2 A B O U T T H I S R E P O R T This sustainability report (non-financial report pursuant to Section 267a of the Austrian Commercial Code (UGB)) has been drawn up in accordance with the internationally recog- nized framework for sustainability reporting “GRI Standards”: “Core” option. The GRI Content Index, starting on page 64, contains a detailed list of the minimum require- ments in this regard and of our compliance or omission. This consolidated non-financial report, as it is known, essentially covers all fully consolidated subsidiaries of PIERER Mobility AG. In addition to KTM AG, this comprises KTM E-Technologies GmbH, KTM Innovation GmbH, Avocodo GmbH and PIERER E-Bikes GmbH. The key environmental figures generally reflect the key figures of the main company and production sites: In addition to PIERER Mobility AG, this comprises KTM AG, KTM Innovation GmbH, KTM E-Technologies GmbH and KTM Sportcar GmbH. PIERER E-Bikes GmbH* is not included here. The key environmental figures and emissions associated with this company are not published in this report. External assurance The published information has been audited by KPMG Austria GmbH Wirtschaftsprüfungs- und Steuerberatungsgesellschaft, Linz/Austria. Our aim is to document the validation and trustworthiness of the disclosed information for the public in a comprehensible manner through the external assurance. The corresponding confirmation can be found in the Inde- pendent Assurance Report at the end of this Sustainability Report. * The (e-)bikes of PIERER E-Bikes GmbH are sourced from two external, independent assembly sites. The assembly sites are in turn supplied directly by various component manufacturers. PIERER E-Bikes GmbH therefore does not perform any assembly work itself.

4 I N T R O D U C T I O N B Y T H E E X E C U T I V E B O A R D We are particularly pleased that, for the first time, we have achieved the “Core” option according to the “GRI Stand- ards” with this sustainability report. Our reporting has been gradually expanded over the past three years in order that we can inform our stakeholders and the public about the key issues and current measures in the PIERER Mobility Group. There have been some recent developments, owing to chang- es in society as a whole and in general policy, which have prompted us to revise and conduct the materiality analysis in 2020. In addition to assessing the impact of our business activities on the environment and society, the key topics were also assessed to determine their influence on stakeholder decisions and actions. As part of this, we have included new key topics in our assessment, such as vehicle emissions, alternative drive technologies, the circular economy, and road safety. In general, all topics surveyed were assessed as being more important than in previous years. The topics of “Research and development” and “Product quality and safety for customers” are, as in previous years, the most highly rated, and are at the top of our topic ranking. Mobility With its many years of research work, the PIERER Mobility Group is one of the pioneers of electric mobility and certainly one of the most experienced in this field. In order to bring together know-how and activities in this area, in 2020 we established our own e-mobility competence center located in Anif near Salzburg. At the new e-mobility center, all future concepts from the 48-volt platform (15 hp) to electric bicy- cles and electric motorcycles - from the Freeride light to an electric scooter in the 125cc class - will be developed. One of the cornerstones of our product strategy is devel- oping solutions and concepts for sustainable mobility in urban environments. Energy-efficient, electrically powered two-wheelers in particular are a key part of the solution. We therefore understand a sustainable approach to mean, above all, the phased reduction of emissions over the entire product life cycle. The focus here is particularly on using electric mo- bility, which will predominantly be used for short distances in the low-voltage range. COVID measures R&D and innovations Extraordinary times also call for special concepts. Due to the outbreak of the coronavirus pandemic, from spring onward special measures were taken on an ongoing basis to protect employees. Thanks to this forward-looking approach and constant engagement with the authorities, it was possi- ble to implement these measures as well as government regulations comprehensively and quickly. This prevented any extensive spread within the company and the risk of contracting COVID-19 within the company is considered to be minimal. The immediate effects of the coronavirus pandemic, for example with suppliers affected by illness, as well as the upheaval in the global economy as a result of the coronavi- rus crisis, also place greater demands on safeguarding the availability of parts. In order to be able to specifically identify and resolve risks emerging from the coronavirus pandemic at an early stage, the supplier risk assessment has been revised and the corresponding risks have been reassessed for each country. For us as a technology-driven motorcycle manufacturer, research and development has been the focus of our activ- ities for many years. A progressive R&D strategy produces innovative products which meet the high expectations of our customers in terms of technology and quality. It is particu- larly important for us to identify trends in the PTW (Powered Two-Wheeler) segment at an early stage and to continuously develop our product range. We pursue a very intensive R&D strategy in order to further expand our role as a leading technology pioneer and also to keep pace with our major competitors. This also explains the relatively high research budget - currently around 9%. In the 2020 financial year, development activities on our range of internal combustion engines were intensively advanced. Particular focus was placed on improving performance while at the same time reducing fuel consumption and emissions. For example, some models that comply with the new Euro 5 emissions standard were successfully transferred to series production in 2020. We have also set ourselves the goal of manufacturing extra safe and high-quality products. Our mission is to reduce the number of avoidable motorcycle accidents to a technically feasible minimum by using rider assistance systems, among

6 C O M P A N Y I. OV ERVIE W OF PIERER MOBIL I T Y The PIERER Mobility Group is Europe’s leading “Powered Two-Wheeler” (“PTW”) manufacturer and is among the European technology and market leaders, particularly in the premium motorcycle segment. In addition to powered two-wheelers, which are equipped with combustion engines or with new types of electric powertrains, the product range also includes e-bikes. The Group’s activities are divided into three value creation pillars: Motorcycles, E-Bikes as well as Design, Concept and Digitalization (see also the Group Structure shown on page 7). As a pioneer in the field of electric mobility for two-wheelers in the low-voltage range (48 volts), the Group has the foundations in place with its strategic partner Bajaj Auto Ltd. of Pune, India, to assume a leading global role in this market seg- ment. Thanks to our innovative strength, we see ourselves as a technology leader in the two-wheeler sector in Europe. KTM AG, with registered office in Mattighofen, Austria, combines the activities of the globally renowned motorcycle brands KTM, Husqvarna Motorcycles and GASGAS as well as the component manufacturer WP Sus- pension. The product range covers all relevant motorcycle segments in the capacity classes from 50 to 1,300 cc and is continuously being expanded. In addition, KTM was a pioneer in 2014 when it presented the electric FREERIDE E. The segment of electrically powered sports motorcycles has since also been expanded to include sport minicycles (SX-E, EE5 and the MC-E 5). Alongside motorcycles and components, the sports car division completes the KTM AG model range with the KTM X-BOW. Working in close cooperation with 31 international sales organizations, the company serves a worldwide dealer network on behalf of KTM Sportmotorcycle GmbH, Husqvarna Motorcycles GmbH and GASGAS Motorcycles GmbH, as well as a growing network of WP Authorized Centers. True to the motto “DRIVEN BY THE NEW”, KTM E-TECHNOLOGIES GmbH develops innovative electric vehicles. In 2020, the company’s site in Anif near Salzburg was expanded to become the PIERER Mobility Group’s development center for e-mobility, where all development activities related to the electric drivetrain are brought together. The employees’ broad expertise in electrics, electronics and software combined with their leading overall vehicle and lightweight construction know-how form the basis for the development of impressive and sustainable products. The focus of technology development is on low-voltage drive and battery systems with maximum continuous power of up to 11 kW. The current product range extends from e-bikes, e-scooters and light motorcycles licensed for use on the road to various sports vehicles for off-road use. As a service provider, the company also works with third-party customers on strategically meaningful projects. KTM Innovation GmbH, which was founded in 2018 and has its registered office in Wels, Austria, focuses on trending topics from various fields of technology for the digitalization of products and processes. Classic software development and methods of machine learning, artificial intelli- gence, big data, blockchain and business modeling are applied. The focus is on developing digital products and services for the motorcycle segment and on improving efficiency and the user experience in the sales channel. The aim is to facilitate a profound digital transformation in all areas; on the motorcycle, in production and along the supply chain, in marketing and sales, in communication with riders, and in services that we provide to the users of our products. Since mid-2020, the e-mobility division of the PIERER Mobility Group has been trading under the name PIERER E-Bikes GmbH, with registered office in Munderfing, Austria. Among other developments, PEXCO GmbH, which was acquired in December 2019, was incorporated into this newly founded company. The focus for PIERER E-Bikes is on the development as well as the sale of (e-)bikes. In the past financial year, the E-Bikes activities were marketed under the Husqvarna E-Bicycles and R Raymon brands in order to participate in the attractive market growth in the e-bicycle segment and develop into a significant international player in this segment. To make the issue of electric mobility accessible to an even broader target audience, an additional brand was added to the portfolio: GASGAS. From spring 2021, the Spanish brand will manage a complete e-bike fleet under the umbrella of PIERER E-Bikes GmbH and, with the specialist motorcycle trade, will exploit a sales channel that has so far been largely untapped in the bicycle industry. AVOCODO GmbH, with registered office in Linz, Austria, is a full-service provider specializing in mobile applications, web applications and busi- ness solutions. The company’s focus is particularly on digital solutions and individual developments.

8 P R O D U C T S & DE V ELO P MEN T S K TM 890 DUKE R GASGAS EC 300 With the 890 DUKE R, an increase in overall efficiency was achieved by reducing the weight of the vehicle by 3 kg (compared to the 790 DUKE) and improving the combustion efficiency of the 899 cm3 two-cylinder engine. As a result, engine performance has been significantly improved (~ 15.6% increase in power) with only a minimal increase in CO2 emissions (~ 7.7%). The Euro 5 compliant exhaust system guarantees that all pollutant emission specifications are met. K TM 390 ADVENTURE The first KTM model in the entry-level travel segment has several innovative features: fully adjustable WP APEX suspension, up and down quickshifter, lean-angle-dependent cornering ABS and a 5-inch TFT display. The lightweight trellis frame made of high-strength steel helps to centralize mass and is also the basis for the excellent stability, and precise and nimble handling. This makes the 390 ADVENTURE the lightest and most agile model in the segment with a READY TO RACE weight (all fluids, excluding fuel) of just 161 kg. In addition, the Euro 5 compliant exhaust system reduces pollutant emissions to 78 g / km of CO2 and the low weight ensures economical fuel consumption of just 3.37 l / 100 km. The innovative 2-stroke TPI (Transfer-Port-Injection) electronic fuel injection ensures that the optimum fuel quantity is supplied in every situation. This guarantees controlled power output and reduced pollutant emissions. The rear frame is made of lightweight aluminum and offers a short and compact profile. This helps to centralize mass while keeping the weight to a minimum of 106.2 kg. The GASGAS Enduro Competition models are the first Euro 5 compliant products in the market segment with an additional catalytic converter and evaporative emission system canister. HUSQVARNA MOUNTAIN CROSS 7 The new Shimano EP8 represents a completely new motor generation: The 36% reduction in frictional resistance ensures greater efficiency and easier pedaling. Weighing just 2.6 kg, the EP8 drive unit is 300 grams lighter than the previous model. It is one of the lightest drive units available on the market and offers the best power-to-weight ratio in its class. With the E-TUBE PROJECT app, the system settings can be adapted to the conditions of the terrain with three different assistance modes (Trail, Boost and Eco for increased energy efficiency). The assis- tance modes offer ten different levels with different performance parameters: for example, the option to define the maximum torque to perfectly match the rider’s individual riding style.

