Last checked at 11 Mar 2021 18:18
Annual Report
The Senior plc Annual Report & Accounts 2020 ("Annual Report") has been submitted to the National Storage Mechanism and is available for inspection at: https://data.fca.org.uk/#/nsm/nationalstoragemechanism. The Annual Report can also be found on the Company's website at: http://www.seniorplc.com/investors/reports.aspx
2021 Annual General Meeting
The 2021 Annual General Meeting of Senior plc is to be held at the offices of the Company at 59/61 High Street, Rickmansworth, WD3 1RH at 9.00 a.m. on Friday 23 April 2021. The Notice of AGM will be published and distributed to shareholders in due course.
Impact of COVID-19 on AGM arrangements - In light of the prevailing UK Government restrictions around COVID-19 and the Company's desire to protect the health and well-being of shareholders and other attendees, the AGM is currently planned to be held as a closed meeting and convened with the minimum quorum of two employee shareholders of the Company present. The situation is constantly evolving and the Government may change the current restrictions or implement further measures.
As a result, shareholders will not be permitted to attend the AGM in person and, in the interests of safety, anyone seeking to attend the Meeting in person will be refused entry.
Shareholder Engagement and Questions - The Board attaches great importance to the AGM, as it provides shareholders a forum to hear directly from the Board on how the Company is progressing and to ask questions to the Directors.
Although shareholders will not be able to attend the AGM in person, arrangements are being made to enable shareholders to participate in the AGM remotely; details will be announced in due course and will be provided on the Company's website at www.seniorplc.com.
In addition to providing shareholders with the opportunity to participate remotely in the AGM, the Company encourages shareholders to submit any questions on the business of the AGM by emailing companysecretary@seniorplc.com.
These revised AGM arrangements will not amount to attendance at the AGM as a matter of law and shareholders will not be allowed to vote using these arrangements. All shareholders are recommended to vote by proxy in accordance with the instructions set out in the Notice of Meeting and the accompanying Proxy Form. Voting at the AGM will be on a poll, reflecting all proxy voting instructions duly received.
Disclosure Guidance and Transparency Rule 6.3.5R
The information contained in the 2020 Annual Results announcement released on 8 March 2021, including the Directors' responsibility statement, together with this announcement and the disclosures set out in the Appendices below are made in compliance with DTR 6.3.5 R and have been extracted in full from the Annual Report; page number references and references to Notes to the Company Financial Statements refer to page numbers and to Notes to the Company Financial Statements in the Annual Report respectively. This announcement is not a substitute for reading the Annual Report in its entirety.
APPENDIX A - Related party transactions
Related party transactions are set out in Note 52 to the Company Financial Statements, on page 144 of the Annual Report and are extracted in full below.
The remuneration of the Directors and Senior Managers, who are the key management personnel of the Group, is set out in the Remuneration Report on pages 66 to 84. In 2020, the Company recognised share-based payment expense of £0.5m (2019 - £0.2m) in relation to the executive Directors.
The Group has related party relationships with a number of pension schemes. Transactions between the Group and these pension schemes are disclosed in Note 34.
Bloom Energy Corporation is a related party of the Group as Susan Brennan, an independent non-executive Director of the Group, is its Executive Vice-President and Chief Operations Officer.
In 2020, the Group sold £2.2m (2019 - £1.8m) of components to Bloom Energy Corporation. The gross receivable position as at 31 December 2020 was £0.4m (2019 - £0.5m).
APPENDIX B - Risks and uncertainties
The principal risks and uncertainties of the Group are set out on pages 32 - 37 of the Annual Report and are extracted in full below.
The Group's organisation and culture enabled a strong and timely response to the risks posed by the pandemic, allowing business continuity to be the best it could be.
Our approach to risk management
Identifying and effectively managing risks is essential to the achievement of the Group's strategic priorities. The Group's Business Model is described on page 12 and our Strategic Priorities on page 24.
The Board is responsible for the Group's integrated risk and assurance framework, ensuring that the Group risk process and systems of internal control are robust and continuously monitored. The Board provides direction and sets the tone on the importance of risk management. The Board has delegated responsibility for the monitoring and review of the effectiveness of the Group's risk and assurance framework to the Audit Committee. The risk process is agreed annually with the Audit Committee.
