Sustainability

GROUP-WIDE COMMITMENT AND INVOLVEMENT

CLI Board, Management and Staff

CLI's Group-wide sustainability management is under the purview of a CLI Board Committee – the Executive and Sustainability Committee (ESC), that is chaired by the CLI Chairman. The CLI ESC is responsible for overseeing CLI's sustainability strategies and goals, including providing guidance to management and monitoring progress against achieving the goals of sustainability initiatives. The CLI ESC is supported by the CLI Group Sustainability department and the various work teams to drive continued progress and improvement in ESG. The work teams comprise representatives from various CLI business units and corporate functions. Each business unit has its own Environmental, Health and Safety (EHS) Committee to drive initiatives in countries where it operates with support from various departments.

CLI Sustainability Management Structure

CLMT Board, Management and Staff

The Board of the Manager recognises the importance of sustainability as a business imperative and ensures that sustainability considerations are factored into CLMT's strategy development. This enables CLMT to remain competitive and resilient in an increasingly challenging business environment.

The Board of the Manager considers sustainability issues as part of CLMT's strategic formulation, confirms the material ESG issues listed by the Manager and oversees the management and monitoring of the material ESG factors. The Board of the Manager determines CLMT's risk appetite, which guides the nature and extent of material risks that CLMT is willing to take to achieve its strategic and business objectives. The Manager conducts an annual Risk and Control Self-Assessment (RCSA) to assess and document ESG-relevant material risks. As part of the material risk issues being highlighted, climate change has been identified as critical. The Board is actively involved in discussions on climate-related initiatives and regularly reviews climate change risks as part of its Enterprise Risk Management (ERM) Framework.

The Board of the Manager is kept informed on a regular basis through the quarterly Board meetings on CLMT's sustainability management performance, key material issues identified by stakeholders, and the planned follow-up measures. The update covers various climate-related topics, including progress updates of the 2030 SMP, climate-related risks and opportunities, green capital expenditure, green ratings of properties, and performance metrics, as well as stakeholder expectations regarding climate change. The Board is also informed of any incidents relating to workplace safety, business malpractice and environmental impact, which may include climate-related damage or disruptions. As environmental impact factors are considered as part of the asset investment evaluation process and strategy, these are brought to the Board's attention when relevant.

A Sustainability department led by the CEO of the Manager drives CLMT's sustainability initiatives, and strategies directly to ensure greater focus on sustainability and climate-related matters. The CEO is responsible for CLMT's ESG performance and the Sustainability Department works closely with key members from various departments of the Manager including finance, investment and asset management, as well as operations department and technical teams of CLI in carrying out ESG strategies and relevant activities, abiding by CLI's sustainability framework and policies. The Property Managers have an EHS Committee and is supported by an Engineering, Systems and Sustainability team whose role includes integrating sustainability into operations.

To support oversight and management of key sustainability risks and opportunities, including those related to climate, selected sustainability targets are integrated into the CLMT Performance Unit Plan, Restricted Unit Plan and Balanced Scorecard framework to determine executive remuneration and KPIs.

Maintaining Diversity on the Board

The Board of the Manager embraces diversity and has in place a Board Diversity Policy which provides for the Board to comprise talented and dedicated Directors with a diverse mix of expertise (including industry, domain and functional expertise), skills, experience and perspectives, with due consideration to diversity factors, including but not limited to, gender, age, ethnicity and professional background.

With respect to female representation, the Manager's Nominating and Remuneration Committee (NRC) notes the Malaysian Code on Corporate Governance (MCCG) 2021 target of women making up 30% of the Boards and Bursa Malaysia's requirement for all public listed companies to appoint at least one women director. Currently, the proportion of female representation in the Manager's Board composition has increased to 71% (or five female Directors out of a total of seven Directors) following the resignations of Dato' Ng Tiong Lip (Dato' Jeffrey Ng) and Lim Cho Pin Andrew Geoffrey on 1 January 2026.

