Brederode S A : Corporate governance statement 2021

BREDERODE

CORPORATE GOVERNANCE STATEMENT

FOR THE FINANCIAL YEAR 2021

Table of contents

• 1. Reference corporate governance charter ................................................................................................................................................ 5

• 2. Shareholders .............................................................................................................................................................................................................. 5

  • 2.1. Law governing transparency obligations ........................................................................................................................................ 5

  • 2.2. Annual General Meeting and Shareholders rights ................................................................................................................... 5

• 3. Composition and functioning of the management bodies and their committees ...................................................... 6

  3.1. Composition of the Board of Directors and its Committees ................................................................................................ 6

  3.2. Functioning of the Board of Directors and its Committees ................................................................................................. 8

  3.3. Powers of the Board of Directors .......................................................................................................................................................... 8

  3.4. Remuneration report ................................................................................................................................................................................... 8

• 4. Environmental, Social and Governance responsibility ................................................................................................................. 10

• 5. Key features of the internal control and risk management systems ..................................................................................... 10

  5.1. Control environnement ............................................................................................................................................................................ 10

  5.2. Risk management process ...................................................................................................................................................................... 11

  5.3. Control activities .......................................................................................................................................................................................... 13

  5.4. Information, communication and oversight ............................................................................................................................... 13

  5.5. External audit ................................................................................................................................................................................................. 13

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1. Corporate governance charter

Brederode complies with the "X Principles of corporate governance of the Luxembourg Stock Exchange, 4th revised edition". On 30 May 2014, Brederode adopted a Corporate governance charter, last revised on 13 March

2018. The revised version is available for consultation on the websitewww.brederode.eu. It indicates the points where Brederode diverges from the recommendations of the X Principles, and the reason for the divergence.

2. Shareholders

2.1. Law governing transparency obligations

On 2 November 2020, Brederode received a notification from the Stichting Administratiekantoor (STAK) Holdicam, in accordance with of the Grand-ducal Law and Regulation of 11 January 2008 on transparency requirements for issuers of securities.

As at the date of this notification, the ultimate beneficial owner of Brederode S.A. continued to be STAK Holdicam, which held 100% of Holdicam S.A. The latter in turn held a 58.18% share in Brederode S.A.

As at 31 December 2021, Geyser S.A., an indirect subsidiary of Brederode S.A., still held 4.11% of Brederode S.A.

2.2. General Meeting and shareholder rights

The General Meeting operates and exercises its power in accordance with the amended Law of 10 August 1915 governing commercial companies and with the Articles of Association. The amended Law of 24 May 2011, governing the exercise of certain shareholder rights at the general meetings of limited companies, provides for the main shareholder rights as well as the procedure for exercising these rights, which are recorded in the minutes of the General Meeting.

The Brederode shares are ordinary shares and all enjoy the same rights. Each share gives equal rights to dividends and a share of the reserves in the event of liquidation or capital reduction. Each share gives equal voting rights during the Brederode General Meeting. The company has not issued any securities with special voting rights. Except where contrary legal provisions are applied, voting rights are not restricted in any way, such as by voting limits for holders of a certain percentage or certain number of votes, deadlines for exercising voting rights, or systems whereby, with the company's cooperation, the financial rights attached to the securities are separated from the holding of securities.

The company's Articles of Association may be modified by the Extraordinary General Meeting. The latter may only deliberate this point if at least half of the shareholders are present or represented at the