MATERIALITY, RISKS AND OPPORTUNITIES

OUR MATERIAL MATTERS

Our material matters are challenges and opportunities that could substantively affect the Group’s ability to create sustainable value over the short, medium and long-term for our stakeholders. We identified our material matters in terms of relevance from the risk assessment process. This process includes uncertain events that could potentially negatively affect the Group, i.e. opportunities not materialising. It also takes into account the legitimate and reasonable needs, interests and expectations of all material stakeholders in the execution of the Board’s governance role and responsibilities and in the best interests of the Group.

We focused our reporting on our sustainable business development directly affecting the Group’s ability to create value as well as the Group’s impacts and responses to the expectations of its stakeholders.

In defining our material themes, we focused on the following internal and external factors:

INTERNAL FACTORS

EXTERNAL FACTORS

Strategic focus areas Business model Managing liquidity and sustainability during the COVID-19 pandemic Responsible use of capital generated to ensure a healthy financial position Governance and ethics Responsible corporate citizen Issues raised through stakeholder engagements Group policies, values, Code of Conduct and Code of Ethics Risk management process Provide and maintain quality infrastructures

COVID-19 and the impact on the economy Regulatory compliance Protection of personal information and cybersecurity Competitors Reporting frameworks Local and global, environmental, and socio-economic developments Responsible investments practices Reputation

HOW WE DETERMINED OUR MATERIAL MATTERS

Through a formal process, the Board committees and executive management identified material matters in terms of relevance that could impact the value we create over time, including our ability to deliver on our purpose.

Refer to this section for further information on our material matters. Our material matters are assessed continually to ensure that our strategy remains relevant in an evolving operating environment. We have used our top risks and opportunities arising from our operating context and stakeholder relationships as key in determining material matters on which to report.

MATERIAL RISKS AND OPPORTUNITIES

The Board delegated the management of risk to the audit and risk committee. One of the key components of the committee was to review the top 10 material matters to respond to new and emerging risks and ensure alignment with regulatory changes and best practices that the Company may face. This required quick decision-making and effective risk management to mitigate exposure and to harness opportunities. In addition, the committee considered stakeholder needs, corporate governance principles, risk trends, global trends and external dynamics.

Our material matters, key risks and opportunities represent the issues that have the most impact on our ability to create sustainable value for our stakeholders.

We identified the following material matters:

RISKS RELATED TO OUR ACTIVITIES

Our risk management approach continues to evolve as we continue to define risks that may impact our ability to deliver sustained value creation for our stakeholders.Our value creation strategy depends on management being able to leverage opportunities and the associated risks without jeopardising the direct interests of our stakeholders.

Our risk management process is designed to identify, assess, quantify and mitigate events by providing reasonable assurance that our strategic objectives will be achieved through the risk’s potential positive and negative effects.

The Board delegated the management of risks to the audit and risk committee and is committed to effective risk management to pursue the Group’s strategic objectives to grow shareholder value sustainably. In our material matters, our key risks and opportunities represent the issues that have the most impact on our ability to create sustainable value for our stakeholders. As new trends and developments shape the macro-economic environment, our themes have remained consistent but have been amended to reflect the impact of the COVID-19 pandemic.

A key responsibility of the audit and risk committee was to review the top material risks that the Group faces, respond to new and emerging risks, and ensure alignment with regulatory changes and best practices. In doing so, the committee took stakeholder needs into account, including corporate governance principles, risk trends, global trends and external dynamics. With our sound management of risk, we are able to anticipate and respond to operating changes and make decisions under conditions of uncertainty.

Our top risks	COVID-19 global pandemic and lockdown Reputation Unstable economic, social and political environment Loss of major customers Reallocation of long-term fishing rights Reputational damage - relationship with banking institutions Limited access to funding Regulatory compliance Information Technology and cyber risk Environmental challenges
Emerging risks	Business resilience – the uncontrollable elements such as pricing, exchange rate volatility and inflation could impact our earnings The delivery of strategic projects and business opportunities Cybersecurity and privacy in a more digital and remote working environment Business security and crisis management – the pandemic resulted in some of our business unit’s operations being halted, calling into question the sustainability of their business models The effects of climate change on sustainability
Opportunities	Improving margins that will optimise our business operations Enhancing our existing assets Optimising our plant and equipment Optimising “The Way We Work” in a digital world Acquiring good businesses at favourable prices as a result of the pandemic

Refer to the online corporate governance report’s governance of risk management section for further information on the above risks.