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WATER

Aware of the importance of responsibly managing the consumption of resources, including water, the Moncler Group is committed to preserve and reduce the consumption of such resources at its sites and throughout the supply chain.
In recent years the Group has thus launched a series of activities aimed not only at assessing its impacts on water consumption, but also at analysing the water risk of its sites and along the supply chain to identify improvement measures.
As part of this process, for the first time in 2022, the Group calculated its water footprint, including water consumption occurring both at its sites and throughout the supply chain.
This analysis was conducted in collaboration with an external partner and follows the principles set by the ISO 14046: Water Footprint – Principles, requirements and guidelines. The water footprint calculation methodology allows to combine direct (at the Group’s sites) and indirect (throughout the supply chain)

consumption data with the water risk index (reflecting water scarcity Available Water Remaining – AWARE) associated with each geographical area analysed.
In line with the analysis of the Group’s carbon footprint, also the water footprint showed that the most significant impacts on water resources occur in the extraction and production phases of materials and in some processing stages.
Overall, the Group’s total water consumption20 is around 7,200,000 m3. The most significant water consumption occurs in the production of the Group’s natural and animal raw materials, particularly for the cultivation of cotton, which is also the main material by volume purchased. Among synthetic fibres, the greatest water consumption occurs in the transformation and dyeing of yarns and fabrics.
The results of the analysis were used internally to identify and prioritise actions and projects aimed at reducing the impact on water consumption.

For example, in the cotton supply chain the Group has identified regenerative agriculture projects that make it possible to increase the capacity of the soil to retain water, improving the resilience of crops and reducing the need for irrigation of fields.
In addition, in 2022 the Group supported a research project by the Umberto Veronesi Foundation focused on identifying the mechanisms used by specific cotton varieties to survive or optimise growth in drought situations. The study aims to understand how to improve the resilience of species selected for agriculture in a less favourable environmental scenario and with limited water resources.
The Group’s goal is to continue to refine the analyses carried out thus far, enriching them with increasingly granular data, involving suppliers that operate upstream in the supply chain to collect information on water consumption of their production processes in order to identify potential risks and mitigate impacts.

WASTE

The waste generated by the Moncler Group’s direct activity mainly relates to packaging material, to office and textile processing scraps.
In 2022 Moncler and Stone Island recycled approximately 92% (+3 percentage points compared to 2021) of the waste generated in Italy and at Moncler’s production site in Romania.
The Group’s offices and stores are equipped with special waste sorting containers and employees are informed of the importance of using proper practices so that waste can be recycled/recovered or, to a residual extent,

disposed of. The sorting applies to: paper and cardboard, wood, plastic and IT equipment.
In the last years, in view of the potential negative impacts of inefficient, unethical waste management, the Group has implemented ad hoc procedures and processes for the management of textile materials, be they inventories, fabric scraps or unsold garments. In addition, it constantly dialogues with partners and organisations to explore innovative solutions.
Also in 2022, no unsold garments were sent to incineration with energy recovery or to landfill;

rather, they were recycled to recover fabric, yarn or other materials.
In addition, in 2022 100% of the nylon production scraps from the Group’s direct sites was recycled.
Lastly, the Group is a member of RE.CREA, the consortium founded by industry brands, coordinated by Camera Nazionale della Moda Italiana, to manage textile and fashion products at the end of their lives and to promote the research and development of innovative recycling solutions.

NOTES

20 The 2022 water footprint data include direct and indirect Group consumption, i.e. linked to the production of raw materials and finished products. The Group’s direct water consumption relates mainly to sanitation and, for Stone Island, to the production activities of the dye departments (Ravarino, Modena). Direct water discharges are comparable to those of residential buildings and are therefore drained into the sewage system. The water discharged from Ravarino site was analyzed 5 times during the reporting year and reported an average COD level of about 184 mg/l, well below the legislation limit. Based on the average detected mgCOD/l, the total COD in wastewater discharged from Ravarino site into public sewage was 1.6t in 2022, compared to 1.3t in 2021.

21 Indirect water consumption associated with the production and extraction of raw materials, such as cotton-growing, the livestock-raising phase for wool and transformation processes for synthetic fibres.

22 Indirect water consumption associated with processing such as spinning, weaving, dyeing, manufacturing, ironing, garment dyeing etc..

23 Refers to the offices and logistics hubs in Italy and the production site in Romania. It does not include waste directly managed by local municipalities.

24 In 2020 Moncler disposed, by way of exception, shelves and industrial shelves at the logistics hub in Castel San Giovanni (Piacenza).

25 Includes the disposal of a chemical solution used to recover a metal tank that previously held diesel to heat the production site in Romania.

26 Includes spray cans, surgical/FFP2 masks.

27 Transferred to ad hoc facilities for the treatment and disposal of condensation water from air compressors.