To cooperate with the nation's 2050 net-zero emissions goals, FFHC has formulated near-term carbon emissions goals in accordance with SBTi approaches, which were reviewed and approved in June 2024. These goals stipulate that the Group's carbon emissions pathway for Scope 1 and Scope 2 of its own operations conforms to the goal of controlling global warming to under 1.5℃. By 2035, the annual carbon emissions are expected to be reduced by 63% from the baseline year (2022). Compared with the baseline year (2022), the amount of carbon reduction from Scope 1 and Scope 2 in 2024 totaled 3,105.45 MT CO₂e, or down by 14.43%. The amount of carbon reduction achieved by adopting paperless operation measures reached 14,977.82 MT CO₂e. Overall, the total amount of carbon reduction reached 18,083.27 MT CO₂e. The related measures and their results are described as follows:

To implement our environmental sustainability initiatives, FFHC formed the "Green Building Certification Program" team in 2010, having revamped and converted its privately-owned branches and buildings into green buildings. As of the end of 2024, 38 buildings had been completed, including the revamp of 35 old buildings, which were subsequently awarded the Green Building Label from the Ministry of the Interior (including diamond grade for 29 buildings, gold grade for one building, silver grade for one building, bronze grade for one building, and qualified grade for three buildings). In addition, two new buildings have also been awarded with the gold grade Green Building Label. Our London Branch Building obtained the "PASS" grade green building certification from Britain's Building Research Establishment (BRE) in 2021, marking the first accolade for our overseas locations. We expect a total of 50 buildings to be awarded with green building certifications by 2030. Furthermore, First Bank's Headquarters Building has been certified as Level 1+ (Nearly Zero Carbon Building) for energy efficiency among existing buildings by the Ministry of the Interior. In 2024, we partnered with the Ministry of the Interior to hold the "Observation, Demonstrations and Visitation of Intelligent Net-Zero Building Benchmark Cases" event, and attendees included members of the Architecture and Building Research Institute, Ministry of the Interior and Taiwan Intelligent Zero Carbon Building Alliance. There were a total of 47 people in attendance, as the Group shared its experiences in energy conservation and carbon reduction while setting a paradigm for green buildings in Taiwan's financial industry.

In addition to gradually revamping our own existing branches and buildings to obtain the Green Building Labels, we have included all of our domestic and overseas business locations in the scope of "ISO 14064-1 Greenhouse Gas Inventory" for verification since 2017, in an attempt to have an overall grasp of the status of carbon emissions at the Group's various business locations. Since 2020, we have held carbon management and energy conservation contests among domestic business units for 5 straight years, as we strive to attain the goal of reducing our GHG emissions.

Formulation of the entire Group's carbon emissions goals remains consistent with the SBTi pathway specifying that global warming be controlled to under 1.5℃. In other words, emissions from Scope 1 and Scope 2 in 2025 must be reduced by 14.54% from the baseline year (2022), or a reduction of 3,128.21MT CO2e.

To reduce carbon emissions generated from official business transport, FFHC has introduced green transport to internal implementation, encouraging employees to use public transportation to commute to work. It has also established a public EasyCard system for employees, making it easier for them to take public transportation when they go out on a business trip. EVs, hybrid vehicles or vehicles with higher energy conversion efficiency are prioritized for evaluation when existing official business vehicles are up for replacement. As of the end of 2024, the Group had operated 196 hybrid official business vehicles, which accounted for 45% of all of our official business vehicles. We signed a corporate carbon reduction program with Uber in 2024, which prioritizes the use of vehicles with less emissions while reducing the fuel consumption and carbon emissions of our official business vehicles. We have also set up EV charging stations at our Zhongli Branch and Yanping Building for our employees and customers.

We have also progressively replaced motorcycles with traditional internal combustion engines that are nearing the end of their life cycle with electric scooters. 121 electric scooters had been introduced by the end of 2024, contributing to an annual reduction of around 45 MT CO2e＊1. We have also installed battery swapping kiosks for electric scooters at vacant lots near seven of our locations, including our Zhongshan, Dadaocheng, Beitou, Xinxing, and Caotun Branch, as well as the Yanji Dormitory and Information Building, as part of our efforts to promote low-pollution, energy-efficient and smart scooters.In addition, we have set up 15 employees dormitories at company sites located in high population density areas as well as rural regions and remote areas, which help reduce carbon emissions of employees commuting to and from work.

