December 14th, 2021

To our stakeholders:

I am pleased to confirm that Starlight Media reaffirms its support of the Ten Principles of the United Nations Global Compact in the areas of Human Rights, Labour, Environment and Anti-Corruption.

In this annual Communication on Progress, we describe our actions to continually improve the integration of the Global Compact and its principles into our business strategy, culture and daily operations. We also commit to share this information with our stakeholders using our primary channels of communication.

Sincerely yours,

Oleksandr Bohutskyi

CEO Starlight Media

- In 2020, Starlight Media created and adopted the company's corporate code of ethics. As a member of the UN Global Compact and a responsible business, employer, and media, the company has approved regulations norms governing human rights, labor, environmental responsibility, and anti-corruption. The document also includes the corporate statement of support for the Global Compact Principles and Sustainable Development Goals as a valuable benchmark for company’s development strategy, operations, and decisions.
- Starlight Media signed the Women's Empowerment Principles and created the annual Gender Action Plan for progress in gender equality.
- Starlight Media is a signatory of the UNFPA Declaration for Gender Equality and Prevention of Domestic Violence.
- In 2021, StarLight Media created and adopted the corporate Diversity, Equity & Inclusion Strategy.
- Risks and opportunities in improving Human Rights in Starlight Media's workplace, operations, and value chain were discussed at the highest corporate level.

- Starlight Media launched the confidential grievance system to prevent and address all forms of discrimination, violence and sexual harassment at work and in the value chain.
- The corporate program against domestic violence was created.
- Special educational events for employees dedicated to human rights, prevention of violence, discrimination and harassment were organized.
- Starlight Media launched the format of employee resource groups to develop new projects that meet the needs of employees and receive feedback on the quality of existing corporate human capital programs and policies.
- The company regularly collects, analyzes and uses gender statistics and sex-disaggregated data and benchmarks to measure and report results at all levels.
- Starlight Media has implemented a four-level plan to improve inclusiveness: improving the technical accessibility of locations and workspaces; education and communication on inclusiveness for the development of corporate culture; inclusive recruitment and adaptation; inclusive cooperation. The company developed and implemented rules and educational support for inclusive recruitment and employment.
- The company made a corporate public commitment to support LGBT + rights and implement the UN LGBT + Standard.
- Starlight Media organized the first MediaForShe Congress in partnership with the UN Women. MediaForShe Congress, brought together 15 Ukrainian media and content producers to discuss the role of the media in promoting gender equality.
- Starlight Media developed partnerships with more than 15 nongovernmental and international organizations that work on human rights to increase the impact and provide their activities with media support opportunities.

- The Starlight Media gender equality rate increased from 47% in 2020 to 72% in 2021 (according to the WEPs Gender Gap Analysis Tool).
- The general corporate gender balance is 53% female employees and 43% male employees. On the top-managers level are 56% female managers and 44% male managers.
- Starlight Media received the LGBT Friendly Media of the Year award from the KyivPride Award.
- The group's most important location is fully accessible to people with disabilities.
- Starlight Media has released the first materials on the Ukrainian national commercial television to protect the rights of LGBT + people and dedicated the topic of the main political talk show to the theme of the Pride March.
- The motivation survey, which included all key team members, confirmed the significant impact of diversity & inclusion and sustainable development projects on employees' motivation and engagement.

- As an employer and a member of the UN Global Compact, Starlight Media responsibly complies with the requirements of national labor law and focuses on international best practices to improve our approach and corporate policies.

To eliminate discrimination in respect of employment and occupation, Starlight Media:
- has created the corporate parental support program
- has implemented the system of regular gender pay gap analysis
- has implemented the corporate rules of inclusive and non-bias recruiting

- In 2021, Starlight Media created and adopted the corporate well-being program that focused on improving all employees' working conditions and medical services access.
- Starlight Media has implemented the Flexible work policy that provides technical and regulatory conditions to work from home and cares about health & security needs at home workplaces.

