CORPORATE RESPONSIBILITY REPORT 2018 TABLE OF CONTENTS

COMPANY PROFILE ...... 01 COMMUNITY ENGAGEMENT . . . . 07 CEO STATEMENT ...... 02 SUSTAINABLE MANUFACTURING . . 08 GOVERNANCE ...... 03 PRODUCT STEWARDSHIP . . . . . 09 STAKEHOLDER ENGAGEMENT . . . 04 SITE PROFILES ...... 10 SUPPLIER RESPONSIBILITY . . . . 05 ABOUT THIS REPORT ...... 11 OUR PEOPLE AND WORKPLACE . . 06 GRI CONTENT INDEX ...... 12

GLOBALFOUNDRIES | CORPORATE RESPONSIBILITY REPORT 2018 BACK | MENU | NEXT 2 01 COMPANY PROFILE

We are GLOBALFOUNDRIES, a leading full- as the leaders in their markets. We develop Today, GLOBALFOUNDRIES operates manufac- service semiconductor design, development, the products and technologies that are moving turing centers in Dresden, Germany; Malta and fabrication and innovation company with the world forward, making lives easier and East Fishkill, New York; Burlington, Vermont; locations across the globe. creating new ways to meet the challenges and Singapore. GLOBALFOUNDRIES’ corporate of tomorrow. Our target markets include offices are in Santa Clara, California (Silicon We partner with some of the world’s most Mobility, Automotive, Communication and Valley) with a global network of R&D, design inspired companies to develop and produce Datacenters, and IOT (the Internet of Things). enablement, and customer support operations the semiconductors that are changing the way in Singapore, China, Korea, Taiwan, Japan, people live today and defining what’s possible Since our foundation in 2009, we have contin- the United States, Germany, Switzerland, for tomorrow. ually expanded—breaking ground on our Fab 8 France, India, and the Netherlands. in New York in 2009, and performing expansion GLOBALFOUNDRIES is owned by Mubadala As a manufacturing services company, and technology upgrades to Fab 1 in Dresden. Investment Company, which is owned by the operational excellence remains our first With the integration of Chartered Semiconductor Government of Abu Dhabi. priority. We make possible the technologies in Singapore in January 2010 and IBM’s and systems that transform industries. And Microelectronics Division in 2015, we have we are dedicated to being the best possible boldly pursued opportunities to strengthen our partner for our customers, delivering the technology portfolio, manufacturing capacity, expertise and insights to help position them and diversity.

GLOBALFOUNDRIES | CORPORATE RESPONSIBILITY REPORT 2018 BACK | MENU | NEXT 3 01 COMPANY LOCATIONS

Kista

Dresden Rochester, MN Burlington, VT Leuven Beijing Endicott, NY Evry Munich Malta, NY Geneva Shanghai Santa Clara, CA Albany, NY Yokohama Chengdu East Fishkill, NY Kyoto Raleigh, NC Dallas, TX Hsinchu Austin, TX

Bangalore

Headquarters Singapore

Manufacturing & Technology Centers

Design, Sales & Administrative Offices

Research & Development

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At GLOBALFOUNDRIES, corporate responsibility integrity. What we do is important, but how is more than a buzzword­—it is at the core of we do it is what truly defines our character. everything we do. Our mission as a company This applies across all of our operations and is to innovate and partner with our clients to our interactions with clients, suppliers, and the deliver technology solutions for humanity. The communities where we operate. semiconductors that we manufacture enable life-changing technologies across a broad range I am pleased to share GF’s 2018 Corporate of applications, from sensors to servers and Responsibility Report, which highlights key everything in between. These technologies, areas of focus and progress, including: Dr. Thomas Caulfield in turn, make possible the innovations that will • Strengthening our Corporate Responsibility CHIEF EXECUTIVE OFFICER address many of society’s greatest challenges. Management System spanning ethics, labor, environment, and health and safety to ensure We launched GF in 2009 with a commitment we meet the stringent and continuously to corporate responsibility that has provided a evolving expectations of all stakeholders. In strong foundation as we continue to adapt to an 2017 and 2018 we performed closure audits ever-changing industry. Today, we are guided under the RBA (Responsible Business Alliance) by four key corporate values: Create, Embrace, Validated Audit Process and achieved the Partner, and Deliver—always with unyielding highest scores possible, qualifying for RBA VAP Platinum Level Recognition.

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• Moving to an enterprise-wide certification • Growing our internal GLOBALWOMEN net- While I am proud of our progress, made possible of our global EHS management system to work, whose mission is to create a sustainable by the dedication of our nearly 17,000 employ- the ISO 14001 environmental management framework for the professional development ees around the globe, I recognize that the path systems standard and the OHSAS 18001 of women at GF. As GLOBALWOMEN’s senior to excellence is never-ending. As we celebrate occupational health and safety management executive sponsor, I am specifically proud to th system standard. report that International Women’s Day 2018 our company’s 10 anniversary in 2019, I look marked the launch of our Singapore chapter, forward to continuing to work with our clients, • Reducing our resource consumption and following our Bangalore chapter launch exactly emissions of greenhouse gases along our communities and suppliers to meet our shared one year earlier. Both complement and enrich path to more sustainable manufacturing. goals of a prosperous industry that is also a our existing US GLOBALWOMEN network. We have made substantial progress towards leader in responsible business practices. achieving our 2016–2018 resource con- • Expanding the impact of our community servation goals. As shown in this report, by engagement and giving programs. Since completing numerous improvement projects the 2016 launch of GlobalGives, our global

we have achieved reductions of more than 15 giving platform, our employees have made percent in our normalized water and electricity over 13,000 donations. These totaled over consumption rates, as well as our normalized $300,000 USD in combination with corporate Dr. Thomas Caulfield greenhouse gas emission rate. donations for global disaster relief. CHIEF EXECUTIVE OFFICER

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GLOBALFOUNDRIES is committed to upholding human rights, discrimination, harassment, GLOBALFOUNDRIES established the Ethics & the highest ethical and compliance standards. environmental responsibility, protection of Compliance Office within the Legal Department Each of our employees, contractors, and intellectual property, and anti-corruption. It also to develop, coordinate, and support the compli- consultants has the responsibility to carry out explains the major elements of our compliance ance program and foster a culture of principled his or her duties in a manner consistent with program and identifies where employees can behavior and decision-making. This Office is this commitment. seek help and support. The Code has been responsible for promoting employee awareness, communicated to all employees, and employee education, and training, as well as for creating GLOBALFOUNDRIES’ WORLDWIDE training and/or certification on the Code is and implementing a program to assess risks STANDARDS: CODE OF CONDUCT repeated annually. and proactively prevent and detect unlawful/ GLOBALFOUNDRIES’ Worldwide Standards: unethical conduct. The Ethics & Compliance Code of Conduct (Code) is the foundation of our GLOBALFOUNDRIES’ Code is aligned with the Office works closely with the Ethics Committee Ethics & Compliance program and an integral Responsible Business Alliance Code of Conduct (including the Chief Human Resources Officer, part of our Corporate Social Responsibility (RBA Code). GLOBALFOUNDRIES joined the RBA Chief Financial Officer, and Chief Legal Officer), Management System. It sets forth the basic in May 2016, following years of incorporating which is the body charged by the Board of rules, standards, and behaviors that we must its Code into our business practices. We stand Directors to oversee the compliance program. follow to achieve our business objectives while committed to the RBA Code and its continuous upholding our values. The Code summarizes pursuit of excellence in corporate responsibility legal and ethical standards and provides and the extension of responsible practices practical advice covering a wide range of issues throughout the supply chain. pertinent to ethical business practices, including

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The GLOBALFOUNDRIES Ethics First Helpline Governance Framework CEO, Dr. Thomas Caulfield; representatives of is accessible 24 hours a day, 365 days a year, Corporate governance addresses the way in Mubadala Investment Company, our shareholder; enabling employees and stakeholders to inquire which companies are directed, controlled, and other senior industry leaders. The Board directly about the compliance program and and managed. Our governance framework is draws on a great depth of experience that spans report potential violations and other concerns. focused on four pillars: responsibility, fairness, the semiconductor and equipment industries, The Helpline is available to employees and transparency, and accountability. international finance, energy, aerospace, and contractors as well as customers, suppliers, and business development. The Chairman of the vendors globally. We promptly review all reports, Board of Directors Board is not an executive officer of the company. and the company has a strong non-retaliation The Board of Directors (the Board) is the body policy to protect anyone who makes a good- charged with the ultimate responsibility for ensur- Board Committees faith report. Investigations of complaints are ing appropriate governance across the organiza- Two committees support the Board in carrying overseen by the GLOBALFOUNDRIES Ethics & tion, and establishes the “tone at the top.” out its governance responsibilities: Audit, Risk Compliance Office, supported confidentially by & Compliance; and People & Compensation other internal organizations such as Internal The Board reviews and determines the com- (see below). Audit and Global Security. pany’s strategy, monitors and assesses the company’s corporate and financial performance, The Audit, Risk & Compliance Committee establishes and monitors effective compli- (ARC) is mandated by the Board to oversee the ance systems and policies, and oversees the integrity of financial statements; compliance performance of GLOBALFOUNDRIES’ executive with legal and regulatory requirements; the management. The Board is composed of our effectiveness of internal systems and controls

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(including the company’s internal audit func- Support for the Board and its Committees internal controls, and governance processes, tion); the risk management function; and the With the ARC, the Legal Department and the and makes recommendations for improvement. independence, qualifications, and performance Internal Controls Department are mandated Internal Audit also acts as a bridge between the of the company’s external auditors. by the CEO to oversee corporate governance Board and management, and reports to the ARC at GLOBALFOUNDRIES. Together, the Legal Committee. The People & Compensation Committee Department and the Internal Controls Department assists the Board in fulfilling its responsibilities ensure that the organization adheres to the In addition, the Compliance Network promotes concerning the hiring and compensation of company’s corporate governance framework and our culture of principled behavior and decision our executives and in providing guidance to associated policies and procedures, provide guid- making. The Compliance Network consists of GLOBALFOUNDRIES’ management on personnel ance, and ensure training sessions are conducted a group of influential employees who serve as and compensation issues. on a regular basis. Ethics & Compliance representatives to help identify key compliance risks, drive engagement, GLOBALFOUNDRIES’ Chief Executive Officer Internal and external auditors play crucial and ensure that training and communications are GLOBALFOUNDRIES’ Chief Executive Officer roles in assisting the Board and management. tailored to the needs of the individual sites. is responsible for managing the company’s External auditors are responsible for auditing business and is accountable to the Board. The the financial statements of the company. The Environmental Health & Safety scorecards are primary responsibilities of our CEO and senior Internal Audit organization plays an important provided quarterly to the ARC. management broadly cover the management role in providing the Board and senior manage- of the day-to-day operations of the business, ment with objective assurance support for the strategic planning, budgeting, financial report- business and consulting services. Internal Audit ing, risk management, and compliance. evaluates the effectiveness of risk management,

