Climate Change Data

Environmental Metrics

ESG Focus Areas

• Governance
• Workforce Diversity and Inclusion
• Community Support
• Environmental Sustainability

Environmental Achievements

• Reduced paper usage by 36% in 2020 compared to 2019 through digitalization and remote work.
• Recycled an estimated 129 tons of paper in 2020.
• Purchased renewable energy credits equal to 10% of total annual energy usage.
• Financed $1.6 million in commercial and affordable housing projects through the CLEER program, resulting in nearly $80,000 in annual energy savings and a reduction of GHG emissions by 560 tons.

Social Achievements

• Provided temporary payment accommodations and waived fees for clients impacted by the COVID-19 pandemic.
• Originated $310 million in single-family mortgage loans to low- and moderate-income clients.
• Originated $177 million in affordable housing loans.
• Originated $352 million in loans for first-time home buyers.
• Raised over $23,000 for Best Buddies through employee participation.
• Provided $600,000 in donations to 12 area hospitals in response to the COVID-19 pandemic.
• Donated $25,000 each to the Capital Area Food Bank and the Maryland Food Bank to support school pantry programs.
• Employees volunteered 3,622 hours across 217 organizations.

Governance Achievements

• Maintained a board of directors with 13 independent directors, 3 women, and 3 ethnic minorities.
• Adopted a Corporate Governance Policy.
• Implemented a comprehensive enterprise risk management framework.
• 100% of employees completed Code of Ethics training.

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic and its impact on clients and employees.
• Maintaining data security with increased remote work.

Mitigation Strategies

• Implemented business continuity plans, provided payment accommodations and waived fees for clients, transitioned employees to remote work, implemented enhanced cleaning and disinfecting procedures, provided COVID-19 leave benefits and appreciation bonuses for employees.
• Emphasized cybersecurity awareness training and implemented layered cybersecurity approach.

Supply Chain Management

Responsible Procurement

• Procuring products from renewable sources, including recycled paper products.

Climate-Related Risks & Opportunities

Awards & Recognition

• Best Banks to Work For by American Banker magazine
• Top workplace by The Washington Post and The Baltimore Sun
• Certified Great Place to Work®
• America’s Best-In-State Banks by Forbes

Environmental Metrics

ESG Focus Areas

• Governance and culture of ethics and integrity
• Diverse, highly skilled workforce
• Supporting clients and communities
• Minimizing environmental impact

Environmental Achievements

• Reduced paper usage by 33% compared to 2020 through digitalization.
• Recycled an estimated 115 tons of paper in 2021.
• Purchased renewable energy credits equal to 10% of total annual usage in Maryland and Washington, D.C. locations.
• Financed $1.8 million in commercial and affordable housing projects through the CLEER program, resulting in nearly $80,000 in annual energy savings and a reduction of GHG emissions by 560 tons.

Social Achievements

• Originated $52.7 million in community development loans, supporting 252 affordable housing units and various community service organizations.
• Provided $310 million in single-family mortgage loans to low- to moderate-income clients.
• Originated $241 million in affordable housing loans.
• Originated $307 million in loans for first-time homebuyers.
• Donated $850,000 through the Sandy Spring Bank Foundation to 110 organizations.
• Supported financial literacy programs reaching nearly 10,000 visitors.
• Collected and donated over 1,500 pounds of food through a food drive.

Governance Achievements

• Adopted a Corporate Governance Policy.
• Established a comprehensive enterprise risk management framework.
• Implemented a Code of Ethics and Business Conduct with training for all employees.
• Maintained a strict non-retaliation policy.
• Established strong governance measures to protect data privacy and security.

Climate Goals & Targets

Environmental Challenges

• Climate change risks to the business (details in Annual Report)
• Maintaining a safe work environment during the COVID-19 pandemic.

Mitigation Strategies

• Sustainable business practices to minimize environmental impact.
• Digitalization to reduce paper usage.
• Investment in clean energy and energy efficiency projects.
• COVID-19 vaccine requirement with accommodations, additional paid time off, and hardship leave benefits.

Supply Chain Management

Responsible Procurement

• Procuring products from renewable sources, including recycled paper products.

Climate-Related Risks & Opportunities

Awards & Recognition

• USA Top Workplace Award
• Washington Post Top Workplace
• Baltimore Sun Top Workplace
• American Banker Best Banks to Work for List
• Great Place to Work certified
• Best-In-State Bank for the state of Maryland

Environmental Metrics

ESG Focus Areas

• Environment
• Good Governance
• Community
• Workforce

Environmental Achievements

• Reduced paper use by nearly 50% compared to 2019 through digitalization.
• Recycled an estimated 242,000 pounds of paper in 2022.
• 86% of initial mortgage disclosures were delivered electronically in 2022.
• 87% of mortgage closings were done through e-closing processes in 2022.
• 47% of eligible clients received electronic statements in 2022.
• 50% of eligible clients used digital banking tools in 2022.
• Purchased renewable energy credits equal to 10% of total annual energy usage.

Social Achievements

• Introduced a new personal checking account, Direct Banking, with BankOn certification.
• Eliminated nonsufficient funds fees on all personal accounts and lowered overdraft fees.
• Originated 753 single-family mortgage loans to low- to moderate-income clients totaling $84.5 million.
• Originated affordable housing loans totaling $186.7 million for 513 units.
• Provided $662,000 in total charitable giving.
• Donated $250,000 to expand cancer care services at MedStar Montgomery Medical Center.
• Supported Reignite Psych, a mental health services provider, through financing and renovation.
• Partnered with EverFi to provide online financial education to nearly 23,000 visitors.
• Supported various programs at Howard Community College and George Mason University.
• Partnered with Junior Achievement to provide financial literacy education.
• Assisted 97 veterans and family members through Operation Renewed Hope Foundation.
• Participated in Habitat for Humanity’s Metro Maryland Women Build.
• Raised $17,000 and provided hundreds of donated toys for Toys for Tots.
• Raised over $80,000 for over 60 organizations through Casual for a Cause.

Governance Achievements

• Amended bylaws to require a director nominee to receive a majority of votes to be elected.
• Established Corporate Governance Guidelines to reflect commitment to sound governance.
• Implemented a comprehensive enterprise risk management framework.
• Terminated employment agreements and change in control agreements with executive officers and adopted an Executive Severance Plan.
• Provided training to all employees on the Code of Ethics and Business Conduct.
• Maintained an Insider Trading Policy and a whistleblower policy.

Climate Goals & Targets

Environmental Challenges

• Climate change risks to the business (details in Annual Report)
• Maintaining data privacy and security in a highly regulated environment.

Mitigation Strategies

• Sustainable business practices to minimize environmental impact and reduce climate change risks.
• Investing in clean energy and energy efficiency projects.
• Reducing paper use through digitalization and waste reduction.
• Upgrading aging facilities to improve energy and resource efficiency.
• Implementing a layered approach to cybersecurity with multiple levels of preventative and detective tools, rigorous systems testing, and employee training.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Procuring products from renewable sources, including recycled paper products.

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Washington Post Top Workplace
• Baltimore Sun Top Workplace
• Great Place to Work certified
• #23 U.S. bank (Bank Director)
• Fifth Best Bank in the Country (S&P Global Market Intelligence)
• Top Five Bank on Forbes America’s Best Banks list