Page 215 - CRC_One Report 2021_EN

Business Overview and Performance Corporate Governance Financial Statements Enclosure

• Italy: The business situation in Italy is likely to continue to recover due to its accelerated distribution of
vaccines. As a result, official measures meant to tackle the outbreak since 2Q 2021 could be eased
even though there has been an increase in the number of new infected cases. The Italian economy continued
to recover. The Company could manage to open all department stores as usual from mid-April,
together with the distribution of products through omnichannel platforms, adjusting products to fulfill consumer
preferences, especially local customers, resulting in steady sales growth. Especially in 4Q 2021, sales growth
achieved the highest compared to those of other quarters. Meanwhile, omnichannel sales grew by
80% from last year, or accounted for 5% of the Company’s total sales in Italy.

The Company aims to operate its business under sustainable growth, focusing on sustainable management and
benefits while also taking into account long-term impacts that reflect the purpose of the Company in being
Central to Life. The Company has operated its business on the framework of sustainable development,
which has 4 main areas: People, Prosperity, Planet and Peace & Partnerships to improve sustainability.
The Company is aware of the impacts on stakeholders and focuses on their rights and benefits and potential effect
towards Company’s business operations and sustainability. Moreover, it is also determined to align and manage
the organization based on the principles of good governance, enabling the business sector to take part in contributing
to high-quality, long-term positive results, as well as enhancement of people’s life, society, and the world.
This effort is considered value creation along with building business sustainability for mutual growth.

In 2021, the Company has enhanced the organization to meet applicable international standards and be competitive
in the global area, preparing it for potential development in any context of sustainability, as well as
ESG (Environment, Social, and Governance). This included the Journey to Zero project that aimed to reduce
the amount of waste at sources, promote waste segregation, switch to renewable energy, increase green areas,
and introduce the Jing Jai Farmers’ Market project that drives the local economy, increasing household income for
farmers while also improving their livelihood and that of consumers. The Company also provided assistance in various
fields to the society and medical personnel during the COVID-19 epidemic. In addition, the Company employed and
adapted the Good Corporate Governance Principles (CG Code) stipulated by the SEC to be suit its business contexts
and reviewed its corporate governance policies to ensure that they are in line with the principles of good corporate
governance and enhanced the operating standards to be in line with international best practices. As a result, in 2021,
the Company has been selected in the Thailand Sustainability Investment (THSI) of 2021 by the Stock Exchange
of Thailand and was assessed as “Excellent” in terms of good governance according to the Corporate Governance
Report of Thai Listed Companies (CGR), produced by the Thai Institute of Directors (IOD), and it was scored full
100 points for the Annual General Meeting of Shareholders Assessment project, assessed by the Thai Investors
Association. In addition, the Company has been selected as the member of the Sustainability Yearbook for
the year 2022, which is the first year that it has participated in the sustainability assessment by S&P Global (DJSI).

The Company’s Key Development in 2021

During the past year, the Company has created an Omni-Centric working system and changed the way of thinking
and working to be ‘Digital First’ in all dimensions of business, enabling the Company to successfully transform
its organization into a Digital Retail, and extend the omnichannel platform to cover all business segments
in all 3 countries, resulting in the organization being strong and resilient to sustainably thrive.

1) New Store Expansion and Store Renovation and Rebranding
The Company expanded its store areas and improved offline platforms in 3 countries to become the Omni-Lifestyle
store in response to change and to create a good shopping experience for customers. In 2021, the Company
has strategically expanded its presence through the launch of new stores, i.e. 1 Robinson Department Store,
5 Thai Watsadu stores, and 3 GO! malls. In addition, the Company expands new stores of supermarkets,
specialty stores, brand shops, and new format stores.

Annual Report 2021 (Form 56-1 One-Report) 215