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Delegation of Authority coordination with the ARC ensures that the DOA Self Assessments and Audits GLOBALFOUNDRIES is an integral part of the is appropriate for the nature of the business and GLOBALFOUNDRIES is strongly committed to Mubadala Group. An important mechanism that it is reviewed on an annual basis. protecting the fundamental rights of all people. in maintaining a strong relationship with our We strive to maintain a fair and open workplace sole shareholder is the shareholder-approved Stewardship Committee based on a culture of respect, dignity, and Delegation of Authority (DOA). The DOA allows In addition to the oversight provided integrity for all. As outlined in our Worldwide the shareholder to exercise control and oversight by the Board and its committees, the Standards: GLOBALFOUNDRIES Code of over the authority levels within the company. GLOBALFOUNDRIES Stewardship Committee Conduct, the company strictly forbids all forms is responsible for setting strategic direction, of child labor and forced, compulsory, or The DOA is a critical component of our corpo- conducting management review, and providing trafficked labor in the operation of our business rate governance structure. In accordance with approval for risk management and business and in our supply chain. the GLOBALFOUNDRIES’ DOA, the Board has continuity, global Environmental, Health & delegated certain of its powers to the Board Safety (EHS) and Corporate Social Responsibility We respect the rights of employees to associate Committees, the CEO, and management. The (CSR) matters. Our Stewardship Committee is freely and have a zero-tolerance policy against Board, management, employees, contrac- led by the CEO and includes key members of harassment, including sexual harassment, or tors, agents, and anyone acting on behalf the Senior Leadership Team. discrimination based on age, ancestry, color, of GLOBALFOUNDRIES are responsible for marital status, medical condition, mental or ensuring that they operate in accordance with physical disability, national origin, race, religion, the DOA. On an ongoing basis, management in political and/or third party affiliation, sex, sexual orientation, gender identity, or veteran status.

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We assess our own conformance with the RBA TABLE 1. GLOBALFOUNDRIES’ SAQ Scores, SAQ Risk Rating and VAP Scores Code using the RBA’s annual self-assessment 2018 SAQ VAP Audit questionnaires (SAQs) for each of our manufac- Score Risk Rating Score Date and turing sites. To date, our SAQ results are rated (100 points possible) >85% = Low Risk (200 points possible) Type of Audit as “low risk” for non-conformance with the RBA GLOBALFOUNDRIES 92.4 Low N/A (corporate) Code. At selected sites, we are participating in GLOBALFOUNDRIES Fab 1, 91.3 Low the RBA’s VAP (Validated Assessment Process), Dresden, Germany an independent third-party on-site conformance GLOBALFOUNDRIES Singapore 89.1 Low 200 (Qualified for RBA Oct 2017, Closure Audit (Fabs 2, 3, 5, 7 & 3E) VAP Platinum Level (New Audit September audit. SAQ and VAP audit results are shared Recognition) 2018) with our customers within the RBA-Online tool. GLOBALFOUNDRIES Fab 8, 89 Low Malta, New York, U.S.A. GLOBALFOUNDRIES’ SAQ scores, risk ratings GLOBALFOUNDRIES Fab 9, 89.5 Low 200 (Qualified for RBA June 2018, and VAP scores are listed in TABLE 1. Burlington, Vermont, U.S.A. VAP Platinum Level Closure Audit Recognition) GLOBALFOUNDRIES Fab 10, 91.2 Low East Fishkill, New York, U.S.A.

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Operational Risk Management Operational Security Management Council brings together expertise in information GLOBALFOUNDRIES manages risk at the Protecting the assets and intellectual security, physical security, trade compliance, enterprise, business, and functional levels. property of GLOBALFOUNDRIES and our logistics, and government security programs Our structured approach enables us to identify customers and suppliers is a critical focus for a comprehensive approach to security. That critical risks and target mitigation programs at area. GLOBALFOUNDRIES’ broad portfolio of approach extends to each employee and their the appropriate level to avoid loss, disruption, intellectual property advances our leadership individual responsibilities. Annually, we conduct or interruption of mission-critical activities and in manufacturing technology and strengthens integrated Confidentiality and Security training systems. We routinely review and update our our competitive position. We adhere to strict for all employees. business resilience and preparation, including policies and procedures at all times to ensure risk mitigation and business continuity plans. the security of company confidential information Each year, our manufacturing sites and business and the confidential information of our custom- units identify the potential operational and ers and suppliers. We pursue certification of natural disaster risks that present business our Security Management Systems according to continuity challenges. Executive management international standard ISO 15408 (Information conducts an annual review of prioritized risks Technology – Security Techniques) where it adds and our related mitigation strategies, projects, additional value to our existing management and goals. systems and clients. Our Enterprise Security

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Our key stakeholders have a significant interest CUSTOMERS Quality, Business, Technology, Fulfillment and in our business and help shape our company Committed to manufacturing and execution Responsiveness targets to quickly adjust when and the products and services we provide. We excellence, we focus on the technologies and needed. We conduct third-party customer rela- regularly engage with our employees, custom- differentiated solutions that transform markets. tionship surveys to enable a deeper assessment ers, suppliers, communities, and industry peers, And we are dedicated to being the best possible or our performance. We manage customer sharing perspectives and gaining valuable partner for our customers—helping to identify issues in our Action Management and Escalation insight relevant to our business and operations. new opportunities to bring the future to life. We system to ensure responsive follow-through to created our Customer Experience program to our commitments. We meet with our customers continually improve the value of our customers’ on a regular basis to review our performance. partnership with GLOBALFOUNDRIES. The Improvement projects are prioritized based on program is geared to drive improvements by customer feedback. The relationships we main- listening to our customers and feeding their tain through ongoing dialogue and collaboration voice back into our business processes. We ensure that we understand our customers’ track internal, customer-facing key performance expectations, including our shared commitment indices that closely align to our customers’ to social and environmental responsibility.

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EMPLOYEES of which include opportunities to ask questions teams dedicated to enriching the lives of local We take great pride in the dedication and and provide feedback. GLOBALFOUNDRIES also citizens, and we take great pride in their long commitment of our global workforce to provides the opportunity for more in-depth and history of community involvement. GLOBALFOUNDRIES’ success and work to confidential feedback via dedicated and third- further engage employees at both the global and party administered employee surveys. In 2017, SUPPLIERS local level. We nurture a performance-based our ONEGF employee survey was conducted Our relationships with our suppliers of goods culture in an environment that encourages to gather employee perspectives on what is and services are built on a foundation of trust individual development, collaboration and new working well in working at GLOBALFOUNDRIES and integrity. We strive to establish long-term ideas. We also feature employees’ professional and what can be improved upon to continue to working relationships through mutual perfor- and personal success stories in our Employee drive organizational success. mance expectations and measures, perfor- Spotlight section on GlobalConnect as an mance feedback, and continuous improvement inspiration to all fellow employees. COMMUNITIES plans. We engage with our suppliers through Along with our global footprint comes a respon- periodic business reviews and our Total Supplier Employees stay current on corporate and sibility to the communities in which we operate. Rating (TSR) process. The TSR determines local site information through communication Through our worldwide GlobalGives program, supplier performance with regard to technology, channels including quarterly all hands events, we provide employees at all of our sites with the quality, cost, flexibility, and service including the internal bi-weekly global News Digest, our opportunity to make a positive impact in their Environmental, Health & Safety (EHS) and company intranet (GlobalConnect), the Global local communities in the areas of education, Corporate Social Responsibility (CSR). EHS Community internal social platform, and ongoing philanthropy, and the environment. Each of our and CSR expectations are established early in corporate and employee communications, all fab locations has well-established programs and supplier relationships to improve efficiency and

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reduce risks throughout the supply chain. We These associations are engaged in a wide senior representatives from Communications; extend our commitment to responsible business variety of public policy matters ranging from Customer Engineering; Ethics & Compliance; practices to our suppliers, requiring them to technology, trade, tax, and environmental policy Global EHS & CSR; Global Supply comply with the RBA Code as well. to promoting STEM education and the adoption Management; Human Resources; Global of energy-efficient technologies. SIA, ESIA, Sales and Business Development; and Risk INDUSTRY COLLABORATION ITI, the WSC, and SEMI all have active EHS Management, Sustainability, and Real Estate. Through our participation—and leadership— committees. The team identified a broad range of issues in semiconductor industry trade associations, of concern which were prioritized with regard we gain valuable insight into the economic, The Materiality Analysis to their economic, environmental, and social social, and environmental trends that affect This CSR Report and metrics focus on certain impacts to GLOBALFOUNDRIES, as well as our business. These groups include the Corporate Responsibility topics that we consider their perceived importance to internal and Semiconductor Industry Association (SIA), the “material” to our business. We periodically external stakeholders. The resulting materiality European Semiconductor Industry Association conduct a Materiality Analysis by engaging map (FIGURE 1) which determines the scope (ESIA), the World Semiconductor Council (WSC), a team representing diverse perspectives on and content of this report, was reviewed and the Global Semiconductor Alliance (GSA), GLOBALFOUNDRIES’ business, to provide approved by GLOBALFOUNDRIES’ Executive Semiconductor Equipment and Materials insights into the expectations and perceptions CSR Council in 2017. International (SEMI), and ZVEI (a leading of internal and external stakeholders. The German electronics trade association). Materiality Analysis Team is composed of

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FIGURE 1. GLOBALFOUNDRIES’ Materiality Map

Customer Satisfaction Supplier Responsibility and Data Protection Ethical Business Practices Conflict Minerals and RBA Code Conformance Economic Performance Community Economic Impacts and Relations Employee Health and Safety Risk Management Eco-efficiency – Emissions, Diversity and Equal Opportunity Compliance Waste and Effluents Eco-efficiency – Resource Use

Human Rights Data Privacy

Training and Education, Employment, Employee personal and STAKEHOLDER CONCERN LEVEL Employee Benefits professional development

Economic Governance and Ethical Business Social / Employment Environmental Community COMPANY IMPACT LEVEL

