Sustainability-
Linked Finance 
Framework
November 2021

1	
Introduction	
3
1.1	
About KPN	
3
1.2	
Our Customers	
3
1.3	
Our Strategy	
4
2.1	
Our purpose	
5
2.2	 Our vision on sustainability	
5
2	 Sustainability at KPN	
5
3	 KPN Sustainability-Linked 
	
Finance Framework	
9
3.1	
Rationale for issuing sustainability-linked instruments	
9
3.2	 Basis of this Framework	
9
3.3	 Selection of Key Performance Indicators (KPIs)	
10
3.4	 Calibration of Sustainability Performance Targets (SPTs)	
13
3.5	 Characteristics of the Sustainability-Linked 
	
Financing Instruments	
15
3.6	 Reporting	
15
4 	 Disclaimer	
16
Table of Contents
Sustainability-Linked Finance Framework  2

Sustainability-Linked Finance Framework  3 
1.1	
About KPN
KPN (“the Company”) is the leading telecommunications and IT service provider in the Netherlands, serving both 
consumer and business customers with our fixed and mobile networks for telephony, broadband and television. 
KPN offers small-, medium- and large-size business customers a portfolio of services including fixed and mobile 
telephony and internet, and solutions in core connectivity and close to core IT services such as cloud, security 
and workspace. In addition, KPN offers third party telecom providers access to our nationwide fixed and mobile 
networks.
 
