Non-financial information

Information published in the section on non-financial information is valid for 2021 and relates to the main operations of Arion Bank. The subsidiaries are not included. Data from 2017-2020 is included for comparison and the base year for the Bank’s environmental accounts is 2015. Deloitte has provided an opinion with limited assurance on non-financial reporting by Arion Bank in 2021 which is presented in accordance with the Global Reporting Initiative (GRI) and the Nasdaq ESG Reporting Guide.

Operational Parameters

Rekstrarbreytur	Einingar	2017	2018	2019	2020	2021
Heildareignir	milljarður ISK	1.148	1.164	1.082	1.173	1.314
Fjöldi starfsmanna við árslok	fjöldi	-	866	735	698	681
Meðalfjöldi starfsmanna	fjöldi	882	-	-	-	-

Environmental

Direct and Indirect GHG Emissions (E1 \| UNGC-P7 \| GRI: 305-1, GRI: 305-2, GRI: 305-3)	Unit	2015	2018	2019	2020	2021
Scope 1	tCO2e	86,3	78,3	65	37,5	30,4
Scope 2 (location-based)	tCO2e	94,7	92,4	91,3	100,5	82,6
Scope 3	tCO2e	271,85	303,87	320,55	350,63	251,56
Total emissions Scope 1, 2 (location-based) and 3	tCO2e	452,8	474,6	476,8	488,6	364,5
Total emissions offset	tCO2e	0	0	476	470	500
Total emissions Scope 1, 2 (location-based) & 3	tCO2e	452,8	474,6	0,8	18,6	-135,5
Scope 1 and 2 (location-based) Emissions
Total emissions Scope 1 & 2 (location-based)	tCO2e	181	170,7	156,3	138	113
Total emissions neutralised by carbon offset projects	tCO2e	0	0	476	470	500
Net operational carbon emissions Scope 1 and 2	tCO2e	181	170,7	-319,7	-332	-387

Losunarkræfni umfang 1 og 2 (landsnetið) (U2 \| UNGC-P7, P8 \| GRI: 305-4 \| SDG 13)	Einingar	2015	2018	2019	2020	2021
Losunarkræfni orku	kgCO2í/MWst	17,3	16,15	15,35	12,65	12,5
Losunarkræfni heildareigna	tCO2í/milljarður ISK	0,18	0,15	0,14	0,12	0,09
Losunarkræfni starfsfólks	tCO2í/fjöldi	-	0,2	0,21	0,2	0,17

Losunarkræfni umfang 1, 2 (landsnetið) og 3 (U2 \| UNGC-P7, P8 \| GRI: 305-4 \| SDG 13)	Einingar	2015	2018	2019	2020	2021
Losunarkræfni orku	kgCO2í/MWst	43,3	44,9	46,9	44,8	40,3
Losunarkræfni heildareigna	tCO2í/milljarður ISK	0,45	0,41	0,44	0,42	0,28
Losunarkræfni starfsfólks	tCO2í/fjöldi	-	0,55	0,65	0,7	0,54

Orkunotkun (U3 \| UNGC-P7, P8 \| GRI: 302-1 \| SDG 12)	Einingar	2015	2018	2019	2020	2021
Heildarorkunotkun	kWst	10.460.550	10.572.114	10.177.453	10.906.903	9.036.879
Þar af orka frá jarðefnaeldsneyti	kWst	335.087	303.504	251.333	150.995	124.408
Þar af orka frá rafmagni	kWst	4.032.727	4.312.377	3.640.703	3.213.556	2.243.572
Þar af orka frá heitu vatni	kWst	6.092.736	5.956.233	6.285.417	7.542.351	6.668.899

Orkukræfni (U4 \| UNGC-P7 \| GRI: 302-3 \| SDG 12)	Einingar	2015	2018	2019	2020	2021
Orkukræfni starfsmanna	kWst/stöðugildi	-	12.208	13.847	15.626	13.270
Orkukræfni heildareigna	kWst/milljarður ISK	10.347	9.083	9.406	9.298	6.877

