of our training programs and initiatives, such as the Speak Up Program, to gauge their effectiveness in fostering the desired culture. Insights from these assessments drive continuous improvements and help us maintain a culture that reflects our core values. Through these structured efforts, bpostgroup builds and maintains a strong, ethical, and inclusive corporate culture that supports our mission and long-term success.

Mechanisms for Reporting and Investigating Concerns on Business Conduct Matters

bpostgroup has established comprehensive mechanisms to identify, report, and investigate concerns about unlawful behavior or violations of its Code of Conduct. Central to this effort is the Speak Up Program, launched in 2023, which provides a secure and confidential channel for all employees and external stakeholders to report potential misconduct in good faith. For more detailed information on how reporting through the Speak Up tool works, see Section S1-17 Incidents, complaints and severe human rights impacts.

The Code of Conduct outlines clear consequences for violations, ranging from disciplinary measures to legal action, ensuring accountability for all internal and external stakeholders. The bpostgroup Code of Conduct and Human Right Policy align closely with the principles of the United Nations Convention against Corruption (UNCAC), reflecting a shared commitment to ethical practices and anti-corruption measures. Our policies emphasize integrity in commercial relationships, avoiding conflicts of interest, and adhering to high ethical standards, consistent with UNCAC's preventive and accountability-focused approach. While our Code of Conduct does not explicitly reference UNCAC, its principles mirror the convention's objectives, showcasing our dedication to combating corruption and promoting ethical behavior. All our workforce policies are explicitly aligned with the United Nations Universal Declaration of Human Rights (UDHR) and the Principles of the United Nations Global Compact (UNGC) including our Human Rights Policy. While the policy is based on the UDHR and UNGC Principles, these are directly linked to the United Nations (UN) Guiding Principles on Business and Human Rights, the International Bill of Human Rights, and the International Labor Organization (ILO) Declaration. More on this can be found in Section S1-1 Policies related to Own Workforce. The Speak Up Program ensures whistleblowers are protected from retaliation and guarantees the confidentiality of their reports. The program is supported by robust policies that align with Directive (EU) 2019/1937, safeguarding the rights and personal data of whistleblowers. The responsibility for managing whistleblower reports within bpostgroup lies with the Speak Up team, which operates under the Compliance department. This team is composed of professionals who have been selected based on their independence, absence of conflicts of interest, and expertise in fraud detection, ethics, and compliance matters. Each member brings a specific area of specialization, ensuring a well-rounded approach to handling reports. Some team members have in-depth knowledge of financial fraud and integrity-related issues, while others have a legal background, often with prior experience as attorneys specializing in HR matters or regulatory compliance. Given the highly confidential nature of whistleblower reports, the Speak Up team is deliberately kept small, and members are chosen for their ability to handle sensitive matters with discretion. While no specific training is required for joining the team (aside the annual training on the Code of Conduct) team members continuously update their knowledge by attending external seminars and conferences on whistleblowing and compliance. This ongoing learning ensures they stay informed about best practices and legal developments in handling whistleblower reports. Although bpostgroup does not have a specific Anti-Bribery and Anti-Corruption (ABAC) policy, the Code of Conduct, along with the Speak Up policy and other policies that include third-party due diligence, closely align with the principles of the United Nations Convention against Corruption. The reason for not having a specific ABAC policy is that our existing policies already encompass the necessary principles and measures to prevent and address corruption, ensuring comprehensive coverage and adherence to high ethical standards. Despite reporting 0 fines and convictions for violation of ABAC laws, we acknowledge the need for dedicated training for ABAC and foresee this in our 2025 plan. We intend to organize a dedicated training on ABAC outside of the current Code of Conduct to further strengthen our commitment to ethical practices.

Speak Up Policy: 2024 Highlights and Updates

To mark its one-year anniversary, the Speak Up program has undergone a review, leading to updates that ensure compliance with legal standards and improve the tool's effectiveness. Additionally, initiatives have been launched and are planned to increase awareness of the Speak Up Policy, such as the 2024 Global Ethics Day and the upcoming 2025 Global Whistleblowing Day.

Next year, the revised Speak Up Policy will be reviewed with trade unions before being translated and distributed across all entities of bpostgroup

Training on Business Conduct

Since 2023, bpostgroup has prioritized mandatory training on its Code of Conduct. In 2024, this program expanded to include tailored online courses and interactive content for all employees, covering key principles of ethical behavior, workplace well-being, and the importance of the Speak Up Program. This comprehensive training initiative has seen 98% of all bpostgroup employees successfully complete the Code of Conduct training. The target audience covers all bpostgroup employees with an open contract (excluding long-absence leaves and externals) including those in administrative, management, and supervisory roles,. This training is done annually.

Workers have to complete all the quizzes in the e-learning with a 75% completion success rate. If they do not meet 75%, they have to retake the tests. They receive a certificate after completion. We provided videos of the trainings and then ask them to fill a quiz to validate their understanding and participation.

Looking ahead, dedicated training on bribery and corruption will be integrated into our mandatory training program by 2025, ensuring our workforce is equipped to uphold our ethical standards in all aspects of their roles. By prioritizing these training programs, bpostgroup aims to foster a culture of accountability and transparency, empowering employees with the knowledge and tools necessary to identify, report, and address any instances of unlawful behavior or violations of the company's code of conduct.

Code of Conduct training 2024 (e-learning and videos)

In 2024, bpostgroup employees completed an online training (developed by the Human Resources and the Compliance departments) on the Code of Conduct for all employees. This training covered key elements of the Code of Conduct and was enhanced with feedback from the prior year's session.

For colleagues without a bpostgroup email, three videos and a quiz ensured understanding of core topics. For both training courses (e-learning and videos), the training emphasized the importance of workplace well-being and responsible and ethical behavior in decision-making.

Employees who had already completed training in the previous year received a refreshed version, while new employees completed a comprehensive version, which is now also integrated into the onboarding process. Special attention was also given to the Speak Up policy, encouraging employees to voice concerns about unethical conduct.

Areas and Functions Most at Risk for Corruption and Bribery

The Compliance Maturity Assessment highlighted specific risks related to bribery and corruption, which have been incorporated into the Anti-Bribery and Anti-Corruption section of the Code of Conduct to ensure awareness and adherence across the whole organization. Notably, the Public Affairs department was identified as most at risk, particularly in their interactions with state entities, due to the limited size of the team, with a training plan scheduled for implementation in 2025. bpostgroup continues to monitor and address functions within the organization that may be at higher risk of corruption or bribery, reinforcing safeguards and targeted training to mitigate these risks effectively.

Through these initiatives, bpostgroup demonstrates its unwavering commitment to ethical business practices, fostering a culture of trust, transparency, and accountability.

6.4.1.2 G1-2 Management of Relationships with Suppliers

In today's dynamic business environment, the management of relationships with suppliers and procurement processes plays a pivotal role in ensuring operational efficiency, sustainability, and ethical standards. Effective supplier relationship management transcends mere transactional exchanges, focusing instead on strategic collaboration that aligns with our core values. This approach fosters strong, transparent, and mutually beneficial partnerships with our suppliers. By adopting responsible procurement practices, we strive to enhance supply chain resilience, minimize environmental impact, and promote social responsibility.

Our Approach to Supplier Relationships

Our approach is centred on transparency, trust, and shared values. At bpostgroup, our Stakeholder Engagement Policy lays the groundwork for how we connect and collaborate with our suppliers throughout the procurement process. Guided by the AA1000 Stakeholder Engagement Standard, this policy highlights our commitment to engaging with all stakeholders and integrating their insights into our governance and operations. This policy will be reviewed in 2025 to ensure it remains current. In the meantime, we rely on our Supplier Code of Conduct as our guiding principle.

The goal of our stakeholder engagement is to ensure that our business strategies and day-to-day activities align with the interests and

expectations of various groups, including our suppliers. By fostering open and ongoing dialogues, we aim to create a better understanding of everyone's needs, which enhances our decision-making and overall effectiveness. We take a systematic approach to identifying and prioritizing stakeholders based on their influence, relevance, and the shared benefits we can achieve through our partnerships.

In our procurement activities, we actively seek to understand our suppliers' perspectives and requirements. This insight helps shape our selection criteria and evaluation methods. This commitment to stakeholder engagement not only strengthens our procurement practices but also contributes to the sustainability and resilience of our supply chain.

Risk Management in the Supply Chain

bpost recognizes the importance of identifying and mitigating risks related to its supply chain, particularly those that impact sustainability matters. To address these risks, we leverage EcoVadis as our primary risk management tool, supported by a structured approach that includes:

Risk Identification: Through EcoVadis, we conduct high-level risk assessments across procurement categories to identify potential risks, such as environmental impacts, human rights violations, and ethical concerns. This tool enables us to evaluate supplier performance and sustainability practices in real-time.
Mitigation Measures: Based on the insights from EcoVadis assessments, we define and implement targeted actions to mitigate identified risks.

Our Procurement Policy, Bid Compliance Policy, and Subcontractor Policy further reinforce our commitment to managing supply chain risks and ensuring sustainability. These policies outline specific requirements and expectations for suppliers, including adherence to environmental standards, ethical practices, and compliance with applicable laws and regulations.

Policies

At bpostgroup, we have implemented a set of comprehensive policies to address the material impacts, risks and opportunities related to relationships with our suppliers:

1. Internal Procurement Policies
1. Bid Compliance Policy
1. Subcontractor Policy
1. Stakeholder Policy
1. Supplier Code of Conduct

1.Internal Procurement Policies

Key Contents of Policy

Our Procurement Policy, Strategic Sourcing Templates and other internal documents reflect our commitment to sourcing environmentally and socially responsible products and services. We prefer suppliers with sustainable practices, such as reducing carbon footprints, minimizing waste, and ensuring fair labor conditions. Sustainability criteria are integrated into procurement decisions, to ensure accountability, we regularly monitor and report on our procurement practices to align with our overarching sustainability goals.

Scope and Exclusions

These policies/internal documents apply to internal Procurement stakeholders that are responsible for carrying out tenders and interactions with suppliers.

Description of Most Senior Level in the Organization that is Accountable for Implementation of Policy

The Board of Directors of bpost NV/SA are responsible for the Procurement Policy, ensuring that it aligns with the company's values, ethical standards and evolving market and regulatory requirements. The other internal documents used by the Procurement Department are overseen by the Procurement Director.

Explanation of Whether and How Policy is Made Available to Potentially Affected Stakeholders and Stakeholders Who Need to Help Implement It

Internal Procurement Policies are communicated to relevant internal stakeholders such as the Procurement Department of relevant bpostgroup entities. Furthermore, these policies have been used as a part of other Procurement-related training around sustainability, such as our Sustainable Procurement Day.

Disclosure of Third-Party Standards or Initiatives that are Respected Through Implementation of Policy

In implementing these internal policies and documents, we align with globally recognized third-party standards and initiatives, such as the United Nations Global Compact (UNGC), the Global Reporting Initiative (GRI), and the ISO 20400 Sustainable Procurement Guidelines. We also respect certifications like Fair Trade, FSC (Forest Stewardship Council), and CarbonNeutral, ensuring our suppliers meet these high standards. By adhering to these frameworks, we reinforce our commitment to sustainability and ethical practices on a global scale.

2.Bid Compliance Policy

Key Contents of Policy

Our Bid Compliance Policy ensures that all bidding processes are conducted with fairness, transparency, and adherence to applicable laws, regulations, and internal standards. The policy establishes clear guidelines for bid submission, evaluation, and award processes, while strictly prohibiting conflicts of interest, bribery, and other unethical practices. To maintain integrity, all bid-related decisions are thoroughly documented and supported by audit trails.

Scope and Exclusions

This policy governs all bidding processes within the organization, including both public and private tenders. Exceptions are made only for direct negotiations or sole-source procurements, which are permitted when justified and documented in accordance with organizational policies. These exclusions are carefully reviewed to ensure they align with the principles of fairness and transparency.

Description of Most Senior Level in the Organization that is Accountable for Implementation of Policy

The Board of Directors of bpost NV/SA are responsible for the Bid Compliance Policy, ensuring that it aligns with the company's values, ethical standards and evolving market and regulatory requirements.

Explanation of Whether and How Policy is Made Available to Potentially Affected Stakeholders and Stakeholders Who Need to Help Implement It

The Bid Compliance Policy is publicly accessible on the company's website and shared with bidders as part of the tender process. Internal staff involved in bidding activities undergo mandatory training to ensure they understand and adhere to the policy. Regular audits and reviews are conducted to assess compliance, and the results are communicated to relevant stakeholders to maintain transparency and accountability.

Disclosure of Third-Party Standards or Initiatives that are Respected Through Implementation of Policy

Our Bid Compliance Policy respects and incorporates principles from internationally recognized standards and initiatives, such as the OECD Guidelines for Multinational Enterprises, the International Anti-Corruption Standards (IACS), and the Transparency International Integrity Pacts. We also align with local and national procurement regulations to ensure our bidding processes are not only compliant but also exemplary in promoting integrity and fairness. These third-party frameworks guide our efforts to maintain trust and credibility in all procurement activities.

3.Subcontractor Policy

For more specific information related to the Subcontractor Policy, its content, scope, descriptions, explanations and more, please refer to Section S2-1 Policies Related to Value Chain Workers.

4.Stakeholder Policy

Stakeholder engagement is currently outlined and detailed in a Stakeholder Policy, which is publicly available on our website. The policy describes how commitment to stakeholder should be established and moreover, how stakeholder engagement should be integrated with governance, strategy and operations. This policy falls under the responsibility of our Compliance department. However, this policy is being reviewed and will gradually be replaced or potentially phased out as its content will be covered by other, more targeted policies, including the Public Affairs Policy, Communication Policy, and Relationship Agreement. Additionally, the governance structure and responsibilities associated with this policy will be reassessed. As part of this review, we are also evaluating the need to develop a Consumer Policy to address specific consumer-related concerns.

5.Supplier Code of Conduct

For more specific information related to the Supplier Code of Conduct, its content, scope, descriptions, explanations and more, please refer to Section S2-1 Policies Related to Value Chain Workers.

Prioritizing Sustainability in Supplier Relationships

We prioritize the following actions to ensure sustainable and ethical supplier relationships:

1. Raising Awareness: Educating our internal teams on sustainable solutions and approaches.
2. Risk and Impact Evaluation: Conducting high-level risk assessments for each procurement category and defining appropriate actions.
3. Sustainability Criteria: Incorporating sustainability criteria into our tender documents and contracts.
4. Performance Monitoring: Checking and assessing the sustainability performance of our suppliers using tools such as audits, surveys, and scorecards.

To support these priorities, we outline our expectations and basic requirements at the RFP (Request for Proposal) stage of a sourcing project and/or in the General Terms and Conditions. The following minimum requirements are standardized:

Suppliers must adhere to our Supplier Code of Conduct, which encompasses core principles on environmental protection, human rights, and ethical behaviour.
We monitor supplier performance post-tender by requesting an annual assessment with EcoVadis (or equivalent). Key suppliers are required to maintain an EcoVadis scorecard with a minimum score of 45. If the assessment results are consistently low or high-risk activities are identified, we may request an on-site audit.
Suppliers are expected to calculate and report on their annual carbon footprint, set a CO2 reduction target, and develop a strategy to achieve this target.

Sustainable Supplier Selection: Social and Environmental Considerations

When selecting suppliers, we prioritize social and environmental criteria, including labour practices, ethical sourcing, and environmental impact. In addition to these minimum requirements, we consider multiple criteria when selecting a supplier. These criteria are defined in the awarding criteria of an RFP and are weighted according to their relative importance. While price is usually the primary criterion, we also maintain the concept of Total Cost of Ownership. Other criteria for awarding a contract include quality and sustainability. These criteria are specific to each purchase and can vary significantly from one product or service to another.

This selection process safeguards our commitment to sustainability, as we seek to work with partners who share our dedication to social responsibility and environmental stewardship.

Supplier Performance Metrics

To ensure our procurement practices align with our sustainability and ethical standards, we track and report on several Key Performance Indicators within bpost NV/SA, our Belgian entity (see table below).

KPI	NUMBER
Total number of Key Suppliers1 given consent to the Supplier Code of Conduct.	3,045
Active Key Suppliers screened or audited.	65
Spend of Key suppliers with SBTi Scope 1&2 validated targets.	€ 204,972,197.96

Evaluation of Performance and Effectiveness in Relation to Material IROs

The supplier performance metrics we track are designed to assess and manage sustainability-related risks and opportunities within our supply chain. These metrics align with our material IROs, specifically in the areas of responsible sourcing, climate action, and ethical supply chain management. The key ways in which these metrics support our IROs are:
Supplier Code of Conduct Compliance: Measuring the Total number of Key Suppliers given consented to the Supplier Code of Conduct helps ensure that our sustainability standards on human rights, labor conditions, and environmental practices are upheld throughout our supply chain. This metric directly addresses risks related to unethical labor practices and environmental non-compliance.
Supplier Screening and Audits: Tracking Active Key Suppliers screened or audited ensures that we proactively identify and mitigate potential risks related to sustainability non-compliance, unethical business practices, or supply chain disruptions.
Spend with Suppliers Holding SBTi-Validated Targets: Monitoring Spend of Key Suppliers with SBTi Scope 1&2 validated targets ensures alignment with our own decarbonization goals, mitigating climate-related transition risks and reinforcing our commitment to reducing Scope 3 emissions.

Methodologies and Significant Assumptions

To ensure accuracy and consistency in our reporting, we employ the following methodologies and assumptions:

• Supplier Code of Conduct Compliance: The Total number of Key Suppliers given consented to the Supplier Code of Conduct is determined based on contractual agreements and procurement records. A supplier is considered compliant when they have formally acknowledged and signed the document.

Supplier Screening and Audits: Active Key Suppliers screened or audited is derived from our supplier due diligence program, which includes EcoVadis assessments, third-party audits, and internal supplier risk evaluations. Suppliers categorized as high-risk based on country of operation, industry sector, or past compliance history are prioritized for screening.
SBTi-Validated Supplier Spend: We calculate Spend of Key suppliers with SBTi Scope 1&2 validated targets based on supplier selfreported SBTi status and external databases. We assume that suppliers with validated targets are actively working toward science-based decarbonization commitments, though progress is not independently verified by bpostgroup.

External Validation Bodies

While our assurance provider verifies certain ESG disclosures, we also leverage external bodies to validate the credibility of our supplierrelated sustainability efforts:

EcoVadis: A widely recognized sustainability rating platform that assesses suppliers on environmental, social, and ethical performance. Key suppliers are required to maintain an EcoVadis scorecard with a minimum threshold score.
SBTi (Science-Based Targets initiative): A third-party organization that verifies supplier commitments to science-based decarbonization targets, ensuring alignment with the latest climate science.
Industry and Sector-Specific Certifications: Where applicable, we require suppliers to hold recognized environmental and ethical certifications.

6.4.1.3 G1-3 Prevention and Detection of Corruption and Bribery

At bpostgroup, we are committed to maintaining the highest ethical standards and preventing corruption and bribery in all aspects of our operations. Our comprehensive approach includes clear policies, robust training programs, and a dedicated framework for reporting and investigating any allegations. We have implemented a range of measures to prevent, detect, and address potential incidents of corruption and bribery, with particular focus on high-risk functions, such as Public Affairs, Sales teams, and roles in financial transactions, fraud detection, and integrity management. Our employees are trained to recognize and avoid unethical conduct, and we offer secure channels for reporting concerns. The following disclosures provide detailed information about our procedures, training, and actions related to the prevention and detection of corruption and bribery, as well as the steps we take to address any breaches that may arise.

Furthermore, all bpostgroup employees are aware of and are trained on our anti-corruption and bribery measures through our Code of Conduct.

Procedures for Preventing, Detecting, and Addressing Corruption and Bribery

bpostgroup has established a comprehensive framework to prevent, detect, and address allegations or incidents of corruption and bribery. Central to this framework is the Speak Up program, which provides a secure, confidential channel for reporting concerns. As detailed in Section S1-17 Incidents, complaints and severe human rights impacts, the Speak Up program is accessible to a defined list of stakeholders (Private detectives, HR lawyers, Fraud Expert and Ethics Manager), ensuring broad coverage and effective use. Additionally, the Compliance Department at bpostgroup includes specialized roles such as Ethics, Fraud, and Integrity Managers. These managers report to the Head of Anti-Money Laundering (AML), Transport, and Ethics, who in turn reports to the Compliance Director. The Compliance Director, operating independently from business management as part of the second line of defense, oversees all compliance matters.

On top of the Speak Up tool, corruption and bribery can also be reported through Integrity Management's iSight tool. This tool is a secure and confidential channel, accessible only to a limited number of business SPOCs, ensuring that incidents under Integrity investigation remain protected and confidential. The Compliance Department escalates ABAC cases to the Legal Department once they progress to litigation, ensuring coordination between compliance monitoring and legal oversight. The Legal Department maintains a centralized litigation report (MLR), which is reviewed annually by the Audit, Risk & Compliance Committee and includes material legal risks from all bpostgroup entities globally.

To ensure impartiality, investigations related to corruption and bribery are conducted independently from the chain of management involved in the matter. The Compliance Director reports directly to the Executive Committee, Audit, Risk & Compliance Committee, and the Board of Directors on compliance risks, including ethics and fraud, on a quarterly basis. Furthermore, the Compliance Director has a direct reporting line to the Chair of the Audit, Risk & Compliance Committee, ensuring objectivity, transparency and effective oversight.

As we have no ABAC policy, we conducted the Compliance Maturity Assessment as a basis to determine our risks and to gather a view on our people most at risk. In 2025 we will look into creating a separate policy, and organizing trainings for those identified categories most at risk being Sales, Public Affairs, etc. Using the results and lessons learned from the Compliance Maturity Assessment, we will also develop different related policies, such as a Gift Policy.

Today, our only form of ABAC training can be found in the Code of Conduct. The Code of Conduct is made available to all employees and relevant stakeholders through multiple channels. It is accessible on the bpostgroup intranet and official website, ensuring that all employees, directors, consultants, temporary workers, trainees, and contractors can easily access it. Additionally, the Code is communicated during onboarding sessions for new employees and through regular training programs to ensure that everyone understands and adheres to the ethical standards set forth.

Currently, all policies are communicated via email, and, where applicable, sent through physical mail. In addition, relevant policies are posted on the appropriate intranets of the bpostgroup entities, ensuring that all employees have easy access to important guidelines and understand their implications.

Training on Anti-Corruption and Anti-Bribery

bpostgroup offers comprehensive anti-corruption and anti-bribery training as part of its Code of Conduct training program. This training is provided to all bpostgroup employees, covering key elements such as ethical behavior, integrity, and compliance.

The Code of Conduct training at bpostgroup covers anti-corruption and anti-bribery by educating employees on recognizing and avoiding conflicts of interest, prohibiting any form of corruption (including bribery, kickbacks, and fraud), and distinguishing between acceptable and unacceptable gifts and favors. It includes practical examples, quick tests, and guidelines for maintaining ethical behavior and compliance, with employees encouraged to consult designated contacts for any concerns.

The percentage of functions-at-risk covered by training is not calculated. bpostgroup only calculates the Code of Conduct, including the dedicated ABAC training, completion rate (in %) for all employees. The completion rate is calculated by the Compliance Department and more specifically the Head of Privacy and Compliance Programs. Only active employees, excluding employees who are on long-term leave, externals as well as those who are retired, are included in the completion rate tracking.

For functions-at-risk, specific policies, such as the Policy on Contacts with Competitors, have been validated by the Board and will be implemented as of January 1st 2025 to address the unique challenges these positions face.

Definition of Functions-at-Risk: For more information on functions-at-risk, please refer to Section "Areas and Functions Most at Risk for Corruption and Bribery" in G1-1 – Business Conduct, Policies and Corporate Culture.

Training Process & Monitoring:

The Code of Conduct e-learning is embedded in a bpost NV/SA-specific platform and another dedicated tool for external entities.
Training completion is tracked through an automated system for bpost NV/SA, while HR groups provide completion rates for other entities.
Employees must achieve a minimum percentage of 75% of correct answers in assessments to be marked as complete.
Employees on long-term leave, external and retired are excluded from the completion rate calculations.
Internal Audit reviews the implementation and completion rates of training modules as part of their audit engagements.
The completion percentage is reported quarterly to the Compliance Director and included in CSRD disclosures.

In 2024, 98% of bpostgroup employees, including those in administrative, management, and supervisory roles, completed the Code of Conduct training. This training, which covers anti-bribery and anti-corruption measures, ensures widespread awareness and understanding across all levels of the organization. Furthermore, this figure has only been calculated and validated internally, it has not been validated by an external or third-party party other than our assurance provider.

6.4.1.4 G1-4 Incidents of Corruption and Bribery

Convictions for Violations of Anti-Corruption and Anti-Bribery Laws

In 2024, bpostgroup did not face any convictions or fines for violations of anti-corruption or anti-bribery laws. Additionally, no breaches of our anti-corruption or anti-bribery procedures or standards were identified, highlighting the effectiveness of our compliance measures. This information is verified through the Legal Department's litigation tracking system and annual Material Legal Risk (MLR) report, which is reviewed by the Compliance Director and Chief Legal Officer (CLO). The report is submitted annually to the Audit, Risk & Compliance Committee.

Furthermore, there were no incidents involving actors in our value chain where bpostgroup or its employees were directly involved.

Convictions, Fines, and Actions Taken on Anti-Corruption and Anti-Bribery at bpostgroup level in 2024

TYPE OF PENALTY	AMOUNT IN 2024 ACROSS BPOSTGROUP
Amount of fines for violation of anti-corruption and anti-bribery laws	0
Number of convictions for violation of anti-corruption and anti-bribery laws	0

These figures have only been calculated and validated internally, they have not been validated by an external or third-party party other than our assurance provider.

Monitoring and Reporting Compliance Data

The Compliance and Legal departments work together to ensure all ABAC-related cases are monitored, reported, and analyzed. All incidentrelated data is gathered in the Speak Up tool (OneTrust Convercent), with complementary tracking through Integrity Management's iSight tool. For Radial NA, incidents are tracked in Syntrio, with data extracted and reported to bpostgroup. Twice a year, all incidents are reviewed, categorized, and compiled into a report by the Compliance team. This report undergoes quality checks before submission to the Audit, Risk & Compliance Committee.

To ensure accurate reporting, material fines and penalties are cross-referenced with Upper Management contacts across subsidiaries. This ensures that all entities are included in the final CSRD disclosure and that no ABAC-related convictions or fines are omitted.

Furthermore, bpostgroup and its Legal Department have a dedicated tool to track ongoing and/or anticipated fines and litigations called Avonca. All information regarding relevant claims can be tracked followed up on in real-time.

Action plans and Resources to Manage its Material Impacts, Risks, and Opportunities Related to Corruption and Bribery

At the time of reporting, bpostgroup has not planned any actions or resources to manage our material impacts, risks and opportunities related to corruption and bribery. Previously, the Code of Conduct which includes a dedicated Anti-Corruption section, was assessed to be sufficient enough for ABAC-related training. However, throughout 2025 bpostgroup and the departments responsible for detecting and combatting corruption and bribery will continue to focus on specific, targeted policies and trainings for targeted situations related to ABAC, such as the gift policy and a dedicated ABAC training.

6.4.1.5 G1-5 Political Influence and Lobbying Activities

Oversight of Political Influence and Lobbying Activities

Oversight of the bpostgroup's political influence and lobbying activities is the responsibility of our Public Affairs Director under the direct supervision of our CEO. This role ensures that our company's engagement with policymakers and industry stakeholders is transparent and aligned with our corporate values. This includes overseeing lobbying efforts, managing relationships with governmental bodies, and ensuring that our relations with political stakeholders adhere to best practices following the Public Affairs Policy of the company. Notably, bpostgroup does not engage in lobbying directed at the Belgian Institute for Postal Services and Telecommunications (BIPT), respecting its status as an independent regulatory body.

While there were no specific policies regulating Public Affairs in 2024, a new Public Affairs Policy on contacts with public authorities, validated by the board, will come into force in the first quarter of 2025. This policy is founded on the core values of compliance with laws and regulations, integrity, transparency, and professionalism. It applies to all bpostgroup employees and individuals closely connected to the company, such as directors, temporary workers, trainees, and contractors, when interacting with public authorities on behalf of bpostgroup. The policy primarily focuses on Belgian public authorities and those associated with the European Union, making it most relevant to employees of Belgian and other EU entities of bpostgroup or persons closely connected to such entities.

Political Contributions

bpostgroup does not make any financial or in-kind political contributions, either directly or indirectly, in any country or geographical area. This reflects our commitment to maintaining neutrality in political matters and ensuring that all our activities adhere to ethical business practices and regulatory compliance.

Total monetary value of financial and in-kind political contributions made directly and indirectly by bpostgroup

	2024
Political funding provided	0
Total	0

Main Lobbying Topics and Positions

European-Level

At the European-level, bpostgroup's lobbying activities are primarily carried out through its contributions to PostEurop, a trade association representing national postal operators across Europe. PostEurop's position papers, which address key EU and international regulations and initiatives related to the postal sector, cover topics such as universal service, transport, e-commerce, human resources, environmental concerns, and customs regulations. These papers can be accessed at https:// www.posteurop.org/blog/?category=position-papers.

National-Level

At the national-level, bpostgroup advocates for policies affecting the postal and e-commerce logistics sectors. Our positions reflect concerns regarding the impact of regulation and political decisions on areas such as universal postal service, transport, employment and social standards, and environmental sustainability. Our lobbying efforts aim to ensure that bpostgroup's perspectives are considered in shaping the future of our industry. bpostgroup is registered in the Belgian federal parliament lobby register.

External Validation of Lobbying Activities

Belgian Federal Parliament Lobby Register

bpostgroup is registered in the Belgian federal parliament lobby register, which serves as an external validation tool for our national lobbying activities. This register provides transparency and accountability by publicly documenting our engagement with Belgian policymakers. The register can be accessed at Belgian Lobby Register.

EU Transparency Register

Additionally, bpostgroup is registered in the EU Transparency Register under Number 448148139186-23. This registration serves as a key external validation tool for our European lobbying activities. The EU Transparency Register enhances transparency by providing stakeholders with clear information about our advocacy efforts, including the topics we engage on, the resources allocated, and our interactions with EU policymakers. This aligns with bpostgroup's commitment to ethical lobbying practices and compliance with transparency standards.

Public Administration Appointments

Three members of management held positions in public administration, in the two years preceding their current appointment. Those people, their current position and position they held in public administration are:

Delphine Van Bladel Senior Group Communication Expert Cabinet of Karine Lalieux until October 31, 2024
Catherine Wijnants Senior Legal Counsel Corporate Cabinet of Petra De Sutter until August 31, 2023
Finke Jacobs Expert Project Manager Cabinet of Petra De Sutter until August 31, 2023

6.4.1.6 G1-6 Payment Practices

Average Time to Pay Invoices

As part of our commitment to transparent and efficient payment practices, we report the average time taken to pay invoices, calculated from the contractual or statutory payment term start date. This analysis covers four business groups: bpost NV/SA, Freight4U, Radial EU, and Radial NA.

Scope & Data Completeness

The data set includes all invoices processed within the reporting period. However, some entities have limitations due to onboarding timelines. Freight4U, which joined in May 2024, does not have complete data for the year. Radial Poland, onboarded in Oracle in February 2023, has full data coverage for 2024, while the remaining Radial Europe entities were fully integrated into Oracle by the end of 2023. Radial NA has no missing data, ensuring full visibility for this entity.

Methodology for Data Collection & Calculation

Oracle Entities (bpost NV/SA, Freight4U, Radial EU)

To calculate the Average Payment Time (in days) for these entities, we extract monthly financial transaction data from Oracle, process it in Power BI, and analyze it using DAX. The calculation involves:

Invoice Creation Date: The date when the invoice is recorded in Oracle.
Payment Date: The date when payment is executed.
Reconciliation Time: The number of days between invoice creation and payment execution.
Average Payment Time: The average of all reconciliation times for invoices created and paid within the reporting period.

Assumptions:

Payments processed within a 7-day grace period after the due date are considered on time.
Negative reconciliation times occur in cases of direct debit, where payment is executed before the invoice is officially created.
For Freight4U, an additional calculation layer is applied due to weekly payment processing cycles.

SAP Entity (Radial NA)

For Radial NA, payment data is extracted directly from SAP, without intermediate transformations. The average days to pay is calculated as follows:

Invoice Posting Date: The date when the invoice is recorded in SAP.
Clearing Date: The date when the payment is executed.
Days to Pay: The difference between the clearing date and the invoice posting date.
Average Payment Time: The total number of days to pay across all transactions, divided by the total number of payments.

Automation & Regional Differences

Most payments across the group are automated through Oracle, minimizing late payments. In the US, however, invoices do not have a fixed invoice date, and general payment terms are not standardized, leading to reporting differences.

Average Payment Time (in days) for bpost NV/SA, Freight4U, Radial EU and Radial NA in 2024

BUSINESS GROUP	AVERAGE RECONCILIATION TIME	COMMENTS
bpost NV/SA	38.4 days	Full year data available.
Freight4U	50.2 days	Data from May 2024 until 31st of Dec 2024.
Radial EU	20.9 days	Full year data for all entities; Radial EU includes Belgium (BE), Netherlands (NL), Poland (POL), Luxembourg (LUX), Italy (IT), Germany (DE), the United Kingdom (UK), and Spain (ES). However, Radial Spain was liquidated at the end of September 2024. Additionally, while Radial Luxembourg still exists as a legal entity, it has minimal activity, processing at most 5 invoices per year.
Radial NA	34.69 days	Full year data available.

Standard Payment Terms by Main Category of Suppliers

bpost NV/SA

In 2024, bpost NV/SA applied a standard payment term of 50 calendar days across all categories of suppliers for undisputed invoices, demonstrating a consistent approach to supplier payment practices. Moving forward, bpost NV/SA is committed to reducing this term to 30 calendar days for all suppliers, reinforcing its support for supplier cash flow and strengthening its supplier relationships.

Freight 4U and Radial EU

For Freight 4U and Radial EU entities onboarded on Oracle, a 30-day payment term is internally set within the Oracle financial system as a standard guideline, though this is currently undocumented. Additionally, credit notes across all supplier categories are settled within 30 days, underscoring bpostgroup's commitment to timely and transparent financial processes.

Radial NA

Radial NA follows a different approach due to its use of SAP. The preferred standard payment term is 45 days from the invoice date (NT45), with payment terms ranging from immediate payment (NT00) to 60 days (NT60). Payments are processed weekly, and all invoices must be approved in advance. Invoices due within the week are paid on the scheduled payment day, with exceptions for some critical vendors.

Percentage of Payments Aligned with Standard Payment Terms

The percentage of payments aligned with standard payment terms is determined using data extracted from Oracle and SAP. The calculation follows the methodology outlined below:

Oracle Entities: Payments are categorized as on-time if the payment date is on or before the due date. Late payments are those where the due date has passed.
SAP Entity (Radial NA): Payments are considered aligned if processed within a 7-day buffer after the due date, recognizing operational delays in weekly payment runs.

Aligned with the standard payment terms outlined above, the percentage of payments that met these terms, can be found in the table below.

Percentage of Payments Aligned with Standard Payment Terms for bpost NV/SA, Freight4U, and Radial EU

BUSINESS GROUP	STANDARD PAYMENT TERM (DAYS)	PERCENTAGE OF PAYMENTS ALIGNED (%)
bpost NV/SA	50 days	90.05 %
Freight4U	30 days	18.61 %
Radial EU	30 days	82.22 %
Radial NA	45 days*	85.20 %

*Standard payment term is 45 days (NT45), but it can vary from immediate (NT00) to 60 days (NT60) based on agreements.

Consideration of SMEs in Payment Practices

Recognizing the significance of SMEs in our supplier base, we are committed to ensuring timely payments to these businesses to support their cash flow. Our current approach includes:

bpost NV/SA's Reduction Plan: The shift from 50 to 30-day terms will particularly benefit SMEs, ensuring they receive payments faster.
Freight 4U and Radial EU Practices: The 30-day standard term applies equally to SMEs and larger suppliers, maintaining fairness in payment processing.
Radial NA Approach: SME vendors classified as critical receive prioritization in weekly payment runs to prevent financial strain.
Future Improvements: We are actively reviewing our payment structures to improve SME payment timeliness, particularly for Freight 4U, where the percentage of payments aligned with the standard term remains relatively low.

Preventing Late Payments, Specifically to SMEs

bpostgroup is committed to fair and timely payments for all suppliers, particularly small and medium-sized enterprises (SMEs). Currently, there is no formal policy to prevent late payments, specifically to SMEs. However, there are some internal measures taken to prevent late payments from taking place.

Disclosure of Third-Party Standards or Initiatives That are Respected

bpostgroup respects external standards, including the EU Late Payment Directive and best practices in supplier payment policies. Our approach aligns with fair business conduct principles outlined in relevant industry codes and supplier charters.

Existing Measures to Prevent Late Payments

bpostgroup has implemented the following measures:

Standard Payment Terms Compliance: Internal financial controls ensure adherence to agreed payment terms, with escalation procedures for delays.
Automated Payment Tracking: Oracle and SAP systems monitor invoice due dates and trigger alerts for potential delays.
Dedicated SME Support: A supplier relationship management team assists SMEs with payment-related concerns and expedites issue resolution.
Quarterly Compliance Reviews: Payment trends are analyzed to identify and address recurring issues, ensuring continuous improvement.

Future Developments

bpostgroup continuously evaluates its payment practices and may develop an official SME payment policy based on stakeholder feedback and regulatory developments in the future. If additional measures are required, they will be assessed and addressed accordingly.

Number of Legal Proceedings Outstanding for Late Payments

As of the reporting date, there are no legal proceedings currently outstanding related to late payments. Given that our Oracle and SAP systems do not natively track ongoing legal proceedings for late payments, we have validated this information through internal confirmations from legal and finance teams.

BUSINESS GROUP	NUMBER OF LEGAL PROCEEDINGS OUTSTANDING FOR LEGAL PAYMENTS
bpost NV/SA	0
Freight4U	0
Radial EU: Belgium (BE), Netherlands (NL), Poland (POL), Luxembourg (LUX), Italy (IT), Germany (DE), the United Kingdom (UK), and Spain (ES)	0
Radial NA	0

Please note that for Radial NA, the measurement of this metric has not been validated by an external body other than the assurance provider.

6.5 Independent joint auditors' limited assurance report on bpostgroup's consolidated Sustainability Statement

At the attention of the general meeting of the shareholders

As part of the limited assurance engagement on the consolidated sustainability statement of bpostgroup (the "Company" or the "Group"), we are providing you with our report on this engagement.

We were appointed by the by the shareholders' meeting of 8 May 2024, in accordance with the proposal of the Board of Directors, issued on the recommendation of the Audit Committee and on the nomination by the workers' council, of bpostgroup, to carry out a limited assurance engagement on the Company's consolidated sustainability information, included in the Non-financial statements (audited CSRD report) of the bpostgroup annual report as of and for the year ended on 31 December 2024. (the "sustainability statement").

Our mandate expires on the date of the general meeting deliberating on the annual financial statements closed as at 31 December 2026. We have carried out our assurance engagement on the sustainability statement of bpostgroup for 1 financial year.

Qualified limited assurance conclusion

We have conducted a limited assurance engagement on the sustainability statement of bpostgroup.

Based on the procedures we have performed and the evidence we have obtained, except for the effects and the possible effects of the matter described in the section "Basis for qualified conclusion", nothing has come to our attention that causes us to believe that the sustainability statement is not prepared, in all material respects:

in accordance with the requirements referred to in Article 3:32/2 of the Belgian Code of Companies and Associations, including compliance with applicable European sustainability information standards (the European Sustainability Reporting Standards ("ESRSs"));
is not compliant with the process carried out by the Company ("the Process") to identify the information included in the sustainability statement in accordance with the ESRS's as set out in note IRO-1 – Description of the Process to Identify and Assess Material Impacts, Risks and Opportunities (ESRS 2 IRO-1); and
is not compliant with the requirements of Article 8 of EU Regulation 2020/852 (the "Taxonomy Regulation") as disclosed in subsection 6.2.4. EU Taxonomy within the environmental section 6.2 Environmental Information of the sustainability statement.

Basis for qualified conclusion

In August 2024, bpostgroup acquired Staci Group, a French-headquartered logistics company that offers global multichannel logistics and distribution solutions. In the financial year 2024, Staci contributed € 337.7 million in revenue (or 8% of the consolidated revenues) for bpostgroup. As explained in section "6.1.1.1 BP-1 General Basis for Preparation of the Sustainability Statement", of the consolidated sustainability statement, as of the acquisition date, and during the post-integration period thereafter, Staci Group was not yet prepared to collect the necessary data needed for inclusion in the 2024 consolidated sustainability statement of bpostgroup, due to time constraints. Consequently, Staci Group is not covered in the qualitative and quantitative disclosure requirements of the standards and sub-topics within these standards that were determined as material for bpostgroup (including Staci Group), leading to a material understatement of several KPIs, notably those related to ESRS E1, ESRS E5, and ESRS S1.

We conducted our limited assurance engagement in accordance with International Standard on Assurance Engagements (ISAE) 3000 (Revised), Assurance engagements other than audits or reviews of historical financial information ("ISAE 3000 (Revised)"), applicable in Belgium and issued by the International Auditing and Assurance Standards Board.

Our responsibilities under this standard are further described in the Statutory Auditor's responsibilities section of our report related to our limited assurance engagement under the section "Statutory Auditor's responsibilities relating the limited assurance engagement on the sustainability information".

We have complied with all ethical requirements relevant to the assurance of sustainability engagement in Belgium, including those relating to independence.

The firm applies International Standard on Quality Management 1 ("ISQM 1"), which requires the firm to design, implement and operate a system of quality management including policies or procedures regarding compliance with ethical requirements, professional standards and applicable legal and regulatory requirements.

We have obtained from the Company's Board of Directors and its appointees the explanations and information necessary for our limited assurance engagement.

We believe that the evidence we have obtained is sufficient and appropriate to provide a basis for our qualified conclusion.

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The scope of our work is only restricted to the limited assurance engagement on the Company's sustainability statement with respect to the current reporting period. Our limited assurance engagement does not extend to information relating to the comparative figures.

Responsibilities of the Board of Directors in relation to the preparation of sustainability information

The Board of Directors of the Company is responsible for designing and implementing a process to identify the information reported in the sustainability statement in accordance with the ESRS and for disclosing this Process in note IRO-1 – Description of the Process to Identify and Assess Material Impacts, Risks and Opportunities (ESRS 2 IRO-1) of the sustainability statement. This responsibility includes:

understanding the context in which the Company's activities and business relationships take place and developing an understanding of its affected stakeholders.
the identification of the actual and potential impacts (both negative and positive) related to sustainability matters, as well as risks and opportunities that affect, or could reasonably be expected to affect, the entity's financial position, financial performance, cash flows, access to finance or cost of capital over the short-, medium-, or long-term;
the assessment of the materiality of the identified impacts, risks and opportunities related to sustainability matters by selecting and applying appropriate thresholds; and
making assumptions that are reasonable in the circumstances.

The board of directors of the Company is further responsible for the preparation of the sustainability statement, which contains the sustainability information as determined in the Process:

in accordance with the requirements referred to in Article 3:32/2 of the Belgian Code of Companies and Associations, including compliance with applicable ESRS's;
in compliance with the requirement provided by Article 8 of EU Regulation 2020/852 (the "Taxonomy Regulation") as described in the disclosures in EU Taxonomy within the environmental section of the management report.

This responsibility includes:

designing, implementing and maintaining such internal control that the Board of Directors determines is necessary to enable the preparation of the Sustainability statement that is free from material misstatement, whether due to fraud or error; and
the selection and application of appropriate sustainability reporting methods and making assumptions and estimates that are reasonable in the circumstances.

The Board of Directors are responsible for overseeing the Company's sustainability reporting process.

Inherent limitations in preparing the sustainability statement

In reporting forward-looking information in accordance with ESRS, the board of directors of the Company is required to prepare the forwardlooking information on the basis of disclosed assumptions about events that may occur in the future and possible future actions by the Company. Actual outcomes are likely to be different since anticipated events frequently do not occur as expected. Actual results are likely to differ from projections because the future events will not generally occur as expected, and such differences could be material.

Independent joint Auditors' responsibilities relating the limited assurance engagement on the sustainability information

Our responsibility is to plan and perform the assurance engagement to obtain limited assurance about whether the sustainability statement is free from material misstatement, whether due to fraud or error, and to issue a limited assurance report that includes our conclusion. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence decisions of users taken on the basis of the sustainability statement as a whole.

As part of a limited assurance engagement in accordance with ISAE 3000 (Revised), as applicable in Belgium, we exercise professional judgment and maintain professional skepticism throughout the engagement. The work performed in an engagement with a view to obtaining limited assurance is less extensive than in the case of an engagement with a view to obtaining reasonable assurance. The procedures performed in a limited assurance engagement for which we refer to the 'Summary of work carried out' section which differ in nature and timing are less extensive compared to a reasonable assurance engagement. We therefore do not express a reasonable audit opinion in the frame of this engagement.

