Falabella S A : RATIONALE FOR THE MATTERS SUBMITTED FOR CONSIDERATION BY THE SHAREHOLDERS OF FALABELLA S.A.

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FALABELLA S.A.

Publicly Traded Stock Corporation Securities Registry Entry No. 582

RATIONALE FOR THE MATTERS SUBMITTED FOR CONSIDERATION

BY THE SHAREHOLDERS OF FALABELLA S.A.

AT THE ANNUAL SHAREHOLDERS' MEETING TO BE HELD ON APRIL 19, 2022

This document is intended to provide shareholders with sufficient information to understand the rights they may exercise and the rationale for each of the matters to be submitted for their consideration at the Annual Shareholders' Meeting of FALABELLA S.A. (hereinafter, the "Company") to be held on April 19, 2022.

BACKGROUND OF THE ANNUAL SHAREHOLDERS' MEETING

The Board of Directors of the Company, at a meeting held on April 1, 2022, called the shareholders to an Annual Shareholders' Meeting (hereinafter, the "Annual Shareholders' Meeting"), for the purpose of bringing to their attention and requesting approval of the matters set forth in the notice of the Annual Shareholders' Meeting.

The information on the call and notice of the Annual Shareholders' Meeting was also communicated to the Financial Market Commission (hereinafter, the "CMF") by means of a material event notice dated April 1, 2022.

The notice of the meeting was published for the first time in the electronic newspaperhttp://www.latercera.comon April 4, 2022.

INFORMATION ON THE ANNUAL SHAREHOLDERS' MEETING AND SHAREHOLDERS' RIGHTS

Date of the Annual Shareholders' Meeting: April 19, 2022, starting at 3:00 pm.

Venue: Álamo AB Room of the Courtyard by Marriot Hotel, located at Av. Kennedy 5601, 7th floor, Las Condes, Santiago.

Shareholders entitled to participate in the Annual Shareholders' Meeting: All persons holding shares of the Company registered in its shareholder registry at midnight on April 11, 2022.

Participation in the Annual Shareholders' Meeting: Shareholders may attend and participate in person or by proxy. In the latter case, the shareholder's representative must evidence his or her power of attorney in accordance with the law. The qualification of proxies, if applicable, will take place on the day of the Annual Shareholders' Meeting at the time it begins.

Voting system applicable at the Annual Shareholders' Meeting: In accordance with the provisions of Article 62 of Law No. 18. 046, on Corporations (hereinafter, the "LSA"), it is hereby informed that, unless unanimously agreed by the shareholders present and entitled to vote that it is permitted to omit voting on one or more matters and proceed by a show of hands, the matters submitted for decision at the Annual Shareholders' Meeting will be individually voted on through the electronic voting system, as provided for in Section I Letter B of General Rule No. 273 of the CMF. Each shareholder attending the Annual Shareholders' Meeting in person will be able to access the electronic voting system provided by DCV Registros S.A., a subsidiary of Depósito Central de Valores S.A. (hereinafter, "DCV"), through their own electronic device with internet access and that meets the technical requirements to participate remotely in the Annual Shareholders' Meeting or, if they do not have one at the venue of the Annual Shareholders' Meeting, with the electronic device that the Company will provide them for voting purposes at the same venue of the Annual Shareholders' Meeting. Both the voting of shareholders attending the Annual Shareholders' Meeting in person and of those participating remotely will be carried out within the same electronic voting system, ensuring the accuracy, completeness and simultaneity of the voting of all those attending the Annual Shareholders' Meeting (regardless of whether it is in person through the electronic devices or remotely, as explained below).

Holding of the Annual Shareholders' Meeting in view of restrictions derived from the COVID-19 pandemic: The COVID-19 pandemic (hereinafter, the "Pandemic") and the measures for its containment that the authorities have issued and could issue in the future that entail restrictions to the hosting of public events (hereinafter, the "Sanitary Measures"), could impact the holding of the Annual Shareholders' Meeting, both with respect to the modality of its holding, and the possibility of holding it, at all, within the term required by law. In consideration of the above, and the provisions of General Rule No. 435 and Circular No. 1,141, both of the CMF, which have authorized the use of technological means that allow shareholders who are not physically present at the place where the meeting is held to participate and vote at meetings of open stock corporations, the Company will make the aforementioned technological means available to its shareholders so that they can also participate in the Annual Shareholders' Meeting remotely.

Due to the Pandemic and the Sanitary Measures, and in accordance with the provisions of the CMF in its General

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Rule No. 435 and its Circular No. 1,141 mentioned above; shareholders may participate in the Annual Shareholders' Meeting: i) in person, if this is possible in accordance with the Sanitary Measures, in a number that added to the persons who will conduct the Annual Shareholders' Meeting, and in order of arrival, does not exceed the maximum capacity then allowed at the venue of the Annual Shareholders' Meeting, in accordance with the Sanitary Measures, and provided that these allow the presence of at least 10 persons; or, ii) through videoconference and electronic voting through DCV's remote registration and voting system.

In order to participate remotely in the Annual Shareholders' Meeting, shareholders entitled to participate in the meeting must first register in accordance with the instructions that will be published as of April 4, 2022, on the Company's websitehttps://investors.falabella.com. This remote participation registration may be carried out until 2:00 p.m. on April 18, 2022. Shareholders so registered will receive by e-mail, at the address provided at the time of registration, the link and password that will enable them to participate in the Annual Shareholders' Meeting remotely and to vote electronically at the meeting. On the day of the Annual Shareholders' Meeting, the shareholder must access the web platform that will be provided for this purpose with the access code (control number) that will be given to him/her, to attend the Annual Shareholders' Meeting and vote electronically, through the same electronic voting system provided by DVC and enabled on the electronic devices available to shareholders attending the Annual Shareholders' Meeting in person.

RATIONALE FOR MATTERS TO BE DISCUSSED AT THE ANNUAL SHAREHOLDERS' MEETING

FIRST MATTER: 2021 ANNUAL REPORT.

a) Matter: resolution of the Annual Shareholders' Meeting on the Company's annual report for the year ended December 31, 2021 (hereinafter, respectively, the "Annual Report" and "Year 2021").

b)

Board of Directors' Proposal: approval.

The Annual Report is available to shareholders on the Company's websitehttps://investors.falabella.comas of April 4, 2022.

Voting on the First Matter: Vote for, against or abstain from voting on the approval of the Annual Report.

SECOND MATTER: 2021 BALANCE SHEET.

a) Matter: resolution of the Annual Shareholders' Meeting on the audited consolidated balance sheet of the Company for the Year 2021 (hereinafter, the "Balance Sheet").

b)

Board of Directors' Proposal: approval.

The Balance Sheet is available to shareholders on the Company's websitehttps://investors.falabella.comas of April 4, 2022.

Voting on the Second Matter: V ote for, against or abstain from voting on the approval of the Balance Sheet.