External evaluation

	FY2019	FY2020	FY2021
CDP	Climate change: A- Water Security: A	Climate change: A- Supplier Engagement Rating Leaderboard Water Security: A	Climate change: A- Supplier Engagement Rating Leaderboard Water Security: A-
FTSE	Not selected/2.9	Selected/3.4	Selected/3.7
MSCI	AA	AA	AA
DJSI	No response/19 points	Response/45 points	Response/53 points
S&P/JPX Carbon Efficient Index	Third decile	Fourth decile	Fifth decile
Toyo Keizai CSR Ranking	63rd of 1,593 companies	34th of 1,614 companies	53rd of 1,631 companies
SOMPO Sustainability Index	Selected	Selected	Selected
Survey on Health and Productivity Management	White 500	White 500	Certified Health & Productivity Management Outstanding Organizations

ESG index

FTSE4Good Index Series

An index by FTSE Russell (UK) designed to measure the performance of companies demonstrating strong ESG practices.

https://www.ftserussell.com/products/indices/FTSE4Good (external website)

FTSE Blossom Japan Index*

An index by FTSE Russell (UK) designed as an industry neutral benchmark that reflects the performance of companies demonstrating strong ESG practices in Japan.

https://www.ftserussell.com/products/indices/blossom-japan (external website)

FTSE Blossom Japan Sector Relative Index*

An index by FTSE Russell (UK) designed as a sector neutral benchmark that reflects the performance of companies demonstrating strong ESG practices in Japan. The index selects companies with higher ESG Ratings within the top 50% of each sector and supports climate transition to a low carbon economy by evaluating companies’ climate governance and climate change efforts via the TPI Management Quality Score¹⁾.

1) Scores assessing the quality of management of opportunities and risks associated with a company's greenhouse gas emissions and transition to low carbon by the Transition Pathway Initiative (TPI)

https://www.ftserussell.com/products/indices/blossom-japan (external website)

MSCI ESG Leaders Indexes

An index by MSCI (USA) that selects companies with the highest ESG rated performance in each sector from around the world.

https://www.msci.com/msci-esg-leaders-indexes (external website)

MSCI Japan ESG Select Leaders Index*

An index by MSCI (USA) that selects companies with relatively high ESG ratings in each sector from among the top 700 Japanese companies by market capitalization.

https://www.msci.com/our-solutions/japan-esg-select-leaders-index (external website)

MSCI Japan Empowering Women Index (WIN)*

An index by MSCI (USA) that selects companies with excellent gender diversity practices in each sector from among the top 700 Japanese companies by market capitalization. It is based on the Workforce Gender Diversity Score created by MSCI.

https://www.msci.com/our-solutions/indexes/japan-empowering-women-select-index (external website)

S&P/JPX Carbon Efficient Index*

An index jointly developed by the S&P Dow Jones Indices (USA) and the Japan Exchange Group (Japan). It is designed to measure the performance of companies in the Tokyo Stock Price Index (TOPIX) based on the level of environmental information disclosure and carbon efficiency (carbon emissions per unit of revenue).

https://www.jpx.co.jp/english/markets/indices/carbon-efficient/ (external website)

SOMPO Sustainability Index

An active index by Sompo Asset Management Co., Ltd. (Japan) by combining ESG evaluation with equity valuation (fundamental value). It is composed of approximately 300 companies with outstanding ESG-related initiatives.

https://www.sompo-hd.com/en/csr/action/ir/content1/ (external website)

*These ESG indices are adopted by the Government Pension Investment Fund (GPIF), and Shionogi & Co., Ltd. has been continuously included in all five ESG indices for the Japanese equities adopted by GPIF.

GPIF is one of the world's largest pension funds that manages and invests the reserve funds of the National Pension and the Employees' Pension Insurance, both of which are public pension plans in Japan. For more information about initiatives of ESG investment of GPIF, please visit the below.

https://www.gpif.go.jp/en/investment/esg/ (external website）

External Recognition related to IR and Sustainability

A- (FY2021), A LIST company (FY2019 and FY2020) for "Water security”, and A- (three consecutive years since FY2019) for "Climate Change" in surveys conducted by CDP

SUPPLIER ENGAGEMENT LEADER in surveys conducted by CDP (two consecutive years since FY2020)

Special Award in Environment Sustainable Corporate Category of the 3rd ESG Finance Awards Japan (FY2021)

Outstanding Health & Productivity Management (six consecutive years since FY2017)

Award of Kurumin mark (Three years: FY2013,FY2015,FY2018)

New Diversity Management Selection 100 project (FY2015)

A leading company for women’s advancement in Osaka City (FY2015)

Corporate Governance of the Year (FY2019)

Corporate Value Improvement Award by the Listed Company Award: Grand Prix (FY2017)

Award for Excellence in Corporate Disclosure Ranked first in the pharmaceuticals sector (Four consecutive years since FY2017)

Companies with Greatest Improvement in IR (FY2018)

2018 All-Japan Executive Team: Ranked first in the pharmaceuticals sector (Two consecutive years: FY2017, FY2018)

IR Grand Prix (FY2017)

Others

Included by the Government Pension Investment Fund among a selection of companies with “Excellent Integrated Reports” (Two consecutive years since FY2020)
Included by the Government Pension Investment Fund among a selection of companies with “Most-Improved Integrated Reports” (Three consecutive years since FY2017)

FTSE Russell (the trading name of FTSE International Limited and Frank Russell Company) confirms that Shionogi & Co., Ltd. has been independently assessed according to the FTSE4Good criteria, and has satisfied the requirements to become a constituent of the FTSE4Good Index Series. Created by the global index provider FTSE Russell, the FTSE4Good Index Series is designed to measure the performance of companies demonstrating strong Environmental, Social and Governance (ESG) practices. The FTSE4Good indices are used by a wide variety of market participants to create and assess responsible investment funds and other products.”

FTSE Russell confirms that Shionogi & Co., Ltd. has been independently assessed according to the index criteria, and has satisfied the requirements to become a constituent of the FTSE Blossom Japan Index. Created by the global index and data provider FTSE Russell, the FTSE Blossom Japan Index is designed to measure the performance of companies demonstrating strong Environmental, Social and Governance (ESG) practices. The FTSE Blossom Japan Index is used by a wide variety of market participants to create and assess responsible investment funds and other products.

FTSE Russell confirms that Shionogi & Co., Ltd. has been independently assessed according to the index criteria, and has satisfied the requirements to become a constituent of the FTSE Blossom Japan Sector Relative Index. The FTSE Blossom Japan Sector Relative Index is used by a wide variety of market participants to create and assess responsible investment funds and other products.

The inclusion of Shionogi & Co., Ltd. in any MSCI index, and the use of MSCI logos, trademarks, service marks or index names herein, do not constitute a sponsorship, endorsement or promotion of Shionogi & Co., Ltd. by MSCI or any of its affiliates. The MSCI indexes are the exclusive property of MSCI. MSCI and the MSCI index names and logos are trademarks or service marks of MSCI or its affiliates.