NATIXIS - Universal registration document and financial report 2019

NON-FINANCIAL PERFORMANCE REPORT Business line contributions to green and sustainable growth

Social impact finance 6.3.1.5 Natixis supported the development of several emblematic social impact financing solutions in 2019 including a sustainable bond issue with a major social impact and a fixed income structured product. Sustainable bonds raise funds that may only be used to finance or refinance a series of green or social projects (only social projects for social bonds). The projects financed by social bonds and sustainable bonds include vital infrastructure such as access to clean water, access to basic services like education, and maintaining or developing employment. Since the ICMA launched the Social Bonds Principles in 2017, the volume of social bonds has increased by 41%, rising from $7.9 billion in 2017 to $11.1 billion at year-end 2018. (1) The market is growing fast but it remains small in relation to the green bonds market. Natixis arranged the issuance of nine sustainable and social bonds in 2019.

Inclusion of social criteria in the Ghana Cocoa Board’s sustainable term loan Natixis co-arranged a sustainable term loan for the Ghana Cocoa Board. This new $300 million loan over three years includes a margin adjustment mechanism based on environmental and social goals. Greater awareness of child labor and empowerment for women through education programs and community support are part of the goals. This deal is one of the first in this sector to encourage environmentally friendly production techniques and improve farmers’ livelihoods.

2019 KEY EVENT Action Logement issues its first sustainable bond for €1 billion

Natixis was lead manager for the first sustainable bond issue by Action Logement, an organization run jointly by the government, employers and unions which finances low cost housing in France. The bond raised €1 billion over 15 years. It will finance the commitments made by employers and union bodies under the €9 billion voluntary investment plan signed with the government in April 2019. The funds raised will finance and refinance social and green projects, for example, the construction and renovation of social housing. The net proceeds will fund contributions to public policy, assistance and services for individuals, and social and capped-rent housing schemes in France.

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https://about.bnef.com/blog/social-bond-market-tops-11-billion-financials-wake/ (1)

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NATIXIS UNIVERSAL REGISTRATION DOCUMENT 2019