Introduction Environment Social Governance Appendix Sustainability Strategy Sustainability in Our Operations and Value Chain Netting Remaining Emissions to Zero Sustainability in Storytelling Climate Risk RISKS We identified the following risks and opportunities, and mapped them against current strategies: Risk Type Description Time Horizon Mitigation Strategy Acute Acute physical risks caused by disruption from Short Term We produce content all around the world and can be somewhat resilient Physical wildfires, flooding and sea level rise could pose a to issues related to a particular studio or filming location. As part of our threat to business continuity and an impact to planning for productions, we conduct risk assessments and develop productions in areas impacted by natural disasters. detailed emergency response plans for each different potential scenario. During production, we regularly track adverse weather events and other situations that may impact the continuity of our productions and implement plans as needed (e.g., halting production, moving locations, etc.). We will also continue to monitor global physical risks as a part of our enterprise wide risk management and business continuity programs, which will inform additional mitigation strategies. Emerging Regulatory impacts could impose additional costs Medium Term We partner closely with players across the industry to evaluate, develop Regulation and limitations on how we produce content and and deploy new sustainable technologies as well as seek to operate as operate our service. efficiently as possible with traditional energy sources. Regulatory impacts on traditional energy sources Along with other companies, we have partnered with DIMPACT to could pose a risk on our license to operate and help better understand and assess the impact of emerging trends in produce content (e.g., bans on diesel generators in our industry. desirable shooting locations) if new comparable Read more about these efforts in the Sustainability in Our Operations technologies aren’t introduced in sufficient supply and Value Chain section in time. Netflix ESG Report 2022 34