Soitec : Sustainability Report 2020-2021

2020-2021

SUSTAINABILITY REPORT

IN OUR

S IL

GROWS

an amazing future

5G

WE ARE THE

INNOVATIVE

SOIL

from which smart and energy efficient electronics grow into amazing and sustainable life experiences.

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EDITORIAL

Paul Boudre

CHIEF EXECUTIVE OFFICER

Pascal Lobry

PEOPLE AND SUSTAINABILITY EVP

The past few months have marked a major turning point for Soitec. Corporate social responsibility has always been central to our thinking and since the very formation of the Company, we have committed to a host of initiatives in a variety of fields

This innovative"and fertile soil has also nourished and enriched our social pact over time,

with burgeoning job and career prospects, an exemplary value

With our privileged position at the apex of the microelectronics value chain, the industry standards that we are relentlessly creating worldwide in major applications for communications, connectivity, mobility and embedded intelligence, and our rapid growth over recent years, Soitec has a special mission and responsibility that extends far beyond simply developing and producing substrates.

When we consider that 80% of the world's population uses our Smart CutTM technology, and we calculate the energy consumption that our products help to avoid while advancing the causes of healthcare, education and low-carbon mobility, we are able to gain a sense of our role and the immense sustainability responsibility that lies on our shoulders.

And that is why, as soon as we had established the foundations of our recovery and the conditions for sustainable and profitable growth, we were determined to make sustainability one of the pillars on which our medium-term strategic vision is built. In line with this approach, we have endowed Soitec with a

corporate purpose that reflects us and serves as a source of inspiration and commitment for our teams, partners and customers".

"We are the innovative soil from which smart and energy efficient electronics grow into amazing and sustainable life experiences."

We are sowing the seeds of innovation and are proud of our vital contributions to multiple developments in the field of electronics. Greater efficiency, better safety and more agility with less energy - these priorities have shaped our history since the very beginning and are at the core of our technologies and our value propositions. We are at the very start of the value chain and our substrates are constantly opening up new horizons for our customers"and end users.

Our new corporate purpose, the result of in-depth work with our stakeholders and supported by our Board

of Directors, has been enshrined in our by-laws since July 2021.

It underpins our commitment to an eco-responsible innovation approach through our contribution to making the microelectronics sector more environmentally friendly, through our industrial processes, and through all the components

of the social pact that binds us to the people who contribute to our actions, in our different entities and more broadly in our territories, alongside our partners and suppliers.

This report illustrates the main concrete commitments that we have already made, our initial achievements and our ambitions for the years to come. This is only the beginning of course, as our corporate purpose binds us to

a long-term vision. Our desire is that it will serve as a motivating force for us all, driving our daily actions to preserve the planet and contribute to economic and social progress.

• mainly social and environmental. Now bound by a corporate purpose that is enshrined in our by-laws, we are taking CSR a step further and are committing to realizing the ambitions that we set out in our strategic plan, of which sustainability is among
  the pillars, in a more structured and timely manner.

Describing ourselves as "innovative soil" is no small thing. Of course, it primarily refers to our immense responsibility to facilitate numerous technological advances that are impacting an ever-expanding range of expectations in the fields of communication, mobility and intelligence in connected objects - all combined with outstanding energy savings.

But it is also reflected in our environmental commitments" within the Company and with our suppliers. And of course, our customers.

We now have a clear roadmap for our approach to climate, water consumption and biodiversity. And

our efforts have already produced their first results, as described throughout this report.

sharing policy, a proactive approach to diversity that pledges to leave no one behind, and a quality of life at work whose advancement is regularly measured by our employees.

Lastly, our innovative soil must also, more broadly, nourish our territories and our partners, through the direct and indirect jobs that we create, through the many qualifications and training opportunities that we generate for young people, through our support for our suppliers' efforts to advance their social and environmental standards, and through the inspiration that we provide for so many stakeholders in our ecosystem.

I hope that you enjoy reading this report as much as we have enjoyed taking stock of the rapid advances that we have already made and looking forward to the progress that is still to come.