1.2	
Our Customers
As the market leader in the Netherlands, we are committed to millions of households and businesses. From 
mobile data users to households that purchase all-in-1 packages and business customers with ICT services and 
workspaces. More and more customers are combining fixed and mobile services. Customer satisfaction is essential 
for KPN. An important indicator for this is NPS (Net Promotor Score). The higher the NPS score, the more strongly 
a customer would recommend KPN to others. 
1	 Introduction
5.630 million
Mobile subscribers1
1.485 million
Fixed-mobile households 
3.136 million
Broadband lines1
+15 
NPS Consumer
3.096 million
FttH homes passed
(own roll-out)
+3
NPS Business
Note: data as per Q3 2021 
1 Consumer and Business segments, excludes Wholesale
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Sustainability-Linked Finance Framework  4 
1.3	
Our Strategy
The core of our strategy is that we are speeding things up in line with the digitalization of society. Every day,  
we are working on the network of the future – a network of people and technology that facilitates progress.  
We are doing everything within our power to connect everyone in the Netherlands to a sustainable future.  
With our strategy ‘Accelerate to grow’ we are focussing on three pillars: 
With this strategy KPN will grow mass-market service revenues and EBITDA and enable KPN to continue its 
progressive dividend policy, covered by growing Free Cash Flow. It will also lead the Dutch digitalization wave to 
connect the Netherlands to a sustainable future. 
1. Leverage & expand superior network
KPN has built a state-of-the art network architecture with the vast majority of mobile sites built for high capacity 
and connected to fiber. KPN has already connected over one-third of households in the Netherlands directly to 
fiber. In the coming years KPN will leverage and expand this superior network by accelerating its fiber rollout to 
approximately half a million homes passed per year with the intention to cover 80% of Dutch households by 2026 
(together with Glaspoort, KPN’s joint venture with APG).
2. Grow & strengthen customer footprint
KPN is focused on growing mass-market services revenues through a strengthened and growing customer 
footprint in the Consumer, SME (small and medium-sized enterprises) and Wholesale segments, which represent 
approximately 75% of KPN’s revenues and 90% of its adjusted EBITDA AL. KPN will be the preferred digital partner 
for households through (i) the best digital access with fiber, 5G, and in-home WIFI; (ii) the best digital  
omni-channel experience with a mobile-first and app-centric customer approach; and (iii) the best third-party 
services through entertainment partnerships. In Business, KPN has a clear segmented customer focus for SME,  
LCE (large commercial enterprises) and Tailored Solutions. In Wholesale, KPN continues its open access policy to 
offer access to third-party operators with fiber contributing to continued growth of Wholesale revenues. 
3. Simplify & streamline operating model
KPN will further simplify and streamline its operating model to prepare for the next wave of digitalization, which 
will truly change customer experience, enhances KPN’s time-to-market and contributes to a next wave of cost 
efficiencies. Along with portfolio simplification, digital customer journeys, and IT and network rationalization,  
KPN is executing on COVID-accelerated cost opportunities e.g., moving to more remote working and 
an adjusted office footprint.
Three strategic pillars…
...to support our ambition to
Accelerate to Grow strategy supported by three key pillars
1. Leverage & expand superior network
•  Covering the Netherlands through fiber
•  Low Latency services via 5G and  
edge computing
2. Grow & strengthen customer footprint
•  Outstanding digital experience
•  Differentiated services for families  
and businesses 
3. Simplify & streamline operating model
•  New ways of digital working
•  Continue strong and disciplined 
cost control program
Connect the Netherlands to a sustainable future
•  Leading the Dutch digitalization wave
•  Recognized as ESG front runner 
Grow mass-market service revenues and EBITDA
•  Fiber fueling household revenue growth in B2C
•  Segmented B2B approach, stabilize SME first
Provide attractive shareholder returns
•  Covered by growing Free Cash Flow
•  Progressive dividend, +3-5% annually 
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2	 Sustainability at KPN
2.1	
Our purpose
We believe connections bring people closer and take them further. That’s why we go all out to connect everyone 
in the Netherlands to a sustainable future. Every day we build the network of the future, a network of people 
and technology solutions that move us forward. We enable new secure ways of working and strive to offer first 
class connections, flexibility and outstanding customer experience - safely and simply. This way people can relax, 
do business, make friends, collaborate and discover new worlds. We want to make the Netherlands the most 
connected country in the world. 
2.2	
Our vision on sustainability
We want to lead the country’s digitalization and become the preferred partner in digital life.
Our business model also highlights our long-term impact on society in terms of secure and future-proof 
connectivity, enabling societal innovations, encouraging inclusion and reducing environmental impact. 
This business model starts with our key assets, our network of technology and people, which includes our  
state-of-the-art and converged networks, our customer base, workforce and partnerships.
Our contribution to the SDGs - ICT is key to solving societal challenges
We continue our strong support of the UN Sustainable Development Goals (SDGs) as a shared ambition for peace 
and prosperity for people and the planet. We have identified three SDGs we believe we can contribute to most,  
as an employer, business partner and telecommunication-services provider.
Each of these SDGs presents an opportunity for us to provide solutions while reminding us to act in a responsible 
way. We have tied our strategy to each of the SDGs, summarized in the figure below. We work to embed ESG 
themes in the organization through secure future-proof infrastructure and by focusing on social and digital 
inclusion, energy efficiency and circularity.
Via our network, we’re connecting everything and everyone. This creates convenience and tremendous 
freedom. At the same time, KPN’s technology is helping to find answers to social questions of today and 
tomorrow. Whether it’s reducing CO2 emissions or maintaining affordable healthcare.  
 
We contribute to a connected society by contributing in a number of areas: 
- Climate/energy
- (Social) Innovation 
- Diversity and Inclusion 
Sustainability-Linked Finance Framework  5 
Our strategy to drive impact at scale
Innovation
Make the Netherlands safer and 
resilient by offering best-in-class 
connectivity and security
 
Society
Provide internet access for  
everyone and everything and 
stimulate social inclusion
 
