Report on Futurepast’s
Verification Engagement with

Manulife Investment Management
Relative to Its

Agricultural Greenhouse Gas Emissions
Inventory for 2022
Report Date: 2023-04-26

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Contents
Addressee ................................................................................................................................................................................... 3
Responsibilities ........................................................................................................................................................................ 3
Criteria ......................................................................................................................................................................................... 3
Type of Engagement ............................................................................................................................................................... 3
Objectives of the Verification.............................................................................................................................................. 4
Scope of the Verification ....................................................................................................................................................... 4
Level of Assurance and Threshold of Materiality....................................................................................................... 5
Summary of Manulife’s Greenhouse Gas Statements ............................................................................................... 5
Description of Data and Information Management Systems ................................................................................. 6
Discussion of Verification Team’s Risk Assessment ................................................................................................. 7
Description of Evidence-Gathering Procedures.......................................................................................................... 9
Scope 1 (Direct Emissions) ......................................................................................................................................... 9
Scope 2 (Indirect emissions from imported energy) ................................................................................. 10
Description of Agreed-Upon-Procedures (Scope 3)................................................................................................ 10
Scope 3 (Indirect emissions from other sources) ........................................................................................ 10
Verification Criteria .............................................................................................................................................................. 11
Verification Team Leader and Independent Reviewer Signatures ................................................................... 12
Annex A: Verification Plan ................................................................................................................................................. 13
Annex B: List of Findings .................................................................................................................................................... 15
Annex C: Verification Opinion .......................................................................................................................................... 28
Annex D: Report of Factual Findings (If Applicable) .............................................................................................. 30

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Addressee
This report is addressed to the management of Manulife Investment Management Timberland andAgriculture, 197 Clarendon St., C-08-99, Boston MA 02116.

Responsibilities
It was the responsibility of Manulife Investment Management (“Manulife”) to prepare its
agricultural land management greenhouse gas (GHG) inventory statements in accordance with the
WRI/WBCSD GHG Protocol Corporate Accounting and Reporting Standard. This responsibility
includes designing, implementing and maintaining a data management system adequate for the
preparation and fair presentation of the statements. Manulife is responsible for the fairpresentation of its data and information and ensuring that these are free from material
misstatements.
Based on the work we performed, it was the responsibility of Futurepast to express an opinion as towhether the agricultural land management GHG emissions as stated by Manulife were presented
fairly in accordance with the agreed criteria.

Criteria
Manulife and Futurepast agreed that the criteria for the statements to be verified was the WRI/WBCSD GHG Protocol Corporate Accounting and Reporting Standard. Futurepast assessed thecriteria and found them suitable, considering:a) the engagement’s scope and boundaries;b) the greenhouse gases and sources, sinks and reservoirs associated with Manulife’s facilities,
physical infrastructure, activities, technologies, and processes;c) the quantification methods employed; andd) requirements for disclosures.
In accordance with the criteria, Manulife reported greenhouse gas emissions using the Global
Warming Potentials (GWP) found in the IPCC’s 4th Assessment Report. In Futurepast’s opinion, theagreed criteria were relevant, complete, reliable and understandable.

Type of Engagement
This engagement included the following types of activities:☒ Verification☐ Validation☒ Agreed-upon procedures
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Objectives of the Verification
To provide limited assurance to Manulife that there is no evidence that the GHG Statements madeby Manulife are not materially correct and are not in conformance with the stated criteria.
Manulife Investment Management seeks this verification for internal management purposes and for
public disclosure of its GHG emissions.

Scope of the Verification
Facilities, physicalinfrastructure,
activities,
technologies, andprocesses

GHG emissions from Manulife's network of agricultural properties (directly
operated and leased) in the USA, Canada, and Australia.
Manulife manages farmland and timberland portfolios through several
investment structures for institutional investors, including public and private
pension funds, foundations and endowments, high net-worth individuals, andTaft-Hartley plans.
Manulife’s agricultural businesses manages properties in the USA, Canada,
and Australia. The portfolio includes a mix of both directly operated andleased properties. A wide range of crop types are farmed in the Manulife
portfolio, including almonds, pistachios, rice, cotton, corn, soybeans, grapes,
cranberries, and more.
The Manulife GHG inventory includes emissions from energy combustion(fossil fuel, electricity) and other emissions specific to agricultural land
management (N2O release from fertilizer applications, CH4 emissions fromrice water management, CO2 from lime/urea applications).
Note that the following GHG sources were removed from the inventory
boundary for the 2022 reporting year as they were deemed by Manulife not
to be relevant:Greenhouse gas
sources, sinks,
and reservoirs•

agriculture residue biomass combustion•

fallow land and broadacre crop categories

SCOPE 1 & SCOPE 2 GHG SOURCES (from directly operated properties):
Scope 1:
Fuel combustion (stationary and mobile sources), nitrogen application fromfertilizers, lime and urea applications (CO2 only)
Scope 2:
Electricity consumption

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SCOPE 3 SOURCES (from leased properties):
1. All Scope 1 and Scope 2 GHG sources listed above occurring on leased
properties
2. Methane (CH4) emissions from water management on leased riceproperties
Types ofgreenhouse gases
Time period

Manulife’s GHG inventory calculates and reports CO2, CH4, and N2O emissions.
January 1, 2022 – December 31, 2022

Level of Assurance and Threshold of Materiality
Level of Assurance: Limited
Materiality Threshold: 10%

Summary of Manulife’s Greenhouse Gas Statements
Manulife’s 2022 GHG emissions from agricultural land management are presented in the tablebelow (summarized from the Manulife GHG inventory spreadsheet “Ag GHG Emissions Calculator
2022 – For MFC.xls”):
Metric Tonnes of CO2e
GHG Emission Category