As the forward-looking information included in the Sustainability Information, and the assumptions on which it is based, relate to the future, they may be affected by events that may occur and/or by actions taken by the Company. Actual results are likely to differ from the assumptions made, as the events assumed will not necessarily occur as expected, and such differences could be material. Accordingly, our conclusion does not guarantee that the actual results reported will correspond to those contained in the forward-looking sustainability information.

Our responsibilities in respect of the Sustainability statement, in relation to the Process, include:

understanding the Process but not for the purpose of providing a conclusion on the effectiveness of the Process, including the outcome of the Process; and
Designing and performing procedures to evaluate whether the Process is consistent with the Company's description of its Process, IRO-1 Description of the Process to Identify and Assess Material Impacts, Risks and Opportunities (ESRS 2 IRO-1);

Our other responsibilities in respect of the Sustainability statement include:

To understand the Company's control environment and the processes and information systems relevant to the preparation of sustainable information, but without evaluating the design of specific control activities, obtaining substantive information on their implementation or testing the effectiveness of the internal control measures in place;
Identify areas where material misstatements of sustainability information are likely to occur, whether due to fraud or error; and
Designing and performing procedures responsive to where material misstatements are likely to arise in the sustainability statement. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

Summary of the work performed

A limited assurance engagement involves performing procedures to obtain evidence about the Sustainability statement. The procedures in a limited assurance engagement vary in nature and timing from, and are less in extent than for, a reasonable assurance engagement. Consequently, the level of assurance obtained in a limited assurance engagement is substantially lower than the assurance that would have been obtained had a reasonable assurance engagement been performed.

The nature, timing and extent of procedures selected depend on professional judgement, including the identification of disclosures where material misstatements are likely to arise in the Sustainability statement, whether due to fraud or error.

In conducting our limited assurance engagement, with respect to the Process, we:

Obtained an understanding of the Process through:
Requesting information to understand the sources of the information used by management (e.g., stakeholder engagement, business plans and strategy documents), as well as assessing the Company's internal documentation of its Process; and

229

• Evaluated whether the evidence obtained from our procedures with respect to the Process implemented by the bpostgroup was consistent with the description of the Process set out in note IRO-1 – Description of the Process to Identify and Assess Material Impacts, Risks and Opportunities (ESRS 2 IRO-1).

In conducting our limited assurance engagement, with respect to the sustainability statement, we:

Obtained an understanding of the Company's reporting processes relevant to the preparation of its sustainability statement by:
interviewing management and relevant staff responsible for consolidating and implementing internal control measures related to sustainability information;
when deemed appropriate, obtaining supporting documentation for the relevant reporting processes.
Evaluated whether the information identified by the Process is included in the sustainability statement;
Evaluated the compliance of the structure and the preparation of sustainability information with ESRS standards;
Performed inquires of relevant personnel and analytical procedures on selected information in the sustainability statement;
Performed substantive assurance procedures, based on a sample, on selected information in the sustainability statement;
For a number of locations contributing to the quantitative information included in the sustainability information, we have carried out limited detailed testing of the data collection and calculation processes, as well as validation procedures related to the quantitative information, based on professional judgement and on a sample basis;
Evaluated assurance information on the methods for developing estimates and forward-looking information; evaluated as described in the section 'responsibilities of the statutory auditor regarding the assurance engagement with limited assurance regarding sustainability information;
Obtained an understanding of the Company's process to identify taxonomy-eligible and taxonomy-aligned economic activities and the corresponding disclosures in the Sustainability statement;
On a sample basis, reconciled the economic activities with supporting documentation that substantiates the substantial contribution, the do not significant harm contribution, and the minimum safeguard requirements;
Reconciled inputs to revenue, capital expenditure, and operating expenses, with underlying financial information of the Company;

Statements regarding independence

Our audit firm and our network have not performed any engagements that are incompatible with the limited assurance engagement, and our audit firm has remained independent of the company during our term of office.

Diegem, 25 March 2025

Statutory auditor Statutory auditor Represented by Represented by

Han Wevers * Alain Chaerels Partner Partner *Acting on behalf of a BV/SRL

EY Bedrijfsrevisoren BV PVMD Réviseurs d'entreprises SRL

7. Economic value

7.1 Financial review

7.1.1 Group overview

Compared to last year, total operating income increased by +69.1 mEUR or +1.6% to 4,341.3 mEUR:

External operating income BeNe Last-Mile decreased by -55.4 mEUR and amounted to 2,272.2 mEUR mainly due to lower revenues from new Press contracts, resilient mail revenues partially offset by strong parcel volume growth.
External operating income of 3PL increased by +145.1mEUR or +11.1% and amounted to 1,455.5 mEUR as the Staci contribution and e-commerce logistics momentum in Europe were offset by continuous pressure in North America.
External operating income of Global Cross-border decreased by -17.9 mEUR or -2.9% to 609.3 mEUR mainly due to downtrading customers and Amazon's insourcing in North America partially offset by expansion efforts in Europe.
Corporate external operating income decreased by -2.7 mEUR due to lower building sales compared to last year.

Operating expenses (including D&A) increased by -348.0 mEUR, excluding last year's provision of 75.0 mEUR related to the repayment to the Belgian State for potential overcompensations for the years prior 2023 and the non-cash impairment charges related to Radial US (299.4 mEUR), operating expenses increased by -123.6 mEUR. This increase was due to higher operating expenses (including D&A) in line with the acquisition of Staci and higher payroll costs partially offset by lower variable operating expenses in line with the revenue development mainly in North America).

Reported EBIT amounted to -118.1 mEUR and decreased by -278.9 mEUR compared to last year, excluding last year's provision related to overcompensation and the impairment charges related to Radial US, reported EBIT decreased by -54.4 mEUR. This decrease was mainly driven by the impact of the new Press contracts and topline pressures in North America, partially offset by Domestic Parcels growth and Radial productivity gains. Adjusted EBIT amounted to 224.9 mEUR and decreased by -23.6 mEUR or -9.5% compared to last year.

Net financial result (i.e. net of financial income and financial costs) of 2024 amounted to -30.8 mEUR and increased by 10.8 mEUR compared to 2023. This increase was primarily due to last year's non-cash negative financial result related to IAS 19 employee benefits triggered by a decrease in discount rates at that time and favourable exchange difference results, partially offset by higher banking fees, higher interests costs given increased loans, borrowings and leases.

Income tax expense slightly increased by -0.8 mEUR compared to last year. Note that last year's provision of 75.0 mEUR related to overcompensation was already net of corporate income taxes.

Group net result amounted to -204.1 mEUR and decreased by -268.8 mEUR, to a large extent due to the impairment for Radial US and partially offset by last year's provision for overcompensation. Adjusted group net profit – amongst other adjusted for last year's provision for overcompensation and Radial US impairment - amounted to 127.8 mEUR or 20.1 mEUR (-13.6%) lower than last year.

Adjusted contribution (see section "Reconciliation of Reported to Adjusted Financial Metrics") of the different business units for 2023-2024 amounted to:

			2024			2023
IN MILLION EUR (ADJUSTED)	TOTAL OPERATING INCOME	EBIT	MARGIN (%)	TOTAL OPERATING INCOME	EBIT	MARGIN (%)
BeNe Last-Mile	2,349.5	133 .7	5.7%	2,399.4	178.6	7 .4%
3PL	1,460.4	52 .0	3.6%	1,316.0	16.2	1.2%
Global Cross-border	614.8	79 .8	13.0%	633.4	91.4	14.4%
Corporate	411.1	(40 .7)	-9.9%	429.6	(37.7)	-8.8%
Eliminations	(494.5)			(506.3)
GROUP	4,341.3	224.9	5.2%	4,272.2	248.5	5.8%

7.1.2 Description of Business Units

Following the acquisition of Staci in 2024, bpostgroup has put in place a revised strategy to transition into a regional leader in high-value flexible logistics organised into three integrated businesses: Belgium and Netherlands Last Mile activities ("BeNe Last-Mile"), 3PL ("Third-Party Logistics") and Global Cross-border. Changes consist of moving the Dynagroup, Leen Menken and Euro-Sprinters out of the former business unit E-Logistics Eurasia to BeNe Last-Mile whereas the remaining activities of the former business unit E-Logistics Eurasia have been transferred to Global Cross-border. Furthermore out of the former business unit E-Logistics North America the Landmark Global activities have been transferred to Global Cross-border whereas the Radial activities have been transferred to 3PL activities.

bpostgroup operates through three business units, which benefit from the services of various support units.

BeNe Last-Mile activities

In Belgium and the Netherlands, bpostgroup offers modern, high-quality and flexible postal and parcel services, certain contract logistics, press distribution, certain banking activities and other value-added services. Its main expertise lies in B2C services, with the possibility of expanding into B2B and omnichannel logistics.

Some of the key services include:

Handling and distribution of mail:
transactional mail (residential mail or administrative mail from businesses and government); - addressed and unaddressed advertising mail (door-to-door);
Home delivery of newspapers and periodicals through commercial agreements with publishers;
Deliveries of parcels of all sizes and weights, wherever and whenever the customer desires. bpostgroup has the largest pickup and delivery network for parcels in Belgium:
More than 650 post offices offer a complete range of postal services and products, along with certain banking services in partnership with BNP Paribas Fortis;
More than 660 post points provide the most common postal services;
Customers can also pick up and send parcels at parcel points and via more than 900 parcel lockers;
Value-added services, such as simplifying administrative procedures and optimising activities that are not part of the customer's core business, for example the handling traffic fines and distributing or deregistering license plates.
Personalised Logistics through its entities Dynalogic and Euro Sprinters.

3PL activities

Thanks to its extensive range of services dedicated to the entire e-commerce chain, bpostgroup aims to facilitate e-commerce. It provides integrated third-party logistics (3PL) services, emphasising flexibility and added value for B2C, B2B and omnichannel segments. With an extensive range of efficient fulfilment solutions, bpostgroup manages the entire logistics process of orders, adapting it to the client's needs – from product storage to return processing, all the way to order preparation for delivery to the intended destinations.

From a mouse click to the doorbell: once the online order is confirmed by the consumer, bpostgroup through its subsidiaries such as Radial and Active Ants, handles everything else. bpostgroup warehouses products, manages stocks, picks items, prepares packages for shipping and entrusts them to transportation partners. Staci is a renowned fulfilment and logistics services specialist that offers multichannel logistics and distribution solutions, including B2B, D2C and e-commerce to a wide range of industries including beauty & healthcare, telecom, retail, food & beverage and the public sector.
Beyond fulfilment: innovative solutions connect brands to their consumers using advanced omnichannel technologies, including intelligent payment solutions, fraud protection, tailored supply chain services and customer support.

Global Cross-border activities

Global Cross-border activities relate to shipping parcels across national borders, thereby dealing with transportation, customs, taxes and other formalities.

bpostgroup through its entities Landmark Global and IMX, offers integrated cross-border management and transportation capabilities. With the expertise, infrastructure, and operational capabilities required, it manages parcel shipping, mail distribution, order processing, and returns. Collaborating with a broad range of partners, its experts worldwide ensure swift handling of customs formalities.
bpostgroup operates an extensive network of road and air connections in North America, Europe and Asia. It combines its own last-mile networks, access to carriers and customs services through robust IT platforms.

Corporate and Support units ("Corporate") consist out of the 3 support units and the corporate unit. The support units offer as a sole provider business solutions to the 3 business units and to Corporate and includes Finance & Accounting, Human Resources & Service Operations, IT & Digital. The Corporate unit includes Strategy, Transformation, M&A, Legal, Regulatory and Corporate Secretary. The EBIT generated by the support units is recharged to the 3 business units as opex while the depreciation remains in Corporate. Revenues generated by the Support Units, including sales building are disclosed in Corporate.

7.1.3 Business Unit performance: BeNe Last-Mile

BeNe Last-Mile

IN MILLION EUR	2024	2023	CHANGE %
Transactional mail	724.3	747.1	-3.1%
Advertising mail	191.8	179.0	7.2%
Press	299.0	349.6	-14.5%
Parcels Belgium	531.3	499.1	6.5%
Proximity and convenience retail network	271.7	292.1	-7.0%
Value added services	118.9	132.5	-10.3%
Personalized logistics	129.7	133.1	-2.5%
Intersegment operating income & other	82.8	66.9	23.8%
TOTAL OPERATING INCOME	2,349.5	2,399.4	-2.1%
Operating expenses	2,122.8	2,198.7	-3.5%
EBITDA	226.7	200.6	13.0%
Depreciation, amortization	95.8	99.9	-4.1%
PROFIT FROM OPERATING ACTIVITIES (EBIT REPORTED)	130.9	100.7	30.0%
Margin (%)	5.6%	4.2%
PROFIT FROM OPERATING ACTIVITIES (EBIT ADJUSTED)	133.7	178.6	-25.1%
Margin (%)	5.7%	7.4%

Total operating income in 2024 amounted to 2,349.5 mEUR and showed a decrease of -49.9 mEUR or -2.1%, mainly driven by the end of the Press Concession as from 1st of July 2024. Furthermore higher intersegment revenues from inbound Cross-border volumes handled in the domestic network and 10.0 mEUR higher other revenue in 2024 tied to last year's impact of State services repricing, in 2024 recognized under VAS.

Revenues from Domestic mail (i.e. Transactional, Advertising and Press combined) decreased by -60.7 mEUR to 1,215.1 mEUR, mainly driven the decrease of the Press revenue. Press revenues decreased by -50.6 mEUR reflecting the structural volume decline (-8.7%), reduced governmental compensation for extended Press concession in the first half of the year 2024 (-7.7 mEUR) and the end of the Press Concession as of the 1st of July 2024. Revenues in Transactional and Advertising mail slightly down by -10.1 mEUR or -1.1%, including approximately 6.0 mEUR uplift from European, Federal and Regional elections in June and September 2024, due to the underlying volume decline of -6.3% partly compensated by price/mix impact of +5.2%.

BeNe Last-Mile

EVOLUTION UNDERLYING VOLUMES	FY23	1Q24	2Q24	3Q24	4Q24	FY24
DOMESTIC MAIL	-8.4%	-6.7%	-2.9%	-6.3%	-7.0%	-5.7%
Transactional mail	-9.2%	-8.3%	-6.4%	-8.9%	-10.2%	-8.4%
Advertising mail	-11.9%	-3.8%	+11.6%	+2.4%	+0.2%	+2.5%
Press	-9.4%	-10.3%	-5.6%	-11.9%	-7.5%	-8.7%
PARCELS	+6.3%	+2.9%	+2.5%	+8.7%	+6.9%	+5.3%

Parcels Belgium increased by +32.2 mEUR (or +6.5%) to 531.3 mEUR resulting from the parcels volume growth of +5.3%, mainly driven by strong contribution and outperformance of marketplaces and improved price/mix of +1.2%.

Proximity and convenience retail network decreased by -20.3 mEUR to 271.7 mEUR mainly driven by the indexation of the Management Contract offset by lower banking revenues.

Stable operational revenues for Value added services, as the revenues amounted to 118.9 mEUR and showed a decrease of -13.6 mEUR versus last year due to the negative repricing impact now reported under VAS (vs. Other revenue in 2023).

Personalised Logistics amounted to 129.7 mEUR and decreased by -3.4 mEUR in 2024 reflecting lower revenues from DynaGroup.

Operating expenses (including D&A) decreased by +80.1 mEUR or -3.5%, mainly driven by last year's provision related to overcompensation (75.0 mEUR). Excluding this provision, operating expenses (including D&A) remained stable as the higher salary costs per FTE (+3% from 2 salary indexations year-over-year) was more than offset by stable FTE's despite higher parcel volumes, lower intersegment Corporate costs and higher recoverable VAT.

Reported EBIT increased by +30.2 mEUR and amounted to 130.9 mEUR mainly due to last year's provision for overcompensation. Adjusted EBIT decreased by -44.8 mEUR with a margin of 5.7%, this decrease was driven by the new Press contracts and payroll cost inflation.

7.1.4 Business Unit performance: 3PL

3PL
IN MILLION EUR	2024	2023	CHANGE %
3PL Europe	516.2	158.0	-
3PL North America	936.1	1,150.9	-18.7%
Intersegment operating income & other	8.0	7.1	12.0%
TOTAL OPERATING INCOME	1,460.4	1,316.0	11.0%
Operating expenses	1,271.3	1,196.4	6.3%
EBITDA	189.1	119.5	58.1%
Depreciation, amortization	455.7	112.6	-
PROFIT FROM OPERATING ACTIVITIES (EBIT REPORTED)	(266.7)	7.0	-
Margin (%)	-	0.5%
PROFIT FROM OPERATING ACTIVITIES (EBIT ADJUSTED)	52.0	16.2	-
Margin (%)	3.6%	1.2%

Total operating income amounted to 1,460.4 mEUR and increased by +144.4 mEUR, or +11.0% as the continued revenue pressure at Radial North America was offset by the integration of Staci (+338.1 mEUR).

3PL Europe increased by +358.3 mEUR to 516.2 mEUR reflecting the acquisition of Staci on August 1, 2024 (337.7 mEUR). In addition, Radial Europe and Active Ants revenue grew by +13.8% reflecting higher sales from international expansion (new customer onboardings) and upselling from existing customers.

3PL North America decreased by -214.8 mEUR or -18.7%, reflecting lower sales from existing customers and contribution of new customers partially mitigating revenue churn from terminated contracts announced in 2023.

Operating expenses (including D&A) increased by -418.0 mEUR resulting from the non-cash impairment charges on Radial US and the integration of Staci as of August 1, 2024. Excluding Staci and the impairment charges, operating expenses decreased by +189.3 mEUR reflecting lower variable operating expenses in line with the revenue development in Radial North America, sustained improvement in Radial North America's variable contribution margin (+4.6% year-over-year, currently at its highest level).

Reported EBIT amounted to -266.7 mEUR down by -273.6 mEUR mainly driven by the non-cash impairment charges on Radial US (299.4 mEUR), more than offset by Staci's contribution and productivity gains in Radial North America to partially offset topline pressure. Adjusted EBIT amounted to 52.0 mEUR, up by +35.8 mEUR. At constant perimeter, adjusted EBIT down by -5.0 mEUR as Staci consolidation impact of 40.7 mEUR.

7.1.5 Business Unit performance: Global Cross-border

Global Cross-border
IN MILLION EUR	2024	2023	CHANGE %
Cross-border Europe	361.6	349.5	3.5%
Cross-border North America	248.1	277.4	-10.5%
Intersegment operating income & other	5.1	6.6	-22.8%
TOTAL OPERATING INCOME	614.8	633.4	-2.9%
Operating expenses	511.4	519.1	-1.5%
EBITDA	103.4	114.4	-9.6%
Depreciation, amortization	24.2	23.6	2.6%
PROFIT/(LOSS) FROM OPERATING ACTIVITIES (EBIT REPORTED)	79.2	90.8	-12.7%
Margin (%)	12.9%	14.3%
PROFIT/(LOSS) FROM OPERATING ACTIVITIES (EBIT ADJUSTED)	79.8	91.4	-12.6%
Margin (%)	13.0%	14.4%

Total operating income decreased by -18.6 mEUR (or -2.9%) and amounted to 614.8 mEUR.

Cross-border Europe increased by +12.1 mEUR and amounted to 361.6 mEUR mainly from existing and recent customer wins, growth in Asian volumes with destination Belgium, partly offset by continued adverse UK market conditions and Asian consolidators shifting away from untracked services.

Cross-border North America decreased by -29.2 mEUR and amounted to 248.1 mEUR mainly due to lower sales at Landmark US reflecting downtrading customers and limited contribution of new business and Amazon's insourcing.

Operating expenses (including D&A) were down by +7.1 mEUR or -1.3%, mainly explained by lower volume driven transport costs in line with lower North American volumes and positive mix impact from higher volumes with destination Belgium, slightly higher salary costs reflecting international activity ramp-up and inflationary pressure.

Reported EBIT and adjusted EBIT decreased by -11.6 mEUR compared to last year same period and respectively amounted to 79.2 mEUR (margin of 12.9%) and 79.8 mEUR (margin of 13.0%). Lower EBIT and margin dilution tied to ongoing pressures at Landmark US.

7.1.6 Business Unit performance: Corporate

Corporate
IN MILLION EUR	2024	2023	CHANGE %
EXTERNAL OPERATING INCOME	4.3	7.0	-39.1%
Intersegment operating income	406.8	422.6	-3.7%
TOTAL OPERATING INCOME	411.1	429.6	-4.3%
Operating expenses	396.2	386.4	2.5%
EBITDA	14.9	43.3	-65.6%
Depreciation, amortization	76.4	81.0	-5.6%
LOSS FROM OPERATING ACTIVITIES (EBIT REPORTED)	(61.5)	(37.7)	63.3%
Margin (%)	-15.0%	-8.8%
LOSS FROM OPERATING ACTIVITIES (EBIT ADJUSTED)	(40.7)	(37.7)	7.9%
Margin (%)	-9.9%	-8.8%

External operating income in 2024 decreased by -2.7 mEUR driven by lower building sales.

Net operating expenses after intersegment (including D&A) increased by -21.1 mEUR, mainly explained by the merger and acquisition costs (20.9 mEUR), by inflationary pressure on payroll costs (+3.0% from 2 salary indexations), and slightly higher FTEs tied to transformation and corporate projects.

Reported EBIT at -61.5 mEUR and adjusted EBIT at -40.7 mEUR down by -3.0 mEUR.

7.1.7 Statement of cash flows

IN MILLION EUR	2024	2023	CHANGE %
Net cash from operating activities	534.9	376.2	42.2%
Net cash used in investing activities	(1,422.0)	(152.4)	-
Net cash from financing actvities	758.6	(428.7)	-
NET MOVEMENT IN CASH AND CASH EQUIVALENTS	(128.5)	(204.9)	-37.3%
FREE CASH FLOW	(887.1)	223.8	-

In 2024, the net cash outflow decreased compared to the same period last year by 76.4 mEUR to 128.5 mEUR. This decrease was driven by the positive working capital evolution, lower dividends paid, loans evolution partially compensated by the acquisition of Staci.

Reported and adjusted free cash flow amounted respectively to negative 887.1 mEUR and negative 875.3 mEUR.

Cash flow from operating activities before change in working capital and provisions increased by 79.2 mEUR compared to 2023 in line with the positive EBITDA variation – amongst other due to the provision for the overcompensation – and the lower corporate income tax payments.

Cash outflow related to collected proceeds due to Radial's clients was 14.9 mEUR higher (11.7 mEUR outflow in 2024 compared to an inflow of 3.2 mEUR last year).

The variance in change in working capital and provisions (+94.3 mEUR) was mainly explained by the favourable evolution of accounts receivable, including the end of the Press concession as July 1, 2024 which was traditionally settled in the following year, and the deferred payment of 2022 withholding taxes on payroll in the first quarter 2023 (+30.6 mEUR), a measure granted at that time by the Belgian government in the context of the energy crisis, partially offset by last year's provision related to overcompensation.

Investing activities resulted in a cash outflow of 1,422.0 mEUR in 2024, compared to a cash outflow of 152.4 mEUR last year. This evolution was mainly explained by the acquisition of Staci (1,277.3 mEUR) partially compensated by lower capex in 2024 (8.2 mEUR). Capex stood at 146.6 mEUR in 2024 and was mainly spent on 3PL, domestic fleet, operational infrastructure, parcels & lockers capacity and site improvements. The decrease compared to last year was in line with the capital allocation to purchase logistics real estate for Radial North America instead of leasing (in line with capex guidance).

In 2024 the cash inflow relating to financing activities amounted to 758.6 mEUR compared to -428.7 mEUR last year, mainly explained by the bond issuance to acquire Staci (+1,0 bnEUR), a lower dividend payment (+53.9 mEUR) and the repayment of the 185 mUSD term loan maturing on December 29, 2023 partially compensated by leasing contracts related payments (-33.3 mEUR).

7.1.8 Net debt

As at 31 December
IN MILLION EUR	2024	2023
NET DEBT/(NET CASH)
Interest bearing loans and borrowings	2,547.9	1,291.0
Bank overdrafts	(0.3)	0.0
Non-interest bearing loans and borrowings	0.1	0.1
Investment securities	0.0	0.0
Cash and cash equivalents	(747.4)	(870.6)
TOTAL	1,800.4	420.5

The increase of net debt by 1,379.9 mEUR was mainly explained by the issuance of a 1,000 mEUR dual-tranche bond offering in the context of the acquisition of Staci and the lease liabilities of Staci which has been consolidated as of August 1, 2024 . Net debt position of 1,800.4 mEUR includes 889.8 mEUR of lease liabilities.

7.1.9 Balance sheet

IN MILLION EUR	2024	2023	IN MILLION EUR	2024	2023
ASSETS			EQUITY AND LIABILITIES
Property, plant and equipment	1,627.7	1,372.0	Total equity	860.0	1,026.5
Intangible assets	1,945.5	810.9	Interest-bearing loans and borrowings (incl. overdraft)	2,547.6	1,291.0
Investments in associates and joint ventures	0.1	0.1	Employee benefits	234.3	249.8
Other assets	32.5	38.0	Trade and other payables	1,430.5	1,432.5
Trade and other receivables	968.3	1,001.2	Provisions	115.6	106.0
Inventories	32.3	25.4	Derivative instruments	0.5	0.2
Cash and cash equivalents	747.4	870.6	Other liabilities	165.9	12.8
Assets held for sale	0.6	0.6	Liabilities directly related to assets held for sale	0.0	0.0
TOTAL ASSETS	5,354.4	4,118.8	TOTAL EQUITY AND LIABILITIES	5,354.4	4,118.8

		borrowings (incl. overdraft)	2,547.6	1,291.0
0.1	0.1	Employee benefits	234.3	249.8




		held for sale	0.0	0.0

Property, plant and equipment increased by 255.7 mEUR mainly driven by the integration of Staci, as well as the capital expenditure and the new right-of-use assets, partially offset by the depreciation.

Intangible assets increased by 1,134.6 mEUR on the one hand due to the acquisition of Staci, for which goodwill amounted to 826.4 mEUR and intangibles throughout purchase price allocation amounted to 570.0 mEUR (mainly customer relationships). On the other hand the non-cash impairment of the goodwill related to the Radial US explains a decrease of 299.4 mEUR.

The decrease of trade and other receivables by -32.9 mEUR was mainly driven by the settlement of the press concession for the year 2023, lower terminal dues and lower sales in the US, partially offset by the integration of Staci.

Cash & cash equivalents decreased by -123.2 mEUR mainly due to the acquisition of Staci, partially offset by the bonds issued (1 bnEUR) to acquire Staci.

The increase of the interest-bearing loans and borrowings by 1,256.6 mEUR was mainly explained by the issuance of a 1,000 million EUR dualtranche senior unsecured bond offering across 5- and 10-year maturities and the increase of the lease liabilities, explained by the acquisition of Staci.

The slight decrease of trade and other payables by -2.0 mEUR was mainly due to the decrease of the terminal dues payables, partially offset by the increase of the social and trade (related) payables, explained by the integration of Staci.

The increase of the other liabilities was mainly explained by the increase of the deferred tax liabilities, mainly explained by the deferred tax liabilities recognised through the purchase price allocation of Staci.

7.1.10 Alternative Performance Measures (unaudited)

bpostgroup also analyses the performance of its activities in addition to the reported IFRS figures with alternative performance measures ("APMs"). The definitions of these alternative performance measures can be found below.

APMs (or non-GAAP measures) are presented to enhance an investor's understanding of the operating and financial performance, to aid in forecasting and to facilitate meaningful comparison of the result between periods.

The presentation of APMs is not in conformity with IFRS and the APMs are not audited. The APMs may not be comparable to the APMs reported by other companies as those companies may compute their APMs differently from bpostgroup.

The calculation of the adjusted performance measure and adjusted operating free cash flow can be found below the definitions. The APMs derived from items reported in the financial statements can be calculated with and reconciled directly to the items as disclosed in the definitions below.

Definitions

Adjusted performance (adjusted operating income/adjusted EBITDA/adjusted EBIT/adjusted EAT): bpostgroup defines the adjusted performance as operating income/EBITDA/EBIT/EAT excluding the adjusting items. Adjusting items represent significant income or expense items that, due to their non-recurring character, are excluded from performance analyses. bpostgroup uses a consistent approach when determining if an income or expense item is adjusting and if it is significant enough to be excluded from the reported figures to obtain the adjusted ones. An adjusting item is deemed to be significant if it amounts to 20.0 mEUR or more. All profits or losses on disposal of activities are adjusted whatever the amount they represent, as well as the year-to-date amortization and impairment on the intangible assets recognized throughout the Purchase Price Allocation (PPA) of the acquisitions. Reversals of provisions whose addition had been adjusted are also adjusted whatever the amount they represent. The reconciliation of the adjusted performance is available below the definitions.

bpostgroup's management believes this measure provides the investor a better insight and comparability over time of the economic performance of bpostgroup.

Constant exchange rate: bpostgroup excludes in the performance at constant exchange rate the impact of the different exchange rates applied in different periods. The reported figures in local currency of the prior comparable period are converted with the exchange rates applied for the current reported period.

bpostgroup's management believes that the performance at constant exchange rate provides the investor an understanding of the operating performance.

Capex: capital expenditure for tangible and intangible assets including capitalized development costs, excluding right of use assets.

Earnings Before Interests, Taxes, Depreciation and Amortization (EBITDA): bpostgroup defines EBITDA as earnings from operating activities (EBIT) plus depreciations and amortizations and is derived from the consolidated income statement.

Net debt/(Net cash): bpostgroup defines Net debt/(Net cash) as the non-current and current interest-bearing loans and borrowings (incl. lease liabilities) plus bank overdrafts minus cash and cash equivalents and is derived from the consolidated statement of financial position.

Operating free cash flow (FCF) and adjusted operating free cash flow: bpostgroup defines FCF as the sum of net cash from operating activities and net cash used in investing activities and is derived from the consolidated statement of cash flows. Adjusted operating free cash flow is the operating free cash flow as defined excluding working capital impact of "the collected proceeds due to clients". The reconciliation is available below the definitions. In some cases, Radial performs the billing and receiving of payments on behalf of their customers. Under this arrangement, Radial routinely remits billed amounts back to the client, and performs periodical settlements with the client on amounts owed to or from Radial based on billings, fees, and amounts previously remitted. Adjusted operating free cash flows excludes the cash Radial received on behalf of their customers as Radial has no or little impact on the amount or the timing of these payments.

Evolution Parcels volume: bpostgroup defines the evolution of Parcels as the difference, expressed as a percentage, of the reported volumes between the current and prior comparable period of the parcels processed by bpost NV/SA in the last mile delivery.

Underlying volume (Transactional mail, Advertising mail and Press): bpostgroup defines underlying mail volume as the reported mail volume including some corrections.

Reconciliation of Reported to Adjusted Financial Metrics

Operating income for the year ended 31 December
IN MILLION EUR	2024	2023	2024 – 2023
Total operating income	4,341.3	4,272.2	1.6%
ADJUSTED TOTAL OPERATING INCOME	4,341.3	4,272.2	1.6%

Operating expenses for the year ended 31 December
IN MILLION EUR	2024	2023	2024 – 2023
Total operating expenses excluding depreciation, amortization	(3,807.2)	(3,794.4)	0.3%
Merger & acquisitions costs (1)	20.9	0.0
Provisions related to overcompensation (2)	0.0	75.0	-100.0%
ADJUSTED TOTAL OPERATING EXPENSES EXCLUDING DEPRECIATION, AMORTIZATION	(3,786.4)	(3,719.4)	1.8%

EBITDA for the year ended 31 December EVOLUTION
IN MILLION EUR	2024	2023	2024 – 2023
EBITDA	534.1	477.8	11.8%
Merger & acquisitions costs (1)	20.9	0.0	-
Provisions related to overcompensation (2)	0.0	75.0	-
ADJUSTED EBITDA	554.9	552.8	0.4%

EBIT for the year ended 31 December EVOLUTION
IN MILLION EUR	2024	2023	2024 – 2023
EBIT	(118.1)	160.8	-
Non-cash impact of purchase price allocation (PPA) (3)	22.7	12.7	79.0%
Merger & acquisitions costs (1)	20.9	0.0	-
Provisions related to overcompensation (2)	0.0	75.0	-
Impairment on goodwill (4)	299.4	0.0	-
ADJUSTED RESULT FROM OPERATING ACTIVITIES (EBIT)	224.9	248.5	-9.5%

Results for the year ended 31 December (EAT, earnings after taxes)
IN MILLION EUR	2024	2023	2024 – 2023
Result of the year	(204.1)	64.8	-
Provisions related to overcompensation (2)	0.0	73.8	-
Merger & acquisitions costs (1)	16.9	0.0	-
Non-cash impact of purchase price allocation (PPA) (3)	15.6	9.3	67.6%
Impairment on goodwill (4)	299.4	0.0
ADJUSTED RESULT OF THE YEAR	127.8	147.9	-13.6%

(1) As merger and acquisitions costs exceed the threshold of 20.0 mEUR, in line with the definition of adjusting items within the APMs the 2024 merger and acquisition costs are being adjusted.

(2) In 2023 bpost had voluntary launched 3 compliance reviews concerning the processing of traffic fines, the management of 679 accounts, and the delivery/cancellation of licence plates and concluded an in-dept legal and economic assessment regarding the remuneration paid by the Belgian State for these 3 services. As part of bpost's commitment to repay any overcompensation, a provision of 75.0 mEUR had been recorded. The provision, as is customary concerning the repayment of State Aid, was already net of corporate income taxes paid on the incompatible aid principal amount. As a result, the amount except for the compound interest was not tax deductible. In line with the definition of adjusting items within the APMs and as this provision exceeds the threshold of 20.0 mEUR, this provision was being adjusted.
(3) In accordance with IFRS 3 and throughout the purchase price allocation (PPA) for several entities, bpostgroup recognized several intangible assets (brand names, know-how, customer relationships...). The non-cash impact consisting of amortization charges on these intangible assets is being adjusted.
(4) In accordance with IAS 36 and the CGU (cash generating units) impairment testing, goodwill impairments were recognized within 3PL as an impairment loss of 313.5 mUSD was recognized for Radial North America. This in the context of material recent client churn at Radial US, combined with a continued challenging market environment and related materializing downside risks tied to the long term plan. The reassessment results in a value in use landing significantly below the carrying value, ultimately yielding an CGU impairment of 313.5 mUSD and a statutory impairment of the participation of 370.6 mUSD within the books of bpost NV/SA.

Reconciliation of reported to free cash flow and adjusted free cash flow

			EVOLUTION
IN MILLION EUR	2024	2023	2024 – 2023
Net Cash from operating activities	534.9	376.2	42.2%
Net Cash used in investing activities	(1,422.0)	(152.4)	-
OPERATING FREE CASH FLOW	(887.1)	223.8	-
Deposits received from third parties	0.0	0.0
Collected proceeds due to clients	11.7	(3.2)	-
ADJUSTED OPERATING FREE CASH FLOW	(875.3)	220.7	-

7.2 Outlook for 2025

In the context of its ongoing transformation, bpostgroup projects an adjusted EBIT of 150-180 mEUR for 2025, with Staci's strategic contribution helping to mitigate domestic challenges and the impact of new Press contracts, while Radial US's strong cost control alleviates topline pressure from recent customer losses. The group's total operating income for 2025 is expected to grow by a high single digit percentage.

BeNe Last-Mile

Slightly lower total operating income¹ , notably driven by:
- c. 55 mEUR lower Press revenues from 2024 new contracts and structural volume decline.
Mail (excluding Press): lower revenues reflecting a volume decline -7% to -9% and a price increase and mix impacts of 4% to 5%.
Parcels: higher revenues reflecting mid- to high single-digit percentage underlying volume growth and low single-digit percentage price/ mix, excluding strike impacts
2 to 3% adjusted EBIT margin reflecting beyond structural mail impact margin erosion from new Press contracts, higher payroll costs due to salary indexations2 , strikes and delays in reorganizations affecting efficiency improvement targets.

3PL

20-25% growth in total operating income, driven by:
- Consolidation of Staci (acquired in August 2024, mid-single digit % growth proforma)
- Continued growth of Active Ants and Radial Europe, and
- Radial US net revenues decline due to enterprise customer losses, with contributions from new mid-market customers (including Radial Fast Track program) not yet compensating the impact, amid adverse market conditions.
4 to 6% adjusted EBIT margin reflecting (i) Staci's contribution (EBIT margin of 10-12%) and (ii) accelerated productivity improvement at Radial US, along with costs reductions to mitigate topline pressures.

Global Cross-border

Mid-single-digit percentage growth1 in total operating income reflecting:
- Gradual topline recovery at Landmark Global US driven by customer wins.
Continued growth of European and Asian Cross-Border Commercial activities including the development of new lanes.
11 to 13% adjusted EBIT margin with profitability dilution mainly tied to product mix (commercial vs. postal).

Group adjusted EBIT will include a decline in EBIT at Corporate level reflecting higher payroll costs from salary indexations, higher FTEs, and increased OPEX to support transformation initiatives.

Gross capex envelope is expected to be around 180.0 mEUR.

¹ based on macro-economic assumptions as of February 28, 2024, does not capture direct / indirect revenues strike impacts, potential impacts from US trade tariffs

² based on latest monthly forecast, the next +2% salary indexations should occur in March and October '25, resulting in a weighted average annual indexation of +3.0%

7.3 Financial consolidated statements 2024

	1. Consolidated Income Statement	243
	2. Consolidated statement of comprehensive income	244
	3. Consolidated statement of financial position	245
	4. Consolidated statement of changes in equity	246
	5. Consolidated statement of cash flows	247
	6. Notes to the consolidated financial statements	248
6.1	General information	248
6.2	Basis of preparation	248
6.3	Significant accounting judgments and estimates	249
6.4	Material accounting policy information	250
6.5	Business combinations	261
6.6	Segment information	264
6.7	Revenue	267
6.8	Other operating income	267
6.9	Other operating expenses	267
	6.10 Material costs	268
	6.11 Services and other goods	268
	6.12 Payroll costs	268
	6.13 Financial income and financial costs	269
	6.14 Income tax/Deferred tax	270
	6.15 Earnings per share	272
	6.16 Property, plant and equipment	273
	6.17 Investment property	276
	6.18 Assets held for sale	278
	6.19 Intangible assets	277
	6.20 Investment in associates and joint ventures	280
	6.21 Trade and other receivables	280
	6.22 Inventories	281
	6.23 Cash and cash equivalents	282
	6.24 Interest-bearing loans and borrowings	282
	6.25 Employee benefits	283
	6.26 Trade and other payables	293
	6.27 Provisions	294
	6.28 Financial assets and financial liabilities	296
	6.29 Financial instruments and financial risk management	298
	6.30 Contingent liabilities and contingent assets	301
	6.31 Rights and commitments	302
	6.32 Related party transactions	302
	6.33 Group Companies	305
	6.34 Events after the statement of financial position date	309
	7. Summary financial statements of bpost NV/SA	310

1. Consolidated Income Statement

For the year ended 31 December

				EVOLUTION
IN MILLION EUR	NOTES	2024	2023	2024 – 2023
Revenue	6.7	4,328.7	4,257.5	1.7%
Other operating income	6.8	12.6	14.7	-14.2%
TOTAL OPERATING INCOME		4,341.3	4,272.2	1.6%
Material costs	6.10	(85.1)	(84.8)	0.5%
Services and other goods	6.11	(1,834.1)	(1,851.6)	-0.9%
Payroll costs	6.12	(1,845.4)	(1,741.7)	6.0%
Other operating expenses	6.9	(42.6)	(116.3)	-63.4%
Depreciation, amortization and impairment	6.16 6.19	(652.1)	(317.0)	-
TOTAL OPERATING EXPENSES		(4,459.4)	(4,111.4)	8.5%
RESULT FROM OPERATING ACTIVITIES (EBIT)		(118.1)	160.8	-
Financial income	6.13	47.0	33.2	41.7%
Financial costs	6.13	(77.8)	(74.8)	4.0%
Remeasurement of assets held for sale at fair value less costs to sell		0.0	0.0	-
Share of result of associates and joint ventures	6.20	0.0	0.0	-
RESULT BEFORE TAX		(148.8)	119.2	-
Income tax expense	6.14	(55.3)	(54.5)	1.4%
RESULT FROM CONTINUING OPERATIONS		(204.1)	64.8	-
RESULT OF THE YEAR (EAT – EARNINGS AFTER TAXES)		(204.1)	64.8	-
ATTRIBUTABLE TO
Owners of the Parent		(205.1)	65.7	-
Non-controlling interests		1.0	(1.0)	-
EARNINGS PER SHARE

IN EUR	2024	2023
Basic, profit/(loss) for the year attributable to ordinary equity holders of the parent	(1.03)	0.33
Diluted, profit/(loss) for the year attributable to ordinary equity holders of the parent	(1.03)	0.33

2. Consolidated statement of comprehensive income

For the year ended 31 December

IN MILLION EUR NOTES	2024	2023
RESULT OF THE YEAR	(204.1)	64.8
OTHER COMPREHENSIVE INCOME
OTHER COMPREHENSIVE INCOME TO BE RECLASSIFIED TO PROFIT OR LOSS IN SUBSEQUENT PERIODS:
Net gain/(loss) on hedge of a net investment	0.0	4.7
Net gain on cash flow hedges 6.29	1.9	1.9
Gain on cash flow hedges	2.5	2.5
Income tax effect	(0.6)	(0.6)
Exchange differences on translation of foreign operations (1)	57.2	(29.4)
NET OTHER COMPREHENSIVE INCOME/(LOSS) TO BE RECLASSIFIED TO PROFIT OR LOSS IN SUBSEQUENT PERIODS	59.0	(22.9)
OTHER COMPREHENSIVE INCOME NOT TO BE RECLASSIFIED TO PROFIT OR LOSS IN SUBSEQUENT PERIODS:
Remeasurement gain on defined benefit plans 6.25	0.4	(0.6)
Gross gain on defined benefit plan	0.5	(0.8)
Income tax effect	(0.1)	0.2
NET OTHER COMPREHENSIVE INCOME NOT TO BE RECLASSIFIED TO PROFIT OR LOSS IN SUBSEQUENT PERIODS	0.4	(0.6)
OTHER COMPREHENSIVE INCOME/(LOSS) FOR THE YEAR, NET OF TAX	59.4	(23.5)
TOTAL COMPREHENSIVE INCOME/(LOSS) FOR THE YEAR, NET OF TAX	(144.6)	41.3
ATTRIBUTABLE TO
Owners of the Parent	(145.6)	42.2
Non-controlling interests	1.0	(1.0)

(1) The exchange differences on translation of foreign operations were mainly impacted by the movements of intangible assets (2023|2024: -20.9 mEUR | 51.7 mEUR out of which -18.1 mEUR| 39.6 mEUR related to the goodwill), mainly due to the evolution of the exchange rate of the USD. See note 6.19 for more details.

3. Consolidated statement of financial position

As at 31 December
IN MILLION EUR	NOTES	2024	2023
ASSETS
NON-CURRENT ASSETS
Property, plant and equipment	6.16	1,627.7	1,372.0
Intangible assets	6.19	1,945.5	810.9
Investments in associates and joint ventures	6.4	0.1	0.1
Investment properties	6.17	3.2	3.4
Deferred tax assets	6.14	24.3	22.6
Trade and other receivables	6.21	51.3	31.7
		3,652.0	2,240.6
CURRENT ASSETS
Inventories	6.22	32.3	25.4
Income tax receivable	6.14	5.1	12.0
Trade and other receivables	6.21	916.9	969.5
Cash and cash equivalents	6.23	747.4	870.6
		1,701.8	1,877.6
Assets held for sale	6.18	0.6	0.6
TOTAL ASSETS		5,354.4	4,118.8

Equity and liabilities
Issued capital		364.0	364.0
Reserves		596.7	550.6
Foreign currency translation		103.9	46.8
Retained earnings		(205.1)	65.7
EQUITY ATTRIBUTABLE TO EQUITY HOLDERS OF THE PARENT		859.5	1,027.0
Equity attributable to non-controlling interests		0.5	(0.5)
TOTAL EQUITY	4	860.0	1,026.5

Non-current liabilities
Interest-bearing loans and borrowings	6.24	2,333.5	1,152.0
Employee benefits	6.25	234.3	249.8
Trade and other payables	6.26	13.1	2.4
Provisions	6.27	17.5	11.5
Deferred tax liabilities	6.14	148.9	9.9
		2,747.2	1,425.5
Current liabilities
Interest-bearing loans and borrowings	6.24	214.4	139.0
Bank overdrafts		(0.3)	0.0
Provisions	6.27	98.2	94.5
Income tax payable	6.14	17.1	2.9
Derivative intruments	6.29	0.5	0.2
Trade and other payables	6.26	1,417.4	1,430.1
		1,747.2	1,666.8
TOTAL LIABILITIES		4,494.4	3,092.3
TOTAL EQUITY AND LIABILITIES		5,354.4	4,118.8

4. Consolidated statement of changes in equity

Attributable to equity holders of the parent

IN MILLION EUR	ISSUED CAPITAL AUTHORIZED &	CASH FLOW HEDGE RESERVE	REMEASUREMENT ON DEFINED BENE FIT PLANS	NET INVESTMENT HEDGE	FOREIGN CURRENCY TRANSLATION	OTHER RESERVES	RETAINED EARNINGS	TOTAL	NON-CONTROLLING INTERESTS	TOTAL EQUITY
AS PER 1 JANUARY 2023	364.0	(6.6)	19.4	(12.1)	82.3	388.5	231.7	1,067.1	(1.7)	1,065.4
Result of the year 2023	0.0	0.0	0.0	0.0	0.0	0.0	65.7	65.7	(1.0)	64.8
Other comprehensive income	0.0	1.9	(0.6)	4.7	(29.4)	231.7	(231.7)	(23.5)	0.0	(23.5)
TOTAL COMPREHENSIVE INCOME	0.0	1.9	(0.6)	4.7	(29.4)	231.7	(165.9)	42.2	(1.0)	41.3
Dividends (Pay-out)	0.0	0.0	0.0	0.0	0.0	(80.0)	0.0	(80.0)	(0.3)	(80.3)
Other	0.0	0.0	(9.3)	0.0	1.4	5.6	0.0	(2.3)	2.4	0.1
AS PER 31 DECEMBER 2023	364.0	(4.7)	9.6	(7.4)	54.2	545.7	65.7	1,027.0	(0.5)	1,026.5

AS PER 1 JANUARY 2024	364.0	(4.7)	9.6	(7.4)	54.2	545.7	65.7	1,027.0	(0.5)	1,026.5
Result of the year 2024	0.0	0.0	0.0	0.0	0.0	0.0	(205.1)	(205.1)	1.0	(204.1)
Other comprehensive income	0.0	1.9	0.4	0.0	57.2	65.7	(65.7)	59.4	0.0	59.4
TOTAL COMPREHENSIVE INCOME	0.0	1.9	0.4	0.0	57.2	65.7	(270.8)	(145.6)	1.0	(144.6)
Dividends (Pay-out)	0.0	0.0	0.0	0.0	0.0	(26.0)	0.0	(26.0)	0.0	(26.0)
Other	0.0	0.0	0.0	0.0	0.0	4.1	0.0	4.1	0.0	4.1
AS PER 31 DECEMBER 2024	364.0	(2.9)	10.0	(7.4)	111.4	589.6	(205.1)	859.5	0.5	860.0

Total equity amounted to 860.0 mEUR out of which 226.3 mEUR distributable retained earnings and legal reserves of 50.8 mEUR within bpost NV/SA.