Environment 
Build the most efficient network 
technology to reduce energy 
consumption despite higher  
data usage
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Sustainability-Linked Finance Framework  6 
Innovation: accelerating the installation of fiber and modernizing our mobile network
Innovation gives meaning to technology. Our solutions aim to help the Netherlands progress and become safer 
and more resilient. We serve customers in the field of public security, defense, industry, transport and the maritime 
sector. KPN solutions help to accelerate digitalization in the Netherlands. Our fiber roll-out gives households 
and businesses access to superfast, stable and reliable broadband via the most modern infrastructure. At the 
end of 2026, about 80% of all households in the Netherlands will have fiber either through KPN or through the 
cooperation with APG (Glaspoort). Our network forms the basis of our innovation. 
Society: Human well-being
 Our technology contributes to a connected society. We provide internet access for all and promote social and 
digital inclusion. We provide the means to make cities smarter and cleaner, facilitating services such as smart 
parking and traffic lights, autonomous driving and crowd control. We continuously explore how our technology can 
help address the themes and challenges that society faces today. Our new technologies and digital solutions make 
people more comfortable and safe in their homes, prevent online fraud, increase the efficiency of businesses and 
healthcare and reduce traffic by facilitating hybrid working, make cities smarter and cleaner and connect ill children 
with classmates. 
Environment: Climate neutral and on our way to become a circular company
KPN’s own operations are already climate neutral, therefore all our services are low carbon services. By using our 
cloud services, video conferencing and audio conferencing, our business customers can meet online, reducing 
the need to commute or use office space. Our long-term goal is to avoid as much energy via our services as we 
consume via our fleet, electricity and value chain. 
Our energy consumption is as follows:
Energy consumption (PJ) compared to data communication growth (%)
Network
Cars
Office and Shops
Data communication growth (%)
4.5
4.0
3.5
3.0
2.5
2.0
1.5
1.0
0.5
0.0
2010  	
2011	
2021	
2013	
2014	
2015	
2016	
2017	
2018	
2019	
2020
2700%
2.400%
2.100%
1.800%
1.500%
1.200%
900%
600%
300%
0%
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Overview of own emissions (scope 1 and 2), value chain emissions (scope 3) and savings by ICT (in kTon CO2e)
KPN’s energy 
consumption
Our energy consumption in 2020 was 2.428 
petajoules. This amounts to a reduction of 37% 
compared to base year 2010, while the data 
communication volume has increased almost 21-fold 
in the same period. 
Our energy savings in the network were mostly 
related to fixed network rationalization and the 
migration of mobile network equipment to next-
generation equipment. We are also improving our 
capability to forecast long-term energy usage per 
type of infrastructure.
 
Our targets
By 2030, we aim to reduce our energy consumption 
by 55% compared to 2010. KPN commits to reduce 
scope 1 greenhouse gas emissions by 100% by 2030 
without offsets for our fleet from a 2010 base year. 
For our electricity consumption we use 100% green 
electricity generated by local and European wind 
farms. So our market based Scope 2 emissions are 
zero. Our business has been climate neutral since 
2015. KPN’s long-term target is to maintain yearly 
zero scope 1 and 2 emissions from 2030 to 2050. 
KPN will reduce its scope 3 emissions by 30% by 
2030, from a 2014 base year and achieve “net zero” 
emissions in the value chain by 2040. 
The targets as approved by the Science Based 
Targets initiative cover greenhouse gas emissions 
from company operations (scopes 1 and 2) and the 
value chain from suppliers to customers (scope 3) 
consistent with reductions required to keep global 
warming to 1.5°C, in line with the Paris Agreement.
Sustainability-Linked Finance Framework  7 
1 Gross emissions, mainly relating to our fleet; our net emissions are zero with compensation  
of fossil fuel cars
2 Location based emissions, relating to our usage of electricity; our market based emissions are zero
3 Upstream and downstream emissions in our value chain
4 Savings realized through services used by our customers
Overview of  
CO2e emissions
Scope 1 and 2: 
Climate neutral since 2015
Scope 3 
Emissions improved by 17% compared to  
base year 2014
 
