BPCE - 2018 Registration document

2 NON-FINANCIAL PERFORMANCE REPORT A CSR strategy aimed at incorporating sustainable development in our business lines and decision-making processes

dialog with stakeholders, - ethics, principally by defining behavioral values and standards - and publishing a code of conduct; mobilizing company directors and employees: incorporating CSR ● indicators in the company director dashboard, analyzing opportunities to include CSR criteria in the pay system, and continuing to offer training sessions on CSR and cooperation; Group communication and visibility on CSR: establishing an ● internal and external communication plan focused on CSR, and extensively incorporating CSR in financial communications. CSR data will also continue to be included in the Group’s open data system (https://bpce.opendatasoft.com/pages/home/).

Qualitative oversight In addition to tracking several existing projects from a quantitative standpoint, the Group has undertaken to complete the following projects by 2020 under the TEC 2020 strategic plan in conjunction with the federations: measuring the impact of Groupe BPCE institutions on the ● economic landscape of their regions, while developing accurate teaching tools and programs; incorporating ESG criteria into risk policies and publishing sector ● policies on Group activities; structuring mechanisms dedicated to: ● skills sponsorship, - action plans targeting vulnerable customers, -

Our achievements in 2018

Strategic projects

2018 achievements

drafting of customizable flowcharts: money flows (savings/loans), value breakdown (regional approach) for publication in - the Banque Populaire and Caisses d’Epargne annual reports; measurement of the socio-economic impact of Groupe BPCE’s purchases and reporting to the procurement and CSR - departments with details by FTE and the wealth contributed to the French economy. simplification and extension of the range of responsible investment products by Mirova and Ostrum Asset Management - (Natixis); presentation of projects for the renovation and extension of the responsible investment range to the Group Cooperative - and CSR Committee in December 2018: real estate professionals, financing for renewable energy sources, public sector and professionals market. launch of the Campus e-learning training program on purchasing from companies working with disabled persons for the - Procurement and HR departments (disability officers) and review of participation rates; renewal of the Responsible Supplier Relations and Procurement certification for three years for BPCE SA group, Banque - Populaire Grand Ouest, Caisse d’Epargne Bretagne Pays de Loire and Caisse d’Epargne Grand Est Europe, in cooperation with BPCE Procurement. To date, nine Group companies have been certified; reporting of results of the assessment of the socio-economic footprint of Groupe BPCE’s purchases and - communication to the Procurement and CSR departments; development of the CSR risk mapping tool, presentation of the action plan to the Procurement and CSR departments, - launch of the co-construction of the training module by the responsible procurement working group, survey of supplier payment deadlines in Group companies. building of Caisses d’Epargne and Banque Populaire action plans for vulnerable customers and rollout across the - networks with the goal of increasing take-up of solutions for vulnerable customers (OCF range) by 30% between 2017 and 2019; signing of a new agreement with France Active (a non-profit organization supporting business creation) covering - microloans for individual and professional customers; Finances & Pédagogie money management courses for the general public. - construction of a climate performance oversight matrix for Group entities including the corresponding best practices; - approval of an action plan for reducing our emissions in procurement, transport and responsible digital practices; - contribution to Net Zero, an industry-wide carbon neutral initiative aimed at establishing a methodology for companies - seeking to achieve a challenging, credible, and harmonized net zero carbon footprint. financing for renewable energy projects: developing biogas, updating the risk policy on other renewable energy sources; - integration of ESG criteria in all retail banking sector lending policies; publication by Natixis of its CSR policy for the - defense, oil and gas sectors; support for the sustainable food industry: creation of a dedicated fund; support for farmers and wine producers by the - Banque Populaire network: development of the direct-to-customer offer, drought management plans, etc. application of the Green Weighting Factor, an internal capital allocation model that adapts the expected return on - different financing solutions depending on their impact on the environment and climate change by using a favorable or adverse adjustment to weighted assets; issue of the first local economic development bond, in the form of a senior preferred bond totaling €1.25 billion. - rollout of a tool box to assist with the drafting of the non-financial performance report for all Group entities and proposal - of a standard mapping of stakeholders; ongoing work to improve the accuracy of IT reporting packages; - finalization of a Q&A book on key CSR topics. - adaptation of the strategic plan with the Banque Populaire and Caisses d’Epargne federations ( Faites de la Coopération - event, training for directors, etc.); support for the networks with training in CSR, the carbon review and reporting. - design of a communication system centered on the CSR strategy, primarily through a name and visual identity reflecting - the Group’s CSR engagement: Fair(e) autrement (a different approach to CSR); participation in work done by the ORSE (Corporate Social Responsibility Observatory) and the Global Compact. -

Measuring and promoting the local

1.

socio-economic footprint

Responsible savings

2.

Developing responsible procurement

3.

Inclusive finance

4.

Reducing direct environmental impacts

5.

Drafting a green growth strategy

6.

Sustainability reporting and ratings

7.

Raising awareness of reporting and CSR

8.

Communication and CSR

9.

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Registration document 2018