Global Compact Annual Communication on Progress

Company name Corio Date 10-08-2010 Unit (if applicable) CSR Address Sint Jacobsstraat 200 3511 BT Membership date 2008

Country The Number of 429 employees Contact name Ms. Lara Muller Contact position CSR Manager Sector Real Estate Contact telephone +31 30 28290202 no.

Brief description of nature of business

Corio is a retail property company. It specializes in the selection, development, redevelopment and management of shopping centers. Currently Corio runs operations in five countries: the Netherlands (where our headquarters are located, , , and Turkey. The company’s shares are traded on Euronext NYSE in Amsterdam and Paris. Under Dutch law Corio is a closed-end fiscal investment institution (FBI). It has a SIIC status in France. As of March 2008, Corio has been included in the Dutch blue-chip index of 25 leading shares, the AEX.

Statement of support

Part of our CSR strategy was the signatory of the United Nations Global Compact, two years ago and we remain committed to upholding and developing long term strategies to meet our commitment to the UNGC principles. We incorporated the UNGP principle in a group wide Code of Conduct, which is applicable not only to our employees but also to suppliers and business partners. This ongoing commitment to upholding the human rights principles and compliancy with human rights laws is a management Board responsibility and is publicly stated in our CSR report 2009 by the CEO of the Management Board.

The Corio Management Board recognizes that high levels of CSR, incorporating the economic, environmental and social objectives, will create a more sustainable business and increase stakeholder value. We have gone through an extensive development of CSR within our company the past two years. Our scope of vision has gone from subject-oriented, by creating content in reaction to market developments, towards action-oriented, by building sustainable relations with our stakeholders; a proactive attitude towards the subject. Even though the financial crises had an impact on the economy, Corio is committed in the long term to CSR as it considers CSR will be beneficial for all stakeholders, including the shareholders. We have made CSR an integral part of our strategy and policy and we actively implement that policy in our operational portfolio. As such it is incorporated in Corio‟s decision making process, into its daily operations as well as its investment and (re)development activities. Regarding our pipeline of new projects, sustainability is a prime consideration. If sustainable investment possibilities are limited, we focus on the property‟s social and environmental improvement potential.

Our CSR strategy is to maintain dialogue with our main stakeholders, such as (potential) consumers, local authorities, tenants, suppliers and employees as a means of improving our corporate social responsibility performance. However, we also want to improve the responsibility of our suppliers, tenants, tenants‟ suppliers and visitors, who are predominantly the consumers of the catchment areas, thus creating shared value for all parties involved. With our strategy, CSR policy and values, we have laid the basis for building sustainable relations with our stakeholders. We published our first Corporate Social Responsibility report over 2009, which presents a summary of our achievements to date and sets out our future targets and ambitions. ENVIRONMENT SOCIAL ECONOMIC From 2009 onwards, our plan is to report on our total CSR performance each year and to inform stakeholders on the progress achieved. Up till now we have mainly reported on our financial and business performance. Behind the scenes, however, we have been gearing up for CSR reporting for three years. To date, we have made solid progress in getting our own CSR house in order. We have aligned many internal processes such as human resources and the primary business processes (leasing, centre management, facility management, marketing, (re)development), but also supporting functions such as human resources, systems, technique, internal accounting and communication. We have made quite some progress on creating a corporate Human Resources policy and sharing the same values within the company. As a result the company becomes more united and cohesive despite our decentralized business model. Such cohesion is important in establishing, working on, monitoring and measuring a company‟s true CSR performance. All functional departments work closely together through CSR committees, allowing us now to focus on alignment, best practices and presenting the effectiveness of our CSR policy to the outside world.