 
Savings by ICT
Digitalization is accelerating and in 2020 CO2e  
savings for our customers from using our ICT  
services doubled to 573 kTon also driven by  
COVID-19 
Scope 1
Direct Emissions1
Scope 2
Electricity2
Scope 3
Value Chain3
Savings by ICT4
17
274
886
573
26
59
295
347
898
1063
290
145
2020
2020
2020
2020
2019
2019
2019
2019
2010
2010
2014
2017
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Sustainability-Linked Finance Framework  8 
We deploy our infrastructure and networks to co-create solutions for more sustainable use of the environment. 
We reduce negative environmental impact by the way we produce, use and recycle our equipment. Our approach 
to circularity starts with our procurement process, operations and the impact of our products and services before, 
during and after use. We have set intermediate targets and use a road map to track our progress in reducing the 
impact of our products and materials. 
For inflow of materials, we have set a target to redesign for circularity a minimum of 15 typical KPN products,  
for example by using recycled materials. These include in-home and outdoor equipment. 
For outflow of waste and materials, we aim to maximize reuse and recycling and avoid incineration and landfill.  
For KPN owned customer equipment, our circular ambition is a closed-loop supply chain. We aim to save energy 
and reduce use of materials by replacing some of our hardware with software. 
Our Circular economy approach is as follows:
ESG milestones and ambitions: aiming for net zero emissions by 2040
2011 %
100% green 
electricity
2020 %
>30% gender  
diversity at 
Board level
2025 
~100% 
circular
2030 
-30% CO2e emission 
in supply chain
vs 2014
2040 
Net Zero  CO2e emission  
in supply chain
Climate neutral
without offsets
2030
Climate neutral
for own operations
2015 %
>30% women in
senior management
2030
Important milestones crossed...
...and an ambitious agenda
Rankings & awards in 2020
ESG milestones and ambitions recognized by leading benchmarks
Reduce
• Use of virgin materials
	 - Virtualization
	 - Dematerialization
	 - Reused products
	 - Recycled / biobased 
materials
Supporting actions
Goal: Zero waste
Extend
• Use products longer  
and better
	 - Lifespan extension
	 - Rates of utilization
Recycle
• High-end second life of  
products and materials
	 - Reuse
	 - Recycling
Energy efficiency
• Reducing Energy usage and 
increased Energy efficiency
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3.1	
Rationale for issuing sustainability-linked instruments
As part of its commitment to sustainability KPN has designed this Sustainability-Linked Finance Framework (the 
“Framework”), to issue sustainability-linked finance instruments (“Sustainability-Linked Finance Instruments”) 
enabling the Company to meet its environmental and social objectives. It will link KPN’s funding with its 
sustainability objectives, leveraging ambitious timelines to achieve sustainability performance that is relevant, core, 
and material to its business.
3.2	
Basis of this Framework
KPN has established this Sustainability-Linked Finance Framework as an overreaching platform under which 
the Company intends to issue sustainability-linked finance instruments, which may include bonds (including 
private placements), loans, promissory notes (Schuldscheindarlehen) and any other sustainability-linked finance 
instruments in various formats and currencies. 
This Framework is aligned with the five core components of the International Capital Market Association’s (“ICMA”) 
Sustainability-Linked Bond Principles1 (“SLBP”, June 2020) as presented below and also takes into account LMA’s 
Sustainability-Linked Loan Principles2 (“SLLP”, April 2021):
1. Selection of Key Performance Indicators (KPIs)
2. Calibration of Sustainability Performance Targets (SPTs)
3. Characteristics
4. Reporting
5. Verification
3	 KPN Sustainability-Linked 
Finance Framework
1 To be found here.
2 To be found here.
Sustainability-Linked Finance Framework  9 
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3.3	
Selection of Key Performance Indicators (KPIs)
