AIRBUS - 2020 Universal Registration Document

1. Information on the Company’s Activities /

1.2 Non-Financial Information

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The Executive Committee is supported by several committees or boards linked to our four sustainability commitments. The Environment Executive Steering Committee, the Inclusion & Diversity Board as well as the Product Safety Board. Other sustainability topics are brought directly to the attention of the Executive Committee without first being discussed in specific committees or boards.

Under the Board Rules, the Board of Directors delegates the day- to-day management of the Company to the CEO, who, supported by the Executive Committee makes decisions with respect to the management of the Company, including sustainability. The Executive Committee has the responsibility to provide top level expectations and direction while overseeing and validating the sustainability strategy. This entails validating sustainability targets including those integrated into the Top Company Objectives.

Board of Directors

Ethics, Compliance & Sustainability Committee

Executive Committee

Environment Executive Steering Committee

Inclusion & Diversity Advisory Board

Product Safety Board

Human Rights, Health & Safety, Ethics & Compliance: direct cascading of topics to the EC

Reporting In regards to overall sustainability reporting the Company has chosen to report against the Global Reporting Initiative (“ GRI ”) standards. Not only are these standards one of the most internationally used and recognised reporting standards today, but their intent is to answer the needs of a variety of stakeholder groups, which is also aligned with the Company’s focus on stakeholder engagement and dialogue. Furthermore, as a member of the UN Global Compact since 2003, the Company submits annually its Communication on Progress and has reached “Advanced Level”. You will find these issues covered within the following Sections of this chapter: – – Lead the journey towards clean aerospace: – – 1.2.2 Environment (“environmentally responsible products” and “environmental management of operations” in thematrix); – – Build our business on the foundation of safety and quality (1) : – – 1.2.3(a) Aviation and Product Safety (“product quality & responsibility” in the matrix), – – 1.2.4(a) Human Rights (“responsible employer” in the matrix), – – 1.2.4(b) Inclusion and Diversity (“responsible employer” in the matrix), – – 1.2.4(c) Labour Relations (“responsible employer” in the matrix), – – 1.2.4(d) Workforce (“responsible employer” in the matrix), – – 1.2.5 Exemplify business integrity : Ethical business practices (“business culture & leadership” in the matrix), – – 1.2.6 Responsible supply chain (“responsible supply chains” in the matrix), and – – 1.2.7 Community engagement (“community impact” in the matrix). – – 1.2.3(b) Health and Safety (same in the matrix); – – Respect human rights and foster inclusion:

On the organisational front, an impor tant step came in January 2020 when the former Responsibility & Sustainability and Environmental Af fairs departments merged to create one new integrated depar tment, named Sustainabi l ity & Environment. The aim is to leverage the expertise of the former Environmental Affairs team in regulatory monitoring and management systems to accelerate the overall sustainability ambitions of the Company. Within this new department, a dedicated “Develop & Engage” teamwas created to help develop a greater coordination and advancement of sustainability policies, objectives, and roadmaps across countries, Divisions, affiliates and regions. It also aims to develop global plans for employee engagement in sustainability and for employee involvement in local communities. The Company also believes the integration of sustainability criteria in its reward mechanisms is an important enabler for accelerating i ts sustainabi l i ty ambi tions. In 2020, the Company integrated a sustainability component into the Common Collective Component of the CEO’s Variable Remuneration, accounting for 20% of the payout. This principle also applied to the other members of the Executive Committee who do not serve on the Board of Directors, and to a large extent to all Executives employed at the Company. As for employees below senior manager level, sustainability criteria has been integrated as part of the operational targets impacting the payout of success sharing schemes which are implemented in the Company in more than 30 countries. For more details regarding the Company’s remuneration schemes, see “– Corporate Governance – 4.2 Remuneration Policy”.

(1) See section 1.1.8 for Research & Technology (“technology and innovation” in the matrix).

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Airbus / Registration Document 2020