Yum China's Unwavering Commitment to ESG Highlighted in 2023 Sustainability Report

Core Viewpoint - Yum China Holdings, Inc. has published its seventh annual Sustainability Report, highlighting its achievements and ongoing progress towards Environmental, Social, and Governance (ESG) goals across four focus areas: Environment, Food, People, and Community [1][2]. Environmental Initiatives - In 2023, Yum China inaugurated the first 100% renewable energy cold-chain logistics center in China, transitioning over 70 restaurants and three logistics centers to green electricity, achieving an annual renewable energy consumption of approximately 8,000 MWh [1]. - The company established the 'Yum China DPV and VPPA Alliance' with 40 key suppliers to promote renewable energy adoption within its supply chain [1]. - Yum China built five coffee grounds disposal centers nationwide as part of its coffee grounds recycling initiative, using environmentally-friendly materials in over 1,500 KFC restaurants [1]. Technological Advancements - The company began exploring generative artificial intelligence for its Food Safety Risk Assessment and Early Warning System, allowing for a multidimensional assessment of food safety risks [1]. Social Responsibility - Yum China expanded its 'YUMC Care' benefits program in 2023, enhancing medical and accident insurance coverage for employees' family members [1]. - The One Yuan Donation initiative has raised over RMB 260 million for poverty alleviation and rural revitalization, improving nutrition and digital education access for children in rural areas [1]. - The company provided over RMB 3 million in financial assistance and tens of thousands of meals to those affected by Typhoon Doksuri and the Gansu earthquake in December 2023 [1]. Recognition and Commitment - Yum China ranked No.1 in the Restaurant & Leisure Facilities Industry in the S&P Global Corporate Sustainability Assessment for the fourth consecutive year and received a 'Top 1% Global ESG Score' in the S&P Global Sustainability Yearbook 2024 [3]. - The company attained an "AA" rating in the MSCI ESG rating, the highest in its industry, and joined the United Nations Global Compact, committing to responsible operations based on ten universally accepted principles [3].