SCOPE 1
(Direct GHG emissions)

SCOPE 2
(Indirect GHG emissions from imported energy)

SCOPE 3
(Indirect GHG emissions from other sources)

TOTAL

CO2

CH4

N2O

TOTAL

20,45636

12,63933,131

15,10625

39

18,935*39,03670,02379,044

193,092*

74,59870,08491,722

245,159**total CO2e value does not equal sum of listed greenhouse gas totals due to a lack of specificcomponent greenhouse gas information in Australian emission factors for imported electricity

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Manulife’s reported Scope 1 and Scope 2 emissions are a result of farm management practices that
occur on properties that are directly operated by Manulife. At these properties Manulife has
operational control over the properties and has access to verifiable input data on the farmmanagement practices and consumption of energy and fertilizers. Futurepast’s verification opinion
applies to the Scope 1 and Scope 2 emissions from directly-operated properties.
Manulife’s reported Scope 3 emissions are a result of farm management practices that occur on
properties that Manulife leases to farmers. A significant amount of the GHG emissions on leased
properties are estimated using methodological approaches that have been applied by Manulife in
the absence of actual property-specific input data. Futurepast has used verification techniques
within agreed-upon-procedures to report factual findings concerning Manulife’s Scope 3 emissions
given the paucity of verifiable input data for leased properties. The findings of Futurepast’s agreedupon-procedures investigation are presented as an annex to this verification report. Assurance is
not provided on factual findings that result from the application of agreed-upon procedures.

Description of Data and Information Management Systems
The data management system for the Manulife agricultural GHG inventory is a function of theparties described below:
Manulife Investment Management Sustainability Team
Overall coordination of the agricultural GHG inventory project including:- decision-making on inventory parameters,- scheduling and initiation of annual farm survey data request to managers of directlyoperated properties- review of reasonableness of data reported by farm property managers- engagement with property managers regarding the importance of data accuracy,
consistency, and completeness- engagement with property managers to confirm potential issues observed with reported
data- on-going management and updating of GHG methodology document and GHG inventory
spreadsheet- processing and analysis of completed data collection surveys filled out by managers of
directly-operated properties
Managers of Farm Properties- management, collection, and reporting of GHG inventory activity data (fuel consumption,
electricity consumption, N applications, etc.) through the annual farm data surveys
circulated by Manulife
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- quality control procedures including review and reconciliation by multiple levels ofadministration (e.g. Farm Manager, Operations Manager, Regional Manager)
Manulife Corporate Sustainability Team- roll-up of agricultural GHG inventory data to the Manulife corporate level- analysis of reasonableness of the agricultural GHG inventory data
- oversight of third-party verification of Manulife’s corporate GHG inventory

Discussion of Verification Team’s Risk Assessment
Futurepast performs a risk assessment to identify inherent risks, control risks, and detection risks
that could result in material misstatements. The steps in the risk assessment process included:•

Reviewing the GHG Statement and other available documentation specific to the Statement(Inventory methodology document, Manulife 2022 agriculture GHG inventory calculation
spreadsheet; Manulife agriculture GHG emissions from prior reporting years);•

Assessing the likelihood that a material discrepancy might exist in the GHG Statement, if nocontrols were used to prevent discrepancies in the GHG Statement (inherent risk);•

Assessing the control environment and the corporate governance process (control risk);•

Reviewing each emissions source identified in the Statement and evaluating thecontribution of each source to the GHG Statement and the associated potential risk ofmaterial discrepancy for each.

Detection risk is a measure of the risk that the verification procedures will fail to detect material
discrepancies (if any exist). Futurepast’s verification procedures were developed to address
inherent and control risks, while ensuring the level of detection risk is sufficiently low to reach averification conclusion at a limited level of assurance. The results of the risk assessment areprovided in the table below, including Futurepast’s procedure for addressing each identified
inherent and control risk.

Risk
NumberObserved Potential Risk

Verification Procedure

INHERENT RISKS
Inherent Risk
1

Consistency and accuracy ofemission factors used.

Confirmed all emission factors used against citedsources.

Inherent Risk
2

Completeness of list of GHG
SSRs included in reported GHG

Reviewed and assessed rationale for Manulife’s
exclusion of GHG emissions from biomass combustion in

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Statement.

the 2021 GHG inventory.
Reviewed the reasons for excluding soil carbon
sequestration from reported GHG totals.

Inherent Risk
3

Inherent Risk
4

Methodology for estimation of
nitrogen inputs and energy
consumption for leased
properties is reasonable and isbeing applied consistently andaccurately.

Reviewed the appropriateness and accurate applicationof the methodologies used for estimation of nitrogen
inputs and energy consumption for leased properties.

GHG inventory spreadsheet
input data and calculation
accuracy (including year-toyear comparison)

Reviewed Manulife GHG inventory spreadsheet toconfirm the accuracy of all calculations used in theStatement through the following verification
procedures:

Confirmed nitrogen application rate and energy
consumption against cited source (e.g. USDA).
Confirmed that the estimated nitrogen application rateand energy consumption is being properly applied basedon crop type and region.

1. Tracing of GHG calculations within the GHG inventory
spreadsheet
2. Comparison of 2022 GHG inventory to 2021 GHG
inventory
3. Assessment of calculations against description
provided in GHG methodology document
CONTROL RISKS
Control Risk 1

Lack of version control anddocumentation of updates in
GHG inventory methodology
document and spreadsheet
calculation tool.

Control Risk 2

Appropriate procedures are inplace for quality control of GHG
inventory.

Data management system was reviewed by Futurepast
through interviews with Manulife staff.