KPN has identified the value chain CO2e (Scope 3) KPI that is material to its core sustainability and business 
strategy and addresses relevant environmental challenges of the sector. 
KPI: Percentage reduction of value chain CO2e (Scope 3)
• Perimeter:
	 Business units and subsidiaries that represent 98% of KPN’s consolidated opex/FTE
• Methodology: 
Scope 3 includes:
	 – Emissions in the upstream value chain  
(during the production phase of products, services and equipment at suppliers)
	 – Emissions in the downstream value chain  
(during the use phase, including recycling and disposal of the products, services and equipment)
KPN uses two main methodologies to calculate Scope 3 emissions:
	 – The spend based method - which takes procurement data and calculates the emissions  
within an environmentally extended input output (EEIO) model to assess the emissions
	 – The process-based method, which uses quantity-based data to evaluate the emissions associated with 
specific activities, e.g. kWh of energy usage or quantity of materials purchased to manufacture goods
In both cases KPN uses actual data covering January to November, extrapolating it to a full year.
All parameters used in the Scope 3 calculations are checked annually whether new values are available or 
not. Suppliers with zero net emissions are assessed and adjusted accordingly. The table below describes 
the calculation of emission methods, coverage and assurance. In 2020, the CAT13 calculation method 
was improved, using the number of customers instead of the number of installed devices. This gives a 
more accurate and reliable figure of the electricity consumption and corresponding carbon impact of the 
installed base.
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Sustainability-Linked Finance Framework  10 
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Sustainability-Linked Finance Framework  11 
kTon of CO2e
2014 base year
2017
2018
2019
2020
Total upstream CO2e emissions
886.8
753.0
722.7
722.1
714.3
Total downstream CO2e emissions
176.5
191.8
176.2
175.5
171.1
Total Scope 3 CO2e emissions
1,063.2
944.7
898.9
897.5
885.4
• Baseline and historical data: 
Scope  
CO2e
Standard
Scope
Coverage
Approach
Location- /  
Market- based
Assurance
Emission factor / 
Green enegery
Scope 3 Cat:
1,2,5,9
GHG Protocol 
Scope 3 
Guidiance
Netherlands
98% of all KPN 
busines units 
and subsidairies 
(opex/FTE)
Spend-based  
(Evironmentally 
Extended Input 
Output data 
(EEIO) approach)
Location-
based
Limited
UK DEFRA 
2014 (Indirect 
emissions from 
the supply chain) 
and CBS Statline 
The EEIO-factors 
are corrected for 
inflation
Scope 3 Cat:
3, 6, 7, 11, 13
GHG Protocol 
Scope 3 
Guidiance
Netherlands
98% of all KPN 
busines units 
and subsidairies 
(opex/FTE)
Proces-and 
activity- based
Location-  
based
Limited
co2emissie- 
factoren.nl  
version 4-1-2021
Scope 3 Cat:
8, 10, 12, 14, 15
GHG Protocol 
Scope 3 
Guidiance
Netherlands
98% of all KPN 
busines units 
and subsidairies 
(opex/FTE)
Not applicable 
for KPN
Not applicable
Limited
Not applicable
Reporting dates: annually on 31 December
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Sustainability-Linked Finance Framework  12 
• Reporting frequency and data assurance:
	 Annually, KPI performance will be included in the Annual Report or corporate responsibility report, or a 
similar report. KPN will engage an external auditor to provide at least a limited assurance regarding such 
KPI performance information.
• Materiality to business: 
As a large owner and operator of infrastructure assets, climate change is a critical long-term risk for KPN. 
KPN is committed to understanding the extent and impact of the risk to be able to mitigate the challen-
ges that climate change brings to itself. We are therefore taking the necessary steps recommended by the 
Task Force on Climate-related Financial Disclosures (TCFD) to assess the potential severity of the risks, 
and the potential value of the opportunities, so that KPN can maximise the positive impacts and minimise 
the negatives on its business. 
 
