Brambles has established this Green Finance Framework under which the Company expects to issue bonds (including private placements) and loans (Green Finance Instruments), to finance and / or refinance sustainable assets and expenditures with positive sustainability benefits.

Brambles believes that Green Finance Instruments are an effective tool to channel capital to assets that have demonstrated sustainability benefits and thereby contribute to the achievement of the SDGs. By issuing Green Finance Instruments, Brambles intends to align its funding strategy with its sustainability vision, strategy and objectives.

Moreover, Green Finance Instruments will help to diversify Brambles’ debt investor base and broaden the dialogue with existing debt investors to how we are working to help create a nature positive economy with re-use, resilience and regeneration at its core. Brambles also aims to contribute to the development of the Green Bond / Loan market and to the overall growth of responsible investing.

Through this Green Finance Framework, Brambles is developing a long-term sustainable financing platform for current and future financing activities. Debt capital raising is anticipated to encompass the international bond and loan markets, amongst others, and this proposed framework seeks to adopt the key green elements of both the International Capital Markets Association (ICMA) Green Bond Principles (GBP) 2021 version¹, and the Loan Market Association (LMA) Green Loan Principles (GLP) 2021 version². These are sets of voluntary guidelines that recommend transparency and disclosure and promote integrity in the development of Green Finance Instruments. The Brambles Green Finance Framework follows the GBP and the GLP, which provide guidelines in the form of four core components:

(i) Use of Proceeds;
(ii) Process for Project Evaluation and Selection;
(iii) Management of Proceeds; and
(iv) Reporting.

For each Green Finance Instrument issued, Brambles asserts that it will adopt the four core components, as set out in this Framework.

The Brambles Green Finance Framework also follows the recommendations of the GBP regarding external review. This Framework will apply to any Green Finance Instruments issued by Brambles and will be in force as long as any Green Finance Instrument is outstanding. This Green Finance Framework may be updated, including to reflect any future changes in the Green Finance Standards³. Any updates to the Green Finance Framework will only apply to future Green Finance Instruments and not to issuances already outstanding.

^{¹ Can be viewed at https://www.icmagroup.org/sustainable-finance/the-principles-guidelines-and-handbooks/green-bond-principles-gbp/
² Can be viewed at https://www.lsta.org/content/green-loan-principles/
³ Standards related, but not limited to: Green Bond Principles, Social Bond Principles, Sustainability Bond Guidelines, EU Green Bond Standards and green, social and sustainability market practices in general.}

Brambles will allocate an amount at least equivalent to the net proceeds of the Green Finance Instruments issued under this Framework towards financing and/or refinancing, in whole or in part, a portfolio of new and/or existing eligible assets (Eligible Green Assets) as described below. Eligible Green Assets are defined as expenditures and/or assets that meet the Green Eligibility Criteria defined below (Eligible Green Portfolio), which has been prepared in accordance with the ICMA and LMA GBP and GLP documentation.

For refinancing eligible capital and operating expenditures, Brambles intends to apply a look-back period of no longer than three years from the year of issuance. Assets shall qualify without a specific look-back period provided that they follow the eligibility criteria outlined below at the time of issuance and throughout the life of the instrument.

On a best efforts basis Brambles intends to fully allocate any proceeds of the Green Finance Instruments within two years of the date of issuance / agreement of any Green Financing Instrument.

Green Eligibility Criteria

ICMA / LMA Green Eligible Category	Description Eligible Assets: Eligibility Criteria	Primary Contribution to UN SDGs
Eco-efficient and/or Circular Economy adapted Products, Production Technologies and Processes	Assets used in circular economy business model including but not limited to - reusable timber and plastic pallets, crates and containers - equipment used to maintain the share and reuse assets - projects for automated inspection, sorting and repair of pallets - other assets which support the functioning of the Circular Economy business model including forestry assets Capital and operating expenditures related to equipment used in circular economy business model, which facilitates the ‘share and reuse’ reusable timber and plastic pallets and containers

Brambles Sustainability Team

Brambles defines Sustainability as the strategies and activities the Group has adopted in relation to its employees, the environment, ethics and the community. Sustainability in Brambles is led, and represented at Board level, by the Chief Financial Officer (CFO).

Brambles has a well-established Sustainability Risk and Compliance Committee (led by the Chief Sustainability Officer, (CSO)) which reports to the CFO and to the Board. The Sustainability Risk and Compliance Committee is responsible developing sustainability strategies, targets and activities consistent with the Brambles’ Group shared values. It comprises of the CSO, Chief People Officer, Group Senior VP of Risk, Internal Audit & Insurance and a cross-section of senior Brambles corporate and business unit executives. The Sustainability Risk and Compliance Committee meets semi-annually.

