Metsä Board Annual and sustainability report 2022

Non-financial key figures

2022

2021

Target 2030

Environment Share of certified wood fibre, %

83 97

83 98

>90 100 100

Traceability of raw materials, % of total purchases

Share of fossil free raw materials and packaging materials, % of dry tonnes

99.3

99.2

Direct fossil-based CO 2 emissions (Scope 1), t

236,037 147,061 291,482 1,816,979

255,467 184,028 313,030

0 0

Indirect fossil-based CO 2 emissions (Scope 2, market-based), t 1) Indirect fossil-based CO 2 emissions (Scope 2, location-based), t 2)

Indirect fossil-based CO 2 e emissions (Scope 3), t 3)

1,854,840

Share of target group suppliers who have set SBTi targets (Scope 3), % 3)

15 87

16 85

Share of fossil free energy (Scope 1 + 2, market-based), % Improvement in energy efficiency from 2018 level, % 4)

100

+2.7 -12.2

+4.3 -12.6

10

Reduction in the use of process water per produced tonne compared to 2018 level, % 5)

-30

Utilisation of production side streams, %

99.9

99.8

100

Social responsibility and personnel Total Recordable Injury Frequency (TRIF) per million hours worked 6) Lost-time accident frequency (LTA1F) per million hours worked 6)

6.7 5.4

9.8

0 0

7.0

25.0

19.2

25

Share of women in executive management (Vice President or higher) by 2025, % 7)

98

97

100

Diversity, equality and inclusion e-learning completion rate, % 8)

0.95/0.94

0.92/0.93

1.0

Women’s total earnings compared to men’s total earnings for white-collars/blue-collars 9)

Anti-corruption, anti-bribery and corporate culture Code of Conduct e-learning completion rate, %

100

99

100

85

-

100

Ethics index of the ethics barometer, % 10)

Suppliers’ commitment to the Supplier Code of Conduct, % of total purchases

99

98

100

Supplier background check passed, % of total purchases

96

92

100

Supplier sustainability assessment passed, % of total purchases

63

54

100

1) The 2021 figure for market-based Scope 2 emissions has been revised from the previously reported 173,371 tonnes to 184,028 tonnes. 2) The amount of location-based Scope 2 emissions is affected by the average energy distribution of Metsä Board’s production countries. The figure for 2021 has been corrected from 306,555 tonnes to 313,030 tonnes. 3) 70% of the non-fibre suppliers and logistics operators related to customer deliveries, measured as a share of our total purchases, would set themselves targets in accordance with the SBTi by 2024.

4) The 2021 figure for energy efficiency improvement has been revised from +1.9% to +4.3%, as previously reported. 5) The 2021 figure for the reduction of process water use has been revised from -13.5% to -12.6%, as previously reported.

6) The former subsidiary Hangö Stevedoring is included in the figures until the end of February 2022. 7) The 2021 figure for the share of women in executive management has been revised from 16.1% to 19.2%. 8) The former subsidiary Hangö Stevedoring is included in the 2021 figure. 9) Weighted average of women’s total salary compared to men’s total salary in the same job grade. Includes 98% of white-collar personnel. 10) The previous ethics barometer was conducted in 2020 (ethics index: 85%). In 2021, we implemented the selected development actions based on the results of the previous ethics barometer.

Environment Metsä Board’s operations related to environment follow the following policies, principles and management systems: • Metsä Group’s Code of Conduct • Metsä Group’s Supplier Code of Conduct • Metsä Group’s Environmental Policy • Metsä Group’s principles of environmental management • Metsä Group’s principles for forest use and management

Forests and raw materials Metsä Board’s wood supply is carried out by Metsä Group’s wood supply and forest services. The wood fibre’s sustainability and traceability are ensured by practices which meet the requirements of the PEFC Chain- of-Custody and FSC® Chain-of-Custody systems. These practices are assessed annually through Metsä Group’s internal audits and third-party audits. These audits monitor environmental and social responsibility issues in the operations of wood suppliers and harvesters, as well as the traceability of wood fibre in our own processes. Metsä Board aims for certified wood to account for at least 90% of all the wood fibre used by the company by 2030. In 2022, 83% (83) of the wood fibre came from PEFC- or FSC-certified forests and 17% (17) met the requirements for PEFC or FSC controlled wood. Metsä Group’s wood supply and forest services have targets for the end of 2030 to increase the amount of carbon sequestered in forests and wood products and to safeguard forest biodiversity. Metsä Group regularly monitors indicators such as the increase of forest management services that promote carbon

• ISO 9001 • ISO 14001 • ISO 50001

• PEFC (License code: PEFC/02-31-92) • FSC® (License code: FSC®-C001580) • UN Global Compact

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Report of the Board of Directors | METSÄ BOARD ANNUAL AND SUSTAINABILITY REPORT 2022

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