Simon Sustainability Report 2022

SIMON SUSTAINABILITY REPORT 2022

COMPENSATION AND HUMAN CAPITAL COMMITTEE

GOVERNANCE AND NOMINATING COMMITTEE

ESG EXECUTIVE COMMITTEE

AUDIT COMMITTEE

■  Assist the Board in reviewing and overseeing the Company’s policies relating to sustainability, including ESG matters (except as may be specifically retained by the Board or delegated to other Board committees). ■  Assist and generally advise the Board on ESG matters, including overseeing the Company’s ESG strategy and related goals and policies, and periodically review with management the Company’s progress towards the achievement of such strategy and goals.

■  Primarily responsible for setting strategic direction for sustainability at Simon and providing counsel and executive oversight on sustainability initiatives. ■  Identifies which ESG issues are most materially relevant to our business and key stakeholders and communicates periodically with the Board of Directors. ■  Provides leadership and oversight to encourage and assure sustainability opportunities are supported and recognized at the highest level of the Company. ■  Responsible for all strategic ESG and climate-related communications.

■  Oversee and discuss with management the Company’s annual disclosure of its sustainability, including ESG matters and efforts in the form of an annual sustainability report.

■  Oversee human capital management, including but not limited to management succession planning, D&I, and talent development. ■  Periodically review and make recommendations to the Board, as appropriate, with respect to certain of the Company’s human capital management strategies and policies, including with respect to matters such as D&I, management succession planning, workplace environment and culture, and talent recruitment, development, and retention.

ENVIRONMENTAL PERFORMANCE LINKED TO PERFORMANCE PLANS In 2020, Simon initiated the Sustainability Innovation Award for those employees who proactively implement or identify new, innovative solutions that contribute to reducing the environmental impact of our centers while simultaneously increasing their profitability. Employees were encouraged to submit their ideas, and they were assessed by an independent corporate jury on scalability, profitability, and novel qualities. The annual winners received company-wide recognition on Earth Day 2022 and each received a monetary award of $500USD. Read more about the contest in the Environment chapter. In normal operating years, employees at Simon have financial and non-financial incentives to achieve Simon’s ESG objectives. All corporate employees, including those not normally part of a bonus plan, are eligible to receive a discretionary or calculated bonus as a result of the Company’s financial performance. Some of the factors considered include performance indicators that are the result of energy-efficiency and emission-reduction efforts. In addition to a monetary award, the Simon Employee of the Month and Employee of the Year programs recognize and reward employees who show exemplary performance in their jobs. The General Counsel, who is part of Executive Management, leads the Company’s sustainability program, including investor-focused climate change-related communications, supporting tenant-focused climate change-related initiatives, emissions reduction, and energy-efficiency initiatives. The success of the program impacts a portion of his compensation.

8

CREATING SUSTAINABLE CENTERS

CUSTOMERS

COMMUNITIES

ENVIRONMENT

EMPLOYEES

APPENDIX

Powered by