The Group aims to embed risk management within its existing business processes. Each operating business undertakes a thorough risk assessment alongside the annual strategic planning process. A broad range of risks is considered including strategic, financial, operational, environmental and other external risks. Once the key risks have been identified further mitigating actions are considered, where appropriate, and a risk owner assigned. The risk registers are regularly reviewed by each operating business and are aggregated for review by Divisional Management and the Group.
As well as reviewing the risk registers prepared by the operating businesses, a risk assessment is conducted by the Executive Committee twice a year in conjunction with strategic discussions to ensure that risk and strategy are aligned. This review also considers emerging risks. These are risks which may develop but have a greater uncertainty attached to them in terms of likelihood, timing and velocity.
Emerging risks are identified by holding workshops and through input from external sources. All identified risks are evaluated against our purpose, strategy and values to understand their likelihood and impact of occurrence. Once the principal risks have been identified, mitigating controls and relevant policies are documented and additional mitigating actions are developed where appropriate. An owner is assigned to each action. The principal risks are discussed at each Executive Committee meeting. Every principal risk is assessed for our financial viability scenarios, to see if they could have a material financial impact, either on their own or if they materialised together.
Twice in 2020, the Board performed a robust assessment of the principal risks, together with the emerging risks.
The Board assesses outputs from the integrated risk and assurance framework and takes comfort from the "three lines of defence" risk assurance model. The first line represents operational management who own and manage risk on a day-to-day basis, utilising effective internal controls. The Group Executive Committee and Divisional Management monitor and oversee these activities, representing governance and compliance at the second line. The third line is the independent assurance over these activities provided by internal and other external assurance.
The key elements of the Senior risk management process are [set out below]:
1. | Identify risks - The risks to the achievement of the Group's strategic priorities are identified from a top down and bottom up perspective. Existing and emerging risks are considered. |
2. | Evaluate gross (inherent) risks - The gross level of risk, considering impact and likelihood, to the achievement of the strategic priorities is assessed. |
3. | Identify existing controls and processes - The existing controls and processes which mitigate the risks are identified and assessed for adequacy. |
4. | Risk response planning - Based on the controls and processes already in place the net risk from an impact and likelihood perspective is evaluated. Where the net risk is considered to be higher than the Group's tolerance level for that risk, additional mitigating actions are identified and owners assigned. |
5. | Monitor and assure - The most significant risks are regularly reviewed. Second line assurance and internal audit activity is conducted to assess whether key controls are effective and risks mitigated to an acceptable level. Timely implementation of resulting actions is monitored. |
6. | Risk reporting and review - The status of the most significant risks, top down and bottom up, are regularly reviewed to ensure any changes to the risk profile are captured and acted upon. The consolidated risk, assurance and control position is reported to the Audit Committee and the Board. |
Key areas of focus in 2020
Effective integrated risk and assurance framework
We continued to seek improvement to our risk management processes by commencing risk assessments on a functional basis. In 2020, this included a detailed fraud risk assessment and development of an Information Security/IT risk assessment to be rolled out in early 2021.
COVID-19
The Group's organisation and culture enabled us to respond and adapt quickly to the restrictions imposed by the COVID-19 pandemic. The Group's Incident Response Plan was initiated in March 2020 and the Group Coronavirus Oversight Committee was established. The aim of this Committee is to ensure that we are consistently providing the right guidance and taking the right actions to safeguard our employees and other stakeholders. The Committee is chaired by our Group Chief Executive Officer, supported by the Group HSE & Sustainability Director, the Group HR Director and Divisional CEOs.
To meet the increased pace of decision-making the Board increased the frequency of its meetings to oversee and support the Executive team which also met more frequently, with virtual meetings being implemented from the start of the pandemic.
We have continued to execute our internal audit programme by performing virtual audits. Eleven of our operating businesses were audited, representing 80% of the original plan for 2020. The audit scope included financial, IT, HR and other operational controls. One audit was conducted on-site with the other 10 being virtual. We also conducted short assurance reviews across the Group on controls potentially impacted by COVID-19, such as segregation of duties and delegation of authority. Other impacts of COVID-19 are discussed against the individual principal risks.
Cyber/Information Security
Improving the resilience of our IT systems to cyber-attack has been a focus in 2020. As a result of COVID-19, the way many of our operating businesses work has changed.
