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8 February 2021

X5 identifies priorities for sustainability stakeholders

Moscow, 8 February 2021 — X5 Retail Group, a leading Russian food retailer operating the Pyaterochka, Perekrestok, and Karusel chains, has undertaken a stakeholder survey in the run-up to the publication of its first GRI (Global Reporting Initiative) compliant sustainability report to identify the Group’s priorities in the realm of sustainable development. The survey covered nearly 3,000 employees, more than 800 suppliers and partners, 24 public officials and representatives of other X5 target audiences.

The participants listed sustainable packaging, product quality and availability, general waste management and plastic recycling, employee welfare, fair working conditions and food waste management as the key focus areas. Moreover, the respondents put a heavy emphasis on the trend towards healthy eating, assessment of the Company’s impact on the urban environment, and the roll-out of socially responsible loyalty programmes.

X5’s employees also stressed the importance of switching to zero waste production, while the Company’s partners suggested shifting the focus towards the protection of plants and animals in the immediate vicinity of production sites and workplaces. Investors who participated pointed to the long-term benefits of product labels showing information about associated GHG emissions and per unit water consumption.

"In our operations, we focus not only on our strategic goals, but also on the opinions of our employees, partners, investors and the broader society. The survey results showed that X5’s sustainability goals are in line with stakeholder priorities. Furthermore, the survey helped identify new opportunities for growth, as well as new ideas and initiatives with potential for future development. We will continue to increase our efforts to achieve these goals," said Yana Synesiou, Sustainability Director at X5 Retail Group.

X5 Retail Group adopted a sustainable development strategy in December 2019, using the 17 Sustainable Development Goals of the UN 2030 Agenda as a framework. While the strategy indirectly contributes to a number of the goals, the Company has chosen to focus on the four where it can have the greatest impact: promoting a healthy lifestyle and the availability of quality and wholesome foods, advancing responsible consumption and use of resources, supporting local communities through the development of social investments and charity, and ensuring decent working conditions and equal opportunities for employees.