Orkusamsetning (U5 \| GRI: 302-1 \| SDG 7)	Einingar	2015	2018	2019	2020	2021
Jarðefnaeldsneyti	%	8,2%	2,9%	2,5%	1,4%	1,4%
Endurnýjanleg orka	%	85,4%	97%	97,5%	98,6%	98,6%
Kjarnorka	%	3,5%	0%	0%	0%	0%

Neysluvatn (U6 \| UNGC-P7 \| GRI: 303-5.a \| SDG 6)	Einingar	2015	2018	2019	2020	2021
Samtals vatnsnotkun	m³	168.717	168.666	173.907	177.904	170.214
Kalt vatn	m³	63.670	65.972	65.538	47.863	55.233
Heitt vatn	m³	105.047	102.694	108.369	130.041	114.981

Umhverfisstarfssemi (U7 \| GRI: 103-2)	Einingar	2015	2018	2019	2020	2021
Umhverfisstefna samþykkt af stjórn	já/nei	-	-	Já	Já	Já
Fyrirtækið fylgir sérstökum úrgangs-, vatns-, orku- og/eða endurvinnslustefnum	já/nei	-	-	Já	Já	Já
Fyrirtækið notar viðurkennt orkustjórnunarkerfi	já/nei	-	-	Nei	Nei	Nei

Climate Oversight / Board (E8 \| GRI: 102-19)	Unit	2015	2018	2019	2020	2021
Does your Board of Directors oversee and/or manage climate-related risk?	Yes/no	-	-	-	No	Yes

Climate Oversight / Management (E9 \| GRI: 102-20)	Unit	2015	2018	2019	2020	2021
Does your Senior Management Team oversee and/or manage climate-related risks?	Yes/no	-	-	Yes	Yes	Yes

Climate Risk Mitigation (E10)	Unit	2015	2018	2019	2020	2021
Total annual investment in climate-related infrastructure, resilience, and product development	ISK bn.	-	-	-	-	-

Meðhöndlun pappírs	Einingar	2015	2018	2019	2020	2021
Heildarmagn prentaðs pappírs	bls.	2.394.280	1.584.072	1.167.709	725.468	403.945
þar af litaprent	bls.	913.333	719.856	518.808	413.074	222.014
þar af svarthvít prentun	bls.	2.315.060	1.522.908	1.109.586	525.535	293.161
Tvíhliða	bls.	1.668.220	1.317.384	935.820	542.209	295.520

Waste Management (GRI: 306-2)	Unit	2015	2018	2019	2020	2021
Total waste generated	kg	119.992	164.803	135.236	225.048	132.654
Of which sorted waste	kg	51.588	102.119	93.318,5	104.701	72.679,8
Of which unsorted waste	kg	68.404	62.684	41.917	120.347	59.974,5
Recycled/recovery	kg	48.558	97.419	64.664,5	100.347	71.794,4
Landfill/disposal	kg	71.434	67.384	70.571	124.701	60.859,9
Percentage of sorted waste	%	43%	62%	69%	46,5%	54,8%
Percentage of recycled waste	%	40,5%	59,1%	47,8%	44,6%	54,1%
Operations waste
Total operations waste	kg					86.790
Of which sorted waste	kg					67.026
Of which unsorted waste	kg					19.765
Percentage of sorted waste	%					77,2%
Percentage of recycled waste	%					76,5%
Construction waste
Total construction waste	kg					45.864

Losun GHL Umfang 3 (GRI: 305-3)	Einingar	2015	2018	2019	2020	2021
Losun vegna viðskiptaferða	tCO2í	238,6	269,7	293,5	91,5	35,5
Flug	tCO2í	238,6	258,5	284,6	88,6	32,1
Leigubílar	tCO2í	-	11,3	8,9	2,9	3,4
Losun vegna úrgangs	tCO2í	28	34	26	55,3	28
Losun vegna ferða starfsmanna til og frá vinnu	tCO2í	-	-	-	198	187,9

Landbætur (GRI: 305-5)	Einingar	2015	2018	2019	2020	2021
Samtals mótvægisaðgerðir	tCO2í	0	0	476	470	500
Mótvægisaðgerðir með skógrækt	tCO2í	0	0	476	470	500
Eru landbætur vottaðar af þriðja aðila?	já/nei	-	-	Nei	Nei	Nei

