Second-Party Opinion Download

USE OF PROCEEDS

The eligible category for the use of proceeds, Green Buildings, is aligned with those recognized by the Green Bond Principles and the Green Loan Principles. Sustainalytics considers that investments in the eligible category will lead to positive environmental impacts and advance the UN Sustainable Development Goals, specifically SDGs 7 and 11.

PROJECT EVALUATION AND SELECTION

NN Bank’s Treasury team is responsible for evaluating and selecting assets for inclusion in its Eligible Green Loan Portfolio. NN Bank’s Non-Financial Accounting Committee will review and approve the Eligible Green Portfolio on an annual basis. NN Bank has environmental and social risk management processes in place that apply to all allocation decisions made under the Framework. Sustainalytics considers the project selection process in line with market practice.

MANAGEMENT OF PROCEEDS

NN Bank’s Treasury team will be responsible for the allocation, management and tracking of net proceeds. The Treasury team will manage proceeds using a portfolio approach. The Treasury team will further ensure that the value of the portfolio matches or exceeds the value of the net proceeds. Pending allocation, proceeds may temporarily be held in the Bank’s liquidity portfolio or used to repay outstanding indebtedness. This process is in line with market practice.

REPORTING

NN Bank commits to report on allocation of proceeds on its website on an annual basis until full allocation. Allocation reporting will include the size of the identified loan portfolio, total amount of proceeds allocated, number of eligible green loans and balance of any unallocated proceeds. In addition, NN Bank intends to report on relevant impact metrics, which will be published on its website. Sustainalytics views NN Bank’s allocation and impact reporting as aligned with market practice.