Equity decreased by 166.5 mEUR, or -16.2%, to 860.0 mEUR as of December 31, 2024 from 1,026.5 mEUR as of December 31, 2023. This decrease was mainly explained by the loss of the year (204.1 mEUR, in turn mainly explained by the impairments for 299.4 mEUR on the Radial US activities) and dividend payments of 26.0 mEUR, partially offset by the exchange differences on translation of foreign operations (57.2 mEUR) and the effective part of a cash-flow hedge entered into to hedge the cash flow risk of the bond (1.9 mEUR). The cash-flow hedge reserve will be reclassified to profit or loss over the 8 years after the issuance date of the bond.

At December 31, 2024, the shareholding of bpost is as follows:

	TOTAL	THE BELGIAN STATE (1)	FREE FLOAT
AS PER 1 JANUARY 2024	200,000,944	102,075,649	97,925,295
Changes during the year	0	0	0
AS PER 31 DECEMBER 2024	200,000,944	102,075,649	97,925,295

(1) via the Federal Holding and Investment Company (SFPI/FPIM).

The shares have no nominal value and are fully paid up. Distributions made and proposed:

IN MILLION EUR	2024	2023
CASH DIVIDENDS ON ORDINARY SHARES DECLARED AND PAID
Final dividend for 2023: 0.13 EUR per share (2022: 0.40 EUR per share)	26.0	80.0

PROPOSED DIVIDENDS ON ORDINARY SHARES
Final cash dividend for 2024: 0.00 EUR per share (2023: 0.13 EUR per share)	0.0	26.0

Proposed dividends on ordinary shares are subject to approval at the annual general meeting and are not recognized as a liability as at 31 December.

5. Consolidated statement of cash flows

As at 31 December

IN MILLION EUR	NOTES	2024	2023
OPERATING ACTIVITIES
Result before tax	1	(148.8)	119.2
Adjustments to reconcile result before tax to net cash flows
Depreciation, amortization and impairment losses		652.1	317.0
Impairment on debtors	6.9	(0.9)	(2.3)
Result on sale of property, plant and equipment		0.5	(3.1)
Gain on disposal of subsidiaries		0.0	0.0
Net financial results	6.13	30.8	41.6
Other non-cash items		(0.8)	5.0
Change in employee benefit obligations	6.25	(16.8)	(15.8)
Remeasurement of assets held for sale at fair value less costs to sell		0.0	0.0
Share of result of associates and joint ventures	6.20	0.0	0.0
Dividends received		0.0	0.0
Income tax paid		(48.7)	(60.2)
Income tax (paid)/received on previous years		30.6	17.4
CASH FLOW FROM OPERATING ACTIVITIES BEFORE CHANGES IN WORKING CAPITAL AND PROVISIONS		498.0	418.9
Decrease/(increase) in trade and other receivables		254.7	(43.4)
Decrease/(increase) in inventories		1.1	(0.9)
Increase/(decrease) in trade and other payables		(211.6)	(80.8)
Increase/(decrease) in collected proceeds due to clients		(11.7)	3.2
Increase/(decrease) in provisions		4.3	79.3
NET CASH FROM OPERATING ACTIVITIES		534.9	376.2
INVESTING ACTIVITIES
Proceeds from sale of property, plant and equipment		1.9	4.0
Disposal of subsidiaries, net of cash disposed off	6.18	0.0	0.0
Acquisition of property, plant and equipment	6.16	(126.9)	(140.8)
Acquisition of intangible assets	6.19	(19.7)	(13.9)
Acquisition of share in equity		0.0	0.0
Loan to associate		0.0	0.0
Acquisition of subsidiaries, net of cash acquired	6.24	(1,277.3)	(1.7)
NET CASH USED IN INVESTING ACTIVITIES		(1,422.0)	(152.4)
FINANCING ACTIVITIES
Proceeds from cash and cash equivalents and borrowings		20.0	10.8
Net proceeds from 2024 bond issuance	6.24	995.6	0.0
Payments related to borrowings		(8.6)	(170.0)
Interests related to borrowings		(17.0)	(17.5)
Payments related to lease liabilities	6.24	(194.0)	(160.7)
Changes in ownership interests in controlled entities		(11.2)	(11.0)
Dividends paid	4	(26.1)	(80.0)
Dividends paid to minority interests	4	0.0	(0.3)
NET CASH FROM FINANCING ACTIVITIES		758.6	(428.7)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS		(128.5)	(204.9)
NET FOREIGN EXCHANGE DIFFERENCE		11.0	(6.3)

Cash and cash equivalents less bank overdraft and bpaid balance as of 1st January		839.3	1,050.6
Cash and cash equivalents less bank overdraft and bpaid balance as of 31st December		721.8	839.3
MOVEMENTS BETWEEN 1ST JANUARY AND 31ST DECEMBER		(117.5)	(211.3)

6. Notes to the consolidated financial statements

6.1 General information

Business activities

bpost NV/SA and its subsidiaries (hereinafter referred to as "bpostgroup") provide national and international mail and parcels services comprising the collection, transport, sorting and distribution of addressed and non-addressed mail, printed documents, newspapers and parcels.

bpostgroup also sells a range of other products and services, including postal, parcels, banking and financial products, e-commerce logistics, fulfillment services, express delivery services, proximity and convenience services, document management and related activities. bpost also carries out Services of General Economic Interest on behalf of the Belgian State.

Legal status

bpost NV/SA is a limited liability company under public law. bpost has its registered office at Anspachlaan/Boulevard Anspach 1, box 1, 1000 Brussels. The shares of bpost NV/SA are listed on the regulated market of Euronext Brussels since June 21, 2013 (share ticker BPOST).

6.2 Basis of preparation

bpostgroup's consolidated financial statements and Board of Directors' report prepared in accordance with article 3:32 of the Belgian Code of companies and associations ("BCCA") set forth on pages 21 to 53, 122 to 164, 232 to 238, 241, 309 and 318 of the annual report for the financial year ended December 31, 2024 were authorized for issue by the Board of Directors on March 25, 2025. The consolidated financial statements of bpostgroup have been prepared in accordance with the IFRS accounting standards, as adopted for use by the European Union. bpostgroup has prepared the financial statements on the basis that it will continue to operate as a going concern as there are no material uncertainties and there are sufficient resources to continue operations.

The consolidated financial statements are presented in Euro ("EUR"), all values are rounded to the nearest million except when otherwise indicated. The consolidated financial statements are prepared under the historical cost convention, except for those items that are measured at fair value.

The accounting policies adopted are consistent with those followed in the preparation of bpostgroup's annual consolidated financial statements for the year ended December 31, 2023, except for the adoption of new standards and interpretations effective as from January 1, 2024.

The following amendments to existing standards apply for the first time as from 2024:

IAS 1 Amendments Classification of Liabilities as Current or Non-current
IFRS 16 Amendments Lease liability in a Sale and Leaseback
IAS 7 and IFRS 7 Amendments Supplier Finance Arrangements

Standards and Interpretations issued but not yet applied by bpostgroup

The following standards, interpretations, amendments and revision issued but not yet effective or which are yet to become mandatory, have not been applied by bpostgroup for the preparation of its consolidated financial statements.

Standards and Interpretations issued but not yet applied by bpostgroup

STANDARD OR INTERPRETATION	EFFECTIVE FOR IN REPORTING PERIODS STARTING ON OR AFTER
IAS 21 – Amendments – Lack of exchangeability	1 January 2025
IFRS 10 and IAS 28 – Amendments – Sale or Contribution of Assets between an Investor and its Associate or Joint Venture (*)	-
Annual Improvements Volume 11(*)	-
IFRS 9 and IFRS 7 - Amendment - Classification and Measurement of Financial Instruments	1 January 2026
IFRS 18 - Presentation and Disclosure in Financial Statements	1 January 2027
IFRS 19 - Subsidiaries without Public Accountability: Disclosures	1 January 2027

() Not yet endorsed by the EU as per date of this report*

bpostgroup has not early adopted any new or amended standard and interpretation that were issued but is not yet effective. The amendments are not expected to have a material impact on bpostgroup's consolidated financial statements.

6.3 Significant accounting judgments and estimates

A series of significant accounting judgments underlie the preparation of IFRS compliant consolidated financial statements. They impact the value of assets and liabilities. Estimates and assumptions are made concerning the future. They are re-assessed on a continuous basis and are based on historically established patterns and expectations with regards to future events that appear reasonable under the existing circumstances.

All accounting estimates and assumptions that are used in preparing the financial statements are consistent with bpostgroup's latest budget/ long- term plan projections, where applicable. Judgments are based on the information available on each statement of financial position date.

Although these estimates are based on the best information available to the management, actual results may ultimately differ from those estimates.

Impairment of assets

bpostgroup performs annual impairment tests on CGUs to which goodwill has been allocated and each time there is an indication of impairment. This requires management to make significant judgement and estimates to determine the asset's recoverable amount. The recoverable amounts are based on the value in use. In assessing the value in use, the estimated future cash flows are discounted to their present value using a rate determined upon the weighted average cost of capital ("WACC") formula. Determining cash flows requires the use of judgement and estimates embedded in the business plan and budgets used and assumptions applied related to the long-term growth rate and WACC.

Employee Benefits – IAS 19

The key assumptions, inherent to the valuation of employee benefit liabilities and the determination of the pension cost, include employee turnover, acceptance rate, mortality rates, retirement ages, discount rates, benefit increases and future wage increases, which are updated on an annual basis. Each year the reference database is enriched with one additional year of historical data making the database ever more stable and reliable. Actual circumstances may vary from these assumptions, giving rise to different employee benefit liabilities, which would be reflected as an additional profit or cost in the income statement or in the other comprehensive income depending on the type of the benefit.

The mortality tables used are the Belgian Mortality tables MR (for men) and FR (for women) with an age adjustment of two years. bpostgroup decided to reflect the mortality improvements by adopting an age correction of two years to the official tables, for both active and inactive employees.

Regarding the Accumulated Compensated Absences benefit, the consumption pattern of the illness days is derived from the statistics of the consumption average over a mobile average of 3 years (years 2022 to 2024 for December 2024). The number of days of illness depends on the age, identified per segment of the relevant population. The rate of guaranteed salary is set at 75% in case of long-term illness. Thus, the percentage of the guaranteed salary used for determining the cost of days accumulated in the notional account is 25%. The balance of the cumulated unused sickness days for civil servants is limited to a maximum of 63 days.

By law, defined contribution pension plans in Belgium are subject to minimum guaranteed rates of return. Hence, those plans classify as defined benefit plans which would require that the Projected Unit Credit method is applied in order to measure the benefit obligations. As from 2016, the minimum return for future contributions is equal to the average of the past 24 months return on 10-year linear bonds, with a minimum of 1.75% p.a. bpostgroup applies the so-called PUC ("Projected Unit Credit") methodology without projection of future contributions as the plans are not backloaded and with application of paragraph 115 of IAS 19.

The financing methodology of family allowances for civil servants changed following a law change (law of 19 December 2014). As a consequence, bpost as a public institution pays a contribution that is defined by a program law. The amount is adapted each year proportionally to the number of civil servants (full time equivalents) and is subject to inflation.

For most benefits, an average cost per inactive member is used for the valuation of the benefits. This average cost has been estimated by dividing the annual cost for inactive members by the number of inactive beneficiaries based on the reference data received from the pensions' administration.

The discount rates have been determined by reference to market yields at the statement of financial position date. bpostgroup used the Towers Watson RATE:link tool3 for the determination of the discount rates, considering a mix of financial and non-financial AA corporate bonds.

Fair value adjustments for business combinations

In accordance with IFRS 3 Business combinations, the identifiable assets acquired and the contingent considerations are valued at fair value at the acquisition date as part of the business combination. Fair value adjustments for the assets are based on external appraisals or valuation models. When the contingent consideration meets the definition of a liability, it is subsequently re-measured to fair value at each reporting date. The determination of the fair value is based on discounted cash flows. The key assumptions take into consideration the probability of meeting each performance target and the discount factor.

Revenue and revenue related accruals

bpostgroup handles and ships international mail and parcels to and from other foreign postal operators. At balance sheet date the best estimate of the outstanding position is reflected in the consolidated statement of financial position, however as the final settlements are based upon different assumptions (among which "items per kilo") final settlements might deviate from the initial assessment. Furthermore a part of the revenues are estimated at year end based upon various input data (quality targets, volumes) used in the calculations and are billed after year end.

Income taxes and deferred taxes

bpostgroup is subject to income taxes in a number of different jurisdictions. Deferred taxes are calculated at the level of each fiscal entity. bpostgroup recognizes deferred tax assets to the extent that it is probable that taxable profit will be available against which the deductible temporary difference can be utilized. In order to determine this, bpostgroup uses estimates of taxable income by jurisdiction in which bpostgroup operates and the period over which deferred tax assets are recoverable. The same principles apply to the recognition of deferred tax assets for unused tax losses carried forward.

Calculation of present value of lease payments and determining the lease term of contracts with renewal options

In calculating the present value of lease payments, bpostgroup uses an incremental borrowing rate for buildings based on currency, economic environment and duration. For fleet and other leases, the discount rate is the rate implicit in the lease if available, otherwise same methodology applied as for buildings.

bpostgroup determines the lease term as the non-cancellable term of the lease together with any periods covered by an option to extend the lease if it is reasonably certain to be exercised, or any periods covered by an option to terminate the lease, if it is reasonably certain to be exercised.

6.4 Material accounting policy information

Consolidation

The parent company and all the subsidiaries it controls are included in the consolidation. No exception is permitted.

Subsidiaries

Assets and liabilities, rights and commitments, income and charges of the parent and the subsidiaries fully controlled are consolidated in full. An investor controls an investee when the investor is exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee.

Control is assumed to exist when bpostgroup holds at least 50%, plus one share of the entity's voting power; these assumptions may be rebutted if there is clear evidence to the contrary. When bpostgroup has less than a majority of the voting or similar rights of an investee then it considers all relevant facts and circumstances in assessing whether bpostgroup has control over the investee in accordance with article 1:14 BCCA. The existence and effect of potential voting rights that are currently exercisable or convertible are notably considered when assessing whether bpostgroup controls an entity.

Consolidation of a subsidiary takes place from the date of acquisition, which is the date on which control of the net assets and operations of the acquiree is effectively transferred to the acquirer. From the date of acquisition, the parent (the acquirer) incorporates into the

consolidated income statement the financial performance of the acquiree and recognizes in the consolidated statement of financial position the acquired assets and liabilities (at fair value), including any goodwill arising on the acquisition. Subsidiaries are de-consolidated from the date on which control ceases. Intragroup balances and transactions, as well as unrealized gains and losses on transactions between group companies are eliminated in full.

Consolidated financial statements are prepared using uniform accounting policies for like transactions and other events in similar circumstances.

Associates and joint ventures

An associate is an entity in which bpostgroup has significant influence. Significant influence is the power to participate in the financial and operating policy decisions of the investee but not to control those policies. It is assumed to exist when bpostgroup holds at least 20% of the investee's voting power but not to exist when less than 20% is held; these assumptions may be rebutted if there is clear evidence to the contrary.

A joint venture is a type of joint arrangement whereby the parties that have joint control of the arrangement have rights to the net assets of the legal entity. Joint control is the contractually agreed sharing of control of an arrangement, which exists only when decisions about relevant activities require the unanimous consent of the parties sharing control.

Consistent accounting policies are applied within the whole group, including associates and joint ventures.

All associates and joint ventures are accounted for using the equity method: the participating interests are separately included in the consolidated statement of financial position (under the caption "Investments in associates and joint ventures") at the closing date at an amount corresponding to the proportion of the associate's or joint ventures equity (as restated under IFRS), including the result for the period. Dividends received from an investee reduce the carrying amount of the investment.

The portion of the result of associates and joint ventures attributable to bpostgroup is included separately in the consolidated income statement under the caption "Share of result of associates and joint ventures (equity method)".

Unrealized profits and losses resulting from transactions between an investor (or its consolidated subsidiaries) and associates or joint ventures are eliminated to the extent of the investor's interest in the associate.

Business combination, goodwill and negative acquisition differences

Business combinations are accounted for using the acquisition method. The cost of an acquisition is measured as the aggregate of the consideration transferred, which is measured at acquisition date fair value, and the amount of any non-controlling interests in the acquiree. At acquisition date, the difference determined between the cost of the acquisition of the investment and the fair value of the identifiable assets, liabilities and contingent liabilities acquired is accounted for as goodwill (if the difference is positive) or directly as a profit in the income statement (if the difference is negative). The measurement period to determine the goodwill cannot exceed one year from the acquisition date.

The consideration transferred may in certain situations include a contingent consideration, which is measured at fair value at the time of the business combination and included in the consideration transferred (i.e. included in the determination of goodwill or badwill). If the amount of the contingent consideration changes as a result of a post-acquisition event (such as meeting an earnings target), the change in fair value is recognized in profit or loss. In certain acquisitions, bpostgroup does not obtain control over 100% of the shares of the acquired entity but enters into additional agreement (e.g.: put/call option) with the aim to acquire the remaining shares later. Unless the economic substance of these agreements is clearly a fixed price forward agreement (in which case bpostgroup considers that it has acquired present economic interest in the shares concerned), bpostgroup (i) continues recognizing the non-controlling interest (initially measured at fair value or proportionate share of the acquiree's net assets) and (ii) accounts for a financial liability measured at the present value of the amount payable upon exercise of the option. Any subsequent changes in the financial liability is recognized in profit or loss as financial income or financial costs. When in an acquisition, the consideration transferred includes contingent consideration (e.g. earn-out), these amounts are fair valued at the acquisition date and subsequently at each reporting date. Changes in fair value are recognized in operating result.

After initial recognition, goodwill is not amortized, but is tested for impairment annually. For the purpose of impairment testing, goodwill acquired in a business combination is, from the acquisition date, allocated to each of bpostgroup's cash-generating units ("CGU") that are expected to benefit from the combination, irrespective of whether other assets or liabilities of the acquiree are assigned to those units.

Intangible assets

Intangible assets acquired separately are recognized in the consolidated statement of financial position when the following conditions are met:

(i) the asset is identifiable, i.e. either separable (if it can be sold, transferred, licensed) or it results from contractual or legal rights;

(ii) it is probable that the expected future economic benefits that are attributable to the asset will flow to bpostgroup;
(iii) bpostgroup can control the resource; and
(iv) the cost of the asset can be measured reliably.

At initial recognition, these intangible assets are measured at cost (including the costs directly attributable to the transaction, but not indirect overheads). Subsequently, they are measured at cost less any accumulated amortization and less any accumulated impairment loss.

Internally generated intangibles are only capitalized when the cost relates to the development phase. The expenses in relation to the research phase are recognized in the consolidated income statement. Within bpostgroup, internally generated intangible assets represent mainly IT projects.

Intangible assets with finite lives are amortized on a systematic basis over their useful life, using the straight-line method. The applicable useful lives are:

INTANGIBLE ASSETS	USEFUL LIFE
Goodwill	Indefinite*
Development
IT development costs	5 years
Patent	12 years
Know-how	5 years maximum

INTANGIBLE ASSETS	USEFUL LIFE
Software	5 years maximum
Customer relationships** including point of sale network (replacement costs)	Between 5 and 23 years
Tradename including brandnames**	Between 5 and 15 years

* Intangible fixed assets with indefinite useful lives are not amortized but are tested for impairment annually. The assessment of indefinite life is reviewed annually to determine whether the indefinite life continues to be justifiable. If not, the change in useful life from indefinite to finite is made on a retrospective basis.

** Useful life can be different case per case and depends on the assessment done at the time of the purchase price allocation.

Property, plant and equipment

Property, plant and equipment are carried at acquisition cost, less any accumulated depreciation and less any accumulated impairment loss. Cost includes any directly attributable cost of bringing the asset to working condition for its intended use.

Expenditures on repair and maintenance which serve only to maintain but not to increase the value of fixed assets are charged to the consolidated income statement. However, expenditures on major repair and major maintenance, which increase the future economic benefits that will be generated by the fixed asset, are identified as a separate element of the acquisition cost.

Borrowing costs directly attributable to the acquisition, construction or production of an asset that necessarily takes a substantial period of time to get ready for its intended use or sale are capitalized as part of the cost of the asset.

The depreciable amount is allocated on a systematic basis over the useful life of the asset, using the straight-line method. The depreciable amount is the acquisition cost, except for vehicles. For vehicles, it is the acquisition cost less the residual value of the asset at the end of its useful life. The applicable useful lives are:

PROPERTY, PLANT AND EQUIPMENT	USEFUL LIFE
Land	n/a
Central administrative buildings	40 years
Network buildings	40 years
Industrial buildings, sorting centers	25 years
Fitting-out works to buildings	10 years
Tractors and forklifts	10 years
Bikes and motorcycles	4 years
All other vehicles (cars, trucks, etc,)	5 years
Machines	5 – 10 years
Furniture	10 years
Computer Equipment	4 – 5 years

Lease transactions

bpostgroup assesses at contract inception whether a contract is, or contains, a lease. That is if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration.

Under IFRS 16, bpostgroup applies a single recognition and measurement approach for all leases, except for short-term leases and leases of low-value assets. bpostgroup as lessee recognizes lease liabilities to make lease payments and right-of-use assets representing the right to use the underlying assets.

Right-of-use assets

The cost of right-of-use assets includes the amount of lease liabilities recognized and lease payments made at or before the commencement date (e.g. prepayments) less any lease incentives received. The recognized right-of-use assets are depreciated on a straight-line basis over the shorter of its estimated useful life and the lease term. Right-of-use assets are subject to impairment.

Lease liabilities

The lease payments include fixed payments (including in-substance fixed payments) less any lease incentives receivable, variable lease payments that depend on an index or a rate, and amounts expected to be paid under residual value guarantees. For example most of the Belgian building lease contracts are subject to indexation. To be noted that unrecoverable VAT is not included in lease payments and is still recognized in the income statement. The lease payments also include the exercise price of a purchase option when it is reasonably certain

that bpostgroup will exercise the option. Similarly, lease term and lease payments can include the effect of penalties for terminating a lease, if the lease term reflects bpostgroup exercising the option to terminate. For the so-called 3/6/9 commercial lease agreements in Belgium bpostgroup has the unilateral right to cancel the agreement after 3 years. As for garages, post offices and retail outlets it's not reasonably certain that bpostgroup will extend the lease after 3 years, the lease term is capped at 3 years. The variable lease payments that do not depend on an index or a rate are recognized as expense in the period on which the event or condition that triggers the payment occurs.

In calculating the present value of lease payments, bpostgroup uses the incremental borrowing rate at the lease commencement date if the interest rate implicit in the lease is not readily determinable. After the commencement date, the amount of lease liabilities is increased to reflect the accretion of interest and reduced for the lease payments made. In addition, the carrying amount of lease liabilities is remeasured if there is a modification, a change in the lease term, a change in the in-substance fixed lease payments or a change in the assessment to purchase the underlying asset.

Leases of low-value assets

Applied the low-value asset lease expense exemptions to leases with value under 5.000 EUR mainly for ICT items as printers and rent of square meters for parcel lockers.

Short-term leases

Applied the short-term lease expense exemptions for vehicles with lease terms of 12 months or less.

Investment properties

Investment property mainly relates to apartments located in buildings used as post offices that are rented out in order to earn rents.

Investment properties are carried at acquisition cost less any accumulated depreciation and less any impairment loss. The depreciation amount is allocated on a systematic basis over the useful life of the asset, using the straight-line method. The applicable useful lives can be found in the table that is included in section "Property, plant and equipment".

Assets held for sale

Non-current assets are classified as assets held for sale under a separate heading in the statement of financial position if their carrying amount is recovered principally through sale rather than through continuing use. This is demonstrated if certain strict criteria are met (active program to locate a buyer has been initiated, property is available for immediate sale in its present condition, sale is highly probable and is expected to occur within one year from the date of classification). Non-current assets classified as held for sale are measured at the lower of their carrying amount and fair value less costs to sell.

Property, plant and equipment held for sale are no longer depreciated or amortized once classified as held for sale.

Stamp collection

The stamp collection owned by bpostgroup is carried at its revalued amount, less a discount for its lack of liquidity. Revaluations are performed every five years based on prevailing market prices, with the last revaluation completed in 2020. While the collection is reported under "Other Property, Plant and Equipment" in the statement of financial position, it is not subject to depreciation. This reflects its classification as a collectible asset with an indefinite useful life, which typically maintains or increases in value over time, distinguishing it from conventional depreciable assets.

Impairment of assets

bpostgroup assesses, at each reporting date, whether there is an indication that an asset may be impaired. If any indication exists, or when an annual impairment testing is required (i.e. goodwill and intangible assets with indefinite useful life), bpostgroup estimates the asset's recoverable amount. An impairment loss is recognized when the carrying amount of an asset exceeds its recoverable amount, which is

the higher of its fair value less costs of disposal (corresponding to the cash that bpostgroup can recover through sale) and its value in use (corresponding to the cash that bpostgroup can recover if it continues to use the asset).

When possible, the tests are performed on individual assets. When however it is determined that assets do not generate independent cash flows, the test is performed at the level of the cash-generating unit (CGU) to which the asset belongs (CGU = the smallest identifiable group of assets that generate inflows that are largely independent from the cash flows from other CGUs).

For the purpose of impairment testing, goodwill acquired in a business combination is, from the acquisition date, allocated to groups of cashgenerating units, that are expected to benefit from the synergies of the combination.

Where an impairment is identified, it is first allocated to reduce the carrying amount of any goodwill allocated to the group of CGU. Any excess is then allocated to reduce the carrying amount of other fixed assets of the CGU in proportion to their book values, but solely to the extent that the selling price of the assets in question is lower than their carrying amount.

Impairment on goodwill may never be reversed at a later date. Impairment on other fixed assets is reversed if the initial conditions that prevailed at the time the impairment was recorded cease to exist, and solely to the extent that the carrying amount of the asset does not exceed the amount that would have been obtained, after depreciation, had no impairment been recorded.

Inventories

Inventories are measured at the lower of cost and net realizable value at the statement of financial position date.

The acquisition price of inventory of goods purchased for resale is determined by application of the FIFO method. Inventories of minor importance whose value and composition remain stable over time are stated in the statement of financial position at a fixed value.

The cost of inventories finished products comprises all costs incurred in bringing inventories to their present location and condition, including indirect production costs. In particular, the cost price of stamps includes the direct and indirect costs of production, excluding costs of borrowing and overheads that do not contribute to bringing them to the present location and condition. The allocation of fixed costs of production to the cost price is based on normal production capacity.

A write-down is necessary when the net realizable value at the statement of financial position date is lower than the cost.

Revenue related accruals and contract assets and liabilities

Deferred income is the portion of income received during the current or prior financial periods that relates to a subsequent financial period. Accrued income is the portion of income to be received during the subsequent financial periods that relates to the current or prior financial periods.

bpostgroup recognizes advance customer payments on its balance sheet as deferred income and presents this as contract liability if the performance obligation has not yet been satisfied. Contract liabilities are predominantly relating to stamps, credits on franking machine sold but not yet used by customers at balance sheet date and the SGEI consideration for which the performance obligation has not been satisfied.

bpostgroup recognizes a contract asset after transferring a good or service to a customer before the customer pays consideration or before payment is due. An unconditional right to consideration is presented as a trade receivable and a conditional right is presented as an accrued income.

Receivables

Receivables are initially measured at their fair value and later at their amortized cost, i.e. the present value of the cash flows to be received (unless the impact of discounting is not significant).

bpostgroup recognizes a trade receivable when it has an unconditional right to payment of a consideration as a result of satisfying a performance obligation.

bpostgroup recognizes on all of its trade receivables an allowance for expected credit losses based on the lifetime expected credit losses ("ECL") model. As the trade receivables do not contain a significant financing component bpost opted to apply the simplified approach to calculate the expected credit loss rate with the use of a provision matrix, based on the historical default rates adapted for current and forward looking information.

Contract costs

bpostgroup recognizes as assets the incremental costs to obtain a contract and to fulfill a contract if bpostgroup expects to recover them. If other standards are not applicable, only the directly related costs to fulfill a contract in scope of IFRS 15 are capitalized. The assessment of these criteria requires management judgement.

The costs capitalized are mainly system set-up and adaptation, project management and sales commission for logistic and fulfilment

services and back-office and proximity and convenience services. The assets are amortized on the expected duration of the contract with the customer.

Investment securities

Investment securities can be classified, at initial recognition, as subsequently measured at amortized cost, fair value through other comprehensive income ("OCI"), and fair value through profit or loss ("FVPL"). The classification of investment securities at initial recognition depends on the financial asset's contractual cash flow characteristics and bpostgroup's business model for managing them. bpostgroup initially measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs.

The classification and measurement of bpostgroup's investment securities are, as follows:

Debt instruments at amortized cost for financial assets that are held within a business model with the objective to hold the financial assets in order to collect contractual cash flows that meet the SPPI criterion (Solely Payment of Principal and Interest).
Financial assets at FVPL comprise only derivative instruments.

All investment securities are subject to an impairment methodology, referred to as the Expected Credit Loss ("ECL") model, which requires measuring the expected credit losses. Those ECLs are based on the difference between the contractual cash flows due in accordance with the contract and all the cash flows that bpost expects to receive. For debt instruments, the ECL is based on the 12-month ECL. The 12-month ECL is the portion of lifetime ECLs that results from default events on a financial instrument that are possible within 12 months after the reporting date. However, when there has been a significant increase in the credit risk since origination, the allowance will be based on the lifetime

ECL. bpostgroup considers an investment security to be in default (totally or partially) when internal or external information indicates that bpostgroup is unlikely to receive the outstanding contractual amounts in full and account the appropriated ECL.

Regular way purchases or sales of financial assets are recognized and de-recognized using settlement date accounting. The fair values of the financial assets are determined by reference to published price quotations in an active market.

Cash and cash equivalents

This caption includes cash in hand, at bank, values for collection, short-term investments that are held for meeting short-term cash commitments and not for investment purpose. Cash and cash equivalents are highly liquid (i.e. the entire principal amount can be withdrawn in less than 3 months through a formal notification) and are readily convertible into a known amount of cash and are subject to an insignificant risk of changes (cf. risk scale) in value.

For the purpose of the consolidated statement of cash flows, cash and cash equivalents consist of cash and short-term deposits, as defined above, net of outstanding bank overdrafts and bpaid balances.

bpaid cards

The bpaid card from bpostgroup is a prepaid Mastercard that allows customers to load funds onto the card for use in online and offline purchases wherever Mastercard is accepted. Initially, when funds are loaded onto the bpaid card, cash is recognized, and a corresponding liability is recorded to reflect the obligation to provide funds for future purchases. As the client uses the card for purchases, bpostgroup pays Mastercard, resulting in a reduction of both cash and liability.

bpaid balances refer to the funds that customers have pre-loaded onto their bpaid card. These balances represent the amount of money available on the card for the cardholder to use for purchases. These balances are separately disclosed under the caption "Trade and Other Payables". Note that the cash is being excluded from the cash flow statement as bpostgroup has no impact on the amount or the timing of the pre-loads or the use of the funds on the card.

Factoring arrangements

bpostgroup has entered into non-recourse factoring arrangements via some of the Staci entities, where it sells its trade receivables to a factor. Given the non-recourse nature of these arrangements, bpostgroup transfers substantially all risks and rewards to the factor, and therefore, the trade receivables are derecognized. The factored receivables are removed from the consolidated statement of financial position, and no corresponding liability is recognized for the cash received from the factor. Cash inflows from factoring arrangements are presented as operating activities, reflecting the sale of receivables.

Share capital

Ordinary shares are classified under the caption "issued capital".

Other reserves comprise the results of the previous periods, the legal reserve and the consolidated reserve. Retained earnings include the result of the current period as disclosed in the income statement.

Employee benefits

Short-term benefits

Short-term benefits are recognized as an expense when an employee has rendered the services to bpostgroup. Benefits not paid for on the statement of financial position date are included under the caption "trade and other payables".

Post-employment benefits

Post-employment benefits are valued using an actuarial valuation method and provisions are set up for them (under deduction of any plan assets) in so far as bpost has an obligation to incur the costs in relation to these benefits. This obligation can be a legal, contractual or constructive obligation ("vested rights" on the basis of past practice).

In application of these principles, a provision (calculated according to an actuarial method laid down in IAS 19) is set up in the context of the post-employment benefits to cover:

the future costs relative to current retirees (a provision representing 100% of the future estimated costs of those retirees);
the future costs of potential retirees, estimated on the basis of the employees currently in service, taking into account the accumulated service of these employees on each statement of financial position date and the probability that the personnel will reach the desired age to obtain the benefits (the provision is constituted progressively, as and when members of the personnel advance in their careers).

Remeasurements, comprising of actuarial gains and losses, are recognized immediately in the statement of financial position with a corresponding debit or credit to retained earnings through other comprehensive income in the period in which they occur. Remeasurements are not reclassified to profit or loss in subsequent periods.

Actuarial assumptions (concerning the discount rate, mortality factor, costs of future benefits, inflation, etc.) are used to assess employee benefit obligations in conformity with IAS 19. Actuarial gains and losses inevitably appear, resulting (1) from changes in the actuarial assumptions year on year, and (2) deviations between actual costs and actuarial assumptions used for the IAS 19 valuation.

The calculation of the obligation is done using the projected unit credit method. Each year of service confers entitlement to an additional credit unit to be taken into account in valuing the benefits granted and the obligations pertaining thereto. The discount rate used is the yield of high-quality corporate bonds or is based on government bonds with a maturity similar to that of the benefits being valued.

The Belgian defined contribution plans with legal minimum guaranteed returns are valued under the projected unit credit method without projection of future premiums. Considering that the plans do not grant benefits that will lead to a materially higher level of benefit due to the employee's service in later years, i.e. the plans are not back-loaded, the straight-line base principle is not applicable. The applied methodology means that the current legal minimum reserves are projected under the Belgian legislation until the assumed retirement age and are discounted back (respecting vertical/horizontal method and the past legal minimum rates credited on the legal minimum reserves). IAS 19 paragraph 115 has been applied as the group insurance contracts are qualifying as insurance contract. The individual calculated defined benefit obligation cannot be lower than the individual fair value of plan assets as under Belgian legislation, there cannot be compensation between one person and another.

Service costs comprise current service costs, past-service costs, gains and losses on curtailments and non-routine settlements.

Past service costs resulting from a plan amendment or curtailment should be recognized at the earlier of the date when (1) the plan amendment or curtailment occurs; and (2) the entity recognizes related restructuring costs in accordance with IAS 37. Past service costs are recognized in the income statement.

Net interest is calculated by applying the discount rate to the net defined benefit liabilities or assets. Net interest costs are also recognized in the income statement.

The plan assets related to the post-employment benefits are measured at their fair value at the end of the period in the same definition used in IFRS 13.

Other long-term benefits

Other long-term employee benefits are valued using an actuarial valuation method and provisions are set up for them (under deduction of any plan assets) in so far as bpostgroup has an obligation to incur the costs in relation to these benefits. This obligation can be a legal, contractual or constructive obligation ("vested rights" on the basis of past practice).

A provision is created for other long-term benefits to cover benefits that will only be paid in a number of years but that are already earned by the employee on the basis of the past service. Here, as well, the provision is calculated according to an actuarial method imposed by IAS 19.

The provision is calculated as follows:

ACTUARIAL VALUATION OF THE OBLIGATION UNDER IAS 19

Fair value of the plan assets
= Provision to be constituted (or asset to be recognized if the fair value of the plan assets is higher).

Remeasurements, comprising of actuarial gains and losses are recognized immediately through profit or loss in the period in which they occur.

The calculation of the obligation is done using the projected unit credit method. Each year of service confers entitlement to an additional credit unit to be taken into account in valuing the benefits granted and the obligations pertaining thereto. The discount rate used is the yield of high-quality corporate bonds or alternatively is based on government bonds with a maturity similar to that of the benefits being valued.

Service costs comprise current service costs, past-service costs, gains and losses on curtailments and non-routine settlements.

Net interest is calculated by applying the discount rate to the net defined benefit liability or assets. Net interest costs are recognized in the income statement.

Management Incentive plan (Staci)

As part of the bpostgroup's strategy to align the interests of key management personnel of Staci with the long-term performance, a Management Incentive Plan (MIP) has been introduced. This plan provides managers with an opportunity to participate in the growth and value creation of Staci.

Managers are required to subscribe to Ordinary Shares at fair value. In addition, they are granted Preferred Shares, subject to specific performance and service conditions. The Preferred Shares are designed to incentivise long-term commitment and achievement of critical financial targets.

The accounting treatment of the MIP involves judgment under IFRS, as outlined below:

Ordinary Shares: The Ordinary Shares subscribed by managers are accounted for under the requirements of IAS 32 Financial Instruments: Presentation. A gross liability for the non-controlling interest (NCI) put option is recognised, as bpost is obliged to repurchase the Ordinary Shares at their fair value. The liability is initially and subsequently measured at the present value of the estimated redemption amount (which approximates fair value), with changes in the fair value recognised in profit or loss as part of the financial result. In the event of a manager's departure as a "bad leaver" before the exercise date (2028), a negative compensation adjustment will be recognized whereas "good leavers" are entitled to a compensation by buying back the Ordinary Shares. This adjustment reflects an illiquidity discount, reducing the repurchase price of the Ordinary Shares below their fair value.
Preferred Shares: The Preferred Shares granted to managers are accounted for under IAS 19 Employee Benefits. These shares are contingent on the achievement of specific EBITDA targets for the year 2027 and are subject to vesting conditions. At each reporting date, the fair value of the Preferred Shares is estimated based on the probability-weighted assessment of achieving the EBITDA target. The estimated fair value is then recognised as payroll costs pro rata over the vesting period. The fair value of the Preferred Shares is remeasured at each reporting date, with any adjustments to the payroll costs recognised. In case of early departure, penalties such as discounts on the value of the Preferred Shares are applied until the end of the vesting period.

Considering their specific nature and measurement, the above liabilities arising from the MIP are presented under 'Other payables' (current or non-current, depending on their expected maturity), in line with current bonus provisions.

Termination benefits

Where bpostgroup terminates the contract of a member of their personnel prior to the normal retirement date or where an offer of benefits is made in return for the termination of employment that can no longer be withdrawn, a provision is constituted in so far as there is an obligation for bpostgroup.

Provisions

A provision is recognized only when:

(1) bpostgroup has a present (legal or constructive) obligation as a result of past events;
(2) it is probable (more likely than not) that an outflow of resources will be required to settle the obligation; and
(3) a reliable estimate of the amount of the obligation can be made.

Where the impact is likely to be material (mainly for long-term provisions), the provision is estimated on a net present value basis. The increase in the provision due to the passage of time is recognized as a financial expense.

A provision for restoring polluted sites is recognized if bpostgroup has an obligation in this respect. Provisions for future operating losses are prohibited.

If bpostgroup has an onerous contract (the unavoidable costs of meeting the obligations under the contract exceed the economic benefits expected to be received under it), the present obligation under the contract is recognized as a provision.

A provision for restructuring is only recorded if bpostgroup demonstrates a constructive obligation to restructure at the statement of financial position date. The constructive obligation should be demonstrated by: (a) a detailed formal plan identifying the main features of the restructuring; and (b) raising a valid expectation to those affected that it will carry out the restructuring by starting to implement the plan or by announcing its main features to those affected.

Income taxes and deferred taxation

Income tax includes current taxation and deferred taxation. Current taxation is the amount of taxes to be paid (recovered) on the taxable income for the current year together with any adjustment in the taxes paid (to be recovered) in relation to previous years. It is calculated using the tax rate on the statement of financial position date. bpostgroup only considers substantively enacted tax laws when estimating the amount of deferred taxes to be recognized.

Deferred taxation is calculated according to the liability method on the temporary differences arising between the carrying amount of the statement of financial position items and their tax base, using the tax rate expected to apply when the asset is recovered or the liability is settled.

Deferred income tax liabilities are generally recognized for all taxable temporary differences and deferred income tax assets are recognized to the extent that it is probable that future taxable profits will be available against which deductible temporary differences, carried forward tax credits or carried forward losses can be utilized. The same principles apply to recognition of deferred tax assets for unused tax losses carried forward. This criterion is reassessed on each statement of financial position date.

Deferred taxes are calculated at the level of each fiscal entity. The deferred tax assets and liabilities of various subsidiaries may not be presented on a net basis.

Transactions in foreign currencies

Transactions in foreign currencies are initially recorded in the functional currency of the entities concerned using the exchange rates prevailing on the dates of the transactions. Realized exchange rate gains and losses and non-realized exchange rate gains and losses on monetary assets and liabilities on the statement of financial position date are recognized in the income statement.

On consolidation, the assets and liabilities of the foreign operations are translated into Euro at the exchange rate prevailing at the reporting date and their income statements are translated on a monthly basis at average exchange rate for that month. The exchange differences arising from translation to Euro for the consolidation for those entities whose functional currency is not Euro are recognized in other comprehensive income. On disposal of a foreign operation, the component of other comprehensive income relating to that particular foreign operation is recognized in profit or loss.

Revenue recognition

bpostgroup earns revenue from a range of services including national and international postal and parcels services, e-commerce logistics, fulfillment services, back-office, proximity and convenience services and sells a range of products including banking and financial, postal and retail products. bpostgroup also carries out Services of General Economic Interest (SGEI) pursuant to a contract with the Belgian State. All income related to standard business operations is recognized as revenue in the income statement. All other income is reported as other operating income (see separate section).

bpostgroup recognizes revenue from contracts with customers when control of the goods and services is transferred to the customer at an amount that reflects the consideration to which bpostgroup expects to be entitled in exchange for those goods and services. Below the nature, amount, timing, uncertainty of recognition from revenues from contracts with customers is detailed per class of services.

The presentation of the revenues in the notes per product line item is composed of a combination of type of activities (as described below), type of product, customers and geographical region and is disaggregated in line with the information regularly reviewed by the Chief Operating Decision Maker ("CODM").

bpostgroup's business activities can be split into four different revenue recognition streams: (i) Distribution and transport services, (ii) Logistic and fulfilment services, (iii) Back-office and proximity and convenience services and (iv) Global Supply chain.

(i) Distribution and transport services

Service included in product line items: Transactional mail, Advertising mail, Press, Parcels Belgium, Personalised Logistics, Cross-border (amongst other inbound and outbound) and 3PL.

This class of services includes the delivery of domestic and international mail and parcels encompassing the collection, transport, sorting and distribution of addressed and non-addressed mail, printed documents, newspapers, parcels, and other goods through bpost's own last mile network or subcontractors.

Revenue is recognized when the performance obligation, the promise to deliver a good (e.g.: letter, parcel,...) to an addressee or location, is satisfied at a point in time. This is in general on the delivery of the goods. bpostgroup generally considers that it is the principal in distribution and transport services, except for the delivery of newspapers and periodicals to newsstands where it acts as an agent.