Carbon Taxes	Unit	2015	2018	2019	2020	2021
Carbon tax, gas- and diesel oil	ISK/litre	5,84	9,45	10,4	11,45	11,75
Carbon tax, gasoline	ISK/litre	5,1	8,25	9,1	10	10,25
Carbon tax, fuel oil	ISK/kg	7,23	11,65	12,8	14,1	14,45
Carbon tax, crude oil, etc	ISK/kg	6,44	10,35	11,4	12,55	12,85
Total Carbon Tax (ESR)	ISK	193.232	283.493	258.677	169.666	141.680

Total Fuel Consumption (UNGC-P7 \| GRI: 302-1)	Unit	2015	2018	2019	2020	2021
Total fuel consumption in litres	liters	33.457,2	30.216,2	24.939,6	15.339,8	13.048,8
Petrol	liters	2.916,1	1.708,4	534,1	4.120,5	7.762,6
Diesel oil	liters	30.541,1	28.507,8	24.405,5	11.219,3	5.286,2

Environment PDF version

Social

Launahlutfall forstjóra (F1 \| GRI: 102-38 \| UNGC-P6)	Einingar	2017	2018	2019	2020	2021
Laun og bónusgreiðslur forstjóra (X) sem hlutfall af miðgildi launa starfsmanna í fullu starfi	X:1	-	-	6,2	5,61	5,7
Er þetta hlutfall sett fram af fyrirtækinu þínu í skýrslugjöf til yfirvalda?	já/nei	-	-	-	Nei	Nei

Laun eftir kyni (F2 \| UNGC-P6 \| GRI: 405-2)	Einingar	2017	2018	2019	2020	2021
Miðgildi heildarlauna karla (X) sem hlutfall af miðgildi heildarlauna kvenna	X:1	-	-	-	1,51	1,43
Niðurstaða jafnlaunavottunar	%	2,90%	2,40%	2,10%	1,02%	0,10%

Starfsmannavelta (F3.1, F3.2 \| GRI: 401-1.b \| UNGC-P6)	Einingar	2017	2018	2019	2020	2021
Starfsmannavelta	%	11,8	13,9	23	10,5	15,5
Þar af létu sjálfir af störfum	%	7,7	8,3	6,8	6,5	7,8
Þar af sagt upp	%	2,2	4,4	13,9	3,9	6,8
Þar af hættu vegna aldurs	%	0,9	1,2	2,2	0,1	0,9
Hlutfall kynja sem lét af störfum
Konur	%	-	71	59	68	62,1
Karlar	%	-	29	41	32	37,9
Aldursdreifing þeirra sem létu af störfum
20-29 ára	%	-	23,4	14,1	28	13,6
30-39 ára	%	-	17,7	21,6	32,5	28,2
40-49 ára	%	-	22,6	31,9	21	34
50-59 ára	%	-	22,6	19,5	13	17,5
60-69 ára	%	-	13,7	13	5,5	6,8
Hlutfall þeirra sem létu af störfum eftir búsetu
Hlutfall á höfuðborgarsvæðinu	%	-	82,3	86	61,3	80,6
Hlutfall á landsbyggðinni	%	-	17,7	14,1	39,7	19,4

Kynjahlutföll (F4.1 \| UNGC-P6 \| GRI: 102-8.a)	Einingar	2017	2018	2019	2020	2021
Heildarfjöldi starfsfólks	fjöldi	930	866	735	698	681
Konur	%	65	64,9	65	63,8	59,5
Þar af í fullu starfi	%	-	52	55,2	56,3	50,8
Þar af í hlutastarfi	%	-	12,9	10,2	7,5	8,7
Karlar	%	35	35,1	35	36,3	40,5
Þar af í fullu starfi	%	-	33,1	33,1	34,5	37,3
Þar af í hlutastarfi	%	-	2	1,5	1,7	3,2