O U R VA L U E C H A I N As a manufacturer of motorcycles for off-road and street use and as a developer of products and designs for (e-)bikes, the PIERER Mobility Group integrates an extensive part of the value chain. This starts with creating products in the area of research and development and extends from purchasing, through production - which in some cases is also done internally - to sales and distribution. 10 Research & development Purchasing Motorcycle production & assembly Logistics & sales (Product use & recycling)

12 industry in promoting sustainable transport in Europe. For this reason, it makes a significant contribution to driving forward regulatory activities and lobbying for the introduction of new environmental standards, such as the implementation of the Euro 5 exhaust gas regulation. PIERER Mobility CEO Stefan Pierer will be President of ACEM until April 2022. His role was confirmed for a further two years at the General Meet- ing in April 2020. During Stefan Pierer’s presidency, activities that have been promoted have included the following: Type approval Provision of the Euro 5 package for use from 2020 with a corresponding reduction in the limit values for local pollutants. Completion of technical details for the implementation of on-board diagnostics, preparation for the discussion on Euro 5 noise limits. To this end, the first step, development of a new measurement method “ASEP 2.0”, has been completed. (See further below) Emission factors of the L category Update COPERT with data of the Euro 4 L category. COPERT is the EU’s standard vehicle emission calculator. This covers all major pollutant categories and is used to calculate emissions at national, regional or local level and to establish annual to daily calculation models. The COPERT methodology is published and peer-reviewed by experts of the UNECE LRTAP Convention. Life cycle I Waste I Risk materials Increasing focus on the documentation of usage behavior along the entire product life cycle and promotion of further association activities. Particular attention will be paid to the issues relating to the recycling of lithium-ion powerpacks (“cradle to grave”) and to working to promote the safe handling of the chemicals they contain in the form of an inter-asso- ciation alliance. In addition, ACEM, together with other European vehicle associations, is working to advance the GRMS2 (Global Regulatory Moni- toring System for Chemical Substances) project on substance monitoring. Another important topic, which plays a major role in the automotive industry in particular, is the REACH* regulation on the registration, measurement, authorization and restriction of chemicals in products. The corresponding EU regulation has been in force since 2017 and applies in principle to all chemicals - whether they are used in industrial processes or in everyday life. As an ACEM member, KTM AG supports the program and is strongly committed to protecting human health and the environ- ment. This is why, in 2019, the first joint measures were drawn up to limit the risks that can arise, for example, from using harmful substances in the production process in the vehicle industry. Employees: Annual employee appraisal, intranet, specialist workshops, training courses, ideas workshop, employee survey, information events and staff meetings, guided tours of production areas, welcome days for new employees and apprentices, KTM_academy. Shareholders and investors: Bilateral exchange on environmental, social and governance (ESG) issues with investors. Academia and experts: Delta Academy of Montanuni Leoben (Stefan Pierer as a member of the management board), round table in small groups on technological topics of the future, joint R&D projects, visits to educational institutes (universities of applied science, universities), preparation of studies, cooperation with technical universities within the framework of sponsored projects, cooperation with LIMAK as well as with universities and technical colleges, sponsor of/cooperation with Formula Student Teams, member of the automobile cluster. Suppliers and dealers: Trade fairs, product presentations and test drives, joint events, training courses, lectures, regular dealer meetings on delivery and quality assurance agreements, daily exchange of information via Dealer.Net. Business partners: Knowledge sharing at specialist conferences and expert workshops. Racers and factory riders, rider teams: Test rides, face-to-face feedback discussions and exchange of experiences in relation to safety. Media: Interviews, press releases, close contact with business journal- ists, test rides, trade fairs, product presentations. Politicians, networks and associations: Presidency (Stefan Pierer) at ACEM, the European Association of Motorcycle Manufacturers; the Federation of Upper Austrian Industry (Stefan Pierer as Vice-President); at the PIERER Mobility Group locations, the management is in regular contact with relevant local/regional government officials and author- ities (provision of company data, annual report and sustainability report). Participation in the association z.l.ö. – zukunft.lehre.österreich, cooperation with Hotspot (Lebensraum) Innviertel and Innovation and Technology Transfer Salzburg; cooperation with Occupational Health Service, awards: “Career Best Recruiter”, “Employer Brand- ing Award 2020/2021” gold. ACEM ACTIVITIES The European Association of Motorcycle Manufactures (ACEM) represents the manufacturers of mopeds, motorcycles, tricycles and quadricycles (L-category vehicles) in Europe. ACEM members include 17 manufactur- ing companies and 17 national industry associations from 14 countries. Around 387,000 jobs depend on the motorcycle, moped, tricycle and quadricycle industry in Europe. This is why the association works closely with the EU institutions and with many stakeholders from different policy areas. The topics range from the European approval of L-category vehicles in relation to environmental legislation, road safety and transport policy through to international trade relations. In addition to road safety and mobility, ACEM is also heavily involved with the environmental perfor- mance of L-category vehicles and focuses on the role of the motorcycle

14 @KTM

16 39% Employees Politicians, networks and associations 7% 2% Racers, Factory Riders Academia and experts 10% Media 7% 5% Suppliers Total overview of participants (Percentage of all responses) Shareholders and investors Business partners Customers 12% 7% 10% M AT ERI A L I T Y A N A LYSIS A ND K E Y SUS TA IN A BIL I T Y T O P I C S In order to determine the material contents for this sustainability report, we first conducted a materiality analysis with the assis- tance of selected employees from the subsidiaries of the PIERER Mobility Group in 2017. As part of this, we identified those topics relating to environmental, social and employee interests, observance of human rights and tackling of corruption that have an impact on our activities and are of relevance to our long-term business success. On the basis of our ongoing communication with our stakeholders during the year, we have since reviewed the key topics at least once a year to ensure that they are up to date and have been able to leave them unchanged. There have been some recent developments, both in terms of society as a whole and in terms of general policy, which prompt- ed us to revise and conduct the materiality analysis in 2020. Due to the COVID pandemic, it took the form of an online survey. This gave us the opportunity to survey a much wider stakeholder group, including a number of external stakeholders. In addition to assessing the impact of our business activities on the environ- ment and society, the key topics were also assessed to determine their influence on stakeholder decisions and actions, with the following result:

18 O U R VA L U E S & U N D E R- S TA NDIN G OF BUSINES S (BUSI N ES S CO M P L I A N CE ) CONCEPT AND OBJECTIVE The PIERER Mobility Group considers lawfulness, honesty, ethics, relia- bility, respect and trust to be the foundation and universal basis of any cooperation and good business relations. With these values in mind, the PIERER Mobility Group respects the applicable national and international laws, regulations and guidelines and expects its employees, managers and board members as well as consultants, business partners and cus- tomers to respect and comply with applicable law at all times. The Code of Conduct of the PIERER Mobility Group serves as the basis for achieving legal compliance. It sets out the principles and rules on which the PIERER Mobility Group bases its business activities. The Code of Conduct addresses relevant compliance risks and in particular defines the expectations for dealing with the topic areas which are outlined below: Human rights, respect and integrity, diversity, fair working conditions Sustainability Fair competition, prohibition of cartels Corruption, money laundering, financing of terrorism, export controls Conflicts of interest, handling of company property and of business and trade secrets, data protection, prohibition of insider trading, political activities DUE DILIGENCE PROCESS AND CURRENT MEASURES Anti-Corruption and Fair Competition In principle, collaboration with partners along the value creation chain involves risks of unfair competition, including (unfair) influencing of suppliers, customers or decision makers. Corruption also involves financial risks for companies in connection with the threat of financial penalties, loss of orders or customers, or damage to reputation. In order to systematically reduce potential corruption risks, the PIERER Mobility Group takes measures to observe and implement the principles laid down in the Code of Conduct and to make managers and employees more aware of compliance issues. The PIERER Mobility Group advocates the respective national anti-cor- ruption provisions and the international directives or recommendations (e.g. UNCAC, U.S. Foreign Corrupt Practices Act, UK Bribery Act, OECD Guidelines for Multinational Enterprises). It does not tolerate any prac- tices in which business transactions are concluded by unfair means. The Code of Conduct lays down comprehensive conduct guidelines in relation to awarding of undue advantages, corruption and bribery. The mandatory principles defined therein in relation to awarding and acceptance of undue advantages provide a regulatory framework that board members, managers and employees must regard as a guide for their conduct when dealing with suppliers and customers. Board members, managers and employees are encouraged to speak to their managers or the competent office for general compliance issues in the event of any doubts as to the permissibility of an award or acceptance of a benefit. When assessing the appropriateness of gifts and invitations of any kind, special attention is paid to social custom and appropriateness in addition to the underlying motive. As a general rule, the Compliance Officer of the PIERER Mobility Group acts as the relevant point of contact. The Executive Board bears ultimate responsibility. The operational handling of inquiries and reports of potential compliance cases concerning the PIERER Mobility Group is the responsibility of the legal department of KTM AG. The Code of Conduct of KTM AG is permanently available on its intranet site for the majority of the board members, managers and employees (with internet access) of the PIERER Mobility Group. The Code of Conduct is also highlighted on the homepage of the intranet of the KTM AG Group each year. The Code of Conduct is handed out along with the welcome pack to new employees. Furthermore, training is provided by the PIERER Mobility Group on the content of the Code of Conduct and to raise awareness of compliance issues. The focus is on the issue of anti-corruption. Ostensibly, managers and employees from particularly vulnerable areas such as Human Re- sources, Purchasing, Sales, Research & Development, Marketing, Quality Management as well as board members and general managers are trained in face-to-face sessions. In light of the COVID-19 pandemic and the measures which were then required to protect the health of employees, it was only possible to conduct face-to-face training sessions to a limited extent in the 2020 financial year. The time was therefore used to create an e-learning tool with the content of the Code of Conduct and thus enable digital training for employees (with internet access) from all areas of the business from the 2021 financial year.

20 Extensive training measures were carried out for employees at the Mat- tighofen and Munderfing sites on the General Data Protection Regulation. The training courses for employees at the subsidiaries were canceled in the reporting year due to Covid and will be caught up in 2021. The content of the e-learning tool with a mandatory test for employees was adapt- ed again in the 2020 financial year and will also be made available in English in the 2021 financial year. The intranet also contains an overview of responsibility for data protection: the Executive Board bears ultimate responsibility, while the data protection coordinator deals with and responds to specific technical questions on the subject. The information and security manager is responsible for data security. In addition, a data protection guideline for the introduction of a data protection management system is in place. Compliance with this ensures that the company's conduct is in line with data protection regulations, and in particular safeguards the rights of data subjects, prevents data protection violations and avoids fines. All employees are required to comply with this guideline. This is an instruction. The information sheet that has been part of the service contracts since April 2018 is available on the intranet. This guideline has been substantiated by several company agreements for the area of data protection in general and most recently for video surveillance. Each company has set up its own privacy e-mail address to receive requests. RESULTS, KEY PERFORMANCE INDICATORS AND NEXT STEPS The Code of Conduct of the PIERER Mobility Group was revised in the 2019 financial year and the new version was published at the beginning of 2020. As part of this, awareness as well as the obligation to comply with the principles set out in it were steadily promoted and expanded during the 2020 financial year. The Code of Conduct in its current version (January 1, 2020) was brought to the attention of all series suppliers of KTM AG in the 2020 financial year. For the 2021 financial year, the plan is also to inform non-series suppliers about the Code of Conduct. New contractual relationships of the KTM AG Group in the supplier sector have included the Code of Conduct as standard since the beginning of 2020, if not earlier. Over the course of the 2020 and 2021 financial years, the Code of Conduct has been or will also be firmly established as a further annex and thus a contractual compo- nent of the dealer contracts of the KTM AG Group. All existing importers of the KTM AG Group were notified about the Code of Conduct in the current version dated January 1, 2020. The Code of Conduct is always included in any new importer contracts that are concluded. Respect for human rights is also very important to the PIERER Mobility Group when it comes to significant investment contracts. Over the coming years, the intention is that any new significant investment contracts shall therefore also gradually be made contingent on the principles of the Code of Conduct. Significant investment contracts include orders for invest- ments in property, plant and equipment (including buildings and produc- tion facilities) that exceed an investment amount of EUR 300,000. In the financial year 2020, a total of three orders for production equipment were placed that exceeded an investment amount of EUR 300,000, whereby for two of these relevant orders - and thus for 66.67% of the significant investment contracts in the area of production equipment in the business year 2020 - the Code of Conduct of the KTM AG Group and the principles contained therein with regard to the observance of human rights are part of the contract. At the beginning of the 2020 financial year, 35 managers received training - including 19 team leaders and 9 heads of department. The percentage of leaders trained on the Code of Conduct topics in 2020 was 6%. In light of the COVID-19 pandemic and the measures which were then required to protect the health of employees, it was then not possible to conduct any further face-to-face training sessions in the 2020 financial year. Nev- ertheless, in order to continuously make employees aware of the issues covered by the Code of Conduct, a total of 2,669 employees (with internet access) of the PIERER Mobility Group were informed about the contents of the Code of Conduct by means of a separate e-mail, which equates to around 62% of the entire workforce. An overview in table form can be found in the appendix. In order to train a large number of employees on a regular basis in the future, an e-learning tool with the content of the Code of Conduct was also created in the 2020 financial year. With the help of this digital training, the plan is to train all managers and employees (with internet access) of the PIERER Mobility Group in Austria in the 2021 financial year. In addition, the training measures will also be extended to the first and second level managers of the companies within the PIERER Mobility Group that are located outside of Austria. As a further option for reporting complaints and violations, a whistleblow- er system will be set up in the 2021 financial year. In the PIERER Mobility Group, there were neither any relevant compliance cases nor cases that resulted in corresponding compliance investigations or proceedings regarding corruption in the 2020 financial year.