Data management system was reviewed by Futurepast
through:
1. interviews with Manulife staff
2. inspection of evidence of data quality andmanagement process being implemented

Control Risk 3

GHG inventory methodology
document is not being updated
on an annual basis.

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1. Assessment of data sources and assumptions used in
calculations to confirm they continue to be an accurate
representation of the reported GHG inventory.

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Description of Evidence-Gathering Procedures
Due to the limited level of assurance, there was a reduced emphasis on analysis and assessment ofsource data (e.g. consumption invoices, farm operator surveys) in the verification. The verification
focused on the reasonableness of methodologies and assumptions and accuracy of calculation tools
used in the GHG inventory.
Scope 1 (Direct Emissions)
Scope 1 (direct emissions) represent 13.5% (33,131 tonnes CO2e) of Manulife’s 2022 agricultural
GHG inventory. The following sources contribute to Manulife’s direct GHG emissions:•

Fuel combustion (53%)•

Synthetic fertilizer nitrogen applications to soil (38%)•

Urea and lime applications to soil (9%)

Fuel Combustion
In its GHG inventory Manulife includes fuel combustion in agricultural equipment (diesel, gasoline,
propane) and fuel combustion in agricultural buildings (natural gas). For directly-operated
properties consumption data is obtained from fuel purchase invoices or surveys completed by the
Manulife farm managers.
Futurepast reviewed the following information in its assessment of fuel combustion values used in
Manulife’s Scope 1 calculations:
1. Emission factor accuracy for all types of fuels and all geographic regions were checkedagainst the cited source documents.
2. Total consumption of each fuel type for directly-operated properties was compared to the2021 total consumption as a test of reasonableness of the 2022 data, aggregated by crop
type.
Synthetic Fertilizer Nitrogen Applications to Soil
Manulife includes nitrogen applications to soil from several types of synthetic fertilizers in its GHG
inventory. For directly-operated properties the nitrogen application data is obtained from surveys
completed by the Manulife farm managers.
Futurepast reviewed the following information in its assessment of nitrogen application values
used in Manulife’s Scope 1 calculations:
1. Emission factor accuracy for all GHG emissions from nitrogen fertilizer applications (directemissions, indirect emissions from atmospheric deposition, indirect emissions fromleaching and runoff, indirect emissions from nitrogen volatilization) were checked against
the cited source documents.

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2. Total nitrogen applications by crop type for direct-operated properties was compared to
the 2021 values as a test of reasonableness of the 2022 data.
Urea and Lime Applications to Soil
Futurepast reviewed the following information in its assessment of urea and lime application
values used in Manulife’s GHG inventory calculations:
1. We checked emission factor accuracy for CO2 emissions from urea and lime applications
against the cited source documents.
2. Total urea and lime applications in 2022 was compared to the 2021 values as a test ofreasonableness of the 2022 data.
Scope 2 (Indirect emissions from imported energy)
Scope 2 (indirect emissions from imported energy) represent 7% (18,935 tonnes CO2e) of
Manulife’s 2022 GHG inventory. For directly-operated properties the consumption data is obtained
from electricity utility invoices or surveys completed by the Manulife farm managers
Futurepast reviewed the following information in its assessment of electricity consumption values
used in Manulife’s GHG inventory calculations:
1. Emission factor accuracy for all geographic regions were checked against the cited source
documents.
2. Total consumption of electricity for directly-operated properties was compared to the 2021
total consumption as a test of reasonableness of the 2022 data, aggregated by crop type.

Description of Agreed-Upon-Procedures (Scope 3)
Scope 3 (Indirect emissions from other sources)
Scope 3 (indirect emissions from other sources) represent 78.7% (193,902 tonnes CO2e) of
Manulife’s 2022 GHG inventory. The following sources contribute to Manulife’s Scope 3 GHG
emissions:•

Synthetic fertilizer nitrogen applications to soil on leased properties (42%)•

Rice crop floodwater management on leased properties (37%)•

Fuel combustion on leased properties (11%)•

Electricity consumption on leased properties (9%)•

Urea and lime applications to soil on leased properties (1%)

Synthetic Fertilizer Nitrogen Applications to Soil on Leased Properties
Nitrogen application data for the majority of Manulife’s leased properties is estimated using one oftwo methodologies: a) average of the nitrogen application rate for all direct-operated properties of
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the same crop type, or b) use of published average nitrogen application rates by crop type reported
by independent sources (e.g. USDA).
See Annex D for additional detail about the agreed-upon procedures that Futurepast used withrespect to Manulife’s Scope 3 GHG calculations of nitrogen application values.
Rice Crop Floodwater Management on Leased Properties
In its GHG inventory Manulife includes methane emissions from the anaerobic decomposition oforganic materials during rice cropping that is influenced by the floodwater management approach
utilized. All Manulife rice farms are leased properties. For most properties, input data needed forthe methane emissions calculations from this source is obtained from surveys completed by thefarm managers.
See Annex D for additional detail about the agreed-upon procedures that Futurepast used withrespect to Manulife’s Scope 3 emissions related to rice crop floodwater management.
Fuel Combustion on Leased Properties
Fuel consumption data for Manulife’s leased properties is reported by the farm managers or isestimated using one of two methodologies: a) average of the fuel consumption rate for all directoperated properties of the same crop type, or b) use of published average fuel consumption rates
by crop type reported by independent sources (e.g. USDA).
See Annex D for additional detail about the agreed-upon procedures that Futurepast used withrespect to fuel combustion values used in Manulife’s Scope 3 emission calculations.
Electricity Consumption on Leased Properties
Electricity consumption data for Manulife’s leased properties is reported by the farm managers oris estimated using one of two methodologies: a) average of the electricity consumption rate for all
direct-operated properties of the same crop type, or b) use of published average electricity
consumption rates by crop type reported by independent sources (e.g. USDA).
See Annex D for additional detail about the agreed-upon procedures that Futurepast used withrespect to electricity consumption values reported by Manulife as Scope 3 emissions.
Urea and Lime Applications on Leased Properties
See Annex D for additional detail about the agreed-upon procedures that Futurepast used withrespect to urea and lime application on leased properties.