Equality (S4.2, S4.3 \| UNGC-P6 \| GRI: 401-3.a,b, GRI: 405-1)	Unit	2017	2018	2019	2020	2021
Board of Directors
Women	%	50	42,9	42,9	42,9	40
Men	%	50	57,1	57,1	57,1	60
Age of Board of Directors
Aged 20-29	%	-	0	0	0	0
Aged 30-39	%	-	0	0	0	0
Aged 40-49	%	-	66,7	28,6	28,6	20
Aged 50-59	%	-	0	57,1	57,1	60
Aged 60-69	%	-	22,2	0	0	0
Aged 70-79	%	-	11,1	14,3	14,3	20
All Management
Women	%	48	47	48	43	45,5
Men	%	52	53	52	57	54,5
Managing directors
Women	%	50	50	33,3	42,9	44,4
Men	%	50	50	66,7	57,1	55,6
Heads of Departments
Women	%	28	30	39,4	35,3	37,8
Men	%	72	70	60,6	64,7	62,2
Regional and Branch Managers
Women	%	43	38,5	33,3	37,5	42,9
Men	%	57	61,5	66,7	62,5	57,1
Supervisors and Team Leaders
Women	%	67	60	50	42,9	33,3
Men	%	33	40	50	57,1	66,7
Account managers and service managers
Women	%	-	-	-	61,1	75
Men	%	-	-	-	38,9	25
Managers
Women	%	-	50	66,7	66,7	66,7
Men	%	-	50	33,3	33,3	33,3
Age of Management
Aged 20-29	%	-	0	0	0	0
Aged 30-39	%	-	14,6	18,1	16,7	13
Aged 40-49	%	-	55,2	59	60,3	63,6
Aged 50-59	%	-	28,1	20,5	16,7	15,6
Aged 60-69	%	-	2,1	2,4	6,4	7,8
Age of Employees
Aged 18-19	%	-	-	-	-	0,3
Aged 20-29	%	-	17	16,9	14	17,3
Aged 30-39	%	-	25	25	24,1	21,7
Aged 40-49	%	-	31	31,3	33,4	32
Aged 50-59	%	-	21	21,2	22,1	22
Aged 60-69	%	-	6	5,6	6,3	6,6
Parental Leave
Number of women entitled to maternity leave	no.	-	26	21	28	15*
Number of women who took maternity leave	no.	-	26	21	28	24**
Number of women that returned to work after maternity leave	no.	-	20	-	-	15
Number of men entitled to paternity leave	no.	-	25	19	31	13*
Number of men who took paternity leave	no.	-	19	14	31	25**
Number of men that returned to work after paternity leave	no.	-	19	-	-	25

* Entitlement to parental leave due to children born in 2021
** Taking of parental leave irrespective of child's year of birth

Samsetning starfa (F5.1 \| UNGC-P6 \| GRI: 102-8.b.c, GRI: 401-1)	Einingar	2017	2018	2019	2020	2021
Hlutfall fastráðins starfsfólks		92	94,6	95,4	95	92,7
Konur	%	-	61,2	62,4	60,7	55,8
Karlar	%	-	33,4	32,9	34,2	36,9
Hlutfall starfsfólks með tímabundinn samning	%	8	5,4	4,6	5	7,3
Konur	%	-	3,7	3	3	3,7
Karlar	%	-	1,7	1,6	2	3,7
Hlutfall starfsfólks eftir búsetu
Hlutfall á höfuðborgarsvæðinu	%	-	83,7	82,4	84,8	82,4
Þar af hlutfall fastráðinna	%	-	80	79,3	81,1	77,1
Þar af hlutfall tímabundinna ráðninga	%	-	3,7	3,1	3,7	5,3
Hlutfall á landsbyggðinni	%	-	16,3	17,6	15,2	17,6
Þar af hlutfall fastráðinna	%	-	14,5	16,1	13,9	15,6
Þar af hlutfall með tímabundinn samning	%	-	1,7	1,5	1,3	2,1
Fjöldi nýráðninga	fjöldi	-	73	51	31	43
Nýráðningar sem hlutfall af heildarstarfsmannafjölda	%	-	8,2	6,9	4,4	6,3
Kynjahlutfall nýráðninga
Konur	%	-	56	47	42	27,9
Karlar	%	-	44	53	58	72,1
Aldursdreifing í nýráðningum
20-29 ára	%	-	38	45,1	29	53,5
30-39 ára	%	-	26	31,4	38,7	20,9
40-49 ára	%	-	30	21,6	32,3	14
50-59 ára	%	-	4	2	0	11,6
60-69 ára	%	-	1	0	0	0
Hlutfall nýráðninga eftir búsetu
Hlutfall á höfuðborgarsvæðinu	%	-	87,7	90,2	80,6	83,7
Hlutfall á landsbyggðinni	%	-	12,3	9,8	19,4	16,3