To respond to the green energy policy, the FFHC has used the renewable energy. Between 2015 and 2024, the Company purchased a total of 14.867 million kWh worth of green power, carbon credits and Taiwan Renewable Energy Certificates. In addition, after assessing the sunshine conditions of the operating sites, rooftop solar power generation systems were built in 2016. As of the end of 2024, 25 rooftop solar generation systems have been completed and the total annual carbon reduction amounted to 148.76 metric tons CO₂e. FFHC set goals for producing and using 250 MWh of renewable energy for 2025 and will continue to increase the proportion of the Group's use of renewable energy, so that we may implement environmental sustainability policies.

To promote the practice of transporting renewable energy to our branches, the Group has signed green power wheeling agreements with renewable energy vendors and purchased green power compatible with the "Bundled REC System", which allows for direct deduction of electricity consumption from our Taipower bills while substantially reducing the amount of carbon emissions. From December 2021 to the end of 2024, 22 of the Group's business locations had utilized green power. 11,327,821 kWh in green power has been used cumulatively so far, and we expect to increase the share of green power year by year.

FFHC is devoted to promoting its green building policy, as well as reducing the effects of urban heat islands. The Group has built three "zero carbon green roofs" at its Wanhua, Huashan and Chang'an Buildings so far, which incorporate the concept of ecological hydroponics, aquaponics and landscape gardens. A rainwater harvesting system has been designed to replenish the aquaponic system with water. We use solar voltaic panels to generate electricity to power system circulation, including decontamination, filtration and water purification. With the aquaponic system, we can grow vegetables and fruits on the water while farming fish in the water. Fish excreta serves as a source of nutrients for the vegetables and fruits that we grow. The roofs also provide employees with a multi-function green space for resting, showcasing the "trifecta" idea incorporating production, life and ecology. Bilingual self-guided interpretive signs and audio tour systems have also been installed at the green rooftops of the Wanhua and Huashan branches, offering diverse environmental education learning models.

To engage tenants at our own buildings in converting to green electricity, we have responded to the "Demonstration & Guidance Program for Multiple Users Sharing One Customer Number" pushed forward by the Ministry of Economic Affairs since 2024. This program, also known as the green landlord policy, allows the Group to help its tenants in need of green electricity to purchase green electricity, which is transferred to our privately-owned buildings, before it is distributed to the tenants. As of the end of 2024, we had successfully engaged two tenants in adopting green electricity. The amount of green electricity used annually is around 13,000 kWh.

In 2012, FFHC realized the idea of rainwater harvesting and reuse by installing a 1.3 million-liter rainwater recycling tank in the basement of our Headquarters Building, which is used for watering gardens and flushing toilets. Apart from the Headquarters Building, the Company also duplicated that experience at other branch office buildings. We installed rainwater recycling tanks at our Yanping Building and Zhongli Branch in 2020. A rainwater harvesting system was installed at the Wanhua Branch, which is used to water the green roof to take full advantage of water resources.

In 2024, the Group's total water consumption was 235.45 million liters. Tap water therefore made up 99.98% of the water consumption and 0.02% came from the Headquarters building basement's overflow and rainwater. FFHC investigated water consumption at each company including operating sites. Apart from First Bank's existing domestic locations of operations, securities firms, securities investment trust enterprises, life insurance companies and the AMC Head Office, units included in calculating the total amount of water consumption also expanded to encompass securities firms, securities investment trust enterprises, life insurance companies and AMC's domestic locations of operations in 2022.

In order to improve water use efficiency, the headquarters building introduced the "ISO 46001 Water Efficiency Management Systems" and obtained certification in 2021, strengthening water resources management measured by implementing and optimizing the daily management of major water-consuming equipment, as well as through the water use review and performance evaluation, including using a management and monitoring system to control the operations of each water pump. Water consumption at each operating site was regularly investigated to see if there was any leakage in the piping and facilities. Speedy repair was a must in case of leakage. Certified green water-saving devices such as water-saving tap fittings, 2-stage flushing toilets, and sensor-controlled urinals were also installed to reduce water usage. We adjust the kitchen dishwashing process to save washing water. In addition, to protect water resource, we have installed an oil trap in the headquarters' on-site kitchen, utilized eco-friendly cleaning agents, and used warm water to clean dishes, which will reduce the quantity of cleaning agents used. In addition, we have engaged contractors to carry out septic tank pumping on a regular basis and conducted wastewater testing to determine the directional flow of contaminants, thereby improving overall water quality and reducing pollution.

FFHC strives to improve the performance of our IT equipment while phasing out old servers. We have implemented paperless teaching, paperless meetings, paperless service rendering, and paperless office administration. The entire credit investigation/credit extension procedure is run on the system, which automatically introduces data from the Joint Credit Information Center, as well as account consolidation for domestic and overseas group account holders. Additionally, digital services have been introduced to the process of service rendering, including nodes such as marketing, transactions, payment and accounting. First Bank even partnered with "Space4M", an AOU subsidiary, to install the WMS digital content public performance system at its 184 branches across Taiwan in 2023. Through the WMS dashboard management system, we can conduct real-time management of the displays at our branches remotely, in addition to distributing advertisements and marketing materials, as we provide more premium digital service experiences and gradually march towards paperless marketing.