22 SDG 13 - CLIMATE ACTION / SDG 12 RESPONSI- BLE CONSUMPTION AND PRODUCTION The PIERER Mobility Group is conscious of the contribution that its operating activities make to climate change and supports SDG 13 with measures to combat climate change. We also support SDG 12 by using natural resources efficiently and by taking measures to avoid, reduce and recycle waste. An important aspect in the development of road-registered = homologated vehi- cles is reducing emissions of exhaust gases and noise, which are caused by the combustion process itself, for example, and also by any evaporative emissions of the hydrocarbons (= fuel) contained in the vehicle. In addition, we are working with project partners on concepts for sustain- able mobility in urban living spaces. Energy-efficient, electrically powered two-wheelers in particular represent an essential part of our solution. We therefore understand a sustainable approach to mean, above all, the phased reduction of emissions over the entire product life cycle. As far as the development and production of its products are concerned, the PIERER Mobility Group attaches great importance to the efficient use of raw materials in a manner that conserves resources, and to environmentally sustain- able operations. This is why the issue of increasing efficiency and utilizing raw materials to the fullest possible extent, including recycling them, for example recycling lithium ion batteries, is so important. This is currently being vigorously pursued with the introduction of an environmental management system in ac- cordance with ISO 14001:2015 and with the development of waste management. Thanks to many years of intensive development work in the field of electric traction systems for PTW, a substantial technology platform has been created in addition to the first products available on the market. This will enable further vehicles powered by renewable energy to be launched on the market in the years ahead. In this segment, we are currently working on electric drive systems in the power range from 4 to 11 kW and battery platforms in the 48 volt range for planned series (for example, Husqvarna’s first electric scooter). Furthermore, with the creation of one of Austria’s largest photovoltaic installa- tion on the roof of the KTM logistics center in Munderfing, we are taking another step toward a future that conserves resources. The electricity is fed into the public grid and enables a broader use of renewable solar energy in the region. In addition, we farm around 12 hectares of arable land in Mattigthal and have planted 270 trees at our sites in Munderfing since 2016. @KTM

24 MEASURES TO INCREASE THE ATTRACTIVENESS OF THE EMPLOYER Internal and external measures to increase the attractiveness of the com- pany as an employer are an essential element in conveying the prevailing spirit of the PIERER Mobility Group to potential new employees. With var- ious cross-media employee campaigns, KTM AG was able to largely meet its personnel requirements in the reporting year. A new career homepage was launched. This plays a significant role in helping to ensure that KTM AG has an even better profile as an employer and that what is on offer as well as the many benefits are recognized even faster and more clearly. In the area of apprenticeships, attention was not only paid to addressing the target group appropriately, but a dedicated section was also created for the parents of future apprentices in order to provide information about opportunities and possibilities at an early stage and prevent any uncer- tainties. During the redesign of the career site career.ktm.com, the virtual reality tour around the buildings at the Mattighofen and Munderfing sites was expanded and integrated into the homepage. An attempt was made to compensate for the cancellation of trade fairs due to Covid by participating in virtual trade fairs. The recruiting team of KTM AG reacted quickly to the circumstances in 2020 and was technically well equipped to make personal contact in many ways. Of course, an employee of the HR department of KTM AG also “sits” behind the newly integrated chatbot on the career site, answering questions quickly and expertly. Jobs advertised - internal employees are also wanted! It is not just external employees that have the opportunity to apply for advertised positions. KTM AG consciously promotes the internal development of employees. For example, in 2020, about one third of the positions advertised in Austria were filled internally and two thirds of the management positions advertised allowed existing employees to make the next step in their career. As special recognition, KTM was once again presented on a virtual podium this year with the golden Sigl of the Best Recruiter Awards for the automo- tive sector. Ranked 15th among the TOP 100 employers in Austria, the company achieved its best position to date in 2020. Focus on making working hours and work locations more flexible For the purpose of creating a modern and flexible working environment, and at times because of the Covid-19 pandemic, the PIERER Mobility Group, as an attractive employer, enables employees to better adapt their working hours and place of work to their personal needs and the needs of the company. In order to increase job satisfaction and flexibility at the same time, KTM employees can spread out their weekly working hours from Monday to Thursday based on a fair-use principle. This means they no longer have to commute five days a week. In principle, this type of flexible working hours is available to employees who are covered by the scope of the flexitime agreement (applies to the company’s sites in Aus- tria and around 80% of the employees). These flexitime options were also optimized and expanded in other individual PIERER Mobility companies. In order to further reduce travel times, employees can also use the KTM offices in Wels and Anif near Salzburg in addition to the workplaces in Mattighofen and Munderfing. A further measure for making working hours more flexible is the option of working from home (“home office”). A new directive has allowed this since 2019, provided that operational requirements are not adversely affected. In 2020, there was a quick and clear response to the requirements of the pandemic. For example, options for working from home were further expanded (IT processes and equipment), and teams were split and divided between working from home and in the office. Furthermore, it was ensured that most of the workforce would be able to work from home if required. In light of these measures, which are continuously being analyzed and adjusted, motivated and committed employees form the foundation of our shared success as a business. Compliance with labor law regulations, a transparent exchange of information, appropriate remuneration and an attractive working environment are essential cornerstones for fair cooper- ation and the reason why the company has many loyal and long-standing employees. The PIERER Mobility Group employed 4,586 people worldwide as of December 31, 2020 (previous year: 4,368), with 3,822 of them in Austria (around 83%). 17.6% of the total workforce work in research & devel- opment. In 2020, the proportion of female employees was around 22%. With its Mattighofen, Munderfing, Thalheim and Schalchen sites, KTM AG is one of the largest employers in the Upper Austria region. In the 2020 reporting year, 3,557 people were employed here. In 2020, the staff turnover rate1) at the Austrian companies in the PIERER Mobility Group was below 10% (previous year: <10%). This figure includes all non-retirement departures in proportion to the overall number of em- ployees excluding temporary staff. An extended list of the most important employee indicators can be found in the appendix. 1) Calculation of staff turnover rate as %: Relevant departures (1-12 of the year) / average headcount (1-12 of the year) * 100. Premises for relevant departures are blue-collar + white-collar employees (excl. external workers, excl. fixed-term service contracts, excl. freelancers, excl. natural turnover due to retirement or death).

26 COVID-19 Extraordinary times call for special concepts. Due to the outbreak of the coronavirus pandemic, special measures were taken to protect employees from spring onward: In order to continuously prevent occupational accidents and minimize hazards, the following measures are taken on an annual cycle accord- ing to the “STOP principle”: Establishment of a dedicated KTM COVID team with its own COVID hotline In-house contact tracing with rapid isolation, usually before any con- tact from the authorities Hygiene guidelines, mandatory masks in the workplace, capability to measure people’s temperature Working from home / office splitting Establishment of the first dedicated test station for assessing PCR and rapid tests in May; expansion to a larger dedicated rapid test station (throat swab) in October PCR mass testing of over 2,000 employees in August Between October and December 2020, over 3,000 rapid tests assessed at KTM’s own test station The COVID team set up by KTM E-Technologies GmbH developed measures in a very short space of time in close coordination with KTM to protect the health of the employees and to avoid a possible risk of infection in the company (e.g. wearing a face covering when leaving the workplace and in public areas, restriction on the number of people in meeting rooms, reduction of business trips, testing, home working, etc.). The various measures were continuously adapted to the circumstances at the time (government measures, recommendations, traffic light system in the region, etc.). An internal traffic light system was created to ensure timely action and adaptation of measures in the interest of everyone concerned. In addition, a preventive medical check-up including COVID antibody tests for employees was organized and supported. This offer was very well received by the employees. Thanks to this forward-looking approach and constant engagement with the authorities, it was possible to implement these measures as well as government regulations comprehensively and quickly. This was often done before there was a legal requirement to do so. This prevented any extensive spread within the company and the risk of contracting COVID-19 within the company is considered to be minimal. Substitution: Substitution of hazardous working materials with less hazardous ones. Vehicle tests on roller dynamometers using robot handling. Most welding processes take place on robotic equipment. Technical protective measures: Safeguarding of equipment with protec- tive guards, protective enclosures, light curtains. Extraction systems at grinding and welding stations, as well as at facilities with cooling lubricants. Ergonomic auxiliary devices when lifting and holding tools and workpieces. Organizational measures: Design of footpaths and traffic routes. Labeling of areas and access restrictions. Restriction on working hours where there is increased force, noise or exposure to hazardous substances. Personal protective equipment for accident-prone workplaces: Contin- uous improvement and adaptation of safety equipment. For example, protective gloves to prevent cuts or safety boots to prevent foot injuries, wrist bandages. Customized hearing protection in noisy areas such as test benches and processing machines. Expansion of operating instructions and briefings. Each employee receives a fire safety briefing as well as a general safety briefing, which is made more specific for the respective workplace (for example, briefings on how to operate forklifts and pallet trucks, robot systems, test bench systems, computer workstations, etc.). To prevent ac- cidents and injuries caused by tools and materials, material improvement specifications are continuously passed on to suppliers and implemented (avoiding sharp burrs on components to prevent cut injuries). In addition, the focus for production is on measures from the ongoing KTM Operations System (KOS): Efficiency is being increased through key per- formance indicators and methods as well as an improved understanding of roles and increased levels of qualification for employees. Furthermore, process optimization in terms of cleanliness, order and waste, as well as a focus on standardized working and improved workplace design, reduces the probability of accidents at work and therefore helps to increase the level of safety. There is close cooperation in this area with Gemba-Austria (e.g. implementing lean management projects).

28 @KTM EDUCAT IO N A ND T R A ININ G CONCEPT AND OBJECTIVE DUE DILIGENCE PROCESSES AND MEASURES In 2020, due to COVID, the PIERER Mobility Group conducted significantly fewer training and development courses in the Austrian companies than originally planned. The number of hours of training and development for employees in Austria was around 27,000 hours (previous year: around 46,000). The average number of hours per employee was 7 (previous year: around 12 hours). See also the table on “Education and Training” in the appendix. Due to the high technical requirements, highly trained employees are especially important. In particular in terms of the growth course, risks may arise if key staff leave the company. In terms of education and training, 2020 was also dominated by the coronavirus pandemic. By complying with the strictest safety measures and switching to online training, the PIERER Mobility Group was able to continue its training. Following the positive experiences of adopting e-learning, webinars and other online training, the focus will continue to be on this type of training in the future. (This topic will not be discussed separately in the following paragraphs.) Structured personnel management as well as the constant pursuit of personnel development programs are designed to prevent the unwanted departure of employees from the company. A shortage of skilled staff at KTM is also being addressed with a comprehensive apprentice training program in our own apprentice workshop. In production, a qualification matrix is used to map the employees’ ability to work. In addition, this matrix is used to continuously determine the employees’ qualification requirements and to plan further training accordingly. In particular, the PIERER Mobility Group will in future increasingly rely on online training to deliver training and education of its employees which is flexible in terms of time and location. Furthermore, we will focus on exchanging knowledge internally through experts. This is also the reason why PIERER Mobility has defined its employees as the fourth pillar of its success alongside globalization, innovation and brands in the company, and constantly strives to reinforce this pillar by expanding the education and training it offers:

30 help them prepare. This e-learning course was completely redesigned and revised in 2020, offering new content and an improved learning experi- ence for existing and new employees. industry-specific content can be learned here. The new language is taught intuitively using what is known as the “Dynamic Immersion Method”. This method is based on pictures, videos, stories and interactive exercises. Employees allocate the time flexibly themselves. Training priorities In the operating companies of the PIERER Mobility Group, training and ed- ucation is delivered by attending external and in-house training sessions that are specifically tailored to the needs of KTM and KTM E-Technologies GmbH. In 2020, we were also largely able to safeguard the training and education of our employees by switching the training courses to an online format. For example, in-house training courses such as “Leadership” and training courses in the area of project management were partly conducted in person (compliance with the strictest safety regulations and testing of the participants) or switched to interactive online formats. Feedback from participants and trainers is collected after each training course to safeguard quality. Management training Effective management is an important factor for success in achieving the corporate objectives. Experienced managers have the opportunity to refine or expand their skill set and develop additional skills during manager training. New managers are provided with support to help them assume their role successfully. 2019 began with a management course designed specifically for KTM. All hierarchical levels are trained with the same methods and content on the subject of leadership, so that there is a shared understanding of leadership within KTM. In addition, attendees networking with each other makes a significant contribution to strengthening everyday teamwork. This training course was optimized and successfully continued in 2020. Project management In the area of project management, KTM has many different standards, principles, wordings and methods. The aim of the KTM Academy is to offer a consistent and comprehensive range of training courses that cover different levels of experience, approaches and methods in order to provide helpful inputs for a wide range of target groups which can be used in everyday working life. Together with Primas Consulting as the provider and with representatives of all the departments in which project management is operated, we have developed a training concept that sup- ports all areas in the company with future projects, as well as facilitates cross-departmental cooperation in the project. The training includes pro- vision for beginners and experts as well as the possibility of certification. Training participants are selected on an interdisciplinary basis to promote exchange between different divisions of the company. Online language training In 2020, online language training was introduced in collaboration with a multi-award-winning provider. Here we offer our employees language training in the form of e-learning and 1:1 live tutoring sessions with highly qualified trainers, individually tailored to the respective language level. Both the basics of the respective language as well as job-specific and Digital Transfer Manager course The trend towards digitalization requires changes to work processes and in qualifications. The course helps to improve creative capabilities, to communicate strategic methods and to apply the skills learned to gener- ate new and innovative digital solutions. Special topics such as “Digital Strategy” or “Opportunities of Digitalization” are addressed in great depth in this course. The 9-day course culminates in a transfer paper, which is presented to a jury and company representatives. Training support If employees demonstrate special performance and a high level of self-motivation, KTM helps them to complete a degree or training as a foreman alongside their job. The prerequisite for this is that the chosen subject is related to their current position or possible positions at KTM. KTM provides financial support by paying costs, but also by granting spe- cial leave, free time to prepare for examinations, or traditional part-time education. In 2020, the system of providing support for training costs was revised and standardized across the company. COOPERATION WITH UNIVERSITIES AND UNIVERSITIES OF APPLIED SCIENCES Academic courses KTM promotes joint activities with universities and universities of applied sciences. New career opportunities for employees were launched in 2019 together with the LIMAK Austrian Business School. The offer includes a KTM Young Pioneers College and an exclusive KTM Digital Intrapreneur- ship MBA. The programs focus on general management, leadership and digital intrapreneurship. The KTM Young Pioneers College is aimed at managers and employees who do not yet hold a management position but who show great development potential. The KTM Digital Intrapreneurship MBA is aimed at managers and specialists. Participants were selected via both a written and a video application as well as an analysis of potential. The first group at the KTM Young Pioneers College celebrated their gradu- ation in 2020. The very positive feedback from the participants related in particular to the interdisciplinary exchange throughout the college. KTM E-Technologies GmbH cooperates with various colleges and univer- sities in research projects and student research projects. It has proven to be a successful model for getting young and committed students involved in the company at an early stage in the form of an internship or student placement. These students can then also write their final theses (Bachelor, Master or Diploma) here and then have the prospect of being taken on as permanent employees. For the past three years, a business/ science cooperation has existed with the Johannes Kepler University Linz (JKU) within the framework of the Christian Doppler Laboratory for

32 International Skilled Workers Exchange Since 2017, KTM AG has enabled apprentices to spend time abroad in England and Ireland through the organization IFA (International Skilled Workers Exchange). Commercial and technical apprentices support small local businesses with their expertise and are able to improve their own language skills. In addition to language skills, the exchange essentially strengthens their awareness of other cultures but in particular their self-confidence. In 2019, six apprentices took part in the international skilled workers exchange and spent four weeks abroad. 20 apprentices expressed an interest in applying to participate in 2020. The exchange program could not take place due to the pandemic and will be partly continued in 2021. Digital training management - “Apprentio” In 2020, the digital training management system “Apprentio” was intro- duced in apprentice training. The software makes it possible to implement a uniform approach and thus supports the quality of training in com- panies, “Apprentio” is used by the main trainers in the KTM apprentice workshop, the trainers in the specialist departments and the apprentices themselves. First and foremost, the software provides an overview of which apprentice is assigned to which area and also enables the main trainers, via this app, to plan and administer the rotation, internal and external training as well as when the 170 apprentices are at vocational college. In addition to the improved overview, the process for creating the learning objective checks is facilitated and fully digitalized. In addition, Apprentio enables us at the end of each rotation to store feedback forms which can be completed directly in the system by the trainers and the apprentice. As of the reporting date of December 31, 2020, we employed around 170 apprentices (previous year: around 160), who were training in 15 vocation- al training programs: Operational logistics administrator Office clerk CAD construction (mechanical engineering) E-commerce administrator Events management assistant Industrial purchaser Information technology (systems engineering or operating technology) Automotive engineering (motorcycle engineering) Mechatronics (production engineering) Mechatronics (automation technology) Media specialist – in combination with professional photographer Metal technology (mechanical engineering) Metal technology (welding technology) Process engineering Forwarding manager It is a central aim of the company to continue to employ apprentices when they have completed their training. This satisfies the company’s require- ment for well-trained specialist staff and at the same time helps young people to make a good start to their professional lives. The cornerstone of apprentice training is our own apprentice workshop. This is where the basic training in all technical apprenticeship trades and special training programs is delivered, and it enables our future technicians to familiarize themselves with the company as much as possible. Apprentices rotate through the various specialist departments in which they are trained. Great store is placed by the technical and teaching qualifications of those training the apprentices along with their social skills. Social and meth- odological skills are also promoted at KTM AG, in addition to specialist skills. Each year, all apprentices participate in a team building exercise together. Apprentices work on projects together, present the results, and their teamwork and mutual trust are strengthened in a trip to the Pullman City Western Town in Bavaria. In the reporting year, 33 employees who had completed training were integrated into various specialized areas in KTM AG. Of these, more than 28 successfully passed their final exams with distinction and were able to receive a brand-new motorcycle as a reward at a celebratory event in the KTM Motohall, to which their parents were also invited.

34 OUR CO M MI T MEN T S Spinal cord research KTM youth support program @KTM For many years now, KTM AG has been supporting the organization “Wings for Life”, a non-profit, state-recognized foundation for spinal cord re- search, which has set itself the goal of finding a cure for paraplegia. With the help of donations, promising research projects and clinical studies to heal the injured spinal cord are supported around the world (in 2020 with a contribution of EUR 110,961.06). The organization is also a matter close to the hearts of many employees, and so many respond to the annual call to participate in the Wings for Life Run. In 2020, 400 employees took part in the “Wings for Life” Run, in a different way owing to COVID-19: employ- ees had one week to run as far as they wanted and collected money with every kilometer. A total of 14,287 kilometers were run. Every single kilome- ter represents one euro (EUR 14,287), which will be donated by KTM. The past four YOUNG FIGHTERZ seasons have already demonstrated that KTM is committed to promoting young talent. The promotion of young motorsport talent remains an important topic. Austria’s young riders in the 85cc class are referred to as YOUNG FIGHTERZ. All riders, regardless of which make, or whether a license holder or amateur rider, are eligible to participate. Following the great success of the 85cc training camps in previous years, the YOUNG FIGHTERZ training series was extended last year to include two camps for riders in the 65cc class, the MINI FIGHTERZ. These training camps have been very popular for many years and were also a fixture of the KTM youth support program in 2020. The YOUNG FIGHTERZ and MINI FIGHTERZ camps take place at various carefully se- lected venues that offer the best training and development opportunities. Local Enduro greats help the youngsters to develop their cross-country skills. This gives young talented riders the opportunity to share their expe- riences with heroes and role models from the national motorsport scene and get tips from the pros. The main emphasis at all camps is on having fun and enjoying the sport of motocross.

36 @KTM In the Innovation Lab workshops, children and youngsters aged 6-15 can playfully learn how to use the latest design and production processes and the associated tools. Didactically prepared documents serve as a basis and guide for the workshop supervisors. The younger target group learns to develop a curiosity for technical subjects, become more involved with them and acquire expertise. The compulsory exercise “Basic Digital Education” aims to develop pupils’ basic digital skills. This measure sup- ports eEducation with teaching materials for teachers and learners. KTM Motohall also contributes didactically prepared teaching content for all new secondary school (NMS) and academic secondary schools (AHS) lower levels (digi.komp) as preparation and follow-up work for the bookable workshops. This content is worked through in three teaching units in the classroom as part of preliminary project work, includes a visit to the KTM Motohall including a rookie tour and a workshop in the Innovation Lab and is concluded with project follow-up work in school. The whole “Motorcycle of the Future” project focuses on designing your own motorcycle of the future using 3-D printers and design software. It will be possible to book these workshops from the start of 2021. KTM Motohall is officially starting the project together with the TNMS Mattighofen. Ladies Camp – “Girls only!” One of our main media partners, Austria’s Motorrad Magazine, organizes the Ladies Camp at the Wachauring once a year. What’s special about this event is that only “ladies” are allowed to attend the weekend, with about 100 places for each day of riding. In addition to know-how workshops on various topics, experienced instructors from ÖAMTC Fahrtechnik also demonstrate exercises in motorcycle control in designated areas. This is where the ladies receive training in the basics of riding such as how to brake, evasive maneuvers, leaning position, where to look as well as how to handle dangerous gritted passageways. In addition to the workshops, which the ladies attend on their own bikes, all the major manufacturers are present on site. The attendees can test their way through the product ranges of KTM, Husqvarna, GASGAS but also through rival models. Employee recognition - 50 years at KTM A 66-year-old employee was honored for his 50 years of employment at KTM AG. He started his career at KTM in frame construction at the age of 16 and, in order to complete a full 50 years, he worked two months beyond retirement age. The Executive Board recognized this great level of enthusiasm and dedication by the employee. To mark his anniversary, CEO Stefan Pierer and his colleagues on the Executive Board Hubert Trunken- polz, Viktor Sigl and Thorsten Hartmann presented him with a restored “KTM Comet” built in 1968, as a retirement gift.

38 E-MOBILITY COMPETENCE AND DEVELOPMENT CENTER KTM E-Technologies GmbH is one of the leading specialists in the design and development of vehicles with electric drives. The company, which is based in Anif near Salzburg, has a state-of-the-art infrastructure for vehicle development, which is used for the development of mechanical as well as electrical/electronic components, but also enables complex simulation tasks such as topology optimizations and crash analyses. In 2020, KTM Technologies was renamed KTM E-Technologies GmbH. This was done on the one hand to highlight the new function as the Group’s e-mobility competence and development center. On the other hand, this is intended to create a clear corporate profile in the area of e-mobility within the Group and on the market, so that KTM E-Technologies GmbH can also be flexibly deployed as a strategic development service provider of Pierer Mobility AG with a focus on e-mobility. The wide range of expertise, which was also restructured internally in 2020, extends from materials engineering, design, simulation, electrics/electronics and soft- ware to prototype construction and testing. The focus here is on concept and series development for new e-vehicles and new electric drivetrains, supported by the already established engineering services (design, simu- lation, CFD, crash, ...) and in-house technology development (lightweight construction, composites, additive manufacturing, ...). New mobility solutions for the L category The research and development projects that are currently being ad- vanced are working on improving mobility solutions. For example, electric drives and battery electric energy storage systems are being developed and optimized for specific applications. One example is the research project “EMotion”, which was launched in 2020 and will run for 3 years. In this project, eleven partners from industry and academia are jointly developing L-category electric two-wheelers specifically for the young generation (16-18 years) and older generation (50+). These cost-effec- tive, energy-efficient and comfortable electric two-wheelers are designed to provide users of conventional vehicles with a viable and environmen- tally friendly alternative with a reduced footprint for their daily commute. This project is supported by funding from the Climate and Energy Fund and is carried out as part of the “Zero Emission Mobility” program. Goals and technological solutions of EMotion* Innovative lightweight construction and component arrangement (AREA I) Highly efficient electric drive and charging components (AREA II) User-oriented human-machine interface together with a novel on- board information system (AREA III) *Further information on the EMotion project can be found at https://www.ait.ac.at/themen/ propulsion-technologies/projects/emotion/ One of the key factors for the design of our electric powertrains is maximizing system efficiency, which is achieved by adopting modern simulation methods in combination with special test benches for electric drive systems. Suitable simulation methods are used to evaluate differ- ent concepts, and also for the mechanical, thermal and electromagnetic requirements that are identified. Last but not least, the functional safety of the E/E system plays a major role, and this is a central element of the development expertise of KTM E-Technologies GmbH. For validation and testing, investments were made in the last 2020 financial year in particular in new test benches for the engine, battery and complete vehicle. New software for risk management, requirements engineering and testing was also introduced and expanded. This allows the various technical and legal requirements, FMEAs and tests to be defined, tracked and documented. Alongside the development of new vehicles and drives, the end of 2019 also saw the start of the site infra- structure expansion for the further development of e-mobility activities. The conversion work was completed on schedule at the end of 2020, so that the new E-Mobility Center could be opened at the beginning of 2021. Activities or overarching goals for 2021 of KTM E-Technologies GmbH are: Expansion of the focus on e-mobility and the associated expertise Service and cooperation with strategically relevant third-party cus- tomers and partners, with the aim as far as possible of also retaining these over the long term All projects are to be carried out with a view to series production capability Economic success in conjunction with “added value” for the Group EMPLOYEES & INVESTMENTS The development, testing and transition to series production of new concepts in the particularly technology-driven motorcycle premium segment require a steadily growing, inter-disciplinary team of specialists from a range of disciplines. This is reflected in the renewed increase in the number of employees in the Research and Development department. As of December 31, 2020, the PIERER Mobility Group had 808 employees (previous year: 789), representing 17.6% of the total workforce in the Research and Development department. In operational terms, excluding the ancillary effect of capitalizing and amortizing development expenses, 9.0% of total revenue was spent on research and development.