Verification Criteria
Futurepast conducted its verification activities based on the requirements of ISO 14064-3:2019,
Specification with guidance for the verification and validation of greenhouse gas statements.

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Verification Team Leader and Independent Reviewer Signatures
Verification Team Leader

Stephen Boles, 30 April 2023
Independent Reviewer

John C. Shideler, 30 April 2023
This report is approved when signed and dated by the independent reviewer.

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Annex A: Verification Plan

Verification-Validation Workbook: Verification Plan

CLIENT

Manulife Investment Management Timberland andAgriculture

ENGAGEMENT 2022 Agricultural GHG inventory verification
PLAN APPROVED BY:
LEVEL OF ASSURANCE: Limited

CONTACT: Brandon Lewis
Email: blewis@manulife.com
Phone: 609-375-7545

PLAN DATE: 11-Apr-2023 PLAN REV.:ENGAGEMENT TYPE: Verif. + AUP

To provide limited assurance to the stakeholders of Manulife Investment Management Timberland andAgriculture ("Manulife") that there is no evidence that the GHG Statement made by Manulife is not materially
OBJECTIVES correct and is not in conformance with the stated criteria

SCOPEa) GHG sources, sinks and reservoirs
SCOPE 1 & SCOPE 2 GHG SOURCES (from direct-operated properties):
Scope 1:
1. Fuel combustion (stationary and mobile sources)
2. Nitrogen application from fertilizers
3. Lime and urea applications (CO2 only)
Scope 2:
1. Electricity consumption
SCOPE 3 SOURCES (from leased properties):
1. All Scope 1 and Scope 2 GHG sources listed above occurring on leased properties
2. Methane (CH4) emissions from water management on leased rice propertiesb) Boundaries
GHG emissions from Manulife's network of agricultural properties (direct-operated and leased) in the USA,
Canada, and Australiac) Physical infrastructure, activities, technologies and processes within the scope
Manulife manages farmland and timberland portfolios through several investment structures for institutional
investors, including public and private pension funds, foundations and endowments, high net-worth
individuals, and Taft-Hartley plans.
Manulife's agriculture businesses manages agricultural properties in USA, Canada, and Australia. The
portfolio includes a mix of both direct-operated and leased properties. A wide range of crop types arefarmed in the Manulife portfolio, including almonds, pistachios, rice, cotton, corn, soybeans, grapes,
cranberries, and more.

d) Data management details
Manulife's agricultural GHG inventory is a spreadsheet-based product. Manulife's process and controls fordata aggregation, consolidation and reporting (including the management of data from direct-owned vsleased properties) is described in the Manulife corporate GHG inventory methodology document. Note that
opportunities have been identified by Futurepast (and recommended to Manulife in the 2021 inventory
verification report) for improved data management and quality control.

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e) Management controls
For the 2020 calendar year the Manulife agricultural GHG inventory was developed and managed by a thirdparty GHG consulting firm. For the 2021 calendar year Manulife assumed responsibility for the on-going
maintenance of the agricultural GHG inventory, although the third-party consultant was still involved on an
as-needed basis. For the 2022 calendar year Manulife has complete responsiblity for the agricultural GHG
inventory (no involvement of third-party consultant).

f) Time periods
Calendar year 2022 (January 1 - December 31, 2022)
IDENTITY AND ROLES OF VERIFICATION TEAM MEMBERS
NAME: Stephen Boles
NAME: Alexander Scott
VERIFICATION CRITERIA: ISO 14064-3
VERIFICATION CRITERIA: Secondary criteria

ROLE: Team Leader
ROLE: Observer

MATERIALITY THRESHOLD (%): 10
PERFORMANCE MATERIALITY (%):
DATE PLAN SENT TO RESPONSIBLE PARTY: 11-Apr-2023

REASON(S) FOR PLAN REVISION:SCHEDULE FOR SITE VISITSDAY
Wednesday

DATE
TIME
ACTIVITY
19-Apr-2023 11:00 EDT Verification Audit

TEAM MEMBER
SB, ASPROPOSED VERIFICATION PROCEDURES
1. Detailed comparison of 2021 to 2022 GHG emissions and calculation input parameters by region, crop type
2. Review of accuracy and relevancy of GHG emission factors and conversion equations used in calculations
3. Assess the appropriateness and accuracy of sources of data used for key input parameters(e.g. industry reports, government reports) used in estimated GHG calculations
4. Review the accuracy and proper functioning of the Manulife agriculture GHG inventory spreadsheet tool
5. Assess the reason for significant decrease in Scope 1 emissions compared to previous year
NOTE: Additional supporting evidence (e.g. surveys, energy invoices) will only be requested
if the proposed verification procedures reveal issues that demand further investigation by the verifier
TENTATIVE SCHEDULE
05-Apr-23

Kick-off Meeting

April 6 - 11, 2023

Document Review

12-Apr-23

Verification Plan sent to client

19-Apr-23

Verification Audit (virtual)24-Apr-23

Preparation of Draft Verification Report and Statement

April 26 - 27, 2023

Independent Review

28-Apr-23

Delivery of draft verification report and statement to client

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Annex B: List of Findings
#

Typ
e

Issue/Clarification

Ref.

Audit
Evidence

Responsible Party
ActionLead
Verifier
Conclusion

1INC

CH4 and N2O emission
factors for US-based
diesel, gasoline, andpropane combustion havenot been sourced from themost recent version of the
US EPA “Emission
Factors for GHG
Inventories” released on
April 1, 2022.