A significant number of employees have worked from home at some point in 2020 and many continue to do so. In this environment, the work that is ongoing to improve our cyber/information security is even more important. We have raised the level of monitoring for phishing attempts and other security threats and continue to raise the awareness of our employees to these risks.
Principal Group risks
During 2020 an assessment of the principal risks and uncertainties, including emerging risks, that could threaten the Group's business model or achievement of the strategic priorities has been performed. Following this review, there have been no changes to the Group's principal risks since our 2020 Interim Statement.
The principal potential risks and uncertainties, together with actions that are being taken to mitigate each risk, are [set out below together with the references for each of the Group strategic priorities and Key Performance Indicators]:
Group's strategic priorities: | Key Performance Indicators: | ||
1 | Enhance Senior's autonomous and collaborative business model | A | Organic Revenue Growth |
2 | Focus on Growth | B | Return on Revenue Margin |
3 | Introduced a high performance operating system | C | Adjusted Earnings per Share |
4 | Competitive cost country strategy | D | Net Cash from Operating Activities |
5 | Considered and effective capital deployment | E | Return on Capital Employed |
6 | Talent and development | F | Carbon Dioxide Emissions |
G | Lost Time Injury Illness Rate |
Principal Risk | How we manage it | Focus in 2020 |
Pandemic - Increased Risk - 2, 3. A, B, C, D, E. | ||
A global pandemic, such as the current COVID-19 pandemic could have a significant impact on business operations affecting our employees, our supply chain and ultimately our ability to meet customer requirements. There is also the potential for a pandemic to create a global slowdown in demand impacting our end markets. An adverse indirect consequence may result from our customers having to reduce production rates even where our supply chain and production remains intact. | - The Group has an Incident Response Plan and this is being used to manage the current pandemic. - Emerging threats are monitored and advice provided to employees as appropriate. This may include travel restrictions and temporary site closures and additional safety measures when at work. - Where a pandemic threat does emerge we liaise with our suppliers and customers to manage the situation to the greatest extent possible. | This risk has materialised in 2020 having a significant impact on the Group. To meet the increased pace of decision-making the Board increased the frequency of its meetings to oversee and support the Executive team which also met more frequently, with virtual meetings being implemented from the start of the pandemic. Focus has been on ensuring: - the health and safety of our employees. The Group's Coronavirus Oversight Committee was established in March 2020 and has met multiple times a month throughout the remainder of the year. In addition to ensuring that all local restrictions and regulations are observed, focus has been on ensuring that, when employees return to work, all appropriate safety measures are in place; - business continuity through the measures above and ensuring that the business is able to meet its financial commitments and emerge from the pandemic strongly. Further details are provided against other principal risks as appropriate; - ongoing communications with suppliers and customers as we realigned our business to the new ways of working and reduced demand. The above measures have allowed business continuity to be the very best it could be. |
Strategy and portfolio management - Increased Risk - 1, 2, 3, 4, 5. B, D, E. | ||
An inability to implement the Group's strategy and/or effectively manage the Group's portfolio could have a significant impact on the Group's ability to generate long-term value for shareholders. | - The Group regularly reviews its portfolio to ensure that long-term value is being generated for shareholders. Where appropriate, divestments will be considered. - Mergers & Acquisitions (M&A) opportunities continue to be evaluated and discussed at the Board's strategic review. Processes are in place to ensure that the Group is aware of emerging acquisition opportunities. - The Group has a well-established acquisition framework that includes proven valuation, due diligence and integration processes. - Post-acquisition reviews are conducted as appropriate. | COVID-19 has impacted the Group's strategy in 2020. The Group has focused on: - the Group's Prune To Grow strategy with the transfer of our Netherlands Aerospace business contracts to our French operating business and the closure of our Flexonics business in Malaysia; - liquidity and cash preservation; - continued investment in new technology and product development in the areas of fluid conveyance, thermal management and additive manufacturing which will help us to emerge strongly as recovery from the pandemic occurs; - the Group restructuring programme. |
Corporate governance breach - Risk unchanged - 1, 2, 3. A, B, C. | ||