KPN has identified environmental performance as one of six most relevant materiality risk factors that 
has a significant impact on both its stakeholders as well as economic, environmental and social impacts 
for KPN. Material risks are those that could have a significant effect on operations, strategy, and financial 
planning if not managed appropriately. 
Further Information available from KPN’s Annual Report. 
• Contribution to UN SDGs:  
SDG 9 Industry, Innovation and Infrastructure, SDG 11 Sustainable Cities and Communities,  
SDG 12 Responsible Production and Consumption and SDG 13 Climate Action
• Contribution to EU Environmental Objective:  
Climate Change Mitigation
• KPN’s strategic ambition: 
In 2017, KPN set approved Science-Based Targets in line with reductions required to limit global warming 
increases to 1.5°C above pre-industrial levels, the most ambitious goal of the Paris Agreement. In 2021, 
KPN updated its ambition to reduce Scope 3 emissions by 20% by 2025, 30% by 2030 and to become  
“net zero” in the chain by 2040 compared to 2014. 
Materiality matrix 2020
Materiality matrix 2020
Significance for stakeholders
1. Network quality, reliability & availability
2. Sustainable ICT solutions
3. Customer interaction
4. Data & information protection
5. Supplier selection & good governance
6. Environmental performance
7. Attractive working conditions
8. Fair acces to KPN fixed network
9. Shared digital knowledge
10. KPN’s corporate governance  
& human rights compliance 
11. Responsible operations
12. Tax strategy
13. Social community investments
1
8
7
9
10
13
12
11
5
6
2
3
4
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3.4	
Calibration of Sustainability Performance Targets (SPTs)
SPT1a and 1b: Percentage reduction of value chain CO2e (Scope 3) by 2025 and 2030
• Sustainability performance targets 
SPT1 a: To reduce absolute scope 3 emissions by 20% by 2025 against a 2014 baseline.  
SPT1 b: To reduce absolute scope 3 emissions by 30% by 2030 against a 2014 baseline. 
• Baseline: 
In line with SBTi (Science Based Targets initiative) criteria, 2014 constitutes the baseline as the most 
recent year for which final figures were available when the targets were being set. Also see “Baseline 
Recalculation Mechanism” below. 
• Baseline year performance: 
1,063.2 kTon of CO2e in 2014
• Target performance:  
851 kTon of CO2e in 2025 
744 kTon of CO2e in 2030
• External validation and ambition: 
The SBTi validated KPN’s commitment in February 2017 to reduce absolute Scope 3 emissions by 20% by 
2025 and by 50% by 2040 from a 2014 base year as being in line with a 1.5 oC scenario.  
 