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GLOBALFOUNDRIES requires that our suppliers requirement that suppliers conform with the Annually, we ask major suppliers to provide a follow ethical and responsible business prac- RBA Code is included in our standard contract signed certification acknowledging their under- tices. Our manufacturing supply chain consists templates, Purchase Order Terms and Conditions, standing of the RBA Code and our requirement primarily of suppliers of highly specialized Global Supplier and Subcontractor Management to be in conformity, along with self-assessment semiconductor manufacturing equipment Policy, and Material Qualification Procedure. information using RBA questionnaires and and materials. We also work with suppliers of tools. GLOBALFOUNDRIES applies a risk-based specialized business services ranging from fab Furthermore, we have implemented a supplier approach for selected major suppliers to provide design and construction to IT consulting. The RBA Code conformity assessment and verifi- evidence of RBA Code conformity, through majority of our manufacturing suppliers operate cation process directed at GLOBALFOUNDRIES VAP (Validated Assessment Program) reports in the United States, Japan, Singapore, Germany “major” suppliers. We take a risk-based or targeted document reviews. To ensure that and other EU countries, and Taiwan. There is approach to determining these suppliers, our supplier requirements are well understood, also a small, but growing number of suppliers following RBA Code requirements and fac- supplier leads within GLOBALFOUNDRIES Global from the People’s Republic of China. toring in supplier spend, facility location, and Supply Management Department receive train- the nature of their business. In 2017, this list ing regarding the RBA Code, focused specifically GLOBALFOUNDRIES is a member of the included 52 major suppliers providing capital on its escalation into the supply chain and the Responsible Business Alliance (RBA) and is goods, materials, and services (such as results of our Code verification process. Where committed to the RBA Code of Conduct and its outsourced subcontractor services, but also applicable, the annual results of RBA Code continuous pursuit of excellence in corporate covering on-site services such as janitorial, conformity assessment and verification process responsibility and extension of responsible canteen and security services). are included in our Global Supplier Ratings. practices throughout the supply chain. Our

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R eSPONSIBLE Minerals Sourcing chemicals, all of which are used to deposit ultra- To maintain our DRC Conflict-Free supply chain Conflict Minerals—Achieving a thin metal films onto the wafer surface. Tin and status, we manage our supply base to control all DRC Conflict-Free Supply Chain gold are used in post-wafer fab process steps, commodities containing 3TG metals. We partner GLOBALFOUNDRIES requires all materials to be such as in interconnect materials in wafer bump with our suppliers to identify all smelters in our sourced responsibly—this applies specifically or wafer packaging, and in components used for extended supply chain and ensure they maintain to materials potentially sourced from conflict- semiconductor module assembly. RMAP conformance. Any new commodities affected and high risk areas. GLOBALFOUNDRIES including 3TG metals must be sourced only from established a conflict minerals policy which GLOBALFOUNDRIES’ goal is to maintain our 3TG RMAP-compliant smelters. We also monitor prohibits sourcing of tantalum, tin, tungsten and “DRC Conflict-Free” supply chain—a status emerging concerns regarding responsible sourc- gold (“3TG” metals) that contributes to financing that we initially achieved in January 2016. DRC ing of other materials used in semiconductor armed conflict and human rights abuses in the Conflict-Free sourcing is defined by sourcing manufacturing, such as cobalt, and have initiated conflict regions of the Democratic Republic of 3TG metals only from smelters listed as com- due diligence processes aligned with the RMI’s Congo (DRC) and adjoining countries. pliant by the Responsible Minerals Initiative’s Cobalt Initiative. Our conflict minerals program (RMI) Responsible Minerals Assurance Process and progress are reviewed periodically by the In the complex, multi-step silicon wafer man- (RMAP). To support our customers’ needs for Stewardship Committee. ufacturing process, tantalum and tungsten are reporting under the United States Securities and added to achieve the desired functionalities Exchange Commission’s (SEC) Conflict Minerals of integrated circuits. The commodities we Rule, we routinely provide due diligence purchase that contain tantalum or tungsten information using the RMAP’s industry-standard include high-purity targets used in physical reporting tools and processes. vapor deposition (PVD) and process gases and

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GLOBALFOUNDRIES relies upon our people While we naturally have an international This is already happening in multiple ways: to deliver on our vision and mission. Our workforce due to the span of our global strength lies in the talent and diversity of our locations, GLOBALFOUNDRIES is also proud to • Establishing a chapter at each major U.S. site – employees, who bring a range of capabilities, be an employer of a highly diverse workforce (Austin, TX; Santa Clara, CA; Burlington, VT; and Malta, Albany, and East Fishkill, NY) as well as in experiences, and qualifications that give us a within our sites. For example, our workforce at Bangalore, India; and Singapore. competitive advantage in our global markets. Fab 8 in New York is drawn from local talent as • Memberships, awards, publications, and GLOBALFOUNDRIES strives to create a respectful well as experienced professionals from across leadership opportunities; workplace for our approximately 17,000 employ- the United States and the globe and represents ees, valuing diversity and enabling employees to more than 45 nationalities. Similarly, while the • A variety of site events and activities to network and engage employees; learn, grow, and develop their talents. majority of our workforce at Fab 1 in Dresden, Germany, is hired locally, the fab is home to • Attracting and recruiting top female talent into our business; We have a zero-tolerance policy against employees from 40 nations. Our Singapore harassment, including sexual harassment, and employees represent 20 nations. • “Lunch and learn opportunities” on topics that are relevant to women in business. discrimination based on age, ancestry, color, marital status, medical condition, mental or In 2013, we established the GLOBALWOMEN physical disability, national origin, race, religion, network whose mission is to create a sus- political and/ or third party affiliation, sex, tainable framework for the professional sexual orientation, gender identity, or veteran development of women at GLOBALFOUNDRIES. status. We respect the rights of employees to GLOBALWOMEN focuses on initiatives that have associate freely. a positive impact on women and our business.

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GLOBALWOMEN is supported by an Executive Compensation & Benefits Employee Education & Training Steering Committee led by CEO Tom Caulfield, GLOBALFOUNDRIES’ Global Benefits Strategy is GLOBALFOUNDRIES company culture leverages Emily Reilly (Senior VP Human Resources), to provide compliant and cost-effective benefit the power of our people by recognizing the and Mike Cadigan (Senior VP, Global Sales programs that are considered competitive importance of teamwork, increased employee and Business Development) along with site against current local market norms. Our goal is engagement and empowerment. executives. The company has also partnered to gain a balance between global standardiza- with the Society of Women Engineers (SWE) as tion and local customization, while offering our We provide our employees resources and a corporate member. This partnership allows employees protection and flexibility with their courses that develop job and career skills and GLOBALWOMEN to leverage training, confer- benefit offerings. We recognize that benefit help people manage change: Through our ence participation, and an extensive network environments vary by country, and therefore global and regional development resources our of resources within SWE as we build out this the types of benefit plans we offer reflect the employees own their professional development, program. prevailing local market practices. Benefits ranging from communication and leadership under this strategy include healthcare, parental skills to project management and technical Workforce Composition leave, risk benefits such as personal insur- topics. We offer instructor-led courses, on-the- The composition of our global workforce by ance, retirement savings, time off, educational job-training, and e-learning, including through region, gender, employment type (permanent / assistance, and other location-specific benefits. access to an extensive third party online train- temporary) and nature of contract (percentage For example, GLOBALFOUNDRIES’ approach ing platform. We also support our employees’ of full time contracts) is presented in TABLE 2, to parental leave for employees for the birth or development through mentoring, professional while TABLE 3 provides an overview of the com- adoption of a child is based on a combination of certifications, and partnerships with outside position of our global workforce by employee national and local leave entitlements imple- organizations. category, gender, and age. mented through our regional leave policies.

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TABLE 2. GLOBALFOUNDRIES Workforce Composition by Region, TABLE 3. GLOBALFOUNDRIES Workforce Composition by Gender, Employment Type and Contract (as of December 31, 2017)* Gender, Employee Category and Age (as of December 31, 2017)**

Employee Male Female Total

Region Category Percentage / Percentage of Subtotals

above Total 78% 20% 45%** Team

C and

Permanent 99% 98% 97% Directors

of

Temporary 1% 2% 3% Presidents above U.S**

Employees Managers

Full time 100% 99% 98% ce enior i Employee ategory All All Directors V S Leadership Board Contingent 0% 1% 1% and Other 0% 0% 0% Male (Totals) 75% 81% 85% 87% 87% 100% Total 66% 34% 35% under 30 14% 2% 0% 0% Permanent 100% 100% 100% Male 30-50 57% 63% 35% 19% Temporary 0% 0% 0% (Age) over 50 29% 36% 65% 81% Asia Pac Full time 100% 100% 100% Not disclosed 1% Contingent 0% 0% 0% Female (Totals) 24% 19% 15% 13% 13% 0% Other 0% 0% 0% under 30 19% 3% 0% 0% Total 82% 18% 19% Female 30-50 58% 70% 49% 50% Permanent 97% 95% 96% (Age) over 50 21% 27% 51% 50% Temporary 3% 5% 4% Not disclosed 1% EMEA Full time 97% 73% 93% Contingent 1% 2% 1% Other 3% 3% 3% Total 75% 24% 100% Permanent 99% 98% 98% Temporary 1% 2% 2% Total Full time 99% 96% 98% Contingent 0% 1% 0% Other 1% 1% 1%

*Numbers include contingent workers and other employees (such as interns, students and apprentices), which both represent a share of less than one percent. **1.5 percent of U.S. employees (equals 0.7 percent of total) have not self-identified their gender

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Our performance management process reflects Our Global EHS Policy and Standards are the At each fab site, GLOBALFOUNDRIES’ health and our employees’ professional development—it is foundation of health and safety management safety professionals, management, and employ- designed to help employees and managers find systems at each manufacturing location. The ees share responsibility for implementing the directions through joint goal and development Standards provide a consistent standard of Standards through local programs and operating planning, to ultimately deliver results not only for care, and set performance expectations that procedures. Health and safety professionals our company, but as well as for our employees apply globally throughout the company. They engage with operational personnel to analyze themselves. cover a wide range of health and safety aspects, potential process hazards and mitigate them including injury and illness prevention, electrical according to the following hierarchy of controls: Health & Safety safety, chemical safety, and industrial hygiene • Elimination (such as eliminating the use of a Protecting the health, safety, and well-being of monitoring programs. material) our employees, visitors, and communities is our • Substitution (such as replacing a hazardous greatest responsibility, one that we embrace Our OHSAS 18001-certified occupational health process or material to with a less hazardous one) proactively and systematically. We strive to and safety management system is based on • Engineering controls (including ventilation, equip- continuously reduce occupational injuries and ill- these Standards, and in 2017 we transitioned ment interlocks, enclosure, segregation, etc.) nesses in all of our operations, with an ultimate to an enterprise-wide certification which covers • Administrative procedures (developing proce- goal of zero incidents. all of our manufacturing locations. Our global dures, implementing training, etc.) OHSAS 18001 certificate is available here. • Personal protective equipment (to manage any residual risks, after all other controls have been implemented).