Corporate governance legislation (such as the UK Bribery Act and the US Foreign Corrupt Practices Act), regulations and guidance (such as the UK Corporate Governance Code and global health and safety regulations) are increasingly complex and onerous. A serious breach of these rules and regulations could have a significant impact on the Group's reputation, lead to a loss of confidence on the part of investors, customers or other stakeholders and ultimately have a material adverse impact on the Group's enterprise value. | - The Group has well-established governance policies and procedures in all key areas, including a Group Code of Conduct, anti-bribery procedures, a Health & Safety Charter, an Agent's Policy and various policies and procedures over the review and reporting of risk management and internal control activities. - Governance updates are provided to the Board and the Executive Committee at appropriate intervals, and to key operational management. - All employees are required to complete annual Code of Conduct training. - All EU sites have received training on the General Data Protection Regulations and employees in other locations have received training as appropriate to their roles. - There has been increased focus on trade compliance at our US sites. | - In 2020 the annual Code of Conduct training was rolled out to all employees. Completion has been more challenging in 2020 for those employees without access to a laptop/PC. However, more than 94% of employees have completed the training. - Training has also been rolled out to around 80% of the employees on Global Trade Compliance. - Updates have been issued to various Group policies. - Despite COVID-19 related challenges, the Group's 2020 internal audit programme was completed providing a level of assurance that the Group's Code of Conduct, policies and procedures are being followed. |
Programme and supplier management - Risk unchanged - 1, 2, 3, 5, 6. A, B, D, E. | ||
The ability to introduce new products in line with customer requirements and to respond appropriately to increases or decreases in demand thereafter is key to achieving the Group's strategic objectives. There is a risk that the Group and/or its supply chain is unable to respond quickly enough to changes in demand potentially resulting in excess inventory and/or an inability to meet schedule, quality and cost requirements resulting in delay, cost overruns or asset write-downs. Suppliers may be unable or unwilling to respond to increases or decreases in demand impacting on our ability to supply our customers and/or our ability to optimise inventory holdings. In extreme cases some suppliers may face financial difficulties and go out of business. | - The Group is experienced in bidding and launching new products. Formal New Product Introduction (NPI) processes, such as Advanced Product Quality Planning (APQP), are used in some parts of the Group and are being rolled out. - There is a Group Contract Review policy which is mandatory for all operating businesses. - NPI programmes are subject to regular review by divisional and Group management to ensure that schedule, cost or quality issues are identified and dealt with promptly. - The Group monitors market and customer data so that we can be prepared to respond to changing market dynamics. - The resilience of the supply chain is monitored and, where possible, over-reliance on individual suppliers is reduced. - The Group regularly monitors the resource required to deliver customer demand. | After several years of increasing demand on new platforms there was a sudden and significant drop in demand at the end of Q1 2020 due to the COVID-19 pandemic. Focus has been on: - working with our customers to ensure that, wherever possible, orders within firm windows can be delivered; - working with our suppliers and managing inventory to protect cash with a focus on rescheduling incoming materials and ensuring works orders are only launched where there is a firm order; - flexing the work force to reflect current reduced demand but retaining the ability to meet increased demand in the future; - responding to the large number of new requests for quotation; - redeploying capital equipment to better utilise it within the Group. |
Boeing 737 MAX - Decreased risk - 2, 5. A, C, E. | ||
In April 2019, following two fatal accidents, the 737 MAX was grounded. 737 MAX is a significant programme with 13 operating businesses supplying to multiple 737 MAX customers. On 18 November 2020, the U.S. Federal Aviation Administration lifted its ban on the 737 MAX paving the way for the aircraft to resume flying. Other authorities have followed. | - We continue to stay close to Boeing and our other 737 MAX customers to ensure that we are kept informed of developments. - Restructuring is occurring at sites engaged on the 737 MAX programme to align direct headcount with demand. Overhead cost reductions are also being implemented where possible. - Opportunities to increase content on the 737 MAX programme may arise and we will support our customers where possible. | In 2020, the restructuring programme which commenced when the 737 MAX was grounded continued and was expanded as a result of COVID-19. The Group continues to work closely with 737 MAX customers to ensure that we are aware of likely future demand and are ready to increase production when the need arises. |
Economic and geopolitical impact - Increased risk - 2, 3, 4, 5. A, B, C, D, E | ||