In 2021, KPN increased its sustainability ambition and is aiming for net zero emissions in the chain 
by 2040. Therefore, this updated target is more ambitious than the previous version of the target as 
reported in the Annual Report 2020. KPN will achieve this target by reducing GHG emissions to the 
maximum extent possible, and then capturing or removing the remaining scope 3 emissions, avoiding any 
further increase of GHGs in the atmosphere.  
 
SPT 1a and 1b are absolute emissions targets that are part of our broader “net zero” commitment. 
 
The Science Based Targets initiative is a collaboration between CDP, the United Nations Global Compact, 
World Resources Institute (WRI) and the World Wide Fund for Nature (WWF). The SBTi defines and 
promotes best practice in science-based target setting and independently assesses companies’ targets in 
line with the latest climate science.
Sustainability-Linked Finance Framework  13 
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Baseline Recalculation Mechanism
Baseline Recalculation Mechanism of GHG emissions with respect to a base year: the levels of Scope 3 GHG 
emissions during the base-year 2014 will be recalculated to reflect any significant changes in KPN’s Group structure 
(e.g. acquisitions, divestitures, mergers) or methodological changes. Any recalculations of GHG emissions base year 
or targets must be stated in the annual KPI reporting.
• Strategy to achieve SPT 1a and SPT 1b: 
	 - KPN engages with suppliers on carbon reduction in the value chain. This is covered by the scope 
extension of KPN’s ISO 14001 certificate with energy management and carbon reduction management. 
Together with its suppliers KPN implemented sustainable solutions which resulted in cost reductions,  
as well as reductions in energy and material use.
	 - KPN will engage with key suppliers in collaboration with other telecom members of the Joint Audit 
Cooperation to accelerate implementation in its value chain of circular economy applications and 
transition to renewable energy. As more suppliers in the telecom sector become climate neutral that 
helps with KPN’s Scope 3 emissions. The largest suppliers in the telecom sector tend to be delivering 
products and services to most telecom providers, which creates critical mass for improvement.
	 - KPN will engage with suppliers on refining the data basis of emissions calculation with primary data 
from tier 1 suppliers and approaching suppliers regarding improvements in reporting and data quality. 
KPN collaborates with other telecommunications providers and its supplier base to refine the data basis 
for emissions calculation to stimulate reporting on value chain emissions. Based on these efforts KPN 
is joining forces with suppliers on identifying measures and setting targets to reduce emissions in the 
value chain.
	 - For upstream emissions KPN stimulates customers to use energy saving features for 
in-home equipment.
	 - KPN has integrated the EcoVadis Scorecard for its suppliers. This is an evaluation of how well suppliers 
integrate the principles of CSR into their business and management system. The assessment is part of 
KPN’s tender process. The scope criteria are across four themes: environment, labour & human rights, 
ethics & sustainable procurement. KPN aims for at least industry average scores. 
	 - The reduction of value chain emissions will also be facilitated by growing political support (including EU 
regulation) for renewable energy and phase-out of high-emission fossil fuels as electricity production 
sources, leading to lower-carbon country energy mixes in countries of operations.
	 - Other supporting macro-trends include continuously increasing efficient heating systems, as well as the 
broad roll-out and regulatory support for e-mobility. In addition, increasing energy efficiency of devices 
and societal awareness will contribute to relative lower downstream emissions.
• Main risks to reaching target:
	 - Suppliers may be impacted by uncertain availability and prices of (or prices of certificates for) 
renewable energy (their scope 1 and 2 emissions), which may impact their progress towards climate 
neutrality and therefore impact KPN’s Scope 3 emissions.
	 - Change in renewable energy and/or carbon pricing: increased prices vs traditional electricity supply, 
impacting suppliers’ and customers’ economics of meeting KPN’s net zero target.
	 - Strategic transformation: organisational transformation and portfolio activity (such as integrations, 
mergers or separations). 
	 - Instability of grid electrical supply, that requires the use of fossil fuel generators to keep sites 
operational. 
	 - KPN’s operation is dependent on a wide range of global suppliers. Disruption to the supply chain could 
mean that KPN is unable to execute its strategic plans, resulting in increased scope 3 emissions. 
	 - Adverse political and regulatory measures impacting KPN’s strategy.
Sustainability-Linked Finance Framework  14 
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3.5	
Characteristics of the Sustainability-Linked Financing Instruments
For each Sustainability-Linked Finance Instrument issued under this framework KPN may use a single SPT or a 
combination of multiple SPTs. If the SPT(s) has/have not been reached at the target observation date, as per the 
annual reporting published following the target observation date, a financial penalty will be payable by KPN. 
The financial and/or structural characteristics of KPN’s Sustainability-Linked Finance Instruments may vary 
depending on whether or not the selected KPI reaches the predefined SPT(s). They are to be specified in the final 
terms of each Sustainability-Linked Finance Instruments issued and may include coupon step-up(s), coupon step-
down(s) and/or a higher repayment amount. 
If, for any reason, the performance level against each SPT cannot be calculated or observed, or not in a satisfactory 
manner (non-satisfactory manner to be understood as a verification assurance certificate provided by the 
independent auditor containing a reservation or the independent auditor not being in a position to provide such 
certificate), the financial penalty (as defined above) will be applicable. If, for any reason, the company does not 
publish the relevant SPT within the time limit as prescribed by the terms and conditions of the notes, the financial 
penalty will be applicable. 
3.6	
Reporting
KPN will communicate annually on the relevant KPIs and SPT(s), making up-to-date information and reporting 
available on its website:
• KPN’s integrated annual report and/or corporate responsibility report will include the performance of the selected 
KPIs, including baselines where relevant, covered by an assurance statement of the independent auditor.
• Following a target observation date, a verification assurance certificate confirming whether the performance on 
the KPI meets the relevant SPT will be published on KPN’s website.
Any information enabling investors to monitor the level of ambition of the SPT (e.g., any update in KPN’s 
sustainability strategy or on the related KPI/ESG governance, and more generally any information relevant to the 
analysis of the KPIs and SPT(s)) will also be published on KPN’s website.
3.7	
Verification
This Framework and the associated annual reporting will benefit from three layers of external verification: 
• Second Party Opinion by a recognised ESG agency on the alignment of the Framework and the associated 
documentation with the Sustainability-Linked Bond and Loan Principles, including an assessment of the 
relevance, robustness and reliability of selected KPIs, the rationale and level of ambition of the proposed SPTs, 
the relevance and reliability of selected benchmarks and baselines, and the credibility of the strategy outlined to 
achieve them, based on scenario analyses, where relevant.
• An assurance statement by an auditor on the KPI information included in KPN’s integrated annual report annually.
• A verification assurance certificate confirming whether the performance of the KPI meets the relevant SPT, 
published on KPN’s website following a target observation date.
Sustainability-Linked Finance Framework  15 
 Content

