Stakeholders

1. Materiality Assessment Process

2. Questionnaire Results Analysis

FITI conducted its materiality assessment in accordance with the GRI Standards 2021, with reference to the Value Balancing Alliance (VBA) impact assessment methodology and the European Financial Reporting Advisory Group (EFRAG) Double Materiality principle. The assessment considered both the positive and negative impacts of our activities on external sustainable development, as well as the impacts of external sustainability issues on our operations.
A total of 305 stakeholder questionnaires on issue relevance and 22 internal questionnaires on operational and sustainability impact were collected, the latter completed by members and secretariat of the Sustainability Committee, as well as managers at the division level and above. Taking into account required disclosure items under SASB and the FSC Sustainability Disclosure Guidelines, the weight of operational impact was set at 50%. The results were categorized into five levels (Very Significant, Significant, Moderate, Minor, and Insignificant). Issues with a weighted score above 270 were identified as material topics.
Ultimately, 10 material topics with medium-to-high significance were identified:
‧ Occupational Health and Safety
‧ Integrity in Business Operation
‧ Labor/Management Relations
‧ Employee Training and Development
‧ Operating Performance
‧ Information Security and Customer Privacy
‧ Greenhouse Gas (GHG) Emissions
‧ Talent Attraction and Retention
‧ Waste Management
‧ Customer Relationship Management

lthough Market Performance also exceeded the threshold score of 270, the Sustainability Committee decided not to include it as a material topic. Instead, related information is disclosed in the “Compensation and Benefits” section of this report.

The identified material topics play a critical role in FITI’s management direction, risk control, and strategic opportunities:

(1) Corporate Governance and Operations：
‧ perating Performance: Directly affects revenue growth and investor confidence. Stable profitability supports employee and customer trust. With capital expenditures from overseas expansion, financial impacts must be carefully evaluated alongside local environmental and social considerations.
‧ Information Security and Customer Privacy: A key factor for operational stability and customer trust. In response to increasing cyber risks, FITI strengthens systems and employee awareness to mitigate risks and meet stringent compliance requirements.
‧ Integrity in Business Operation: Strengthening internal control and regulatory compliance is fundamental to maintaining corporate reputation and reducing operational risks. Suppliers are also required to comply with integrity standards to mitigate risks across the value chain.
‧ Customer Relationship Management: Closely linked to customer satisfaction and market competitiveness. By proactively addressing ESG expectations, FITI enhances customer loyalty and drives supply chain partners to improve climate action and sustainability performance.

(2) Environmental Management：
‧ GHG Emissions and Waste Management: Essential for advancing net-zero goals and regulatory compliance. While requiring capital investment in equipment upgrades, these efforts generate long-term energy-saving and carbon-reduction benefits, lower future carbon tax and environmental liability risks, and strengthen environmental resilience across the supply chain.

(3) Workplace Well-being and Talent Development：
‧ Occupational Health and Safety: Directly impacts employee well-being and operational stability. High standards of safety management reduce workplace incidents, mitigate operational disruptions, and strengthen employee commitment and cohesion.
‧ Talent Attraction and Retention: Together with labor/management relations, these factors are crucial to competitiveness. Attractive compensation packages and effective communication improve retention, knowledge transfer, and workforce stability.
‧ Employee Training and Development: Central to fostering innovation and quality enhancement. Ongoing capacity building and career development pathways strengthen technical expertise and meet external expectations for talent sustainability.

In summary, these ten material topics represent the key risks and opportunities currently faced by FITI. Through integrated management and effective stakeholder engagement, the Company will continue to monitor trends, enhance resilience, and pursue sustainable growth in tandem with long-term corporate value creation.