Al-`Aqar Healthcare REIT Annual Report 2019

MATERIALITY ASSESSMENT A materiality assessment is vital in identifying and prioritising sustainability matters that may be influential in determining the direction of REIT operations by theManager. The sustainabilitymatters are identified from an Environment, Economic, Social and Governance (“EESG”) perspective. To ensure that the material sustainable matters remain substantial for this financial year, a similar survey consisting of the material issues identified 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 identified new matters to be prioritised. The results of the materiality review are reflected in the matrix below:- 20 6 7 8 14 10 11 12 1 2 3 4 5 13 15 16 17 18 19 9 LEVEL OF STAKEHOLDERS CONCERN LOW POTENTIAL BUSINESS IMPACT HIGH HIGH Material EESG matters 1 Regulatory Compliance 2 Risk Management 3 Corporate Governance 4 Financial Performance 5 Anti-Corruption 6 Procurement Practices (Value Chain) 7 Water Management 8 Waste & Effluent Management 9 Energy Management 10 Labour Practices 11 Production & Services Responsibility 12 Supply Chain 13 Human Rights 14 Diversity 15 Occupational Health & Safety 16 Indirect Economic Impact 17 Emissions 18 Anti-Competitive Behaviour 19 Land Remediation, Contaminations or Degradation 20 Community Investment Al-`Aqar Healthcare REIT 04 SUSTAINABILITY REPORT 73