Power Corporation: Power of Canada : 2023 ESG Index (bpcc 2023 esg index eng final)

2023 ESG Index 2023 ESG INDEX The content of this ESG index has been informed by stakeholder requests, as well as by international standards on ESG reporting, including the Global Reporting Initiative (GRI) Sustainability Reporting Standards, the Sustainability Accounting Standards Board (SASB) Standards, the World Economic Forum's (WEF) "Measuring Stakeholder Capitalism: Towards Common Metrics and Consistent Reporting of Sustainable Value Creation" whitepaper, and the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD). AIF : Annual Information Form AR : Annual Report CDP : Response to the CDP Climate Change questionnaire MPC : Management Proxy Circular UNGC CoP : United Nations Global Compact Communication on Progress Information/ Page SASB GRI WEF TCFD Description location number indicator indicator indicator indicator GENERAL DISCLOSURES The organization and its reporting practices Organizational details Power Corporation of Canada / Power Corporation du Canada 2-1 2023 AIF : Corporate Structure, General Development pages 6-14 of the Business, Narrative Description of the Business 2023 MPC : Voting Shares and Principal Holders Thereof page 8 Entities included in the organization's Sustainability website: Reporting 2-2 sustainability reporting 2023 ESG Data Tables : pages 3, 6-7, 11 Governance - Footnotes/Methodology Environment - Footnotes/Methodology Social - Footnotes/Methodology 2024 CDP : 7.4 pages 268-270 Reporting period, frequency and Sustainability website: Reporting 2-3a, 2-3c contact point Fiscal year (same as calendar year) 2-3b sustainability@powercorp.com 2-3d Restatements of information 2023 ESG Data Tables : Environment - Footnote f page 6 2-4a External assurance 2023 ESG Data Tables : Environment - Footnote c page 6 2-5b(ii) POWER CORPORATION OF CANADA ― 2023 ESG INDEX 2 Information/ Page SASB GRI WEF TCFD Description location number indicator indicator indicator indicator Activities and workers Activities, value chain and other business 2023 AR pages I, II, 3 2-6 relationships 2023 AIF : Corporate Structure, Business of Power, pages 6-8, 11-14 Narrative Description of the Business 2023 Modern Slavery Report pages 1-2 Employees 2023 ESG Data Tables : Social page 8 2-7 Governance Governance structure and composition 2023 MPC : Board of Directors, Committees' Mandates pages 64-65 2-9a, 2-9b Governance 1.a) and Memberships Sustainability website: Sustainability Governance 2024 CDP : 4.1.2 pages 77-83 2023 MPC : About the Directors, Independence of Directors, pages 16-32, 62-68 FN-AC-330a.1 2-9c ⚫ Board of Directors, Committees' Mandates and Memberships, Director Affiliation and Attendance, Nomination of Directors, Diversity of the Board of Directors, Nomination of Directors and Tenure 2023 ESG Data Tables : Governance Corporate website: Governance pages 2-3 Nomination and selection the highest 2023 MPC : Nomination of Directors, Diversity of the pages 67-68 2-10 governance body Board of Directors, Nomination of Directors and Tenure Chair of the highest governance body 2023 MPC : Chairman of the Board page 63 2-11 Role of highest governance body in Board of Directors Charter 2-12a ⚫ Governance 1.a) overseeing the management of the impacts Governance and Sustainability Committee Charter Corporate website: Strategic Planning 2024 CDP : 4.1.2 pages 77-83 Governance and Sustainability Committee Charter 2-12b Risk Management 3.a) 2024 MPC : Sustainability Approach page 72 and 3.c) Sustainability website: Stakeholder Engagement Corporate website: Risk Oversight 2024 CDP : 2.1, 2.2.1, 2.2.2, 2.2.5, 2.2.6, 2.2.8, 2.2.9 pages 21-29, 31-64 POWER CORPORATION OF CANADA ― 2023 ESG INDEX 3 Information/ Page SASB GRI WEF TCFD Description location number indicator indicator indicator indicator Delegation of responsibility for managing Corporate Sustainability Statement 2-13 Governance 1.b) impacts Sustainability website: Sustainability Governance 2024 CDP : 4.3 pages 86-91 Role of the highest governance body Sustainability website: Sustainability Governance 2-14a Governance 1.a) in sustainability reporting 2024 CDP : 4.1.2 pages 77-83 Conflicts of interest Code of Business Conduct and Ethics pages 5-6 2-15 Third Party Code of Conduct page 3 Related Party and Conduct Review Committee Charter Corporate website: Resolution of Conflicts Director Affiliations and Attendance Chair, Lead Director and CEO Position Descriptions Communicating critical concerns Code of Business Conduct and Ethics page 8 2-16a Sustainability website: Sustainability Policies-Reporting Mechanisms Sustainability website: 2023-2024 Highlights and Objectives 2-16b Collective knowledge of highest 2024 MPC : Orientation and Continuing Education, pages 68-69, 72 2-17 ⚫ Governance 1.a) governance body Sustainability Approach Evaluating the highest governance 2024 MPC : Assessment of Directors page 69 2-18 Governance 1.a) body's performance Sustainability website: Sustainability Governance