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Soitec, a world leader in the production

of innovative semiconductor materials

Soitec designs and manufactures innovative semiconductor materials. Our technologies and products play a major role in the mass adoption of electronic devices, including smartphones, 5G, computers, servers, industrial and medical equipment, electric and autonomous cars, connected cities and objects, and personal assistants. These technologies help to make the world more connected, more intelligent and more energy efficient.

Our markets

The growth prospects for the semiconductor market over the coming decade are very significant. By 2030, the market is expected to more than double, with very high demand across the entire electronics value chain.

Mobile		Automotive		Smart
communications		and industry		devices

Soitec in key figures

30%	90%	1,850	> 3,500
revenue growth	of revenue	employees	active
versus fiscal year	outside France	worldwide	patents
2019-202045%		23%	73%
growth expected in fiscal	of the workforce	managers, engineers
year 2021‑2022		dedicated to	and technicians
		innovation

A global footprint

Today, we have six production lines across the globe. We are anticipating

a 250% increase in our product sales volumes by 2026.

Headquarters

Production facilities

Substrate Innovation Center

Sales offices

Sustainability, the cornerstone

of Soitec's strategy

GROWTH

PROFITABILITY

TALENT

SUSTAINABILITY

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Making sustainability the cornerstone of Soitec's strategy

								2021-2026
								OUR CSR ROADMAP
								In 2021, we launched our new
								Corporate Social Responsibility policy,
								with a roadmap running through to
								2026. This policy makes sustainability
								the cornerstone of Soitec's strategy
								and is based on three pillars and
								12 commitments, which draw on a
								materiality matrix that we conducted
								with all our stakeholders. These pillars
								are: driving the transition toward a
								sustainable economy through our
								innovation and operations, leveraging
								our inclusive and inspiring company
								culture, and acting to become a role
								model for a better society.
					YEARS
		30
		OF COMMITMENT
1992	2001	2007	2008	2010	2012

OUR CONTRIBUTION TO THESoitec has defined its contribution	address the major global challenges
SOITEC'S		In 2015, the United Nations defined 17 Sustainable
	Development Goals, with each one corresponding to a
UNITED NATIONS SUSTAINABLE	major global challenge to be addressed by 2030. Through
CONTRIBUTION TO	to 12 of the 17 United Nations	of poverty, inequality, climate,
Sustainable Development Goals.	environmental degradation,
DEVELOPMENT GOALS		our commitments, Soitec contributes to 12 of the 17 goals.
THE SUSTAINABLE	These goals were set out in 2015	prosperity, peace and justice.
DEVELOPMENT GOALS	and are to be achieved by 2030 to
(SDGS)
		Sustainable
	Communities	innovation
			Climate
			change
Responsible
supply chain		Drive
		the transition
		toward a sustainable
	Act	economy through	Responsible
to become	our innovation	water
a role model	and operations	management
	for a
better society
Ethics
			Biodiversity
	Leverage our
	inclusive and
		inspiring	Pandemic
	company culture
Attracting and
developing		Health and
talent
		safety
	Diversity	Quality of life
	and inclusion	at work

2014

2015

2018

2020

2021

Formation	1st ISO 14001	Signing of the	Creation of	1st OHSAS 18001	EICC membership
of Soitec	environmental	1st agreement	a sustainable	safety certification	(now Responsible
	certification	on gender equality	development	obtained	Business Alliance)
	obtained	in the workplace	program		Signature of the
	Signing	Introduction	Signing
		1st Code of Good
	of the 1st employee	of the	of the		Conduct
	profit-sharing	"Safe" program	Green Partner
	scheme		policy

1st carbon	1st ISO 50001	Signing of an agreement
footprint	(energy)	for an inclusive Company
assessment	certification	at every age
	obtained	Employee free share
		allocation plans
		1st preferred
		share co-investment plan

Launch of a	Approval of our climate
climate plan	objectives by the
Signing of a	Science-Based Targets
initiative (SBTi)
partnership
agreement with	Signing of a collective
the French League	agreement on gender
for the Protection	equality extended
of Birds (Ligue	to include LGBTQIA+
pour la Protection	ISO 14001 and 45001
des Oiseaux - LPO)
	(health and safety)
	certification obtained for
	our Pasir Ris site (Singapore)

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