There is a risk that there will be a global economic downturn impacting on some or all of the sectors within which the Group operates. Trade relations, for example hardening of tariffs in the US, the UK leaving the EU and other likely geopolitical events have created uncertainty over the future impact on international trade and the ability to retain and recruit foreign nationals. | - The Board ensures that it is kept informed of US trade developments and Brexit so that it can assess the impact on the Group and take action as appropriate. - The Group has a Brexit Committee which has undertaken detailed reviews to identify our exposure to the UK's decision to leave the EU including from a regulatory, supply chain, people and financial perspective. - In a limited number of cases we are undertaking some contingency planning to minimise any potential operational disruption. - The Group monitors potential changes to international tax regulations and tariffs to understand the likely impact. | The COVID-19 pandemic has caused a global economic downturn, which has impacted the sectors within which we operate. During 2020, the Group has focused on managing the impact of this risk by: - focusing on cash preservation, undertaking additional restructuring activities and agreeing covenant relaxations with the Group's lenders, as described in the risk below. The Group Brexit committee continues to assess the impact of Brexit on the Group and assess that the steps it took to prepare for the transition have been adequate. These have included: - Preparations for changes to VAT and Customs processes. - Supply chain measures around the 1 January 2021 end of transition date to advance a limited amount of customer sales and build short-term inventory buffer stock. - Continuous review of the appropriateness of planning measures taken for people, regulatory and other measures. |
Financing and liquidity - Increased risk - 2, 3, 5. D, E. | ||
The Group could have insufficient financial resources to fund its growth strategy or meet its financial obligations as they fall due or insufficient liquidity to meet financing covenants. Foreign exchange movements could have a material impact on the Group's financial performance, both on the balance sheet (translation risk) and income statement (transaction risk). | - The Group's overall treasury risk management programme focuses on the unpredictability of financial markets, and seeks to minimise potential adverse effects on the Group's financial performance. - Compliance with financial policies and exposure limits are reviewed by the Group's Treasury Committee on a regular basis. - The Group enters into forward foreign exchange contracts to hedge the exchange risk arising on operations' trading activities in foreign currencies; however, it does not enter into or trade financial instruments, including derivative financial instruments, for speculative purposes. - The Group's Treasury policy is updated and approved by the Board regularly. - The Group's viability assessment process considers a base case and risk case scenario, which considers the principal risks and uncertainties. | The impact of COVID-19 on the Group has necessitated significant focus on this risk during 2020. Actions taken include: - working with the Group's lenders, both banks and US private placement investors, to agree appropriate covenant relaxations in relation to the June 2020, December 2020, June 2021 and December 2021 testing periods as well as an additional September 2021 testing period to provide financial flexibility for the Group; - focus on cash preservation; no Senior plc dividends were paid in 2020, capital expenditure was reduced, there was an exercise to optimise working capital (especially inventory); - Management moved from quarterly to monthly business reviews and tightened some delegated authorities; - launching an initiative to reduce the levels of inventory across the Group. Actions include working with suppliers to renegotiate raw material deliveries, ensuring that work only commences where there is clear sight of customer demand and ensuring that, wherever possible, customers accept shipments in the firm window. - Extensive scenario testing has been undertaken for 2020 and 2021 based on a variety of end market assumptions, while taking account of appropriate cost reduction and cash preservation mitigating actions. - Updating the Group's Treasury Policy which was approved by the Board in December 2020. |
Cyber/information security - Increased risk - 1, 3. B. | ||
The risk that the Group is subjected to external threats from hackers or viruses potentially causing critical or sensitive data to be lost, corrupted, made inaccessible, or accessed by unauthorised users, resulting in financial and/or reputational loss. | - The Group has a roadmap to achieving improved Information Security. - The Group has security controls in place including policies, standards and playbooks. - Each operating business has a security champion to assist in raising employee awareness to this risk. - Employees receive awareness training on cyber-related issues. | Many of our employees worked from home during 2020 and some continue to do so. Measures were taken to ensure that our Group IT and Information Security Policies continued to be followed despite the change to working practices. This included conducting a short audit across all operating businesses to check compliance. The roll out of the Group's endpoint detection and response tool set has provided additional monitoring of the environment. 2020 saw an increase in phishing attempts as criminals sought to benefit from COVID-19 related changes to the way people work across the globe. Further progress has been made in 2020 in implementing the Group's Information Security roadmap. This included: - establishing a third party managed security service provider and rolling out additional security tools; - requiring all employees to complete on-line cyber/information security training; - running a campaign of cyber newsletters and posters to alert employees to cyber threats; - alerting IT teams across the Group to near misses and incidents so that they are aware of immediate threats. |
Innovation and technological change - Risk unchanged - 1, 2, 5. A, B, C, E, F. | ||
