– IBM also continues to support programs and policies that can help people qualify for skilled jobs without a traditional bachelor’s degree. In the United States, for example, we advocate for expanded registered apprenticeship programs, education that is better aligned to industry skills needs, and a skills-first approach to hiring. We also believe the Higher Education Act should be modernized to increase flexibility and access to federal student aid programs. IBM is committed to meaningful management and oversight, and accurate reporting with respect to our public policy engagement, including with respect to trade associations. We receive consistently high ratings from independent analysts of corporate practices on lobbying and political spending, including the Center for Political Accountability and Transparency International UK. More information about our public policy governance and public reporting is available on our Philosophy and Governance webpage. Policy advocacy IBM’s public policy advocacy spans a range of issues relevant to our business and stakeholders. We engage leaders worldwide to promote ideas that can help spur growth and innovation with new technologies, or address societal challenges, such as building a skilled and diverse workforce. We do this by developing innovative policy ideas that are aligned with national agendas, through building trusted relationships with policymakers, and through partnerships with academia and civil society. IBM has never made political contributions nor endorsed candidates for office, and our company does not have a political action committee. Following are highlights of our policy advocacy in 2021. – IBM is advocating for a reinvigorated approach to science and innovation in the US and globally. Our “Science Forward” platform includes increased support for quantum computing technology and research, increased investment in semiconductor innovation, and creating a “Science Readiness Reserves” to mobilize in times of crisis. You can find more detail on these proposals in IBM CEO Arvind Krishna’s letter on the IBM Policy website. – In May 2021, the IBM Policy Lab published a set of policy recommendations on mitigating bias in artificial intelligence, where we called on governments to implement five policy priorities to strengthen adoption of testing, assessment, and mitigation strategies to minimize instances of bias in AI systems. In September, IBM responded to the EU proposal for a regulation on artificial intelligence, welcoming its approach to regulating specific uses of AI rather than the technology itself. We also published detailed views on how the regulation might be clarified to better target the new rules to areas of greatest risk. IBM also invests in advocacy around diversity and inclusion policy, which you can read about on page 21 . Additional details of our policy advocacy in 2021 can be found at the IBM Policy Lab and our THINKPolicy blog. 18 IBM 2021 ESG Report