AL-SALAM REIT ANNUAL REPORT 2018

AL-SALĀM REIT ANNUAL REPORT 2018 69 Amateriality assessment is vital in identifying and prioritising sustainabilitymatters that may be inluential in determining the direction of REIT operations by the Manager. The sustainability matters are identiied from an Environment, Economic, Social and Governance (EESG) perspective. To ensure that the material sustainable matters remain substantial for this inancial year, a similar survey consisting of the material issues identiied in 2017 was assessed by the team comprising of the key personnel of the Manager and the guidance of an external consultant on behalf of the REIT. Overall, the team re-categorised the sustainability matters to ensure broader coverage and identiied new matters to be prioritised. The results of the materiality review are relected in the matrix below: # Material EESG matters 1 Procurement Practices (Value Chain) 2 Community Investment 3 Occupational Health & Safety 4 Regulatory Compliance 5 Risk Management 6 Corporate Governance 7 Water Management 8 Waste & Eluent Management 9 Energy Management 10 Labour Practices 11 Production & Services Responsibility 12 Supply Chain 13 Human Rights 14 Diversity 15 Financial Performance 16 Indirect Economic Impact 17 Anti-Corruption 18 Anti-Competitive Behaviour 19 Land Remediation, Contaminations or Degradation 20 Emissions To withhold the core principles of the REIT for sustainability, the Manager established ive key sustainability pillars. Listed below are the key sustainability pillars that are vital in ensuring that the actions taken by the Manager on behalf of the REIT support the overall sustainability objectives. Materiality Assessment Sustainability Pillars 18 16 15 19 17 20 203 4 2 7 8 6 1 5 11 12 10 9 13 14 POTENTIAL BUSINESS IMPACTS LEVEL OF STAKEHOLDER CONCERN High High High importance to the Managerand Fund GOVERNANCE SUSTAINABLE FUND PEOPLE ENVIRONMENT CORPORATE SOCIAL INVESTMENT PARTNER