GHG
ProtocolCorporate
ReportingStandard(Section 6)"4.4 Energy
EFs Input"
worksheet ofManulife 2022
GHG inventory
spreadsheet

Since this issue wascategorized as immaterial,
we will forgo updating the
GHG inventory’s fuelemission factors.

Response
accepted issue closed.

In 2023 we are planning torecalculate our agriculture
portfolio baseline, which
will involve a review andupdate of emission factors
and estimates in thecalculator.

Result of the INC is a 231
tonne CO2e understatement of reported
Scope 1 GHG emissions.
2INC

CO2e location-based
emission factors forelectricity consumption in
Ontario and Quebec havenot been sourced from themost recent version of theCanadian National
Inventory Report(released April 2022).

GHG
ProtocolCorporate
ReportingStandard(Section 6)"4.4 Energy
EFs Input"
worksheet ofManulife 2022
GHG inventory
spreadsheet

Response
accepted issue closed.

In 2023 we are planning torecalculate our agriculture
portfolio baseline, which
will involve a review andupdate of emission factors
and estimates in thecalculator.

CO2e location-based
emission factors forelectricity consumption inAustralia have not beensourced from the mostrecent version of theAustralian National GHG
Factors (released Feb2023).

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Since this issue wascategorized as immaterial,
we will forgo updating the
GHG inventory’s Ontario,
Quebec, and Australia
electricity emission
factors.

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3

INC

Estimated nitrogen
application rate for grapes
has not been updated.

"4.1
Assumptions" worksheetof Manulife
2022 GHG
inventory
spreadsheet"4.1
Assumptions"worksheet ofManulife 2022
GHG inventory
spreadsheet

Since this issue wascategorized as immaterial,
we will forgo updating the
GHG inventory’s averagenitrogen application rate
value based on 2022
almond and pistachio
primary data.

Response
accepted issue closed.

In 2023 we are planning torecalculate our agriculture
portfolio baseline, which
will involve a review andupdate of emission factors
and estimates in thecalculator.
4

INC

Estimated nitrogen
application rate for
cranberry has not been
updated.

"4.1
Assumptions" worksheetof Manulife
2022 GHG
inventory
spreadsheet"4.1
Assumptions"worksheet ofManulife 2022
GHG inventory
spreadsheet

Since this issue wascategorized as immaterial,
we will forgo updating the
GHG inventory’s averagenitrogen application rate
value based on 2022
cranberry primary data.

Response
accepted issue closed.

In 2023 we are planning torecalculate our agriculture
portfolio baseline, which
will involve a review andupdate of emission factors
and estimates in thecalculator.
5

INC

Estimated electricity
consumption rate forapples and olives has notbeen updated.

"4.1
Assumptions" worksheetof Manulife
2022 GHG
inventory
spreadsheet"4.1
Assumptions"worksheet ofManulife 2022
GHG inventory
spreadsheet

Since this issue wascategorized as immaterial,
we will forgo updating the
GHG inventory’s average
electricity rate value basedon 2022 apple primarydata. It is noteworthy that16 properties use all
primary data, and 2
properties are sourcing
from estimates.

Response
accepted issue closed.

In 2023 we are planning torecalculate our agriculture
portfolio baseline, which
will involve a review andupdate of emission factors
and estimates in thecalculator.

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6

INC

Estimated electricity
consumption rate for corn
has not been updated.

"4.1
Assumptions" worksheetof Manulife
2022 GHG
inventory
spreadsheet"4.1
Assumptions"worksheet ofManulife 2022
GHG inventory
spreadsheet

Since this issue wascategorized as immaterial,
we will forgo updating the
GHG inventory’s average
electricity rate value basedon 2022 corn primarydata.

Response
accepted issue closed.

In 2023 we are planning torecalculate our agriculture
portfolio baseline, which
will involve a review andupdate of emission factors
and estimates in thecalculator.
7

INC

Estimated electricity
consumption rate forgrapes has not been
updated.

"4.1
Assumptions" worksheetof Manulife
2022 GHG
inventory
spreadsheet"4.1
Assumptions"worksheet ofManulife 2022
GHG inventory
spreadsheet

Since this issue wascategorized as immaterial,
we will forgo updating the
GHG inventory’s average
electricity rate value forgrapes, based on 2022
almond and pistachio
primary data.

Response
accepted issue closed.

In 2023 we are planning torecalculate our agriculture
portfolio baseline, which
will involve a review andupdate of emission factors
and estimates in thecalculator.
8

INC

Estimated electricity
consumption rate for rice
has not been updated.

"4.1
Assumptions" worksheetof Manulife
2022 GHG
inventory
spreadsheet

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Arlington, VA 22201 | USA | +1703-358-9127"4.1
Assumptions"worksheet ofManulife 2022
GHG inventory
spreadsheet

ENGMT-5A

Since this issue wascategorized as immaterial,
we will forgo updating the
GHG inventory’s average
electricity rate value basedon 2022 rice primary data.

Response
accepted issue closed.

In 2023 we are planning torecalculate our agriculture
portfolio baseline, which
will involve a review andupdate of emission factors
and estimates in thecalculator.

17(FPF-AU-113 2022-07-03)

9

INC

Estimated fossil fuelcombustion rate for rice
has not been updated"4.1
Assumptions" worksheetof Manulife
2022 GHG
inventory
spreadsheet"4.1
Assumptions"worksheet ofManulife 2022
GHG inventory
spreadsheet

Since this issue wascategorized as immaterial,
we will forgo updating the
GHG inventory’s average
fuel rate value based on
2022 rice primary data.

Response
accepted issue closed.

