Fiscal 2025 Sustainable Business Report

Leader Message About This Report

About Us

Approach & Materiality

Governance

Cyber Security & Data Protection

OurPartTM People

Planet Products

Leader Message 4

About This Report 9

About Us 12

3.2 Financial Highlights 13

Approach & Materiality 14

Governance 18

Cyber Security & Data Protection 21

OurPartR 23

People 24

Planet 40

Products 56

10.6 Customer Experience & Engagement 67

10.5 Supplier Partnerships 70

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Leader Message About This Report

About Us

Approach & Materiality

Governance

Cyber Security & Data Protection

OurPartTM People

Planet Products

Prioritizing sustainability is a critical element of our ambition to be the best retailer in Canada. We've taken bold actions, including setting science-based climate targets, collaborating with supplier partners to address social and environmental risks in our supply chain, deepening our engagement with Indigenous Peoples, and continuing to invest in our teams and communities. Our sustainability strategy builds on this momentum so we can continue to deliver ethical and sustainable products that are good for people, good for the planet and good for fostering strong business performance.

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About Us

Approach & Materiality

Governance

Cyber Security & Data Protection

OurPartTM People

Planet Products

Since our early days as a family-owned business in Nova Scotia starting in 1907, we've been proud to serve Canadians and grow alongside the communities we call home. Empire Company Limited remains committed to delivering the highest quality products and exceptional value, while focusing on integrating more sustainable business practices-because Canadians deserve the best.

Today, we continue to honour our roots by standing up for our customers, teammates and partners as we all face evolving global challenges. We believe a strong, sustainable food system in Canada is critical

to our country's economic resilience and food security. As a proudly Canadian grocery retailer, we are committed to strengthening domestic supply chains, investing in homegrown businesses and ensuring people across the country have access to the best locally sourced products.

Sustainability is a core part of our strategy to bring Canadians the very best. Empire continues to focus on eliminating food waste, supporting local food banks and strengthening Canada's food ecosystem. We are making progress on our Climate Action Plan, which includes our target to achieve net-zero by 2040 for Scope 1 and 2 emissions by decarbonizing

our business and using energy and other resources sustainably. We are helping nurture healthy bodies and minds across Canada through investments in the more than 900 communities we serve, supporting youth mental health and contributing to other meaningful causes that are important to us, to our customers and to our teammates. Playing a leading role to advance Canada's Grocery Code of Conduct, meanwhile, reflects Empire's commitment to fairer

industry practices and better outcomes for consumers.

We have always believed that sustainability is good for business and drives our growth strategy. Over the past year, we've made strategic investments

to deliver more value to customers across all our banners. For example, we've expanded Own Brands with a focus on large-format, multicultural and value-oriented products to meet evolving customer needs. In addition, we have made our transportation network more efficient by enhancing our transportation management systems, optimizing delivery frequency and expanding our supply chain network.

Our business is deeply interconnected with the strength of our communities and our country, now and in the future. Empire's progress as a sustainable business reflects the commitment of our customers,

the passion of our teammates, the collaboration of our supplier partners and the ongoing trust of our investors. Thank you for working with us and doing your part to build a stronger, more prosperous Canada.

Joshua Goodman

Head of Corporate Sustainability, Empire Company Limited

signed "Joshua Goodman"

Joshua Goodman

Head of Corporate Sustainability Empire Company Limited

July 2025

Leader Message About This Report

About Us

Approach & Materiality

Governance

Cyber Security & Data Protection

OurPartTM People

Planet Products

Empower all to live sustainably in thriving communities • People

• Planet

• Products

• Climate Action

• Community Investment

• Diversity, Equity & Inclusion

• Ethical & Sustainable Sourcing

• Food Waste

• Indigenous Relationships

• Plastics & Packaging

  Our sustainability strategy builds on momentum, accelerates action and amplifies positive impacts for People and Planet through sustainable and ethical Products.

  Empire is a national retailer with deep local roots; strong customer, supplier partner and teammate relationships across Canada; and supply chains that extend around the world. As such, we have the scale and commitment to empower people to live sustainably in thriving communities.

  Our sustainability priorities are to keep driving progress in:

• Climate Action: Decarbonizing and transitioning our business and supply chain to thrive in a low-carbon economy through our Climate Action Plan

• Plastics & Packaging: Enabling our customers to buy, shop and live free of plastic waste

  • Food Waste: Reducing food waste in our

    operations to feed people, not landfills

  • Ethical & Sustainable Sourcing: Embedding responsible business practices in sourcing decisions, providing confidence that the products we sell are good for people and the planet

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