Signature Position

Human Rights Principle 1 Business should support and respect the protection of internationally proclaimed human rights Principle 2 Make sure that they are not complicit in human rights abuses Our commitment or policy

Corio CSR Policy Code of Conduct HR Policy Corio CSR Report 2009

We believe it is important to have a clear understanding of what we expect of our employees, suppliers and business partners and what they can expect from Corio. We therefore ask our preferred suppliers to sign our corporate Code of Conduct whereby they take into account the rules we set for our own employees. This will contribute to ensuring that our partners and Corio behave according to these values. These values are based on environmentally responsible behavior, human rights and labor practices. We embrace the principles of fair operating practice as demonstrated by the incorporation of the following values into our policy: • Anti-corruption: respect for the rule of law and adherence to ethical standards • Fair competition: deal honestly, equitably and with integrity • Socially and environmentally responsible behavior: show leadership and mentorship throughout the value chain • Labor standards: no forced labor, child labor and integrity on all aspects of employment We believe that if we work together with our existing suppliers by encouraging them to adopt more responsible business practices, we can make a difference further down the supply chain. If the suppliers want to continue a business relationship with us, they will have to do the same for their stakeholders, thus chain responsibility is achieved by all parties. By setting up formal complaint procedures we want to further develop the relationship with all suppliers, as this is an important step in the realization of reliable business partnerships and sustainable innovation.

Code of Conduct, article II.1:

“We do not do business with people or companies which we suspect are involved with criminal or socially unacceptable business practices nor do we have links with organizations which cause harm to society or human rights.

You must take appropriate care when providing services to clients to ensure that their activities are socially acceptable. This is also applicable to third parties hired by Corio. If they are not acceptable by law or by Corio‟s Code of Conduct you must refuse to enter into a business relationship. If the client is an existing one, we may choose to terminate the business relationship.”

A brief description of our processes or systems

When completed and agreed upon, the Code of Conduct has been formally introduced to every business unit separately by the Management Board during a local road show. The director of strategy and investments, at the time responsible for CSR, commented on the CSR policy, including the human rights compliance. A COO has been appointed within the Management Board in 2010, responsible for CSR. A HR director has been appointed in 2009, who will be responsible for setting up a group wide HR policy, including more emphasis on Human Rights Human Rights are being included in the risk management approach and are included in the letter of representation Business Units have been requested to get in contact with their tenants, suppliers and business partners in order to communicate the CSR values, including Human Rights, and asking compliance of these values. CSR, including Human Rights, has been included in the quarterly reporting cycle in order to monitor and improve performance. Whistle blowing policy is in place and available on the website

Practical actions implemented in the last year / planned for next year

A program is currently being designed to take the next step in CSR development throughout the organisation. This program will include amelioration on all aspects of CSR, including the Human Rights aspect. One of the planned actions is to perform a concernwide risk analysis on a.o. human rights risks, both geographically as functionally. The result of this two dimensional analysis will be the basis of a mitigation plan to be implemented subsequently. Part of the program, is a training module including Human Rights awareness for all employees A CSR competence centre is being set up centrally to provide employees assistance on all aspects of CSR relating to their daily business. A separate section will be actively engaged in Human Rights topics. A central document repository has been set up in 2009, saving a wide selection of content on CSR topics.

Measurable results or outcomes

Several Business Units have initiated assessments of their procurement practices and supplier relations. We expect results from these activities in the second half of 2010. Currently, additional codes and policies are being drafted in cooperation with the legal, compliance and risk departments to work out the principles set out in the Code of Conduct. A performance management system is being set up to monitor group performance on these issues.

Labour Principle 3 Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining Principle 4 The elimination of all forms of forced and compulsory labour Principle 5 The effective abolition of child labour Principle 6 The elimination of discrimination in respect of employment and occupation Our commitment or policy

Corio CSR Policy Code of Conduct HR Policy Corio CSR Report 2009

We endorse the beliefs of the International Labour Organisation (ILO), which stands for the parallel economic development of a company and that of the country in which it is based. We also endorse the Organisation for Economic Cooperation and Development (OECD), which is committed to sustainable economic growth.

This commitment is included in our Code of Conduct, which is applicable to all employees, suppliers, tenants and business partners. The commitment is expressed in our CSR report 2009.

A brief description of our processes or systems

A HR director has been appointed in 2009, which will be responsible for setting up a group wide HR policy, including more emphasis on Human Rights and labour practices. Human Rights and labour practices are being included in the risk management approach and are included in the letter of representation Business Units have been requested to get in contact with their tenants, suppliers and business partners in order to communicate the CSR values, including Human Rights and labour practices, and asking compliance of these values. CSR, including Human Rights and labour practices, has been included in the quarterly reporting cycle in order to monitor and improve performance. Whistle blowing policy is in place and available on the website. Staff is actively encouraged to participate in decision making and are regularly involved in company strategy. We uphold a policy of equal rights and equal remuneration.