In 2023 we are planning torecalculate our agriculture
portfolio baseline, which
will involve a review andupdate of emission factors
and estimates in thecalculator.
10

INC

Estimated fuelconsumption rates arecalculated for diesel fuelonly, even when other fueltypes are reported as
primary fuel consumption
data.

"2.1 Input
Table"
worksheet ofManulife 2022
GHG inventory
spreadsheet

Recognizing that diesel isthe most utilized fuel inagriculture operations,when an estimate fordiesel was needed, otherprimary fuel data(gasoline, propane, NG)
was removed. This wasdone in recognition thatthe diesel estimates wereintended to becomprehensive of all fuelused on a given property.

Response
accepted issue closed.

In future, including
estimates for the otherfuels will be considered.
However, due to theirregularity in which otherfuel sources are used inagriculture, it may provedifficult to find reliable
information.
11

INC

Farm property “Jackson
74” is not being included
in reported GHG
emissions

New Results
Tablesworksheet ofManulife
2022 GHG
inventory
spreadsheet

Futurepast: Inc. | 2111 Wilson Blvd., Suite 700
Arlington, VA 22201 | USA | +1703-358-9127

New Results
Tablesworksheet ofManulife 2022
GHG inventory
spreadsheet

ENGMT-5A

Since this issue wascategorized as immaterial,
we will forgo updating the
GHG inventory worksheet.
This was a calculator
function error that was not
identified at the time ofcompletion that we willaddress in the next carbon
inventory.

Response
accepted issue closed.

18(FPF-AU-113 2022-07-03)

1CR

Nitrogen application rates
for crop types withsignificant acreage inManulife's portfolio(wheat, vegetables,
potato) may be using
outdated USDA statistics.

"4.1
Assumptions" worksheetof Manulife
2022 GHG
inventory
spreadsheet"4.1
Assumptions"worksheet ofManulife 2022
GHG inventory
spreadsheet

The most recent updatethat we are aware of for
fertilizer rates from the
USDA is 10/30/2019.

GHG
ProtocolCorporate
ReportingStandard(Section 6)"New Results
Tables"worksheet ofManulife 2022
GHG inventory
spreadsheet

Market-based Scope 2
emissions have not been
provided separately fromlocation-based Scope 2
emissions because in ourcase there is no difference
between the two. We use
grid factors to estimate
emissions from electricity
usage (in contrast to
utility-specific factors), andwe do not have any
renewable powerpurchase agreements.
While we do have some
limited on-site solar
capacity at a few of our
California ranches, these
do not need to be factored
out of our electric usage(which we source from theprovider); further, there
are no emissions being
generated from solar
power production,
anyways.

Manulife requested tocheck reference USDA
sources for updated N
application rate values forwheat, vegetables, potato.
2

CR

Market-based Scope 2
calculations are notreported.

Futurepast: Inc. | 2111 Wilson Blvd., Suite 700
Arlington, VA 22201 | USA | +1703-358-9127

ENGMT-5A

Clarification
accepted –issue closed

In 2023, we are planning
to recalculate ouragriculture portfolio
baseline, which will
involve a review andupdate of emission factors
and estimates in thecalculator.
Response
accepted.

It is theopinion of thelead verifier
that
Futurepast's
verification
opinion does
not need tobe modified
due to thisissue.

19(FPF-AU-113 2022-07-03)

3CR

N application rate forvegetables used forAlberta is obtained from
USDA stats for Florida
and Wisconsin.
Manulife requested tocheck availability ofvegetable N application
rate specific to Alberta.

"4.1
Assumptions" worksheetof Manulife
2022 GHG
inventory
spreadsheet"4.1
Assumptions"worksheet ofManulife 2022
GHG inventory
spreadsheet

There is Alberta-specificfertilizer research from theprovince published in
2004 that we could
reference. “Vegetables” asa category aren’t given,
but we could develop an
average based on theindividual crops provided.
This data is similar to the
N rate used in thecalculator.

Clarification
accepted –issue closed

In 2023, we are planning
to recalculate ouragriculture portfolio
baseline, which will
involve a review andupdate of emission factors
and estimates in thecalculator.
4

CR

Estimated N application
rate for Washington stateused for a Texas potato
property (Hartley 998).
Manulife requested tocheck whether a separate
potato N application rateshould be used for Texas
properties.

"4.1
Assumptions" worksheetof Manulife
2022 GHG
inventory
spreadsheet"4.1
Assumptions"worksheet ofManulife 2022
GHG inventory
spreadsheet

No state-specificacademic information on
fertilizer application was
found after an initialinternet scan for Texas
potatoes. However, one
non-academic source
suggested a very similarvalue to what was used in
the calculator.

Clarification
accepted –issue closed

In 2023, we are planning
to recalculate ouragriculture portfolio
baseline, which will
involve a review andupdate of emission factors
and estimates in thecalculator.

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20(FPF-AU-113 2022-07-03)

5CRCorn, cotton, soybean andrice are using estimated N
application rates based onprior year GHG inventory(no primary data wasavailable in 2022 to
update estimatedapplication rates).
Manulife to justify theappropriateness of using
prior year averageapplication rates insteadof using publishedstatistics from USDA.

"4.1
Assumptions" worksheetof Manulife
2022 GHG
inventory
spreadsheet"4.1
Assumptions"worksheet ofManulife 2022
GHG inventory
spreadsheet

To our knowledge, USDA
sources are most recent to
2019. Although we did notreceive any usable
primary data for corn,
cotton, soybean, and rice
crops for 2022, anaverage from the year
prior was determined to bea reliable way to manage
this information gap.

Clarification
accepted –issue closed

6CR

42 properties have noreported electricity
consumption.

