Tropicana Corporation Berhad Annual Report 2020

We consider risk management an integral part of our daily business operations – ensuring that the Group consistently provides a safe and conducive working environment for our stakeholders. In adopting a robust risk management framework, we strive to optimise our ability to identify, evaluate, minimise and monitor risks associated with our daily operational activities as well as long term business performance. Established in 2012, Tropicana inculcated the EnterpriseRiskManagement (“ERM”) framework into our business operations which is monitored and evaluated by our designated Risk Management Department on a quarterly basis. With the support of our Board of Directors and Risk Management Committee, we continuously seek to maintain a sustainable balance between our risk appetite and business potential to achieve competitive advantage over our industry peers through sound strategic planning. As we strive to assimilate risk management with sustainability performance, our reporting strategy considers aspects beyond financial performance to include social and environmental considerations that impact our operations and stakeholder expectations. For further information on Tropicana’s Risk Management practices, refer to pages 140 to 144 for the Statement of Risk Management and Internal Control in our FY2020 Annual Report. Having a robust governance structure creates a formalised approach to inculcating sustainable development efforts within the Group. Established in FY2017, our governing committee comprises a three-tier structure with the Board of Directors at the apex that ultimately oversees and endorses sustainability-related matters in Tropicana. This year, we revised our second-tier classification from ‘Deputy Group Chief Executive Officer’ to ‘Sustainability Management Team’ as a means to present our expanding commitment to sustainability by having more Director-level representatives on a central platform that focuses on developing sustainable initiatives and strategies. The roles and responsibilities of the sustainability committee assigns accountability and responsibility to each tier within the structure thereby optimising the Group’s efforts to undertake risks and opportunities associated to our EES performance. Aligning Risk Management with Sustainability Governing Our Sustainability Initiatives Committee Tier Roles & Responsibilities Board of Directors • Responsible for the overall sustainability direction of the Group • Ensures business strategy considers sustainability-related material matters • Endorses the Group’s Sustainability Statement as part of Tropicana’s annual reporting initiative Sustainability Management Team • Provides leadership to ensure the implementation of the Group’s sustainability agenda in our business strategies • Develops sustainability strategies and reports to the Board on the Group’s overall progress • Reviews and approves policies, targets and market disclosures on sustainability matters Sustainability Steering Committee • Supports the implementation of sustainability-related strategies and targets • Ensures sustainable processes and controls are in place within the Group’s departments/functions • Reports on the Group’s sustainability performance based on the implemented processes and controls via the Sustainability Statement • Collects Group sustainability data to generate a Sustainability Statement as part of our annual disclosure Building Resilience throughout the COVID-19 Pandemic News of the spread of the novel coronavirus – later coined as COVID-19 – first came to light in late-2019. By March 2020, the World Health Organisation (“WHO”) officially declared the disease a pandemic, triggering massive disruptions to global economies and severely threatened the well-being of the human population. A year on and the world continues to deal with the unprecedented fallout of the pandemic, many countries having more than one outbreaks and forced into multiple lockdowns. The challenges brought upon by COVID-19 continues to affect economies and societies everywhere, creating a tough climate for organisations to sustain their operations. On a national scale, the Malaysian Government imposed one of the strictest lockdown in the world, the Movement Control Order (“MCO”), to address a growing outbreak on 18 March 2020. The MCO included a near-halt to majority of businesses and strict controls on any form of public gatherings. Tropicana closely monitored the development of the virus to formulate primary strategies and frameworks that would ensure the safety of our stakeholders remain a top priority. Through effective governing and adherence to the Ministry of Health’s (“MOH”) guidelines, our business effectively weathered the economic downturn and remained agile in adapting to the volatile real estate market which was exacerbated by financial insecurity and job losses. Our supply chain and operations were evaluated for its level of risk to the virus exposure and spread to enact effective control measures where necessary to maintain the productivity of our business. This includes swab tests, health declarations, social distancing practices, regular disinfection on–site and more. Changes to Our Business Operations The outbreak triggered a country-wide effort to enforce social distancing measures and heavy use of personal protective equipment (“PPE”) as well as disinfection products. Masks were made mandatory to our staffs and visitors who entered our premises which included the Tropicana Gardens Mall, Tropicana Gardens Office Tower, Tropicana Golf & Country Resort (“TGCR”) and project sites. With regular disinfection practices carried out by certified vendors, we remain vigilant when it comes to protecting the sanitary conditions of public spaces and facilities where we operate. Our response to outbreak risks have been swift. Swab tests were carried out on our employees upon the confirmation of a positive case at our Tropicana Gardens Office Tower and contact tracing was diligently carried out. With regard to the outbreak at TGCR, Tropicana enforced strict quarantine measures to significantly lower the risk of exposure to our staffs and guests. The outcome of this saw our operations commence in less than a week from the time the cases were detected among a small number of employees. To date, we have not eased on any of our efforts to combat the spread of the COVID-19 virus to ensure that our stakeholders are assured of their safety with Tropicana. Protecting the Welfare of Our Stakeholders Along with the initiatives we carried out within the business, we also put forth our best efforts to contribute to broader communities that were impacted by the pandemic. This was mainly done by PPE and funding contributions to hospitals and law enforcement personnel who are involved in COVID-19 control, testing and treatment efforts. We hoped that this small token of our gratitude will help to uplift the spirits of our frontliners and convey our support for their hard work. Further details on our contribution and donation related to fighting the pandemic can be found in the Social section of our Sustainability Statement (Page 104). Standing in Solidarity with Our Frontliners Comprises the various departments that are data providers to producing the annual Sustainability Report and executing sustainability initiatives implemented by the Group. Comprises the Group Managing Director, Managing Director (Finance) and any Director- level representatives involved in sustainability development within the Group Sustainability Steering Committee Sustainability Management Team Board of Directors TROPICANA CORPORATION BERHAD ANNUAL REPORT 2020 SUSTAINABILITY AT TROPICANA 086 087