01 Our vision of 02 Sustainable 03 Active 04 Strengthening sustainability 05 Appendices sustainability investing stewardship in our operations 03.4 Engagement outcomes Principle 7 9 03.4.2 Thematic engagement: Case study: Biodiversity Case study: Engaging with a biodiversity at a US agrifood company telecom company on legacy Pressure on the private sector to We engaged a major US agrifood lead-sheathed cables accelerate the protection of nature and company to discuss its approach to We engaged a US telecom company biodiversity has increased since the biodiversity. We had previously engaged following press coverage alleging that COP 15 Global Biodiversity Framework with the company on climate and lead-sheathed underground cables dating 39 (GBF) agreement. As an investor with believe that addressing biodiversity back to the origins of the industry had high awareness of biodiversity loss, will help its climate strategy to be more been causing lead contamination in sites AllianzGI believes engagements with comprehensive. The company recognises and among workers. The engagement companies is essential to scope the risks the importance of biodiversity and has was initiated and led by the Fixed Income and opportunities and drive change. started to assess it in all of its locations, Research team, who consider this issue We started our biodiversity engagement as well as along its supply chain. We also to be potentially material to investment. in 2022 and built out our proprietary discussed deforestation and regenerative The engagement allowed the team to engagement framework in 2023. agriculture in depth to understand how form an initial assessment on the extent We summarised our biodiversity The sector-speci昀椀c nature of biodiversity the company takes action to manage of potential 昀椀nancial implications and the engagement framework and means there is no formulaic approach. biodiversity. We will follow up on the need for follow-up. expectations of companies in our Investors will need to understand the progress of its biodiversity assessment, thematic paper. biodiversity issues associated with di昀昀erent as well as its approach to deforestation business activities to be able to assess the and use of regenerative agriculture. De昀椀ning the rules of engagement performance of investee companies. To this to protect biodiversity. end, we identi昀椀ed priority biodiversity issues to discuss with investee companies during engagements, as set out in our biodiversity engagement framework. 39 Convention on Biological Diversity, Global Biodiversity Framework Agreement, 2022. Allianz Global Investors Sustainability and Stewardship Report 2023 51