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We are committed to Behavior-Based Safety and Risk Management—united in the pursuit Safety Performance in the Workplace (BBS), a collaborative approach that recognizes of operational excellence and the mitigation of GLOBALFOUNDRIES measures the performance and facilitates individual safety awareness and risks to our people, communities, and assets. of our health and safety programs with a range behaviors, with collective results. Behavior- The RMSRE Centers of Excellence (COEs) of metrics—both leading and lagging indica- Based Safety emphasizes communications, program provides opportunities for staff from tors. We evaluate all occupational injuries and engagement, and training to encourage safe different sites to drive global integration and illness cases to identify their root causes and behaviors. We provide a wide range of general to identify and implement best practices. In determine appropriate preventive measures and and job-specific health and safety training to the areas related to occupational health and corrective actions. At the highest level, Total our employees and contractors. safety, the COEs have focused on workplace Recordable Injury Rate, Lost Time Injury Rate monitoring and confirming the effectiveness and Severity Rate provide an aligned perfor- Our Risk Management, Sustainability & Real of engineering and administrative controls that mance view across the company. FIGURE 2 Estate organization (RMSRE) provides a unique limit potential exposures, and sharing best shows GLOBALFOUNDRIES corporate rates platform for collaboration and integration practices related to emergency response and from 2014 through 2017 in comparison to 2016 across the disciplines of Safety, Environmental, pre-purchase evaluation of semiconductor U.S. Bureau of Labor rates for the semicon- Industrial Hygiene, Health, Security, Real Estate, manufacturing equipment. ductor industry (with data for 2016 being the most recent year for which these governmental statistics are available).

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Our Lost Time Injury Rate declined from 0.31 FIGURE 2. GLOBALFOUNDRIES Corporate Recordable Injury Case Rate, in 2014 to 0.19 in 2017, although the rate was Lost Day Injury Case Rate, and Severity Rate (2014–2017*) even lower in 2016. For comparison, the 2016 1.4 7 U.S. Lost Time Injury Rate was 0.3 for the 1.2 semiconductor industry. Our employee Total 6 Recordable Injury Rate increased from 0.24 in 5.0 1.0 5 2016 to 0.33 in 2017, similar to the increase 4.2 described for the Lost Time Injury Rate. The 0.8 4 comparable 2016 U.S. Total Recordable Injury Severity Rate 0.6 3 Rate for the semiconductor industry was 1.2. Injury Case Rates The Severity Rate measures the number of days 1.9 0.4 2 employees were unable to work following an 0.31 1.5 0.33 0.24 occupational injury or illness. Our 2017 Severity 0.20 0.19 0.2 0.17 1 Rate decreased from 2014 (5.0) to 2016 (1.9),

but increased in 2017 to 4.2 due to a relatively 0 0 small number of incidences with more lost days. 2014 2015 2016 2017 Our 2018 goal is to reduce our rates of total Lost Time Injury Rate (Lost Day Cases ≥ 1 Day per 200,000 Hours Worked) Total Recordable Injury Rate (Cases per 200,000 Hours Worked) recordable injuries, lost work-day injuries and OSHA 2016 Lost Time Injury Rate (NAICS 334413) severity by 10% below our 2017 performance. OSHA 2016 Total Recordable Injury Rate (NAICS 334413) Severity Rate (Lost Days per 200,000 Hours Worked)

*Total Recordable Injury Rates were not tracked for non-US sites prior to 2016.

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Managing Chemicals Safely Promoting Health and Well-Being In addition, GLOBALFOUNDRIES’ Employee Semiconductor manufacturing takes place in We place great value on our employees’ overall Assistance Program (EAP) provides all U.S. a highly controlled cleanroom environment. health and wellness. Each of our manufacturing employees and their families with confidential Equipment and chemical/gas distribution facilities has an on-site clinic and medical access to resources to help with life manage- systems are completely enclosed, providing professionals who administer health and ment issues. The Employee Assistance Program an ultra-clean manufacturing space and safe wellness programs in collaboration with Human resources include short-term counseling working conditions. Stringent material handling Resources. We encourage employees to live sessions, legal and financial services, childcare, procedures include automated chemical delivery healthy, active lives, and provide support eldercare, and adoption references. systems and sophisticated manufacturing equip- through services such as vaccinations, health ment that incorporates multiple engineering con- screenings and surveillance, dietary consulting, trols to minimize the risk of chemical exposure on-site fitness facilities, first aid training, and for employees working in the cleanroom and safety tips for travelers. Annually, our facilities chemical distribution areas. GLOBALFOUNDRIES across the globe hold a themed “Health Day” for thoroughly reviews all new chemicals before all employees with information campaigns and their introduction to our sites, and ensures that activities to further promote a healthy lifestyle. proper safeguards and material handling proce- dures are in place. Our chemical management systems at each site provide employees with ready access to Safety Data Sheets (SDS) and identification of appropriate personal protective equipment when necessary.

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Our company has a global footprint and, with victims of Hurricanes Matthew, Irma, and Maria programs, drive programming to encourage it, a responsibility to the communities in which in the mainland USA and Puerto Rico; flooding girls to pursue education and career paths in we have a presence. Globally, our community in South Asia; a major earthquake in Mexico; STEM, and offer internship, job shadowing, programs focus on education outreach, philan- and wildfires in California. In the 8 quarters and employment opportunities in advanced thropy, and the environment. since the launch of GlobalGives, our employees manufacturing, among others. and company have made more than 13,000 Each of our fab locations has well-established donations totaling more than $300,000. Some of the specific programs we have created programs and teams dedicated to enriching the or supported include: lives of local citizens, and we take great pride Education Outreach in their long history of community involvement. GLOBALFOUNDRIES strives to promote, • GLOBALGirls, a summer STEM camp for middle Through the GlobalGives program, we are build- develop, and support educational programs school girls launched in 2017 to inspire our next generation of female science and technology ing upon these grassroots efforts, embracing inside and outside the classroom, as well as in leaders and address the gender gap in manu- them as integral to our company identity, and our homes and local communities. Our many facturing (Malta, NY, and Burlington, VT); connecting employees and teams to a larger activities include developing, supporting, and • FIRST® (For Inspiration and Recognition of international effort. expanding upon educational programs in the Science and Technology) robotics programs, STEM (Science, Technology, Engineering, and designed to motivate young people to pursue In 2017, GLOBALFOUNDRIES launched several Mathematics) fields at all of our sites. Through education and career opportunities in STEM, worldwide campaigns through its giving plat- our global STEM initiative, we provide experi- while building self-confidence, knowledge, form in response to natural disasters that had ential learning opportunities for students and and life skills (Malta, NY, East Fishkill, NY and Burlington, VT). Together with its consortium resulted in extensive damage and devastation. teachers, facilitate curriculum development and of business partners, GLOBALFOUNDRIES has Together with employees, GF provided aid to mentoring support for early college high school

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collectively pledged more than $1 million to volunteering their time and donating • Operation Holiday Happiness, which provides gifts support STEM programming along the U.S. money and goods to support a wide for needy families in the East Fishkill, NY community, Northeast Tech Corridor over six years variety of philanthropic causes, helping to Toys for Tots in Malta, NY; and Louisenstift gGmbH in (2015–2020); Dresden, a charity for children from disadvantaged improve the quality of life in our commu- families, many of whom are not able to celebrate • “Jugend Forscht” (Youth in Science) Saxony, nities. Our Calendars for Charity program Christmas with their families; a regional competition that supports creative leverages the winning images from our talents and encourages young people to put • GF Bangalore donated computers to the Sri their ideas into practice (Dresden, Germany); annual employee photo contest to create Channabasaveshwara Government School in Bellary, calendars that are given to employees who Karnataka, to help students attend “smart” classes, and • Volunteers from GF Bangalore held two “show a projector to the Kidwai Memorial Institute of Oncology, and tell” events for local 8th–10th graders at make charitable donations in support of a regional center for cancer research and treatment to local schools. The events included an introduc- their local communities. help support cancer awareness camps in rural areas; tion to GF, a detailed presentation and videos on semiconductors and the fabrication process, Some of the many local programs we have • Together with the towns of Malta and Stillwater, GLOBALFOUNDRIES established and funded two a number of demonstrations and electronics supported across the company include: experiments, and a quiz contest where students charitable foundations, specifically designed to benefit answered general science questions. • Hair for Hope, which promotes aware- the communities located near our Malta, NY site. These foundations fund and support a wide variety of local ness of childhood cancer. A total of 68 community programs, not-for-profit organizations, and Singapore GLOBALFOUNDRIES employees other charitable causes that have been benefiting the Philanthropy had their heads shaved in 2017, raising towns of Malta and Stillwater since the first grants We believe the success of our company is more than $115,000. (Singapore); in 2012. With the 2017 awards, the foundations have directly related to the health of the communities • Food Drives to help fight hunger in local exceeded $1.2 million in total grants invested in the we call home. GLOBALFOUNDRIES and its communities (Burlington, VT, Malta, NY, communities and continue to retain healthy endow- employees make a difference by generously Santa Clara, CA, Austin, TX); ments for sustained future giving.

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E nviRONMENT The annual celebration of Earth Day at • In East Fishkill, the site held an Earth Day GLOBALFOUNDRIES strives to provide our GLOBALFOUNDRIES worldwide sites marks event offering event tables with information employees with opportunities to make a positive a highlight that serves to raise awareness for on less wasteful eating portions, help on how to “recycle, reduce, and reuse” at work and at impact on the environment, both through volun- environmental protection. Some of the specific home, and proper medication disposal. teer programs and various on-site activities. events that took place on Earth Day include: • In Singapore, employees of each fab challenged themselves with a fab-wide goal pledge, for • Local clean up events at the Elbe river shore Some of the activities we support include: example our SGP 300mm fab (Fab 7 and 7G) (Dresden employees) and the Don Edwards San pledged to collect 500kg of recyclable waste Francisco Bay Refuge (Santa Clara employees); • Dresden’s “Ride your bike to work” campaign, and educate at least 100 employees on running every year from April to September. In • E-waste drives for electronic products sustainable living. The pledge was achieved 2017 a total of 430 participants travelled almost nearing the end of their useful life to be reused, with 1.1 tons of recyclables collected and 232 384,000 km to work by bicycle between April refurbished, or recycled (Santa Clara, CA, and employees trained. and September As a result of the bike to work Bangalore, India). campaign, more than 53 tons of CO2 emissions • In Burlington, Earth Day coincided with Take that would have been emitted due to care use Our Children to Work Day, delivering environ- were avoided. mental conservation messages in unique and • Biannual Adopt-a-Road Cleanup Days in Malta, fun ways to employees and their children. The NY, bring employees together to clean a section Environmental Health and Safety teams also of local road. invited local environmental organizations on-site to celebrate Earth Day.