The information and opinions contained in this KPN Sustainability-Linked Finance Framework (the Framework) 
are provided as at the date of this Framework and are subject to change without notice. None of Koninklijke KPN 
N.V. (KPN) or any of its subsidiaries assume any responsibility or obligation to update or revise such statements, 
regardless of whether those statements are affected by the results of new information, future events or otherwise. 
This Framework represents current KPN policy and intent, is subject to change and is not intended to, nor can it be 
relied on, to create legal relations, rights or obligations.
This Framework is intended to provide non-exhaustive, general information. This Framework may contain 
or incorporate by reference public information not separately reviewed, approved or endorsed by KPN and 
accordingly, no representation, warranty or undertaking, express or implied, is made and no responsibility or 
liability is accepted by KPN as to the fairness, accuracy, reasonableness or completeness of such information. 
This Framework may contain statements about future events and expectations that are forward looking 
statements. None of the future projections, expectations, estimates or prospects in this Framework should be 
taken as forecasts or promises nor should they be taken as implying any indication, assurance or guarantee that 
the assumptions on which such future projections, expectations, estimates or prospects have been prepared are 
correct or exhaustive or, in the case of the assumptions, fully stated in the Framework.
 
No representation is made as to the suitability of any Sustainability-Linked Finance Instruments to fulfil 
environmental and sustainability criteria required by prospective investors. Each potential purchaser of 
Sustainability-Linked Finance Instruments should determine for itself the relevance of the information contained 
or referred to in this Framework or the relevant documentation for such Sustainability-Linked Finance Instruments 
and its purchase of Sustainability-Linked Finance Instruments should be based upon such investigation as it 
deems necessary. KPN has set out its intended policy and actions in this Framework in respect of reporting and 
verification, in connection with the Sustainability-Linked Finance Instruments. However, it will not be an event 
of default under the terms and conditions of any such Sustainability-Linked Finance Instruments if KPN fails to 
adhere to this Framework, whether by failing to fund or complete Sustainability Performance Targets, or by failing 
(due to a lack of reliable information and/or data or otherwise) to provide investors with reports as anticipated by 
this Framework, or otherwise.
In addition, it should be noted that all of the Sustainability Performance Targets as described in this Framework 
may not be achieved. Factors including (but not limited to) market, political and economic conditions, changes 
in government policy (whether with a continuity of the government or on a change in the composition of the 
government), changes in laws, rules or regulations, and other challenges, could limit the ability to achieve some 
or all of the expected benefits of these initiatives. Each environmentally focused potential investor should be 
aware that the Sustainability Performance Targets may not deliver the environmental or sustainability benefits 
anticipated, and may result in adverse impacts.
In particular, neither this Framework nor any other related material may be distributed or published in any 
jurisdiction in which it is unlawful to do so, except under circumstances that will result in compliance with 
any applicable laws and regulations. Persons into whose possession such documents may come must inform 
themselves about, and observe, any applicable restrictions on distribution.
KPN has and undertakes no obligation to update, modify or amend this Framework, the statements contained 
herein to reflect actual changes in assumptions or changes in factors affecting these statements or to otherwise 
notify any addressee if any information, opinion, projection, forecast or estimate set forth herein changes or 
subsequently becomes inaccurate. 
4 	Disclaimer
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This Framework is not intended to be and should not be construed as providing legal or financial advice. It 
does not constitute an offer or invitation to sell or any solicitation of any offer to subscribe for or purchase or 
a recommendation regarding any securities, nothing contained herein shall form the basis of any contract or 
commitment whatsoever and it has not been approved by any security regulatory authority. In particular, neither 
this Framework nor any other related material may be distributed or published in any jurisdiction in which it 
is unlawful to do so, except under circumstances that will result in compliance with any applicable laws and 
regulations. Persons who might come into possession of it must inquire as to the existence of such restrictions 
and comply with them. Any decision to purchase any Sustainability-Linked Finance Instruments should be made 
solely on the basis of the information to be contained in any offering document provided in connection with the 
offering of such Sustainability-Linked Finance Instruments. Prospective investors are required to make their own 
independent investment decisions.
The information in this Framework has not been independently verified. The addressee is solely liable for any use 
of the information contained herein and KPN shall not be held responsible for any damages, direct, indirect or 
otherwise, arising from the use of this Framework by the addressee.
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