Banco BPM S p A : ESG Investor Presentation – Update as at April 2022

Agenda

1	ESG at Banco BPM: Governance, Action Plan & Achievements	03
2	2021 ESG Results: Facts & Figures	12
3	Strategic Plan 2021-2024: ESG as key foundation stone of the plan	25
Appendix	36

2

Our path towards a sound sustainability strategy

2018/2019

2020

2021

• • Internal Control and Risk

  Committee1 in charge of overseeing sustainability topics

• • First ESG materiality analysis

  (involvement of the top management)

• • Definition of internal policies for non-financial reporting and ESG KPIs guide

• • Energy Manager appointment, within the Operations Department

• • High quality score of "B"

  assigned by the Carbon Disclosure Project

• • Creation of the Sustainability

  Unit and of the ESG managerial Committee chaired by the CEO

• • Mobility Manager appointment, within the HR Department

• • 100% of electricity consumption from certified renewable sources

• • Extraordinary measures for local communities and social projects in response to Covid crisis

• • €5bn Plafond for ESG investments

• • ISO 45001 Occupational Health and Safety, ISO 50001 Energy and ISO 14001 Environmental certifications obtained

• • One Board member designated as ESG referent for the ICRSC

• • ESG targets integrated within ST & LT incentive plans for CEO & Top Management

• • Activation of the "ESG Action Plan" to fully integrate

  ESG into our operating model (7 Workstreams and 32 Projects)

• • Enlarged ESG products offering for our customers

• • Green, Social and Sustainability Bonds Framework published and €500m Social Bond issued

• • Improvement in many ESG Ratings & inclusion in the

  FTSE MIB ESG index

• • Banco BPM joined the UNGC and became a supporter of the TCFD

• • Lending policies and Risk Management integrated with ESG factors

• • New "Inclusion Diversity & Social" and "Key People and Talents" Units set up in the HR Department

• • New 2021-2024 Strategic Plan, with strong focus on

  ESG

Jan./Mar. 2022

• • Inclusion in the Bloomberg

  G-E Index

• • Improvement in the score assigned by CDP for 2021 to A- (from B)

• • First green covered bond issued (€750m), within the Green, Social and Sustainability Bonds Framework

• • Fundraising and other support measures for people from Ukraine, in cooperation with Caritas

Notes: 1. In 2021 renamed as Internal Control, Risks & Sustainability Committee (ICRSC).

4

ESG Governance and Accountability: important goals achieved

Responsibile for

ESG strategy & disclosure 1 Board member as ESG reference point for the ICRSC

ESG KPI weights:

Supervises sustainability and social responsibility factors and reporting

• • at least 10% of the overall scorecard of the Short-Term Incentive Plan

  • 1. Governance

  • 2. Risk & Credit

  • 3. People

    Coordinate Group activities and ESG targets

    • • 15% of the overall scorecard of the Long-

• Term Incentive Plan

• 4. Customers: Business

• 5. Customers: WM

• 6. Environment

  Dedicated corporate ESG function

• 7. Stakeholder Engagement & Measurement

>50 people involved

Note: 1. Internal Control, Risks and Sustainability Committee.

5