The Sustainability Team led by the CSO is responsible for the implementation of Brambles’ Sustainability objectives and reporting. It is supported by senior personnel from the Regional Business Units and from Brambles’ Corporate functions including Group Finance, Human Resources, Procurement, Marketing, Communications, Supply Chain and Product Development Additional departments and subject matter experts are invited as deemed appropriate. The Sustainability team, together with Group Treasury will be responsible for:

• Reviewing the content of the Framework and potentially updating it to reflect changes in corporate strategy, technology, market, or regulatory developments on a best efforts basis;
• Initiating the update of non-Brambles documents such as Second Party Opinion (SPO) and related documents from external auditors as far as required;
• The evaluation and selection of assets in line with the eligibility criteria;
• Designating, reviewing and updating the Eligible Green Portfolio;
• Overseeing the allocation of the proceeds from Green Financing Instruments to Eligible Green Assets, to ensure that the amount of Eligible Green Assets equals or exceeds the amount of Green Financing Instruments, replacing those assets that no longer comply with the eligibility criteria or for which the Sustainability Team has otherwise determined should not be funded under this Framework as soon as practicable;
• Overseeing, approving and publishing the allocation and impact reporting, including external assurance statements⁴; and
• Considering the applicability of international green finance regulation and aligning on a best efforts basis and as far as required

Brambles’ Sustainability Commitments, Guidelines and Policies

Brambles’ sustainability commitments, guidelines and policies are considered as minimum standards for business conducted by Brambles, including any expenditures / assets financed with the proceeds of Green Finance Instruments issued under this Framework. They ensure that the environmental and social risks potentially associated with the Eligible Green Assets are properly mitigated via the due-diligence processes conducted by Brambles and comply with national and international environmental and social standards, local laws and regulations. Set out below are some examples of relevant codes and policies:

• Code of Conduct
• Corporate Social Responsibility Policy
• Health and Safety Policy
• Zero Harm Charter
• Diversity Policy
• Human Rights Policy
• Global Dignity at Work Policy
• Environmental Policy
• Global Procurement Policy Lumber Sourcing

^{⁴ Brambles may rely on external consultants and their data sources, in addition to its own assessment.}

Brambles will allocate the proceeds from the Green Finance Instruments to an Eligible Green Portfolio, selected in accordance with the Use of Proceeds criteria and Process for Project Evaluation and Selection presented above. This portfolio consists of new and/or existing assets and/or expenditures.

Brambles will strive to maintain a level of allocation for the Eligible Green Portfolio, which matches or exceeds the balance of net proceeds from its outstanding Green Finance Instruments. Additional Eligible Green Assets will be added to the Brambles’ Eligible Green Portfolio to the extent required.

Pending the full allocation to the Eligible Green Portfolio, Brambles will manage the balance of net proceeds not yet allocated in its normal treasury liquidity policy and activities.

In accordance with the recommendations from the GBP and the GLP, Brambles intends to make and keep readily available reporting on Eligible Green Assets and Green Finance Instruments outstanding. Reporting with respect to each Green Finance Instrument will take place annually, at least until full allocation.

This report will be made available within the Sustainability Framework section on Brambles’ website⁵.

Allocation Reporting

The allocation report may provide, on a portfolio basis, the following:

• The total amount of proceeds allocated to eligible assets / expenditures within both Green Eligible categories;
• The balance of unallocated proceeds (if any);
• The total amount of Brambles Green Finance Instrument (s) outstanding; and
• The amount or the percentage of new financing and refinancing.

Impact Reporting

Impact reporting may, on a best-efforts basis, include:

Brambles intends to align its impact reporting with the ICMA Handbook for ‘Harmonised Framework for Impact Reporting’, June 2022 version⁷.

⁵ Can be viewed at https://brambles.com/sustainability-framework.
⁶ Calculated environmental benefits are based on estimates from: our independent life cycle analyses (LCA), applied to volumes of the products and regions covered by these LCAs only; and internal data collection (for multimodal/collaborative transport programs and carbon neutral products).
⁷ Can be viewed at https://www.icmagroup.org/assets/documents/Sustainable-finance/2022-updates/Harmonised-Framework-for-Impact-Reporting-Green-Bonds_June-2022-280622.pdf

Second Party Opinion

ISS ESG will review the Eligible Green Assets, as well as the alignment of Brambles’ Green Finance Framework with the ICMA’s 2021 Green Bond Principles and the LMA’s 2021 Green Loan Principles. ISS ESG will provide an SPO that will be made available within the Sustainability Framework section on the Brambles website.

Annual Audit / Limited Assurance on the Allocation Reporting

Brambles intends to request, annually or until full allocation, a third party to review the allocation of the Green Finance Instrument proceeds to the Eligible Green Portfolio, and provide a limited assurance report, which may also be made available within the Sustainability Framework section of the Brambles website⁵.

^{⁵ Can be viewed at https://brambles.com/sustainability-framework.}