Fifth Third Bancorp

Lobbying Governance

AI Extracted Evidence Snippet Source

###### About This Report

Fifth Third's 2022 Sustainability Report aims to provide transparency into how we activate our purpose: to improve the lives of our customers and the well-being of our communities.

Since our 2019 ESG Report four years ago, we have been reporting in accordance with the Sustainability Accounting Standards Board sustainable industry classification system for Commercial Banks, Consumer Finance and Mortgage Finance. In addition, we have been reporting on Global Reporting Initiative Standards' core option, which includes general disclosures as well as topic-specific disclosures relevant to Fifth Third. In February 2022, we published our second Task Force on Climate-related Financial Disclosures Report to continue disclosing progress made in our climate journey. In our 2020 ESG Report, we expanded our reporting to include the Stakeholder Capitalism Metrics recommended by the World Economic Forum. Refer to the Appendix for details.

Fifth Third is committed to accuracy and transparency in this report. Our data governance process uses the three lines of defense methodology (see Page 106 for details) for accountability and managing risks. This includes certifications from the content contributors who constitute the first line of defense. The report is reviewed by legal and other second line of defense functions and also is subject to review as part of the Company's audit program (third line of defense). The report is reviewed and overseen through governance committees, including the ESG Disclosure Council, Sustainability Committee, Nominating and Corporate Governance Committee and the Board of Directors. Data in this report covers Jan. 1 through Dec. 31, 2022, unless otherwise noted, and the narrative may include updates in 2023 where applicable."

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"###### Public Policy and Government Relations

Fifth Third's Public Policy and Government Relations team is responsible for monitoring and engaging on public policy issues that are significant to the Bank's business and stakeholders. The team works with policymakers, trade associations and other stakeholders to advocate for policies that support the Bank's ability to serve customers and communities. The team also monitors and engages on public policy issues that are significant to the Bank's business and stakeholders."

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"###### Responsible Banking

Fifth Third's Community Reinvestment Act and Responsible Banking Committee is responsible for guiding enterprise-wide CRA and responsible conduct strategies and policies. The committee facilitates high-level direction to consumer and commercial lines of business consistent with such strategies and policies. The committee also seeks to promote a corporate culture that supports Fifth Third's commitment to both the letter and spirit of the CRA and other laws and regulations that prohibit behavior and practices that could be deemed unethical, discriminatory or predatory in nature, as well as unfair, deceptive or abusive acts or practices known as UDAAP.

The CRA and Responsible Banking Committee is led by the consumer and business practices senior compliance director and the chief community impact banking officer of Fifth Third Bank. Membership comprises leadership from the lines of business; the Legal, Risk, and Fair Lending departments; as well as community development representatives. The committee's responsibility is delegated from the Board of Directors, which oversees the committee's actions through the Enterprise Risk Management Committee."

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"###### Sustainability Committee

In 2020, the Nominating and Corporate Governance Committee of the Board of Directors established the Sustainability Committee (previously named Environmental, Social and Governance Committee) with a charter to provide oversight and review of the Bank's policies, programs, practices, strategies and approach to ESG topics. In 2022, the Sustainability Committee's membership was elevated to include the President and CEO, as well as other members of the senior executive leadership team.

Updates on ESG topics are regularly given to the NCG Committee as well as to the Board of Directors through the year.

**Members of the Sustainability Committee:**

- Chief Corporate Responsibility Officer (chair)

- Chief Community Impact Banking Officer

- Chief Credit Officer

- Chief Legal Officer

- Chief Risk Officer

- Chief Sustainability Officer

- Group Regional President and Head of Wealth & Asset Management

- Head of Commercial Bank

- Head of Consumer Banking

- Head of Enterprise and Non-Financial Risk

- President and CEO

- Senior Deputy General Counsel

- Senior Director, Investor Relations

- Chief Audit Executive (non-voting member)"
"Fifth Third's advocacy efforts are executed at the local, state and federal level by registered lobbyists. Disclosure of federal lobbying activity occurs via the U.S. Congress, and disclosure of other lobbying activity is provided to appropriate local and state agencies as required by law. Fifth Third's Political Action Committees support candidates at the federal, state and local level. Funds in the PACs consist of voluntary personal contributions from eligible officers of the Company and its subsidiaries. No Company funds are contributed to the PAC. Disclosure of federal PAC activity can be viewed at fec.gov and our website. Disclosure of PAC activity at local and state levels is provided to state election authorities in compliance with applicable law and on our website. Fifth Third's political contributions are governed by the Government Affairs Policy. The Nominating and Corporate Governance Committee of the Board reviews political contributions semiannually and approves the policy annually. Fifth Third also maintains a Political Activity Policy that ensures the compliance of the Bank and its employees with laws and regulations governing political contributions.

https://ir.53.com/files/doc_downloads/2023/2022-sustainability-report.pdf

###### Public Policy and Government Relations

Fifth Third is subject to government regulation and risks generated by new, complex and evolving legislative and regulatory requirements that impact nearly every aspect of our operations.

As a result, customers, employees and shareholders have a measurable stake in the outcome of certain public policy discussions. To mitigate this risk and work toward favorable outcomes, we participate in the public policy process. Our government affairs program is designed to give us a coordinated voice in public policy through a partnership between the Government Affairs team and Company leaders.

Fifth Third's advocacy efforts are executed at the local, state and federal level by registered lobbyists. Disclosure of federal lobbying activity occurs via the U.S. Congress, and disclosure of other lobbying activity is provided to appropriate local and state agencies as required by law. Fifth Third's Political Action Committees support candidates at the federal, state and local level.

Funds in the PACs consist of voluntary personal contributions from eligible officers of the Company and its subsidiaries. No Company funds are contributed to the PAC. Disclosure of federal PAC activity can be viewed at fec.gov and our website. Disclosure of PAC activity at local and state levels is provided to state election authorities in compliance with applicable law and on our website.

Fifth Third's political contributions are governed by the Government Affairs Policy. The Nominating and Corporate Governance Committee of the Board reviews political contributions semiannually and approves the policy annually. Fifth Third also maintains a Political Activity Policy that ensures the compliance of the Bank and its employees with laws and regulations governing political contributions.

https://ir.53.com/files/doc_downloads/2023/2022-sustainability-report.pdf

Describe the process(es) your organization has in place to ensure that your engagement activities are consistent with your overall climate change strategy[…]The Climate Risk Council is chaired by the climate risk officer and was established in 2021 to coordinate the effective identification, management and reporting of climate-related risks impacting the Bank, and to support appropriate awareness and training efforts. The council will also directly oversee the work of the four climate-related risk working groups:
— Climate Scenario Analysis Working Group.
— Climate Governance Working Group.
— Climate Metrics and Data Working Group.
— Environmental & Social Due Diligence Working Group.

Members of the the Climate Risk Council and their teams participate in the trade association discussions and provide the council with periodic updates as necessary.

CDP Questionnaire Response 2022

Does your organization have a public commitment or position statement to conduct your engagement activities in line with the goals of the Paris Agreement?[…]No, and we do not plan to have one in the next two years

CDP Questionnaire Response 2023