Fræðsla fyrir starfsfólk (GRI: 404-1)	Einingar	2017	2018	2019	2020	2021
Meðaltími fræðslu í heild	klst.	-	7	20	6,4	7,1
Konur	klst.	-	8	22	8	8,4
Karlar	klst.	-	6	17	3,7	5,2
Stjórnendur	klst.	-	12	36	13,6	13
Starfsfólk	klst.	-	6	16	5,5	6,4

Jafnrétti og aðgerðir gegn mismunun (F6 \| UNGC-P6 \| GRI: 406-1.a)	Einingar	2017	2018	2019	2020	2021
Jafnréttisstefna	já/nei	Já	Já	Já	Já	Já
Stefna gegn einelti, kynferðislegri áreitni, kynbundinni áreitni og ofbeldi	já/nei	-	Já	Já	Já	Já
Einelti, kynferðisleg áreitni, kynbundin áreitni og ofbeldi*	fjöldi	-	3	2	2	1

* Number of cases examined and/or formal complaint made

Heilsa og öryggi starfsfólks (F7, F8 \| SDG 3 \| GRI: 403-1)	Einingar	2017	2018	2019	2020	2021
Slys á vinnustað og til og frá vinnu	fjöldi	0	2	7	6	3
Heilsumælikvarði	%	96,30%	96,30%	96%	96,80%	96,6%

Child & Forced Labor (F9 \| GRI: 103-2 \| SDG: 8 \| UNGC: P7)	Unit	2017	2018	2019	2020	2021
Child and/or forced labor policy?	Yes/no	-	-	-	No	No

Human Rights (S10 \| UNGC-P1, P2\| SDG 4, 10, 16)	Unit	2017	2018	2019	2020	2021
Human rights as part of equal-rights policy	Yes/no	-	Yes	Yes	Yes	Yes

Social PDF version

Governance

Samsetning stjórnar (S1 \| GRI: 102-22.v \| SDG 10)	Einingar	2017	2018	2019	2020	2021
Heildarfjöldi stjórnarmanna	fjöldi	8	7	7	7	5
Konur	fjöldi	4	3	3	3	2
Karlar	fjöldi	4	4	4	4	3
Kynjahlutfall í formennsku nefnda á vegum stjórnar	%	-	-	-	-	-
Konur	%	-	-	50	20	60
Karlar	%	-	-	50	80	40

Óhæði stjórnar (S2 \| GRI: 102-22.ii)	Einingar	2017	2018	2019	2020	2021
Bannar fyrirtækið forstjóra að sinna stjórnarformennsku?	já/nei	-	-	-	Já	Já
Bankastjóri er stjórnarmeðlimur	já/nei	Nei	Nei	Nei	Nei	Nei
Bankastjóri stýrir nefndum á vegum stjórnar	já/nei	Nei	Nei	Nei	Nei	Nei
Bankastjóri er stjórnarformaður	já/nei	Nei	Nei	Nei	Nei	Nei
Hlutfall óháðra stjórnarmanna?	%	87,5	85,7	100	100	100

Incentivized Pay (G3 \| GRI: 102-35.b)	Unit	2017	2018	2019	2020	2021
Are company executives formally incentivised to act on ESG	Yes/no	Yes	Yes	Yes	No	No
In regards to finance and corporate governance	Yes/no	Yes	Yes	Yes	No	No