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GLOBALFOUNDRIES is committed to eco- certified under the Sony Green Partner program Eco-Efficiency: Our Goals efficiency in our manufacturing operations. or maintain equivalent controls to ensure We measure our operational EHS performance We define eco-efficiency as optimizing the uti- product compliance. Fab 1 (Dresden, Germany) using key environmental performance indica- lization of resources to yield products meeting has established an ISO 50001-certified energy tors (KEPIs), reflecting resource consumption, stringent performance and quality criteria. management system. Our certificates are environmental emissions, waste generation, available here. and regulatory compliance. We normalize data Environmental, Health & Safety from operations using an industry standard Management Systems Fab 8, in Malta, New York, was designed as a Manufacturing Index (MI). The MI is derived Our Global EHS Policy and Standards are the “green fab.” The fab and associated administra- from the number of wafers manufactured, the foundation of an integrated EHS Management tive and support buildings include many energy number of masking steps in our fabrication pro- System. GLOBALFOUNDRIES has achieved an and water efficiency features. We applied the cesses (reflecting process complexity), and the enterprise-wide certification to both the ISO “LEED® green building program” design criteria. total area of wafers produced. The normalized 14001 environmental management systems Admin 1 and Admin 2 office buildings are LEED rate of a KEPI thus reflects our eco-efficiency. standard and the OHSAS 18001 occupational Gold® and the Fab 8.1 fabrication facility is health and safety management systems LEED Silver®. standard that covers all of our manufacturing locations. In addition, our fabs have either been

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In 2016, we reset our resource conservation We identified resource conservation projects Noting that normalized rates are affected by goals to address our acquisition of IBM’s across our manufacturing sites to reduce changes in technology mix and the level of Microelectronic Division in 2015; including two absolute consumption of electricity and water, fab activity (loading), achieving our resource manufacturing facilities now known as Fab 9 in greenhouse gas emissions, chemical consump- conservation goals would lead to the following Burlington, VT, and Fab 10 in East Fishkill, NY. tion, and the generation of waste from 2016 forecasted reductions in normalized consump- We established a new baseline defined as the through 2018. Our goals represent the projected tion or emission rates by the end of 2018: first 12 months of our combined operations fol- aggregated annual savings of these projects by lowing the acquisition (from July 2015 through year-end 2018: • 18 percent reduction of normalized June 2016). electricity consumption; • Reduce electricity use by 48 gigawatt • 32 percent reduction of normalized hours (GWh); water consumption; • Reduce water use by 3.7 Million cubic • 20 percent reduction of normalized meters (m3); greenhouse gas emissions. • Reduce GHG emissions by 14,600 metric We have also maintained an annual goal to tons carbon equivalents (MTCE); and recycle and reuse at least 55 percent of hazard- • Reduce chemical use and waste ous waste generated across the company for generation by a combined 11,000 tons. our 2017 and 2018 operations.

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Progress towards our Goals FIGURE 3. Resource Conservation Project Status Until full-year 2018 data is available, we are 100 measuring progress towards our new goals 7 in percentage of completion of the underlying 19

2016–2018 resource conservation projects 80 14 (FIGURE 3). 42

Most of our resource conservation projects are 60 on track for completion or have already been 100 100 Percent completed. In addition, GLOBALFOUNDRIES’ 40 30 engineers are continually working to identify 67 additional resource conservation projects. As a result we expect to achieve reductions 20 (particularly in the areas of energy consumption 31

and greenhouse gas emissions reduction) that 0 Water Electricity Greenhouse Gases Chemical/Waste outpace our original goal levels. [Thousand m3] [MWh] [MTCE] [Tons]

Solution Pending Delayed On Track Completed

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ENERGY CONSUMPTION FIGURE 4. Absolute And Normalized Electricity Usage – Baseline to 2017

FIGURE 4 shows absolute and normalized 4,000 0.08 0.073 electricity consumption at our manufacturing 0.067 0.07 facilities from the baseline to 2017. While 0.059 absolute consumption of electricity in 2017 3,000 0.06 was flat from the baseline value, normalized electricity usage improved by nineteen percent 0.05

in 2017 compared to the baseline level. We 2,000 3,145 3,136 3,134 0.04 GWh

expect this trend to continue with additional kWh / MI efficiency improvements. 0.03

1,000 0.02

0.01

0 0 Baseline 2016 2017 2H’15/1H’16 Absolute Electricity Consumption Normalized Electricity Consumption

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WATER USE FIGURE 5. Absolute and Normalized Water Use – Baseline to 2017

FIGURE 5 shows absolute and normalized water consumption at our 0.68 0.07 0.63 manufacturing facilities at the baseline and through 2017. In 2017, 0.56 absolute water consumption increased slightly over the previous year – 30,000 0.06 by three percent compared to the baseline value. Comparing the 2017 0.05 normalized water consumption rate to our baseline shows a decrease (improvement) of seventeen percent. We expect continued reductions 20,000 0.04 3 in normalized water use. 29,112 29,328 29,942

0.03 Liter / MI We have extensive water reuse and recycling programs at our Thousand m manufacturing facilities in place. In 2017, we achieved a combined 10,000 0.02 corporate water reclaim rate of 62 percent relative to incoming water supply, an 11 percent increase over our reclaim rate in 2016. In 2017, 0.01 the average water recycling rate across our fab sites was 37 percent 0 0 compared to incoming water, a two percent improvement over our Baseline 2016 2017 2016 recycling rate. “Reclaim” includes both water recycling and reuse. 2H’15/1H’16 Some reclaimed water is used as a high-quality raw water supply to Absolute Water Use Normalized Water Use our ultra-pure water (UPW) plants (defined as “recycling”) as well as for facility operations such as cooling towers and scrubbers, which can accommodate lower-quality water sources (defined as “reuse”).

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GREENHOUSE GAS EMISSIONS The potential business risks associated with beyond regulatory requirements, including the climate change are complex, ranging from reg- World Semiconductor Council’s (WSC) 2020 Climate change is a critically important ulatory initiatives affecting energy and process goal to implement best practices in all new challenge impacting our global environment, materials to severe weather events such as semiconductor fabs. Our newest operating fab, human society and the global economy. droughts, flooding, and extreme temperatures. Fab 8 in New York, was built to meet the WSC GLOBALFOUNDRIES monitors our energy con- Climate-related risks, including supply or opera- Best Practices commitment. sumption and greenhouse gas (GHG) emissions tional disruptions due to severe weather events, to understand our climate impacts. We manage are evaluated as part of our risk management our climate-related business risks by conserv- process. We track the development of proposed ing energy, implementing emission controls, and climate legislation around the world and have participating in initiatives to drive industry-wide implemented proactive measures that go well improvements.

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FIGURE 6 shows absolute and normalized direct FIGURE 6. Absolute and Normalized Direct (Scope 1) (Scope 1) and indirect (Scope 2) GHG emissions and Indirect (Scope 2) GHG Emissions – Baseline to 2017 at our baseline, and through 2017. Absolute 800,000 total GHG emissions were slightly lower (2 per- 16.3 16.0 cent) in 2017 relative to the baseline value, with 14.2 approximately the same reduction percentages 600,000 12.9 for both Scope 1 emissions and market-based 12.0 indirect Scope 2 emissions. Compared to our 271,962 267,655 267,780 baseline, normalized 2017 GHG emissions were 400,000 20 percent lower. We expect that continued MTCE 8.0

growth in manufacturing volume along with 429,189 400,400 418,141 Gram CE / MI projects to reduce direct and indirect GHG 200,000 emissions will further support that trend. 4.0

Several GHG emission reduction projects com- 0 0 menced in 2016 and continued through 2017, Baseline 2016 2017 including reduction in direct emissions from 2H’15/1H’16 fuel use at the Singapore Woodlands site, and Scope 2 GHG Emissions Scope 1 GHG Emissions Normalized GHG Emissions reductions in emissions of heat transfer fluid emissions at Fab 10 in East Fishkill, NY.

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FIGURE 7 shows absolute and normalized total FIGURE 7. Absolute and Normalized PFC (perfluorocompound) emissions at our PFC Emissions – Baseline to 2017 baseline and through 2017. PFC gases are used 400 8 in semiconductor wafer etching and Chemical 7.1 6.4 Vapor Deposition (CVD) chamber cleaning. 6.0 Absolute PFC emissions increased by almost 300 6 four percent in 2017 compared to our baseline, whereas normalized PFC emissions decreased by 16 percent. Our Singapore Woodlands site 200 4 is currently implementing a project to replace

307,242 298,889 318,474 Grams CE / MI

a PFC gas used in CVD chamber cleaning with Thousand MTCE one that has no global warming potential. This project is expected to result in a significant 100 2 reduction in GHG emissions, adding to reduc- tions achieved already by the built-in features of Fab 1 in Dresden and Fabs 8 and 10 in New 0 0 Baseline 2016 2017 York. These 300mm fabs were designed to pro- 2H’15/1H’16 duce extremely low emissions of PFCs by using Absolute PFC Emissions Normalized PFC Emissions low-emission gases in CVD chamber cleaning, coupled with near-universal use of point-of-use abatement equipment for PFC-using processes.

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FIGURE 8. Absolute and Normalized Hazardous Waste Generation – Baseline to 2017 HAZARDOUS WASTE 60,000 1.2

0.87 0.81 1.0 8,118 FIGURE 8 shows the absolute and normalized hazardous 0.77 8,182 40,000 0.8 waste† generation at our baseline and through 2017. Absolute 8,390 0.6

hazardous waste generation increased by 29 percent in 2017 Tons Grams / MI compared to the baseline. During the same time, the normalized 20,000 33,346 40,761 43,176 0.4 rate of hazardous waste generation increased by five percent. 0.2

The rise in absolute and normalized hazardous waste generation 0 0 Baseline 2016 2017 correlates with the continued growth of the number of wafer 2H’15/1H’16 Beneficially Recycled / Reused By-products Absolute Hazardous Waste Generation (U.S Fabs only - Category is excluded from cleaning steps in advanced processes. These cleaning steps Normalized Hazardous Waste Generation U.S. definition of hazardous waste) require increased use of UPW and cleaning chemicals such as sulfuric acid. We are actively investigating ways to reduce water FIGURE 9. 2017 Disposal Methods for Hazardous Waste and chemical use to ultimately reduce hazardous waste. and Beneficially Recycled and Reused By-products

4% Burned for Fuel Recovery Off-Site FIGURE 9 shows a breakdown of the disposal methods for the 29% Treated Off-Site 16% Beneficially Recycled hazardous waste generated in 2017. We met our 2017 goal and Reused to recycle and reuse at least 55 percent, as approximately 6% 59 percent of total hazardous waste (including by-products Incinerated Off-Site beneficially recycled and reused) was recycled or reused. 2% Landfilled Off-Site 43% Recycled or Reused

†The classification of waste as “hazardous” is determined by the respective regulations that apply to our manufacturing sites.

