Operator's Statement

Lien Hwa Industrial Holdings Corporation (hereinafter referred to as “Lien Hwa Holdings”) sincerely welcomes all stakeholders who are concerned about our sustainability to read the 2022 ESG Report. As a leading brand in the flour manufacturing industry in Taiwan, we have adhered to our corporate spirit of “Sincerity, Simplicity, Perseverance and Prudence” to respond to the sustainability issues of the food industry. 
We have undergone a massive transformation to help shape today’s Lien Hwa Holdings. 

We insist on deep cultivation and response, and make efforts to collaborate with our subsidiaries - Lien Hwa Milling and Lien Hwa Property Development. 
At the same time, we continue to implement various material sustainability issues, including corporate governance, quality and safety, food safety, safe workplace, occupational safety and health, and environmental sustainability, hoping to bring positive influence to the development of the industry's sustainability. 
We would like to present the results of our implementation of various material sustainability issues to all stakeholders who are concerned about our sustainability performance. Through the disclosure of this Report, we hope to give those who are concerned about our sustainable development a more comprehensive and precise understanding of our efforts and achievements. 
We believe that, by continuing to work hard, we can truly achieve our goals for sustainability. Let us join hands and march forward to create a better future together. 

Corporate Governance Innovation - Lien Hwa Holdings Leading Industry Development 
At Lien Hwa, our priority has always been “food safety and quality first”; hence the strict quality controls on our products. 
We have obtained certifications of the world’s highest standards - Safe Quality Food (SQF), Clean Label, food safety management system (ISO 22000), and Hazard Analysis and Critical Control Point (HACCP). Furthermore, we aim to provide products that are safe to consume and establish a complete quality control system, striving to ensure food safety for consumers. We are committed to increasing the profitability of our channels within the food industry through expanding our stores in food courts and in the reconstruction of stores to increase profitability. At the same time, we will continue to develop our own brand products as well as recruit franchises to increase brand awareness and customer recognition. In terms of the revitalization of assets, we proactively seek means to revitalize existing idle land resources in order to construct more diverse utilization options that are on par with the local culture and industrial development conditions. 

We are deeply aware of the importance of technological development in today’s business. Given this, we take a proactive approach to develop “cloud-edge-endpoint” software and hardware products and services to meet the demand of modern enterprises and the market. Lien Hwa Holdings became a 2022 “CHR Health Corporate Citizen” Pledging Company of CommonHealth Magazine. We are committed to creating a healthy workplace, enabling employees to give full play to their strengths, and building a healthy and happy workplace. 

Aiming at Green Environment - Lien Hwa Holdings as the Leader
At Lien Hwa Holdings, we uphold our sustainable management philosophy and have always emphasized environmental issues. 
As a means to promote environmental protection, the paper we purchase must be FSC (Forest Stewardship Council)-certified. 
On the subject of reducing GHG emissions and carbon footprint, Lien Hwa introduced ISO 14064-1: 2018 GHG inventory management system in 2022, verified by SGS-Taiwan. Inventory data of carbon emissions of Lien Hwa Holdings, Lien Hwa Property Development, and Lien Hwa Milling are used as the basis for subsequent carbon management. Through reviewing the overall annual carbon reduction effectiveness, we formulate emission reduction strategies, while at the same time continuing to evaluate alternative energy sources such as solar energy. 

Working Hand in Hand With Society, Lien Hwa Holdings Cares About a Happy Community 
Lien Hwa Holdings has always regarded social responsibility as the essence of our corporate development. Through joining forces with the government and related organizations, we actively participate in social welfare activities. For example, we fostered the “Bread Partner Project” with the foodbank of the Department of Social Care, Taoyuan City Government and organizations for disadvantaged children to provide bread for local disadvantaged children and the poor. 
We organized the “2022 Blood Drive” and cooperated with the Nangang Harmony Home Foundation to provide support, such as care, counseling, and living subsidies, enabling the children to feel the warmth of home and dignity of life. 

While developing our business, we are also constantly keeping a close eye on social, environmental, and corporate governance-related issues. 
We adhere to the spirit of operating locally and giving back to the local community. By aligning with UN SDGs (Sustainable Development Goals), we expect to continue to promote the Company’s sustainability and create shared value through our efforts in every aspect while at the same time fully fulfilling our corporate social responsibilities. 

Thank you very much for your support and interest in Lien Hwa Holdings. We will continue to promote sustainable development and achieve shared corporate value and social responsibility. We invite you to join us and support our efforts in this regard.