Practical actions implemented in the last year / planned for next year

For 2009 Corio has set itself as a philanthropy goal to select a worthy cause that we could support with an annual donation, with smaller donations during the year as a result of sponsoring activities, the temporary donation of a retail unit in our centers for different activities where possible, advertising space in the centers, the input of time and knowledge of our employees and other possible collaborations. Taking into account our company values, we required that the organization of our choice focuses on children and their development, is committed to the education of these children and that the organization works in Turkey, amongst other countries. The next step in our Human Resource Development Plan is to begin a Leadership Program based on the previous value definition process. We are aware the times are changing and foster a necessity for a different leadership style, one that facilitates, serves, and inspires. The focus is on the individual and the process instead of content and result, thus embracing diversity and authenticity, and excelling in cooperation and effectiveness. Our leadership Program will focus on the development of context sensitive leadership.

Measurable results or outcomes

Corio Nederland has conducted a satisfactory study amongst its employees, in combination with a health study. As a result, an action plan will be set up and followed up on in 2010. We organized a thorough employee consultation process, involving the entire organization from top to bottom, with the objective to deduct, formulate and agree upon our company values. Through the involvement of all employees, we made sure the Corio company values are anchored in our peoples and organizations value system, to ensure that they are complied with and integrated into our daily (business) activities.

Environment Principle 7 Businesses should support a precautionary approach to environmental challenges Principle 8 Undertake initiatives to promote greater environmental responsibility Principle 9 Encourage the development and diffusion of environmentally friendly technologies Our commitment or policy

Corio CSR Policy Code of Conduct HR Policy Corio CSR Report 2009

We care about the environment and show this by reducing and accounting for the environmental effects of our activities and raising awareness among all parties involved. We have identified five environmental impact areas: climate change, energy, water, waste and biodiversity/land use, which will be discussed separately below. We are committed to annual reductions in our environmental footprint on all impact areas, a commitment that entails investments and an open-minded approach to property development, redevelopment and management of technical and facilities issues. The annual reductions we intend to achieve apply to the „shell‟ of our shopping centers, i.e. the common areas, and to the „core‟ of these centers, in other words the rented areas. These objectives include raising the awareness of tenants and larger scale cooperation with them. Only by engaging all our stakeholders in cooperation we can achieve sustainable shopping centers. We also aim to reduce the use of natural resources in our work places: offices in Utrecht, Paris, Milan, Madrid and Istanbul.

A brief description of our processes or systems

To minimize our environmental footprint in the longer term, we now submit all new developments for assessment by the Building Research Establishment (BRE). We believe BREEAM is the best sector standard and we have set ourselves a target whereby all new developments are rated according to a points system across several categories and result in a rating, ranging from Pass to Outstanding. Our target is that all new developments should achieve at least a BREEAM Good rating. Across our business units, we are providing in-house training to professionals who are becoming our BREEAM experts. With their help we will spot and act on opportunities more quickly and identify possible problems sooner. We use a company- wide Environmental Information System that we have developed in collaboration with a Dutch engineering company. This system contains data on energy use, water use, and waste. The energy usage allows for breakdowns of: purchased electricity, sustainable electricity, heating fuel, district heating, self-generated sustainable electricity and gas. The water use categories are: drinking water, greywater and sewage water. The waste components are: glass, paper/cardboard, oil/fat, organic waste, hazardous waste and refuse. The system tracks data of our workplaces: information on our commuter traffic and our company travel. To enhance access to comprehensive data for analysis, benchmarking and Key Performance Indicators (KPIs), which will simplify reporting under GRI, Corio joined the International Sustainability Alliance (ISA) as a founding member in 2009. The membership of ISA is the next stage in our aim to continuously enhance our performance management and monitoring. (Please add space as required) We are designing a group wide program in order to enhance the way we monitor and measure performance on our KPI‟s. Basis of the environmental section of the program will be the implementation of ISO 14001 throughout the group. We are educating internal control staff to perform internal environmental audits to assure data integrity when reporting on our performance.