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FIGURE 10. Absolute and Normalized Non-Hazardous0.60 Waste Generation – Baseline to 2017 NON-HAZARDOUS WASTE GENERATION 20,000 0.49 0.50

0.41 FIGURE 10 shows absolute and normalized non-hazardous 0.40 15,000 waste generation at our baseline and through to 2017. 0.30 0.30 Absolute nonhazardous waste generation decreased by Tons 10,000 21,296 19,024 15,890 Grams / MI

25 percent in 2017 compared to our baseline, whereas 0.20

normalized non-hazardous waste generation decreased 5,000 even more (by 40 percent). 0.10

0 0 Baseline 2016 2017 FIGURE 11 shows the breakdown of the disposal methods 2H’15/1H’16 Absolute Non Hazardous Normalized Non Hazardous for non-hazardous waste generated in 2017. 59 percent of Waste Generation Waste Generation non-hazardous waste generated by GLOBALFOUNDRIES in

2017 was recycled or reused. FIGURE 11. 2017 Disposal Methods for Non-Hazardous Waste

29% Landfilled Off-Site

59% Recycled or Reused

4% Treated Off-Site

8% Incinerated Off-Site

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Air Emissions producing a low-volume exhaust stream with In 2016, inspections and regular compliance All of our manufacturing facilities operate a higher concentration of VOCs. This more reporting across our global locations resulted within air quality conditions permitted by local concentrated exhaust stream is then treated in four notices of violation (NOVs)‡. In 2017, regulatory agencies. The primary air emissions with greater efficiency through a combustion inspections and regular compliance reporting from our facilities include corrosives (acids and process that destroys as much as 98 percent across our global locations resulted in six bases) and volatile organic compounds (VOCs). of the VOCs. notices of violation (NOVs). All issues are being corrected in communication with the We employ wet scrubbers to neutralize EHS COMPLIANCE respective regulatory authorities. No financial corrosive emissions and treat the scrubber We are committed to a “Beyond Compliance” penalties were assessed in 2017. In 2018 water in on-site wastewater treatment systems approach, seeking to exceed the requirements GLOBALFOUNDRIES Singapore paid penalties prior to discharge. For VOC emissions reduction, of applicable regulations. We implement consis- of approximately $4,800 USD related to waste- most sites use thermal oxidation or carbon bed tent and rigorous EHS standards, management water discharge violations in January 2016. adsorbers. Fab 1 in Dresden, Fab 8 in Malta, systems, metrics, external reporting, and com- NY, and Fab 10 in East Fishkill, NY, have control pliance assurance programs. Our manufacturing technology that utilizes rotary concentrators sites perform internal reviews as part of their followed by thermal oxidation. This technology EHS Management Systems and are routinely uses highly adsorbent zeolite materials to inspected by regulatory authorities. capture VOCs, which are subsequently desorbed,

‡This is a restatement to our 2017 CSR report that reported 2 NOVs for the same time period.

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We enable our customers’ success with our Quality Management Systems In the quest to continually improve our broad range of technologies and our manu- GLOBALFOUNDRIES’ Quality Management customers’ experience when partnering with facturing expertise, supported by our Quality System is in place to ensure that our products GLOBALFOUNDRIES, we listen to our custom- Management Systems, while at the same time meet or exceed customer specifications on ers and feed their voice back into our business keeping a focus on opportunities to reduce quality and reliability for all industries and processes and systems. We manage customer their environmental footprint. We take action to markets. We are dedicated to a “zero excur- issues in our Action Escalation system to reduce the potential health, safety, environmen- sion, zero defect” mission in all aspects of our ensure responsive follow-through with our tal, and social impacts of the product life-cycle product realization and business processes. commitments. We track internal, customer- stages under our control. facing key performance indices that are closely GLOBALFOUNDRIES’ manufacturing facilities aligned to our customers’ Quality, Business, obtain certification to international quality Technology, Fulfillment, and Responsiveness standards that validate the effectiveness of targets. Finally, we conduct third-party the quality management system in support of customer relationship surveys every year to market segments. These include ISO 9000, ensure our customers notice the improvements and may extend to market-specific standards we’re making. Our quality management system for automotive (IATF-16949) and aerospace is described further here, including copies of (AS9100) products. Our advanced quality sys- third-party certification certificates. tem builds upon these internationally recognized standards, codifying the requirements to ensure product quality, including robustness of the management system and infrastructure.

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E nABLING Energy Efficiency FD-SOI Technology— Making intelligent use of the generic FD-SOI GLOBALFOUNDRIES’ technology portfolio 22FDX® and 12FDX™ technologies features, GLOBALFOUNDRIES’ 22FDX® and provides energy-efficient solutions for FD-SOI technologies (Fully Depleted Silicon on 12FDX™ technologies feature significant high-performance applications as well as Insulator technologies) employ an ultra-thin low power, low cost and power efficiency those that depend on long battery lifetimes. oxide insulator placed on top of the base silicon. advantages for designing differentiated GLOBALFOUNDRIES’ 14/12nm FinFET platform On top of this oxide insulator a very thin silicon solutions for mobile application processors, enables energy efficiency for performance- layer creates the transistor channel. Due to wireless networking, Internet of Things (IoT) hungry applications (servers, CPUs, GPUs, and the thinness of this layer, no channel doping is and automotive markets. 22FDX® has been others), driving system performance within a required, making the transistor “fully depleted”. designed as a low-capacitance technology that given power envelope (i.e. increasing system The FD-SOI structure results in much better allows a designer to take advantage of ultra-low performance within given power requirements). transistor characteristics compared to tradi- operating voltages as well as of dynamic power tional bulk CMOS technology, reducing leakage consumption control. A unique FDX feature Another approach focuses on minimizing power current and parasitic capacitance, thus making enables the chip to dynamically switch back and consumption for a given set of performance the transistor more energy-efficient. forth between high-performance and low-power requirements. GLOBALFOUNDRIES’ FDX tech- operation:, i.e. to boost performance in the nologies are designed to span a wide range of moment it is needed while reducing the static applications where power and energy efficiency leakage to a minimum when the performance is matters most. not needed.

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Additionally, the FDX technology platform is Additional Energy-efficient Technologies System Integration designed to integrate a multitude of functional- Our focus on technologies that enable energy Next to developing energy-efficient silicon tech- ities into a single System-on-Chip. Customers efficiency extends beyond advanced technology nologies, system integration is another aspect can thus easily integrate digital, analog, and RF nodes. We also offer semiconductor services for that drives the final device’s energy efficiency. (radio frequency) functions onto a single chip for power-management integrated circuits (PMICs) intelligent, power efficient and fully integrated and power converters. Our growing portfolio is GLOBALFOUNDRIES advances System-on-Chip system solutions. With the 12FDX™ platform, continuously expanding for higher voltages. concepts to combine more and more different beyond offering a full-node shrink versus functionalities onto the same piece of Silicon— 22FDX®, GLOBALFOUNDRIES extends the GLOBALFOUNDRIES’ Analog and Power pro- a concept that avoids the overhead of package 22FDX® functionality, enabling access to a wider cesses include highly competitive DMOS Power integration of System-in-Packages, both in range of applications at low power density. FETs that enable maximum power conversion terms of energy use and manufacturing cost. efficiency to aid in extending battery operating time. For example, GLOBALFOUNDRIES has Where System-on-Chip integration cannot developed a unique version of BiCMOS/DMOS practically be accomplished, die stacking by named BCDLite®, which has become one of direct wafer-to-wafer bonding is a cost- as the key technology platforms for cost-effective well as energy-efficient alternative to integrate power management and power converter solu- components. The state-of-the-art tooling and tions. This technology platform offers tremen- processes in GLOBALFOUNDRIES’ Packaging dous design flexibility for power management Differentiation Line allow developing tailored and high-voltage analog circuits. solutions for customer requests and bringing them to volume production.

GLOBALFOUNDRIES | CORPORATE RESPONSIBILITY REPORT 2018 BACK | MENU | NEXT 42 09 PRODUCT STEWARDSHIP

M aTERIALS Management other jurisdictions, such as China RoHS, and and Product Compliance other legislation that regulates substances con- All GLOBALFOUNDRIES sites have chemical tained in products (also called “articles”), most review and approval systems in place to ensure prominently the EU REACH Directive’s provisions that only approved materials are used in wafer on the presence of designated Substances of fabrication. Our material qualification process Very High Concern (SVHCs). Our specifications assesses materials relative to our specification also require packing material suppliers to meet for Banned, Restricted, and Declarable Materials applicable substance restrictions. Management, which includes both regulatory and customer-driven requirements. We extend GLOBALFOUNDRIES has programs in place these requirements to our manufacturing to obtain analytical evidence of product partners that provide semiconductor foundry, compliance (such as RoHS and halogen-free assembly and test services. Applicable regu- requirements). We make these reports and latory requirements include the EU Directive other product compliance documentation on restriction of the use of certain hazardous available to customers on GlobalFoundryView, substances in electrical and electronic equip- our customer portal. ment (RoHS Directive), its sister directives in

GLOBALFOUNDRIES | CORPORATE RESPONSIBILITY REPORT 2018 BACK | MENU | NEXT 43 10 SITE PROFILES: FAB 1 – Dresden, Germany

Capacity: up to 80K Groundbreaking for Fab 1 in Dresden took place COMMUNITY RELATIONS SUSTAINABILITY FEATURE: 300mm wafers/month in October 1996. The grand opening of the first Located literally fence to fence with its neigh- Low Greenhouse Gas Emissions production cleanroom followed in 1999, and bors in the 800-year-old villages of Wilschdorf Fab 1 was designed for extremely low Technology: 28nm, 22nm, 12nm the Dresden site has continued to expand ever and Boxdorf, the Dresden site participated in emissions of PFCs, which is accomplished by since. In 2009, the Dresden site became the its first local town hall meetings back in 1996 utilizing low-emission gases in CVD chamber Management System first GLOBALFOUNDRIES fab when the company and continues to do so today. Fab 1 supports cleaning, coupled with near-universal use Certifications: ISO 9001, IATF was divested from Advanced Micro Devices, Inc. various neighborhood associations and activities of point-of-use abatement equipment for 16949, ISO 14001, OHSAS 18001, (AMD). With more than 52,000 square meters of such as local heritage societies, volunteer fire PFC-using processes. Highly efficient natural ISO 50001, Sony Green Partner cleanroom, Fab 1 is the largest semiconductor brigades and choirs. gas powered trigeneration plants power Fab 1, manufacturing site in Europe. along with a small fraction of electricity from Awards: Piepenbrock Gold The Dresden site’s Community Affairs Program the Dresden public grid. Seal Award for implementa- GLOBALFOUNDRIES Dresden significantly also has a strong focus on educational youth tion of an ecological building contributes to the advancement of leading-edge projects. As a leading tech company, the In 2017, the team completed an extension of cleaning system (2018) semiconductor industry in Europe, Germany, Dresden site is driving a considerable number the ultrapure water recycling plant, with the and specifically the high-tech cluster in Saxony. of educational projects focused on STEM goal to substantially increase the recycling The region currently counts approximately activities with K–12 students. Jointly with other capacity for ultrapure water, thereby saving 2,300 high-tech companies with more than long-term partners, GF Dresden is a sponsor of a corresponding amount of feed water along 60,000 employees. the renowned youth tech competition “Jugend with the chemicals and energy that would have forscht” (“Young Scientists”). been required to treat the additional incoming water supply.

