Company: BCDRF
Filing Date: 2025-03-03
Form Type: 6-K
Source: 0000891478-25-000057
Chunk: 171

Company: Banco Santander, S.A.
Filing Date: 2025-03-03
Form: 6-K
Chunk 171
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 standards through centers of excellence as well as seeking input from business, risk and sustainability teams. 
 We began working to implement the updated sustainable classification model by identifying the affected processes and the changes to be made across markets.                                                                                                                                                                                                                                                     |     |                             |

6. Reporting Transparent and regular reports to senior managers and stakeholders help us manage climate and environmental factors and comply with the law and supervisors’ expectations. We work so that the information available to our stakeholders is complete and consistent, conveys adequately Santander's sustainability strategy and management, and mitigates potential risks. Our reporting on climate and environmental risk management includes our annual report, the ICAAP exercise, and our Pillar 3 disclosures report.

242 2024 Pillar 3 Disclosures Report

| Index |     | Introduction |     | Capital |     | Risks |     | Risk taker's remunerations |     | Appendices |

Main activities in 2024

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Advances in risk appetite, establishing new metrics and limits to support our strategy.

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Development of internal climate models that enable us to enhance how we quantify the financial impact of transition and physical risks on credit risk variables.

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Increased geographical granularity in physical risk information (acute and chronic) for the European portfolio, from NUTS3 to postcode in Spain, Portugal, the UK and Poland

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Improvements on how we manage and assess collateral through the EPC by obtaining data, developing estimation models and development plans to gather information.

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In order to mitigate the risk of greenwashing, we have reviewed the most relevant processes and responsibilities to supervise the correct definition, management and disclosure of our strategy, products and practices.

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Progress in the implementation of the climate risk management model through the Climate Race initiative to integrate ESCC factors into the credit risk granting process.

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Advances in materiality assessments in terms of biodiversity through an internal methodology to assess both nature-related impacts and its dependencies.

Our approach to nature and biodiversity

Climate change is inextricably linked to biodiversity and nature. Climate change is one of the main drivers of nature and biodiversity loss and impacts the resilience of ecosystems, limiting their ability to regulate climate and serve as carbon sinks.

While our materiality assessment considers 'Biodiversity and ecosystems' an informative topic, we continue to oversee our operations and impact on biodiversity and nature in view of our climate objectives.

Given our financial activity, and the location of our buildings and offices, mainly in urban areas, no sites located in