Second-Party Opinion Download

Sustainalytics is of the opinion that Constellium’s Sustainability-Linked Financing Framework aligns with the Sustainability-Linked Bond Principles 2020. This assessment is based on the following:

Selection of Key Performance Indicators (KPIs)

Constellium’s Sustainability-Linked Financing Framework includes two KPIs: (i) GHG Emissions Intensity, and (ii) Recycled Aluminium Input (see Table 1). Based on a consideration for the materiality of the KPIs, their relevance to Constellium’s business, the scope of their applicability, and clear and consistent definitions, Sustainalytics views KPIs 1 and 2 to be adequate.

Calibration of Sustainability Performance Targets (SPTs)

Sustainalytics considers the SPTs to be aligned with the issuer’s sustainability strategy. Sustainalytics further considers the SPTs to be moderately ambitious based on the SPTs, indicating performance that is aligned with Constellium’s historical performance on reducing GHG emissions intensity and increasing the input of recycled aluminium.

Bond Characteristics

Constellium will link the bond’s financial characteristics to the achievement of the SPTs, namely an increase in coupon rate. The incremental change in coupon is triggered if either of the SPTs are not met.

Reporting

Constellium commits to report on an annual basis on its performance on the KPIs in its website. Constellium commits to disclose relevant information that affect the KPI performance, including quantitative or qualitative details. The reporting commitments are aligned with the SLBP.

Verification

Constellium commits to have an external limited assurance conducted on its KPI performance at the communicated SPT deadline, which is aligned with market expectations.