CREATING VALUE AND ALIGNMENT TO UNITED NATIONS SUSTAINABLE DEVELOPMENT GOALS (UN SDGS)

As a CLI-sponsored REIT, CLMT's material ESG issues and the value created, aligned to CLI's 2030 SMP focus areas and commitments, are mapped to the International Integrated Reporting Commission framework's six integrated reporting Capitals – Environmental, Manufactured, Human, Social and Relationship, Organisational and Financial. This is further mapped against eight UN SDGs that are most aligned with CLI's 2030 SMP focus areas, and where CLI and CLMT can achieve the greatest positive impact.

MATERIALITY

In alignment with CLI, CLMT identifies and prioritises the management of material ESG issues that are most relevant and significant to the REIT and its stakeholders. It adopts a double materiality approach, considering issues which are material from either the impact perspective or financial perspective or both. This include potentially material ESG issues arising from activities across CLI and CLMT's value chain (including potential risks and opportunities in the immediate and longer-term).

In 2025, CLI revalidated its ESG factors materiality with two key ESG surveys, namely GRESB and S&P Global's Dow Jones Best-in-Class¹. It also referenced ESG standards and frameworks including (i) GRI standards and SASB standards for real estate owners/developers and investment trust; (ii) International Sustainability Standards Board (ISSB) Standards (S1 and S2); (iii) UN Global Compact (10 Principles) & UN Principles for Responsible Investment; and (iv) SGX Core ESG metrics and EU Sustainable Finance Disclosure Regulation (SFDR) questionnaire key topics. For CLMT, we review various sources including investor questionnaires, and ESG surveys, benchmarks and frameworks such as GRESB to enhance our understanding of the industry's material ESG issues.

Pursuant to the ESG factor materiality review exercise for CLI, including its listed REITs and business trusts, minor edits were recommended and endorsed to its ESG material issues after mapping against key ESG surveys (GRESB, Dow Jones Best-in-Class), other standards/frameworks and investor surveys. The revisions are made to (i) Climate resilience (adaptation and mitigation) to reflect investors' specific focus on CLI and CLMT's climate-related efforts; (ii) Waste management to include mention of circularity, which encompasses upstream activities, such as use of recycled materials; (iii) Including reference to Natural capital as the Taskforce on Nature-related Financial Disclosure (TNFD) is increasingly being referenced, as natural capital will form the next ISSB standard : ISSB S3 whereby CLI is working on this new framework; and (iv) Artificial intelligence (AI) has been potentially surfaced for the risks and opportunities that it poses where CLI will continue to monitor this development.

As a CLI-sponsored REIT, CLMT is guided by CLI's materiality assessment process, where the Manager conducts regular reviews, assessments and feedback process in relation to ESG topics. Identified material issues are reported in CLMT's corporate risk register through the annual Group-wide Risk and Control Self-Assessment (RCSA) exercise, which identifies, assesses and documents material risks and the corresponding internal controls to manage those risks. These material risks include fraud and corruption, environmental (e.g. climate resilience), health and safety, and human capital risks which are ESG-relevant. Identified material ESG issues are then prioritised based on the likelihood and potential impact of issues affecting the business continuity of CLMT. For external stakeholders, priority is given to issues important to the community and applicable to CLMT. In FY 2025, the material ESG topics that were identified were approved by the Board of the Manager. Please refer to the box below for CLI and CLMT's prioritisation of ESG material issues.

¹ The identified material ESG factors also partially mapped to other standards, questionnaires, specific investor queries. S&P Global Corporate Sustainability Assessment (CSA) is one of the most comprehensive, transparent survey and GRESB is sought by investors.

PRIORITISATION OF ESG MATERIAL ISSUES

1. This includes green leases and tenant engagement on ESG matters.
2. This includes products and services promoting customer health and safety, and green-certified buildings.
3. This relates to CLI's zero tolerance stance towards child/forced labour and covers CLI staff and CLI supply chain.
4. This includes consideration of compliance, economic performance and cybersecurity.