To maximize resource sorting, recycling and reuse, FFHC makes it a rule to set its annual resource recycling target every year. In addition to strictly enforcing the policy of zero trash bins and zero personal trash bins in the office, it also installs garbage recycling and sorting cans on each floor, prompting employees to bring their trash to the cans for garbage sorting and recycling. We also continue to weigh general waste and resource garbage, demanding that domestic business locations of the Group's companies units conduct resource recycling, sorting, and garbage amount calculation.

To create a premium green office environment for our employees, we converted the recycling area on the sixth floor of the Headquarters Building into the first "Resource Circulation Experience Zone" in the financial industry in April 2024. With the help of graphics, we are able to teach employees to learn how to correctly sort kitchen waste as well as items for recycling, in order to improve the rate of sorting garbage correctly, as we concretely responded to one of the National Development Council's 12 carbon reduction goals by 2025-"zero waste through resource circulation".

To complement the drive for the internal carbon pricing policy and to reduce carbon emissions from scope 2 electricity consumption, First Commercial Bank has conducted the "Carbon Management and Energy Conservation Contest Among Domestic Business Units" since 2020, and allocated carbon reduction targets to various domestic business units. The target achievement status of each unit on energy conservation would be published on a quarterly basis. Their target achievement rates are tallied and published by the end of each year. These contests awarded 73 commendations to individuals credited with outstanding performance in energy conservation between 2021 and 2024, and awardees included bank clerks and deputy supervisors. Business units failing to achieve their energy conservation targets were given carbon pricing reports so that they understood the cost of carbon emissions they should have paid for exceeding the target limits. They were also required to submit their carbon reduction improvement plans. Implicit prices have been adopted with respect to the types of internal carbon pricing, and the related price setting is based on the cost of reducing one metric ton of carbon calculated from the actual carbon reduction measures as well as the amount invested in carbon reduction (including green electricity wheeling, green building improvements, and the construction cost of installing rooftop solar panels, etc), which is in turn used for analyzing the cost-effectiveness of equipment. After calculation, the cost of reducing one metric ton of carbon was NT$4,725 in 2024. Compared with the baseline year (2022), domestic business units conserved around 736,000 kWh of electricity in 2024 cumulatively, or a reduction of around 363.7 metric tons of carbon. Potential external carbon cost reduced as a result of carbon reduction through investments in carbon reduction measures and various units' own electricity consumption management was NT$1.718 million. These competition results, converted into internal carbon pricing and energy conservation performances, are also incorporated into assessments on all office building renovation projects as well as considerations for external electricity procurements and conservation reviews, which serve as the reference and foundation for the Group's overall resource deployment and decision-making for operational strategies. Additionally, the "FCB Living Green e-Newsletter" would also share the experiences of business units with outstanding performance in order to increase the effectiveness of carbon reduction. Since 2024, First Securities and First Financial AMC have also held energy conservation contests in order to reinforce the Group's carbon reduction effectiveness. Furthermore, all employees have been encouraged to submit proposals for environmental protection and energy conservation measures since 2014. The Group received a total of 10 submissions in 2024, and two of them were eventually adopted.

The Company has installed an eco-friendly employee restaurant in its Headquarters Building, which has received the Eco-Friendly Restaurant certification from the Ministry of Environment. In the meantime, we also echo the Ministry of Environment's "Ten Moves to Cherish Food" campaign, and purchase our daily food ingredients from nearly organic farms, which not only supports small local farmers, but also ensures the freshness of our food ingredients while reducing the carbon footprint of food; Reusable utensils are provided for repeated use, and we also use environment-friendly detergents to clean them. The first Wednesday in the first week of each month is designated as the "Meatless Day", and wholesome and low-carbon menus are designed by professional dietitians to encourage employees to reduce carbon emissions and love our Earth through their daily diet.

To echo circular economy, we have been converting food waste into compost via sorting, collection and resourcezation since 2023, using the fractal accelerated fermentation approach to turn kitchen waste generated by the eco-friendly restaurant into fertilizers. So far we have collected more than six metric tons of kitchen waste, and produced around two metric tons of organic soil mixture. We have also received the "Green Gold Manure" fertilizer registration certificate issued by the Ministry of Agriculture. The "Green Gold Manure" has seen application at the First Bank Green Finance Education Center, First Financial & Economic Office Building and the green roof of our Chang'an Building, providing plants with necessary nutrients while promoting resource circulation and reuse.