Information on the report

Approach

To align with our stakeholders' expectations concerning the most important issues related to the Group's operations, we are delighted to present our annual integrated report, which is the second integrated report published by JSW Group. The report encompasses the most important issues that show the dependencies and relations linking the financial and non-financial aspects of the Group's activities.

The aim of this integrated report is to present to all shareholders, investors and partners comprehensive information about the Group as well as to depict and clarify the context of its activities and to clarify that value creation reaches far beyond the financial aspect, covering issues such as: respect for the environment, science and people, safety, honesty, responsibility and transparency, based on which we build trust, lasting relations with customers, employee satisfaction and good contacts with local communities.

Scope

This report depicts the key events and financial results for the period from 1 January 2019 to 31 December 2019, and includes - in line with the existing reporting rules - material events taking place after the reporting period but before the date on which this report was published.

The report is published annually. The previous report was published in August 2019 based on the Non-Financial Information Standard (SIN). No material changes in the scope of reporting occurred in comparison to the previous year. The key areas that attract the largest interest from our stakeholders are as follows:

  • business strategy,
  • corporate governance, transparency and honesty in management,
  • personnel safety,
  • impact of JSW Group's operations on the natural environment and its protection,
  • employee and social issues, including respect for human rights and anti-corruption,
  • innovations and R&D,
  • respect for and effective use of natural resources.

The report covers the entire JSW Group, as consolidated in the financial statements. In comparison to the previous year, consolidated entities also include PBSz in connection with its acquisition by JSW, and JSW Stabilizacyjny Fundusz Zamknięty. Due to the minor impact of certain companies on the entire JSW Group, the results of selected social and environmental aspects include limited descriptions for these entities, covering only selected material aspects.

Methodology

The form and content of this report are prepared in accordance with recommendations from the International Integrated Reporting Council (IIRC) concerning: materiality and reliability of published information, consistency and focus on the future. The financial data is presented in accordance with International Financial Reporting Standards (IFRS). Non-financial reporting areas are prepared:

  • in accordance with guidelines in art. 49b and art. 55 of the Accounting Act of 29 September 1994, as amended, which implements Directive 2014/95/EU of the European Parliament and of the Council of 22 October 2014 as regards disclosure of non-financial and diversity information,
  • for the first time in accordance with GRI Standards, core option. Aside from disclosures corresponding to the above areas, the report includes information corresponding to GRI Standards outside of these areas and selected sectoral disclosures. Nonetheless, in these cases certain aspects are omitted, e.g. management approach.

The report was not subject to an additional external verification by a statutory auditor.

JSW Group is entering the final stage of its Sustainable Development Strategy 2017-2020, with 2019 being its second-to-last year. The following aspects were defined during strategy formulation in 2017:

  • key areas of responsibility,
  • key stakeholder groups.

In-depth interviews were carried out with persons responsible for specific areas. Based on initial strategic assumptions, a brochure was prepared and provided to all participants at the International Mining Forum: "Mine of the future - new problems and solutions," which was hosted by JSW Group on 28-30 June 2017. The Forum's attendees included the representatives of practically all of JSW Group's stakeholder groups, including local and national administration, suppliers, including the largest global suppliers of mining equipment and technologies, key customers, scientific community and competitors. A thematic session was held: "Sustainable development - MINING OK. Stakeholder relations as one of the foundations of corporate social responsibility," during which assumptions of the Sustainable Development Strategy 2017-2020 were discussed and a wider context was presented for the activities of JSW Group and other mining and related companies in the area of corporate social responsibility (including the "MINING OK" initiative). Representatives of local government, science, industry and national institutions took part in this dialogue session.

Taking into account the changes taking place at JSW Group and within its surroundings, despite having previously defined the key areas of responsibility, JSW Group decided to review and update its knowledge of:

  • their materiality with regard to stakeholder decisions,
  • their impact on the company's results (social, environmental and economic).

To this end, at the end of 2019 a range of the Company's stakeholders were asked to complete a validation survey, which would make it possible to re-evaluate and map out the key areas of responsibility. These included JSW Group managers, employees, counterparties, capital market participants and entities involved in the local community.

If you have any questions, concerns or suggestions with regard to the content of this report, please contact:

Barbara Waltar

Tel.: +48 735 200 942

email: [email protected]

Karolina Woszek

Tel. +48 695 752 590

email: [email protected]