40 R E S P O N S I B L E PROCUREMEN T In order to grow as a company together with our supply partners and to achieve continuous improvement in all areas, we rely on open and transparent communication. For new developments of SE* and principal components, we work together with our supply partners at a very early stage of development in order to jointly design components that support our goals from a technical, commercial and logistical point of view. Here, as is customary in the industry, we are working with our R&D department on approaches such as design to cost, cost engineering and component standardization. The selection of the right supply partners takes place in the Purchasing, R&D and Quality team, taking into account our commodity group strategies. This ensures that all criteria are taken into account in their entirety in the decision and that the next steps are planned together. These key criteria include ISO 9001 certification, technical possibilities, security of supply, quality, competitiveness and communication. Together with our supply partners, we work to ensure quality and supply before series production begins. In cooperation with the Quality department, we carry out product and process audits and coordinate capacities and production quantities at an early stage based on existing demand figures. The common goal is to deliver an efficient start to series production and a stable series supply following the delivery schedule in order to ensure that our production receives an optimum supply of parts. An optimum supply also involves agreeing sensible production and delivery batch sizes with our supply partners in order to keep inventories in the supply chain and in our component and vehicle assembly line as low as possible (working capital management). *BMÖ: Federal Association for Materials Management, Purchasing and Logistics in Austria; BME: Federal Association for Materials Management, Purchasing and Logistics in Germany. SE: Simultaneous Engineering. CONCEPT AND OBJECTIVE The issue of procurement has become increasingly important in recent years. A mature supply chain from the supplier through to the production sites in Mattighofen and Munderfing is primarily intended to ensure the availability of parts at economically competitive costs, but also to create a basis for the parties involved, for suppliers and for customers to allow long-term business relationships to be established or expanded. In order to be able to implement these goals, various employ- ees from the areas of purchasing, quality management and research & development contribute their expertise before a new purchased part is awarded to a supplier selected in a tender. Fair payment and fair working conditions, both in the company’s own operations and in the supply chain, form the basis for a long-term working relationship based on trust. The immediate effects of the coronavirus pandemic, for example with suppliers affected by illness, as well as the upheaval in the global economy as a result of the coronavirus crisis place even greater demands on safeguarding the availability of parts. In order to be able to specifically identify and resolve risks emerging from the coronavirus pandemic at an early stage, the supplier risk assessment has been revised and the corresponding risks have been reassessed for each country. A program has also been im- plemented to provide advance warning of any global events that have a direct or indirect impact on the supply chain. In addition, we continuously assess at an early stage whether there is a risk to the supply of materials from suppliers. DUE DILIGENCE PROCESS AND CURRENT MEASURES Taking into account and complying with the regulations of our Code of Conduct, the working relationship with our supply partners benefits from long-term, consistent points of contact in purchasing, which we can ensure thanks to a low turnover of staff. Our expertise in the area of purchasing is continuously increased through further education and on-the-job training. Based on their personal learning concept, our employees con- tinue their education through purchasing courses in cooperation with the BMÖ/BME*, technical training or KTM’s own MBA in cooperation with LIMAK in Linz. @KTM

42 Purchasing volume per continent (series purchasing): Europe Asia America 1% 86% 13% (incl. Turkey) The general conditions for cooperation with our supply partners are set out in standardized documents such as a non-disclosure agreement, purchasing conditions and manufacturing conditions. The document for the purchasing conditions is available to download on our website (https://ktmgroup.com/en/procurement/). These include sociological as well as environmental criteria on items such as compliance, quality, manufacturing, product liability and shipping, among others. Procurement of parts for prototype construction The procurement of parts for prototype construction at KTM E-Tech- nologies GmbH and KTM AG is arranged according to the time sched- ule and demands on quality and costs. As a rule, proven suppliers from the local region (Salzburg, Bavaria region, Upper Austria, etc.) are commissioned for this purpose. Short transport routes, reliabil- ity and flexibility are our top priorities here. Compliance with legal standards and a value-based, entrepreneurial approach are also basic requirements here. Suppliers must therefore comply with PIERER Mobility’s compliance guidelines and pledge to sign the Code of Conduct and comply with the rules and principles of conduct contained therein. NEXT STEPS At the turn of the year 2020-2021, a project for inbound supply was launched and is intended to combine the needs and demands of all departments in the future and accordingly optimize the variants of inbound deliveries. In this project, for example, picking hubs or similar will be examined for their feasibility in order to be able to utilize the capacities in the supply flows more optimally in the future. Procurement strategy and purchasing volume By implementing local procurement strategies for our production sites in Munderfing and Mattighofen, among other things, we try to boost the economy of our own region and generate lower transport costs and more environmentally friendly supply chains by having shorter transport distances. The regional supply industry contributes to a large extent to KTM AG’s success as a company. When awarding new projects, emphasis is placed on supporting social enterprises, taking into account local procurement strategies. This means that suitable projects are preferably awarded to inclusive businesses in the region. The purchasing volume of components for the series production of motorcycles was approx. 560 million euros. Geographical break- down: 2% from the district of Braunau, 17% from Upper Austria, 34% from Austria, 69% from Austria/Germany/Italy and 86% from Europe. The bicycles are purchased fully assembled from a partner in Europe (approx. 65%) and a partner in Asia (approx. 35%). The purchasing volume for indirect materials and services for the plants in Austria was approx. 175 million euros. The majority was procured within Austria: 13% from the district of Braunau, 31% within Upper Austria, 70% within Austria, 90% within Austria/ Germany/Italy and 98% within Europe. Purchasing volume in Europe (series purchasing): 50% 40% 30% 20% 10% n e i l a t I h c i e r r e t s Ö l d n a h c s t u e D n e i n a p S e d n a l r e d e i N n e i n e w o l S i e k a w o l S h c i e r k n a r F n e i h c e h c s T n e l o P l a g u t r o P z i e w h c S n e d e w h c S g r u b m e x u L i s e t g n i e r e V h c i e r g n ö K i n e i n ä m u R k r a m e n ä D n r a g n U

44 reduced. The aluminum chips produced during the mechanical milling of cylinder heads and engine cases are conveyed via a central extraction system by means of a vacuum through a pipe system directly from the CNC milling machine into a collection container. The aluminum chips are processed at a recycling company and can be turned back into a valuable raw material. All aluminum castings machined in-house are cleaned in a solvent-based (alcohol) parts washing machine. In comparison to water-based systems, this method of cleaning parts does not produce any waste water, which has to be disposed of at great cost. POLLUTANT EMISSIONS FROM VEHICLES (EMISSIONS) Within the organizational structure of KTM AG, in addition to the actual vehicle assembly, there are also manufacturing upstream operations, such as frame construction and exhaust production, which form part of the energy-intensive industry due to the high proportion of joining and machining process steps. At the sites of the PIERER Mobility Group, greenhouse gas emissions are generated directly through the combustion of fossil fuels (Scope 1 emissions) and indirectly through district heating and electricity consumption (Scope 2 emissions). This means that the percentage of greenhouse gas emissions (in CO2 equivalents) associat- ed with the production or assembly of our products is around 1%. The majority of greenhouse gas emissions, around 99%, are generated during the use phase of the vehicles sold (Scope 3 emissions). Furthermore, greenhouse gas emissions per vehicle sold in the production phase (Scope 1-2) were 0.05 t CO2-e (previous year: 0.06 t CO2-e) and in the use phase (Scope 1-3) were 3.68 t CO2-e (previous year: 3.82 t CO2-e). For the first time, motorcycles sold directly by Bajaj in the financial year were also included in the calculation. There was thus an adjustment or clarification of the calculation with the KTM models also including India retrospectively for 2019 and 2018. The detailed table can be found in the appendix. Reduction in emissions advanced The average CO2 emissions of our reported vehicle fleet in 2020 were 78.44 g/km (internal calculation of Pierer Mobility AG). This means that we reduced CO2 fleet emissions by 0.65 g/km in the reporting year, also thanks to the growth in sales of electrified and ICE models with small and medium displacements (< 900cc) (2019: 79.09 g/km). Between 2016 and 2020, Pierer Mobility AG thus reduced the CO2 emissions of its newly sold vehicles by 3.43% (2019: 2.64%). The introduction of new models with drive technologies featuring lower fuel consumption and emissions continues to have a positive impact on our average fleet values. Average fuel consumption in the 2020 reporting year was 3.4 l/100km. Fleet fuel consumption was reduced by 2.75% compared to the 2016 base year (2016: 3.5 l/100km). 1 Since 01/2016, all L-category vehicles in the EU must be registered according to the new type test 2 The consumption is based on the homologated test values according to WMTC. cycle WMTC. This concerns all two-, three-, or four-wheeled vehicles according to Article 4 and Appendix I (Enduro motorcycles (L3e-AxE (x = 1, 2 or 3)), trial motorcycles (L3e-AxT (x = 1, 2 or 3)) and heavy off-road quads (L7e-B)) of EU Regulation 2013/168/EU which are intended to be driven on public roads. The fleet value is based on the homologated test values according to WMTC. This equates to a total energy saving of 741.04 gigajoules in the 2020 reporting year.3 Reduction in energy demand for products The calculations for CO2 emissions and fuel consumption of our sold vehicle fleet are based on the specifications and assumptions of the World-Harmonized Motorcycle Test Cycle (WMTC). This method was chosen because it provides a globally harmonized approach. Previously, the calculations were based on the specifications and assumptions of the New European Driving Cycle (NEDC) or the voluntary commitment of the ACEM (European Association of Motorcycle Manufacturers). With the introduction of the WMTC test cycle and the EURO 4 emissions standard on January 1, 2016, the reporting year 2016 was chosen as the base year. To allow better understanding, we do not state the vehicle consumption in joules, but in l / 100 km as usual. ENERGY- AND WATER CONSUMPTION In 2020, electricity consumption at the PIERER Mobility Group* was 18,927,287 kWh (previous year: 20,831,528 kWh) and gas consumption was 17,924,474 kWh (previous year: 20,063,068 kWh). At KTM AG, around 317,000 liters of fuel were consumed for the test benches in the past fi- nancial year (previous year: around 480,000 liters) and water consumption from production was around 3,364 m³ (previous year: 3.618 m³). *exclusive of KTM Innovation GmbH, PIERER E-Bikes GmbH, Avocodo GmbH In the 2020 reporting year, the legally required energy audit was carried out for the energy consumption areas of buildings, processes and transport in accordance with Section 9 of the German Energy Efficien- cy Act (the energy consumptions were determined in accordance with the energy audit methodology EN 16247-1). In the course of the energy audit, all energy consumers of PIERER Mobility AG were recorded and evaluated. The sites at Mattighofen, Munderfing and Anif near Salzburg were selected as reference sites. Due to the energy used to provide space heating, consumption is primarily concentrated in the area of buildings. The area of transport is the third-largest individual area of consumption after production machinery. The survey and analysis of the current energy situation shows that energy efficiency is receiving attention in the PIERER Mobility Group: The company has already implemented various energy- saving measures (for example, use of timers for parking lot lighting, partial conversion to LED). Existing facilities are also regularly examined for their potential to be optimized. In order to achieve further energy savings, future projects will focus on the vehicle fleet, the compressed air system, lighting and energy control (see the example in the “Building services” section). The measures and reviews in this context also serve to comply with the state of the art and thus counteract the risks of increased energy costs and negative environmental impacts due to increased CO2 emissions. 3 Calculation in gigajoules (GJ) based on Net CV according to DEFRA for “Petrol (average biofuel blend)”.

