2021 Stakeholder Sustainability Report slide image

2021 Stakeholder Sustainability Report

A MESSAGE FROM OUR PRESIDENT & CEO 2021 SUSTAINABILITY HIGHLIGHTS ABOUT MOODY'S BETTER BUSINESS BETTER LIVES BETTER SOLUTIONS APPENDIX Moody's 2021 Stakeholder Sustainability Report 28 Climate Climate change is one of the defining issues of our time. While our business is not a major emitter of greenhouse gas (GHG) emissions and has a limited direct environmental impact, we have an important role to play in modeling proactive corporate responsibility, setting industry standards and demonstrating best practices. We are taking significant steps to advance climate action by publishing our TCFD report on an annual basis, issuing our Decarbonization Plan with science-based targets and a comprehensive road map, as well as accelerating our commitment to achieve net-zero emissions across our operations and value chain by 2040. CLIMATE RISKS AND OPPORTUNITIES We assess climate-related risks and opportunities through a multidisciplinary risk management process and have implemented the 11 TCFD recommendations. Our 2021 TCFD report introduces: » » >>> The assessment of physical risk based on employee addresses to capture the real risk of business continuity from a climate event due to remote work; An advanced physical risk analysis powered by RMS, a Moody's 2021 acquisition; An evolved financial risk profile in the face of climate considerations; The incorporation of costs from renewable electricity in the transition risk scenario analysis; and The assessment of resiliency and climate maturity for critical suppliers. LINKING FINANCIALS TO OUR CLIMATE STRATEGY In 2021, we established our first sustainability-linked credit facility to advance our climate targets, specifically 60% of our vendors by spend to have science-based targets by 2025. The $1.25 billion senior unsecured revolving credit facility includes a sustainability-linked pricing adjustment to support the global transition to the net-zero economy.
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