"2.1 Input
Table"
worksheet ofManulife
2022 GHG
inventory
spreadsheet"2.1 Input
Table"
worksheet ofManulife 2022
GHG inventory
spreadsheet

All of these properties did
not have electricity
consumption. These
properties were all rain
fed, thus not needing any
electricity for irrigation.
These property templates
were either filled with a 0
or left blank. When any
field was left blank, it wasclarified with regional
managers whether it was
blank due to lack of data(needing an estimate) or
due to no usage.

Clarification
accepted –issue closed"4.1
Assumptions" worksheetof Manulife
2022 GHG
inventory
spreadsheet"4.1
Assumptions"worksheet ofManulife 2022
GHG inventory
spreadsheet

With the benefit ofhindsight, it would be
more accurate to use an
average value per acre forfuel for corn, rather than aperiodical source. The
average of the 7
properties with primaryfuel data for corn was 14
gal/ac, in comparison to
the estimate of 7 gal/ac
used. In 2023, we areplanning to recalculate ouragriculture portfolio
baseline, which will
involve a review andupdate of emission factors
and estimates. Thissuggested strategy will beconsidered then.

Clarification
accepted –issue closed

Manulife to confirm that
identified properties haveno electricity consumption.

7

CR

Corn property fossil fuelcombustion is estimatedusing a methodology
based on publishedstatistics. Actual fuelcombustion data available
for several Manulife corn
properties.
Manulife to explain why
actual fuel combustion
from corn properties inManulife portfolio are notused to generate average
fuel combustion rates.

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Arlington, VA 22201 | USA | +1703-358-9127

ENGMT-5A

21(FPF-AU-113 2022-07-03)

8CR

Cotton property electricity
consumption is estimatedusing a methodology
based on publishedstatistics. Actual electricity
consumption data isavailable for several
Manulife cotton properties.

"4.1
Assumptions" worksheetof Manulife
2022 GHG
inventory
spreadsheet"4.1
Assumptions"worksheet ofManulife 2022
GHG inventory
spreadsheet

Manulife to explain why
actual electricity
consumption from cotton
properties in Manulife
portfolio are not used togenerate average
electricity consumption
rates.

9CR

The following GHG types
are not included in the
GHG inventory: SF6, NF3,
PFC, HFC.
Manulife to confirm that
SF6, NF3, PFC, HFC will
not be reported.

With the benefit ofhindsight, it would be
more accurate to use an
average value per acre forelectricity for cotton, rather
than a periodical source.
Notably, the average ofthe 12 properties withprimary electricity data forcotton was 329 kWh/ac, incomparison to theestimate of 500 kWh/acthat was used.

Clarification
accepted –issue closed

In 2023, we are planning
to recalculate ouragriculture portfolio
baseline, which will
involve a review andupdate of emission factors
and estimates in thecalculator. This suggested
strategy will be considered
then.
GHG
ProtocolCorporate
ReportingStandard(Section 6)

Futurepast: Inc. | 2111 Wilson Blvd., Suite 700
Arlington, VA 22201 | USA | +1703-358-9127

GHG
calculation
worksheets ofManulife 2022
GHG inventory
spreadsheet

ENGMT-5A

To our knowledge, ouroperations do not use any
technologies, or follow any
processes, that would
generate material
quantities of emissions ofSF6, NF3, PFCs, or
HFCs. The only realpotential use case thatwould lead to emissions of
any of these gases would
be HFCs fromrefrigeration. Our
refrigeration is limited, butwhere it occurs either
ammonia or CO2 areused.

Response
accepted issue closed.
A modified
opinion will
be issued
due to thelack ofreporting ofSF6, NF3,
HFC, andPFC in GHG
inventory
report.

22(FPF-AU-113 2022-07-03)

10

CR

The majority of properties
reported by Joseph Bell inthe disclosure template
form include detailed N
applications.

2022 Property
Disclosures Joseph Bell.xls

Manulife to explain why
average values were used
for N applications insteadof actual reported values
in Joseph Bell properties.

In some cases, data wasgiven but it was not clear
enough to warrant
inclusion in the calculator,
and an estimate was usedinstead. This decision wasmade with Analyst
discretion. In the case ofJoseph Bell’s fertilizer
data, there were a number
of issues that forced us todefer to estimates:

Clarification
accepted –issue closeda) A single mass value
was given for the use ofmultiple fertilizers.
b) NPK ratios were notclear, or fertilizer names
were not given.
c) A single % urea wasgiven for multiple
fertilizers.
Joseph is a manager ofleased properties, so hedoesn’t have the sameease communicating withon-the-ground operations
as a direct-operatemanager. Because of this,follow-ups on this data
were fruitless and thetimeline pressure tocomplete the inventory
caused us to use
estimates even though wewere close to having
comprehensive primarydata. In future, we will be
more specific in thetemplates and instructions
to ensure all applicable
information for multiple
fertilizers on one property
is gathered in one ask.

Futurepast: Inc. | 2111 Wilson Blvd., Suite 700
Arlington, VA 22201 | USA | +1703-358-9127

ENGMT-5A

23(FPF-AU-113 2022-07-03)

11

CR

The property disclosure
template form includes
entries for both "fertilizer
formulation" and "massapplied".

2022 Property
Disclosures Mike Bretl.xls

Manulife to confirm
whether the "MassApplied" form field applies
to total N applied OR total
fertilizer applied.

12CR

Diesel, gasoline, and NG
decreased in 2022 on
direct-operated almondproperties with acorresponding significant
increase in acreage.
Manulife to explain the
reductions observed.

The mass applied is forthe total fertilizer applied.
This was an input that wasa source of confusion for
those completing thetemplate. Although thiswas always clarified with
regional managers andoperations reps., thetemplate will be improved
for next year with this inmind.

