NATIXIS - Universal registration document and financial report 2019

NON-FINANCIAL PERFORMANCE REPORT Managing environmental, social and governance risks

Managing environmental, 6.4 social and governance risks

Incorporating ESG criteria 6.4.1 in financing operations and investments Environmental, Social and Governance (ESG) risks are factored into financing and investment activities as part of a global approach involving the business lines, the ESR Department and the control functions. The approach includes drafting and applying ESR policies in the most exposed sectors, determining excluded sectors, and assessing and monitoring ESG risks on transactions and counterparties using various tools and processes.

Coal industries On October 15, 2015, Natixis undertook to stop financing coal-fired power plants and thermal coal mining around the world. It also undertook to no longer provide general-purpose corporate financing to companies for which coal-fired power plants or thermal coal mines account for over 50% of their activity. This pledge was translated into a sector policy applying to its financing, advisory, and capital markets activities and to its other products and services. It also applies to investments made by Ostrum, for all directly managed portfolios, and to Natixis Assurances, for all general-purpose funds. Both Ostrum and Natixis Assurances have stopped investing in industrial companies deriving 50% or more of their business from coal-fired power plants and/or thermal coal mining. Mirova prohibits all investments in the fossil fuel sector.

Implementation of ESR policies in sensitive sectors

ESR policies have been drawn up and included in the risk policies applied by the business lines working with the most sensitive sectors. These policies cover the following sectors:

2019 KEY EVENT Lowering of the limit from 50% to 25% in the coal sector

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Natixis published a new, tougher coal policy on June 28, 2019, extending its exclusion criteria to all infrastructure projects (ports, railways and any other infrastructure or facility) linked to thermal coal. It also lowered the exclusion threshold, which now applies to financing or investing in companies deriving 25% or more of their business from coal-related activities (previously 50%). https://www.natixis.com/natixis/jcms/lpaz5_8537/fr/integrer-les-risques-environnementaux-et-sociaux-dans-nos-metiers

At the end of 2019, Natixis had no outstanding financing exposure to thermal coal mining activities and only residual exposure to coal power plant and coal infrastructure financing.

sector policy published in June 2018. This policy, which is available for consultation on the Natixis website, extends the scope of arms excluded by the Group and sets specific criteria for conducting transactions, notably with respect to arms exporting and importing countries. The policy also applies to investment operations undertaken by Natixis, Ostrum, and Natixis Assurances. For more information: https://www.natixis.com/natixis/jcms/ lpaz5_8537/fr/integrer-les-risques-environnementaux-et-sociaux- dans-nos-metiers

Defense

Since March 2009, Natixis has prohibited financing, investment and offers of services to companies involved in manufacturing, storing or trading anti-personnel mines and cluster bombs. The commitment made by Natixis in March 2009 was extended to include a Defense

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NATIXIS UNIVERSAL REGISTRATION DOCUMENT 2019