Sustainability Report 2019/20

Corporates and industry groups Question: Over the years, there have been pressing concerns and discussions over the impact of climate change on businesses. With the increasing external pressure and more stringent regulations, corporates and industry groups expressed their concerns on the actions that SHKP has taken to mitigate and adapt to climate change. Answer: The Group has identified the key risks and opportunities that climate change has brought to our business operations following our internal review on climate-related impact carried out in the previous reporting year. Following the review, we have put in place an inter-departmental Crisis Operation Management Committee to coordinate and manage climate-related incidents relating to extreme weather conditions across our building portfolios. The Group has also formulated and refined our climate change strategies, for example by integrating climate resilient elements into the existing buildings and utilizing innovative technologies to improve energy performance. We also see climate change as an opportunity to develop and transform to low-carbon in our portfolio. More information on our approach to climate change mitigation and adaptation can be found in the Value Created for the Environment section in this report. Customers, tenants and employees Investors and shareholders Question: The recent pandemic outbreak has left no business untouched. Customers, tenants, and employees were concerned about the measures that SHKP has taken in response to the pandemic, specifically in reducing the risks of transmission and ensuring public health at our properties and in the community at large. Answer: Amid the pandemic, the Group places health and safety of all people as our top priority. We have been closely monitoring the development of the situation since the outbreak of the pandemic, and have swiftly adopted a series of anti-infection measures and provided support to our frontline staff to maintain daily operations while protecting their health and safety. For instance, SHKP has recruited 300 caring ambassadors to provide additional anti-epidemic services at our malls and offices in response to public concerns. We also expressed our care for the community, especially the underprivileged, through financial support and donating anti-epidemic medical supplies. More information on our initiatives to fight the pandemic can be found in the Value Created for People , the Value Created for Customers and the Value Created for Community s ections of this report. Question: It is critical for companies to identify appropriate metrics and targets to measure, track and manage sustainability performance. As such, an increasing number of companies in the industry have adopted and disclosed quantifiable metrics, particularly on environmental topics. Investors and shareholders are interested in understanding how the Group has progressed in this regard. Answer: The Group agrees that setting specific and measurable targets allows us to better evaluate our progress and drive good performance. Responding to the question, the Group introduced a five-year Group-wide energy reduction target as early as 2014/15 to improve energy performance at our key buildings. We have achieved our target in this reporting year, and have renewed it to further improve our energy efficiency in the coming ten years. We are exploring internally the feasibility of further expanding the scope to include other material environmental topics, and seek to communicate our progress in our annual Sustainability Report. More information can be found in the Value Created for the Environment section in this report. Connecting with our Stakeholders Through ongoing dialogues and targeted stakeholder engagement exercise throughout the reporting year, we have received feedback and suggestions from stakeholders that are invaluable to our sustainable development journey. Below are the three selected questions that many of our stakeholders deem important. Our Approach To Sustainability Sun Hung Kai Properties Limited • Sustainability Report 2019/20 8