In order to continue to win new business and achieve profitable growth the Group must innovate. There is a risk that the Group does not continue to innovate and implement technological change resulting in its technology becoming uncompetitive or obsolete. New technologies may have an impact on the Group's markets, e.g. electric vehicles. | - The Group has a technology forum which meets regularly to discuss innovation and technological change. - The Group has established an Advanced Additive Manufacturing Centre and is conducting qualification testing with a launch customer prior to entry into service. - The Group is a member of the Advanced Manufacturing Research Centre, Sheffield, UK, which focuses on advanced machining and materials research. - The Group continues to develop products to support the move to electrification. - Global Marketing Teams are engaged to ensure that customer requirements and priorities are considered. - The Group continues to invest in machining technologies to improve process efficiency and reduce cost. - The Senior Operating System continues to deliver best practice tools for innovation and product development across the Group. | Despite the downturn in business in 2020, the Group has continued to invest in new technologies with progress being made on a number of key projects: - the further development of metal additive products at our Advance Additive Manufacturing Centre in Burbank, USA. The Group plans to take advantage of rapid product development, weight savings and cost reductions that can be achieved by re-engineering some of its traditional products using additive processes. Having qualified the Additive Equipment to OEM/Industry specifications we now have product undergoing qualification testing for flight approval; - the ramp up of serial production of our Commercial Electric Vehicle battery cooler. This first generation patent pending ultra-thin design has met all high performance customer goals in this technically demanding environment. |
Customer demand and price-down pressures - Risk unchanged - 1, 3, 4, 5. A, B, E. | ||
Customer pricing pressure is an ongoing challenge within our industries, driven by the expectations of airlines, land vehicle operators and governments seeking to purchase more competitively priced products in the future. This may put some pressure on the Group's future operating margins. COVID-19 has created severe end market disruption and there is a risk that customers do not honour firm order schedules, or in extreme cases, go out of business. | - The Group works closely with its customers to find innovative ways to produce products at a lower cost, thus helping them to meet pricing challenges. - The Group is able to consider bundles of products that in total help achieve customer pricing challenges. - Where appropriate, the Group will actively pass work to some of its cost competitive facilities such as Mexico, Thailand, the Czech Republic, South Africa, India, China and Malaysia with a view to helping satisfy customer challenges. - A project is underway in the Aerospace Division to optimise the use of our machine tools to support the need for competitively priced products. | Demand and price down pressures have continued in 2020. Focus has been on: - working with customers to ensure that, wherever possible, orders within firm windows can be delivered; - in some cases, realigning pricing with reduced volumes; - the Group restructuring programme which is underway with the aim of aligning direct headcount with demand, whilst retaining the ability to meet increased demand in the future, and identifying overhead reductions through efficiency improvements; - pursuing new opportunities with existing and new customers providing some market diversification. |
Climate change - Risk unchanged - E, 2, 5. B, F, G. | ||
There is a risk that climate change and/or the measures taken to address it may have an adverse impact on the Group. Climate change may result in extreme weather events that may impact on our ability, or that of a supplier, to meet our customers' requirements. Our customers' products may evolve requiring new technology, for example, electrification. This also presents an opportunity to the Group to be involved in replacement technologies. Increasing legislation aimed at accelerating decarbonisation may increase our operating costs. It may also change consumer behaviours impacting on our end markets. For example, consumers may fly less often. | - In 2015 Senior launched our 20/20 vision for sustainability which included targets for reducing carbon emissions and water consumption. - To mitigate the impact of catastrophic events, such as an extreme weather event, each site has a scenario-based Business Continuity Plan which is tested on an annual basis. The Group also has insurance which helps to protect profits in such situations. - The Group continues to invest in and develop solutions relevant to changing end markets. Examples include our battery cooling, waste heat recovery, heat sink in hybrid cars technologies, and additive manufacturing solutions for aerospace. | In 2020 the Group delivered on the 20/20 ESG vision launched in 2015, achieving all of our targets. During 2020, the Group's carbon emission reduction targets were verified by the Science Based target Initiative ("SBTi"). Senior maintained a "leadership" rating of A- in 2020 from the globally recognised CDP. For further details on ESG please see pages 14 to 23 [of the 2020 Annual Report]. The Group is considering appropriate climate scenarios for risk analysis under TCFD. |