GLOBALFOUNDRIES | CORPORATE RESPONSIBILITY REPORT 2018 BACK | MENU | NEXT 44 10 SITE PROFILES: Singapore

Capacity: GLOBALFOUNDRIES Singapore stretches COMMUNITY RELATIONS SUSTAINABILITY FEATURE: Resource Efficiency 93K 200mm wafers/month across two campuses: the main Woodlands Since 2006, the GLOBALFOUNDRIES Resource efficiency is a priority for the Singapore site 68K 300mm wafers/month campus, which is home to one 200mm Singapore site has held an annual Hair team—energy and water conservation programs are “GIGA fab” (Fabs 2, 3 and 5) and one for Hope fundraising event benefiting continually pursued. For example, our Singapore fabs Technology: 180nm–40nm 300mm fab (Fab 7), and a 200mm fab in the Children’s Cancer Foundation (CCF). have extensive water recycling capabilities and achieved Tampines, 30 minutes away from the main GLOBALFOUNDRIES donated a total of a 53 percent recycling rate in 2017 as compared to Management System campus. These facilities comprise nearly S$115,000 ($83,000 USD) to the program incoming water. The site further enhanced its conserva- Certifications: ISO 9001, 11 soccer fields of cleanroom space. The in 2017. This signature event serves to tion efforts by completing construction of a new water TS 16949, ISO 14001, OHSAS history of our GIGA fab goes back to 1995 raise funds and promote awareness of treatment and reclamation facility at the Woodlands 18001, Sony Green Partner; when Fab 2 first started production. Our childhood cancer. GLOBALFOUNDRIES campus in January 2017. This state-of-the-art facility Fab 7 and Fab 3E: ISO 15408 300mm Fab 7 commenced operation in Singapore also supports regional STEM features advanced technology that is designed to reduce (Common Criteria) 2005, and has evolved ever since, with the (Science, Technology, Engineering and waste sludge and enable the reuse of treated wastewa- last significant extension during 2016, when Mathematics) activities such as hosting a ter that in turn reduces overall water consumption. our former 200mm Fab 6 was merged into series of plant visits for students from a Fab 7. The GLOBALFOUNDRIES Singapore number of different universities providing Furthermore, more than 95 percent of the water con- fabs were previously owned by Chartered insights into high-end technology and sumed at GLOBALFOUNDRIES Singapore is NEWater, Semiconductor Manufacturing, and were sharing experiences as the students which is reclaimed and treated wastewater supplied acquired by GLOBALFOUNDRIES in 2010. embark on their own engineering journey. by the Singapore Public Utilities Board. Using NEWater supports Singapore’s water conservation strategy to reserve high-quality potable water for domestic consumption.

GLOBALFOUNDRIES | CORPORATE RESPONSIBILITY REPORT 2018 BACK | MENU | NEXT 45 10 SITE PROFILES: FAB 8 – Malta, New York, USA

Capacity: up to 60K In 2009, GLOBALFOUNDRIES broke ground for COMMUNITY RELATIONS: SUSTAINABILITY FEATURE: 300mm wafers/month construction of our Fab 8 300mm wafer manu- Next to charity donations to those in need within Green Building Design: facturing facility in Malta, New York. The current the local community, the site’s community The Fab 8 campus integrated green building Technology: 14/ 12 nm capital investment for the Fab 8 campus is more relations program supports local education principles and practices as part of the site Management System than $12 billion. The majority of this investment through numerous initiatives. Jointly with design, construction and operation. This Certifications: ISO 9001, has been directed toward supporting the ramp GLOBALFOUNDRIES in East Fishkill, NY and includes: ISO 14001, OHSAS 18001 of our leading-edge 14nm technologies. With Burlington, VT, GLOBALFOUNDRIES Fab 8 sup- ® • High-efficiency motors, chillers, boilers, fan Awards: Kimberly Clark 40,875 square meters of cleanroom space and ports FIRST (For Inspiration and Recognition filters for the cleanroom, and vacuum pumps. Greenovation Award for Nitrile glove continued expansion, GLOBALFOUNDRIES Fab 8 of Science and Technology) robotics programs, recycling (2018); National Pollution is one of the leaders in advanced manufacturing designed to motivate young people to pursue • An innovative system that uses heat recovery Prevention Roundtable MVP2 (Most in the U.S. Fab 8 is a cornerstone of upstate education and career opportunities in STEM, chillers to meet the fab’s year-round base cool- ing load and recover the heat for site needs Valuable Pollution Prevention) Award New York’s “Tech Valley” region and is the larg- while building self-confidence, knowledge, instead of removing it with cooling towers. The – Partnering for Best Practices est public-private sector industrial investment in and life skills. Together with its consortium of in Sustainable Semiconductor system meets 40 percent of the site’s heating New York state’s history. business partners, GLOBALFOUNDRIES has Manufacturing (Sulfuric Acid Use load with recovered heat. collectively pledged more than $1 million to and Waste Reduction); (2018) • A fab-wide “Green Mode” strategy for point support STEM programming along the Northeast of-use abatement systems and for a significant Admin 1 and Admin 2 office Tech Corridor over six years (2015–2020). portion of the installed base of vacuum pumps. buildings are LEED Gold®.

Fab 8.1 fabrication facility is LEED Silver®.

GLOBALFOUNDRIES | CORPORATE RESPONSIBILITY REPORT 2018 BACK | MENU | NEXT 46 10 SITE PROFILES: FAB 9 – Burlington, Vermont, USA

Capacity: up to 40K More than sixty years ago, IBM broke ground COMMUNITY RELATIONS: SUSTAINABILITY FEATURE: 200mm wafers/month on its Vermont facility located on the banks of The site has an extensive history of community Legacy of environmental excellence the Winooski River near Burlington. Since its involvement and thus is well known for its Noted for its long-term environmental Technology: 350nm–90nm inception in 1957, the campus has grown and dedication and passion to the community, excellence, the Burlington site has received evolved into a major semiconductor manufac- whether it be through charitable contribu- extensive recognition, including numerous Management System turing site. GLOBALFOUNDRIES acquired the site tions or through volunteering during days of national, regional and state awards for its Certifications: ISO 9001, as part of the IBM Microelectronics business in caring. In addition, the “Bridge the Gap” and pollution prevention and energy management TS 16949, ISO 14001, OHSAS 2015. GLOBALFOUNDRIES Fab 9 is the largest Calendars for Charity programs helped provide results and initiatives. In 2018 Fab 9 received 18001, Sony Green Partner private employer in the state of Vermont. local charities with valuable contributions. the Governor’s Award for Environmental Burlington employees are very passionate Excellence for the 25th consecutive year. In Awards: about K–12 outreach, taking part in FIRST® 2016, Fab 9 transferred unused land to Green 2018 National Pollution Prevention Roundtable’s MVP2 (Most (For Inspiration and Recognition of Science Mountain Power to develop a 4.7 MW solar Valuable Pollution Prevention) and Technology) Robotics activities jointly power generation facility, the state’s largest at Award (Chemical Use Reduction with GLOBALFOUNDRIES in Malta, NY and that time, providing benefits to local communi- in Chemical Mechanical Polish) GLOBALFOUNDRIES in East Fishkill, NY. ties, GLOBALFOUNDRIES and the environment.

2018 Vermont Governor’s Environmental Excellence Award (Elimination of Legacy Wet Chromium Etch Processing In Photomask Manufacturing)

GLOBALFOUNDRIES | CORPORATE RESPONSIBILITY REPORT 2018 BACK | MENU | NEXT 47 10 SITE PROFILES: FAB 10 – East Fishkill, New York, USA

Capacity: up to 20K Originally developed by IBM in 1962, the site COMMUNITY RELATIONS: SUSTAINABILITY FEATURE: 300mm wafers/month grew and evolved into an R&D and manufactur- East Fishkill employees have always prided Recycle and Reuse ing center, first solely in support of IBM’s own themselves on being good neighbors, giving Fab 10 produces two commercial chemical Technology: 90nm–22nm mainframe products, and later also serving the generously to the local community through products for reutilization from the wastewaters needs of other original equipment manufactur- charitable donations and volunteering, such as generated by its 300mm manufacturing opera- Management System ers (OEM). The site joined GLOBALFOUNDRIES collecting toys for less fortunate children and tions: A sulfuric acid wastewater is segregated Certifications: ISO 9001, as part of the acquisition of IBM’s microelec- collecting and donating food to local food banks. to produce a spent sulfuric acid product and AS 9100C, ISO 14001, OHSAS tronics business acquisition in 2015 and is now East Fishkill employees also support a Treat the Ammonia wastewater is distilled to produce an 18001, Sony Green Partner known as GLOBALFOUNDRIES Fab 10. Troops program and the GLOBALFOUNDRIES ammonium hydroxide solution for reuse in off- Calendars for Charity campaign. site catalytic air emission abatement systems.

The site also participates in a number of Groundwater treated through IBM groundwater STEM (Science, Technology, Engineering remediation activities (approximately 25 and Mathematics) activities, including FIRST percent of site water usage) is also reused Robotics, along with GLOBALFOUNDRIES in the production of ultra-pure water. in Malta, NY and GLOBALFOUNDRIES in Burlington, VT.

GLOBALFOUNDRIES | CORPORATE RESPONSIBILITY REPORT 2018 BACK | MENU | NEXT 48 11 ABOUT THIS REPORT

The GLOBALFOUNDRIES 2018 Corporate Data presented in this report reflect calendar We value and encourage your feedback on this Responsibility Report is our fourth comprehen- year 2017. The data were compiled from facili- report. Please send comments or questions to sive corporate social responsibility and sustain- ties owned or operated by GLOBALFOUNDRIES [email protected]. ability report. The last report was published in during the reporting period and validated using 2017 and covered 2016 data. our internal processes. No significant change in material topics as relevant to this report We are using the Global Reporting Initiative occurred during 2017. (GRI) G4 Sustainability Reporting Standards and self-declare that this report has been pre- pared in accordance with the GRI Standards: Core option.