Practical actions implemented in the last year / planned for next year

Providing free charging points for electric cars in shopping centre Hoog Catharijne in Utrecht For the collection of waste at Corio‟s four shopping centers in Madrid, Spain, management selected a company that segregates collection of waste using trucks that run on natural gas The same company now provides an integral waste management service and reliable data on the quantities and the destination of waste from each shopping centre. Most Corio Netherlands-based properties use energy based on hydropower. Villa Arena (Amsterdam) does not have it yet, but Corio intends it to be a pre-condition in the next energy contract negotiation. Shopping centre Presikhaaf (Arnhem) signed an agreement to start using surplus heat instead of gas, thus reducing CO2 emissions by 70%. Cleaning work during night hours has been discontinued in all Corio España‟s shopping centers, bringing important savings in energy consumption through reduced lighting. Installation of low energy consumption light bulbs in Corio Italia centres. In France, new building management system settings have been installed at several sites and we have achieved electricity reductions of 4% or more. In several business units, new systems have been set-up that will enable the energy performance of our shopping centres to be monitored online in real time, allowing for timely adjustments, when necessary. The water pumps of the fountains in our Turkish centres have been connected to wind sensors. water pumps of the fountains in our Turkish centres have been connected to wind sensors.

Measurable results or outcomes

Our impact on the environment is mainly indirect: it stems from our cooperation with our main stakeholders, who are our tenants, suppliers and contractors. The impact on the environment, however, can be substantial. Given our indirect role, if efforts to reduce our environmental impact are not made in tandem with our main stakeholders, any progress will be slow going. Other environmental risks that we have no direct control over include the weather and adverse consequences from climate change on our shopping centres, such as flooding or higher energy consumption for air-conditioning as a result of heat waves. As we are aware of the consequences of the risks we have less control over, we are determined to improve the pace in our cooperative efforts with stakeholders as mentioned above.

Anti-Corruption Principle 10 Business should work against all forms of corruption, including extortion and bribery Our commitment or policy

Code of Conduct Code of Conduct

Code of Conduct, article II.7: “Corio prohibits bribery in the conduct of its business in any country. You are required to comply strictly with national and international anti-corruption laws and legislation.

Bribes, kickbacks or other facilitation payments in an attempt to influence the action or inaction of a public official will not be tolerated and are strictly prohibited. This prohibition extends to payments to consultants, agents or any other intermediary when you know or have reason to believe that some part of the payment or “fee” will be used to bribe or otherwise influence a public official. If you are confronted with a demand for a bribe from anyone, you must immediately report this to your supervisor and to the Corporate Compliance Officer. “

A brief description of our processes or systems

A HR director has been appointed in 2009, which will be responsible for setting up a group wide HR policy, including more emphasis on Human Rights, corruption and labour practices. Human Rights, corruption and labour practices are being included in the risk management approach and are included in the letter of representation Business Units have been requested to get in contact with their tenants, suppliers and business partners in order to communicate the CSR values, including Human Rights, corruption and labour practices, and asking compliance of these values. CSR, including Human Rights, corruption and labour practices, has been included in the quarterly reporting cycle in order to monitor and improve performance. Whistle blowing policy is in place and available on the website. Staff is actively encouraged to participate in decision making and are regularly involved in company strategy.

Practical actions implemented in the last year / planned for next year

A program is currently being designed to take the next step in CSR development throughout the organisation. This program will include amelioration on all aspects of CSR, including the corruption aspect. One of the planned actions is to perform a concernwide risk analysis on a.o. corruption risks, both geographically as functionally. The result of this two dimensional analysis will be the basis of a mitigation plan to be implemented subsequently. Part of the program, is a training module including corruption awareness for all employees A CSR competence centre is being set up centrally to provide employees assistance on all aspects of CSR relating to their daily business. A separate section will be actively engaged in Human Rights and corruption topics. A central document repository has been set up in 2009, saving a wide selection of content on CSR topics.

Measurable results or outcomes None to report on yet.

How do you intend to make this COP available to your stakeholders?

This COP will be made available on www.unglobalcompact.org, www.corio-eu.com, our internal intranet site in order for our employees to take notice of the document and via power point presentations to inform external stakeholders, during workshops and training programs.