46 Vehicle assembly: One line – three brands The assembly lines of the vehicle assembly department (FAS) in Mattighofen are designed to be sufficiently flexible that both road and off-road motorcycles of all brands (KTM, HUSQVARNA, GASGAS) can be assembled on them. Following assembly, the functional check is carried out on specially designed test benches. The test process can be carried out with very little set-up effort on any of the existing test stands, regardless of the type and size of the motorcycle. In order to optimize the consumption of resources, the required quantity of auxiliary and operating materials is controlled and, if necessary, opti- mized during the assembly process as well as during the testing process. For example, the amount of grease applied for lubricating the steering head tube on assembly line 1 was considerably reduced by developing a dosing unit. A changeover on assembly lines 2, 3 and 4 is being planned. Recycling of production material A further focus is on gradually switching over to sustainable and reusable packaging units. This includes both internal suppliers (engine construction and component production) and external suppliers. Packaging from external suppliers was switched over from disposable to recyclable containers - five suppliers did this in the reporting year - a total of 45 suppliers have already switched to recyclable packaging. In 2021, there are plans for a further three to five suppliers to make the switch. Our goal is to standardize the use of reusable packaging for all new projects, such as with our current supplier for the new 1290 Super Adventure. Building services In order to reduce energy costs and keep the indoor temperature as constant as possible even during the winter months, in 2020 the final lock gates were installed in the incoming goods area. Furthermore, lighting consumption will be continuously optimized both at the factory site and within the assembly halls by using timers. In addition, a new hall lighting system for production will be commissioned in summer 2021. Infrastructure expansion in Anif near Salzburg The workforce at KTM E-Technologies GmbH moved into a newly renovated building at the beginning of 2021. The hall area covering approx. 5,000 m² contains the workshop and test benches as well as a small office area. In addition, it is equipped with the very latest safety technology. In the course of the renovation work, the existing cooling/ heating technology was replaced for the entire building and substituted with air source heat pumps. Heating is provided by a low-temperature heating system. The office building was modernized (in respect of room conditioning) by installing interior insulation and replacing all windows. With the move to the new building, more parking spaces are available for employees, and above all there are more bicycle and (e-)two-wheeler parking spaces. Furthermore, e-charging stations for e-vehicles are being installed. Breakdown of materials in motorcycles The graphs reflect the breakdown of the materials used in KTM AG mo- torcycles. The basis for the calculation is data on representative vehicles from all production areas. The weighting results from the materials used for each model listed. Steel & iron: 83.85 kg Other materials: 23.865 kg Thermoplastics: 18 kg Textiles: 0.4 kg Elastomere (e.g. tires, gaskets): 9.96 kg Steel & iron: 41.827 kg Other materials: 8.374 kg Thermoplastics: 15 kg Textiles: 0.4 kg Elastomere (e.g. tires, gaskets): 8.61 kg Motorcycle construction: KTM 790 Duke MY20 Total weight of approx. 169 kg Non-ferrous metals (including aluminium): 33.12 kg Non-ferrous metals (including aluminium): 25.151 kg Motorcycle construction: Enduro 350 EXC-F MY21 Total weight of approx. 99 kg

48 LOGIS T ICS A ND S A L ES CONCEPT AND OBJECTIVE As an international company that exports a great deal and at the same time places high quality demands on the speed and reliability of the transport service provided to our customers and a globally diverse supply chain, we are conscious of the environmental impacts. Working together and in partnership with the entire logistics industry, we must accept the increasing challenge to use resource-conserving technologies (for example by fulfilling Euro 6) and processes to develop efficient concepts for ever more complex operations. Our goal is to further minimize transport routes and to continuously reduce packaging material. In addition, in the medium term we want to award all paid shipments exclusively to transport companies that also focus on sustainable initiatives (for example reducing emissions). We pursue different approaches here. DUE DILIGENCE PROCESS AND CURRENT MEASURES In coordination with our production planning systems, we have installed milk run systems or shipment consolidation at collection points in the supplier countries of Austria, Germany and Italy, which ensure that freight space can be utilized in the most efficient way, thus preventing empty runs wherever possible. KTM also applies this logic globally wherever optimization makes sense and can be implemented, in particular in supply chains from Japan, China, and India. The import of accessories and apparel from Asia is also being optimized, with consignments being consolidated if geographically close at the same port of departure and where time allows at defined collection points and transported in full containers. Air freight is only used in absolutely exceptional cases and to avoid production downtimes. An innovative example is the motorcycle logistics system used by KTM on reusable steel racks, which have a service life of 10+ years. Using the steel rack avoids using wood and cardboard. Each rack, 28,000 units of which are in pan-European circulation, is used an average of 11.5 times a year. Even though the products we source from overseas are currently still shipped in wood/cardboard packaging, we are working out and reviewing with our partner Bajaj the feasibility of a round trip with reusable racks between India and Europe. In general, products from India are transported mainly by truck, train and ship. Air freight is avoided whenever possible. We work predominantly with global logistics service providers that are pursuing appropriate initiatives to create traceable and effective measures to reduce the impact on the environment. The traceability is checked, among other things, in the annual quality audits with the forwarding service providers and also via their sustainability reports or integrated annual reports. NEXT STEPS We also attach great importance to optimizing our supply chain and deliv- ery logistics. For us the following project is particularly worth mentioning: In the USA, motorcycles are currently only delivered via a distribution center in Virginia. By the second half of the year, we are planning to set up a second center west of the Mississippi, probably in Nevada. As a result, we will reduce the distance traveled in individual deliveries to our dealers from the current 1,544 miles to 720 miles.

50 The supplier of tailor-made components In addition, KTM AG develops and produces tailor-made components in close collaboration with its customers and in accordance with agreed quality, cost and deadline targets. In addition to the intensive develop- ment work on our products, ongoing further development of our processes throughout the business division also represents a key aspect of our activities. Ongoing expansion of the employees’ know-how and the systematic expansion of the zero-error principle aim to secure and expand our product and customer portfolio, while profitable growth forms the foundation of the long-term security of the concern. The PIERER Mobility Group works closely with its suppliers in long-term partnerships to jointly develop and manufacture innovative and high-quality products. Measures for process optimization In the KTM Group, the optimization of processes and the reduction of material inventories continued in 2020. A significant improvement was achieved, for example, by implementing a new manufacturing system for the production of the frames of our off-road models. By switching from cell production to a synchronous flow production system, cycle times were reduced by 70%. To ensure and further improve consistent high product quality at the overall vehicle and component level despite ever-increasing complex- ity, the internal measuring and testing processes have been further optimized. In the areas of pipe part production, sheet metal part pro- duction and final frame inspection, 3D measuring robots were installed for measuring the components and semi-finished products. New test facility for Euro 5 The introduction of the Euro 5 emissions standard in the motorcycle segment brings with it significantly higher requirements for the exhaust system of our vehicles. In order to meet these requirements, new testing equipment was developed and installed in the production process. The new process ensures 100 percent tightness of all components that are located before the exhaust aftertreatment. Product safety and quality measures for aftermarket components In the Suspension division, new EC screwing systems and new filling machines were put into operation. These investments guarantee product safety and quality through complete electronic monitoring of all safety-relevant processes. Assembly KTM AG in Mattighofen assembles an average of 708 motorcycles per day (annual production volume in 2020: around 140,000 vehicles). Each vehicle component is inspected according to a test plan by experienced employees trained in the relevant test criteria. At the conclusion of vehicle assembly, 100% of all motorcycles are subjected to an end-of-line test (test bench run). This process step is secured by systems engineering, so that no vehicle can leave production without passing the test. If an error is detected in the assembly process, it is recorded in the ERP system by the post-assembly personnel. Each error that is entered is transferred to the ERP system and created there as a quality notification. The evaluation of the data in the form of reporting is carried out in monthly cycles. In addition, a vehicle is taken from each production order and subjected to a detailed product audit. Furthermore, in the course of delivery to the end customer, a pre-delivery inspection is carried out for each motorcycle by the trained KTM/Husqvarna/GASGAS dealer. A clearly defined inspection list with all safety-relevant components and systems is worked through and electronically stored in the vehicle history for each motorcycle in the KTM/Husqvarna/GASGAS Dealer.Net. We achieve high product quality in particular through production-oriented design, the use of analytical and statistical methods of calculation, com- prehensive checking and testing, compliance with relevant homologation rules, a focus on process quality and by using targeted communications, as well as by implementing training measures at all companies in the PIERER Mobility Group and at the suppliers. The global assembly sites are professionally supported by a team of highly skilled QM employees. They make sure that the manufacturing know- how is passed on to these sites and ensure the quality of the vehicles produced there by implementing a KTM-compliant quality management system. Our electric motors and combustion engines are key components of our motorcycles and are developed and produced by the PIERER Mobil- ity Group. They guarantee the identity of the products of the brands KTM, HUSQVARNA Motorcycles and from 2020 also GASGAS. The motto READY TO RACE is at the heart of KTM's philosophy, character and passion. Since the company was founded, it has won more than 300 FIM World Champi- onship titles. These are the best proof of the high technical competence of our products, which go hand in hand with performance and reliability.

52 CMC ‚Next‘ In order to further increase motorcycle safety and ensure that motorcycles can retain their mobility role in the future, the motorcycle manufacturers* have agreed to continue cooperation in the CMC in 2021 as well. The joint activities will be pursued under the name “CMC Next” and will focus on topics such as traffic scenarios at intersections and the combination of sensor technology with V2V. The goal is to examine ADAS systems in cars as well as motorcycles to create synergies between in-vehicle sensor systems and connectivity. An important step for “CMC Next” in this regard is closer collaboration with the automotive and vehicle industry, as the intention is for motorcycles to communicate in a standardized manner. Modern vehicles are increasingly equipped with on-board sensor technology (radar, camera, etc.) and rider assistance systems. These vehicle systems need to incorporate the requirements of motorcycles to make them safer when there is a mixture of traffic including motorcycles. “CMC Next” advocates the need to develop and standardize customized motorcycle/car scenarios and tests. The new organization commenced work in January 2021 to continue to champion the deployment of new solutions for motorcycle safety. * Founding members: BMW Group, Honda Motor Co Ltd, KTM AG, Yamaha Motor Co Ltd. KTM MY RIDE INFRASTRUCTURE In recent years, the development of the KTM MY RIDE infrastructure has also been advanced. In addition to a system that is able to automatically make an emergency call in the event of an accident, this also includes networking between vehicles of all manufacturers and the corresponding infrastructure to further reduce the risk of accidents. The PIERER Mobility Group is also involved in various interdisciplinary research projects concerned with similar questions. Lighthouse projects Digital innovation ranges from new solutions for the motorcycle to the user experience when gathering information, purchasing products, and before, during and after a motorcycle ride. In 2020, a completely new digital end-user ecosystem was developed for the PIERER Mobility Group brands. This includes a mobile app that serves as a central focal point for all digital services and functions. One of the first services to be launched was a user-setting tool for optimal engine and suspension settings for off-road motorcycles to enhance and improve the riding experience of motocrossers! This project was delivered in an agile way as an interdis- ciplinary project in several areas and successfully placed on the market. A similar app was also developed for the e-bike segment to display data such as the battery level, speed, remaining range etc. on a cellphone, which can then be used as a dashboard on the e-bike. Data science methods are also used to carry out product improvements. The aim here is to develop models that are designed to help the rider before dangerous situations arise on the bike or to support the rider during and after a ride. Initial successes in the B2B2C environment were achieved in the area of e-commerce. A new type of reservation platform was developed so that retailers could allow special editions to be reserved by interested custom- ers, thus optimizing margins in addition to process cost savings. VR & AR In order to support the ever-increasing complexity of the vehicles in the trade, the dealers have been equipped with a pioneering diagnostic system that also supports 3D applications such as virtual reality (VR) and augmented reality (AR). Safety standards The increasing integration of complex electronic control systems may pose significant safety risks in the event of malfunctions, which is why they are subject to stringent development and quality assurance processes. Functional development in the electrics/electronics area of a motorcycle is mainly carried out according to the ISO 26262 standard for functional safety. Special attention is paid to the complete and correct networking of safety-relevant components (e.g. the behavior of the electrically assisted brake system and the motor control). This ensures that safe operation of the vehicle can be guaranteed at all times, both in normal operation and in the event of a defect. A further focus is on the systematic further development of our suppliers, so that compliance with safety standards and the smooth integration of the supplied components into the overall system is also ensured there. For the purpose of a specific strength design, newly developed compo- nents are subjected to extensive calculations and simulations, structural strength tests and prolonged load tests according to our own operational strength process. Future focal points will be the further intensification of testing processes and the securing of personal data collected during the course of networked mobility (GDPR). Similar to the expansion of the testing and measuring capacities in the area of strength design and ensuring operational strength, a further area of priority is the expansion of test bench capacities in the area of emissions development.