The delivery of the newspapers and periodicals can occur in two different ways:

Firstly, bpostgroup makes direct delivery to the households and business ("users") for their subscribed newspapers and periodicals (reported as product line "Press"). In this case, bpostgroup is a principal because it is the primary obligor to deliver the newspapers and periodicals directly to users and is remunerated by the publishing companies ("customers"). The remunerations received from the publishing companies for the delivery are based on the volume handled.

Secondly, bpostgroup (through its wholly-owned subsidiaries AMP and Aldipress) delivers these newspapers and periodicals to newsstand (reported as product line "Press"). In this situation, AMP and Aldipress act as an agent on behalf of the publishing company ("customer") and is remunerated based on the number of delivered volumes and a commission on the retail price.

Certain activities of the distribution and transport services revenue stream (e.g.: transactional mail, cross-border,...) are considered as universal postal services as set out in the Belgian Postal Act. bpostgroup provides universal postal services in Belgium on the basis of a management contract concluded with the Belgian State. Certain postal services that are part of the universal postal service and are typically used by individuals and SMEs (known together as the Small User Basket, hereafter "SUB") are subject to a price cap, as provided for in the Postal Act. Each year bpost submits its proposed price increase for the services that are part of the SUB to the Belgian postal regulator (BIPT) for prior approval, with the BIPT having to agree to the price increase if the price cap is complied with. More generally, all postal services that fall under the universal postal service are subject to a range of obligations in terms of quality (such as frequency, geographic coverage and continuity) and pricing (transparency, uniformity, affordability, non-discrimination and cost-orientation). For the non-universal postal services and services not defined as postal items bpostgroup has general sales conditions for smaller customers and contracts for larger customers with volume based pricing and discounts. The contracts with customers providing rebates, surcharges and penalties (volume or quality), that give rise to a variable consideration are accrued monthly and the best estimate of the outstanding position is reflected in the consolidated statement of financial position based on the expected value principle.

The consideration received by bpostgroup for stamps and franking machines for which the performance obligation has not yet been fulfilled are recorded as deferred revenue and disclosed as a contract liability until the delivery of the letter or parcel (domestic or international) is satisfied. The revenue relative to the stamp sale and franking machine activity is only recognized as an estimated revenue at the time the good is delivered. Therefore, bpostgroup has set up a revenue recognition model to recognize the predicted amount of revenues, based on historic data on the usage of stamps. The historical usage is than applied on the stamps sold during the reported period. Stamps not used after a considerate period are treated as a sale of a good.

The revenue relative to inbound (Global Cross-border), a service to another postal operator to distribute mail and parcels in Belgium, is recognized as an estimated revenue at the time the service is performed. The consideration to which bpostgroup is entitled is later on negotiated and definitely agreed with the customer (other postal operator). Due to this process the amount of the transaction price is variable and bpostgroup estimates the amount of revenue using the expected value method based on historical data. At balance sheet date the best estimate of the outstanding position is reflected in the consolidated statement of financial position, however as the final settlements are based upon different assumptions (among which "items per kilo" and transaction price) final settlements might deviate from the initial assessment. The net outstanding positions of outbound and inbound flows per postal operator are recorded as a receivable or payable. The process applied by bpostgroup ensures that the variable consideration constrains of IFRS 15 is respected, i.e.: bpostgroup recognizes variable consideration for which it is highly probable that no significant revenue will be reversed once the uncertainties have gone away.

(ii) Logistic and fulfilment services

Service included in product line items: 3PL and Global Cross-border (logistics & fulfillment and custom duties), Personalised Logistics (repair)

This class of services consists of e-commerce fulfilment, including warehousing (including cold storage) and handling of goods, e-commerce logistics, including repair services, and e-commerce cross-border services, including custom duties service.

Logistic and fulfilment services consist of following performance obligations: receiving, storing, picking and packing, returning, repairing and clearing of goods. Revenue is recognized when the performance obligation, the promise to deliver a service to the customer, is satisfied at a point in time (e.g.: when the actual picking, packing has taken place) or in case of storage of goods over time. bpostgroup generally considers that it's the agent in logistic and fulfilment services. bpostgroup performs the service of processing returned goods on behalf of the customer, but bpostgroup does not take on any liability hence no liability for return is booked at bpostgroup.

Volume rebates which give rise to a variable consideration are accrued monthly and the best estimate of the outstanding position is reflected in the consolidated statement of financial position based on the expected value principle.

(iii) Back-office and proximity and convenience services

Service included in product line items: 3PL (call center and For Payment, Tax and Fraud ("PT&F"), Value added services and Proximity and convenience retail network (financial products, sale of goods…)

This class of services consist of:

operational back-office services, including call center, payment and financial, fraud and tax, administrative and document management services; and
proximity and convenience service, including the access to the network, over-the-counter service for different partners and sale of selfproduced goods (mainly philately), retail products and goods of partners, including bank products.

Back-office and proximity and convenience services consist of following performance obligations: access to network and point of sales, over-the-counter services, sale of goods and processing of transactions, documents or calls. Revenue is recognized when the performance obligation, the promise to deliver a service or a good to the customer, is satisfied at a point in time (e.g. over-the-counter service, processing of items or sale of a good) or over time (e.g. access to network). bpostgroup generally considers that it is the principle in back-office services and sale of retail and self-produced goods and that bpostgroup is the agent receiving a commission in case of bank products and sale of partner products.

Part of the revenue of Proximity and convenience retail network (reported as SGEI revenue) consist out of Services of General Economic Interest (SGEI) carried out by bpost on behalf of the Belgian State. These services consist among others of the maintenance of an extensive retail network and services such as the payment at home of pensions and the execution of financial postal services. The compensation of SGEI is based on a net avoided cost ("NAC") methodology and is being equally distributed over the four quarters (recognized over time). This methodology provides that compensation shall be based upon the difference in the net cost between bearing or not the provision of SGEI. During the year calculations are made for the SGEI to ensure the remuneration is in line with the amounts recorded.

For Payment, Tax and Fraud (PT&F) services, management estimates a refund liability based upon the expected value method for potential payments related to the fraud services.

(iv) Global Supply chain ("GSC")

Service included in product line items: 3PL

GSC refers to services provided beyond the traditional logistics services, it relates to the acquisition of clients' inventory for resale to the client's network. Under tripartite agreements a third party (not part of bpostgroup) manages inventory purchase and carrying, whereas bpostgroup takes care of the distribution and transport services (see point i).

In this context bpostgroup acts as an agent as they are primarily responsible for the fulfilment of the goods to the buyer (see point i). There's no inventory risk as bpostgroup has no legal ownership of the goods (consignment stock), does not manage the inventory levels and has no return risk. The inventory is being managed by the third party. Only net revenue (markup) is recognized by bpostgroup, no purchases and sales of goods. Revenue is recognized when the performance obligation, the promise to deliver a good to the customer, is satisfied at a point in time.

Other operating income

Gains on disposal of assets are determined by comparing the net proceeds received from the disposal of the asset with the assets carrying amount at the moment of the sale.

Rental income arising from operating leases or investment properties is accounted for on a straight line basis over the lease term.

Derivative financial instruments

bpostgroup uses derivative financial instruments to hedge its exposure to foreign exchange and interest rate risks arising from its operational and financial activities. In accordance with its treasury policy, bpostgroup does not hold or issue derivative financial instruments for trading purposes.

Derivative financial instruments are initially recognized at fair value at the date the derivative contracts are entered into and are subsequently measured to their fair value at the end of each reporting period. Depending on whether hedge accounting (see below) is applied or not,

any resulting gain or loss on the remeasurement of the derivative financial instrument is either recognized directly in other comprehensive income or in the income statement.

Hedge accounting

bpostgroup designates certain hedging instruments, which includes derivatives and non-derivatives in respect of foreign currency risk, as hedges of net investments in foreign operations and as cash flow hedges respectively.

At the beginning of the hedge relationship, bpostgroup documents the relationship between the hedging instrument and the hedged item, along with its risk management objectives and its strategy for undertaking various hedge transactions. Furthermore, at the beginning of the hedge and on an ongoing basis, bpostgroup documents and assesses the effectiveness of the derivative instruments.

Cash flow hedges

The effective portion of changes in the fair value of derivatives designated and qualified as cash flow hedges is recognized in other comprehensive income and accumulated under the heading of cash flow hedging reserve. The gain or loss relating to the ineffective portion is recognized immediately in profit or loss.

Amounts previously recognized in other comprehensive income and accumulated in equity are reclassified to profit or loss in the periods when the hedged item affects profit or loss, in the same line as the recognized hedged item.

Hedge accounting is discontinued when bpostgroup revokes the hedging relationship, when the hedging instrument expires or is sold, terminated, or exercised, or when it no longer qualifies for hedge accounting. Any gain or loss recognized in other comprehensive income and accumulated in equity at that time remains in equity and is recognized when the forecast transaction is ultimately recognized in profit or loss. When a forecast transaction is no longer expected to occur, the gain or loss accumulated in equity is recognized immediately in profit or loss.

Hedges of net investments in foreign operations

Hedges of net investments in foreign operations are accounted for similarly to cash flow hedges. Any gain or loss on the hedging instrument relating to the effective portion of the hedge is recognized in other comprehensive income and accumulated under the heading of foreign currency translation reserve. The gain or loss relating to the ineffective portion is recognized immediately in profit or loss.

Gains and losses on the hedging instrument relating to the effective portion of the hedge accumulated in the foreign currency translation reserve are reclassified to profit or loss on the disposal of the foreign operation.

6.5 Business combinations

Acquisition of non-controlling interest of IMX

In May 2024 bpost NV/SA acquired the remaining 31.4% shares of Marceau 1 to reach the total of 100% shares for a price of 10.0 mEUR. Marceau 1 is a holding company owning IMX France and IMX GmbH. This transaction has no impact on the originally calculated goodwill as bpostgroup had an outstanding liability for the purchase of the remaining shares of 9.7 mEUR. In line with the accounting policies, bpostgroup has recognized a financial cost of 0.3 mEUR for the difference between the price of the sale purchase agreement and the outstanding liability.

Acquisition of 95% of b2boost

In 2022 bpost NV/SA took a minority stake (5% of the shares for 0.1 mEUR) in b2boost.com BV, a Belgian company specialized in digitizing B2B data processes. This investment was recognized under shares in equity as they were not held for a purpose of trading but acquired with a long-term strategic view. The share purchase and shareholders' agreement furthermore foresaw for bpost NV/SA the option to buy the remaining 95% of the shares through a call option or sell back the 5% shares through a put option. On November 30, 2023 bpost NV/SA bought the remaining 95% of the shares. The goal of this acquisition is to be – together with Speos - a specialized partner of B2B customers for the digitization of financial and administrative processes. In this context, bpostgroup also wants to support their customers who have an obligation to switch to electronic invoicing by January 1, 2026. b2boost was consolidated in the BeNe Last-Mile operating segment using the full-integration method as of December 1, 2023. The purchase price for 100% of the shares amounted to 2.4 mEUR, of which 0.5 mEUR is sitting on an escrow account to be released when certain conditions have been met. The limited transaction costs related to this acquisition were included in the operating expenses of 2023.

The calculated goodwill is presented as follows:

IN MILLION EUR	2024
FAIR VALUE OF THE ASSETS ACQUIRED AND LIABILITIES ASSUMED IN THE ACQUIRED ENTITY
NON-CURRENT ASSETS	0.3
Property, plant and equipment	0.0
Intangible assets	0.3
CURRENT ASSETS	0.6
Trade and other receivables	0.5
Cash and cash equivalents	0.1
CURRENT LIABILITIES	(0.3)
Trade and other payables	(0.3)
FAIR VALUE OF NET ASSETS ACQUIRED	0,6
Goodwill arising on acquisition	1.9
PURCHASE CONSIDERATION TRANSFERRED	2.5
of which:
Cash paid in 2023	1.8
Cash paid in 2022	0.1
Contingent consideration (escrow account)	0.5

ANALYSIS OF CASH FLOWS ON ACQUISITION Net cash acquired with the subsidiary 0.1 Cash paid in 2022 and 2023 (1.9) NET CASH OUTFLOW (1.8)

The fair value of the current and non-current trade receivables amounted to 0.5 mEUR and it is expected that the full contractual amounts can be collected.

The goodwill of 1.9 mEUR – compared to 1.4 mEUR initial goodwill recognized in 2023 - derives from future growth and expected synergies within BeNe Last-Mile activities. None of the goodwill is expected to be deductible for income tax purposes.

Acquisition of assets of Mailtin' Post

bpostgroup expands its footprint in France as in March 2024 IMX France acquired the assets of Mailtin' Post for a price of 1.1 mEUR, as these assets constitutes a business this transaction was accounted for as a business combination under IFRS 3. Mailtin'Post situated in Lyon, specializes in cross-border mail solutions. The limited transaction costs related to this acquisition were included in the operating expenses of 2024. The assets of Mailtin' Post are included within IMX France, hence contribute to the Global Cross-border operating segment as from March 2024.

The calculated goodwill is presented as follows:

IN MILLION EUR	2024
FAIR VALUE OF THE ASSETS ACQUIRED AND LIABILITIES ASSUMED IN THE ACQUIRED ENTITY
NON-CURRENT ASSETS	0.1
Property, plant and equipment	0.1
Intangible assets	0.0
CURRENT ASSETS	0.0
Trade and other receivables	0.0
Cash and cash equivalents	0.0
CURRENT LIABILITIES	0.0
Trade and other payables	0.0
FAIR VALUE OF NET ASSETS ACQUIRED	0.1
Goodwill arising on acquisition	1.0
PURCHASE CONSIDERATION TRANSFERRED	1.1
of which:
Cash paid in 2024	1.1

ANALYSIS OF CASH FLOWS ON ACQUISITION
Net cash acquired with the subsidiary	0.0
Cash paid in 2024	(1.1)

NET CASH OUTFLOW	(1.1)

The goodwill of 1.0 mEUR derives from future growth and expected synergies within Global Cross-border activities. None of the goodwill is expected to be deductible for income tax purposes.

Acquisition of Staci

On August 1, 2024 - after having obtained all necessary approvals from the relevant competition authorities - bpost NV/SA successfully completed the acquisition of 100% of the shares of Staci, a leading European specialist in third-party logistics, marking a pivotal milestone and expected to be a key accelerator in bpostgroup's growth strategy. This strategic move enhance bpostgroup to strengthen its B2B offering while unlocking significant synergy across bpostgroup. The total consideration paid for 100% of the shares on a debt free basis amounted to 1,345.1 mEUR. The transaction triggered a change of control provision in the Structured Finance Agreement ("SFA"), entitling the senior facility lenders to cancel their commitments under the SFA and require payment of all amounts owed to them under the senior finance documents.

Management of Staci purchased 1.25% of the shares capital of Augusta Progress – the holding above the Staci group – in line with the conditions of the agreed Management Incentive Plan (MIP), as a result bpostgroup owns 98.75% of Staci. As part of the bpostgroup's strategy to align the interests of key management personnel of Staci with the long-term performance, a MIP has been introduced for which management are required to subscribe to Ordinary Shares. For the Ordinary Shares a gross liability for the non-controlling interest put option (exercise date 2028) has been recognized for 10.7 mEUR and will be subsequently remeasured via profit and loss statement as financial income or financial costs.

Staci was consolidation within the 3PL operating segment the full-integration method as from August 1, 2024. Transaction costs of 19.2 mEUR were expensed and were included in the operating expenses in 2024.The assessment of the fair value of the assets acquired is still on-going. Consequently, the determination of the carrying amount of the acquired entity and the purchase price allocation is still provisional and is foreseen to be final in June 2025.

The provisional calculated goodwill is presented as follows:

IN MILLION EUR	2024
FAIR VALUE OF THE ASSETS ACQUIRED AND LIABILITIES ASSUMED IN THE ACQUIRED ENTITY
NON-CURRENT ASSETS	852.1
Property, plant and equipment	244.3
Intangible assets	583.6
Deferred tax assets	19.7
Trade and other receivables	4.5
CURRENT ASSETS	246.3
Inventories	7.9
Income tax receivable	0.3
Trade and other receivables	170.3
Cash and cash equivalents	67.7
NON-CURRENT LIABILITIES	(347.8)
Interest-bearing loans and borrowings	(196.6)
Employee benefits	(1.3)
Provisions	(5.3)
Deferred tax liabilities	(144.0)
CURRENT LIABILITIES	(221.9)
Interest-bearing loans and borrowings	(52.7)
Bank overdrafts	0.4
Provisions	0.0
Income tax payable	(3.2)
Trade and other payables	(166.3)
FAIR VALUE OF NET ASSETS ACQUIRED	529.4
Goodwill arising on acquisition	826.4
PURCHASE CONSIDERATION TRANSFERRED	1,355.8
of which:
Cash paid	1,345.1
Contingent consideration	10.7

ANALYSIS OF CASH FLOWS ON ACQUISITION

Net cash acquired with the subsidiary	67.7
Cash paid	(1,345.1)
NET CASH OUTFLOW	(1,277.3)

The fair value of the current and non-current trade receivables amounted to 174.8 mEUR and it is expected that the full contractual amounts can be collected. The acquired lease liabilities were measured using the present value of the remaining lease payments at the date of acquisition. The right-of-use assets (214.8 mEUR) were measured at an amount equal to the lease liabilities and adjusted to reflect the favorable terms of the lease relative to market terms.

The goodwill has been provisionally reduced by 570.0 mEUR following the fair value impacts and the current purchase price allocation. The adjustment to fair value consisted amongst others of the recognition of intangibles assets: tradename (useful life 10-year) and customer relationships (useful life 23-year), respectively for an amount of 25.3 mEUR and 544.6 mEUR. Fair value assessment of assets and liabilities is done with the assistance of an external independent expert.

For 2024 Staci contributed 337.7 mEUR of revenue and 19.0 mEUR to profit before tax from continuing operations for bpostgroup. The resulting goodwill of 826.4 mEUR derives from future growth and expected synergies. None of the goodwill is expected to be deductible for income tax purposes. Prior to the acquisition Staci group did not prepare financial statements in accordance with IFRS, hence no full year 2024 comparative IFRS figures are being disclosed.

6.6 Segment information

Following the acquisition of Staci in 2024, bpostgroup has put in place a revised strategy to transition into a regional leader in high-value flexible logistics organised into three integrated businesses: Belgium and Netherlands Last Mile activities ("BeNe Last-Mile"), 3PL ("Third-Party Logistics") and Global Cross-Border. This integrated approach is expected to enhance synergies across the units, with the Global Cross-Border business acting as a gateway for mail and parcel flows in and out of Belgium, benefiting the 3PL operations. Each business will maintain a strong focus on its part of the value chain while leveraging the advantages of being part of the same group, which is expected to lead to a more cohesive and valuable proposition for clients.

bpostgroup operates through three business units, which benefit from the services of various support units:

BeNe Last-Mile activities

Some of the key services include:

Handling and distribution of mail:
transactional mail (residential mail or administrative mail from businesses and government); - addressed and unaddressed advertising mail (door-to-door);
Home delivery of newspapers and periodicals through commercial agreements with publishers;
Deliveries of parcels of all sizes and weights, wherever and whenever the customer desires. bpostgroup has the largest pickup and delivery network for parcels in Belgium:
More than 650 post offices offer a complete range of postal services and products, along with certain banking services in partnership with BNP Paribas Fortis;
More than 660 post points provide the most common postal services;
Customers can also pick up and send parcels at parcel points and via more than 900 parcel lockers;
Value-added services, such as simplifying administrative procedures and optimising activities that are not part of the customer's core business, for example the handling traffic fines and distributing or deregistering license plates.
Personalised Logistics through its entities Dynalogic and Euro Sprinters.

3PL activities

From a mouse click to the doorbell: once the online order is confirmed by the consumer, bpostgroup through its subsidiaries such as Radial and Active Ants, handles everything else. bpostgroup warehouses products, manages stocks, picks items, prepares packages for shipping and entrusts them to transportation partners. Staci is a renowned fulfilment and logistics services specialist that offers multichannel logistics and distribution solutions, including B2B, D2C and e-commerce to a wide range of industries including beauty & healthcare, telecom, retail, food & beverage and the public sector.
Beyond fulfilment: innovative solutions connect brands to their consumers using advanced omnichannel technologies, including intelligent payment solutions, fraud protection, tailored supply chain services and customer support.

Global Cross-border activities

Global Cross-border activities relate to shipping parcels across national borders, thereby dealing with transportation, customs, taxes and other formalities.

bpostgroup through its entities Landmark Global and IMX, offers integrated cross-border management and transportation capabilities. With the expertise, infrastructure, and operational capabilities required, it manages parcel shipping, mail distribution, order processing, and returns. Collaborating with a broad range of partners, its experts worldwide ensure swift handling of customs formalities.
bpostgroup operates an extensive network of road and air connections in North America, Europe and Asia. It combines its own last-mile networks, access to carriers and customs services through robust IT platforms.

Corporate and Support units ("Corporate") consist out of the 3 support units and the corporate unit. The support units offer as a sole provider business solutions to the 3 business units and to Corporate and includes Finance & Accounting, Human Resources & Service Operations, IT & Digital. The Corporate unit includes Strategy, Transformation, M&A, Legal, Regulatory and Corporate Secretary. The EBIT generated by the support units is recharged to the 3 business units as opex while the depreciation remains in Corporate. Revenues generated by the Support Units, including sales building are disclosed in Corporate.

As bpostgroup identifies its CEO as the chief operating decision maker ("CODM"), the operating segments are based on the information provided to the CEO. bpostgroup computes its profit from operating activities (EBIT) at the segment level and is measured consistently with the financial statements' accounting guidelines (IFRS). Assets and liabilities are not reported per segment to the CODM.

No operating segments have been aggregated to form the above reportable operating segments.

Services and products offered between legal entities are at arm's length whereas the service and products offered between business units of the same legal entity are generally based on incremental costs. Services provided by support units to business units of the same legal entity are based on full cost.

As corporate treasury, associates, joint ventures and tax are centrally managed for bpostgroup the net financial result, income tax and share of profit of associates and joint ventures are only disclosed at the level of bpostgroup.

The following tables present an overview of the segment results:

For the year ended 31 December

	BENE LAST-MILE		3PL		GLOBAL CROSS-BORDER		CORPORATE		ELIMINATIONS		GROUP
IN MILLION EUR	2024	2023	2024	2023	2024	2023	2024	2023	2024	2023	2024	2023
External operating income	2,272.2	2,327.6	1,455.5	1,310.4	609.3	627.2	4.3	7.0	0.0	0.0	4,341.3	4,272.2
Intersegment operating income	77.3	71.8	4.8	5.6	5.5	6.2	406.8	422.6	(494.5)	(506.3)	0.0	0.0
TOTAL OPERATING INCOME	2,349.5	2,399.4	1,460.4	1,316.0	614.8	633.4	411.1	429.6	(494.5)	(506.3)	4,341.3	4,272.2
Operating expenses	2,122.8	2,198.7	1,271.3	1,196.4	511.4	519.1	396.2	386.4	(494.5)	(506.3)	3,807.2	3,794.4
Depreciation, amortization	95.8	99.9	455.7	112.6	24.2	23.6	76.4	81.0	0.0	0.0	652.1	317.0
PROFIT/(LOSS) FROM OPERATING ACTIVITIES (EBIT)	130.9	100.7	(266.7)	7.0	79.2	90.8	(61.5)	(37.7)	0.0	0.0	(118.0)	160.8
Shares of results of associates and joint ventures	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0
Remeasurement of assets held for sale at fair value less costs to sell	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0
Financial results	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	(30.8)	(41.6)
Income tax expenses	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	55.3	54.5
PROFIT/(LOSS) OF THE PERIOD (EAT)	130.9	100.7	(266.7)	7.0	79.2	90.8	(61.5)	(37.7)	0.0	0.0	(204.1)	64.8

The table presented below provides the disaggregation of bpostgroup's revenue from contracts with customers.

For the year ended 31 December

		EXTERNAL OPERATING INCOME		REVENUE
IN MILLION EUR	2024	2023	CHANGE %	2024	2023	CHANGE %
BENE LAST-MILE	2,272.2	2,327.6	-2.4%	2,266.7	2,322.6	-2.4%
Transactional mail	724.3	747.1	-3.1%	724.3	747.1	-3.1%
Advertising mail	191.8	179.0	7.2%	191.8	179.0	7.2%
Press	299.0	349.6	-14.5%	299.0	349.6	-14.5%
Parcels Belgium	531.3	499.1	6.5%	531.3	499.1	6.5%
Proximity and convenience retail network	271.7	292.1	-7.0%	271.7	292.1	-7.0%
Value added services	118.9	132.5	-10.3%	118.9	132.5	-10.3%
Personalized logistics	129.7	133.1	-2.5%	129.7	133.1	-2.5%
Other	5.5	(4.9)	-	0.0	(9.9)	-
3PL	1,455.5	1,310.4	11.1%	1,452.4	1,308.1	11.0%
3PL Europe	516.2	158.0	-	516.2	157.2	-
3PL North America	936.1	1,150.9	-18.7%	936.1	1,150.9	-18.7%
Other	3.1	1.5	-	0.0	0.0	-
GLOBAL CROSS-BORDER	609.3	627.2	-2.9%	609.7	626.8	-2.7%
Cross-border Europe	361.6	349.5	3.5%	361.6	349.5	3.5%
Cross-border North America	248.1	277.4	-10.5%	248.1	277.4	-10.5%
Other	(0.4)	0.4	-	0.0	0.0	-
CORPORATE	4.3	7.0	-39.1%	0.0	0.0	0.0%
TOTAL	4,341.3	4,272.2	1.6%	4,328.8	4,257.5	1.7%

The geographical split of total operating income (excluded intersegment operating income) and the non-current assets is attributed to Belgium, rest of Europe, United States of America and the rest of the world. The allocation per geographical location is based on the location of the entity generating the income or holding the net asset.

			EVOLUTION
IN MILLION EUR	2024	2023	2024 – 2023
Belgium	929.5	903.4	2.9%
Rest of Europe	1,427.9	272.6	-
US	1,171.5	966.3	21.2%
Rest of world	98.9	75.7	30.6%
TOTAL NON-CURRENT ASSETS	3,627.7	2,218.0	63.6%

Belgium	2,422.6	2,443.4	-0.9%
Rest of Europe	575.8	328.4	75.4%
US	1,219.9	1,370.9	-11.0%
Rest of world	122.9	129.5	-5.1%
TOTAL OPERATING INCOME	4,341.3	4,272.2	1.6%

Total non-current assets consist out of property, plant and equipment, intangible assets, investment properties and trade and other receivables (> 1 year).

Excluding the compensation received from the Belgian federal government to provide the services as described in the management contract and press concessions, included in the BeNe Last-Mile segment, no single external customer exceeded 5% of bpostgroup's operating income.

6.7 Revenue

For the year ended 31 December

IN MILLION EUR	2024	2023
Revenue excluding the SGEI remuneration	4,100.9	3,945.7
SGEI remuneration	227.8	311.9
TOTAL	4,328.7	4,257.5

Compared to last year, revenue slightly increased by 71.2 mEUR or +1.7% to 4,328.7 mEUR.

The revenue increase excluding the SGEI remuneration (155.3 mEUR or +3.9%) was mainly driven by the revenue increase (144.1 mEUR) in 3PL, reflecting the integration of Staci as of August 2024, partially offset by continuous pressure in North America.

SGEI remuneration is disclosed under Press and Proximity and convenience retail network in the BeNe Last-Mile segment and decreased by 84.1m or 27.0% compared to last year, mainly driven by the end of the Press Concession as from July 1, 2024.

6.8 Other operating income

For the year ended 31 December

IN MILLION EUR	2024	2023
Gain on disposal of property, plant and equipment	0.8	3.4
Rental income of investment property and sublease	1.9	0.7
Third party cost recovery	4.1	5.0
Insurance recovery	1.9	0.0
Other	3.8	5.6
TOTAL	12.6	14.7

Gains on disposal of property, plant and equipment decreased by -2.6 mEUR due to lower revenues on the sales of buildings in 2024 compared to 2023.

The third party cost recovery mainly relates to reimbursements by third parties of non-core services and sales realized by bpost's restaurants.

The insurance recovery in 2024 mainly relates to flooding events in Belgium in previous years.

6.9 Other operating expenses

For the year ended 31 December

IN MILLION EUR	2024	2023
Provisions	(2.5)	73.3
Local, real estate and other taxes	23.7	34.4
Impairment on trade receivables and charge backs payment services	5.8	5.8
Losses on disposals of property, plant and equipment	1.0	0.3
Other	14.6	2.5
TOTAL	42.6	116.3

Other operating expenses decreased by 73.7 mEUR, this decrease was mainly due to last year's provision of 75.0 mEUR for overcompensation.

In 2023 bpostgroup had voluntary launched 3 compliance reviews concerning the processing of traffic fines, the management of 679 accounts, and the delivery/cancellation of licence plates and concluded an in-dept legal and economic assessment regarding the remuneration paid by the Belgian State for these 3 services. As part of bpostgroup's commitment to repay any overcompensation, a provision of 75.0 mEUR had been recorded related to the period before 2023 in 2023. The provision, as is customary concerning the repayment of State Aid, is already net of corporate income taxes paid on the incompatible aid principal amount. For more detail see note 6.27 provisions.

The decrease of local, real estate and other taxes by 10.7 mEUR was amongst others due to the higher VAT recuperation in 2024 at the time of the yearly VAT revision.

6.10 Material costs

Material costs are in line with last year, slight increase of 0.4 mEUR or 0.5%.

6.11 Services and other goods

The cost of goods and services decreased by 17.5mEUR to 1,834.1 mEUR. This decrease was mainly driven the lower variable operating expenses (transport costs and interim employees) in line with the revenue development in North America, partially offset by the incorporation of Staci as of August 1, 2024.

For the year ended 31 December

			EVOLUTION
IN MILLION EUR	2024	2023	2024 – 2023
Rent and rental costs	108.2	104.6	3.5%
Maintenance and repairs	118.0	111.3	6.0%
Energy delivery	71.6	77.0	-7.0%
Other goods	26.7	31.9	-16.3%
Postal and telecom costs	13.3	11.7	14.2%
Insurance costs	39.3	31.6	24.3%
Transport costs	838.8	801.1	4.7%
Publicity and advertising	27.1	24.9	8.9%
Consultancy	15.2	26.3	-42.1%
Interim employees	264.5	326.3	-18.9%
Third party remuneration, fees	214.8	203.5	5.5%
Other services	96.6	101.4	-4.8%
TOTAL	1,834.1	1,851.6	-0.9%

• Transport costs amounted to 838.8 mEUR and increased by 37.7 mEUR, mainly explained by the incorporation of Staci as of August 1, 2024, partially compensated by lower volume driven transport costs in line with the revenue evolution in North America.

• Cost of interim employees decreased by 61.8 mEUR mainly due the lower average number of interims, in turn due to the revenue evolution in North America (variable labor management) and productivity gains, partly compensated by the higher costs per FTE due to inflation and the incorporation of Staci as of August 1, 2024. Note that the interim costs should be viewed together with the evolution of the payroll costs, see note 6.12.

• Third party remuneration, fees increased by 11.3 mEUR mainly explained by the merger and acquisition costs.

• Other services relate to costs for payment processing, HR services, training costs and administration costs. The decrease by 4.8 mEUR was mainly due to lower payments processed by Radial US in line with the revenue evolution.

6.12 Payroll costs

For the year ended 31 December

IN MILLION EUR	2024	2023
Wages and salaries	1,527.1	1,448.0
Social security costs	296.5	275.0
Pension costs (note 6.26)	11.5	9.3
Termination benefits, Other long-term benefits and Post-employment benefits other than Pension (note 6.26)	10.3	9.4
TOTAL	1,845.4	1,741.7

As at December 31, 2024, the headcount of bpostgroup amounted to 36,527 (2023: 35,035) and was composed as follows:

• Statutory personnel : 5,602 (2023: 6,210);

• Contractual personnel : 30,925 (2023: 28,825).

The average FTE for 2024 was 32,434 (2023: 31,240).

The average FTE and interims for 2024 was 37,500 (2023: 37,782).

Payroll costs (1,845.4 mEUR) and interim costs (264.5 mEUR) in 2024 amounted to 2,109.9 mEUR (2,068.1 mEUR in 2023). Payroll and interim costs increased by 41.9 mEUR (payroll costs increased by 103.7 mEUR while interim costs decreased by 61.8 mEUR) compared to last year.

The payroll and interim costs increase was driven by inflationary pressure (amongst other in Belgium +3% from 2 salary indexations yearover-year), the effects of the Collective Labor Agreements ("CLA") 2023-2024, merit increases and slightly higher salary costs reflecting international activity ramp-up, partially compensated by the favorable exchange rate evolution, leading to a negative price impact of 72.2 mEUR. The effects mentioned above were partly offset by several factors. Firstly, the decrease in interim staff at Radial North America, in line with their revenue development, partly compensated by the integration of Staci as of August 1, 2024 and slightly higher FTEs tied to transformation and corporate projects, which generated 22.5 mEUR lower costs. And secondly, by a positive mix effect of 7.8 mEUR, amongst other driven by a decrease of statutory and pay scale contractual postmen and an increase of logistic and postal workers.

6.13 Financial income and financial costs

The following amounts have been included in the income statement for the reporting periods presented:

For the year ended 31 December

IN MILLION EUR	2024	2023
Financial income	47.0	33.2
Financial costs	(77.8)	(74.8)
TOTAL	(30.8)	(41.6)

Net financial result (i.e. net of financial income and financial costs) of 2024 amounted to -30.8 mEUR and increased by 10.8 mEUR compared to 2023. This increase was primarily due to last year's non-cash negative financial result related to IAS 19 employee benefits triggered by a decrease in discount rates at that time and favourable exchange difference results, partially offset by higher banking fees, higher interests costs given increased loans, borrowings and leases.

Financial income

For the year ended 31 December

IN MILLION EUR	2024	2023
Financial income on cash and cash equivalents	18.6	23.9
Gain from exchange differences	24.2	2.1
Contingent consideration: changes related to purchase of minority interests	0.0	6.0
Financial income on defined benefit obligations (IAS 19)	2.8	0.0
Other	1.5	1.2
TOTAL	47.0	33.2

The decrease in financial income on cash and cash equivalents is in line with the decreased market interest rates and the lower amount of cash and cash equivalents.

In 2023 bpostgroup bought the remaining shares of of Anthill B.V. (25%) and Active Ants International B.V. (25%) for a price of 12.2 mEUR, hence bpostgroup recognized in 2023 a financial gain of 6.0 mEUR for the difference between the price of the sales purchase agreement and the outstanding liability of 18.3 mEUR at that time.

The gain from exchange differences should be reviewed together with the loss from exchange differences.

Financial costs

For the year ended 31 December

IN MILLION EUR	2024	2023
Financial costs on defined benefit obligations (IAS 19)	1.2	20.6
Lease interest expenses (IFRS 16)	23.8	15.7
Interest on loans	8.6	9.7
Interest and costs related to long-term bond	15.3	9.3
Unwinding of pre-hedge interest swap	2.5	2.5
Loss from exchange differences	16.6	9.6
Contingent consideration: unwinding of discount, effect of changes in discount rate and change in ownership interests in controlled entities	0.3	4.3
Transaction fees	4.0	0.0
Other finance costs	5.4	3.2
TOTAL	77.8	74.8

The decrease of financial costs related to the defined benefit obligations was mainly due to the evolution of the discount rates, which last year decreased whereas 2024 experienced a slight increase in rates. The overall year-over-year impact (costs and income) of the evolution of discount rates on IAS 19 employee benefits amounted to +22.1 mEUR (see also note 6.25).

The increase of lease interest expenses was mainly explained by the integration in scope of Staci.

The slight decrease in interest on loans in 2024 was due last year's USD term loan (reimbursed in December 2023) with a floating interest rate, partially offset by interests on the 1,000 mEUR bridge loan (between August and October) used for the acquisition of Staci, i.e. before two bonds were issued.

The increase of interest and costs related to long-term bonds was due to bpostgroup's issuance of a 1,000 mEUR dual-tranche senior unsecured bond in October 2024, resulting in interest expenses of 7.2 mEUR.

Additionally, 4 mEUR in transaction fees were recognized, primarily related to underwriting fees for the bridge loan and fees for the renewed revolving credit facilities.

The loss from exchange differences should be reviewed together with the gain from exchange differences.

6.14 Income tax/Deferred tax

Breakdown of Income tax expense recognized in the income statement

The income tax expense recognized in the income statement for 2024 amounted to 55.3 mEUR and breaks down as follows:

As at 31 December

IN MILLION EUR	2024	2023
TAX EXPENSE INCLUDED
Current tax expenses	49.8	60.4
Adjustment recognized in the current year in relation to the current tax of prior year	(3.6)	0.1
Deferred tax expenses	9.0	(6.0)
TOTAL INCOME TAX EXPENSE RECOGNIZED IN INCOME STATEMENT	55.3	54.5

Reconciliation of theoretical income tax expense with income tax expense recognized in the income statement

A reconciliation of theoretical tax expense with income tax expense recognized in the income statement can be detailed as follows:

IN MILLION EUR	2024	2023
Profit before tax (A)	(148.8)	119.2
Statutory tax rate of the parent company (B)	25.00%	25.00%
THEORETICAL INCOME TAX EXPENSES (C) = (A) X (B)	(37.2)	29.8
RECONCILING ITEMS BETWEEN STATUTORY AND EFFECTIVE INCOME TAX EXPENSE
Tax effect of non tax deductible expenses	8.1	5.8
Tax effects prior year	(2.3)	0.1
Tax effect of internal compliance review	(0.2)	20.1
Tax effect of CGU impairment	74.6	0.0
Tax effect of the remeasurement of assets held for sale at fair value less costs to sell	0.0	0.0
Tax effect of tax losses utilized by subsidiaries for which no deferred tax asset or no full deferred tax asset was recognized	0.0	0.0
Subsidiaries in loss situation for which no deferred tax asset or no full deferred tax asset was recognize on their tax losses	18.9	1.8
Associates (equity method)	0.0	0.0
OTHER:
Tax effect of subsidiaries liquidation	0.0	0.0
Tax effect of the changes in tax rates	0.0	0.2
Other differences	(6.7)	(3.3)
TOTAL	55.3	54.5
Tax using effective rate (current period)	(55.3)	(54.5)
Profit before income tax	(148.8)	119.2
Effective tax rate	37.1%	45.7%

The provision for compliance review was not tax deductible at the time of its recognition hence contributed to an increase in the effective tax rate in 2023.

The increased effective tax rate in 2024 is mainly due to the non deductible tax effect of the CGU impairment.

Deferred tax presented in the statement of financial position

Net balances of deferred taxes are calculated based upon the tax position of each company and are disclosed in the statement of financial position for their net amount by legal entity.

As of December 31, 2024 bpost recognized a net deferred income tax liability of 124.5 mEUR. This net deferred income tax liability is composed as follows:

IN MILLION EUR	2023	IMPACT ON RESULT OF THE YEAR	IMPACT ON OTHER COMPRE HENSIVE INCOME	IMPACT OF BUSINESS COMBINATIONS	EXCHANGE RATE DIFFERENCE	2024
DEFERRED TAX ASSETS
Employee benefits	7.7	(0.2)	(1.4)	0.0	0.0	6.1
Provisions	1.3	0.1	0.0	0.0	0.0	1.4
Tax losses carried forward	53.8	(14.9)	0.0	13.6	1.4	54.1
Property plant and equipment	(49.3)	6.3	0.0	0.0	(0.4)	(45.3)
Intangible assets	(29.2)	6.1	0.0	(145.0)	(2.9)	(171.1)
Leases	8.1	(7.4)	0.0	3.6	0.0	6.2
Other	20.2	1.0	(0.6)	3.5	0.1	24.1
NET DEFERRED TAX ASSETS / (LIABILITIES)	12.7	(9.0)	(0.4)	0.0	(1.8)	(124.5)

The deferred tax assets related to tax losses carried forward are stable compared to last year as the partial release of the deferred tax asset for Radial US (from 40.9 mEUR to 25.1 mEUR) is compensated by the impact of business combinations (13.6 mEUR).

The increased deferred tax liability related to intangible assets is in line with the evolution of the intangible assets following purchase price allocation of acquired entities.

Recognized and unrecognized deferred taxes on tax attributes

Deferred tax assets on the tax attributes (mainly tax losses carried forward) are only recognized to the extent it is likely that those tax attributes are expected to offset a taxable profit in the foreseeable future.

Further to this assessment, deferred tax assets have been recognized for 212.8 mEUR of carried forward tax losses. These recognized tax losses relate to entities located in the United States (112.1 mEUR), the United Kingdom (29.4 mEUR ), France (24.6mEUR), Belgium (16.7 mEUR), the Netherlands (14.7 mEUR), Germany (13.0 mEUR), Singapore (1.3 mEUR), Italy (0.8 mEUR) and Spain (0.2 mEUR). However, no deferred tax asset has been recognized for 187.5 mEUR of carried forward tax losses. These unrecognized tax losses relate to entities located in Germany (62.3 mEUR), the United States (56.2 mEUR), Luxembourg (20.9 mEUR), the Netherlands (16.8 mEUR), the United Kingdom (7.4 mEUR), Belgium (6.1 mEUR) and Italy (0.2mEUR). In Belgium, Germany, Italy, the Netherlands (since 2022) and the United Kingdom, tax losses may be carried forward indefinitely. In Luxembourg, losses incurred before January 1, 2017 can be carried forward without a time limitation while the use of losses incurred afterwards is limited to 17 years. In the United States, the tax losses of Radial US prior to 2018 have an expiration date ranging between 2034 and 2037 and the tax losses incurred as from 2018 can be carried forward indefinitely.

The unrecognized tax credits in the United States amounts to 17.6 mEUR.

Pillar 2

Per 31 December 2024, all the constituent entities in bpostgroup qualify for the Transitional Safe Harbour rule under the Pillar 2 legislation. As a result, no additional tax provision was booked related to Pillar 2.

In 2023, the European Union endorsed IASB amendments to IAS 12 Income taxes on the implementation of the Pillar 2 model rules. These amendments notably aim at providing temporary relief from accounting for deferred taxes arising from the implementation of the Pillar 2 model rules. These amendments to IAS 12 are to be applied immediately in accordance with IAS 8 Accounting policies, changes in accounting estimates and errors. bpostgroup has applied the mandatory exception to recognizing and disclosing information about deferred tax assets and liabilities related to Pillar 2 income taxes.

6.15 Earnings per share

In accordance with IAS 33, the basic earnings per share amounts are calculated by dividing net profit for the year attributable to ordinary equity holders of the parent by the weighted average number of ordinary shares outstanding during the year.

Diluted earnings per share amounts have to be calculated by dividing the net profit/(loss) attributable to ordinary equity holders of the parent (after adjusting for the effects of all dilutive potential ordinary shares) by the weighted average number of ordinary shares outstanding during the year plus the weighted average number of ordinary shares that would be issued on conversion of all the dilutive potential ordinary shares into ordinary shares.

In case of bpostgroup, no effects of dilution affect the net profit/(loss) attributable to ordinary equity holders and the weighted average number of ordinary shares.

The table below reflects the income and share data used in the basic and diluted earnings per share computations:

For the year ended 31 December

IN MILLION EUR	2024	2023
Net profit/(loss) attributable to ordinary equity holders of the parent for basic earnings	(205.1)	65.7
Adjustments for the effect of dilution
Net profit/(loss) attributable to ordinary equity holders of the parent adjusted for the effect of dillution	(205.1)	65.7
IN MILLION SHARES
Weighted average number of ordinary shares for basic earnings per share	200.0	200.0
Effect of dilution
Weighted average number of ordinary shares adjusted for the effect of dilution	200.0	200.0
IN EUR
Basic, profit/(loss) per share attributable to ordinary equity holders of the parent	(1.03)	0.33
Diluted, profit/(loss) per share attributable to ordinary equity holders of the parent	(1.03)	0.33

6.16 Property, plant and equipment

	LAND AND	PLANT AND	FURNITURE AND	FIXTURES AND	OTHER PROPERTY, PLANT AND	PROPERTY, PLANT AND EQUIPMENT	RIGHT-OF
IN MILLION EUR COST	BUILDINGS	EQUIPMENT	VEHICLES	FITTINGS	EQUIPMENT	(EXCL. ROU)	USE (ROU)	TOTAL
BALANCE AT 1 JANUARY 2023	595.6	455.3	548.5	294.3	60.1	1,953.8	1,018.8	2,972.6
Acquisitions	33.4	26.4	26.2	26.8	28.0	140.8	154.9	295.7
Acquisitions through business combinations	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0
Disposals	0.0	(8.3)	(12.2)	(5.7)	0.0	(26.2)	(86.0)	(112.2)
Disposals via business combinations	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0
Assets classified as held for sale or investment property	(5.0)	0.0	0.0	0.0	0.0	(5.0)	0.0	(5.0)
Exchange rate difference	(1.0)	0.0	(10.4)	(0.7)	(0.1)	(12.2)	(12.1)	(24.2)
Other movements	21.2	8.0	51.3	(11.1)	(73.2)	(3.9)	(2.4)	(6.3)
BALANCE AT 31 DECEMBER 2023	644.1	481.4	603.5	303.6	14.8	2,047.5	1,073.2	3,120.7

BALANCE AT 1 JANUARY 2024	644.1	481.4	603.5	303.6	14.8	2,047.5	1,073.2	3,120.7
Acquisitions	2.6	21.0	34.6	49.7	19.0	126.9	189.2	316.1
Acquisitions through business combinations	6.2	30.8	23.6	45.1	2.5	108.3	226.3	334.6
Disposals	(1.3)	(0.1)	(3.0)	0.0	0.0	(4.4)	(72.0)	(76.4)
Disposals via business combinations	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0
Assets classified as held for sale or investment property	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0
Exchange rate difference	2.2	1.7	19.9	2.0	0.2	26.0	23.9	49.9
Other movements	30.0	0.3	9.8	(25.9)	(27.7)	(13.5)	(12.5)	(26.0)
BALANCE AT 31 DECEMBER 2024	683.9	535.2	688.2	374.5	8.9	2,290.7	1,428.2	3,718.9

The other movements from other property, plant and equipment (-27.7 mEUR) was mainly explained by the putting into use in 2024 of a number of assets, this triggered a transfer from assets under construction (part of other property, plant and equipment) to the other categories.

