Coway uses relatively little water resources in the production process, as final assembly and inspection comprises the largest proportion of the production process. While our business activities are closely related to water, we use less water, and we use it mostly for leak testing in the production process. We will continue to strive to reduce the environmental impact of water usage by carefully monitoring the amount of water used by type.

At Coway, the Head of Production/Production Management Executive who conducts production operations for each site, including Yugu, Incheon, and Pocheon, is in charge of managing all water resources used in production operations.

In addition, Coway goes through the ESG Consultative Group reporting process for environmental improvement/eco-friendly strategies related to water resources, and decision-making is carried out through the ESG Committee agenda.

However, Coway does not have water-intensive production operations, so reporting on water usage investment plans is done on an accrual basis.

Coway annually monitors the amount of water used in its production operations and business sites. Coway's water discharge classification is mostly sewage, and most of the water is discharged through existing sewage lines.

Coway is continuously striving to minimize environmental impact risks in the process of using and discharging water resources.

Coway has been participating in CDP Water Security, a water disclosure project, since 2015. In the 2022 assessment, we achieved a C grade, down one notch from the previous year.

We expect to maintain our current rating as our participation in the CDP assessment is increasingly centered on companies with high water use. However, given its symbolism as a water-related company, Coway will continue to participate in the CDP assessment. In addition, to meet stakeholders' increasing demands for water stewardship, Coway has set a goal of achieving a B- rating by 2024 and plans to develop strategies and actions to improve its rating to 2020 levels.