SOURCE: Fifth Third Bancorp
DESCRIPTION:
CINCINNATI, March 15, 2022 /3BL Media/ - Fifth Third published its second TCFD Report on February 28, 2022. The 2021 TCFD Report demonstrates the Company’s progress in implementing the TCFD’s recommendations and summarizes the Bank’s advancement in climate-related disclosures since its inaugural report in late 2019.
“Publishing our 2021 TCFD Report is a reflection of our commitment to understanding climate risk, incorporating climate risk management into our business and disclosure strategies, and to helping our customers and communities transition toward a more sustainable future,” said Michele Mullins, senior vice president and climate risk officer. “The comprehensive report aligns our efforts to the Task Force’s recommendations and details our climate governance structure, strategy, risk management and metrics.”
The 2021 TCFD Report includes sections on:
- Governance: structure for management and oversight of climate-related risk and opportunities, including board management, management committees, councils and working groups, and senior management roles.
- Strategy: strategies to support the transition toward decarbonization and a more sustainable future, including climate-related risk management; time horizons and risk examples; financed emissions; climate risk heat map and exposure dashboard to sectors with elevated environmental, transition and physical credit risks; scenario analysis; and climate-related opportunities.
- Risk Management: framework and risk management processes for monitoring climate-related risk, which includes identification, assessment and management as well as credit and reputation risk, commercial lending and operational risk.
- Metrics and Targets: goals and measurement for monitoring progress and success, including sustainable finance target, operational sustainability targets, purchasing 100% renewable power, achieving carbon neutrality and greenhouse gas emissions.
Fifth Third maintains a Climate Leadership score of A- from CDP for its efforts and disclosures related to climate change. The Company’s A- score placed Fifth Third in the top quartile of CDP’s Financial Services Activity Group. It also makes Fifth Third the only bank in its peer group to have maintained a leadership band score for three consecutive years.
The Bank has been recognized as a leader by other ESG data providers, including Sustainalytics, MSCI and S&P Global. Fifth Third’s Sustainalytics ESG risk rating is currently low risk, and its MSCI rating recently improved to A. Fifth Third received the top score among peers in the 2021 S&P Global Corporate Sustainability Assessment.
Fifth Third is a leader in financing renewable energy projects across the country with over $7.3 billion provided since 2012 towards our goal of $8 billion by 2025. On Jan. 19, Fifth Third Bancorp announced a definitive agreement to acquire Dividend Finance, a leading fintech point-of-sale lender, providing financing solutions for residential renewable energy and sustainability-focused home improvement. The acquisition is subject to customary closing conditions, including regulatory approvals. Fifth Third expects the transaction to close in the second quarter of 2022. With this acquisition and Fifth Third’s existing leadership in providing renewable solutions to commercial clients, Fifth Third is actively assessing a new sustainable financing target.
On Nov. 1, 2021, Fifth Third Bancorp settled the issuance of its inaugural Green Bond for $500 million. The proceeds will fund green projects that align with the Company’s sustainability priorities, as outlined in the Fifth Third Bancorp Sustainable Bond Framework. With the issuance, Fifth Third became the first U.S. financial institution with less than $250 billion in assets to issue an ESG bond. Fifth Third also named its first climate risk officer in 2021 and joined the Ceres Company Network and the Partnership for Carbon Accounting Financials.
In 2020, Fifth Third became the first regional, commercial bank to achieve carbon neutrality in its operations, including greenhouse gas emissions from Bank-owned facilities and business travel. Since Fifth Third began measuring Scope 1, Scope 2 and Scope 3 business travel emissions in 2014, it has reduced location-based emissions by more than 43%. More about Fifth Third’s efforts in environmental sustainability can be found in the 2020 Environmental, Social and Governance Report and ESG site.
About TCFD
The Task Force on Climate-Related Financial Disclosures was created in 2015 by the Financial Stability Board (FSB) to develop consistent climate-related financial risk disclosures for use by companies, banks, and investors in providing information to stakeholders.
About Fifth Third
Fifth Third Bancorp is a diversified financial services company headquartered in Cincinnati, Ohio, and the indirect parent company of Fifth Third Bank, National Association, a federally chartered institution. As of Dec. 31, 2021, Fifth Third had $211 billion in assets and operated 1,117 full-service banking centers and 2,322 branded ATMs in Ohio, Kentucky, Indiana, Michigan, Illinois, Florida, Tennessee, West Virginia, Georgia, North Carolina and South Carolina. In total, Fifth Third provides its customers with access to approximately 54,000 fee-free ATMs across the United States. Fifth Third operates four main businesses: Commercial Banking, Branch Banking, Consumer Lending, and Wealth & Asset Management. Fifth Third is among the largest money managers in the Midwest and, as of Dec. 31, 2021, had $554 billion in assets under care, of which it managed $65 billion for individuals, corporations and not-for-profit organizations through its Trust and Registered Investment Advisory businesses. Investor information and press releases can be viewed at www.53.com. Fifth Third’s common stock is traded on the Nasdaq® Global Select Market under the symbol “FITB.”
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CONTACTS
Stacie Haas (Media Relations)
Stacie.Haas@53.com | 513-534-5113
Mike Faillo (Investor Relations)
Michael.Faillo@53.com | 513-534-0478
KEYWORDS: NASDAQ:FITB, Fifth Third Bank, tcfd, Task Force on Climate-related Financial Disclosures
