STRUCTURING A GREEN HYBRID BOND Clean Technology Citi helpe d German chemicals company Evonik Industries, one of the world leaders in specialty chemicals, issue a € 500 million green hybrid bond in 2021 — acting as sole green structuring advisor, joint structuring agent, joint global coordinator and joint bookrunner on the transaction. The corporate hybrid bond structure can be attractive to issuers, particularly in Europe, that are looking for a stronger credit profile or financial flexibility. The green issuance followed the publication of Evonik’s Green Finance Framework, which integrates sustainability into the company’s financial strategy. Under the framework, proceeds from green financing instruments may be used for eligible projects in the areas of eco-efficient products, energy efficiency and renewable energy. Proceeds of this green hybrid bond issuance will primarily be used to finance investments in Evonik’s Next Generation Solutions — products and solutions with sustainability benefits that Evonik expects to grow significantly in the coming years. FINANCING RENEWABLE ENERGY WHILE INCREASING DIVERSITY Renewable Energy and Diversity & Equity In November, C iti provided AES’ Clean Energy business, a leading renewables development platform in the United States, with financing to fund the construction and operation of the Skipjack Solar Project outside Richmond, Virginia. The project is expected to provide 225 megawatts-DC (175 megawatts-AC) of renewable energy capacity; once online, the project will sell 100% of its solar energy output under a 14-year, fixed-price agreement to one of the largest power generator companies in the U.S. The transaction also included a milestone: Citi’s first execution of a sustainability- linked derivative for a construction project — a KPI-linked interest rate swap to support the financing of the project. Under the terms, AES commits to achieving key performance indicators linked to increasing gender diversity measured by employees who self-identify as female or nonbinary employees and increasing new hire employees who self-identify as members of an underrepresented group. Citi acted as coordinating lead arranger, lender, and swap syndication arranger on this transaction, providing a comprehensive financing package for AES, a company that is focused on accelerating the future of energy, together. Contents ESGatCiti SustainableFinance SustainableProgress Equitable&ResilientCommunities Talent&DEI RiskManagement&ResponsibleBusiness Appendices CITI 2021 ESG REPORT 26