The other movements on fixture and fittings are related to their remapping to land and buildings category without impact on total cost of property, plant and equipment and total depreciation and impairment losses.

IN MILLION EUR	LAND AND BUILDINGS	PLANT AND EQUIPMENT	FURNITURE AND VEHICLES	FIXTURES AND FIT TINGS	OTHER PROPERTY, PLANT AND EQUIPMENT	PROPERTY, PLANT AND EQUIPMENT (EXCL. ROU)	RIGHT-OF USE (ROU)	TOTAL
REVALUATION
BALANCE AT 31 DECEMBER 2023	0.0	0.0	0.0	0.0	7.4	7.4	0.0	7.4
BALANCE AT 31 DECEMBER 2024	0.0	0.0	0.0	0.0	7.4	7.4	0.0	7.4

IN MILLION EUR	LAND AND BUILDINGS	PLANT AND EQUIPMENT	FURNITURE AND VEHICLES	FIXTURES AND FIT TINGS	OTHER PROPERTY, PLANT AND EQUIPMENT	PROPERTY, PLANT AND EQUIPMENT (EXCL. ROU)	RIGHT-OF USE (ROU)	TOTAL
DEPRECIATION AND IMPAIRMENT LOSSES
BALANCE AT 1 JANUARY 2023	(360.2)	(312.1)	(352.9)	(167.5)	(3.8)	(1,196.5)	(384.6)	(1,581.1)
Depreciations through business combinations	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0
Disposals	0.0	7.9	11.7	5.0	0.0	24.6	58.9	83.5
Disposals through business combinations	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0
Depreciation and impairment losses	(14.6)	(26.8)	(55.1)	(25.6)	0.0	(122.0)	(151.9)	(273.9)
Assets classified as held for sale or investment property	5.0	0.0	0.0	0.0	0.0	5.0	0.0	5.0
Exchange rate difference	0.0	0.2	4.6	0.2	0.0	5.0	5.5	10.5
Other movements	(9.2)	(6.0)	5.0	6.2	3.8	(0.2)	0.1	(0.1)
BALANCE AT 31 DECEMBER 2023	(378.9)	(336.9)	(386.7)	(181.7)	0.0	(1,284.2)	(471.9)	(1,756.1)

BALANCE AT 1 JANUARY 2024	(378.9)	(336.9)	(386.7)	(181.7)	0.0	(1,284.2)	(471.9)	(1,756.1)
Depreciations through business combinations	(4.2)	(22.1)	(16.8)	(35.7)	0.0	(78.8)	(11.5)	(90.3)
Disposals	0.0	0.0	2.0	0.0	0.0	2.1	52.5	54.6
Disposals through business combinations	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0
Depreciation and impairment losses	(11.5)	(33.8)	(57.2)	(26.8)	0.0	(129.3)	(172.8)	(302.1)
Assets classified as held for sale or investment property	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0
Exchange rate difference	(0.2)	(0.8)	(10.5)	(0.8)	0.0	(12.4)	(11.8)	(24.1)
Other movements	(5.6)	5.3	0.8	10.7	0.0	11.2	8.2	19.4
BALANCE AT 31 DECEMBER 2024	(400.4)	(388.4)	(468.3)	(234.3)	0.0	(1,491.4)	(607.2)	(2,098.6)

IN MILLION EUR	LAND AND BUILDINGS	PLANT AND EQUIPMENT	FURNITURE AND VEHICLES	FIXTURES AND FIT TINGS	OTHER PROPERTY, PLANT AND EQUIPMENT	PROPERTY, PLANT AND EQUIPMENT (EXCL. ROU)	RIGHT-OF USE (ROU)	TOTAL
CARRYING AMOUNT
At 31 December 2023	265.2	144.6	216.8	121.8	22.3	770.7	601.3	1,372.0
At 31 December 2024	283.5	146.9	219.9	140.2	16.3	806.7	820.9	1,627.7

Amortization and depreciation charges related to property, plant and equipment amounted to 302.1 mEUR and increased by 28.2 mEUR as compared to last year. This increase was mainly explained by increased depreciation of leases and plant and equipment well as furniture and vehicles, which respectively increased by 20.9 mEUR and 7.0 mEUR and are mainly explained by the consolidation of Staci as of August 1, 2024.

6.16.1 Property, plant and equipment (excluding right-of-use assets)

Property, plant and equipment increased by 36.1 mEUR from 770.7 mEUR to 806.7 mEUR. This increase was mainly explained by:

Acquisitions for 126.9 mEUR (140.8 mEUR in 2023), was mainly spent on 3PL, domestic fleet, operational infrastructure, parcels & lockers capacity and site improvements;
Consolidation of Staci (29.5 mEUR),
Exchange rate impact of 13.7 mEUR (compared to a decrease of 7.1 mEUR in 2023);
partially compensated by
Depreciation 129.3 mEUR (122.0 mEUR in 2023);

All amortization and depreciation charges are included in the section "Depreciation, amortization and impairment" of the income statement.

6.16.2 Right-of-use assets and leases

The right-of-use assets increased by 219.7 mEUR and amounted to 820.9 mEUR. This increase was mainly explained by:

189.2 mEUR additions (154.9 mEUR in 2023), mainly related additional warehouse leases and additional vehicles for distribution amongst other due to higher lease cost for electric vans;
Consolidation of Staci (214.8 mEUR);

• 12.1 mEUR of exchange rate differences;

partially compensated by
Disposals amounting to 19.4 mEUR;
Depreciations amounting to 172.8 mEUR (mainly 141.2 mEUR for buildings and 29.8 mEUR for vehicles);

bpostgroup has lease contracts mainly for buildings (warehouses and post offices), vehicles, machinery and other equipment used in its operations. Lease terms and carrying amounts are detailed in the table hereunder:

IN MILLION EUR	USEFUL LIVES	CARRYING AMOUNT DEC 31, 2024	CARRYING AMOUNT DEC 31, 2023
Land and Buildings	3 to 25 years	724.6	531.9
Vehicles	4 or 5 years (8 years for trucks)	89.8	67.3
Machinery and other equipment	1 to 15 years	6.6	2.1
TOTAL		820.9	601.3

The carrying amounts and movements (including cash outflows) of the lease liabilities (under interest-bearing loans and borrowings) are being disclosed in note 6.24, whereas the maturity analysis is available in note 6.29.

bpostgroup has leases for vehicles with lease terms of 12 months or less, disclosed under rent and rental costs, within operating expenses. There are no (material) leases with variable rent costs, nor material low value leases.

There are several lease contracts that include extensions and termination options. The major lease contract relates to Brussels X (NBX), the term of this lease contract is 15 years (until 2031) with 3 possible extensions of 5 years each. These extensions are currently not included into the lease term as it is not reasonable certain that these will be exercised. The impact per extension of 5 years is estimated to increase the overall lease liability by 5%.

The significant lease contracts that have not yet commenced are disclosed in 6.31 rights and commitments.

All amortization and depreciation charges are included in the section "depreciation, amortization and impairment" of the income statement.

bpostgroup as a lessor

bpostgroup has entered into operating leases on its investment property and some subleases related to certain office buildings and e-commerce fulfillment centers.

Future minimum rentals receivable under non-cancellable operating leases as at December 31 are, as follows:

For the year ended 31 December

IN MILLION EUR	2024	2023
Less than one year	2.6	2.3
Between one year and five years	6.3	6.7
More than five years	0.6	1.5
TOTAL	9.6	10.5

The lease income related to leases in property is recognized in the section "Other operating income" (1.9 mEUR in 2024).

6.17 Investment property

IN MILLION EUR	LAND AND BUILDINGS
ACQUISITION COST
BALANCE AT 1 JANUARY 2023	11.5
Acquisitions	0.0
Transfer from/(to) other asset categories	0.1
BALANCE AT 31 DECEMBER 2023	11.6

BALANCE AT 1 JANUARY 2024	11.6
Acquisitions	0.0
Transfer from/(to) other asset categories	(0.3)
BALANCE AT 31 DECEMBER 2024	11.3
DEPRECIATION AND IMPAIRMENT LOSSES
BALANCE AT 1 JANUARY 2023	(8.1)
Depreciations	0.0
Transfer from/(to) other asset categories	(0.1)
BALANCE AT 31 DECEMBER 2023	(8.2)

BALANCE AT 1 JANUARY 2024	(8.2)
Depreciations	0.0
Transfer from/(to) other asset categories	0.1
BALANCE AT 31 DECEMBER 2024	(8.1)
CARRYING AMOUNT
At 31 December 2023	3.4
At 31 December 2024	3.2

Investment property mainly relates to apartments located in buildings used as post offices.

The rental income of the investment property and subleases amounted to 1.9 mEUR (2023: 0.7 mEUR). The estimated fair value of the investment property is stable around 3.2 mEUR.

6.18 Assets held for sale

As at 31 December

IN MILLION EUR	2024	2023
ASSETS
Property, plant and equipment	0.6	0.6
ASSETS HELD FOR SALE	0.6	0.6

Property, plant and equipment

The number of buildings recognized in assets held for sale amounted to 8 at the end of 2023 versus 1 at the end of 2024. These assets are retail outlets, offices or mail centers which are vacant as a consequence of the optimization of the post offices and mail center network.

Profits on disposal of 0.8 mEUR (2023: 3.4 mEUR) were accounted for in the income statement in the section 6.9 Other Operating Income.

IN MILLION EUR	GOODWILL	DEVELOPMENT	SOFTWARE	CUSTOMER RELATIONSHIP	TRADENAME	TOTAL
COST
BALANCE AT 1 JANUARY 2023	718.6	166.8	222.0	126.0	54.0	1,287.3
Acquisitions	0.0	6.7	7.1	0.0	0.0	13.9
Acquisitions and additions through business combinations	1.4	3.3	(0.0)	0.0	0.0	4.6
Disposals	0.0	0.0	(5.6)	0.0	0.0	(5.6)
Disposals via business combinations	0.0	0.0	0.0	0.0	0.0	0.0
Assets classified as held for sale or investment property	0.0	0.0	0.0	0.0	0.0	0.0
Exchange rate difference	(18.0)	(0.2)	(2.6)	(2.8)	(1.1)	(24.7)
Other movements	0.0	6.8	(8.0)	3.6	(0.8)	1.6
BALANCE AT 31 DECEMBER 2023	702.0	183.3	212.9	126.7	52.1	1,277.1

BALANCE AT 1 JANUARY 2024	702.0	183.3	212.9	126.7	52.1	1,277.1
Acquisitions	1.0	7.8	10.9	0.0	0.0	19.7
Acquisitions and additions through business combinations	826.9	51.6	5.9	544.6	25.3	1,454.3
Disposals	0.0	(3.8)	(1.1)	0.0	0.0	(4.9)
Disposals via business combinations	0.0	0.0	0.0	0.0	0.0	0.0
Assets classified as held for sale or investment property	0.0	0.0	0.0	0.0	0.0	0.0
Exchange rate difference	42.2	0.6	5.2	12.9	1.9	62.7
Other movements	0.0	1.9	3.0	0.0	0.0	4.9
BALANCE AT 31 DECEMBER 2024	1,572.2	241.4	236.8	684.2	79.2	2,813.7

IN MILLION EUR	GOODWILL	DEVELOPMENT	SOFTWARE	CUSTOMER RELATIONSHIP	TRADENAME	TOTAL
AMORTIZATION AND IMPAIRMENT LOSSES
BALANCE AT 1 JANUARY 2023	(27.0)	(132.0)	(185.9)	(60.9)	(25.8)	(431.6)
Acquisitions through business combinations	0.0	(2.9)	0.0	0.0	0.0	(2.9)
Disposals	0.0	0.0	5.6	0.0	0.0	5.6
Disposals via business combinations	0.0	0.0	0.0	0.0	0.0	0.0
Amortization	0.0	(15.2)	(13.8)	(7.8)	(4.7)	(41.5)
Impairment losses	0.0	(0.0)	(0.0)	0.0	0.0	(0.0)
Assets classified as held for sale or investment property	0.0	0.0	0.0	0.0	0.0	0.0
Exchange rate difference	(0.1)	0.2	2.0	1.2	0.6	3.8
Other movements	0.0	(5.5)	8.3	(1.7)	(0.8)	0.4
BALANCE AT 31 DECEMBER 2023	(27.1)	(155.5)	(183.8)	(69.2)	(30.6)	(466.2)

BALANCE AT 1 JANUARY 2024	(27.1)	(155.5)	(183.8)	(69.2)	(30.6)	(466.2)
Acquisitions through business combinations	0.0	(39.3)	(4.3)	0.0	0.0	(43.7)
Disposals	0.0	3.7	1.0	0.0	0.0	4.8
Disposals via business combinations	0.0	0.0	0.0	0.0	0.0	0.0
Amortization	0.0	(14.8)	(13.5)	(17.8)	(5.1)	(51.2)
Impairment losses	(299.4)	0.4	0.0	0.0	0.0	(299.0)
Assets classified as held for sale or investment property	0.0	0.0	0.0	0.0	0.0	0.0
Exchange rate difference	(2.6)	(0.5)	(4.1)	(2.5)	(1.3)	(11.0)
Other movements	0.0	(1.9)	0.0	0.0	0.0	(1.9)
BALANCE AT 31 DECEMBER 2024	(329.1)	(207.9)	(204.6)	(89.5)	(37.1)	(868.3)

IN MILLION EUR	GOODWILL	DEVELOPMENT	SOFTWARE	CUSTOMER RELATIONSHIP	OTHER INTANGIBLE ASSETS	TOTAL
CARRYING AMOUNT
At 31 December 2023	674.9	27.9	29.1	57.5	21.5	810.9
At 31 December 2024	1,243.0	33.4	32.2	594.7	42.2	1,945.5

Depreciation and impairment charges amounted to 51.2 mEUR in 2024 and increased by 9.7 mEUR compared to last year (41.5 mEUR) due to the increased depreciation on customer relationship in line with the acquisition of Staci.

All amortization and depreciation charges are included in the section "Depreciation, amortization" of the income statement. Intangible assets increased by 1,134.6 mEUR, mainly due to:

the evolution of the exchange rate 51.7 mEUR, mainly related to the evolution of the goodwill in USD;
the increase in goodwill by 827.9 mEUR mainly due to the acquisition of Staci;
the intangibles recognized throughout the purchase price allocation for Staci (570.0 mEUR);
acquisitions of 19.7 mEUR mainly related to ICT development costs capitalized and software; partially compensated by,
the impairment of the goodwill on the CGU Radial US (299.4 mEUR);
depreciation and amortization amounting to 51.2 mEUR.

Business combinations are accounted for using the acquisition method. The cost of an acquisition is measured as the aggregate of the consideration transferred measured at acquisition date fair value and the amount of any non-controlling interests in the acquired entity.

Goodwill

Goodwill is initially measured at cost, being the excess of the aggregate of the consideration transferred over the net identifiable assets acquired and liabilities assumed. After initial recognition, goodwill is measured at cost less any accumulated impairment losses.

Goodwill is allocated to each of the group's cash-generating units (or groups of cash-generating units) in accordance with IAS 36 Impairment of assets.

IN MILLION EUR	BELGIUM LAST MILE	PERSONALISED LOGISTICS	RADIAL EUROPE	ACTIVE ANTS	CROSS BORDER	E-LOGISTICS NORTH AMERICA	TOTAL
BALANCE AT 1 JANUARY 2023	77.0	17.9	13.3	29.9	22.9	530.6	691.6
Acquisitions	1.4	0.0	0.0	0.0	0.0	0.0	1.4
Disposals	0.0	0.0	0.0	0.0	0.0	0.0	0.0
Impairment	0.0	0.0	0.0	0.0	0.0	0.0	0.0
Transfer	0.0	0.0	0.0	0.0	0.0	0.0	0.0
Exchange rate difference	0.0	0.0	0.2	0.0	0.0	(18.3)	(18.1)
BALANCE AT 31 DECEMBER 2023	78.3	17.9	13.5	29.9	22.9	512.3	674.9

IN MILLION EUR	BELGIUM LAST MILE	PERSO NALISED LOGISTICS	RADIAL EUROPE	ACTIVE ANTS	STACI	CROSS BORDER	RADIAL US	E-LOGIS TICS NORTH AMERICA	TOTAL
BALANCE AT 1 JANUARY 2024	78.3	17.9	13.5	29.9	0.0	22.9	0.0	512.3	674.9
Acquisitions	0.6	0.0	0.0	0.0	826.4	1.0	0.0	0.0	827.9
Disposals	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0
Transfer	0.0	0.0	0.0	0.0	0.0	137.8	374.5	(512.3)	0.0
Impairment	0.0	0.0	0.0	0.0	0.0	0.0	(299.4)	0.0	(299.4)
Exchange rate difference	0.0	0.0	0.0	0.0	11.4	8.1	20.0	0.0	39.6
BALANCE AT 31 DECEMBER 2024	78.9	17.9	13.5	29.9	837.8	169.9	95.1	0.0	1,243.0

The increase of the goodwill from 674.9 mEUR to 1,243.0 mEUR is due to the acquisition of Staci and the evolution of the exchange rates, partially compensated by the non-cash impairment of the goodwill related to Radial US.

Goodwill is not amortized but is tested for impairment on an annual basis (December). For the purpose of impairment testing, goodwill is allocated to each of the group's cash-generating units (or groups of cash-generating units) in accordance with IAS 36 Impairment of assets. The test consists of comparing the carrying amount of the assets (or group) of the CGUs with their recoverable amount. The CGU's were first tested before reorganization (i.e. Belgium Last Mile, Personalised Logistics, Radial Europe, Active Ants, Cross border and e-Logistics North America) and after the reallocation of the goodwill. The recoverable amounts are based on the value in use. The latter equals the present value of the future cash flows expected to be derived from each CGU or group of CGUs and is determined using the following inputs:

most recent business plan and budgets, including detailed planning for EBITDA, net working capital and investment planning via capital expenditure or leasing, which covers a five year period. These business plans and budgets include the impact of bpostgroup's sustainability strategy to reduce Greenhouse Gas emissions.
consideration of a terminal value determined from the cash flows obtained by extrapolating the cash flows of the last year of the business plan referred to above, affected by a long-term growth rate deemed appropriate for the activity and the location of the assets;
discounting of expected cash flows at a rate determined using the weighted average cost of capital formula.

Following the acquisition of Staci in 2024, the organization structure of bpostgroup has been updated with the operating segments Bene Last-Mile, 3PL and Global Cross-border. In line with the strategy to transform into a regional leader in high-value flexible logistics, the changes consist of moving the Dynagroup, Leen Menken and Euro-Sprinters out of the former business unit E-Logistics Eurasia to BeNe Last-Mile and the remaining activities of the former business unit E-Logistics Eurasia have been transferred to Global Cross-border. Furthermore out of the former business unit E-Logistics North America the Landmark Global activities have been transferred to Global Cross-border whereas the Radial activities have been transferred to 3PL activities.

The cash generating units were reorganized to reflect the lowest group of assets generating independent cash inflows. 3PL US Radial has been carved out of the former CGU E-Logistics North America and is a CGU within the business unit 3PL. Out of the goodwill of the former CGU E-Logistics North America, 374.5 mEUR was reallocated to the CGU 3PL US Radial using a relative value approach.

The remaining group of assets and activities of the former CGU E-Logistics North America have been merged into the existing CGU Crossborder. This CGU is not bigger than the operating segment Cross-border and is the smallest level of identifiable group of assets that generates cash inflows that are largely independent of the cash inflows from other assets or groups of assets. The assets within Cross-border are combined to align with the strategy to enhance integrated cross-border and transportation management capabilities (e.g. creation of "group transport excellence" where all transport teams strongly work together), open new lanes and establish strong partnerships to achieve scale. To achieve greater scale and efficiency, this CGU leverages a robust mix of resources (e.g. common IT platform), including bpost's own lastmile network, enhanced carrier access for all bpostgroup entities and common strategic agreements. These changes support the broader organizational goals by improving operational alignment and enabling to better capitalize on growth opportunities in key markets. Out of the goodwill of the former CGU E-Logistics North America, 137.8 mEUR was reallocated to the CGU Cross-border using a relative value approach.

The assumption for which the recoverable amounts is the most sensitive for all CGU's tested is the EBITDA. The key assumption (EBITDA) in the budgets is based on past developments adapted for changing market conditions. The EBITDA is the result of volume evolutions, price evolution and cost improvement projects along with new value added services following the judgement and estimates made by management in developing the budgets and forecasts for the coming years.

The discount rate is estimated based on an extensive benchmarking with peers, so as to reflect the return investors would require if they were to choose an investment in the underlying assets. The peer group was divided into mail-related peers and parcels-related peers. Besides this, the different economic environment was also factored in the determination of the weighted average cost of capital (WACC).

The long-term growth rate was set at 1% for last mile delivery and 2% for parcels activities and e-commerce logistics. The growth rates were determined based on internal expectations (same assumptions as for EBITDA evolution) and external sources and are consistent with real growth figures and expectations for the relevant sectors in which the CGUs operate and take into consideration the long- term inflation for Europe and United States.

	DISCOUNT RATES		GROWTH RATES
	2024	2023	2024	2023
Belgium Last mile	9.1%	7.8%	2%	1%
Personalised logistics	9.1%	9.2%	2%	2%
Radial Europe	9.1%	9.2%	2%	2%
Active Ants	9.1%	9.2%	2%	2%
Staci	9.1%	-	2%	-
Cross Border	10.3%	9.2%	2%	1%
Radial US	10.3%	-	2%	-
E-logistics North America	10.3%	9.9%	2%	2%

The discount rates and the growth rates for the CGUs with material goodwill are shown in the following table:

The impairment tests performed at CGU level did not lead to any impairment of assets, as the recoverable amounts of the CGUs were higher than their carrying amounts, except for the CGU Radial US. In the context of material recent client churn at Radial US, combined with a continued challenging market environment and related materializing downside risks tied to the long term plan, an impairment loss on goodwill of 313.5 mUSD (299.4 mEUR) was recognized for Radial US as the reassessment results in a value in use below the carrying value.

For the purpose of impairment testing Staci is being presented as a single CGU, bpostgroup is in the process of streamlining operations and aligning the different entities within the business unit 3PL. As this structure is not finalized, it is not feasible to allocate goodwill to distinct CGU's for Staci. Although there are no impairment indicators, an impairment test was done for the CGU Staci as bpostgroup deems it's relevant for the users of the financial statements. This did not lead to an impairment loss to be recognized. Goodwill allocation will be finalized next year and thus impairment testing for Staci goodwill may be performed differently in the next reporting periods.

The difference between the CGUs' carrying amount and their value in use (headroom) represents for Belgium Last Mile, Cross-Border and Active Ants and Radial Europe at least more than 100% of their carrying amount and for Personalized Logistics and Staci above 20%. As such, a reasonable change in a key assumption on which the recoverable amount of the CGUs is based would not result in an impairment loss for the related CGUs, except if the EBITDA would decrease significantly for Personalized Logistics (see sensitivity analysis hereunder).

The sensitivity of the recoverable amount to changes in the key assumption, long-term growth rate and discount rate is shown in the following table:

	BELGIUM LAST MILE	PERSON ALISED LOGISTICS	RADIAL EUROPE	ACTIVE ANTS	STACI	CROSS BORDER	RADIAL US
Sensitivity to long-term growth rate -1%	-9.5%	-9.3%	-10.1%	-10.5%	-9.4%	-7.0%	-8.8%
Sensitivity to long-term growth rate +1%	12.7%	12.4%	13.4%	13.9%	12.5%	8.9%	11.2%
Sensitivity to discount rate -0.5 %	7.9%	7.7%	8.2%	8.6%	7.8%	5.9%	7.3%
Sensitivity to discount rate +0.5 %	-6.8%	-6.7%	-7.1%	-7.4%	-6.8%	-5.3%	-6.5%
Sensitivity to EBITDA margin -1.0 %	-20.3%	-20.3%	-9.8%	-8.8%	-6.5%	-9.1%	-17.7%
Sensitivity to EBITDA margin +1.0 %	20.3%	20.3%	9.8%	8.8%	6.5%	9.1%	17.7%

6.20 Investment in associates and joint ventures

IN MILLION EUR	2024	2023
BALANCE AT 1 JANUARY	0.1	0.1
Share of results	0.0	0.0
BALANCE AT 31 DECEMBER	0.1	0.1

Investment in associates and joint ventures relates to the joint venture Jofico CV.

6.21 Trade and other receivables

As at 31 December

IN MILLION EUR	2024	2023
Trade receivables	6.0	0.0
Contract costs - assets recognized to obtain or fulfil a contract	4.4	7.8
Long-term guarantees	15.0	12.1
Subleases	8.5	6.8
Other receivables	17.5	4.9
NON-CURRENT TRADE AND OTHER RECEIVABLES	51.3	31.7

The increase of the non-current trade receivables was mainly explained by an agreement in 2024 to recover a pre-bankruptcy receivable balance through equal installments over a 30-month period.

The increase of the other receivables was mainly explained by a payroll tax credit in the United States.

As at 31 December

IN MILLION EUR	2024	2023
Trade receivables	660.8	668.8
Terminal dues	139.6	222.2
Tax receivables, other than income tax	33.3	5.8
Contract costs - assets recognized to obtain or fulfil a contract	3.0	4.1
Other receivables	80.2	68.6
CURRENT TRADE AND OTHER RECEIVABLES	916.9	969.5

As at 31 December

IN MILLION EUR	2024	2023
Accrued income	3.8	13.0
Deferred charges	56.6	40.9
Other receivables	19.8	14.7
CURRENT - OTHER RECEIVABLES	80.2	68.6

Current trade and other receivables decreased by 52.6 mEUR to 916.9 mEUR (2023: 969.5 mEUR), mainly due to the decrease of terminal dues by 82.6 mEUR, partially offset by the increase of tax receivables, other than income tax (27.5 mEUR). The decrease of the terminal dues receivable should be reviewed together with the decrease of the terminal dues payables (115.8 mEUR) and was mainly explained by the settlements with some major postal operators. Tax receivables relate to outstanding VAT amounts to be received, the increase compared to last year was mainly explained by the integration of Staci.

The decrease of the accrued income by 9.2 mEUR was mainly explained by the lower financial income on cash and cash equivalents.

The increase of the deferred charges (15.7 mEUR) was amongst others explained by the consolidation of Staci.

Trade and other receivables are mainly short-term. The carrying amounts are considered to be a reasonable approximation of the fair value. In terms of risk management, bpostgroup applies a simplified approach in calculating ECL's for trade and terminal dues receivables.

Therefore, bpostgroup recognizes a loss allowance based on lifetime ECLs at each reporting date and has established a provision matrix that is based on its historical credit loss experience. The loss allowance amounted to 27.2 mEUR in 2024 in line with 2023 (27.2 mEUR). See note 6.29 Financial instruments and financial risk management.

6.22 Inventories

As at 31 December

IN MILLION EUR	2024	2023
Raw materials	16.5	11.0
Finished products	2.2	3.5
Goods purchased for resale	15.0	11.7
Reductions in value	(1.5)	(0.7)
INVENTORIES	32.3	25.4

Inventories increased by 6.9 mEUR, mainly due to the incorporation of Staci.

Raw materials include consumables, i.e. materials used for printing purposes. Finished products are stamps available for sale. Goods purchased for resale mainly include post cards, supplies for resale and press distribution inventory.

6.23 Cash and cash equivalents

As at 31 December

IN MILLION EUR	2024	2023
Cash in postal network	133.8	122.5
Transit accounts	60.6	79.1
Cash payment transactions under execution	(38.4)	(28.5)
Bank current accounts	456.1	447.0
Cash equivalents	135.3	250.6
CASH AND CASH EQUIVALENTS	747.4	870.6

Cash and cash equivalents decreased by 123.2 mEUR, mainly driven by the acquisition of Staci in 2024, which was partially financed by internal cash flow.

Cash equivalents consists of deposit accounts, term deposits, commercial papers and money market funds predominantly made by bpost SA/ NV. These very short-term investments are readily convertible into a known amount of cash and usually mature within three months or less of the investment date.

Note furthermore that bpost also has two undrawn revolving credit facilities for a total amount of 475.0 mEUR, see note 6.31 "rights and commitments".

6.24 Interest-bearing loans and borrowings

As at 31 December 2023

			NON-CASH FLOW CHANGES
IN MILLION EUR	2022	CASH FLOWS	FOREIGN EXCHANGE MOVEMENT	ADDITION	REASSESSMENT	DISPOSAL	DISPOSAL THROUGH COMBINATIONS BUSINESS	TRANSFER	TRANSFER TO AHFS	OTHER	2023
Bank loans	0,0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0
Long-term bond	646.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	1.1	647.1
Other loans	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0
Non-Current Lease liabilities	534.9	0.0	(5.6)	98.9	56.1	(27.6)	0.0	(167.5)	0.0	15.7	504.9
NON CURRENT INTEREST BEARING LOANS AND BORROWINGS	1,180.9	0.0	(5.6)	98.9	56.1	(27.6)	0.0	(167.5)	0.0	16.8	1,152.0

			NON-CASH FLOW CHANGES
IN MILLION EUR	2022	CASH FLOWS	FOREIGN EXCHANGE MOVEMENT	ADDITION	REASSESSMENT	DISPOSAL	DISPOSAL THROUGH COMBINATIONS BUSINESS	TRANSFER	TRANSFER TO AHFS	OTHER	2023
Bank loans	173.4	(170.0)	(14.6)	0.0	0.0	0.0	0.0	0.0	0.0	11.2	0.0
Commercial papers	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0
Other loans	(0.2)	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.2	0.0
Current Lease liabilities	134.1	(160.7)	(1.9)	0.0	0.0	0.0	0.0	167.5	0.0	0.0	139.0
CURRENT INTEREST-BEARING LOANS AND BORROWINGS	307.3	(330.7)	(16.5)	0.0	0.0	0.0	0.0	167.5	0.0	11.4	139.0

As at 31 December 2024

Non-current interest-bearing loans and borrowings increased by 1,181.6 mEUR to 2,333.5 mEUR, this increase was due to bpostgroup's issuance of the of 1,000 mEUR (995.6 mEUR net of issuance costs) dual-tranche senior unsecured bond in October 2024 and the increase of lease liabilities mainly driven by the integration in scope of Staci (see note 6.28). All movements related to additions through business combinations and lease details are explained in note 6.16.

Bank loans were primarily acquired through the business combination of Staci, with the longest maturity dates being August 2026 and June 2029, respectively.

			NON-CASH FLOW CHANGES
IN MILLION EUR	2023	CASH FLOWS	FOREIGN EXCHANGE MOVEMENT	ADDITION	REASSESSMENT	DISPOSAL	DISPOSAL THROUGH COMBINATIONS BUSINESS	TRANSFER	TRANSFER TO AHFS	OTHER	2024
Bank loans	0.0	(4.1)					0.3	13.1			9.3
Commercial papers	0.0										0.0
Other loans	0.1			0.5						(0.1)	0.5
Current Lease liabilities	139.0	(194.0)	3.5				52.4	202.1		1.7	204.6
CURRENT INTEREST-BEARING LOANS AND BORROWINGS	139.0	(198.1)	3.5	0.5	0.0	0.0	52.7	215.3	0.0	1.6	214.4

Current interest-bearing loans and borrowings increased by 75.3 mEUR to 214.4 mEUR, mainly explained by the integration in scope of Staci.

Interests related to borrowings (-17.0 mEUR) within the cash flow are related to the interests on the term loan and the yield of bond booked on the trade and other payable accounts, hence are not being disclosed in this note.

Note furthermore that bpost also has two undrawn revolving credit facilities for a total amount of 475.0 mEUR, see note 6.31 "rights and commitments".

There are no covenants on the loans.

6.25 Employee benefits

bpostgroup grants its active and retired personnel post-employment benefits, other long term benefits and termination benefits. These benefit plans have been valued in conformity with IAS 19. Some of them originate from measures negotiated in the framework of Collective Labor Agreements ("CLA"). The benefits granted under these plans differ depending on the categories of bpostgroup's employees: civil servants (also known as statutory employees) and contractual employees. It should also be mentioned that bpost NV/SA has 3 types of contractual employees: pay scale contractual employees, non-pay scale contractual employees and logistic and postal workers.

The employee benefits are as follows:

As at 31 December
IN MILLION EUR	2024	2023
Post-employment benefits (note 6.25.1)	15.1	14.9
Other long-term benefits (note 6.25.2)	208.6	225.8
Termination benefits (note 6.25.3)	10.6	9.1
TOTAL	234.3	249.8

Net of the deferred tax assets related to them, employee benefits amount to 229.2 mEUR (2023: 242.8 mEUR).

As at 31 December

IN MILLION EUR	2024	2023
Employee benefits	234.3	249.8
Deferred tax assets impact	(5.1)	(7.0)
EMPLOYEE BENEFITS NET OF DEFERRED TAX	229.2	242.8

bpost's net liability for employee benefits comprises the following:

As at 31 December IN MILLION EUR 2024 2023 Present value of total obligations 305.0 319.7 Fair value of plan assets (70.7) (69.9) Present value of net obligations 234.3 249.8 NET LIABILITY 234.3 249.8 Employee benefits amounts in the statement of financial position Liabilities 234.3 249.8 NET LIABILITY 234.3 249.8

The changes in the present value of the obligations are as follows:

IN MILLION EUR	2024	2023
Present value at 1 January	319.7	305.7
Service cost	33.1	24.5
-Current service cost	33.0	26.3
-Past service cost	0.1	(1.7)
Net interest	9.4	10.6
Benefits paid	(35.8)	(32.9)
Remeasurement (gains)/losses in P&L	(17.8)	8.4
-Actuarial (gains)/losses	(17.8)	8.4
Remeasurement (gains)/losses in OCI	(4.5)	3.3
-Actuarial (gains)/losses	(4.5)	3.3
Liabilities acquired in business combination	1.1	0.0
DEFINED BENEFIT OBLIGATION AT 31 DECEMBER	305.0	319.7

The fair value of the plan assets can be reconciled as follows:

IN MILLION EUR	2024	2023
Fair value of plan assets at 1 January	(69.9)	(61.5)
Contributions by employer	(36.4)	(34.5)
Contributions by employee	(2.0)	(1.9)
Benefits paid	35.8	32.9
Interest (income)/cost on assets (P&L item)	(2.3)	(2.4)
Actuarial (gain)/loss on assets (OCI item)	4.0	(2.5)
Assets acquired in business combination	0.0	0.0
FAIR VALUE OF PLAN ASSETS AT 31 DECEMBER	(70.7)	(69.9)

The plan assets relate to the group insurance's benefit in accordance with IAS 19. These plan assets are held by a third party insurance company, and are composed of the reserves accumulated from the employer and employee contributions (insured contracts with a guaranteed return).

2024 changes in the defined benefit obligation and fair value of plan assets:

IN MILLION EUR	DEFINED BENEFIT OBLIGATION	FAIR VALUE OF PLAN ASSETS	NET LIABILITY
1 January 2024	319.7	(69.9)	249.8
Service cost	33.1		33.1
Contributions by employee		(2.0)	(2.0)
Actuarial (gains)/losses reported as operating	(9.2)		(9.2)
Subtotal included in Payroll P&L (note 6,13)	23.9	(2.0)	21.8
Interest cost	9.4		9.4
Interest (income)/cost on assets (P&L item)		(2.3)	(2.3)
Actuarial (gains)/losses reported as financial	(8.6)		(8.6)
Subtotal included in Financial P&L (note 6,14)	0.8	(2.3)	(1.5)
Benefits paid	(35.8)	35.8	0.0
Contributions by employer		(36.4)	(36.4)
SUBTOTAL CASH FLOWS STATEMENT	(11.2)	(4.9)	(16.1)
Remeasurement (gains)/losses in OCI	(4.5)	4.0	(0.5)
Business combination	1.1	0.0	1.1
31 DECEMBER 2024	305.0	(70.7)	234.3

The expense recognized in the income statement is presented hereafter:

As at 31 December

IN MILLION EUR	2024	2023
Service cost	31.0	22.7
-Current service cost	30.9	24.4
-Past service cost	0.1	(1.7)
Net interest	7.1	8.2
Remeasurement (gains)/losses	(17.8)	8.4
- Actuarial (gains)/losses reported as financial	(8.6)	12.4
- Actuarial (gains)/losses reported as operating	(9.2)	(4.0)
NET EXPENSE	20.3	39.3

As regards to post-employment benefits, actuarial gains and losses (both financial and operating) are recognized in other comprehensive income. While, actuarial gains and losses (both financial and operating) on other long-term benefits and termination benefits are recognized immediately in the income statement. Net interest and financial actuarial gains and losses are presented in financial costs. Service cost and operating actuarial gains and losses are presented in payroll costs.

The impact on payroll costs and financial costs in the income statement is presented hereafter:

As at 31 December
IN MILLION EUR	2024	2023
Payroll costs (note 6.12)	21.8	18.7
Financial costs/(income) (note 6.13)	(1.5)	20.6
NET EXPENSE	20.3	39.3

The decrease of the financial costs was mainly due to the evolution of the discount rates, which last year slightly decreased whereas in 2024 rates remained relatively stable. The first triggered one-off non-cash financial costs related to IAS 19 employee benefits in 2023, whereas the latter triggered slight non-cash positive financial gains related to IAS 19 employee benefits in 2024.

The expense recognized in the other comprehensive income is presented hereafter:

As at 31 December

IN MILLION EUR	2024	2023
Remeasurement gains/(losses)	(0.5)	0.8
- Actuarial (gains)/losses	(0.5)	0.8
NET EXPENSE	(0.5)	0.8

The main assumptions used in computing the benefit obligations at the statement of financial position date are the following:

	2024	2023
Rate of inflation	2.0%	First year: 4.0% Years after: 2.5%
Future salary increase	< 40 yo: Inflation + 1.5% Merit [40-50] yo: Inflation +1.0% Merit > 50 yo: Inflation + 0.5% Merit	< 40 yo: Inflation + 1.5% Merit [40-50] yo: Inflation +1.0% Merit > 50 yo: Inflation + 0.5% Merit
Medical cost trend rate	5.0%	5.0%
Mortality tables	MR/FR-2	MR/FR-2

The discount rates have been determined by reference to market yields at the statement of financial position date. The discount rates used in 2024 range from 2.75% to 3.95% (2023: 3.20% to 3.95%):

		DISCOUNT RATE		NET LIABILITY
BENEFIT	DURATION	2024	2023	2024
Family allowances	5.2	3.10%	3.25%	8.8
Funeral expense	6.0	3.20%	3.25%	1.7
Gratification	from 9.5 to 10.4	3.30%	3.25%	1.3
Group insurance	from 8.4 to 14.2	from 3.20% to 3.40%	3.20%	1.8
Accumulated compensated absences	2.5	2.85%	3.20%	13.2
Workers compensation in case of accidents	9.8	3.35%	3.20%	91.4
Medical expenses in case of accidents	13.3	3.40%	3.20%	6.2
Pension saving days	7.5	3.25%	3.25%	79.5
Jubilee Premiums	from 4.1 to 6.3	from 3.15% to 3.20%	3.25%	0.8
DSPR/DVVP for Job Mobility Center	6.6	3.25%	3.25%	12.0
Part-time regime (54+)	from 0.5 to 4.7	from 2.80% to 3.10%	3.20%	5.5
Early retirement scheme	from 0.4 to 1.9	from 2.75% to 3.95%	from 3.20% to 3.95%	10.6
End-of-career allowances	from 10.3 to 24.0	3.50%	n/a	1.3

The average duration of the defined benefit plan obligation at the end of 2024 is 8.7 years (2023: 9.2 years).

A quantitative sensitivity analysis for significant assumptions at December 31, 2024 has been determined based on a method that extrapolates the impact on defined benefit obligation as a result of reasonable changes in key assumptions occurring at the end of the reporting period.

This sensitivity analysis is outlined here below:

	DISCOUNT RATE		MORTALITY TABLE MR/FR	MEDICAL TREND RATE
IN MILLION EUR	50 BP INCREASE	50 BP DECREASE	DECREASE BY 1 YEAR	100 BP INCREASE
Impact on defined benefit obligation (decrease)/increase	(12.3)	13.2	3.6	0.8

The following are the expected payments or contributions to the defined benefit plan in future years:

IN MILLION EUR	2024

Within the next 12 months	22.8

Between 2 and 5 years	89.7

Between 5 and 10 years	99.6

Beyond 10 years	200.4

TOTAL EXPECTED PAYMENTS	412.5

6.25.1 Post-employment

Post-employment benefits include family allowances, funerary costs, retirement gifts, Belgian group insurances and French end-of-career indemnities.

Family allowances

bpost NV/SA civil servants (both active and retired) with dependents (youngsters and disabled) receive a family allowance from Office National d'Allocations Familiales pour Travailleurs Salariés (ONAFTS) – Rijksdienst voor Kinderbijslag voor Werknemers (RKW). The financing methodology of family allowances for civil servants has changed due to a law change (law of 19 December 2014). As a consequence, bpost as a public institution pays a contribution that is defined by a program law. The amount is adapted each year proportionally to the number of civil servants (full time equivalents) and is subject to inflation.

Group Insurance

bpostgroup offers to its active contractual employees (under certain conditions such as the function level) in Belgium, a pension plan (lump sum benefit at retirement), insured with an insurance company in which contributions are defined in the plan rules (DC plan under Belgian legislation). Since the introduction of the WAP/LPC legislation in Belgium these plans have the characteristics of a defined benefit plan under IAS 19.

The employer is legally required to guarantee a certain return on the plan assets. Before the change in the WAP/LPC law end of 2015, bpost had to provide the legal minimum return of 3.25% on employer contributions (after costs on premiums) and 3.75% on employee contributions. The legal minimum return on employer contributions is a "career average" return and not a year-by-year return where the legal minimum on the employee contributions should be granted on a year-by-year basis. With the change in the WAP/LPC law end of December 2015, as from 2016, the minimum return for future contributions is equal to the average past 24 months return on 10-year linear bonds with a minimum of 1.75% p.a. and a maximum of 3.75% p.a. Part of this return is guaranteed by the insurance company (contractual interest guarantee).

bpost uses the PUC methodology but without projection of future contributions and salaries as the plans are not backloaded (contributions do not increase with age). The only reason why contributions may materially increase at a later stage of a career is linked to salary increases being higher than indexations in step rate plans. bpost applies paragraph 115 of IAS 19 for determining the asset value. The assets and liabilities are determined taking into account contractual interest guarantees on mathematical reserves, guaranteed by the insurance company. Applying paragraph 115 may result in higher assets than the reserves when guaranteed interest rates are higher than the discount rates, resulting in a lower net liability (and vice versa). Currently, discount rates are higher than the guaranteed interest rates by the insurance company, resulting in lower assets.

End-of-career indemnities

bpostgroup funds the French mandatory end-of-career indemnity plans. As mandated by French labor law, retiring employees are entitled to end-of-career indemnities, which is calculated based upon the employee's length of service and final salary. The amount is defined by the relevant Collective Bargaining Agreement.

The net liability for employee post-employment benefits comprises the following:

As at 31 December

IN MILLION EUR	2024	2023
Present value of total obligations	85.8	84.8
Fair value of plan assets	(70.7)	(69.9)
Present value of net obligations	15.1	14.9
NET LIABILITY	15.1	14.9
Employee benefits amounts in the statement of financial position
Liabilities	15.1	14.9
NET LIABILITY	15.1	14.9

Last year's past service cost related to the former bank benefit (reduction of fees for current accounts, favorable interest rates, reductions on savings certificates,…) for bpost NV/SA employees. As of 2024 – given the integration of bpost bank into BNP Paribas Fortis following bpost's sale of its participation in bpost bank – it was no longer possible to grant this advantage, as a result the underlying liability was extinguished on December 31, 2023 and a past service of 1.7 mEUR was recognized in 2023.

