When we first introduced our SD 2030 Strategy in 2016, we engaged extensively with senior managers and employees from across the business and consulted external sustainability experts. Today, our SD Communication and Engagement Committee continues to gather the support of our employees and other stakeholders to further integrate SD 2030 across our business.

Swire Properties’ stakeholders are both internal and external interest groups that have a significant impact on our business, or that experience significant impacts from our operations. We regularly engage with these stakeholders through the appropriate channels.

To gain an even deeper understanding of what aspects are important to the Company’s business continuity and development, a new materiality assessment and stakeholder engagement exercise will be conducted in 2023 based on the newly established concept of “double materiality”. Double materiality is a concept proposed by the European Commission’s Guidelines on Reporting Climate-related Information that encourages a company to assess materiality based on a topic’s implications for the company’s financial performance (i.e. financial materiality) as well as on the communities and the environment (i.e. impact materiality), and the interconnectivity between the two. This “financial-and-impact-based” double materiality will allow us to better assess the integration of sustainability with our business, understand our sustainability impact and align with global best practices in reporting.

The top material issues in the matrix, namely Tier 1 and Tier 2 issues, are consistent with the focus areas of our SD 2030 Strategy and have been addressed in this report in accordance with the relevant Global Reporting Initiative Standards.