GLOBALFOUNDRIES | CORPORATE RESPONSIBILITY REPORT 2018 BACK | MENU | NEXT 49 12 GRI CONTENT INDEX

GRI Disclosure Explanatory Comments / GRI Standard Title Number Disclosure Title CSR Report 2018 Section Direct Information Coverage GENERAL DISCLOSURES 102-1 Name of the organization Company Profile Full Significant changes to the organi- No signficant change occured during 102-10 – Full zation and its supply chain the reporting period (2017). 102-11 Precautionary Principle or approach Sustainable Manufacturing Full 102-12 External initiatives Stakeholder Engagement Full 102-13 Membership of associations Stakeholder Engagement Full 102-14 Statement from senior decision-maker CEO Statement Full Values, principles, standards, 102-16 Governance Full and norms of behavior 102-17 Mechanisms for advice and concerns about ethics Governance Full General Disclosures 102-18 Governance structure Governance Full 102-19 Delegating authority Governance Full 102-2 Activities, brands, products, and services Company Profile Full 102-3 Location of headquarters Company Profile Full 102-4 Location of operations Company Profile Full 102-40 List of stakeholder groups Stakeholder Engagement Full 102-41 Collective bargaining agreements – None Full 102-42 Identifying and selecting stakeholders Stakeholder Engagement Full 102-43 Approach to stakeholder engagement Stakeholder Engagement Full 102-44 Key topics and concerns raised Stakeholder Engagement Full

GLOBALFOUNDRIES | CORPORATE RESPONSIBILITY REPORT 2018 BACK | MENU | NEXT 50 GRI Disclosure Explanatory Comments / GRI Standard Title Number Disclosure Title CSR Report 2018 Section Direct Information Coverage GLOBALFOUNDRIES is a privately 12 Entities included in the consolidated Not 102-45 – held company and does not publish financial statements Disclosed GRI CONTENT INDEX financial statements. 102-46 Defining report content and topic boundaries Stakeholder Engagement Full (continued) 102-47 List of material topics Stakeholder Engagement Full Please see restatement for GRI 102-48 Restatements of information Sustainable Manufacturing 307-1 (Environmental Compliance) in Full Section Sustainable Manufacturing. No changes as compared to 102-49 Changes in reporting Stakeholder Engagement Full previous reporting period. 102-5 Ownership and legal form Company Profile Full 102-50 Reporting period About this Report Full 102-51 Date of most recent report About this Report Full General Disclosures 102-52 Reporting cycle About this Report Full 102-53 Contact point for questions regarding the report About this Report Full Claims of reporting in accordance 102-54 About this Report Full with the GRI Standards 102-55 GRI content index GRI Content Index Full At this time, GLOBALFOUNDRIES 102-56 External assurance – is not seeking external Full assurance for this report. 102-6 Markets served Company Profile Full 102-7 Scale of the organization Company Profile Full We report the break down by 102-8 Information on employees and other workers Our People and Workplace Full category as percentage. 102-9 Supply chain Supplier Responsibility Full

GLOBALFOUNDRIES | CORPORATE RESPONSIBILITY REPORT 2018 BACK | MENU | NEXT 51 GRI Disclosure Explanatory Comments / GRI Standard Title Number Disclosure Title CSR Report 2018 Section Direct Information Coverage 12 MANAGEMENT APPROACH 103-1 Explanation of the material topic and its boundary Stakeholder Engagement In subsection The Materiality Analysis Full GRI CONTENT INDEX Management Approach 103-2 The management approach and its components – Covered in topic related report sections. Full (continued) 103-3 Evaluation of the management approach – Covered in topic related report sections. Full MATERIAL TOPICS Economic While this is a material topic, GLOBALFOUNDRIES as a Not Economic Performance 201-1 Direct economic value generated and distributed – privately held company, does not disclosed disclose any financial details. Governance and Ethical Business In 2016 and 2017, the company's Ethics & Compliance team conducted Operations assessed for risks Anti-corruption 205-1 – an enterprise risk assessment. Full related to corruption No significant risks related to corruption were identified. Communication and training about Anti-corruption 205-2 Governance Full anti-corruption policies and procedures Operations that have been subject to human 412-1 Governance Full Human Rights rights reviews or impact assessments Assessment Employee training on human rights 412-2 Governance Full policies or procedures Operations and suppliers in which the Freedom of Association Governance; 407-1 right to freedom of association and Full and Collective Bargaining Supplier Responsibility collective bargaining may be at risk Operations and suppliers at significant Governance; Child Labor 408-1 Full risk for incidents of child labor Supplier Responsibility Forced or Operations and suppliers at significant risk Governance; 409-1 Full Compulsory Labor for incidents of forced or compulsory labor Supplier Responsibility

GLOBALFOUNDRIES | CORPORATE RESPONSIBILITY REPORT 2018 BACK | MENU | NEXT 52 GRI Disclosure Explanatory Comments / GRI Standard Title Number Disclosure Title CSR Report 2018 Section Direct Information Coverage Supplier Environmental New suppliers that were screened 12 308-1 Supplier Responsibility Full Assessment using environmental criteria New suppliers that were screened GRI CONTENT INDEX 414-1 Supplier Responsibility Full using social criteria (continued) Supplier Social Assessment Negative social impacts in the supply 414-2 Supplier Responsibility Partly chain and actions taken In 2017, GLOBALFOUNDRIES was Socioeconomic Non-compliance with laws and regulations 419-1 – not assessed any significant fines Full Compliance in the social and economic area or non-monetary sanctions. Environmental 302-1 Energy consumption within the organization Sustainable Manufacturing Full 302-3 Energy intensity Sustainable Manufacturing Full Examples with significant reductions are reported as well as overall savings 302-4 Reduction of energy consumption Sustainable Manufacturing Partly Energy by energy conservation projects under- lying to 2016–2018 corporate goals. Examples are reported for new and Reductions in energy requirements existing energy-efficient technologies 302-5 Product Stewardship Partly of products and services that enable our customers to design energy-efficient products. GLOBALFOUNDRIES uses water from municipal sources at all of our manufacturing facilities. 303-1 Water withdrawal by source Sustainable Manufacturing In 2017, a portion equivalent to 6 Full Water percent of GLOBALFOUNDRIES total water use was withdrawn from groundwater sources. 303-3 Water recycled and reused Sustainable Manufacturing Full

GLOBALFOUNDRIES | CORPORATE RESPONSIBILITY REPORT 2018 BACK | MENU | NEXT 53 GRI Disclosure Explanatory Comments / GRI Standard Title Number Disclosure Title CSR Report 2018 Section Direct Information Coverage 12 Climate Change, GHG Emissions GLOBALFOUNDRIES quantifies GRI CONTENT INDEX Scope 1 GHG emissions using the following methods: (continued) - “The Greenhouse Gas Protocol: A Corporate Accounting and Reporting Standard (Revised Edition)”; - For semiconductor process 305-1 Direct (Scope 1) GHG emissions Sustainable Manufacturing related PFC emissions specifically, Full GLOBALFOUNDRIES uses Tier 2 methods of IPCC Guideline for GHG Inventories V3_Chapt6 Electronics Industries and U.S. EPA reporting methods under Subpart I of the GHG Mandatory Reporting Rule (MRR); Emissions - GWPs used are from IPCC Fourth Assessment Report (AR4 – 100 year). GLOBALFOUNDRIES quantifies Scope 2 GHG emissions using the following methods: - “The Greenhouse Gas Protocol: A Corporate Accounting and Reporting 305-2 Energy indirect (Scope 2) GHG emissions Sustainable Manufacturing Standard (Revised Edition)”; Full - “The Greenhouse Gas Protocol: Scope 2 Guidance”; - GF is using the market-based method to quantify Scope 2 GHG emissions. 305-4 GHG emissions intensity Sustainable Manufacturing Full Emissions, Waste, and Effluents Our 2017 fabs’ combined corrosive emissions were approximately Nitrogen oxides (NOX), sulfur oxides (SOX), Emissions 305-7 Sustainable Manufacturing 103,500 kg (this value is based on Partly and other significant air emissions air emission measurements, that are annually conducted at each fab).

GLOBALFOUNDRIES | CORPORATE RESPONSIBILITY REPORT 2018 BACK | MENU | NEXT 54 GRI Disclosure Explanatory Comments / GRI Standard Title Number Disclosure Title CSR Report 2018 Section Direct Information Coverage 12 We operate permitted wastewater treatment systems at each of our manufacturing sites to manage GRI CONTENT INDEX effluent from production areas. These (continued) facilities treat the wastewater to meet regulatory requirements prior to discharge. GF facilities discharge waste water to municipal treatment facilities, or directly to surface waters 306-1 Water discharge by quality and destination Sustainable Manufacturing Full in the case of Fabs 9 and 10. The direct discharges follow a rigorous combination of industrial and biological treatment processes. In total, in 2017, Effluents and Waste we discharged 21.807 million cubic meters of treated wastewater from all manufacturing operations combined, of which 31% (6.850 million cubic meters) were discharged to surface water. To determine our hazardous waste recycling and reuse rate, we also include the category “by-products 306-2 Waste by type and disposal method Sustainable Manufacturing beneficially recycled and reused”, which Full is applicable only to our U.S. sites. Such reclaimed material is excluded from the U.S. EPA definition of hazardous waste. 306-3 Significant spills – No significant spills occurred in 2017. Full Environmental Non-compliance with environmental 307-1 Sustainable Manufacturing Full Compliance laws and regulations

GLOBALFOUNDRIES | CORPORATE RESPONSIBILITY REPORT 2018 BACK | MENU | NEXT 55 GRI Disclosure Explanatory Comments / GRI Standard Title Number Disclosure Title CSR Report 2018 Section Direct Information Coverage 12 Social / Employment Benefits provided to full-time employees that are Employment 401-2 Our People and Workplace Full GRI CONTENT INDEX not provided to temporary or part-time employees Types of injury and rates of injury, occupational (continued) Occupational Health We do not disclose by 403-2 diseases, lost days, and absenteeism, Our People and Workplace Partly and Safety gender and region. and number of work-related fatalities Programs for upgrading employee skills Training and Education 404-2 Our People and Workplace Full and transition assistance programs Diversity and Equal 405-1 Diversity of governance bodies and employees Our People and Workplace Full Opportunity Community Indirect Economic 203-2 Significant indirect economic impacts Site Profiles Full Impacts Operations with local community engagement, Community Engagement; Local Communities 413-1 Full impact assessments, and development programs Site Profiles

GLOBALFOUNDRIES | CORPORATE RESPONSIBILITY REPORT 2018 BACK | MENU | NEXT 56 CORPORATE RESPONSIBILITY REPORT 2018

GLOBALFOUNDRIES®, the GLOBALFOUNDRIES logo, and combinations thereof are trademarks of GLOBALFOUNDRIES Inc. in the United States and/or other jurisdictions. Other names used in this document are for identification purposes only and may be trademarks of their respective owners. ©2018 GLOBALFOUNDRIES Inc. All rights reserved.