Vinnuréttur (S4 \| UNGC-P3 \| GRI 102-41 \| SDG 8)	Einingar	2017	2018	2019	2020	2021
Hlutfall starfsfólks í stéttarfélögum	%	99,80%	99,80%	99,60%	99,40%	98,68%
Hlutfall starfsfólks ekki í stéttarfélögum	%	0,20%	0,20%	0,40%	0,60%	1,32%
Hlutfall starfsfólks sem starfar samkvæmt lögum á vinnumarkaði og almennum kjarasamningum	%	-	100%	100%	100%	100%

Suppliers (G5 \| UNGC-P3, P4, P5, P6, P7, P8, P9 \| SDG 12)	Unit	2017	2018	2019	2020	2021
Supplier Code of Conduct	Yes/no	-	-	-	Yes	Yes
Environmental factors when evaluating suppliers	Yes/no	-	-	-	Yes	Yes
Equality factors when evaluating suppliers	Yes/no	-	-	-	Yes	Yes
Labor rights when evaluating suppliers	Yes/no	-	-	-	Yes	Yes

Siðferði og aðgerðir gegn spillingu (S6 \| GRI 102-16 \| UNGC-P10 \| SDG 16)	Einingar	2017	2018	2019	2020	2021
Fyrirtækið hefur mótað og birt siðareglur?	já/nei	Já	Já	Já	Já	Já
Siðareglur hafa verið samþykktar af stjórn	já/nei	Já	Já	Já	Já	Já
Stefna gegn spillingu og mútum	já/nei	-	Já	Já	Já	Já

Persónuvernd (G7 \| GRI: 418-1)	Einingar	2017	2018	2019	2020	2021
Stefna um persónuvernd?	já/nei	-	Já	Já	Já	Já
Innleiðing á reglugerð Evrópusambandsins um persónuvernd (GDPR)	já/nei	-	Já	Já	Já	Já

Sustainability Report (G8.1)	Unit	2017	2018	2019	2020	2021
Does the company publish a sustainability report?	Yes/no	Yes	Yes	Yes	Yes	Yes

Disclosure Practices (G9.1, G9.2)	Unit	2017	2018	2019	2020	2021
Sustainability data to sustainability reporting frameworks	Yes/no	-	Yes	Yes	Yes	Yes
Focus on specific UN Sustainable Development Goals (SDGs)	Yes/no	-	Yes	Yes	Yes	Yes
Does your company set targets and report progress on the UN SDGs?	Yes/no	-	-	Yes	Yes	Yes

External Validation & Assurance (G10 \| GRI: 102-56 i,ii)	Unit	2017	2018	2019	2020	2021
ESG disclosures assured or validated by a third party	Yes/no	-	-	-	Yes	Yes

Governance PDF version

Environment PDF version

Governance PDF version

Social PDF version

Key to terms used

The letters E, S and G refer to factors relating to the Environment, Social and Governance as set out in the ESG reporting guide for the Nasdaq Nordic and Baltic exchanges.

GRI stands for Global Reporting Initiative. GRI helps companies and institutions analyze, collect and publish information on the economic, environmental and social impact of their activities.

UNGC stands for United Nations Global Compact. By participating in the Global Compact companies or institutions commit to work towards the UN’s Ten Principles on Sustainability.

SDG refers to the UN Sustainable Development Goals. The Sustainable Development Goals were adopted by all member states of the United Nations in September 2015. There are 17 Sustainable Development Goals and 169 targets. This table refers to the 17 goals.

Methodology for financial accounting

When calculating Arion Bank’s environmental accounts, we use The Greenhouse Gas Protocol which is a standardized methodology which has been implemented at a number of companies with good results. Arion Bank has underlined the importance of implementing its climate project within the framework of Icelandic and international legislation and regulations on the environment.

The diagram below describes the methodology according to which greenhouse gas emissions are divided into three categories, Scopes 1, 2 and 3. Broadly speaking emissions originate from the transportation of supplies to the company, from the company’s operations and from the transportation of goods and services from the company. Scopes 1, 2 and 3 are divided into direct and indirect greenhouse gases.