China CITIC Bank Corp Ltd

The Bank has set up a three-level sustainable development management structure consisting of the Board of Directors, the Senior Management and the Working Level to consistently promote sustainable development in all fronts.  Board of Directors: As the strategic leadership, the Board of Directors supervises and guides the work concerning ESG topics such as green finance, inclusive finance, rural revitalization, protection of consumer rights, and protection of data and privacy, incorporates relevant topics into the bank-wide strategic planning, and regularly evaluates the plan implementation. The Strategic and Sustainable Development Committee of the Board of Directors is responsible for coordinating the development of the Bank's ESG system, reviewing ESG-related work reports, and promoting the implementation of other ESG-related work required by regulators.  Senior Management: The special committees under the Senior Management are the management organs of relevant ESG topics. They are responsible for leading the making and routine management of the development plans on ESG-related topics and supervising ESG-related risk management in conducting business. In 2023, the Bank established a Market Value and ESG Management Working Group, led by the Vice President, to coordinate and promote the ESG efforts throughout the Bank.  Working Level: The Board of Directors Office leads the ESG management of the whole Bank. It is responsible for advancing the building of ESG-related systems and mechanisms, preparing sustainability reports, and planning and organizing ESG trainings and education campaigns. The Head Office departments, branches and subsidiaries are responsible for the daily management of sustainable development, and the management of sustainable development topics based on the division of responsibilities.

The Strategy and Sustainable Development Committee of the Board of Directors is responsible for the deliberation of the development strategies, objectives and reports of green finance, and the supervision and evaluation of the implementation of green finance. The Bank set up a green finance leading group headed by the President to make overall plan for the management and promotion of the whole bank's green finance business, formulate strategies and objectives for green finance business development and guide the implementation of green finance business. [...] In 2022, the Bank held the green finance leading group meeting, which further clarified that developing green finance is an important development strategy of the Bank. At present, the Bank is gradually improving the organizational mechanism, mission objectives, medium-and long-term planning, resource allocation and other aspects of green finance. Through the joint efforts of all business sectors and deepened group synergy, the Bank is committed to building a comprehensive green financial services system in all respects.

Improvement of organizational structure: In 2014, the Group introduced a human resources organizational structure and job responsibility consulting services for CSR management. Per requirements of job description relating to social responsibility positions, the Bank is suggested to establish the \"Corporate Culture Section\" under the Supervisory Department at the Head Office to take charge of social responsibility management. As at the end of 2014, the Bank had 73 social responsibility staffs, including 2 full-time managerial persons, 40 persons working at corresponding social responsibility positions at the branches, and 31 persons that work concurrently at other Head Office departments. The Group organized a special training on management of social responsibility for those working on specialized social responsibility positions at the branches, further building up capacity of these specialized persons for social responsibility work.\n\nSetting CSR performance evaluation indicators: The Group earnestly performed its social responsibility in the reporting period. For the first time in its history, the Group incorporated \"social responsibility\" into the performance evaluation indicators of its branches. The \"social responsibility\" indicator includes two sub-indicators, namely, service quality and the \"two minimums\" for small and micro enterprises. The \"service quality\" sub-indicator evaluates retail banking service quality of branches and aims at better evaluation guidance for higher service quality. It covers two components, namely, \"third-party mysterious customer monitoring\" and \"number of outlets placed on the list of 1,000 Best Role Model Units\". Loans to small and micro enterprises should meet the \"two minimums\" requirement, i.e., growth rate being no lower than the average growth rate of all loans, and incremental amount being no less than that of the previous year. The indicators focus on guiding branches to increase their credit support to small and micro enterprises.\n\nUniformed management of donations: The Bank reinforced uniformed management of outbound donations in line with the _Measures of China CITIC Bank for Management of_ _Outbound Donations_ and the implementation rules. In 2014, and continuous implementation of uniformed budgetary management of outbound donations. The Bank further standardized outbound donations bank-wide. In 2014, the Bank approved 11 outbound donation projects. and rejected 3 donation application that do not meet the Bank's requirement.\n\nFull coverage data collection: The Group further reinforced management of social responsibility. For the first time in its history, the Group collected data on social responsibility reports from all branches, sub-branches and affiliates. In accordance with the _Measures of China CITIC Bank for Management of_ _Social Responsibility Reporting, the Group further optimized_ channel management, statistical definition and process management of social responsibility, and institutionalized and normalized the model of having branches and sub-branches submit social responsibility data to the Head Office on a quarterly basis. These improved truthfulness and traceability of the Group's social responsibility data.\n\nInsistence on third-party assurance: Since 2009, the Group has disclosed its CSR reports on a regular basis, and has engaged KPMG Huazhen (Special General Partnership) to conduct independent limited assurance of the reports, review the truthfulness of important statements and key data in the reports, and produce opinions and recommendations regarding the Group's management of social responsibility. In 2014, KPMG Huazhen (Special General Partnership) put forward 16 opinions and recommendations regarding the Group's management of social responsibility all of which have been remedied or responded to by the Group in its ordinary and usual course of work.\n\nParticipation in rating: For four consecutive years since 2010, the Group has engaged the Headquarters of the Global Reporting Initiative (GRI) to rate its social responsibility reports, gaining one B+ and three A+ ratings.

The Bank has set up a three-level sustainable development management structure consisting of the Board of Directors, the Senior Management and the Working Level to consistently promote sustainable development in all fronts.  Board of Directors: As the strategic leadership, the Board of Directors supervises and guides the work concerning ESG topics such as green finance, inclusive finance, rural revitalization, protection of consumer rights, and protection of data and privacy, incorporates relevant topics into the bank-wide strategic planning, and regularly evaluates the plan implementation. The Strategic and Sustainable Development Committee of the Board of Directors is responsible for coordinating the development of the Bank's ESG system, reviewing ESG-related work reports, and promoting the implementation of other ESG-related work required by regulators.  Senior Management: The special committees under the Senior Management are the management organs of relevant ESG topics. They are responsible for leading the making and routine management of the development plans on ESG-related topics and supervising ESG-related risk management in conducting business. In 2023, the Bank established a Market Value and ESG Management Working Group, led by the Vice President, to coordinate and promote the ESG efforts throughout the Bank.  Working Level: The Board of Directors Office leads the ESG management of the whole Bank. It is responsible for advancing the building of ESG-related systems and mechanisms, preparing sustainability reports, and planning and organizing ESG trainings and education campaigns. The Head Office departments, branches and subsidiaries are responsible for the daily management of sustainable development, and the management of sustainable development topics based on the division of responsibilities.