Second-Party Opinion Download

Sustainalytics is of the opinion that the Sustainability-Linked Financing Framework aligns with the Sustainability-Linked Loan Principles (SLLP) 2021. This assessment is based on the following:

Selection of Key Performance Indicator (KPI)

Sustainability-Linked Financing Framework includes one KPI: CO2 emissions intensity (Scope 1, 2 & 3) (tCO2e per ton of primary product). Sustainalytics considers the KPI chosen to be very strong given that it has a high level of materiality and applicability, it relies on an external calculation methodology that is clear and consistent, an and it is a direct measure of CBA’s performance.

Calibration of Sustainability Performance Target (SPT)

Sustainalytics considers the SPT to be aligned with the Issuer’s sustainability strategy. Sustainalytics further considers the SPT to be highly ambitious given that it represents an improvement over past performance on emissions intensity as well as outperformance of CBA’s peers, and it aligns with a well-below 2-degree scenario.

Loan Characteristics

Companhia Brasileira de Alumínio will link the loan’s financial/structural characteristics to the achievement of the SPTs, namely a step-up or step-down in the interest rate. To trigger a change in the interest rate, the SPT needs to be met.

Reporting

Companhia Brasileira de Alumínio commits to report on an annual basis on its performance towards its SPT in its annual report or another report issued by the Company and available on its website. Companhia Brasileira de Alumínio commits to disclose relevant information that affect the achievement if the SPT. These reporting commitments are aligned with the SLLP.

Verification

Companhia Brasileira de Alumínio commits to have external limited/reasonable assurance conducted on its KPI performance at the communicated SPT deadline, which is aligned with market expectations.