54 The OBD (onboard diagnostics) systems used in our motorcycle models monitor emission-relevant components during riding, and notify the customer (rider) of any malfunctions. This avoids a situation in which vehicles with possibly increased levels of pollutant emissions are ridden for a longer period of time without this being noticed. In principle, all motorcycles homologated at the factory for use on public roads in the EU are equipped with an electronic onboard diagnostic system (OBD-1). In particular, the vehicles homologated in the EU in accordance with the Euro 5 exhaust emission standard are also equipped with a software-based OBD system (OBD-2), which offers an extended range of functions. The equipment with the respective OBD system is based on the European and internationally applicable homologation requirements for vehicles. The intensive series development and testing of these models have represent- ed a significant part of our research and development programs in recent years. Even models intended for markets in which the OBD system is not mandatory are voluntarily equipped with the OBD system. Our research and development department is working on the development and further development of the engine control units and the OBD system so that levels of exhaust emissions and fuel consumption can be reduced further in a sustainable way. An important aspect in the development of vehicles homologated for use in road traffic is to reduce emissions such as exhaust emissions from the combustion process and evaporative emissions from hydrocarbons (= fuel). Activities in the field of vehicles with electric powertrains A further priority lies in the development of CO2 emission neutral electric vehicles for various areas of application. KTM AG has had such a product in its portfolio for many years in the form of the purely electrically pow- ered “KTM FREERIDE E” models. With the FREERIDE E (electric motocross motorcycle in series production), KTM is a pioneer in the light e-mobility segment. Thanks to developments in the battery sector, it has been possible to increase the range here by 50% in recent years. With the KTM E-SX 5 and HUSQVARNA EE-5 models, an electric motorcycle for children has been successfully taken into series production and marketed. KTM E-Technologies GmbH offers in-house e-mobility expertise, including the development of its own components. Work is being done on electric drive systems in the power range from 4 to 11 kW and battery platforms in the 48 volt range for planned series. In a series development project with our partner Bajaj Auto Ltd. in India, a joint platform for electric two-wheelers was developed and will be used for the brands of both partners for various product variants. The market launch of the first Husqvarna electric scooter is planned for 2022. Through our continuous development of alternative drive technologies, we are thus making a significant contribution to climate protection. lithium-ion cells and thus a correspondingly large quantity of valuable raw materials whose recovery for further use is extremely important in relation to increasing electric mobility in the future of individual transport. In order to promote the careful use of these valuable resources, a function was im- plemented on the dealer communication platforms of the sales companies through which the authorized KTM dealer network is obliged to register every powerpack that is put onto the market. This is done in the form of a delivery certificate which is to be registered in the system both for powerpacks in the motorcycle and for spare powerpacks. If the powerpack weakens or becomes defective during the product life cycle, it can also be repaired directly by the manufacturer and reused in the motorcycle. Battery disposal Another approach is the disposal of batteries in accordance with the current EU regulation. For this purpose, KTM works together with a well- known recycling company. In December 2019, a cooperation agreement was concluded with the ERP (European Recycling Platform) on the basis of which the requirements of DIRECTIVE 2006/66/EC will be implemented more specifically for KTM/Husqvarna/GasGas. This means that the ERP will centrally report all batteries “placed on the market” to the respective state authorities (24 countries) for KTM/Husqvarna/GasGas. Likewise, the disposal of all types of starter or powerpacks at the end of their life cycle can be handled by the ERP partners in the countries, or the collection of used batteries can be handled directly by the ERP organizations. Since the subsidiaries have so far complied with the obligations of the directive on individual agreements, this measure, which is managed from company headquarters in Mattighofen, will make it possible to meet the compliance obligations more efficiently in every respect. Packaging and recycling of (e-)bikes When it comes to the packaging and recycling of (e-)bikes, we have a long-standing cooperation with the renowned full-service partner Go4Recycling in Cologne, Germany. The company has set itself the goal of making a significant contribution to a sustainable increase in global recycling and recovery rates. To achieve this, Go4Recycling ensures all international environmental obligations in the areas of WEEE/waste electrical equipment, packaging and batteries are met centrally - with a worldwide, central registration and licensing body. An enormous contri- bution to sustainability can be made through the right type of disposal, selecting operational disposal partners/concepts, classifying and avoiding waste materials/packaging and end-of-life products. As a service provid- er, Go4Recycling takes care of all international registrations, notifications of disposal quantities for all countries in which PIERER E-Bikes GmbH operates. Recovery and recycling of batteries KTM pays special attention to the recovery and recycling of lithium-ion batteries. This applies in particular to the powerpacks which are installed in the electric vehicles. This refers to the powerpacks of the KTM FRE- ERIDE E, as well as KTM SX-E and HUSQVARNA Motorcycles EE models, which were introduced to the end customer market from 2014. These batteries come under what is known as high-voltage technology due to their high energy content of up to 3.9 kWh and an operating voltage of up to 302.4 volts, depending on the design. They contain up to 360 individual

56 NEXT STEPS Well-prepared support is the key to having satisfied and above all loyal customers. Customer expectations have changed dramatically in recent years due to digitalization. To meet these expectations, customer service activities for all brands will continue to be expanded in 2021. The Customer Dashboard application, as the most important informa- tion hub for the customer, was a key project in 2020 and will be rolled out after the test runs in 2021. With this application, customers have all vehicle-related information at their fingertips in one place. Whether it is information from the owner's manual, information about the next service, the warranty or the mobility service. The issue of the safety of our products is also considered here with the direct connection to our data systems. This gives us another possible way to inform customers quickly and securely about our product improvement measures. A contact form for customer inquiries is also available on the Customer Dashboard (multi-way communication). Wels, March 2021 The Executive Board Stefan Pierer, CEO Friedrich Roithner, CFO Hubert Trunkenpolz Viktor Sigl A P P E N D I X Key figures GRI Content Index Independent Assurance Report Imprint Contact

58 K E Y FIGURES I. CO M PA N Y GRI 205-2 Anti-corruption training Total number of employees 1) Executive Board and Supervisory Board of which manual workers (incl. apprentices) of which white-collar workers (incl. apprentices) of which managers Informing employees about anti-corruption (e.g. Code of Conduct) Persons informed about anti-corruption Percentage of people informed about anti-corruption Proportion of manual workers By employee category Number of manual workers (incl. apprentices) Number of white-collar workers (incl. apprentices) Number of managers Executive Board and Supervisory Board Proportion of Executive Board and Supervisory Board Proportion of white-collar workers Proportion of managers Anti-corruption training (e.g. e-learning or face-to-face training sessions) Total number of persons with anti-corruption training Proportion of persons with anti-corruption training (rounded) Proportion of manual workers (rounded) By employee category Number of manual workers (incl. apprentices) Number of white-collar workers (incl. apprentices) Number of managers Executive Board and Supervisory Board 2) Proportion of Executive Board and Supervisory Board (rounded) Proportion of white-collar workers (rounded) Proportion of managers (rounded) Unit Headcount Headcount Headcount Headcount Headcount Headcount in per cent Headcount in per cent Headcount in per cent Headcount in per cent Headcount in per cent Headcount in per cent Headcount in per cent Headcount in per cent Headcount in per cent Headcount in per cent 2020 4,293 1,822 1,896 575 8 2,669 62% 741 41% 1,499 79% 421 73% 8 100% 49 1% 0 0% 9 0.5% 35 6% 5 63% 2019 4,190 1,757 1,989 444 8 0 0% 0 0% 0 0% 0 0% 0 0% 104 2% 0 0% 0 0% 104 23% 0 0% 2018 - - - - - - - - - - - - - - - - - - - - - - - - - 1) Representation excluding temporary workers and external employees. Managers include members of the Executive Board (excl. members of the Executive Board of PIERER Mobility AG), managing directors, division managers, subdivision managers, department managers and team managers. Anti-corruption information and anti-corruption training activities for employees will only be systematically recorded and continuously expanded at Group level from 2020 onwards. In 2019, training courses were only held at KTM AG. Therefore, the information is not comparable with the previous year. The Code of Conduct is made available to suppliers and subcontractors upon request. 2) In the reporting year, training for the members of the Executive Board and Supervisory Board also took place as part of the Supervisory Board meeting of KTM AG. Accordingly, all members of the Executive Board and one member of the Supervisory Board of PIERER Mobility AG were trained. GRI 205-3, 416-2, 418-1 Compliance I Safety riks with products I Data Protection 205-3: Compliance cases 416-2: Incidents with fine or penalty after recalls 418-1: Data protection complaints Unit 2020 2019 2018 Number Number Number 0 0 0 0 0 0 0 0 0

60 GRI 405-1 Executive Board and Supervisory Board Executive Board of which male of which 30-50 years of which > 50 years Supervisory Board of which male of which > 50 years There were no changes to the Executive Board and Supervisory Board in the reporting year. GRI 403-9 Health and Safety Employees Accidents at work Injury rate Serious accidents at work (over 6 months of recovery) Injury rate of serious accidents Number of work-related deaths Temporary workers Arbeitsunfälle Verletzungsrate Schwere Arbeitsunfälle (über 6 Monate Genesungsdauer) Verletzungsrate schwerer Unfälle Rate arbeitsbedingter Todesfälle Unit Headcount in per cent in per cent in per cent Headcount in per cent in per cent 2020 4 100% 25% 75% 4 100% 100% 2019 4 100% 25% 75% 4 100% 100% 2018 4 100% 0% 100% 4 100% 100% Unit 2020 2019 2018 Number in Hours Number Number Number Unit Number in Hours Number Number Number 56 12.8 3 0.7 0.2 2020 6 22.6 0 0 0 101 19.4 14 2.7 0 2019 - - - - - 46 9.1 - - 0 2018 - - - - - In 2019 the method of calculation was adjusted. Values for 2018 include notifiable occupational accidents (including commuting accidents), while values from 2019 onwards include all documented occupational accidents (excluding commuting accidents). Accident figures for employees of external companies are available. Injury rate based on injuries per 1 million working hours. In accordance with GRI standards, the injury rate is calculated on the basis of productive working hours: Number of hours worked in 2020: by employees 4,368,239, by temporary workers 265,463. Productive hours in 2018 (5,074,350) and 2019 (5,209,176) including temporary and leased workers. Starting in 2020, work-related injuries to temporary workers are shown separately. For 2020, no productive hours of KTM E-Technologies GmbH as well as Pierer E-Bikes GmbH could be evaluated from the time recording, the evaluation of these hours is under construction. In the 2020 financial year, there was one work-related death among employees. There were no work-related deaths in 2019 and 2018.

62 III. E N V IRO N M E N T A N D RESOURCES, I N N O VAT I O N A N D P R O D U C T I O N Own indicator Research and Development (R&D) Employees in R&D Employees in R&D as % of total employees Investments R&D expenses from revenue Unit Headcount in per cent in m€ in per cent GRI 305-1, 305-2, 305-3 PIERER Mobility Group CO2 footprint Greenhouse gas emissions according to greenhouse gas protocol (Scope 1-3): Scope 1: Direct greenhouse gas emissions Emissions from natural gas procurement at PIERER Mobility Group sites 1) Emissions from vehicle fleet Emissions from test benches Emissions from district heat procurement 2) Emissions from electricity procurement at PIERER Mobility Group sites 1) Scope 2: Indirect greenhouse gas emissions "location based" 2) Scope 2: Indirect greenhouse gas emissions "market based" 2) Emissions from district heat procurement and electricity procurement Scope 3: Indirect greenhouse gas emissions Emissions from commuter traffic with aircraft Emissions from commuter traffic with private vehicles Emissions from commuter traffic with rental cars Emissions from commuter traffic with train 3) Emissions from commuter traffic with cab 3) Emissions paper 3) Pollutant emissions from vehicles (Emissions) 4) Total footprint "location based" Total footprint "market based" Emissions per vehicle sold "location based" 2) specific greenhouse gas emissions: t CO2-e per vehicle sold (Scope 1-2) t CO2-e per vehicle sold (Scope 1-3) in t CO2-e 5,678.49 3,295.77 1,565.46 817.26 4,927.95 44.71 4,883.24 2,011.46 2,011.46 834,556.37 738.05 33.01 61.03 1.74 16.26 1,617.20 832,089.09 845,162.82 842,246.33 2020 808 17.6% 111 9.0% in t CO2-e 6,565.99 3,688.60 1,619.37 1,258.02 5,495.59 121.06 5,374.53 - - 776,723.49 6,790.99 46.75 125.35 0.00 0.00 0.00 769,760.40 2019 789 18.1% 121 9.1% 2018 678 15.8% 106 8.7% 2019 in per cent in t CO2-e 2018 in per cent 0.83% 56.18% 24.66% 19.16% 0.70% 2.20% 97.80% - - 98.47% 0.87% 0.01% 0.02% 0.00% 0.00% 0.00% 99.10% 6,084.24 3,339.65 1,762.38 982.21 5,279.79 127.50 5,152.29 - - 681,914.83 7,881.07 49.13 417.85 0.00 0.00 0.00 673,566.78 0.88% 54.89% 28.97% 16.14% 0.76% 2.41% 97.59% - - 98.36% 1.16% 0.01% 0.06% 0.00% 0.00% 0.00% 98.78% 2020 in per cent 0.67% 58.04% 27.57% 14.39% 0.58% 0.91% 99.09% - - 98.75% 0.09% 0.00% 0.01% 0.00% 0.00% 0.19% 99.70% 100.00% 788,785.07 100.00% 693,278.86 100.00% - 2020 0.05 3.68 - - 2019 0.06 3.82 - - 2018 0.06 3.84 according to "market based". For a better traceability, the calculation of the emission shares in % in the reporting year was waived here and "location based" was used for the CO2 emissions per vehicle sold (the difference between "market and location based" is very small and therefore negligible). The conversion factors of the Austrian Federal Environment Agency and the UK Department for Environment, Food & Regulatory Affairs (DEFRA) 2016, 2018, 2019 & 2020 were used to calculate the CO2 equivalents. 1) Evaluation excluding KTM Innovation GmbH, Avocodo GmbH and PIERER E-Bikes GmbH. 2) In 2018 and 2019, calculation with "location-based" emissions. Emissions from district heat procurement at the KTM Sportcar GmbH site. From 2020, emissions will also be calculated 3) New in the evaluation as of 2020. 4) Emissions are calculated on EU homologation data on fuel consumption according to WMTC and taking into account the average annual mileage and average service life. The Enduro Competition models are homologated in a mechanically and electronically throttled condition. Often, however, the motorcycles are used, on their own responsibility of the customer, in unthrottled condition at amateur and professional racing events. This results in significantly higher consumption and greenhouse emissions. For the first time, KTM models sold directly Motorcycles sold in the B2C (retail) business were used for the calculation of the useful life, as well as X-Bow (excl. e-bikes): number of vehicles used for the calculation 229,536 (previous year: 206,544). Motorcycle models that are not eligible for registration (e.g. motocross, cross country, sport minicycles) were not considered due to an insufficient database (missing con- sumption and mileage data). In 2020, a total of 270,407 motorcycles were sold (previous year: 280,099). by Bajaj Auto in the reporting year were also considered and the values for the base year 2016, 2018 and 2019 were adjusted. According to the Kyoto Protocol, there are seven main greenhouse gases that contribute to climate change: carbon dioxide (CO2), methane (CH4), nitrous oxide (N2O), hydrofluorocarbons (HFCs), perfluorocarbons (PFCs), sulfur hexafluoride (SF6), and nitrogen trifluoride (NF3). CO2-e is the universal unit of measurement used to indicate the global warming potential (GWP) of each of the seven greenhouse gases, expressed as the GWP of one unit of carbon dioxide. It is used to assess the release (or avoidance of release) of various greenhouse gases on a common basis.

