Rostelecom : ESG report

ROSTELECOM	ESG REPORT 2020	1

About the Report

This Report has been prepared by PJSC Rostelecom ("Rostelecom" or

the "Company") and its subsidiaries (jointly, the "Group"), in line with Note 11 Subsidiaries to the Company's consolidated financial statements prepared under the International Financial Reporting Standards ("IFRS") for the year ended 31 December 2020. This Report has been prepared based on PJSC Rostelecom's management reports and in line with PJSC Rostelecom's IFRS consolidated financial statements for 2020. As a part of PJSC Rostelecom's Annual Report this report was pre-approved by the Board of Directors.

As a public joint stock company with securities listed on Moscow Exchange and traded internationally, Rostelecom is committed to the highest standards of corporate governance and disclosure. As we continually seek to further improve our corporate practices and enhance information transparency,

we strive to provide investors and shareholders with comprehensive data on Rostelecom's operations, ensuring that all disclosures are accessible and easy to use.

6		ROSTELECOM	ESG REPORT 2020	7

Our ESG priorities

Sustainable Development Goals prioritised by Rostelecom

1.865

bn RUB-spending on health and safety

Environment:

• Effective environmental operational control and management system

• Energy efficiency
• Waste management
• Reducing emissions
• Responsible consumption

Social impact:

• Employee training and development
• Ensuring workplace safety
• Supporting employees and increasing engagement
• Philanthropy
• Digital services for better quality of life

Corporate governance:

• Good governance
• Fair remuneration
• Shareholder rights
• Anti-corruption
• High procurement standards

Sustainable Development Goals

Rostelecom Group is committed to maintaining consistent and balanced operations in line with the principles of sustainable and responsible development. We are focused on creating and enhancing long-term economic, social and environmental benefits for both current and future generations. Rostelecom not only operates in a way that drives balanced, sustainable business growth and shareholder value creation, but also aims to make

a positive contribution to the sustainable development of Russia, its society and the telecommunications industry.

Rostelecom integrates the United Nations Sustainable Development Goals (UN SDGs) into the management of the Company's operations and considers them when preparing annual reports and designing sustainability projects.

First priority goals

Goal 9

Build resilient infrastructure, promote inclusive and sustainable industrialisation and foster innovation

Goal 8

Promote sustained, inclusive

and sustainable economic growth, full and productive employment

and decent work for all

Goal 4

Ensure inclusive and equitable quality education and promote lifelong opportunities for all

Goal 11

Make cities and communities inclusive, safe, resilient

and sustainable

Goal 10

Reduce inequality within and among countries

Second priority goals

Goal 17

Strengthen the means

of implementation and revitalise the global partnership

for sustainable development

Goal 16

Promote peaceful and inclusive societies for sustainable development, provide access

to justice for all and build effective, accountable and inclusive institutions at all levels

Goal 12

Ensure sustainable consumption and production patterns

Goal 13

Climate action

Goal 15

Life on land