The fair value of the plan assets is presented as follows:

IN MILLION EUR	2024	2023
Fair value of plan assets at 1 January	(69.9)	(61.5)
Contributions by employer	(12.6)	(11.7)
Contributions by employee	(2.0)	(1.9)
Benefits paid	12.1	10.1
Interest (income)/cost on assets (P&L item)	(2.3)	(2.4)
Actuarial (gain)/loss on assets (OCI item)	4.0	(2.5)
Assets acquired in business combination	0.0	0.0
FAIR VALUE OF PLAN ASSETS AT 31 DECEMBER	(70.7)	(69.9)

The expense recognized in the income statement is presented hereafter:

As at 31 December

IN MILLION EUR	2024	2023
Service cost	11.7	8.1
- Current service cost	11.7	9.9
- Past service cost	0.0	(1.7)
Net interest	0.2	0.4
Remeasurement (gains)/losses	0.0	0.0
- Actuarial (gains)/losses reported as financial	0.0	0.0
- Actuarial (gains)/losses reported as operating	0.0	0.0
NET EXPENSE	12.0	8.5

The impact on payroll costs and financial costs is presented hereafter:

As at 31 December

IN MILLION EUR	2024	2023
Payroll costs	11.7	8.1
Financial costs	0.2	0.4
NET EXPENSE	12.0	8.5

The expense recognized in other comprehensive income is presented hereafter:

As at 31 December

IN MILLION EUR	2024	2023
Remeasurement (gains)/losses	(0.5)	0.8
- Actuarial (gains)/losses	(0.5)	0.8
NET EXPENSE	(0.5)	0.8

6.25.2 Other long-term employee benefits

Other long-term employee benefits include accumulated compensated absences, pension saving days, part-time benefits, worker compensation in case of accident, medical expenses in case of accident, jubilee premiums and DSPR/DVVP for Job Mobility Center.

Accumulated Compensated Absences

bpost NV/SA civil servants are entitled to 21 sick-days per year. During these 21 days and if they have received the appropriate note from a doctor, they receive 100% of their salary. If in any given year, a civil servant is absent less than 21 days, the balance of the unused sickness days is carried over to the following years up to a maximum of 63 days (see section Pension saving days hereinafter). Employees who are ill for more than 21 days during a year will first use up the year's allotment and then use the days carried over from previous years as per their individual account. During this period, they will receive their full salary. Once the allotment of the year and the days carried over are used up, they receive reduced payments.

Both the full salary paid under the "sick-days" scheme and the reduced payments beyond that are costs incurred by bpost.

There was no modification to the calculation methodology compared to 2023. The valuation is based on the future "projected payments / cash outflows". The cash outflows are calculated for the totality of the population considered, based on a certain consumption pattern, derived from the statistics over the 12 months of 2024. The individual notional accounts are projected for the future and decreased by the actual number of days of illness.

The annual payment is the number of days used (and limited by the number of days in the savings account) multiplied by the difference between the projected salary (increased with social charges) at 100% and the reduced payments. The relevant withdrawal and mortality rates have been applied together with the discount rate applicable to the duration of the benefit.

Pension saving days

bpost NV/SA civil servants have the possibility to convert the unused sick days above the 63 days in their "notional" account (see above "Accumulated Compensated Absences" benefit) in pension saving days (7 sick days per 1 pension saving day) and to convert each year a maximum of 3 days of extra-legal holidays. bpost NV/SA pay scale contractual employees with a permanent contract are entitled to a maximum of 2 pension saving days per year and have the possibility to convert each year a maximum of 3 days of extra-legal holidays. The pension saving days are accumulated year over year and can be used as from the age of 50.

The methodology of valuation is based on the same approach as the benefit "Accumulated Compensated Absences". The valuation is based on the future "projected payments / cash outflows". These are calculated for the totality of the population considered, based on a certain "consumption" pattern, derived from the statistics over the 12 months of 2024, as provided by the human resources department. The individual "pension saving days" accounts are projected per person and decreased by the actual number of used pension saving days.

The annual payment is the number of pension saving days used multiplied by the projected daily salary (increased with social charges, holiday pay, end of year premium, management and integration premium). The relevant withdrawal and mortality rates have been applied together with the discount rate applicable to the duration of the benefit.

Part-time regime (54+)

The regulatory framework regarding part-time regime for bpost NV/SA employees (plans accessible to civil servants and pay scale contractual employees only) is as follows:

Framework Agreement of December 20, 2012: partial (50%) career interruption is accessible to the distributors aged 54 and older. bpost NV/ SA makes contributions equal to 7.5% of the gross annual salary for a maximum period of 72 months.
Framework Agreement of May 22, 2014: the plan approved in 2012 and accessible to the distributors is extended to the employees working during night, the plan is accessible as from 55 years old. bpost NV/SA makes contributions equal to 7.5% of the gross annual salary for a maximum period of 72 months.
Framework Agreement of June 2, 2016 : the plan approved in 2012 for distributors and extended in 2014 to employees working during night is also applicable for collect agents. bpost NV/SA makes contributions equal to 7.5% of the gross annual salary for a maximum period of 72 months. The plan is valid until December 2016.
Framework Agreement of September 30, 2016: (i) for the distributors, collect agents and the employees working during night, the plan is accessible as from 55 years old and (ii) for the other employees, the minimum age required is 57 years old. bpost NV/SA makes contributions equal to 7.5% of the gross annual salary for a maximum period of 72 months for the night workers, distributors and collect agents and 48 months for the other beneficiaries of the plan. This plan is extended until December 2022 following the Framework Agreement of June 17, 2021.
Framework Agreement of May 25, 2023: (i) for the distributors, collect agents and the employees working during night, the plan is accessible as from 55 years old and (ii) for the other employees, the minimum age required is 57 years old. bpost NV/SA makes contributions equal to 7.5% of the gross annual salary for a maximum period of 72 months for the night workers, distributors and collect agents and 48 months for the other beneficiaries of the plan. This plan is extended until December 2025 following the Framework Agreement of December 19, 2024.

Workers Compensation in case of Accident

Until October 1, 2000, bpost NV/SA was self-insured for injuries at the workplace and on the way to and from the workplace. As a result, all compensations to workers for accidents which occurred before October 1, 2000 are incurred and financed by bpost itself.

Since October 1, 2000, bpost NV/SA has contracted insurance policies to cover such risk.

DSPR/DVVP for Job Mobility Center

The Framework Agreement of September 30, 2016 defined a Dispense Précédant la Retraite/ Dienstvrijstelling voorafgaand aan de Pensionering ("DSPR/DVVP") plan for the Job Mobility Center. This plan foresees for an indefinite duration that bpost NV/SA civil servants aged as from 61 years old who are attached to the Job Mobility Center and who are still attached to it after a period of one year will be released from service. bpost NV/SA continues to pay to the beneficiaries 70% of their salary at departure and until they reach retirement age, with a maximum of 5 years.

The net liability for other long-term benefits comprises the following:

As at 31 December

2024	2023
208.6	225.8
0.0	0.0
208.6	225.8
208.6	225.8

208.6	225.8
208.6	225.8

The changes in the present value of the obligations are as follows:

IN MILLION EUR	2024	2023
Present value at 1 January	225.7	217.7
Service cost	12.6	12.1
- Current service cost	12.6	12.1
- Past service cost	0.1
Net interest	6.7	7.6
Benefits paid	(19.4)	(18.2)
Remeasurement (gains)/losses in P&L	(17.0)	6.5
- Actuarial (gains)/losses	(17.0)	6.5
Remeasurement (gains)/losses in OCI	0.0	0.0
- Actuarial (gains)/losses	0.0	0.0
Liabilities acquired in business combination	0.0
DEFINED BENEFIT OBLIGATION AT 31 DECEMBER	208.6	225.7

The expense recognized in the income statement is presented hereafter:

As at 31 December

IN MILLION EUR	2024	2023
Service cost	12.6	12.1
- Current service cost	12.6	12.1
- Past service cost
Net interest	6.7	7.6
Remeasurement (gains)/losses	(17.0)	6.5
- Actuarial (gains)/losses reported as financial	(8.7)	12.3
- Actuarial (gains)/losses reported as operating	(8.3)	(5.8)
NET EXPENSE	2.3	26.3

The impact on payroll costs and financial costs is presented hereafter:

As at 31 December

IN MILLION EUR	2024	2023
Payroll costs	4.3	6.3
Financial costs	(2.0)	19.9
NET EXPENSE	2.3	26.3

6.25.3 Termination benefits

Early Retirement scheme

The bpost NV/SA early retirement plan is covered by the Framework Agreement of September 30, 2016 and accessible to civil servants under certain conditions of age, seniority and service organization. bpost NV/SA continues to pay to the beneficiaries 75% of their salary at departure and until they reach retirement age, with a maximum of 5 years. This plan has an indefinite duration.

The AMP retirement plans are as follows :

In 2011, a first plan of early retirement had been announced in the framework of a restructuring under the procedure Renault. The plan was accessible for people with a minimum age of 55 year and ended in 2021. AMP pays on monthly base an indemnity till the moment of the legal retirement. The payment corresponds to 80% of the difference between : (the last net salary * 14.92) /12 and the social allowance. The plan was presented to the Works Council on September 22, 2011 and was open until September 22, 2013.
A second plan of early retirement had been announced in 2014 in the framework of a restructuring under the procedure Renault. The plan was accessible for people with a minimum age of 55 year and ended in 2024. AMP pays on monthly base an indemnity till the moment of the legal retirement. The payment corresponds to 80% of the difference between : (the last net salary * 14.92) /12 and the social allowance. The plan was presented to the Works Council on May 22, 2014 and was open until September 09, 2016.
Given the economic and financial challenges, a concept of soft exit for employees with a financial incentive has been put in place. Employees older than 55 year could opt for a part-time career interruption in combination with early legal retirement or early legal retirement. During the career interruption, the employee receives a monthly additional premium and a one-off premium when they reach the early retirement age (24,000 EUR for day workers and 38,000 EUR for night workers). Employees above 59 years, opting for early legal retirement receive the one-off premium as well. The plan was presented to the Works Council on September 16, 2020 and was open until December 31, 2020. A second plan was presented to the Works Council in 2022 and was open until June 2023.

The employee benefit related to the early retirement schemes gives rise to a liability because (i) the employment is terminated before the normal retirement age and (ii) it is the employee's decision to accept the offer made by the company in exchange.

The net liability for termination benefits comprises the following:

As at 31 December
IN MILLION EUR	2024	2023
Present value of total obligations	10.6	9.1
Fair value of plan assets	0.0	0.0
Present value of net obligations	10.6	9.1
NET LIABILITY	10.6	9.1

Employee benefits amounts in the statement of financial position
Liabilities	10.6	9.1
NET LIABILITY	10.6	9.1

The changes in the present value of the obligations are as follows:

IN MILLION EUR	2024	2023
Present value at 1 January	9.2	9.2
Service cost	6.5	2.4
- Current service cost	6.3	2.4
- Past service cost	0.1	0.0
Net interest	0.2	0.2
Benefits paid	(4.3)	(4.6)
Remeasurement (gains)/losses in P&L	(0.8)	1.9
- Actuarial (gains)/losses	(0.8)	1.9
Remeasurement (gains)/losses in OCI	0.0	0.0
- Actuarial (gains)/losses	0.0	0.0
Liabilities acquired in business combination	0.0	0.0
DEFINED BENEFIT OBLIGATION AT 31 DECEMBER	10.6	9.2

The expense recognized in the income statement is presented hereafter:

As at 31 December

IN MILLION EUR	2024	2023
Service cost	6.3	2.4
- Current service cost	6.3	2.4
- Past service cost	0.0	0.0
Net interest	0.2	0.2
Remeasurement (gains)/losses	(0.8)	1.9
- Actuarial (gains)/losses reported as financial	0.1	0.1
- Actuarial (gains)/losses reported as operating	(0.9)	1.8
NET EXPENSE	5.7	4.5

The impact on payroll costs and financial costs is presented hereafter:

As at 31 December

IN MILLION EUR	2024	2023
Payroll costs	5.4	4.2
Financial costs	0.2	0.3
NET EXPENSE	5.7	4.5

6.26 Trade and other payables

As at 31 December

IN MILLION EUR	2024	2023
Trade payables	2.1	2.4
Other payables	11.0	0.0
NON-CURRENT TRADE AND OTHER PAYABLES	13.1	2.4

The other payables include the liabilities arising from the Management Incentive Plan for the management of Staci:

For the buy-back obligation of Ordinary Shares, a liability of 10.7 mEUR (put on non-controlling interests) was recognized upon acquisition of Staci which represent the fair value at reporting date of the expected redemption amount.
The expected value of the Preferred Shares put option held by management, pro rated over the vesting period, amounts to 0.3 mEUR at reporting date. The maximum cash out under this plan for bpost (in 2028) is capped at 70.5 mEUR mainly depending on the EBITDA level that will be achieved.

As at 31 December

IN MILLION EUR	2024	2023
Trade payables	427.6	337.3
Collected proceeds due to clients	57.3	66.4
Terminal dues	157.5	273.3
Payroll and social security payables	413.4	399.1
Tax payable other than income tax	40.4	11.6
Transit account franking machines	13.9	12.0
Working capital provided for postal financial services	18.8	18.8
Cash guarantees received	10.8	10.6
bpaid balance	25.9	31.3
Accruals (excluding terminal dues)	181.9	189.9
Contract liabilities	65.2	58.7
Contingent considerations	0.0	11.0
Other payables	4.7	10.2
CURRENT TRADE AND OTHER PAYABLES	1,417.4	1,430.1

The carrying amounts are considered to be a reasonable approximation of the fair value.

The current trade and other payables slightly decreased by 12.7 mEUR as the decrease of the terminal dues (115.8 mEUR) was partially offset by the increase of the trade payables (90.3 mEUR). The decrease of the terminal dues payables should be reviewed together with the decrease of the terminal dues receivable (82.6 mEUR), and was mainly explained by the settlements with some major postal operators. The increase of the trade payables was mainly explained by the integration of Staci.

Last year's contingent considerations were mainly related to the call and the put for the remaining minority shares of Marceau (IMX), which have been exercised in 2024, see note business combinations.

The increase of the payroll and social security payables and tax payables other than income tax were mainly explained by the integration of Staci.

Contract liabilities

As at 31 December

IN MILLION EUR	2024	2023
Stamps sold not yet used and credit on franking machine	38.7	39.9
Other contract liabilities	26.5	18.7
CONTRACT LIABILITIES	65.2	58.6

The considerations paid already by customers that have been allocated to the remaining performance obligation that are (partially) unsatisfied at reporting date amounted to 38.7 mEUR and are mainly related to stamps and credits on franking machine sold but not yet used by customers at balance sheet date. At year end the performance obligation for the SGEI has been satisfied and no contract liabilities are recorded.

6.27 Provisions

IN MILLION EUR	LITIGATION	ENVIRONMENT	ONEROUS CONTRACT	RESTRUCTURING & OTHER	TOTAL
BALANCE AT 1 JANUARY 2023	17.3	0.5	1.4	7.4	26.7
Additional provisions recognized	88.0	0.3	0.0	3.9	92.2
Provisions used	(1.5)	0.0	(1.2)	(4.1)	(6.8)
Provisions reversed	(4.0)	(0.4)	(0.3)	(1.3)	(6.0)
Exchange rate difference	0.0	0.0	0.0	0.0	0.0
BALANCE AT 31 DECEMBER 2023	99.8	0.4	0.0	5.9	106.0
Non current balance at end of year	10.9	0.4	0.0	0.3	11.5
Current balance at end of year	88.9	0.0	0.0	5.7	94.5
	99.8	0.4	0.0	5.9	106.0
BALANCE AT 1 JANUARY 2024	99.8	0.4	0.0	5.9	106.0
Additional provisions recognized	9.0	0.0	0.0	5.8	14.8
Addition through Business Combinations	0.0	0.0	0.0	5.3	5.3
Provisions used	(0.1)	0.0	0.0	(2.5)	(2.6)
Provisions reversed	(6.4)	0.0	0.0	(1.4)	(7.9)
Exchange rate difference	0.0	0.0	0.0	0.0	0.0
Other movements	0.0	0.0	0.0	0.0	0.0
BALANCE AT 31 DECEMBER 2024	102.2	0.4	0.0	13.0	115.6
Non current balance at end of year	10.3	0.4	0.0	6.7	17.5
Current balance at end of year	91.9	0.0	0.0	6.3	98.2
	102.2	0.4	0.0	13.0	115.6

The provision for litigation, representing the expected financial outflow relating to different (actual or imminent) litigations between bpost and third parties, amounted to 102.2 mEUR as per December 31, 2024 and slightly increased by 2.5 mEUR compared to December 2023, out of which 89.2 mEUR is related to the compliance review (see hereunder). The period anticipated for the cash outflows pertaining thereto is dependent on developments in the length of the underlying proceedings for which the timing remains uncertain.

At the start of 2023, bpost has voluntarily launched 3 compliance reviews, following the compliance review conducted in 2022 with regard to (the tender for) the concession for the delivery of newspapers and magazines in Belgium. These compliance reviews specifically concerned the processing of traffic fines, the management of 679 accounts, and the delivery/cancellation of licence plates.

A thorough investigation was carried out, using external experts and forensic investigative methods. The main findings have been shared in the meanwhile with the relevant public services, in a spirit of close cooperation and resolution.

Certain compliance reviews revealed that a limited number of people inside and outside the company acted against the Code of Conduct of bpostgroup and potentially applicable laws and regulation. Within this context, bpostgroup took disciplinary action, including in certain cases termination of collaboration.

bpost has also taken measures of cooperation with public authorities, including the public prosecutor, so as to mitigate any risk of enforcement.

Traffic fines (Cross Border Fines – CBF)

Background

Since 2006, bpost has been managing the administrative and financial processes for handling traffic fines on behalf of the Federal Public Service of Justice (FPS Justice), initially focusing solely on national fines, and since 2015, extending its services to international fines. These

services comprise the sending of fines, the business process outsourcing tasks (including amongst others a call center, back office operations, and returns handling) as well as the management of the IT platform and further IT developments. The provision of these services has significantly contributed to modernizing and professionalizing the management of fines.

These services were initially included in the fourth Management Contract, and continued to be part of the following Management Contracts. The compensation of these services was subsequently set out in Deepening Conventions⁴ and various other agreements.

⁴ Deepening conventions are agreements between the Belgian State and bpost which are based on the Management Contract and further elaborate on specific services covered in the Management Contract ("Deepening Conventions").

Main findings

The compensation received by bpost may in part constitute unlawful State aid. The CBF services were set out in Management Contracts, but their compensation was set in separate agreements and were not covered by State aid decisions declaring the compensation for the relevant Management Contracts compatible.

The investigation also reveals that certain other services were included in the Deepening Conventions⁴ that are strictly speaking separate from the services for the collection of fines. The majority of these services are linked to the development of the ICT platform, as well as the recruitment of consultants. These services were not tendered.

Next steps

bpost continues to engage with the FPS Justice to mutually determine necessary remedial measures in light of the above-referenced findings. bpost will refund any compensation received which would be in excess of applicable State aid rules. The compensation for the period until a new tender for CBF services is awarded will also be reviewed. Within these discussions, bpost and FPS Justice will need to delineate in detail the nature and scope of the CBF services to be provided, the level of compensation bpost is entitled to receive and the way in which the continuity of the services can be secured. Services insufficiently linked to the collection of fines are progressively phased out.

679 accounts

Background

Since 1912, bpost has managed the bank accounts for the government and more than 200 public agencies (such as VAT payments).

The FPS Finance entrusted this historical service to bpost on the basis of contracts without initiating a tender procedure. A tender procedure has been finalized in 2024. The bpost/speos consortium was one of the three candidates selected to participate. However, BNP Paribas Fortis has been selected as the winning bid.

Main findings

The compensation received by bpost was never notified to the European Commission and may be partly considered to be unlawful State aid.

Next steps

bpost continues to engage with the FPS Finance to mutually determine necessary remedial measures in light of the above-referenced findings. bpost will refund any compensation received which would be in excess of applicable State aid rules. The existing compensation will also be revised for the period up to the award of the new contract for the management of 679 accounts.

Licence plates (European Licence Plates – ELP)

Background

The ELP services encompass the production and the delivery of license plates and the related registration certificate for new and used cars in Belgium. The ELP services also involve the cancellation of license plates and the collection of payment for relevant services.

The bpost/speos consortium won the contract for these services in two successive tenders, launched by DIV (Vehicle Registration Department of the Ministry of Mobility) in 2010 and 2019.

Main findings

There were no findings of infringements of competition laws with regard to the framework of the two tenders under which the concession was awarded. The tender resulted in competitive pricing which is also confirmed by a pricing benchmark conducted by bpost.

Next steps

bpost engaged with the FPS Mobility to establish the validity of the concession conditions (including the compensation) in light of the abovereferenced findings. FPS Mobility has conducted its own analysis leading to diverging conclusions from bpost. FPS Mobility and bpost are in discussion regarding the respective conclusions and findings.

Financial considerations

Besides the finalization of the internal compliance reviews, bpost, supported by independent economists and legal experts, has concluded an in-depth legal and economic assessment regarding the remuneration paid by the Belgian State for the above-referenced three services. This does not cover the press concession, for which reference is made in the note contingent liabilities and contingent assets.

The next phase, involving resolution efforts with the relevant ministries, is ongoing. The timing of the outcome of this process is highly uncertain and depends on various elements that are outside bpost's control. Awaiting full resolution on the relevant files, bpost currently deems a cash outflow probable. As part of its commitment to repay any overcompensation, bpost has a provision of 89.2 mEUR outstanding. The provision, as is customary concerning the repayment of State aid, is already net of corporate income taxes paid on the incompatible aid principal amount. As a result, this amount is not tax deductible at the moment of its recognition. Based on its in- depth legal and economic assessment, bpost believes that such number constitutes the best available estimate of overcompensation to be repaid to the Belgian State for the years up to 2024 for the three contracts. Such number remains preliminary, as it does not yet reflect the views of the Belgian State. bpost will provide an update if and as soon as it would become apparent that the conclusion of the resolution efforts would result in a materially different amount to be repaid as overcompensation.

Apart from these compliance reviews, bpost is currently involved in following legal proceeding initiated by intermediaries. A claim for damages in an alleged (provisional) amount of approximately 21.1 mEUR (exclusive of late payment interest) in the context of legal proceedings initiated by Publimail NV/SA. The Brussels commercial court rejected Publimail's claim on May 3, 2016. Publimail appealed this decision on December 16, 2016. The case was due to be pleaded in April 2021 but the judge decided to postpone the hearing pending the decision of the European Court of Justice ("ECJ") in the case between bpost and the Belgian Competition Authority. The case will now to be ruled by the Brussels Court of Markets, taking into account the preliminary ruling of the ECJ. The procedure will likely resume in 2025. A judgement is not expected before end of 2025.

All claims and allegations are contested by bpost.

Finally, on December 10, 2012, the Belgian Competition Authority concluded that certain aspects of bpost's pricing policy over the January 2010-July 2011 period infringed Belgian and European competition law and imposed a fine of approximately 37.4 mEUR. While bpost paid the fine in 2013, it contested the Belgian Competition Authority's findings and appealed the decision before the Brussels Court of Appeal.

On November 10, 2016, the Brussels Court of Appeal annulled the Authority's decision. The Belgian Competition Authority appealed this judgment before the Supreme Court on points of law. On November 22, 2018, the Supreme Court annulled the judgment and referred the case to the Brussels Court of Appeal for retrial. By a judgement dated February 19, 2020, the Brussels Court of Appeal decided to refer 2 questions to the EU Court of Justice5 for a preliminary ruling. On March 22, 2022, ECJ issued a preliminary ruling on the 2 questions raised by the Brussels Court of Appeal. The Court of Appeal will now have to decide in the light of the answers given by the ECJ. A final decision is not expected before the end of 2025.

The provision related to environment issues amounted to 0.4 mEUR. It covers soil sanitation.

Other provisions include expected costs related to obligations for repairs and legal obligations among others. As at December 31, 2024 other provisions amounted to 13.0 mEUR compared to 5.9 mEUR end of 2023, increase mainly driven by the consolidation of Staci.

6.28 Financial assets and financial liabilities

The following tables provides the fair value measurement hierarchy of bpost's financial assets and financial liabilities:

As of 31 December 2023

	FAIR VALUE CATEGORIZED
IN MILLION EUR	CARRYING AMOUNT	QUOTED PRICES IN ACTIVE MARKETS (LEVEL 1)	SIGNIFICANT OTHER OBSER VABLE INPUTS (LEVEL 2)	SIGNIFICANT UNOBSERVABLE INPUT (LEVEL 3)
FINANCIAL ASSETS MEASURED AT AMORTIZED COST
NON-CURRENT
Financial assets	23.8	0.0	23.8	0.0
CURRENT
Financial assets	1,836.1	0.0	1,836.1	0.0
TOTAL FINANCIAL ASSETS	1,859.9	0.0	1,859.9	0.0
FINANCIAL LIABILITIES MEASURED AT AMORTIZED COST (EXCEPT FOR DERIVATIVES)
NON-CURRENT
Long-term bond	647.1	639.7
Financial liabilities	507.3		507.3
CURRENT
Derivatives instruments - forex swap	0.2		0.2
Derivatives instruments - forex forward
Financial liabilities	1,569.2		1,569.2
TOTAL FINANCIAL LIABILITIES	2,723.7	639.7	2,076.6	0.0

As of 31 December 2024

	FAIR VALUE CATEGORIZED
IN MILLION EUR	CARRYING AMOUNT	QUOTED PRICES IN ACTIVE MARKETS (LEVEL 1)	SIGNIFICANT OTHER OBSERVABLE INPUTS (LEVEL 2)	SIGNIFICANT UNOBSERVABLE INPUT (LEVEL 3)
FINANCIAL ASSETS MEASURED AT AMORTIZED COST
NON-CURRENT
Financial assets	47.1	0.0	47.1	0.0
CURRENT
Financial assets	1,661.3	0.0	1,661.3	0.0
TOTAL FINANCIAL ASSETS	1,708.4	0.0	1,708.4	0.0
FINANCIAL LIABILITIES MEASURED AT AMORTIZED COST
NON-CURRENT
Long-term bond	1,644.6	1,648.0
Financial liabilities	691.0		691.0
CURRENT
Financial liabilities	1,632.1		1,632.1
FINANCIAL LIABILITY MEASURED AT FAIR VALUE
NON-CURRENT
Financial liabilities	11.0			11.0
CURRENT
Derivatives instruments - forex swap	0.5		0.5
TOTAL FINANCIAL LIABILITIES	3,979.1	1,648.0	2,323.5	11.0

The fair value of the non-current and current financial assets measured at amortized cost and the non-current and current financial liabilities measured at amortized cost, approximate their carrying amounts. As they are not measured at fair value in the statement of financial position their fair value should not be disclosed.

During the period there was no transfer between fair value hierarchy levels and there were no changes in the valuation techniques and inputs applied.

Non-current financial assets consist of the non-current trade and other receivables, excluding the non-current contract costs – assets recognized to obtain or fulfil a contract.

Current financial assets consist of cash and cash equivalents and current trade and other receivables, excluding the current contract costs – assets recognized to obtain or fulfil a contract.

Financial liabilities measured at amortized cost – non-current

At the end of 2024, the non-current financial liabilities consisted of:

650.0 mEUR bond. The 8-year bond has been issued in July 2018 with a coupon of 1.25%. In anticipation of this issuance, in February 2018 bpost entered into a forward interest rate swap for 10 years with a nominal amount of 600.0 mEUR to hedge the interest risk of the bond.
500 mEUR bond. The 10-year bond has been issued in October 2024 with a coupon of 3.632 %.
500 mEUR bond. The 5-year bond has been issued in October 2024 with a coupon of 3.29 %.
Liabilities related to leases: 685.1 mEUR (2023 504.9 mEUR).

Derivative instruments

bpostgroup is exposed to certain risks relating to its daily business operations. The primary risk is the foreign currency risk and is managed using derivative instruments. bpostgroup uses foreign exchange forward and foreign exchange swap contracts to manage some of its exposures in foreign currencies. Those contracts have been underwritten in order to hedge the exchange rate risks linked to the intercompany loans granted by bpost to its subsidiaries. At year end 2024 the impact of the fair value of the forward contracts and foreign exchange swap contracts amounted to an increase of the liabilities by 0.5 mEUR.

Financial liabilities measured at amortized cost – current

The outstanding balance of liabilities related to leases amounted to 204.6 mEUR end of 2024 (2023 139.0 mEUR).

Financial liabilities measured at fair value – non-current

This liability relates to the put option held by Staci management on non-controlling interests of Staci (Ordinary shares). The initial fair value was determined based on the price that bpostgroup paid for the acquisition of Staci. Going forward, this liability will be remeasured at its fair value (present value of the expected redemption price) based on equity value estimates at possible exercise date, computed with a valuation model based on (i) EBITDA projections, (ii) contractual multiple and (iii) projected net debt.

6.29 Financial instruments and financial risk management

bpostgroup is exposed to market risks from movements in foreign exchange rates, interest rates and other market prices (utility prices). Furthermore bpostgroup is also exposed to credit risks and liquidity risks.

Foreign exchange rate risks

In its operational and financial activities, bpostgroup is exposed to foreign exchange rate fluctuations which impact the balance sheet and the income statement.

These exchange rate risks consist of (i) transaction risk related to operational activities with cash flows in foreign currency and (ii) translation risk related to the consolidation in Euro of subsidiaries whose functional currency is not the Euro (bpost's functional currency). The main exposure to the foreign exchange rate risk corresponds to the translation risk of the USD and GBP:

			YEARLY AVERAGE (IE : MONTHLY AVERAGE DIVIDED BY 12)
CURRENCY/ DATE	31/12/2024	31/12/2023	2024	2023
USD	1.038	1.105	1.08	1.08
GBP	0.828	0.862	0.84	0.87

There are no material monetary items.

Hedging instruments are used to mitigate these impacts.

bpostgroup uses foreign exchange forward contracts and foreign exchange swap contracts to manage some of its exposures in foreign currencies. Those contracts have been underwritten in order to hedge the exchange rate risks linked to the intercompany loans granted by bpost to its subsidiaries.

The following table demonstrates the sensitivity to a reasonable possible change in the USD and GBP exchange rates, with all other variables held constant. The translation risk is represented by the impact of the variation of the USD and GBP values on the EBIT and the equity of the group for 2024. bpostgroup's exposure to foreign currency changes for all other currencies is not material.

As at 31 December
-------------------

IN MILLION EUR	+5% USD VS EUR	-5% USD VS EUR	+5% GBP VS EUR	-5% GBP VS EUR
Effect on EBIT	(3.4)	3.8	(0.5)	0.5
Effect on Group equity after considering the net investment hedge	(33.9)	37.5	(0.4)	0.5

Interest rate risks

bpostgroup is directly exposed to interest rate fluctuations through its external financing. However, bpostgroup mitigates this risk by achieving a balance between fixed and variable rates. This balance currently only consists of fixed rates but may evolve according to market situation.

In order to manage the interest rate structure of its debt, bpostgroup may use hedging instruments such as interest rate swaps.

At the end of 2024, the external financing consisted of 1,650.0 mEUR bonds.

A 8-year bond has been issued in July 2018 with a coupon of 1.25%. In anticipation of this issuance, in February 2018 bpost entered into a forward interest rate swap for 10 years with a nominal amount of 600.0 mEUR. The transaction was contracted in order to hedge the interest rate risk on the contemplated issuance of a long-term bond to refinance the acquisition bridge loan entered into in November 2017 for the acquisition of Radial. In July 2018, bpost issued a 650.0 mEUR 8-year bond. At that time, the interest rate swap was unwound and settled via a payment of 21.5 mEUR split between an effective part of 20.0 mEUR and an ineffective part of 1.5 mEUR. The ineffective part was booked in the income statement. The effective part of the cash-flow hedge (20.0 mEUR) has been recognized in other comprehensive income (amount net of tax is 14.8 mEUR) as cash-flow hedge reserve. This cash-flow hedge is reclassified to profit or loss during the same periods as the longterm bonds' cash-flows will affect profit or loss over 8 years as from its issuance date. In 2024 a net amount of 1.9 mEUR has been reclassified to the income statement.

In October 2024, bpostgroup issued a 1,000 mEUR dual-tranche senior unsecured bond offering across 5- and 10-year maturities. The 5-year 500 mEUR bond has been issued with a coupon of 3.290% per annum, and the 10-year 500 mEUR bond has been issued with a coupon of 3.632% per annum. Use of proceeds went towards the refinancing of the bridge facility put in place in August 2024 in the context of the acquisition of Staci.

Financial results of bpostgroup are also influenced by the evolution of the discount rates, used to calculate the employee benefits obligation. At December 31, 2024, an increase of 50 bp of the average discount rates, would generate a decrease of financial charge of 12.3 mEUR. A decrease of 50 bp of the average discount rates, would increase financial charges by 13.2 mEUR. For further detail, see note 6.25 employee benefits.

Other market risks

The risk of a potential prolonged interruption of operations due to extreme natural events is increasing alongside climate change.

bpostgroup seeks to prevent damage to buildings and interruptions to operations as much as possible through prevention and contingency programs. The detrimental consequences of these risks are covered by insurance policies.

In the fourth quarter of 2024 bpostgroup completed the first phase of a Climate Risk Assessment, covering the entire scope of its operations. This initial phase focused on identifying both physical and transition risks, including the exposure of bpostgroup facilities and operations to climate hazards under various scenarios. The second phase, scheduled for the first half of 2025, will involve a detailed analysis of the magnitude of these risks and the vulnerability of bpostgroup assets.

More details about the climate related risk for bpostgroup and the outcome of our resilience analysis can be found in the CSRD section of this report in the chapter 6.2.1.3 SBM3 : Material Impacts, Risks and Opportunities and Their Interaction with Strategy and Business Model.

Overall, bpostgroup's strategy and business model are resilient in relation to climate change. Although the Climate Risk Assessment is not yet fully finalized, bpostgroup can already conclude that climate change does not pose critical and fundamental threats to its future existence.

For physical risks, exposure to several climate hazards has been identified, particularly in a high emissions scenario. However, bpostgroup expects that most risks can be mitigated thanks to the distributed nature of its operations and through adaptation solutions, either implemented directly by bpostgroup or by third parties (e.g., governments investing in flood defense systems).

On transition risks, bpostgroup considers increased climate-related regulations, reduced access to city centers, increased fuel cost (notably linked to European ETF scheme that should impact the transport industry as of 2027) and growing customer expectations for low-carbon deliveries as especially relevant topics being addressed in our plans.

The current lack of mature and affordable technologies for electrified mid and large truck fleets and other low-carbon technologies (heat pumps, electricity storage) are seen as short-term challenges for rapid decarbonization. These issues affect the entire logistics industry. Addressing the availability and cost of low-carbon solutions for air or long-distance freight will be the biggest challenge for our Global Crossborder business.

The transition to a net-zero economy could also present opportunities for bpostgroup. With ambitious GHG emission reduction targets and plans, bpostgroup is well-positioned to meet the growing demand for low-carbon logistic solutions.

Credit risks

bpostgroup is exposed to credit risks through its operational activities, in the investment and management of its liquidities (banks).

As at 31 December

IN MILLION EUR	2024	2023
Cash and Cash equivalents	747.4	870.6
Trade receivables (Current and non-current)	806.4	891.0
Other receivables exposed at credit risk	51.7	49.5
CREDIT RISK CLASSES OF FINANCIAL ASSETS	1,605.5	1,811.2

Operational activities

The credit risk by definition only concerns that portion of bpostgroup's activities that are not paid upfront in cash. bpostgroup actively manages its exposure to credit risk by investigating the solvency of its customers. This translates into a credit rating and a credit limit.

bpostgroup recognizes on all of its trade receivables an allowance for expected credit losses based on the lifetime expected credit losses (ECL) model. As the trade receivables do not contain a significant financing component bpost opted to apply the simplified approach to calculate the expected credit loss rate with the use of a provision matrix, based on the historical default rates adapted for current and forward looking information.

The following table summarizes the movement in the provision for expected credit losses:

IN MILLION EUR	2024	2023
AT 1 JANUARY	27.2	37.7
Impairments: Additions through business combinations	0.9	0.0
Impairments: Additions	3.1	2.6
Impairments: Utilization	(1.8)	(2.2)
Impairments: Reversal	(3.2)	(10.4)
Impairments: Translation differences	1.0	(0.5)
AT 31 DECEMBER	27.2	27.2

The ageing analysis of the trade receivables and the credit risk exposure following the provision matrix is as follows:

	DAYS PAST DUE
IN MILLION EUR	CURRENT	< 60 DAYS	60 -120 DAYS	> 120 DAYS	TOTAL
AS AT 31 DECEMBER 2023
Estimated total gross carrying amount at default	772.7	121.2	5.8	18.4	918.2
Expected credit loss rate	0.0%	3.7%	72.4%	100.0%
Allowance for expected credit losses	0.0	(4.5)	(4.2)	(18.4)	(27.2)
TRADE RECEIVABLES AND TERMINAL DUES	772.7	116.7	1.6	0.0	891.0

AS AT 31 DECEMBER 2024
Estimated total gross carrying amount at default	658.2	129.6	20.3	19.5	827.6
Expected credit loss rate	0.0%	2.9%	19.2%	100.0%
Allowance for expected credit losses	0.0	(3.8)	(3.9)	(19.5)	(27.2)
TRADE RECEIVABLES AND TERMINAL DUES	658.2	125.8	16.4	0.0	800.4

Investment of liquidities

Regarding bpostgroup's investment of its liquidities, which includes cash and cash equivalents and investment securities, the exposure to credit risk arises from default of the counterparty, with a maximum exposure equal to the carrying amount of these instruments.

Liquidity risks

bpostgroup's current liquidity risk is limited due to the high level of cash at hand and due to the fact that a significant portion of its revenues is paid for by its customers prior to bpostgroup performing the service.

The maturity of the liabilities are presented as follows:

IN MILLION EUR	CURRENT	NON CURRENT	TOTAL
	LESS THAN 1 YEAR	BETWEEN 1 AND 5 YEARS	LATER THAN 5 YEARS
31 DECEMBER 2023
Lease obligations	166.1	382.7	168.7	717.4
Trade and other payables	1,430.1	2.4	0.0	1,432.5
Long term bond	8.1	662.4	0.0	670.5
Commercial papers	0.0	0.0	0.0	0.0
Derivative instruments	0.2	0.0	0.0	0.2
Bank overdraft	0.0	0.0	0.0	0.0
Bank loan	0.0	0.0	0.0	0.0
Other loans	0.1	0.0	0.0	0.1
TOTAL FINANCIAL LIABILITIES	1,604.6	1,047.5	168.7	2,820.7
31 DECEMBER 2024
Lease obligations	225.4	559.3	196.8	981.5
Trade and other payables	1,417.7	2.1	0.0	1,419.8
Long term bond	42.7	1,307.4	550.7	1,900.9
Derivative instruments	0.5	0.0	0.0	0.5
Bank overdraft	(0.3)	0.0	0.0	(0.3)
Bank loan	9.3	3.8	0.0	13.1
Other loans	0.5	0.0	0.0	0.5
Contingent consideration	0.0	11.0	0.0	11.0
TOTAL FINANCIAL LIABILITIES	1,695.8	1,883.6	747.5	4,326.9

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The above contractual maturities are based on the contractual undiscounted payments, which may differ from the carrying values of the liabilities at the statement of financials position date.

The liquidity risk is further mitigated by committed credit lines scaled according to the magnitude of bpostgroup operations.

6.30 Contingent liabilities and contingent assets

As described under note 6.27, the Brussels Court of Appeal annulled the Belgian Competition Authority's decision imposing a fine of 37.4 mEUR on November 10, 2016. The Belgian Competition Authority appealed this judgment before the Supreme Court on points of law.

On November 22, 2018, the Supreme Court annulled the judgment and referred the case to the Brussels Court of Appeal for retrial. By a judgement dated February 19, 2020, the Brussels Court of Appeal decided to refer 2 questions to the ECJ⁶ for a preliminary ruling. On March 22, 2022, ECJ issued a preliminary ruling on the 2 questions asked by the Brussels Court of Appeal. The Court of Appeal will now have to decide in the light of the answers given by the ECJ. A final decision is not expected before end of 2025. The foregoing constitutes a contingent asset as, should the Court of Appeal annul the Belgian Competition Authority's decision, bpost may recover the fine of 37.4 mEUR (excluding interests) unless the Supreme Court would again annul the judgement of the Court of Appeal.

Furthermore, on August 10, 2022, the Chair of the bpost Board of Directors requested the Head of Compliance & Data Protection of bpost, with the support of the Head of Corporate Audit of bpost, to conduct an internal compliance review regarding the then ongoing public tender of the Belgian State for the distribution of recognized newspapers and periodicals in Belgium⁶ .

The compliance review started on August 28, 2022, focusing on the governance principles set forth in the Code of Conduct of bpostgroup and the specific compliance guidelines relating to this tender and was based, in terms of fact finding, (1) on questionnaires and interviews of the most relevant and senior persons working for bpost; and (2) on relevant documents requested from the interviewees during their interviews. The preliminary results of the review on September 27, 2022 did not reveal elements that indicated potential violations of applicable laws.

Early October 2022, new facts emerged that had not been disclosed to the compliance review team during the initial compliance review. This led the Chair of the Board of Directors, on October 7, 2022, to extend the initial compliance review and to proceed with a more extensive and intrusive review. A forensic search with an external forensic investigation firm was launched immediately thereafter.

Based on the initial results of the forensic search, new interviews were held, and the scope of the forensic search was extended to other employees with a particular focus on any illegal information exchange or concerted practices.

The Board of Directors was informed of the results of the extended compliance review, revealing elements that indicated potential violations of bpostgroup's codes, policies and applicable laws. On October 24, 2022, the Board of Directors and the bpostgroup CEO at the time mutually agreed that the bpostgroup CEO at the time would temporarily step aside pending the review.

As the compliance review continued, it revealed non-compliance with the bpostgroup's codes and policies as well as indications of noncompliance with applicable laws. The compliance review was also extended to the current concession for the distribution of newspapers and periodicals in Belgium and revealed elements that may indicate potential violations of applicable laws as well.

On December 9, 2022, the Board of Directors and the bpostgroup CEO decided to mutually terminate their collaboration. The internal compliance review of the press concession is finalized. The external investigations which were triggered as a result of the internal compliance review are still ongoing.

Throughout the process, bpost was assisted by external legal counsels and has actively cooperated with the competent authorities in order to preserve its interests.

Potential impact

Based on the information currently at its disposal and discussions with its legal advisors, bpost has the following view on the potential impact of results of the compliance review:

(i) bpost understands that the Belgian Competition Authority ("BCA") has opened an investigation and has conducted inspections at the premises of a company active in the press distribution sector and of a press publisher, which are independent of the bpostgroup. bpost has cooperated, and continues to fully cooperate with the ongoing investigation of the BCA. The progress made on the ongoing investigation of the BCA did not change bpost's assessment of the risk of a fine, which remains possible but not probable.

(ii) The Belgian Government is conducting an audit on the compensation for the current press concession (2016-2020), which run until

6 The Belgian State organized a tendering procedure with respect to the distribution of recognized newspapers and periodicals in Belgium, following which the service concessions were awarded to bpost on October 16, 2015 to provide the services from January 1, 2016 until December 31, 2020. In December 2019, the Belgian government decided to extend the service concessions until December 31, 2022. In November 2022, the Belgian government decided to extend the service concessions until December 31, 2023, at the conditions that apply for 2022, as specified in the current concessions. On February 23, 2023 the Belgian government published the new press concessions tender. However, on December 12, 2023, the Belgian government decided to not award the tender and to extend the service concessions until June 30, 2024. On May 24, 2024, the European Commission approved the compensation granted to bpost relating to both extensions.

mid-2024, and has announced its intention to re-claim any overcompensation. The costs associated with the service were reviewed and scrutinized on an ex-ante basis in the context of the European Commission's State aid review and on an ex-post basis by the College of Auditors (College des Commissaires) as part of the annual approval of the financial accounts and such reviews did not give rise to any finding of overcompensation. bpost is currently unable to assess the risks associated with this ongoing external audit and its potential findings considering that it is still ongoing. bpost has offered its cooperation to the Belgian State with respect to this ongoing audit. (iii) Considering the self-cleaning measures taken by bpost, it is probable that contracting authorities will consider that bpost has demonstrated its reliability and will therefore allow bpost to participate in ongoing and future tendering procedures. Furthermore, consistent with past practice for similar matters, bpost considers the possibility that contracting authorities would reverse previous award decisions and terminate current contracts or concessions because of the results of the compliance review to be remote, without prejudice to the potential claims for over-compensation resulting from the Governmental audit. (iv) bpost has also taken measures of cooperation with the public prosecutor so as to reduce any risk of criminal enforcement.

Considering the various elements as explained in items i to iv above, bpost, supported by external legal counsel, currently continues to deem the exposure of a cash outflow related to the (public tender for) the concession for the distribution of recognized newspapers and periodicals in Belgium possible but not probable. Given the ongoing nature of the external investigations, and notwithstanding the possible but not probable risk assessment, bpost is unable to provide any estimates of cash outflows, should they occur, at this stage.

6.31 Rights and commitments

Guarantees received

At 31 December 2024, bpostgroup benefits from bank guarantees amounting to 23.6 mEUR, issued by banks on behalf of bpostgroup's customers. These guarantees can be called in and paid against in the event of non-payment or bankruptcy. They therefore offer bpostgroup financial certainty during the period of contractual relations with the customer.