(Note: Indicators like Economic Performance, Market Presence and Governance are not included as they are assumed to be material for all companies. Economic Performance/Market Presence have been challenged by external parties for not being ESG indicators, and thus not included as a factor.)

MANAGING CLIMATE-RELATED RISKS AND OPPORTUNITIES

CLMT recognises the risks that climate change can have on its portfolio and the opportunities arising from it. It aims to better understand and respond to physical risks, such as extreme weather events and rising temperature, as well as transition risks towards a low-carbon economy. Aligned with its Sponsor, CLMT is focused on low-carbon transition to mitigate transition risks, and on climate change adaption to build portfolio resilience against the physical risks from climate change.

Climate Resilience-Climate-Related Disclosures

CLMT started to align its climate-related disclosures with the TCFD recommendations in the four key areas of governance, strategy, risk management and metric and targets since 2021. With the publication of the ISSB IFRS S2 Climate-related Disclosures, CLI and its REITs, including CLMT, strive to continuously enhance its climate-related disclosures as aligned with international best practices.

Climate Transition Plan-Governance

• The Board of the Manager has specific oversight on sustainability matters, including climate-related issues for CLMT. Please refer to page 52 of this Statement for more information on the CLMT Sustainability Management Structure.
• The CLMT Board has specific oversight on sustainability matters, including climate-related issues for CLMT. The CLMT Board is updated quarterly during Board meetings on relevant climate-related topics including CLMT's alignment progress with CLI 2030 SMP. Discussions on the green capital expenditure plan required to meet the 2030 SMP targets (which also includes the decarbonisation targets) are conducted during an ad hoc (Special Board) meeting annually. Performance against 2030 SMP targets and Balanced Scorecard targets, including decarbonisation targets, is tracked and reported to the CLMT Board.
• Securities Commission Malaysia and Bursa Malaysia have rolled out prescribed ESG onboarding programme on sustainability for directors of Public Listed Companies on Bursa Malaysia. As at 31 December 2025, all Directors of the Board of the Manager have completed the programme.

Climate Transition Plan-Strategy

• CLMT's strategy to identify and address climaterelated risks and opportunities spans across its entire real estate life cycle.
• CLMT factors climate-related costs and opportunities in its evaluation of new investments or capital expenditure, quantifying it with a shadow internal carbon price which was implemented in 2021.
• All new investments undergo the ESIA to identify any environmental risks and opportunities. The assessment also covers performance metrics such as energy efficiency, as well as climate transition and physical risk and opportunity considerations.
• CLI and its REITs, including CLMT, conducted its climate scenario analysis in 2022 for its global portfolio to understand how the identified climaterelated risks and opportunities could impact future operations. The most recent climate scenario analysis that was the widest in coverage and deepest in impact assessment considered scenarios based on the latest global and scientific developments (scenarios from 1.5⁰C to 3⁰C for current to long-term time frames). The analysis guides CLI and CLMT in making informed decisions for its business with significant risk exposure, building resilience and reducing vulnerability of identified properties. For FY 2025, CLMT has reaffirmed that the outcomes of its 2022 climate scenario analysis remain relevant to its current portfolio.

Climate Transition Plan-Risk Management

• Climate change risks and opportunities are identified and managed through CLI and CLMT's externally certified ISO 14001 EMS and ERM framework. This includes an annual Group-wide Risk and Control Self- Assessment exercise to identify, assess and document material risks including relevant ESG risks, along with their key controls and mitigating measures.

Climate Transition Plan-Metrics and Targets

• CLI's 2030 SMP outlines the targets and pathways for transition to a low-carbon business that is aligned with climate science. Targets to reduce energy and water usage and carbon emissions, as well as green certification targets are set for its operational assets.
• CLMT is aligned with its Sponsor's targets found within the 2030 SMP and sustainability and climate-specific performance metrics and targets are linked to the remuneration policies for members of senior management.

SUSTAINABILITY ACHIEVEMENTS