Clarification
accepted –issue closed

Almond acreage inAustralia was interpreted
differently in 2021 vs.
2022. In 2021, the realacres of practice per crop
was used, whereas in
2022 if there were multiple
crops on a property,
acreage was evenly
distributed. This caused
the calculator to show asignificant increase inalmond acreage yearover-year, when actual
acquisitions anddispositions did not have asignificant impact on theoverall acreage.

Clarification
accepted –issue closed

For fuel information, themajor discrepancies are
explained below:a.) In every case where
there was a diesel
estimate used in 2021,
then primary data in 2022,
the 2022 value was lessthan 2021 (this was 21%
of cases for almonds).
b.) The most significant
year-over-year difference
in diesel was at Lachlan
Valley Farms. In 2022,
less irrigation occurred
due to it being a wet year.
In addition, fuel for 2022
may have been purchasedin late 2021. Most fuelcalculations are based on
invoices, potentiallyresulting in errors comingfrom carry-over into a newyear.

Futurepast: Inc. | 2111 Wilson Blvd., Suite 700
Arlington, VA 22201 | USA | +1703-358-9127

ENGMT-5A

24(FPF-AU-113 2022-07-03)

13

CR

Gasoline, propane, andfertilizer decreased in
2022 on direct-operated
apple properties with acorresponding increase inacreage.
Manulife to explain the
reductions observed.

14

CR

Electricity significantly
decreased in 2022 on
direct-operated citrus
properties with acorresponding increase inacreage.

Fertilizer information was
inputted incorrectly fordirect-operated apple
properties in 2021. The
value for the total mass of
fertilizer was used where
only the value for Nitrogenwas needed. Uponrecalculation, fertilizer use
was similar year-overyear.

Clarification
accepted –issue closed

The major decrease inelectricity at Kern Muller isbecause it was underredevelopment in 2022
and not in operation.

Clarification
accepted –issue closed

Electric sprinkler usage istied to frost protection andirrigation on cranberry
properties. The spring andfall of 2022 were mild, withminimal frost – this canvary significantly eachyear. In 2021 there wereroughly 30 frost events,
versus about three in2022. In addition, summerof 2022 was cool withconsiderable precipitation,requiring significantly less
irrigation.

Clarification
accepted –issue closed

In 2021, direct-operatecranberry propane
consumption was notincluded due to a
Sustainability Analyst
error. There was propane
usage in 2021 for allproperties.

Clarification
accepted –issue closed

Manulife to explain the
reductions observed.
15

CR

Electricity significantly
decreased in 2022 on
direct-operated cranberry
properties with sameacreage as previous year.
Manulife to explain the
reductions observed.

16

CR

Significant volume of
propane consumption
introduced in 2022 on
direct-operated cranberry
properties.
Manulife to explain why
propane consumed in
2022 and not in 2021.

Futurepast: Inc. | 2111 Wilson Blvd., Suite 700
Arlington, VA 22201 | USA | +1703-358-9127

ENGMT-5A

25(FPF-AU-113 2022-07-03)

17

CR

Natural gas combustion
eliminated in 2022 at
multiple direct-operated
pistachio properties.

Due to a Farm Operations
Analyst error, pistachio
natural gas for information
was not reported in the2022 inventory.

Clarification
accepted –issue closed

Natural gas was used on
Shasta Ash Creek in
2021, but it was notreported to the
Sustainability team due toa Farm Operations
Analyst error.

Clarification
accepted –issue closed

In completing past carbon
inventories, it wasrecognized that biomass
combustion was deminimis, while also
requiring significant effort
to calculate, Therefore, it
was not completed in the2022 inventory.

Clarification
accepted –issue closed

Manulife to explain why
NG not combusted in
2022.
18

CR

Natural gas combustion
introduced in 2022 atShasta Ash Creek walnut
property.
Manulife to explain why
NG consumed in 2022
and not 2021.

19

CR

Manulife to describe theirprocess for confirming thatbiomass combustion was
not performed within theirportfolio of properties in
2022.

Futurepast: Inc. | 2111 Wilson Blvd., Suite 700
Arlington, VA 22201 | USA | +1703-358-9127

ENGMT-5A

26(FPF-AU-113 2022-07-03)

Recommendations:
RECOMMENDATION#
Recommendation #1

DESCRIPTION OF RECOMMENDATIONIn the interest of improved transparency and efficiency of verifications,
Manulife is encouraged to improve version control for documents, including
the methodology document and the inventory spreadsheet.

Recommendation #2

Manulife is encouraged to prepare an updated version of its GHG
methodology document on an annual basis.

Recommendation #3

Manulife is encouraged to review the effectiveness of its QA/QC procedures
to reduce the occurrences of sustainability analyst error and farm operator
error remaining undetected.

Recommendation #4

Manulife should ensure that all sources of emission factors and data sources
used in GHG calculations are checked on an annual basis for updates.

Futurepast: Inc. | 2111 Wilson Blvd., Suite 700
Arlington, VA 22201 | USA | +1703-358-9127

ENGMT-5A

27(FPF-AU-113 2022-07-03)

Annex C: Verification Opinion

Futurepast: Inc. | 2111 Wilson Blvd., Suite 700
Arlington, VA 22201 | USA | +1703-358-9127

ENGMT-5A

28(FPF-AU-113 2022-07-03)

Futurepast: Inc. | 2111 Wilson Blvd., Suite 700
Arlington, VA 22201 | USA | +1703-358-9127

ENGMT-5A

29(FPF-AU-113 2022-07-03)

Annex D: Report of Factual Findings (If Applicable)

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Arlington, VA 22201 | USA | +1703-358-9127

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30(FPF-AU-113 2022-07-03)