Goods for resale on consignment

At 31 December 2024, merchandise representing a sales value of 1.7 mEUR had been consigned by partners for the purpose of sale through the postal network.

Revolving credit facilities

bpost NV/SA has two undrawn revolving credit facilities for a total amount of 475.0 mEUR. The syndicated facility amounts to 400.0 mEUR, which expires in June 2029 whereas the bilateral facility of 75.0 mEUR, which expires in December 2029 and allows for EUR and USD drawdowns. Both facilities include an option to extend the maturity date by up to two additional years, through two one-year extension periods. The 400.0 mEUR facility is classified as a "Sustainability-Linked Financing," with pricing linked to an ESG premium or discount based on the borrower's performance against three predefined targets.

Guarantees given

bpost NV/SA has an agreement with BNP Paribas Fortis, Belfius, ING, KBC and Société Générale according to which they agree to provide for up to 97.9 mEUR in guarantees for bpost upon simple request. Furthermore, bpostgroup has provided for an amount of 17.1 mEUR of guarantees to third parties.

Funds of the State

bpost NV/SA settles and liquidates the financial transactions of government institutions (taxes, VAT, etc.) on behalf of the State. The funds of the State constitute transactions "on behalf of" and are not included in the statement of financial position.

6.32 Related party transactions

a) Relations with the shareholders

The Belgian State as a shareholder

The Belgian State, through the Société Fédérale de Participations et d'Investissement/Federale Participatie- en Investeringsmaatschappij ("SFPI/FPIM"), is the majority shareholder of bpost NV/SA and holds 51.04% of bpost NV/SA. Accordingly, it has the power to control any decision at the Shareholders' Meeting requiring a simple majority vote.

The rights of the Belgian State as bpost's shareholder are defined in the corporate governance policies (publicly available on bpost website).

The Belgian State as public authority

The Belgian State is, together with the European Union, the main legislator in the postal sector. The Belgian Institute for Postal services and Telecommunications ("BIPT"), the national regulatory authority, is the principal regulator of the postal sector in Belgium.

The Belgian State as a customer

The Belgian State is one of bpost's largest customers. Including the remuneration for the SGEIs, 9.5% of bpostgroup's total operating income in 2024 was attributable to the Belgian State and State related entities. Excluding the SGEI remuneration, the services provided to State related customers do not exceed 5% of bpostgroup's total operating income.

bpost provides postal delivery services to a number of public administrations, both on commercial terms and pursuant to the provisions of the management contracts.

bpost provides universal postal services and SGEIs entrusted to it by the Belgian State, covering postal, financial, and other public services. The Law of 1991, the Postal Law of January 26, 2018, the universal postal service obligations ("USO") management contract the 7th SGEI management contract as well as the press concession agreements set out the rules and conditions for carrying out the obligations that bpost assumes in execution of its universal postal services and SGEIs, and, where applicable, the financial compensation paid by the Belgian State.

The SGEIs entrusted to bpost under the 7th management contract are aimed at satisfying certain objectives related to the public interest. These SGEIs include the maintenance of the retail network: in order to ensure territorial and social cohesion, bpost must maintain a retail network consisting of at least 1,300 postal service points. At least 650 of these postal service points must be post offices. bpost must also install at least 350 ATMs on the territory and at least one in the municipalities where no other operator has installed it. The provision of day-to-day SGEIs consists in "cash at counter" services and home delivery of pensions and social allowances. Finally ad hoc SGEIs include the social role of the postman, especially in relation to persons who live alone or are the least privileged, the "Please Postman" service, the distribution of information to the public at the request of the authorities and to support large-scale information campaigns by the authorities in case of a major crisis, cooperation with regard to the delivery of voting paper packages, the delivery of addressed and unaddressed election printed items, the delivery at a special price of postal items sent by associations, the delivery of letter post items falling within the freepost system, support to initiatives to 'bridge the digital divide' and facilitate access to e-government services via the post offices, the financial and administrative processing of fines, the sale of public or shared transportation tickets, at the request of the public or shared transportation companies and the sale of post stamps.

Tariffs and other terms for the provision of certain of the services provided under the 7th management contract are determined in implementing agreements between bpost, the Belgian State and, where relevant, the other parties or institutions concerned.

bpost furthermore continued to provide the SGEIs of early delivery of newspapers and distribution of periodicals until June 30, 2024. Until December 31, 2015, these services were provided under the 5th management contract. In accordance with the Belgian State's commitment to the European Commission, a competitive, transparent and non-discriminatory market consultation procedure with respect to these services was organized, following which the provision of the services was awarded to bpost in October 2015. Consequently, since January 1, 2016, the services of distribution of newspapers and periodicals were delivered in accordance with the concession agreements executed between bpost and the Belgian State in November 2015.

On June 3, 2016, the European Commission approved both the 6th management contract and the concession agreements on distribution of newspapers and periodicals under the state aid rules7 .

In December 2019 the Belgian Federal Council of Ministers decided to extend the current press concessions with bpost for a period of two years (2021-2022) at the conditions that apply for 2020, as specified in the current concessions. This decision was approved by the European Commission on September 2, 2021. In November 2022, the government decided to extend the concession once again at the conditions that apply for 2020, this time for one year until end 2023.

In December 2023, following its decision not to award any new press concession and to replace it by a tax measure for the press publishers, the Belgian government decided to extent the concession for an additional six months period (until June 30, 2024). On May 24, 2024, the European Commission approved the compensation granted to bpost relating to both extensions.

management contract covering the period until December 31, 2026. This contract has been notified to the European Commission and was approved on July 19, 2022. As a consequence of this approval, the contract entered into force.

bpost also provides cash account management services to the Belgian State and certain other public entities pursuant to the Royal Decree of January 12, 1970 regulating the postal service as amended pursuant to the Royal Decree of April 30, 2007 regulating postal financial services and the Royal Decree of April 14, 2013 amending the Royal Decree of January 12, 1970 regulating the postal service. On May 3, 2024 the Belgian State informed bpost that the tender has been won by another bidder.

⁷ In October 2016, the Flemish Federation of Press Vendors ("Vlaamse Federatie van Persverkopers") sought the annulment of the European Commission's clearance decision before the General Court on procedural grounds. In February 2019, the General Court has removed the case from the register following the request by VFP to discontinue the proceedings.

The compensation granted to bpost in respect of the SGEIs is being disclosed in note 6.7 of the annual report and amounted to 227.8 mEUR for 2024 (311.9 mEUR in 2023).

The compensation of SGEIs is based on a net avoided cost ("NAC") methodology. This methodology provides that compensation shall be based on the difference between (i) the net cost for the provider of operating with the SGEI obligation and (ii) the net cost for the same provider of operating without that obligation.

The compensation for the distribution of newspapers and periodicals consisted of a flat amount and a variable fee based upon distributed volumes. This compensation was subject to further ex-post verifications and must be NAC compliant.

The outstanding amount owed by the Belgian State for the SGEI remuneration was fully settled at December 31, 2024 (compared to 74.6 mEUR outstanding on December 31, 2023).

b) Consolidated companies

A list of all subsidiaries (and equity-accounted companies), together with a brief description of their business activities, is provided in note 6.33 of this annual report.

Balances and transactions between bpost and its subsidiaries, which are related parties of bpost, have been eliminated within the consolidated financial statements and are not disclosed in this note.

c) Relations with associates and joint ventures

Jofico

On November 4, 2019, bpost NV/SA, AXA Bank Belgium NV/SA, Crelan NV/SA, Argenta Spaarbank NV/SA and vdk bank NV/SA incorporated the joint venture "Jofico CV". This joint venture in which each shareholder has an equal part, aims at implementing an ATM-as-a-service model according to which the participating companies will combine forces for the purchase and maintenance of their respective ATM network.

d) Compensation of key management

Key management personnel are those persons with authority and responsibility for the strategic orientation of the bpostgroup. For bpostgroup, key management personnel is composed of all members of the Board of Directors, including the CEO, and Executive Committee.

As described in the Remuneration Report, the Remuneration Policy setting out the remuneration principles of the non-executive members of the Board of Directors, the CEO and the other members of the Executive Committee was first approved by the General Shareholders' Meeting on May 12, 2021 and has been applicable since January 1, 2021. Upon recommendation of the Remuneration and Nomination Committee, the Board of Directors has prepared a revised version of the Remuneration Policy, mainly to introduce a long-term incentive plan. The revised Remuneration Policy was approved by the Special General Shareholders' Meeting of November 23, 2023. The revised Remuneration Policy has been applicable since November 23, 2023.

The Board of Directors' members, with exception of the CEO, are entitled to (i) a monthly fixed remuneration and (ii) an attendance fee for each Advisory Committee meeting attended.

In 2024, the total remuneration paid to the Board of Directors' members (excluding the CEO) amounted to 0.6 mEUR (2023: 0.6 mEUR).

The remuneration package of the CEO and the other members of the Executive Committee consists of (i) a fixed base remuneration, (ii) a variable short-term incentive, (iii) a variable long-term incentive, (iv) pension contributions and (v) various other benefits.

For the year ended on December 31, 2024, a total remuneration of 6.4 mEUR (2023: 5.5 mEUR) excluding the variable remuneration was paid to CEO and the members of the Executive Committee, and can be broken down as follows:

base remuneration: 4,309,132.62 EUR (2023: 3,654,981.34 EUR);
pension contribution : 605,893.83 EUR (2023: 593,570.26 EUR);
other benefits : 421,341.73 EUR (2023: 1,201,789.03 EUR).

In addition, the other members of the Executive Committee (excluding the CEO) received in 2024 a global variable remuneration of 1,024,151.8 EUR (2023: 893,101.44 EUR).

Except for the variable long-term incentive of Thomas Mortier (see below), no shares, stock options or other rights to acquire shares (or other share-based remuneration) were granted to or exercised by the CEO or the other members of the Executive Committee or have expired in 2024. No options under previous stock option plans were still outstanding for the financial year 2024.

Following the acquisition of Staci Group on August 1, 2024, Thomas Mortier, CEO of Staci, joined the Executive Committee of the Company. In order to foster this acquisition, the Company entered into a share-based management incentive plan with certain managers of the Staci Group ("Staci MIP"), including Thomas Mortier, for a maximum period of 3 years (i.e. until 2027).

Thomas Mortier was granted, on August 7, 2024, 857.959 free preferred shares in Augusta Progress. The preferred shares vest after one year, i.e. on August 7, 2025. After the vesting date follows a retention period of one year, i.e. until August 7, 2026, during which the preferred shares cannot be transferred. Liquidity put/call options exercisable in 2028 allow the management to monetize their preferred shares. Performance criteria have been set for Thomas Mortier as payout metrics depending on in particular (i) the realization of the Staci, Radial Europe and Active Ants' business plans (expressed in target EBITDA pre-IFRS16), (ii) the achievement of synergies within 3PL EU BU entities as well as with other bpostgroup's entities, (iii) the net financial debt of Staci, and (iv) the cumulative CapEx of Staci. Good leaver/bad leaver rules apply as well in relation to the preferred shares.

A more detailed overview of the compensation of key management of bpost and (the application in 2024 of) bposgroup remuneration policy is included in the remuneration report.

6.33 Group companies

The business activities of the main subsidiaries can be described as follows:

Aldipress is active on the Dutch market as a distributor of magazines, comics, novels and puzzle books.
Active Ants' business activities consist of cross-border e-fulfilment for webshops, including product storing, picking, packing, transport and shipping and returns handling.
AMP is a prominent player in the Belgian press distribution market with a large number of points of sale serviced and a large number of titles distributed.
Apple Express Courier (Miami) and Apple Express Courier (Canada) are logistics and supply chain companies specializing in premium expedited and dedicated transportation, value-added forward and reverse warehousing services and end-mile delivery services in Canada.
b2boost is specialized in the automation and digitization of B2B data interchanges with the aim of improving efficiency and cashflow at its customers. b2boost has created a platform that guarantees the highest standards of robustness, legal compliance in 60 countries, flexibility and a high degree of specialisation in B2B data process digitization.
bpost Singapore and bpost Hong-Kong provide a full range of delivery and logistics solutions, including cross-border mail and parcels and e-commerce fulfilment. Both entities are mainly focused on directly collecting parcels from overseas e-commerce companies and businesses for delivery in Europe and other regions. bpost International Logistics (Beijing) Co. is a company affiliated to bpost Hong Kong and is established in Beijing (China). It offers a full range of cross-border parcel distribution services to the Chinese e-tailers and consolidators, with a strong focus on delivery of parcels to European and other global buyers. It is primarily active in Beijing, Shanghai and Shenzhen.
DynaGroup offers a range of specialized logistics services and software, including the repair of electronics (from smartphones and drones to coffee machines), the personalized e-commerce delivery services, for both small products (such as smartphones) and large consumer products (such as the delivery and installation of large televisions, washing machines and furniture), as well as the preventive and corrective maintenance, cleaning, repair and reuse of medical devices. DynaGroup also provides safe and reliable services for governments and financial institutions, such as the delivery of passports and the finalizing of contracts at the customer's home.
Euro-Sprinters is a courier service offering express deliveries of any size 7 days a week, 24 hours per day, within Belgium as well as internationally.
Freight 4U Logistics is a ground handler based in Brussels and Liège airports areas with services including freight breakdown, sorting and processing of freight, import and export customs activities and freight forwarding.
Freight Distribution Management Systems and FDM Warehousing are specialized in providing a personalized customer service for warehousing, fulfilment and distributing products in Australia and New Zealand. Its businesses consist of third party logistics (3PL) warehousing, transport & distribution.
IMX is a French-based international delivery provider that offers a full range of delivery services worldwide. Thanks to its partners and agreements with 200+ leaders in last mile delivery, IMX offers a wide variety of delivery services (parcels, letters, press publications, tracked shipments, delivery with signature, return goods, etc.) at optimized cost from the very first shipment.
Landmark Global and Landmark Trade Services are leading international parcels consolidators respectively based in the US and Canada. They are mainly focused on the distribution of e-commerce parcels from US-based e-tailers into Canada, Europe, Australia and Latin America. They also offer various logistics solutions and fulfilment services in locations in the United States and Canada for their e-commerce customers.
Landmark Global (UK) is a UK based mail, parcel and transport company providing global logistics solutions to the market in UK. Based near to Heathrow airport, Landmark Global (UK) has a customs bonded facility enabling to offer customs clearance services and x-ray security screening services. Landmark Global (UK) acts as an inbound and outbound gateway for other bpost entities around the world.
Landmark Trade Services (UK) provides import services for goods entering the UK. Its location right next to London Heathrow makes it ideally suited to service US to UK airlift imports.
Leen Menken Foodservice Logistics is a logistic operator for the storage, logistics and distribution of refrigerated and frozen products for e-commerce.
Radial Netherlands provides import services for US customers looking to sell their products in Europe. This includes customs clearance services, warehousing, pick & pack and last mile delivery. Landmark Trade Services (Netherlands) focuses on advising new US customers on how to enter their products into Europe. This includes both advice on customs/VAT set-up and on product registration in the various European countries.
Radial Poland provides fulfilment, logistics and distribution activities. It operates as logistics and distribution partner for direct selling companies across Western, Central and Eastern Europe.
Radial's American and other European entities market a range of services all along the e-commerce logistics chain. Radial's technical, powerful omnichannel solutions connect supply and demand through efficient fulfilment and delivery options, intelligent fraud protection and payment processing and personalized customer care services, allowing brands to simplify their post click experience and improve their customer service.
Speos Belgium manages outgoing document flows for its customers, specializing in the outsourcing of financial and administrative documents, such as invoices, bank statements and salary slips. Services include document generation, printing and enclosing, electronic distribution and archiving.
Staci group is a renowned fulfillment and logistics services specialist that offers multichannel logistics and distribution solutions, including B2B, D2C and ecommerce to a wide range of industries including beauty & healthcare, telecom, retail, food & beverage and the public sector. With a unique expertise in multi-client shared warehouses, Staci is capable of implementing custom-made and cost-effective logistic solutions. Thanks to the know-how, the processes, and the experience that the company has developed around fulfilment, pick & pack, shared resources, transport optimisation, IT systems and stock financing, Staci is able to offer unique and fully integrated supply chain management solutions.

	SHARE OF VOTING RIGHTS IN % TERMS		COUNTRY OF INCORPORATION
NAME	2024	2023
Jofico CV	20%	20%	Belgium
Certipost NV-SA	100.0%	100.0%	Belgium
Euro-Sprinters NV-SA	100.0%	100.0%	Belgium
Radial Poland Sp z o.o.	100.0%	100.0%	Poland
Speos Belgium NV-SA	100.0%	100.0%	Belgium
Landmark Global (UK) Ltd	100.0%	100.0%	UK
bpost Hong Kong Ltd	100.0%	100.0%	Hong Kong
bpost Singapore Pte. Ltd	100.0%	100.0%	Singapore
bpost International Logistics (Beijing) CO Ltd	100.0%	100.0%	China
bpost US Holdings, Inc	100.0%	100.0%	USA
Landmark Global, Inc	100.0%	100.0%	USA
Landmark Trade Services, Ltd	100.0%	100.0%	Canada
Radial Netherlands B.V.	100.0%	100.0%	Netherlands
Landmark Trade Services (Netherlands) BV	100.0%	100.0%	Netherlands
Landmark Trade Services (UK) Ltd	100.0%	100.0%	UK
Apple Express Courier, Inc	100.0%	100.0%	USA
Apple Express Courier, Ltd	100.0%	100.0%	Canada
Freight Distribution Management Systems PTY, Ltd	100.0%	100.0%	Australia
FDM Warehousing PTY, Ltd	100.0%	100.0%	Australia
AMP NV-SA	100.0%	100.0%	Belgium
Radial Belgium NV-SA	100.0%	100.0%	Belgium
DynaGroup BV	100.0%	100.0%	Netherlands
Dynafix Repair BV	100.0%	100.0%	Netherlands
Dynalogic Benelux BV	100.0%	100.0%	Netherlands
Dynafix Care BV	100.0%	100.0%	Netherlands
Dynalogic Courier BV	100.0%	100.0%	Netherlands
Dynafix Computer Repair BV	100.0%	100.0%	Netherlands
Dynasure BV	100.0%	100.0%	Netherlands
Dynafix OnSite BV	100.0%	100.0%	Netherlands
DynaLinq BV	100.0%	100.0%	Netherlands
Dynalogic Belgium NV	100.0%	100.0%	Belgium
Radial Holdings, LP	100.0%	100.0%	USA
Radial Commerce, Inc	100.0%	100.0%	USA
Radial South, LP	100.0%	100.0%	USA

	SHARE OF VOTING RIGHTS IN % TERMS	COUNTRY OF INCORPORATION
NAME	2024	2023
Radial, Inc	100.0%	100.0% USA
Radial Luxembourg S.à.R.l.	100.0%	100.0% Luxembourg
Radial Omnichannel Technologies India, Private Ltd	100.0%	100.0% India
Radial Omnichannel International, SL1	-	100.0% Spain
Radial GmbH	100.0%	100.0% Germany
Radial Commerce Ltd	100.0%	100.0% UK
Radial E-commerce (Shanghai) Corp. Ltd	100.0%	100.0% China
bpost North America Holdings, Inc	100.0%	100.0% USA
Radial III GP, LLC	100.0%	100.0% USA
Radial South GP, LLC	100.0%	100.0% USA
Radial Italy s.r.l.	100.0%	100.0% Italy
Leen Menken Foodservice Logistics BV	100.0%	100.0% Netherlands
Active Ants BV	100.0%	100.0% Netherlands
Anthill BV1	-	100.0% Netherlands
Freight 4U Logistics BV	100.0%	100.0% Belgium
Active Ants International BV1	-	100.0% Netherlands
Active Ants Belgium BV	100.0%	100.0% Belgium
Active Ants Germany GmbH	100.0%	100.0% Germany
Active Ants UK Ltd	100.0%	100.0% UK
Marceau 1 SAS	100.0%	68.6% France

IMX France	100.0%	68.6% France
IMX GmbH	100.0%	68.6% Germany
Aldipress BV	100.0%	100.0% Netherlands
b2boost NV-SA	100.0%	100.0% Belgium
Augusta Progress2	98.75%	- France
Staci2	98.75%	- France
BLG Manco2	98.75%	- Netherlands
BLG Holding2	98.75%	- Netherlands
Staci Belgium2	98.75%	- Belgium
Sepia2	98.75%	- Belgium
Pixel Inspiration Holdings2	98.75%	- France
MDA2	98.75%	- UK
Staci Americas2	98.75%	- USA
Staci Deutschland2	98.75%	- Germany
Staci Logistics Spain2	98.75%	- Spain
Staci Asia Pacific2	98.75%	- Hong Kong
Eurodislog2	98.75%	- France
Publidispatch2	98.75%	- France
Logigones2	98.75%	- France
LM2S2	98.75%	- France
Staci Italia2	50.36%	- Italy
Staci Netherlands2	74.06%	- Netherlands
Base Logistics2	98.75%	- Netherlands
Special Logistic Services2	98.75%	- Netherlands
Healthlink Europe2	98.75%	- Netherlands
Sepia Digital2	98.75%	- Belgium
Pixel Inspiration France2	98.75%	- France
Healthlink Europe Services2	98.75%	- Netherlands
Healthlink International2	98.75%	- USA

1 Liquidated.

2 Acquired - part of Staci Group

bpostgroup structure

As per 31 December 2024

6.34 Events after the statement of financial position date

No significant events impacting financial position of bpostgroup have been observed after the statement of financial position date.

7. Summary financial statements of bpost NV/SA

This section contains a summary version of the statutory (non-consolidated) annual accounts of bpost NV/SA under BGAAP. The statutory auditor issued an unqualified opinion on the statutory accounts of bpost NV/SA as of and for the year 2024.

The full version of the annual accounts is filed with the National Bank of Belgium and is also available free of charge on the website of bpostgroup.

Balance sheet of bpost NV/SA (summary)

As at 31 December
IN MILLION EUR	2024	2023
ASSETS
NON-CURRENT ASSETS
Intangible assets (including formation expenses)	25.8	29.5
Tangible assets	456.4	442.7
Financial assets	2,273.1	1,209.9
Trade and other receivables	0.7	0.0
	2,755.9	1,682.1
CURRENT ASSETS
Inventories	8.2	8.9
Trade and other receivables	411.2	626.5
Cash and cash equivalents	582.6	757.9
Deferred charges and accrued income	48.1	38.0
	1,050.1	1,431.2
TOTAL ASSETS	3,806.0	3,113.4

EQUITY AND LIABILITIES
EQUITY
Issued capital	364.0	364.0
Reevaluation surpluses	0.1	0.1
Reserves	63.7	67.9
Retained earnings	226.3	456.2
	654.0	888.2
PROVISIONS
Pension related provisions	29.4	28.7
Provision for repairs and maintenance	0.2	0.5
Other liabilities and charges	204.4	208.7
Deferred taxes	4.3	5.7
	238.2	243.5
NON-CURRENT LIABILITIES
Long term debts	1,648.9	648.1
	1,648.9	648.1
CURRENT LIABILITIES
Trade and other payables	302.0	314.1
Short term debts	68.7	58.8
Social debts payable	412.7	418.6
Tax payable	26.7	16.1
Other debts	281.4	359.6
Accrued charges and deferred income	173.4	166.3
	1,264.8	1,333.5
TOTAL LIABILITIES	3,806.0	3,113.4

Income statement of bpost NV/SA (summary)

For the year ended 31 December

IN MILLION EUR	2024	2023
Revenue	2,299.8	2,349.5
Other operating income	42.0	37.6
Non-recurring operating income	0.0	0.0
TOTAL OPERATING INCOME	2,341.8	2,387.0
Material costs	5.9	7.4
Payroll costs	1,333.1	1,300.3
Services and other goods	786.8	780.5
Other operating expenses	26.4	36.8
Provisions	(3.9)	(8.8)
Depreciation and amortization	83.9	85.8
Non-recurring operating expenses	0.3	3.1
TOTAL OPERATING EXPENSES	2,232.5	2,205.1
PROFIT FROM OPERATING ACTIVITIES	109.2	181.9
Financial gains/(losses)	84.7	57.2
Non-recurring financial gains / (losses)	(396.3)	(84.9)
Extraordinary gains/losses
PROFIT FOR THE PERIOD BEFORE TAXES	(202.3)	154.1
Transfer from postponed taxes	(1.4)	(1.4)
Income taxes	33.2	48.0
NET PROFIT FOR THE PERIOD	(234.1)	107.5
Transfer to/(from) untaxed reserves	(4.2)	(4.1)
NET PROFIT FOR THE PERIOD AVAILABLE FOR APPROPRIATION	(230.0)	111.5

Independent joint auditors' report to the general meeting of bpost SA de droit public/ bpost NV van publiek recht for the year ended 31 December 2024

In the context of the statutory audit of the Consolidated Financial Statements of bpost SA de droit public/ bpost NV van publiek recht (the "Company") and its subsidiaries (together the "Group"), we report to you as joint statutory auditors. This report includes our opinion on the consolidated statement of financial position as at 31 December 2024, Consolidated statement of comprehensive income, Consolidated statement of changes in equity and consolidated statement of cash flows for the year ended 31 December 2024 and the disclosures including material accounting policy information (all elements together the "Consolidated Financial Statements") as well as our report on other legal and regulatory requirements. These two reports are considered one report and are inseparable.

We have been appointed as statutory joint auditors by the shareholders' meeting of 8 May 2024, in accordance with the proposition by the Board of Directors following recommendation of the Audit Committee and following recommendation of the workers' council. Our mandate expires at the shareholders' meeting that will deliberate on the Consolidated Financial Statements for the year ending 31 December 2026. We performed the audit of the Consolidated Financial Statements of the Group during 16 consecutive years.

Report on the audit of the Consolidated Financial Statements

Unqualified opinion

We have audited the consolidated Financial Statements of bpost SA de droit public/ bpost NV van publiek recht, that comprise of the consolidated statement of financial position on 31 December 2024, the consolidated statement of comprehensive income, the consolidated statement of changes in equity and the consolidated statement of cash flows of the year and the disclosures including the material accounting policy information, which show a consolidated balance sheet total of € 5.354,4 million and of which the consolidated income statement shows a loss for the year of € 204,1 million.

In our opinion, the consolidated Financial Statements give a true and fair view of the consolidated net equity and financial position as at 31 December 2024, and of its consolidated results for the year then ended, prepared in accordance with the IFRS Accounting Standards as adopted by the European Union and with applicable legal and regulatory requirements in Belgium.

Basis for the unqualified opinion

We conducted our audit in accordance with International Standards on Auditing ("ISA's") applicable in Belgium. In addition, we have applied the ISA's approved by the International Auditing and Assurance Standards Board ("IAASB") that apply at the current year-end date and have not yet been approved at national level. Our responsibilities under those standards are further described in the "Our responsibilities for the audit of the Consolidated Financial Statements" section of our report.

We have complied with all ethical requirements that are relevant to our audit of the Consolidated Financial Statements in Belgium, including those with respect to independence.

We have obtained from the Board of Directors and the officials of the Company the explanations and information necessary for the performance of our audit and we believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Emphasis of certain matters – Contingent Liabilities

Without qualifying our opinion, we would like to draw the attention to Note 6.30 "Contingent liabilities and contingent assets" to the Consolidated Financial Statements which describes the ongoing investigations related to the award of the press concession as well as management's risk assessment on the potential impacts.

Key audit matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the Consolidated Financial Statements of the current reporting period.

These matters were addressed in the context of our audit of the Consolidated Financial Statements as a whole and in forming our opinion thereon, and consequently we do not provide a separate opinion on these matters.

Business combinations

Description of the key audit matter

On August 1, 2024, bpostgroup completed the acquisition of 100% of the shares of Staci, a leading European specialist in third-party logistics. As described in notes 6.5 and 6.19 to the Consolidated Financial Statements, the amounts of goodwill (€ 826,4 million) and intangibles (€ 570,0 million) recognized throughout the purchase price allocation following this acquisition are still provisional at 31 December 2024, considering that the Company has one year to finalize the purchase price allocation in accordance with IFRS 3.

The purchase price allocation requires the alignment of the accounting records of the acquired entities with the accounting policies of the Company and involves significant judgments and estimates by the management to assess the fair value of the assets acquired and liabilities assumed in accordance with IFRS3.

This area is important to our audit because of the magnitude of the amounts concerned, the required involvement of external specialists engaged by the Company and the complexity of the underlying estimations and calculations (which include elements of uncertainty).

Summary of the procedures performed

We have performed audit procedures on the financial information of the acquired Staci entities at the date of acquisition. We have assessed and discussed the key findings identified during the due diligence procedures performed by the external experts engaged by the Company. We have obtained the signed agreements between both parties and reconciled the considerations paid. Finally, we have validated the alignment of the accounting policies in the opening balances of the acquired Staci entities with the accounting policies of the Company.
We have validated, with the assistance of our internal valuation experts, that the methodologies used by the Company for the estimation of the fair value of assets acquired and liabilities assumed are in accordance with IFRS 3 and industry practices.
With the assistance of our internal valuation experts, we have assessed and benchmarked the key inputs and assumptions (underlying opening balances, business plans, discount rates, EBITDA margins, growth rates,…) used in the determination of the fair value of the assets acquired and liabilities assumed prepared by the Company.
We have assessed the competence, independence and integrity of the third party valuation experts used by the Company.
We have validated all significant accounting entries relating to the fair value impacts on assets acquired and liabilities assumed resulting from the purchase price allocation.
Furthermore, we have assessed the adequacy and completeness of the disclosures in notes 6.5 and 6.19 to the Consolidated Financial Statements based on the IFRS requirements.

Provisions for certain public contracts

Description of the key audit matter

The total provision for litigation between bpost and third parties amounts to € 102,2 million as per December 31, 2024, out of which € 89,2 million (compared to € 82,5 million in the prior year) relates to a provision for potential overcompensation received from the Belgian State, relating to contracts for (i) Cross Border Fines, (ii) the 679 accounts and (iii) European License Plates.

The Note 6.27 "Provisions" to the Consolidated Financial Statements provides background, findings, and next steps on these specific services between the Company and the Belgian State, including management's risk assessment on the potential impacts and the resulting provisions recorded.

bpost, conducted and finalized already last year an in-depth legal and economic assessment regarding the remuneration paid by the Belgian State for the three services. Based on this assessment and subsequent interactions with the relevant public services, bpost continues to believe that the potential overcompensation constitutes a probable risk for a cash-out flow as per IAS 37 (Provisions).

Due to the magnitude of the amounts concerned, the required involvement of external specialists engaged by the Company, the complexity of the underlying estimations and calculations (which include elements of uncertainty), we consider this as a key audit matter.

Summary of the procedures performed:

We have assessed the design of the internal controls relating to Management's estimation process with respect to these contracts.
We have evaluated the objectivity and competence of the Company's external advisors with respect to the subject matter to which the provisions relate.
We have obtained and read legal confirmations from all external legal advisors that were engaged by bpost on the subject matter and considered their risk assessment.
We have challenged management's updated calculations by investigating the movement of the provision compared to the prior year, revalidating the assumptions used in the calculations of management and verification of the mathematical accuracy of the calculation.
We performed an assessment of the exposure with the Company's legal counsel, management and Board of Directors.
We have read the minutes of the Audit Risk and Compliance Committee, ad hoc Committee and Board of Directors, to assess the completeness and appropriateness of information used in determining the risk assessment and the related calculations for the provisions.
We have monitored with the Company the evolutions of their discussions with the 3 relevant public services.
We have assessed the adequacy and completeness of the disclosures on Provisions in the Consolidated Financial Statements based on the requirements of IAS 37 (Provisions).

Long term employee benefits

Description of the key audit matter

Provisions for long term employee benefits amount to € 234,3 million as of 31 December 2024 and are disclosed in note 6.25 to the Consolidated Financial Statements. This area is important to our audit because of the magnitude of the amounts, the judgments involved concerning the key actuarial assumption (discount rates) and the technical expertise required to evaluate these provisions and to properly reflect the impacts in the Consolidated Financial Statements in accordance with IAS 19 (Employee Benefits).

Summary of the procedures performed

We have assessed the design of the processes and controls established by the Company to manage the underlying participant data and to ensure that the amendments to the plans are properly and timely reflected in the Consolidated Financial Statements.

We have performed an assessment of the actuarial report prepared by the external actuary engaged by the Company to ensure that all characteristics of the plans have been properly considered in the actuarial calculations.
We have assessed the expertise, independence and integrity of the external actuary engaged by the Company.
We have compared the input data used for the calculation of the provisions by the external actuary (such as population, age, years of service, wage, …) with source information of the human resources department of the Company.
We have assessed the appropriateness of the key actuarial assumption (discount rates) with the assistance of our internal actuarial specialists.
We have audited that the actuarial calculations are properly reflected in the provisions recorded in the Consolidated Financial Statements and ensured that impacts are correctly recorded in accordance with IAS19.
We have audited the roll-forward of the provisions to understand the changes in the valuation of the provisions compared to last year.
We have assessed the adequacy and completeness of the disclosures presented in the note 6.25 of the Consolidated Financial Statement based on the requirements of IAS19 (Employee Benefits).

Impairment of goodwill

Description of the key audit matter

As at 31 December 2024, the Consolidated Financial Statements include goodwill for a total amount of € 1.342 million.

As described in note 6.19, relating to impairment testing on goodwill, the Company reviews the carrying amounts of its cash generating units ("CGU") annually or more frequently if impairment indicators are present. The impairment assessment involves a comparison of the estimated value in use of the CGU to its carrying amount. The assessment is a judgmental process which requires estimates concerning the projected future cash flows associated with the CGU, the weighted average cost of capital ("WACC") and the growth rate of revenue and costs to be applied in determining the value in use. As part of the annual impairment exercise, management has decided to book an impairment on their 3PL US CGU for an amount of € 299,4 million.

This area is important to our audit because of the magnitude of the amounts, the judgments and the technical expertise required to perform the impairment testing on goodwill.

Summary of the procedures performed

We have assessed the design of the internal controls relating to Management's impairment testing of goodwill.
We evaluated and challenged management determination of CGU's and allocation of goodwill to those CGUs for the purpose of impairment testing.
We evaluated and challenged the changes that has been performed by the management of the Company on their CGU determination
We have tested the accuracy of the underlying model to assess whether the processes are applied to the correct input data.
We have challenged each of the key assumptions employed in the annual impairment test. These key assumptions include the WACC, the growth rates and projected cash flows. We have involved our internal valuation specialists to assess and benchmark those assumptions to comparable independent data. We have tested the reasonableness of projected cash flows in the light of the Group's historic forecasting accuracy and compared these projections with the long-term plan as presented to the Board of Directors.
We reconciled the impairment for the CGU 3PL US and amounting to € 299,4 million as being the difference between the carrying amount (before impairment charge) and the recoverable amounts of the CGU 3PL US to the accounting records as of 31 December 2024.
We have assessed Management's sensitivity analyses and the appropriateness and completeness of the sensitivity disclosures.
We have assessed the appropriateness and completeness of the disclosures in accordance with IAS36 (Impairment of Assets) as included in note 6.19 to the Consolidated Financial Statements.

Revenue Recognition relating to Radial US, Staci, terminal dues and financial compensation for Services of General Economic Interest ("SGEI")

Description of the key audit matter

Revenue recognition is a key audit matter in our audit considering the amounts involved (€ 4,341.3 million of total operating income for 2024) and the complexity and assumptions used to estimate several revenue streams at year-end in accordance with IFRS 15 (Revenues from Contracts with Customers). The main risk areas relate to:

Revenue relating to the financial compensation for Services of General Economic Interest ("SGEI") and for the distribution of press and periodicals for the first 6 months of the audited year are the result of complex calculations included in contractual agreements, and which amounts to € 227,8 million for 2024 as disclosed in note 6.7 to the Consolidated Financial Statements. These contracts include various calculation models for the determination of the annual financial compensation for which the lowest compensation is granted and thus taken into consideration for the revenue recognition. These calculation models are based on various input data (such as actual volumes, quality targets, incurred costs relating to the concerned services,…) and involves management estimates.
Revenue of December 2024 for Radial US (\$ € 96,5 million) that is estimated at year-end and will be billed to customers in January of the next year. Radial is providing E-commerce outsourcing services (Technology services, payment processing services, shipping and handling services, 24/7 customer services related to the webstores, order management and fulfillment) and other professional services to its customers. The estimation of the December 2024 revenue in accordance with IFRS 15 is complex considering the various input data used in the calculations, the volume of transactions and the specific contractual conditions agreed with customers.
Revenue with other postal operators ("terminal dues") (€ 62,5 million) that is estimated based on complex calculations involving various input data. The estimation of these revenues is based on volumes exchanged (in kilogram's and per item), the prices agreed with the foreign postal operators and also other contractual conditions (e.g. quality of service of the mail distribution).

Summary of the procedures performed

We have gained an understanding of the internal control environment relating to the revenue processes, performed walkthroughs of the significant revenue classes of transactions mentioned in the description of the key audit matter and evaluated the design of key internal controls.
We have also evaluated the design and operating effectiveness of the IT general controls and key IT application controls supporting the revenue processes with assistance of our internal IT experts.
We have assessed the Management's estimation process and challenged their calculations by performing:
an assessment and comparison of the key inputs and assumptions in the calculation models with the contractual agreements,
a validation on whether the transfer of risks and rewards are properly reflected based on the contractual agreements; and
a reconciliation of the key underlying data used in the revenue calculation models (e.g. volumes, prices,…) with underlying IT systems, contracts and other documents provided by external parties.
We have performed analytical procedures on the important revenue streams to detect unusual trends or transactions by comparing revenue with last year and performing an analysis of revenue on a disaggregated basis.
We have performed subsequent events procedures by reviewing significant transactions recorded during 2025 and comparing these transactions with estimates recorded at year-end.
We have assessed the adequacy and completeness of the disclosures on revenue in the Consolidated Financial Statements based on the IFRS 15 requirements.

Responsibilities of the Board of Directors for the preparation of the Consolidated Financial Statements

The Board of Directors is responsible for the preparation of the Consolidated Financial Statements that give a true and fair view in accordance with the IFRS Accounting Standards and with applicable legal and regulatory requirements in Belgium and for such internal controls relevant to the preparation of the Consolidated Financial Statements that are free from material misstatement, whether due to fraud or error.

As part of the preparation of Consolidated Financial Statements, the Board of Directors is responsible for assessing the Company's ability to continue as a going concern, and provide, if applicable, information on matters impacting going concern, The Board of Directors should prepare the financial statements using the going concern basis of accounting, unless the Board of Directors either intends to liquidate the Company or to cease business operations, or has no realistic alternative but to do so.

Our responsibilities for the audit of the Consolidated Financial Statements

Our objectives are to obtain reasonable assurance whether the Consolidated Financial Statements are free from material misstatement, whether due to fraud or error, and to express an opinion on these Consolidated Financial Statements based on our audit. Reasonable assurance is a high level of assurance, but not a guarantee that an audit conducted in accordance with the ISA's will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these Consolidated Financial Statements.

In performing our audit, we comply with the legal, regulatory and normative framework that applies to the audit of the Consolidated Financial Statements in Belgium. However, a statutory audit does not provide assurance about the future viability of the Company and the Group, nor about the efficiency or effectiveness with which the board of directors has taken or will undertake the Company's and the Group's business operations. Our responsibilities with regards to the going concern assumption used by the board of directors are described below.

As part of an audit in accordance with ISA's, we exercise professional judgment and we maintain professional skepticism throughout the audit. We also perform the following tasks:

identification and assessment of the risks of material misstatement of the Consolidated Financial Statements, whether due to fraud or error, the planning and execution of audit procedures to respond to these risks and obtain audit evidence which is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting material misstatements resulting from fraud is higher than when such misstatements result from errors, since fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control;
obtaining insight in the system of internal controls that are relevant for the audit and with the objective to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control;
evaluating the selected and applied accounting policies, and evaluating the reasonability of the accounting estimates and related disclosures made by the Board of Directors as well as the underlying information given by the Board of Directors;
conclude on the appropriateness of the Board of Directors' use of the going-concern basis of accounting, and based on the audit evidence obtained, whether or not a material uncertainty exists related to events or conditions that may cast significant doubt on the Company's or Group's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our joint auditors' report to the related disclosures in the Consolidated Financial Statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on audit evidence obtained up to the date of the joint auditors' report. However, future events or conditions may cause the Company to cease to continue as a going-concern;
evaluating the overall presentation, structure and content of the Consolidated Financial Statements, and evaluating whether the Consolidated Financial Statements reflect a true and fair view of the underlying transactions and events.

We communicate with the Audit Committee within the Board of Directors regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Because we are ultimately responsible for the opinion, we are also responsible for directing, supervising and performing the audits of the subsidiaries. In this respect we have determined the nature and extent of the audit procedures to be carried out for group entities.

We provide the Audit Committee within the Board of Directors with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

From the matters communicated with the Audit Committee within the Board of Directors, we determine those matters that were of most significance in the audit of the Consolidated Financial Statements of the current period and are therefore the key audit matters. We describe these matters in our report, unless the law or regulations prohibit this.

Report on other legal and regulatory requirements

Responsibilities of the Board of Directors

The Board of Directors is responsible for the preparation and the content of the Board of Directors' report on the Consolidated Financial Statements, and other information included in the annual report.

Responsibilities of the Joint Auditors

In the context of our mandate and in accordance with the additional standard to the ISA's applicable in Belgium, it is our responsibility to verify, in all material respects, the Board of Directors' report on the Consolidated Financial Statements, and other information included in the annual report, as well as to report on these matters.

Aspects relating to Board of Directors' report and other information included in the annual report

The Board of Directors' report on the Consolidated Financial Statements contains the consolidated sustainability information that is subject to our separate limited assurance report dated March 25th, 2025 which contains a qualification due to the non-recognition of the effects of an acquisition in the consolidated non-financial statements. This section does not cover the assurance on the consolidated sustainability information included in the annual report.

With the exception of the qualification described in the preceding paragraph, in our opinion, after carrying out specific procedures on the Board of Directors' report, the Board of Directors' report is consistent with the Consolidated Financial Statements and has been prepared in accordance with article 3:32 of the Code of companies and associations.

In the context of our audit of the Consolidated Financial Statements, we are also responsible to consider whether, based on the information that we became aware of during the performance of our audit, the Board of Directors' report and other information included in the annual report, being :

• Overview of key figures

contains any material inconsistencies or contains information that is inaccurate or otherwise misleading. In light of the work performed, there are no material inconsistencies to be reported.

Independence matters

Our audit firm and our network have not performed any services that are not compatible with the audit of the Consolidated Financial Statements and have remained independent of the Company during the course of our mandate.

The fees related to additional services which are compatible with the audit of the Consolidated Financial Statements as referred to in article 3:65 of the Code of companies and associations were duly itemized and valued in the notes to the Consolidated Financial Statements.

European single electronic format ("ESEF")

In accordance with the standard on the audit of the conformity of the financial statements with the European single electronic format (hereinafter "ESEF"), we have carried out the audit of the compliance of the ESEF format with the regulatory technical standards set by the European Delegated Regulation No 2019/815 of 17 December 2018 (hereinafter: "Delegated Regulation").

The board of directors is responsible for the preparation, in accordance with the ESEF requirements, of the consolidated financial statements in the form of an electronic file in ESEF format (hereinafter 'the digital consolidated financial statements') included in the annual financial report available on the portal of the FSMA (https://www.fsma.be/en/stori).

It is our responsibility to obtain sufficient and appropriate supporting evidence to conclude that the format and markup language of the digital consolidated financial statements comply in all material respects with the ESEF requirements under the Delegated Regulation.

Based on the work performed by us, we conclude that the format and tagging of information in the digital consolidated financial statements of bpost SA de droit public/ bpost NV van publiek recht per 31 December 2023 included in the annual financial report available on the portal of the FSMA (https://www.fsma.be/en/stori) are, in all material respects, in accordance with the ESEF requirements under the Delegated Regulation.

Other communications

This report is consistent with our supplementary declaration to the Audit Committee as specified in article 11 of the regulation (EU) nr. 537/2014.

Diegem, 25 March 2025

Statutory auditor Statutory auditor Represented by Represented by

Han Wevers * Alain Chaerels Partner Partner *Acting on behalf of a BV/SRL Unique sequential number of EY reports tracking database

EY Bedrijfsrevisoren BV PVMD Réviseurs d'entreprises SRL

8. Management responsibility statement

Chris Peeters, Chief Executive Officer and Philippe Dartienne, Chief Financial Officer, declare in title and for the entity that to the best of their knowledge:

the consolidated financial statements for the financial years 2023 and 2024, prepared in accordance with "International Financial Reporting Standards" (IFRS) as accepted by the European Union up until December 31, 2024, give a true and fair view of the net assets, the financial position and the results of bpost NV/SA and the entities included in the consolidation scope; and
the management report related to the consolidated financial statements give a true and fair view of the development and the result of bpost's activities, as well as the position of bpost NV/SA and the entities that are included in the consolidation scope, together with a description of the main risks and uncertainties that bpost faces.

