Global Citizenship Report 2017

Responsible Supply Chain/ Operations Data Security/ Privacy Our Material Issues: Citi in a Global Context Our citizenship efforts and priorities across the company are informed by the wider societal context around us. We use a comprehensive materiality assessment process to identify our most relevant (or “material”) reporting topics from a corporate citizenship perspective — which is a broader standard than those used in our financial disclosures. These citizenship topics, which we refer to as “material issues” throughout this report, help inform which issues we communicate here and also what we consider raising to our Board and how we establish our citizenship priorities. Building on a materiality assessment conducted in 2015, we undertook a new assess- ment in late 2017 in collaboration with a leading stakeholder intelligence and engagement firm. The assessment included an online quantitative survey of global external stakeholders, who provided more than 200 individual responses, as well as of more than 500 Citi managing directors. We considered the following factors when weighting issues in terms of their impact on our business: • The inputs from the 2017 quantitative survey of managing directors from across the company • A long-term lens to 2030, leveraging the expertise of Citi’s Citizenship team through a short online survey • A review of ESG attributes used by rating and ranking agen- cies such as the Dow Jones Sustainability Indices, RepRisk and Sustainalytics • The impact the issues have on Citi’s business and citizen- ship performance from an external stakeholder perspective While our 2017 materiality assessment revealed relatively similar issues and priorities compared to 2015, a key insight underscored by this process is the interconnectedness among material issues, such as acting in our clients’ best interest, systemic risk, climate change and talent attraction and devel- opment (see graphic below). Our core business must address these issues holistically, and our citizenship approach must enable the business to address the risks and opportunities presented by the material issues. A key next step coming out of this analysis will be additional goal-setting to ensure that we are effectively aligning our priorities to our material issues. CITI’S MATERIAL ISSUES INFLUENCE ON BUSINESS SUCCESS IMPORTANCE TO STAKEHOLDERS Environmental Footprint Preparing Youth for the Future Economy Financial Inclusion/ Access Strategic Philanthropy Partnerships with Civil Society/ Government Regulatory Reform Health/ Well-Being of Employees Products/Services with Environmental/ Social Benefit Addressing Climate Change Risk/Opportunity Corporate Governance Talent Attraction/ Development Human Rights Transparency Employee Risk Behavior Diversity/ Equal Opportunity Innovation/ Digitization Systemic Risk Ethics Customer Satisfaction Acting in Clients’ Best Interest GRI INDICATORS: 102-43, 102-46, 102-47 Citi 2017 Global Citizenship Report 11 CONTENTS    INTRODUCTION    HOW WE DO BUSINESS    SOLUTIONS FOR IMPACT    APPENDICES Letter from Our CEO    Citi at a Glance    Citizenship Approach Our Material Issues     Stakeholder Engagement