AL-SALAM REIT ANNUAL REPORT 2020

78 AL-SALĀM REIT Material EESG matters 1. Regulatory Compliance 2. Risk Management 3. Corporate Governance 4. Financial Performance 5. Anti-Corruption 6. Procurement Practices (Value Chain) 7. Diversity 8. Waste & Effluent Management 9. Energy Management 10. Water Management 11. Labour Practices 12. Production & Services Responsibility 13. Community Investment 14. Supply Chain 15. Human Rights 16. Occupational Health & Safety 17. Indirect Economic Impact 18. Emissions 19. Anti-Competitive Behaviour 20. Land Remediation, Contaminations or Degradation SUSTAINABILITY PILLARS To withhold the core principles of the REIT for sustainability, the Manager established five 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 A materiality assessment is vital in identifying and prioritising sustainability matters that may be influential in determining the direction of REIT operations by the Manager. The sustainability matters 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 review of material issues was assessed by the head of departments of the Manager 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: 1 2 3 4 5 14 15 16 17 18 19 20 6 7 8 9 10 11 12 13 HIGH HIGH LOW POTENTIAL BUSINESS IMPACT LEVEL OF STAKEHOLDERS CONCERN GOVERNANCE SUSTAINABLE FUND CORPORATE SOCIAL INVESTMENT PARTNER ENVIRONMENT PEOPLE SUSTAINABILITY STATEMENT