- The company controls wages and ensures that all salaries exceed the subsistence level and are set, considering market indicators. The accrual system is transparent and complies with Ukrainian tax legislation.
- Starlight Media launched the format of employee resource groups to develop new projects that meet the needs of employees and receive feedback on the quality of existing corporate human capital programs and policies.
- Corporate medical insurance is available for all employees and covers cases of COVID-19.
- Corporate parenting support programs provide employees with free parenting courses, benefits in medical laboratories, reimbursement of taxi costs, free delivery of documents, creation of conditions for remote work, flexible working hours, and paid paternity leave for dads. Parents' rooms and children's areas were created at Starlight Media's locations.
- The corporate well-being program includes actions and services to support both the physical and mental health of employees.
- Starlight Media provided information about the corporate Code of Ethics and the company's responsibilities to all employees and newcomers.
- The 8th sustainable development goal is one of the key goals integrated into the corporate sustainable development strategy.

- According to the results of an independent international survey of the employer's brand in Ukraine, Randstad Employer Brand Research 2021, Starlight Media is recognized as the best employer among media companies.
- Starlight Media led the rating of family-friendly companies, developed by UNFPA Ukraine and CSR Ukraine.
- Staff turnover in 2020 decreased by two times compared to 2019 (from 20.6% to 10.9%).
- The corporate audit found that there is no gender gap in pay and career appointments.
- Recruiting employees, writing vacancies and job descriptions are based on the principle of gender neutrality and reporting on the company's commitment to the topic of gender equality and UNGC principles;
- 15% of the company's female employees joined the first corporate conference supporting women's leadership. Fifty female employees are active participants in the first ERG company.

- The corporate code of ethics includes norms about responsible consumption and production.
- The corporate rules about gifts and events include criteria that stimulate buying sustainable products and services.
- The information about environmental responsibility is added to the Starlight Media website and public communication with partners and contractors.

- In 2021, Olena Frolyak, the host of the group's TV channel, became the environmental ambassador of the UN Global Compact in Ukraine.
- In 2020, StarLightMedia launched a partnership with the "Батарейки, здавайтеся!"project. It is a non-governmental organization that provides correct recycling of batteries at the battery recycling plant in Europe - GreenWEEE in Romania.
- StarLightMedia launched a project of conservation of premises - a temporary refusal to use offices and work areas during the pandemic and remote project. This initiative reduces the use of resources needed to maintain sanitation and technical readiness of offices.
- The waste sorting system was launched in the co-working spaces of the media group.
- StarLight Scenery has launched the service for renting and reusing requisites for films, serials, theaters, and events.

- The conservation project of the premises saved about 565,000 liters of water, which was used to clean the premises according to sanitary pandemic standards.
- More than 70 media reportages and materials about environmental issues were published on Starlight Media's media resources.
- The corporate pilot waste recycling project was launched.
- Buying water in plastic bottles for corporate events is prohibited.

- Starlight Media's code of ethics provides strict norms against corruption and regulates questions about gifts, business hospitality and conflict of interests.

- Starlight Media adheres to the zero-tolerance principle for any form of fraud and corruption. The company takes the measures appropriate to prevent employees from committing fraud and corruption in their duties.
Employees and counterparties acting for or on behalf of Starlight Media should act in good faith under all circumstances in business. Starlight Media adheres strictly to the anti-corruption laws that apply to it and fights corruption in line with the best global practices.

- A Declaration of conflict of interest system was implemented.
- The system of reporting about gifts/business hospitality of unacceptable price or circumstance was implemented.
- The SLM Trustline was established. It is an electronic tool, an essential aspect of transparency and accountability of the company that enables employees and third parties to report violations of the law, non-compliance with the rules and standards of corporate ethics

- The corporate code of ethics is available on the website for all partners and stakeholders.
- Communicational and educational campaigns about the Code of Ethics and its anti-corruption norms were launched.