Remuneration policies 2023 MPC : Compensation of Directors, pages 33-36, 37-59 2-19a ⚫ Executive Compensation Process for determining remuneration 2023 MPC : Approve a Non-Binding Advisory Resolution pages 15, 33-36, 37-59 2-20a on the Corporation's Approach to Executive Compensation, Compensation of Directors, Executive Compensation Annual Meeting of Shareholders, May 16, 2023, Report 2-20b of Voting Results (available under Power Corporation of Canada's profile on SEDAR+ ) POWER CORPORATION OF CANADA ― 2023 ESG INDEX 4 Information/ Page SASB GRI WEF TCFD Description location number indicator indicator indicator indicator Strategy, policies and practices Statement on sustainable development 2023 AR : Director's Report to Shareholders pages VIII-XIII 2-22 strategy Sustainability website: A Message from our CEO Policy commitments Code of Business Conduct and Ethics page 5 2-23 Corporate Sustainability Statement Third Party Code of Conduct Respectful Workplace Policy and Procedures Environmental Policy Responsible Procurement Policy Statement Privacy Policy AR 2023 : Risk Management page 52 Sustainability website: Sustainability Governance Sustainability Policies Human Rights 2024 UNGC CoP : Labour, Human Rights Embedding policy commitments Sustainability website: 2-24 Sustainability Governance Sustainability Policies Human Rights Investing Responsibly Environment Human Capital Management Shared Value Creation Mechanisms for seeking advice and concerns Code of Business Conduct and Ethics pages 8, 9 FN-AC-510a.2 2-26 ⚫ Global Anti-Bribery Policy page 5 Third Party Code of Conduct page 5 Lobbying Policy page 4 Sustainability website: Sustainability Policies-Reporting Mechanisms Compliance with laws and regulations 2023 ESG Data Tables : Governance page 3 FN-AC-510a.1 2-27 ⚫ Sustainability website: 2023-2024 Highlights and Objectives - Governance Membership associations 2024 CDP : 4.10, 4.11.2 pages 131-133, 138-164 2-28 POWER CORPORATION OF CANADA ― 2023 ESG INDEX 5 Information/ Page SASB GRI WEF TCFD Description location number indicator indicator indicator indicator Stakeholder engagement Approach to stakeholder engagement Sustainability website: Stakeholder Engagement 2-29 ⚫ Material topics Process to determine material topics Sustainability website: Sustainability Priorities 3-1 List of material topics Sustainability website: Sustainability Priorities 3-2 ⚫ Strategy 2.a) 2024 CDP : 2.1, 3.1 to 3.6 pages 21-23, 68-74 ECONOMIC Information/ Page SASB GRI WEF TCFD Description location number indicator indicator indicator indicator Economic Performance Management of material topics Sustainability website: 3-3 Sustainability Priorities 2023-2024 Highlights and Objectives SDG 8 - Decent Work and Economic Growth Shared Value Creation Financial implications and other risks and 2024 CDP : C2, C3 pages 21-67, 68-74 201-2 opportunities due to climate change Defined benefit plan obligations and other 2023 AR : Note 28 - Pension Plans and Other page 170 201-3a retirement plans Post-Employment Benefits 2023 AR : Note 28 - Pension Plans and Other pages 170, 173 201-3b Post-Employment Benefits 2023 AR : Note 28 - Pension Plans and Other page 169 201-3c Post-Employment Benefits Indirect Economic Impacts Management of material topics Sustainability website: 3-3 Sustainability Priorities 2023-2024 Highlights and Objectives SDG 8 - Decent Work and Economic Growth Shared Value Creation Community website: Our Approach POWER CORPORATION OF CANADA ― 2023 ESG INDEX 6 Information/ Page SASB GRI WEF TCFD Description location number indicator indicator indicator indicator Infrastructure investments and 2023 AR : Power Sustainable Energy Infrastructure page 32 203-1 ⚫ services supported Community website: Community Development Education Significant indirect economic impacts Sustainability website: 203-2 ⚫ Shared Value Creation Sustainable Development Goals Community website: Community Development Education Procurement Practices Management of material topics Responsible Procurement Policy Statement 3-3 Third Party Code of Conduct Sustainability website: Sustainability Priorities Creating Value for our Stakeholders Anti-Corruption Management of the material topics Code of Business Conduct and Ethics 3-3 Third Party Code of Conduct Anti-Bribery Policy Statement Global Anti-Bribery Policy 2023 AR : Operational Risk page 55 2023 ESG Data Tables : Governance page 3 2024 UNGC CoP : Anti-Corruption Sustainability website: Sustainability Priorities Sustainability Policies Operations assessed for risks related 2023 ESG Data Tables : Governance page 3 205-1 to corruption POWER CORPORATION OF CANADA ― 2023 ESG INDEX 7 Information/ Page SASB GRI WEF TCFD Description location number indicator indicator indicator indicator Employees having received training 2024 MPC : Orientation and Continuing Education, Ethical pages 68-69, 72 205-2 ⚫ on anti-corruption Business Conduct, ESG Awareness and Training 2023 ESG Data Tables : Governance Sustainability website: 2023-2024 Highlights