Food waste

We produce personalized grocery bags for our customers. To be able to do this, we order our fresh ingredients after the customer has placed their order with us. We have a very close collaboration with our suppliers and together we have established a supply chain that enables us to receive the goods in time for the start of production, just 24-48 hours after the order has been sent. This process ensures that we get exactly what we need and food waste in our production facilities is kept to a minimum. In 2023 it was 3.12 grams per serving and our goal is to have less than 3 grams per serving. We donate all edible leftover food to local charities and inedible food waste is sorted as organic waste and used for biomass.

Sustainable meal planning

All of our recipes are nutritionally calculated, enabling our customers to make informed choices about what they choose to eat. We reduced the amount of saturated fat per serving by an average of 4.8% from 2022 to 2023, and we reduced the average amount of salt per serving by 5.4% from 2022 to 2023. On average, 19% of the recipes offered each week were vegetarian or vegan in 2023 compared to 17% in 2022. For the remaining meals, Cheffelo works with suppliers who prioritize animal welfare. We also strive to buy local animal protein, which means from animals born, raised and slaughtered in the country in which they are sold.

Ingredient packaging<br>

Packaging protects food from contamination and damage, which helps us reduce waste. By keeping food fresh longer, we minimize the environmental impact of food production and food waste. By making informed decisions, we ensure that our packaging choices align with our commitment to sustainability, efficiency and customer satisfaction. We strive to use recyclable materials whenever possible and avoid unnecessary packaging, which minimizes waste while protecting the food effectively. Some examples of packaging improvements: In dialogue with our chicken suppliers, we have changed to using vacuum-packed chicken instead of chicken packed in plastic trays, which results in a 57% reduction in plastic and equal, or better, shelf life. Together with our coconut milk supplier ALNA, we have found a way to transport raw coconut cream in barrels from the country of origin to ALNA, where the cream is diluted and packaged for Cheffelo in custom portion bags made from recycled plastic, eliminating the need to transport water while using packaging is minimized.

Secondary packaging

In our production facilities, we have implemented a smart system to more precisely adapt the size of the carton to the amount of ingredients. This enables us to fit more boxes into the delivery vehicles, making transport more efficient and is expected to reduce our cardboard usage by around 20 tonnes annually. In addition, since there is less air in the boxes, the contents are kept in place, minimizing the risk of damage to the ingredients during transport and ensuring a better customer experience.

Transportation<br>

We have significantly increased the fill rate of liner transport by consolidating several transport flows from our production facilities to the hubs where last mile distribution begins. This means that we can use the vehicles' full capacity where possible. We have also expanded co-distribution for last mile deliveries, which reduces CO2e emissions. Another sustainability improvement related to transport is that we deliver more with refrigerated last mile vehicles. This opens up the possibility of an unbroken cold chain, which means that we do not need to use ice packs, which are otherwise placed in the cartons to keep the ingredients cold. We expect this to save 1,120 tons of ice annually, while maintaining high quality and food safety. The group applies a notice period of a maximum of twelve months. In the event of voluntary termination, a notice period of six months generally applies. In the event of termination by Cheffelo, severance pay may be paid with up to nine months' salary. In addition to the mentioned variable remuneration, from time to time there may be decided share-based incentive programs, which must be decided by the annual general meeting, see Incentive programs.