CapitaLand Integrated Commercial Trust - Annual Report 2021

REPORTING SCOPE AND PERIOD This report covers CICT’s portfolio of 22 Singapore properties comprising 11 malls, six offices and five integrated developments as well as two German office properties from 1 January to 31 December 2021. OUR COMMITMENT AND APPROACH As a CapitaLand Investment-sponsored Real Estate Investment Trust (REIT), CICT is managed externally by wholly owned subsidiaries of CapitaLand which include the Manager (CICTML) and Property Managers who oversee the daily property operations. The Manager and Property Managers are responsible for the Trust, property and portfolio operations of CICT, and their respective teams are identified as employees of the Trust. The Manager and the Property Managers abide by CapitaLand’s sustainability framework, policies and guidelines, as well as ethics and code of business conduct. Adhering to CapitaLand’s core values, CICT’s sustainability objectives and strategies are aligned with CapitaLand’s credo, ‘Building People, Building Communities’. CICT upholds this approach and implements it across human capital strategies, asset and portfolio strategies, operations management, stakeholders’ engagements and community development. In a fast-evolving business landscape, we actively embrace innovation to ensure commercial viability without compromising the environment for future generations. CICT maintains high standards of corporate governance and transparency to safeguard Unitholders’ interests. As a testament of our efforts to strengthen environmental, social and governance (ESG) standards, CICT is listed in ESG indices such as FTSE4Good Index Series, iEdge ESG Leaders Index and iEdge ESG Transparency Index. Board Statement At CICT, sustainability is at the core of everything we do. We are committed to growing in a responsible manner, delivering long term economic value, and contributing to the environmental and social well- being of our communities. The material environment, social and governance (ESG) factors have been identifiedwith set targets for 2030, in alignment with CapitaLand 2030 Sustainability Master Plan. This will be reviewed by the Board of the Manager of CICT together with management every two years. CICT’s ESG plan steers our efforts on a common course to maximise impact through building a resilient and resource efficient real estate portfolio, enabling thriving and future-adaptive communities, and accelerating sustainability innovation and collaboration. Ambitious ESG targets have been set which include carbon emissions reduction targets validated by the Science Based Targets initiative (SBTi). The Board of the Manager of CICT is responsible for overseeing the Company’s sustainability efforts, and takes these ESG factors into consideration in determining its strategic direction and priorities. The Board also approves the executive compensation framework based on the principle of linking pay to performance. The Manager’s business plans are translated to both quantitative and qualitative performance targets, including sustainable corporate practices. Annual Report 2021 31 Sustainability Approach