ANNUAL REPORT 2021

Annual report 2021 Železiarne Podbrezová a.s. 22 In 2021, the Company’s full-time equivalent increased to 3 018, an increase by 25 employees (0.84%) compared to the previous year. This was caused by higher number and volume of orders and increased shifts. The average monthly income of Company employees in 2021 was EUR 1 364, a 9% increase compared to 2020. This is 13% more than the average industrial wage in the Slovak Republic. The added value work productivity amounted to EUR 27 279 per employee, a 43% increase compared to 2020. The average income for 2021 for blue-collar employees was EUR 1 176 per employee, up by EUR 103 (9.6%) compared to 2020. ŽP GROUP subsidiaries employed another 1 074 employees in 2021, an increase of 21 compared to 2020. Of the total number of employees of subsidiaries, 798 employees worked in production and services in Slovakia and 47 at ŽP’s private school. Another 229 employees worked for other companies abroad. In total, the ŽP GROUP employed 4 092 employees in 2021. CORPORATE SOCIAL RESPONSIBILITY In addition to business activities, the Company and its management support socially-beneficial activities, primarily in the Horehronie region. The Company cooperates with and supports its current employees and pensioners in social or healthcare need. Since 2000, the Company’s Železiarne Podbrezová Foundation has provided systematic support and annually distributes funds to individuals, legal entities and interest groups operating in healthcare, education, culture and sports. In 2021, the Company distributed a total of EUR 531 thousand in the region via its foundation, most of which supported sports clubs. We contribute to the running of youth sports clubs organised by our subsidiaries to promote a healthy lifestyle for children and young people. FK Železiarne Podbrezová a.s. brings together young footballers in the football academy in 13 different boys’ and girls’ categories: preparatory (U-8 to U-11), junior (U-12 to U-15), youth (U-16 to U-19) and girls’ teams (WU-15 and WU-19). 280 children participate in our youth training with total costs of EUR 398 thousand in 2021. Via ŠK Železiarne Podbrezová a.s., we support 11 talented young athletes at the biathlon club, 18 cyclists at the cycling club, 19 children and young people at the bowling club and a downhill skiing club. Total support for these clubs in 2021 was approximately in the amount of EUR 99 thousand. The Železiarne Podbrezová foundation con- tributed EUR 70 thousand to support the Hospital with Polyclinic in Brezno, which financed electrical wiring for the installation of a state-of-the-art MRI device, which began operating in February 2022. The Company’s newspaper, Podbrezovan, is the oldest company newspaper in Slovakia and has been published for more than 70 years. Podbrezovan is distributed to current and retired employees, and provides information about Company life. The newspaper is an irreplaceable source of information for Company employees and the general public in the region about operations at the parent company and its subsidiaries and is published every two weeks with a circulation of approx. 5 450 copies. Ľupča Castle has been associated with Železiarne Podbrezová for more than a decade. Our support for the reconstruction helps spread the Company’s reputation among the public and locals, as the castle is open to the general public. In cooperation with conservation authorities, Ľupča Castle is being restored to its original appearance using grant programmes. As a result of these activities and various cultural events, the interest of the general public in this historical monument continues to grow. Despite COVID-19 pandemic restrictions, 17 273 visitors visited the castle in 2021. REPORT BY THE BOARD OF DIRECTORS ON BUSINESS ACTIVITIES, ASSETS AND FINANCIAL PERFORMANCE IN 2021 AND INFORMATION ON THE BUSINESS PLAN