Chris Peeters Chief Executive Officer Philippe Dartienne Chief Financial Officer

318

9 Appendix

9.1 Glossary

1991 Law: the Law of March 21, 1991 on the reform of certain economic public companies, as amended from time to time
3PL: Third-party logistics
AIB: Association of Issuing Bodies
BeNe: Belgium, Netherlands
APM: Alternative Performance Measures
BCCA: Belgian Code of Companies and Associations
BIPT: Belgian Institute for Postal services and Telecommunications
bpostgroup: bpost NV/SA and subsidiaries
bpost NV/SA or the Company: bpost, a public-law public limited company incorporated and existing under Belgian law, having its registered office at Boulevard Anspach 1, box 1, 1000 Brussels (Belgium) and registered with the Crossroads Bank for Enterprises under number 0214.596.464 (RLE Brussels)
BU: Business Unit
B2B: Business to Business
B2C: Business to Consumer
C2C: Customer to Customer
Capex: total amount invested in fixed assets
CEO: Chief Executive Officer (for ease of reference, references to the "CEO" in this report should be understood as CEO)
Constant Exchange Rate: The reported figures in local currency of the prior comparable period are converted with the exchange rates applied for the current reported period
Corporate Governance Code: 2020 Belgian Code on Corporate Governance
CSRD: Corporate Sustainability Reporting Directive
CSDDD: Corporate Sustainability Due Diligence Directive
D&A: Depreciation and amortization
DEFRA: Department for Environment, Food & Rural Affairs (UK Government)
DMA: Double Materiality Assessment
EAT: Earnings After Taxes
EBIT: Earnings Before Interests and Taxes
EBITDA: Earnings Before Interests, Taxes, Depreciation and Amortization
Effective tax rate: Income tax expense/profit before tax
ECL: Expected Credit Losses
ERM: Enterprise Risk Management
ERP: Enterprise Resource Planning
ESRS: European Sustainability Reporting Standards
EUR: Euro
EY: EY Réviseurs d'Entreprises–Bedrijfsrevisoren SRL/BV
FTE: Full time equivalents
GDPR: General Data Protection Regulation
GhG: Greenhouse Gas
GSC: Global Supply Chain
GRI: Global Reporting Initiative
H&S: Health and Safety
ICT: Information and Communication Technology
IEA: International Energy Agency
IFRS: International Financial Reporting Standards
IPCC AR5: Intergovernmental Panel on Climate Change Fifth Assessment Report
IRO: Impact, Risk and Opportunity
LTIP: long-term incentive plan
MWh: Megawatt hour
NAC: Net avoided cost
NIS: Network and Information Systems
NOx: Nitrogen Oxide
NPS: Net Promotor Score
Opex: Operating expenses
PEFC: Programme de reconnaissance des certifications forestières
PUC: Projected Unit Credit
PUDO: Pick-up and Drop-off point
PVMD: PVMD Réviseurs d'Entreprises- Bedrijfsrevisoren SC/CV
Remuneration Policy: bpost remuneration policy approved by the General Shareholders' Meeting of the Company
SBM: Strategy and Business Model
SBTi: Science Based Targets initiative
SFPI/FPIM: Société Fédérale de Participations et d'Investissement/ Federale Participatie- en Investeringsmaatschappij
SGEI: Services of General Economic Interest
TCFD: Taskforce for Climate-related Financial Disclosures
TCO2 : Tons of Carbon Dioxide
TCV: Total Contract Value
TTW: Tank-to-Wheel
USO: universal postal service obligations
WACC: Weighted Average Cost of Capital
WTT: Well-to-Wheel

9.2 Awards and Recognitions

bpostgroup's sustainability efforts have been rewarded with following distinctions:

The EcoVadis methodology is used to assess how well companies incorporate sustainability/social responsibility in their activities and management system. The 2025 EcoVadis silver medal was awarded to bpostgroup, placing up in the top 15% of all respondents.

MSCI is a leading provider of tools and services to help the global investor community make investment decisions. bpost is rated A.

The Carbon Disclosure Project (CDP) manages the global disclosure system to help investors, companies, cities, states and regions manage their environmental impact. bpostgroup was awarded a B rating for climate change in 2023, above the industry average C for Intermodal transport & logistics sector.

We are currently awaiting scoring for our 2024 disclosure.

S&P Global Ratings' sustainability insights provide transparency on established and emerging environmental, social and governance risks and trends – and how they impact economies, companies and markets. bpostgroup obtained a general score of 47, putting us in the 83rd percentile for all respondent companies.

bpost presented its CO2 calculator during a dedicated Amazon supplier event. We are proud to have received the "Excellence in Emission Reporting" Award for this tool, in recognition of how we shared qualitative data on CO2 emissions from our parcels with Amazon. We were also commended for our contribution to Amazon's overall decarbonization agenda.

9.3 GRI Content Index

Statement of Use bpostgroup has reported the information cited in this GRI content index for the period January 1, 2024 to December 31, 2024 in accordance to the GRI Standards. GRI 1 Used GRI 1: Foundation 2021

GRI STANDARD	DISCLOSURE	ESRS DISCLOSURE REQUIREMENTS
GRI 2: General Disclosures 2021	2-1 Organizational details	See requirements of Directive 2013/34/EU
	2-2 Entities included in the organization's sustainability reporting	ESRS 1 5.1; ESRS 2 BP-1 §5 (a) and (b) I
	2-3 Reporting period, frequency and contact point	ESRS 1 §73
	2-4 Restatements of information	ESRS 2 BP-2 §13, §14 (a) to (b)
	2-5 External assurance	See external assurance requirements of Directive (EU) 2022/2464
	2-6 Activities, value chain and other business relationships	ESRS 2 SBM-1 §40 (a) i to (a) ii, (b) to (c), §42 (c)
	2-7 Employees	ESRS 2 SBM-1 §40 (a) iii; ESRS S1 S1-6 §50 (a) to (b) and (d) to (e), §51 to §52
	2-8 Workers who are not employees	ESRS S1 S1-7 §55 to §56
	2-9 Governance structure and composition	ESRS 2 GOV-1 §21, §22 (a), §23; ESRS G1 §5 (b) See also corporate governance statement requirements of Directive 2013/34/EU for public interest entities
	2-10 Nomination and selection of the highest governance body	This topic is not covered by the list of sustainability matters in ESRS 1 AR §16.
	2-11 Chair of the highest governance body	This topic is not covered by the list of sustainability matters in ESRS 1 AR §16.
	2-12 Role of the highest governance in overseeing the management of impacts	ESRS 2 GOV-1 §22 (c); GOV-2 §26 (a) to (b); SBM-2 §45 (d); ESRS G1 §5 (a)
	2-13 Delegation of responsibility for managing impacts	ESRS 2 GOV-1 §22 (c) i; GOV-2 §26 (a); ESRS G1 G1-3 §18 (c)
	2-14 Role of the highest governance body in sustainability reporting	ESRS 2 GOV-5 §36; IRO-1 §53 (d)
	2-15 Conflicts of interest	This topic is not covered by the list of sustainability matters in ESRS 1 AR §16.
	2-16 Communication of critical concerns	ESRS 2 GOV-2 §26 (a); ESRS G1 G1-1 AR 1 (a); G1-3 §18 (c)
	2-17 Collective knowledge of the highest governance body	ESRS 2 GOV-1 §23
	2-18 Evaluation of the performance of the highest governance body	This topic is not covered by the list of sustainability matters in ESRS 1 AR §16.
	2-19 Remuneration policies	ESRS 2 GOV-3 §29 (a) to (c); ESRS E1 §13 See also remuneration report requirements of Directive (EU) 2017/828 for listed undertakings
	2-20 Process to determine remuneration	ESRS 2 GOV-3 §29 (e) See also remuneration report requirements of Directive (EU) 2017/828 for listed undertakings
	2-21 Annual total compensation ratio	ESRS S1 S1-16 §97 (b) to (c)
	2-22 Statement on sustainable development strategy	ESRS 2 SBM-1 §40 (g)
	2-23 Policy commitments	ESRS 2 GOV-4; MDR-P §65 (b) to (c) and (f); ESRS S1 S1-1 §19 to §21, and §AR 14; ESRS S2 S2-1 §16 to §17, §19, and §AR 16; ESRS S3 S3-1 §14, §16 to §17 and §AR 11; ESRS S4 S4-1 §15 to §17, and §AR 13; ESRS G1 G1-1 §7 and §AR 1 (b)
	2-24 Embedding policy commitments	ESRS 2 GOV-2 §26 (b); MDR-P §65 (c); ESRS S1 S1-4 §AR 35; ESRS S2 S2-4 §AR 30; ESRS S3 S3-4 §AR 27; ESRS S4 S4-4 §AR 27; ESRS G1 G1-1 §9 and §10 (g)
	2-25 Processes to remediate negative impacts	ESRS S1 S1-1 §20 (c); S1-3 §32 (a), (b) and (e), §AR 31; ESRS S2 S2-1 §17 (c); S2-3 §27 (a), (b) and (e), §AR 26; S2-4 §33 (c); ESRS S3 S3-1 §16 (c); S3-3 §27 (a), (b) and (e), §AR 23; S3-4 §33 (c); ESRS S4 S4-1 §16 (c); S4-3 §25 (a), (b) and (e), §AR 23; S4-4 §32 (c)

GRI STANDARD	DISCLOSURE	ESRS DISCLOSURE REQUIREMENTS
GRI 2: General Disclosures 2021	2-26 Mechanisms for seeking advice and raising concerns	ESRS S1 S1-3 §AR 32 (d); ESRS S2 S2-3 §AR 27 (d); ESRS S3 S3- 3 §AR 24 (d); ESRS S4 S4-3 §AR 24 (d); ESRS G1 G1-1 §10 (a); G1-3 §18 (a)
	2-27 Compliance with laws and regulations	ESRS 2 SBM-3 §48 (d); ESRS E2 E2-4 §AR 25 (b); ESRS S1 S1- 17 §103 (c) to (d) and §104 (b); ESRS G1 G1-4 §24 (a)
	2-28 Membership associations	Political engagement' is a sustainability matter for G1 covered by ESRS 1 §AR 16. Hence this GRI disclosure is covered by MDR-P, MDR-A, MDR-T, and/or as an entity specific metric to be disclosed according to ESRS 1 §11 and pursuant to MDR-M
	2-29 Approach to stakeholder engagement	ESRS 2 SBM-2 §45 (a) i to (a) iv; ESRS S1 S1-1 §20 (b); S1-2 §25, §27 (e) and §28; ESRS S2 S2-1 §17 (b); S2-2 §20, §22 (e) and §23; ESRS S3 S3-1 §16 (b); S3-2 §19, §21 (d) and §22; ESRS S4 S4-1 §16 (b); S4-2 §18, §20 (d) and §21
	2-30 Collective bargaining agreements	ESRS S1 S1-8 §60 (a) and §61
GRI STANDARD	DISCLOSURE	ESRS DISCLOSURE REQUIREMENTS
GRI 3: Material topics 2022	3-1 Process to determine material topics	ESRS 2 BP-1 §AR 1 (a); IRO-1 §53 (b) ii to (b) iv
	3-2 List of material topics	ESRS 2 SBM-3 §48 (a) and (g)
	3-3 Management of material topics	ESRS 2 SBM-1§ 40 (e); SBM-3 §48 (c) i and (c) iv; MDR-P, MDRA, MDR-M, and MDR-T; ESRS S1 S1-2 §27; S1-4 §39 and AR 40 (a); S1-5 §47 (b) to (c); ESRS S2 S2-2 §22; S2-4 §33, §AR 33 and §AR 36 (a); S2-5 §42 (b) to (c); ESRS S3 S3-2 §21; S3-4 §33, §AR 31, §AR 34 (a); S3-5 §42 (b) to (c); ESRS S4 S4-2 §20, S4-4 §31, §AR 30, and §AR 33 (a); S4- 5 §41 (b) to (c)
GRI 2021: Economic Performance 2016	201-1 Direct economic value generated and distributed	This topic is not covered by the list of sustainability matters in ESRS 1 AR §16.
	201-2 Financial implications and other risks and opportunities due to climate change	ESRS 2 SBM-3 §48 (a), and (d) to (e); ESRS E1 §18; E1-3 §26; E1-9 §64
	201-3 Defined benefit plan obligations and other retirement plans	This topic is not covered by the list of sustainability matters in ESRS 1 AR §16
	201-4 Financial assistance received from government	This topic is not covered by the list of sustainability matters in ESRS 1 AR §16.
GRI 202: Market Presence	202-1 Ratios of standard entry level wage by gender compared to local minimum wage	ESRS S1 S1-10 §67-71 and §AR 72 to 73
	202-2 Proportion of senior management hired from the local community	'Communities' economic, social and cultural rights' is a sustainability matter for S3 covered by ESRS 1 §AR 16. Hence this GRI disclosure is covered by MDR-P, MDR-A, MDR-T, and/or as an entity-specific metric to be disclosed according to ESRS 1 §11 and pursuant to MDR-M
GRI 203: Indirect Economic Impacts	203-1 Infrastructure investments and services supported	'Communities' economic, social and cultural rights' is a sustainability matter for S3 covered by ESRS 1 §AR 16. Hence this GRI disclosure is covered by MDR-P, MDR-A, MDR-T, and/or as an entity-specific metric to be disclosed according to ESRS 1 §11 and pursuant to MDR-M.
	203-2 Significant indirect economic impacts	ESRS S1 S1-4 §AR 41; ESRS S2 S2-4 §AR 37; ESRS S3 S3-4 §AR 36
GRI 204: Procurement Practices	204-1 Proportion of spending on local suppliers	Communities' economic, social and cultural rights' is a sustainability matter for S3 covered by ESRS 1 §AR 16. Hence this GRI disclosure is covered by MDR-P, MDR-A, MDR-T, and/or as an entity-specific metric to be disclosed (2b)according to ESRS 1 §11 and pursuant to MDR-M.
GRI 205: Anti-Corruption 2016	205-1 Operations assessed for risks related to corruption	ESRS G1 G1-3 §AR 5
	205-2 Communication and training about anti-corruption policies and procedures	ESRS G1 G1-3 §20, §21 (b) and (c) and §AR 7 and 8
	205-3 Confirmed incidents of corruption and actions taken	ESRS G1 G1-4 §25
GRI 206: Anti-Competitive Behavior 2016	206-1 Legal actions for anti-competitive behavior, anti trust, and monopoly practices	This topic is not covered by the list of sustainability matters in ESRS 1 AR §16.

GRI STANDARD	DISCLOSURE	ESRS DISCLOSURE REQUIREMENTS
GRI 207: Tax 2019	207-1 Approach to tax	This topic is not covered by the list of sustainability matters in ESRS 1 AR §16.
	207-2 Tax governance, control, and risk management	This topic is not covered by the list of sustainability matters in ESRS 1 AR §16
	207-3 Stakeholder engagement and management of concerns related to tax	This topic is not covered by the list of sustainability matters in ESRS 1 AR §16.
	207-4 Country-by-country reporting	This topic is not covered by the list of sustainability matters in ESRS 1 AR §16.
GRI 301: Materials 2016	301-1 Materials used by weight or volume	ESRS E5 E5-4 §31 (a)
	301-2 Recycled input materials used	ESRS E5 E5-4 §31 (c)
	301-3 Reclaimed products and their packaging materials	Resource outflows related to products and services' and 'Waste' are sustainability matters for E5 covered by ESRS 1 §AR 16. Hence this GRI disclosure is covered by MDR-P, MDR-A, MDR-T, and/or as an entity-specific metric to be disclosed according to ESRS 1 §11 and pursuant to MDR-M.
GRI 302: Energy 2016	302-1 Energy consumption within the organization	ESRS E1 E1-5 §37; §38; §AR 32 (a), (c), (e) and (f)
	302-2 Energy consumption outside of the organization	ESRS E5 E5-4 §31 (c)
	302-3 Energy intensity	ESRS E1 E1-5 §40 to §42
	302-4 Reduction of energy consumption	Energy' is a sustainability matter for E1 covered by ESRS 1 §AR 16. Hence this GRI disclosure is covered by MDR-P, MDR-A, MDR-T, and/or as an entity-specific metric to be disclosed (2a)according to ESRS 1 §11 and pursuant to MDR-M
	302-5 Reductions in energy requirements of products and services	Energy' is a sustainability matter for E1 covered by ESRS 1 §AR 16. Hence this GRI disclosure is covered by MDR-P, MDR-A, MDR-T, and/or as an entity-specific metric to be disclosed according to ESRS 1 §11 and pursuant to MDRM.
GRI 305: Emissions 2016	305-1 Direct (Scope 1) GHG emissions	ESRS E1 E1-4 §34 (c); E1-6 §44 (a); §46; §50; §AR 25 (b) and (c); §AR 39 (a) to (d); §AR 40; AR §43 (c) to (d)
	305-2 Energy indirect (Scope 2) GHG emissions	ESRS E1 E1-4 §34 (c); E1-6 §44 (b); §46; §49; §50; §AR 25 (b) and (c); §AR 39 (a) to (d); §AR 40; §AR 45 (a), (c), (d), and (f)
	305-3 Other indirect (Scope 3) GHG emissions	ESRS E1 E1-4 §34 (c); E1-6 §44 (c); §51; §AR 25 (b) and (c); §AR 39 (a) to (d); §AR 46 (a) (i) to (k)
	305-4 GHG emissions intensity	ESRS E1 E1-6 §53; §54; §AR 39 (c); §AR 53 (a)
	305-5 Reduction of GHG emissions	ESRS E1 E1-3 §29 (b); E1-4 §34 (c); §AR 25 (b) and (c); E1-7 §56
	305-6 Emissions of ozone-depleting substances (ODS)	'Pollution of air' is a sustainability matter for E2 covered by ESRS 1 §AR 16. Hence this GRI disclosure is covered by MDR-P, MDR-A, MDR-T, and/or as an entity-specific metric to be disclosed according to ESRS 1 §11 and pursuant to MDR-M
	305-7 Nitrogen oxides (NOx), sulfur oxides (SOx), and other significant air emissions	ESRS E2 E2-4 §28 (a); §30 (b) and (c); §31; §AR 21; §AR 26
GRI 306: Waste 2020	306-1 Waste generation and significant waste-related impacts	ESRS 2 SBM-3 §48 (a), (c) ii and iv; ESRS E5 E5-4 §30
	306-2 Management of significant waste-related impacts	ESRS E5 E5-2 §17 and §20 (e) and (f); E5-5 §40 and §AR 33 (c)
	306-3 Waste generated	ESRS E5 E5-5 §37 (a), §38 to §40
	306-4 Waste diverted from disposal	ESRS E5 E5-5 §37 (b), §38 and §40
	306-5 Waste directed to disposal	ESRS E5 E5-5 §37 (c), §38 and §40
GRI 308: Supplier Environmental Assessment 2016	308-1 New suppliers that were screened using environmental criteria	ESRS G1 G1-2 §15 (b)
	308-2 Negative environmental impacts in the supply chain and actions taken	ESRS 2 SBM-3 §48 (c) i and iv
GRI 401: Employment 2016	401-1 New employee hires and employee turnover	ESRS S1 S1-6 §50 (c)
	401-2 Benefits provided to full-time employees that are not provided to temporary or part-time employees	ESRS S1 S1-11 §74; §75; §AR 75
	401-3 Parental leave	ESRS S1 S1-15 §93

324

GRI STANDARD	DISCLOSURE	ESRS DISCLOSURE REQUIREMENTS
GRI 402: Labor/Management Relations 2016	402-1 Minimum notice periods regarding operational changes	'Social dialogue' and 'Collective bargaining' are sustainability matters for S1 covered by ESRS 1 §AR 16. Hence this GRI disclosure is covered by MDR-P, MDR-A, MDR-T, and/or as an (2b) entity-specific metric to be disclosed according to ESRS 1 §11 and pursuant to MDR-M.
GRI 403: Occupational Health and Safety 2018	403-1 Occupational health and safety management system	ESRS S1 S1-1 §23
	403-2 Hazard identification, risk assessment, and incident investigation	ESRS S1 S1-3 §32 (b) and §33
	403-3 Occupational health services	'Health and safety' and 'Training and skills development' are sustainability matters for S1 covered by ESRS 1 §AR 16. Hence this GRI disclosure is covered by MDR-P, MDR-A, MDR-T, and/or as an entity-specific metric to be disclosed according to ESRS 1 §11 and pursuant to MDR-M
	403-4 Worker participation, consultation, and communication on occupational health and safety
	403-5 Worker training on occupational health and safety
	403-6 Promotion of worker health	'Social protection' is a sustainability matter for S1 covered by ESRS 1 §AR 16. Hence this GRI disclosure is covered by MDR-P, MDR-A, MDR-T, and/or as an entity-specific metric to be disclosed according to ESRS 1 §11 and pursuant to MDR-M.
	403-7 Prevention and mitigation of occupational health and safety impacts directly linked by business relationships	ESRS S2 S2-4 §32 (a)
	403-8 Workers covered by an occupational health and safety management system	ESRS S1 S1-14 §88 (a); §90
	403-9 Work-related injuries	ESRS S1 S1-4, §38 (a); S1-14 §88 (b) and (c); §AR 82
	403-10 Work-related ill health	ESRS S1 S1-4, §38 (a); S1-14 §88 (b) and (d); §89; §AR 82
GRI 404: Training and Education 2016	404-1 Average hours of training per year per employee	ESRS S1 S1-13 §83 (b) and §84
	404-2 Programs for upgrading employee skills and transition assistance programs	ESRS S1 S1-1 §AR 17 (h)
	404-3 Percentage of employees receiving regular performance and career development reviews	ESRS S1 S1-13 §83 (a) and §84
GRI 405: Diversity and Equal Opportunity 2016	405-1 Diversity of governance bodies and employees	ESRS 2 GOV-1 §21 (d); ESRS S1 S1-6 §50 (a); S1-9 §66 (a) to (b); S1-12 §79
	405-2 Ratio of basic salary and remuneration of women to men	ESRS S1 S1-16 §97 and §98
GRI 406: Non-Discrimination 2016	406-1 Incidents of discrimination and corrective actions taken	ESRS S1 S1-17 §97, §103 (a), §AR 103
GRI 407: Freedom of Association and Collective Bargaining 2016	407-1 Operations and suppliers in which the right to freedom of association and collective bargaining may be at risk	'Freedom of association' and 'Collective bargaining' are sustainability matters for S1 and S2 covered by ESRS 1 §AR 16. Hence this GRI disclosure is covered by MDR-P, MDR-A, MDR-T, and/or as an entity-specific metric to be disclosed according to ESRS 1 §11 and pursuant to MDR-M
GRI 408: Child Labor 2016	408-1 Operations and suppliers at significant risk for incidents of child labor	ESRS S1 §14 (g); S1-1 §22 ESRS S2 §11 (b); S2-1 §18
GRI 409: Forced or Compulsory Labor 2016	409-1 Operations and suppliers at significant risk for incidents of forced or compulsory labor	ESRS S1 §14 (f); S1-1 §22 ESRS S2 §11 (b); S2-1 §18
GRI 410: Security Practices 2016	410-1 Security personnel trained in human rights policies or procedures	'Security-related impacts' is a sustainability matter covered for S3 covered by ESRS 1 §AR 16. Hence this GRI disclosure is covered by MDR-P, MDR-A, MDR-T, and/or as an entity-specific metric to be disclosed according to ESRS 1 §11 and pursuant to MDR-M.
GRI 411: Rights of Indigenous Peoples 2016	411-1 Incidents of violations involving rights of indigenous peoples	ESRS S3 S3-1 §16 (c), AR 12; S3-4 §30, §32 (b), §33 (b), §36
GRI 413: Local Communities 2016	413-1 Operations with local community engagement, impact assessments, and development programs	ESRS S3 S3-2 §19; S3-3 §25; S3- 4 §AR 34 (c)
	413-2 Operations with significant actual and potential negative impacts on local communities	ESRS 2 SBM-3 48 (c); ESRS S3 §9 (a) i and (b)

GRI STANDARD	DISCLOSURE	ESRS DISCLOSURE REQUIREMENTS
GRI 414: Supplier Social Assessment:	414-1 New suppliers that were screened using social criteria	ESRS G1 G1-2 §15 (b)
	414-2 Negative social impacts in the supply chain and actions taken	ESRS 2 SBM-3 §48 (c) i and iv
GRI 415: Public Policy 2016	415-1 Political contributions	ESRS G1 G1-5 §29 (b)
GRI 416: Customer Health and Safety 2016	416-1 Assessment of the health and safety impacts of product and service categories	'Personal safety of consumers and end-users' is a sustainability matter for S4 covered by ESRS 1 §AR 16. Hence this GRI disclosure is covered by MDR-P, MDR-A, MDR-T, and/or as an entity-specific metric to be disclosed according to ESRS 1 §11 and pursuant to MDR-M.
	416-2 Incidents of non-compliance concerning the health and safety impacts of products and services	ESRS S4 S4-4 §35
GRI 418: Customer Privacy 2016	418-1 Substantiated complaints concerning breaches of customer privacy and losses of customer data	ESRS S4 S4-3 §AR 23; S4-4 §35

9.4 UN Global Compact reference table

GLOBAL COMPACT PRINCIPLES	REFERENCE
Human Rights
Principle 1: Businesses should support and respect the protection of internationally proclaimed human rights; and	ESRS S1 and ESRS S2
Principle 2: make sure that they are not complicit in human rights abuses.	ESRS S1 and ESRS S2
Labor
Principle 3: Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining; and	ESRS S1
Principle 4: the elimination of all forms of forced and compulsory labor.	ESRS S1 and ESRS S2
Environment
Principle 7: Businesses should support a precautionary approach to environmental challenges;	ESRS E1, ESRS E2 and ESRS E5
Principle 8: undertake initiatives to promote greater environmental responsibility; and	ESRS E1, ESRS E2 and ESRS E5
Principle 9: encourage the development and diffusion of environmentally friendly technologies.	ESRS E1, ESRS E2 and ESRS E5
Principle 10: Businesses should work against corruption in all its forms, including extortion and bribery.	ESRS G1

9.5 TCFD Reference Table

TCFD RECOMMENDED DISCLOSURES		LINK TO DISCLOSURES
Governance	Describe the board's oversight of climate-related risks and opportunities	• ESRS 2 GOV-1 • ESRS 2 GOV-2
Disclose the organization's governance around climate-related issues and opportunities	Describe the management's role in assessing and managing climate-related risks and opportunities	• ESRS 2 GOV-1 • ESRS 2 GOV-3
Strategy Disclose the actual and potential impacts of climate-related risks and opportunities on the organization's business, strategy and financial planning where such information is material	Describe the climate-related risks and opportunities the organization has faced over the short, medium and long term	• ESRS 2 SBM-3 • ESRS 1, section 6 Time horizons • ESRS E1, DR related to ESRS 2 IRO1 – Description of the processes to identify and assess material impacts, risks and opportunities §18 (b) and (c)
	Describe the impact of climate-related risks and opportunities on the organization's businesses, strategy, and financial planning	• ESRS SBM-3 • ESRS 2 SBM-1 • ESRS E1-1 • ESRS E1-2 • ESRS E1-4 • ESRS E1-3 • ESRS E1-9 §61 (a), (b) • ESRS E1, DR related to ESRS 2 IRO1 – Description of the processes to identify and assess material impacts, risks and opportunities §19
	Describe the resilience of the organization's strategy, taking into consideration different climate-related scenarios, including a 2°C or lower scenario.	• ESRS 2 SBM-3 §46 (e) • ESRS E1, DR related to ESRS 2 SBM3 – Material impacts, risks and opportunities and their interaction with strategy and business model(s) §17 (b) and (c) • ESRS E1, DR related to ESRS 2 IRO1 – Description of the processes to identify and assess material impacts, risks and opportunities §19
Risk Management Disclose how the organization identifies, assesses and manages climate-related risks	Describe the organization's processes for identifying and assessing climate-related risks.	• ESRS 2 IRO-1 • ESRS E1, DR related to ESRS 2 IRO1 – Description of the processes to identify and assess material impacts, risks and opportunities §18 (b) and (c)
	Describe the organization's processes for managing climate-related risks.	• ESRS E1-2 • ESRS E1-4 • ESRS E1-3
	Describe how processes for identifying, assessing, and managing climate-related risks are integrated into the organization's overall risk management.	ESRS 2 GOV-5
Metrics and Targets Disclose the metrics and targets used to assess and manage relevant climate-related risks and opportunities where such information is material	Disclose the metrics used by the organization to assess climate-related risks and opportunities in line with its strategy and risk management process	• ESRS E1-6 §41 and 50 • ESRS E1-9 • ESRS E1-3 • ESRS 2 GOV-3 • ESRS E1-8 • ESRS E1, DR related to ESRS 2 GOV3 Integration of sustainability-related performance in incentive schemes
	Disclose Scope 1, Scope 2, and, if appropriate, Scope 3 greenhouse gas (GHG) emissions, and the related risks	ESRS E1-6 §41 and 50
	Describe the targets used by the organization to manage climate-related risks and opportunities and performance against targets	ESRS E1-4

9.6 EU legislation and data points

list of data points that derive from other EU legislation and information on their location in sustainability statement

DISCLOSURE REQUIREMENT AND RELATED DATAPOINT	SFDR REFERENCE	PILLAR 3 REFERENCE	BENCHMARK REGULATION REFERENCE	EU CLIMATE LAW REFERENCE	MATERIALITY (Y/N)
ESRS 2 GOV-1 Board's gender diversity paragraph 21 (d)	Indicator number 13 of Table #1 of Annex 1		Commission Delegated Regulation (EU) 2020/1816 ( 5 ), Annex II		Y
ESRS 2 GOV-1 Percentage of board members who are independent paragraph 21 (e)			Delegated Regulation (EU) 2020/1816, Annex II		Y
ESRS 2 GOV-4 Statement on due diligence paragraph 30	Indicator number 10 Table #3 of Annex 1				Y
ESRS 2 SBM-1 Involvement in activities related to fossil fuel activities paragraph 40 (d) i	Indicators number 4 Table #1 of Annex 1	Article 449a Regulation (EU) No 575/2013; Commission Implementing Regulation (EU) 2022/2453 ( 6 ) Table 1: Qualitative information on Environmental risk and Table 2: Qualitative information on Social risk	Delegated Regulation (EU) 2020/1816, Annex II		N
ESRS 2 SBM-1 Involvement in activities related to chemical production paragraph 40 (d) ii	Indicator number 9 Table #2 of Annex 1				N
ESRS 2 SBM-1 Involvement in activities related to controversial weapons paragraph 40 (d) iii	Indicator number 14 Table #1 of Annex 1				N
ESRS 2 SBM-1 Involvement in activities related to cultivation and production of tobacco paragraph 40 (d) iv			Delegated Regulation (EU) 2020/1818, Article 12(1) Delegated Regulation (EU) 2020/1816, Annex II		N
ESRS E1-1 Transition plan to reach climate neutrality by 2050 paragraph 14				Regulation (EU) 2021/1119, Article 2(1)	Y
ESRS E1-1 Undertakings excluded from Paris aligned Benchmarks paragraph 16 (g)		Article 449a Regulation (EU) No 575/2013; Commission Implementing Regulation (EU) 2022/2453 Template 1: Banking book-Climate Change transition risk: Credit quality of exposures by sector, emissions and residual maturity	Delegated Regulation (EU) 2020/1818, Article12.1 (d) to (g), and Article 12.2		Y
ESRS E1-4 GHG emission reduction targets paragraph 3	Indicator number 4 Table #2 of Annex 1	Article 449a Regulation (EU) No 575/2013; Commission Implementing Regulation (EU) 2022/2453 Template 3: Banking book – Climate change transition risk: alignment metrics	Delegated Regulation (EU) 2020/1818, Article 6		Y

DISCLOSURE REQUIREMENT AND RELATED DATAPOINT	SFDR REFERENCE	PILLAR 3 REFERENCE	BENCHMARK REGULATION REFERENCE	EU CLIMATE LAW REFERENCE	MATERIALITY (Y/N)
ESRS E1-5 Energy consumption from fossil sources disaggregated by sources (only high climate impact sectors) paragraph 38	Indicator number 5 Table #1 and Indicator n. 5 Table #2 of Annex 1				Y
ESRS E1-5 Energy consumption and mix paragraph 37	Indicator number 5 Table #1 of Annex 1				Y
ESRS E1-5 Energy intensity associated with activities in high climate impact sectors paragraphs 40 to 43	Indicator number 6 Table #1 of Annex 1				Y
ESRS E1-6 Gross Scope 1, 2, 3 and Total GHG emissions paragraph 44	Indicator number 6 Table #1 of Annex 1	Article 449a; Regulation (EU) No 575/2013; Commission Implementing Regulation (EU) 2022/2453 Template 1: Banking book – Climate change transition risk: Credit quality of exposures by sector, emissions and residual maturity	Delegated Regulation (EU) 2020/1818, Article 5(1), 6 and 8(1)		Y
ESRS E1-6 Gross GHG emissions intensity paragraphs 53 to 55	Indicators number 3 Table #1 of Annex 1	Article 449a Regulation (EU) No 575/2013; Commission Implementing Regulation (EU) 2022/2453 Template 3: Banking book – Climate change transition risk: alignment metrics	Delegated Regulation (EU) 2020/1818, Article 8(1)		Y
ESRS E1-7 GHG removals and carbon credits paragraph 56				Regulation (EU) 2021/1119, Article 2(1)	N
ESRS E1-9 Exposure of the benchmark portfolio to climate related physical risks paragraph 66			Delegated Regulation (EU) 2020/1818, Annex II Delegated Regulation (EU) 2020/1816, Annex II		Phased-in
ESRS E1-9 Disaggregation of monetary amounts by acute and chronic physical risk paragraph 66 (a) ESRS E1-9 Location of significant assets at material physical risk paragraph 66 (c).		Article 449a Regulation (EU) No 575/2013; Commission Implementing Regulation (EU) 2022/2453 paragraphs 46 and 47; Template 5: Banking book - Climate change physical risk: Exposures subject to physical risk.			Phased-in
ESRS E1-9 Breakdown of the carrying value of its real estate assets by energy-efficiency classes paragraph 67 (c).		Article 449a Regulation (EU) No 575/2013; Commission Implementing Regulation (EU) 2022/2453 paragraph 34; Template 2: Banking book -Climate change transition risk: Loans collateralised by immovable property - Energy efficiency of the collateral			Phased-in
ESRS E1-9 Degree of exposure of the portfolio to climate related opportunities paragraph 69			Delegated Regulation (EU) 2020/1818, Annex II		Phased-in

DISCLOSURE REQUIREMENT AND RELATED DATAPOINT	SFDR REFERENCE	BENCHMARK REGULATION REFERENCE	MATERIALITY (Y/N)
ESRS E2-4 Amount of each pollutant listed in Annex II of the E-PRTR Regulation (European Pollutant Release and Transfer Register) emitted to air, water and soil, paragraph 28	Indicator number 8 Table #1 of Annex 1 Indicator number 2 Table #2 of Annex 1 Indicator number 1 Table #2 of Annex 1 Indicator number 3 Table #2 of Annex 1		Y
ESRS E3-1 Water and marine resources paragraph 9	Indicator number 7 Table #2 of Annex 1		N
ESRS E3-1 Dedicated policy paragraph 13	Indicator number 8 Table #2 of Annex 1		N
ESRS E3-1 Sustainable oceans and seas paragraph 14	Indicator number 12 Table #2 of Annex 1		N
ESRS E3-4 Total water recycled and reused paragraph 28 (c)	Indicator number 6.2 Table #2 of Annex 1		N
ESRS E3-4 Total water consumption in m3 per net revenue on own operations paragraph 29	Indicator number 6.1 Table #2 of Annex 1		N
ESRS 2- IRO 1 - E4 paragraph 16 (a) i	Indicator number 7 Table #1 of Annex 1		N
ESRS 2- IRO 1 - E4 paragraph 16 (b)	Indicator number 10 Table #2 of Annex 1		N
ESRS 2- IRO 1 - E4 paragraph 16 (c)	Indicator number 14 Table #2 of Annex 1		N
ESRS E4-2 Sustainable land / agriculture practices or policies paragraph 24 (b)	Indicator number 11 Table #2 of Annex 1		N
ESRS E4-2 Sustainable oceans / seas practices or policies paragraph 24 (c)	Indicator number 12 Table #2 of Annex 1		N
ESRS E4-2 Policies to address deforestation paragraph 24 (d)	Indicator number 15 Table #2 of Annex 1		N
ESRS E5-5 Non recycled waste paragraph 37 (d)	Indicator number 13 Table #2 of Annex 1		Y
ESRS E5-5 Hazardous waste and radioactive waste paragraph 39	Indicator number 9 Table #1 of Annex 1		N
ESRS 2- SBM3 - S1 Risk of incidents of forced labour paragraph 14 (f)	Indicator number 13 Table #3 of Annex I		N
ESRS 2- SBM3 - S1 Risk of incidents of child labour paragraph 14 (g)	Indicator number 12 Table #3 of Annex I		N
ESRS S1-1 Human rights policy commitments paragraph 20	Indicator number 9 Table #3 and Indicator number 11 Table #1 of Annex I		Y
ESRS S1-1 Due diligence policies on issues addressed by the fundamental International		Delegated Regulation (EU) 2020/1816, Annex II	Y

Labor Organisation Conventions 1 to 8, paragraph 21

DISCLOSURE REQUIREMENT AND RELATED DATAPOINT	SFDR REFERENCE	BENCHMARK REGULATION REFERENCE	MATERIALITY (Y/N)
ESRS S1-1 processes and measures for preventing trafficking in human beings paragraph 22	Indicator number 11 Table #3 of Annex I		N
ESRS S1-1 workplace accident prevention policy or management system paragraph 23	Indicator number 1 Table #3 of Annex I		Y
ESRS S1-3 grievance/ complaints handling mechanisms paragraph 32 (c)	Indicator number 5 Table #3 of Annex I		Y
ESRS S1-14 Number of fatalities and number and rate of workrelated accidents paragraph 88 (b) and (c)	Indicator number 2 Table #3 of Annex I	Delegated Regulation (EU) 2020/1816, Annex II	Y
ESRS S1-14 Number of days lost to injuries, accidents, fatalities or illness paragraph 88 (e)	Indicator number 3 Table #3 of Annex I		Y
ESRS S1-16 Unadjusted gender pay gap paragraph 97 (a)	Indicator number 12 Table #1 of Annex I	Delegated Regulation (EU) 2020/1816, Annex II	Y
ESRS S1-16 Excessive CEO pay ratio paragraph 97 (b)	Indicator number 8 Table #3 of Annex I		Y
ESRS S1-17 Incidents of discrimination paragraph 103 (a)	Indicator number 7 Table #3 of Annex I		Y
ESRS S1-17 Non-respect of UNGPs on Business and Human Rights and OECD paragraph 104 (a)	Indicator number 10 Table #1 and Indicator n. 14 Table #3 of Annex I	Delegated Regulation (EU) 2020/1816, Annex II Delegated Regulation (EU) 2020/1818 Art 12 (1)	Y
ESRS 2- SBM3 – S2 Significant risk of child labour or forced labour in the value chain paragraph 11 (b)	Indicators number 12 and n. 13 Table #3 of Annex I		N
ESRS S2-1 Human rights policy commitments paragraph 17	Indicator number 9 Table #3 and Indicator n. 11 Table #1 of Annex 1		Y
ESRS S2-1 Policies related to value chain workers paragraph 18	Indicator number 11 and n. 4 Table #3 of Annex 1		Y
ESRS S2-1 Non-respect of UNGPs on Business and Human Rights principles and OECD guidelines paragraph 19	Indicator number 10	Delegated Regulation (EU) 2020/1816, Annex II Delegated Regulation (EU) 2020/1818, Art 12 (1)	Y
ESRS S2-1 Due diligence policies on issues addressed by the fundamental International Labor Organisation Conventions 1 to 8, paragraph 19		Delegated Regulation (EU) 2020/1816, Annex II	Y
ESRS S2-4 Human rights issues and incidents connected to its upstream and	Indicator number 14 Table #3 of Annex 1		Y

downstream value chain paragraph 36

DISCLOSURE REQUIREMENT AND RELATED DATAPOINT	SFDR REFERENCE	BENCHMARK REGULATION REFERENCE	MATERIALITY (Y/N)
ESRS S3-1 Human rights policy commitments paragraph 16	Indicator number 9 Table #3 of Annex 1 and Indicator number 11 Table #1 of Annex 1		N
ESRS S3-1 non-respect of UNGPs on Business and Human Rights, ILO principles or and OECD guidelines paragraph 17	Indicator number 10 Table #1 Annex 1	Delegated Regulation (EU) 2020/1816, Annex II Delegated Regulation (EU) 2020/1818, Art 12 (1)	N
ESRS S3-4 Human rights issues and incidents paragraph 36	Indicator number 14 Table #3 of Annex 1		N
ESRS S4-1 Policies related to consumers and end-users paragraph 16	Indicator number 9 Table #3 and Indicator number 11 Table #1 of Annex 1		Y
ESRS S4-1 Non-respect of UNGPs on Business and Human Rights and OECD guidelines paragraph 17	Indicator number 10 Table #1 of Annex 1	Delegated Regulation (EU) 2020/1816, Annex II Delegated Regulation (EU) 2020/1818, Art 12 (1)	N
ESRS S4-4 Human rights issues and incidents paragraph 35	Indicator number 14 Table #3 of Annex 1		N
ESRS G1-1 United Nations Convention against Corruption paragraph 10 (b)	Indicator number 15 Table #3 of Annex 1		Y
ESRS G1-1 Protection of whistleblowers paragraph 10 (d)	Indicator number 6 Table #3 of Annex 1		Y
ESRS G1-4 Fines for violation of anticorruption and anti-bribery laws paragraph 24 (a)	Indicator number 17 Table #3 of Annex 1	Delegated Regulation (EU) 2020/1816, Annex II)	Y
ESRS G1-4 Standards of anti- corruption and anti- bribery paragraph 24 (b)	Indicator number 16 Table #3 of Annex 1		Y

AI Terminal

bpost SA/NV

3922_rns_2025-03-26_940044ab-6143-4400-8a54-dce0f7fc9984.pdf

Annual report

Contents

1. Overview of Key figures

Adjusted for the year ended 31 December

Reported for the year ended 31 December

2. Message to the Stakeholders

bpostgroup 2025: a strategy that embraces change

Chris Peeters, CEO of bpostgroup

bpostgroup Board Chair, Audrey Hanard takes the time to look back on 2024 and talks about how she sees the future unfolding.

Can you talk more concretely about this strengthened governance after the events of 2022 - 2023?

2024 came with a new CEO. How does the Board look at this new leadership & approach?

There is a new government and a new minister.

3. Shared Value Creation

3.1 Who we are

3.1.1. How we are structured

3.1.2. Staci acquisition

Presentation of Staci

Synergies from the Acquisition

3.2 Trends

3.2.2. Social Cohesion

3.2.3 Technology

3.2.4 Global Trade and Geopolitics

3.2.1 consumer trends

3.2.5 Fluidification and parcelization for B2B logistics

3.3 Strategy

3.3.1 Our ambition

bpostgroup, a regional and digital expert in parcel size logistics

3.3.2 What is our strategic vision?

1. Preferred Parcel and Mail Last Mile Network, in Belgium and Beyond

2. Leading Specialized 3PL Operator Focused on High-Value Logistics Markets

3. Leading Cross-Border Network, Focused on Specific Offerings and Lanes Yielding Superior Value

4. Reference Provider of Proximity Services to Belgian Citizens

5. Design of End-to-End Solutions and Hybrid Products

We Excel…

We Care…

3.4 Our value creation model

4. Customer Value Strategy

Introduction

Customer Centricity

Enhancing customer focus with a Chief Commercial Officer

Service enhancements: raising the bar on customer experience

Supporting citizens and democracy through election mail services

Parcel locker network: further enhancing customer convenience

Quality

Key initiatives:

Increased customer satisfaction scores year-over-year

Investment in total quality management to exceed industry benchmarks

Enhancement of cross-border, 3PL and last-mile delivery precision

Year-end 2024 peak: managing quality amid rising parcel volume

Digitalization

The My bpost app: a digital gateway to seamless delivery

Merging physical and digital: the rise of 'phygital' logistics

bpostgroup expands its global reach with Staci acquisition

Simplified e-commerce integration with Radial & Shopify

AI-driven fraud protection with "Pay by Bank"

An Advanced-Automation Partnership

Innovation

Driving sustainable logistics with the CO₂ calculator

Product innovation: seamless sending and receiving registered mail

Ecozones: reducing carbon emissions in last-mile delivery

Expansion to B2B services, enhancing end-to-end solutions

Conclusion

5. Governance

5.1 Corporate governance statement

Reference Code and introduction

Articles of Association

(*) Composition of the Executive Committee as of March 1, 2025

Corporate Governance Charter

Reference Corporate Governance Code

Deviations from the Corporate Governance Code

Board of Directors

Composition

General rules governing the composition of the Board of Directors

Members of the Board of Directors appointed by the General Shareholders' Meeting upon nomination of the Belgian State

Members of the Board of Directors appointed by the General Shareholders' Meeting

Changes in the composition of the Board of Directors

Powers and functioning

() Composition of the Executive Committee as of March 1, 2025*