64 GRI CO N T EN T INDE X The Sustainability Report has been prepared for the first time in the past financial year in accordance with the internationally recognized framework for sustainability reporting "GRI Standards": "Core" option. An extension will continue to be sought and the reporting will be further optimized in 2021. This applies in particular to the following standards: 301-1, 306-3, 308, 412-3, 414. General information Description Foundation 2016 General Disclosures 2016 Name of the organisation Activities, brands, products, and services Location of headquarters Location of operations Ownership and legal form Market served Scale of the organization Information on employees and ohter workers Supply chain Significant changes to the organization and its supply chain Precautionary Principle or approach External initiatives Membership of associations Statement from senior decision-maker Values, principles, standards, and norms of behavior Governance structure List of stakeholder groups Collective bargaining agreements Identifying and selecting stakeholders Approach to stakeholder engagement Key topics and concerns raised Entities included in the consolidated financial statements Defining report content and topic Boundaries List of material topics Restatements of information Changes in reporting Reporting period Date of most recent report Reporting cycle Contact point for questions regarding the report Claims of reporting in accordance with the GRI Standards GRI content index External assurance GRI-Standard 101 102 102-1 102-2 102-3 102-4 102-5 102-6 102-7 102-8 102-9 102-10 102-11 102-12 102-13 102-14 102-16 102-18 102-40 102-41 102-42 102-43 102-44 102-45 102-46 102-47 102-48 102-49 102-50 102-51 102-52 102-53 102-54 102-55 102-56 I. COMPANY Comments I Omissions Reference I Chapter Page(s) Overview of Pierer Mobility Overview of Pierer Mobility Overview of Pierer Mobility Non-financial report/ Overview of Pierer Mobility, Annual Report 2020/ schedule of equity holdings) Overview of Pierer Mobility, Group structure Annual Report 2020 Annual Report 2020 Our employees, Appendix Responsible Procurement Non-financial report/Group structure, Responsible Procurement; Annual Report 2020/ Management Report Company, Employees and society, Products and customers Business Compliance, Respect for Human Rights Our Stakeholders Introduction by the executive board Anti-Corruption and Fair Competition, Respect for Human Rights Annual Report 2020 Our Stakeholders Our Employees, Appendix Our Stakeholders Our Stakeholders Materiality Analysis and Key Sustainability Topics, Business Compliance Annual Report 2020 Materiality Analysis and Key Sustainability Topics Materiality Analysis and Key Sustainability Topics Key Sustainability Topics Worldwide, in 28 countries Management Report Management Report Only 1% of employees have a temporary contract, therefore no separate subdivision into permanent / temporary emplo- yment has been conducted. Employees by country (AT, DE) and by continent. Corporate Governance Report Around 98% of PIERER Mobility employees are subject to collective agreements. The Austrian requirements do not apply to subsidiaries in other countries. Consolidated financial statements No restatements have been necessary. 01/01/2020 - 12/31/2020 Report about FY 2019 yearly Imprint Reporting in accordance with GRI standards: "Core“ option. First achieved in 2020. About this report Independent Assurance Report Appendix About this report, Appendix 6 6 6 6, 181-183 6, 7 88-110 88-110 23, 59 40 40, 88-110 6,23,49 18,19 11 4 18,19 11 23,59 11 11 16,18 from 111 16 16 16 71 2 56,64 2,69

66 GRI-Standard 103 103-1 103-2 103-3 403 403-1 Description Management approach 2016 Explanation of the material topic and its boundary The management approach and its components Evaluation of the management approach Occupational health and safety 2018 Occupational health and safety management system 2018 403-2 Hazard identification, risk assessment and incident investigation 403-3 Occupational health services 403-4 403-5 403-6 403-7 403-9 Worker participation, consultation and communication on occupational healthand safety Worker training on occupational health and safety Promotion of worker health Prevention and mitigation of occupational health and safety impacts directly linked by business relationships Work-related injuries Education and Training 103 103-1 103-2 103-3 404 404-1 Management approach 2016 Explanation of the material topic and its boundary The management approach and its components Evaluation of the management approach Training and Education 2016 Average hours of training per year per employee III. ENVIRONMENT AND RESOURCES, INNOVATION AND PRODUCTION Research & Development 103 103-1 103-2 103-3 Own indicator Own indicator Management approach 2016 Explanation of the material topic and its boundary The management approach and its components Evaluation of the management approach R&D-employees in the reporting period (average) R&D-quota in percent from revenues 103 103-1 103-2 Local employment: responsible procurement Management approach 2016 Explanation of the material topic and its boundary The management approach and its components Evaluation of the management approach Procurement practices 2016 Proportion of spending on local suppliers 103-3 204 204-1 Energy efficiency Comments I Omissions Reference I Chapter Page(s) All legal requirements regarding occupational safety and health protection are implemented in accordance with the provisions of the Employee Protection Act and the Work Equipment Ordinance. In addition, compliance with machine guidelines, dust/noise and screen exposure guidelines is ensured, especially in work areas with an increased risk of danger/accident and injury. The risk assessment of work areas and the documentation are carried out on the basis of regular evaluations by the external safety expert (“ASZ Linz“, “Intergeo“) in cooperation with the in-house safety officers. Cooperation with occupational health service providers „ASZ Linz“, „Intergeo“ (company physicians, qualified health and nursing staff, occupational psychologist, ergonomists). Our Employees, Occupational Safety and Employee Health Our Employees, Occupational Safety and Employee Health Our Employees, Occupational Safety and Employee Health 23,25 23,25 23,25 Occupational Safety and Employee Health 25 Stakeholder, Occupational Safety and Employee Health 11,25 Occupational Safety and Employee Health Occupational Safety and Employee Health Occupational Safety and Employee Health Occupational Safety and Employee Health 25 25 25 25 No work-related fatalities in the reporting periods 2018 and 2019, and one work-related fatality in 2020. Accident figures for employees of external companies are available. Occupational Safety and Employee Health, Appendix 25, 60 Education and Training Education and Training Education and Training Education and Training Education and Training, Appendix Research & Development Research & Development Research & Development R&D/ Employees & investments, Appendix R&D/ Employees & investments, Appendix Responsible Procurement Responsible Procurement Responsible Procurement 28 28 28 28 28,61 37 37 37 38,62 38,62 40 40 40 42 Purchasing volume in EUR and in % Procurement strategy and purchasing volume

68 GRI-Standard 414 414-1 Description Supplier social assessment 2016 New suppliers that were screened using social criteria 414-2 Negative social impacts in the supply chain and actions taken IV. PRODUCTS AND CUSTOMERS Alternative drive technologies 103 103-1 103-2 103-3 Road safety 103 103-1 103-2 103-3 103 103-1 103-2 103-3 416 416-1 416-2 Management approach 2016 Explanation of the material topic and its boundary The management approach and its components Evaluation of the management approach Management approach 2016 Explanation of the material topic and its boundary The management approach and its components Evaluation of the management approach Management approach 2016 Explanation of the material topic and its boundary The management approach and its components Evaluation of the management approach Customer health and safety 2016 Assessment of the health and safety impacts of product and service categories Incidents of non-compliance concerning the health and safety impacts of products and services Comments I Omissions Reference I Chapter Page(s) Qualitative description; reporting process currently gets established. (Currently, it is not possible to specify the percentage of suppliers evaluated). Regular checks of suppliers prior to project approval also ensure that social aspects are taken into account. We were not aware of any negative effects in the reporting year. Responsible Procurement Responsible Procurement R&D, Product Use and Recycling/Activities in the field of vehicles with electric powertrains R&D, Product Use and Recycling/Activities in the field of vehicles with electric powertrains R&D, Product Use and Recycling/Activities in the field of vehicles with electric powertrains Product Quality and Product Safety/ Due diligence process Product Quality and Product Safety/ Due diligence process Product Quality and Product Safety/ Due diligence process Product Quality and Product Safety Product Quality and Product Safety Product Quality and Product Safety Product Quality and Product Safety/ Assembly Product Quality and Product Safety/ Due diligence process Each and every vehicle component is checked according to an inspection plan. Every vehicle or engine undergoes a complete functional check on the test bench. No vehicle can leave production without passing the test. The check is carried out on 100% of the vehicles. In the reporting period, there was a recall in connection with safety risks for a KTM and for a Husqvarna motorcycle model. In the reporting year, we are not aware of any incidents involving fines or penalties, and no warnings were issued. 40 40 37,54 37,54 37,54 49 49 49 49 49 49 50 49

70 Evaluation of the consistency of the Austrian Sustainability and Diversity Improvement Act (§ 267a UGB) and the GRI Standards, Option "Core" to disclosures and indicators of the NFI report, which apply to the Company; Evaluation of the overall presentation of the disclosures by critically reading the NFI report. The procedures that we performed do not constitute an audit or a review. Our engagement did not focus on revealing and clarifying of illegal acts (such as fraud), nor did it focus on assessing the efficiency of manage- ment. Furthermore, it is not part of our engagement to audit future-re- lated disclosures, prior year figures, statements from external sources of information, expert opinions or references to more extensive external reporting formats of the Company. Disclosures audited within the scope of the annual financial statement were assessed for correct presentation (no content examination). Conclusion Based on the procedures performed and the evidence we have obtained, nothing has come to our attention that causes us to believe that the NFI report of the Company is not in accordance with the legal requirements of the Austrian Sustainability and Diversity Improvement Act (§ 267a UGB) and the sustainability reporting guidelines of the Global Reporting Initiative (GRI Standards) Option "Core" in all material respects. Restriction on use Because our report will be prepared solely on behalf of and for the benefit of the principal, its contents may not be relied upon by any third party, and consequently, we shall not be liable for any third party claims. We agree to the publication of our audit certificate together with the NFI report. General Conditions of Contract Our responsibility and liability towards the Company and any third party is subject to paragraph 7 of the General Conditions of Contract for the Public Accounting Professions. Linz, 12 March 2021 KPMG Austria GmbH Wirtschaftsprüfungs- und Steuerberatungsgesellschaft Dr. Helge Löffler Wirtschaftsprüfer (Austrian Chartered Accountant) This English language independent assurance report is a translation provided for information purposes only. The original German text shall prevail in the event of any discrepancies between the English translation and the German original. We do not accept any liability for the use of, or reliance on, the English translation nor for any errors or misunderstandings that may derive from the translation.

PIERER Mobility AG Edisonstraße 1 4600 Wels, Austria www.pierermobility.com