At Goldman Sachs, we are committed to aligning our business with a net zero by 2050 pathway, and we seek to drive decarbonization in the real economy, in partnership with our clients and companies that we invest in. Meeting the goals of the Paris Agreement and preventing the worst impacts of climate change will require capital, innovation, and coordination across both the public and private sector as businesses across regions and sectors seek to implement low-carbon solutions — and communities everywhere adapt to an increasingly warming world. Climate Transition 127 Sustainability Report 2021 Sustainability Issuance Report | Featured Investments Clean Energy CASE STUDY: Phononic Goldman Sachs invested in Phononic, a global leader in solid-state cooling technology. The company seeks to reform cooling using unique semiconductor technology to improve energy efficiency and reduce carbon emissions relative to traditional mechanical compression incumbents. Through its technology platform, Phononic’s innovations could support the transformation of the ways data is communicated; automobiles "see"; grocers merchandise and deliver food; vaccines and drugs are stored and protected; and residential houses and office buildings are cooled. We believe Phononic furthers Goldman Sachs’ broader sustainability commitments, and their solid-state technology is delivering solutions that have not historically been available through legacy thermoelectric or compressor incumbents. Our investment aims to help grow and expand their capabilities to meet anticipated demand. Phononic’s technology and products are important to the way we communicate; feed our families; safeguard and transport life-saving vaccines; and even shop for our favorite ice cream snacks. We believe that this investment is an important example of how innovation and capital can together help support transformative environmental impact.