Banco Santander Mexico S A Institución de Banca Múltiple Grupo Financiero Santander Mexico : Responsible Banking Report 2021

Responsible Banking

Report

2021

• 01. Santander Group (Global)

  • • Business model and strategy

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  Responsible Banking 2021 Highlights

• 02. About Santander Mexico

  • • Letter from the Chairwoman of the Board of Directors

  • • Letter from the Executive President and Chief Executive Officer of Santander Mexico

• 03. We do Responsible Banking

  • • Santander profile

  • • Corporate culture

  • • Responsible Banking Model

  • • Value for our stakeholders

• 04. The highest standards: Corporate Governance

  • • Structure

  • • Associations

  • • Risk management

  • • Business ethics

• 05. Responsible Banking Agenda

  • • Milestones

  • • Public Commitments

  • • The transition to a green economy

  • • Awards and recognitions

  New Business Environment

  • • Value for our team

    Content

  • • Value for our customers

  • • Digital transformation

  Inclusive and Sustainable Growth

  • • Financial empowerment and inclusion

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  Environmental footprint Higher education Community investment

• 06. About this Report

  • • Reporting Process

  • • Materiality assessment

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Annexes Indices Verification letter

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Santander Group (Global)

Business model and strategy Responsible Banking 2021 Highlights

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We follow The Santander Way:

Our purpose

To help people and business prosper.

Our aim

To be the best open financial services platform, by acting responsibly and earning the lasting loyalty of our people, customers, shareholders and communities.

Our how

Everything we do should be Simple, Personal and Fair.

VIII Responsible Banking Report 2021

Our business model | Our customer focus, global scale and diversification are the foundations for generating value for our shareholders

01. Customer focus

• • We have increased our number of customers over the last sevenDeepening the relationships with our customers through a simpler value proposition, superior customer experience and our digital proposition

years, and notably in 2021, with balanced growth by region and business.

• • Our aim is to further enhance our customers' experience and satisfaction.

• • We also help a new generation of customers with new ways to interact with their finances, which is reflected in an increase in digitalization (54% digital sales / total sales in 2021).

Total customers

153mn

+5mn in 2021 +32mn since 2015

8 countries

Top 3 Customer satisfactionA

A. NPS (Net Promoter Score) - Customer Satisfaction internal benchmark of individual customers' satisfaction audited by Stiga / Deloitte in H2'21.

02. Our scale

• • Regional and global scale based on three geographic regions, where we maintain leadership positions in our core markets.

Local scale and global reach

• • Worldwide reach through our global businesses and PagoNxt, enabling greater collaboration across the Group to generate higher revenue and efficiencies.

Top 3A in 10 of our markets

A. Market share in lending as of Sep-21 including only privately-owned banks. UK benchmark only covers the mortgage market (source: central banks). Digital Consumer Bank (DCB) refers to auto financing market shares in the majority of our Europe footprint (source: information from local auto associations and market intelligence reported by SCF units).

03. Diversification

• • We have a diversified geographical footprint which is wellOur geographic and business diversification makes us more resilient under adverse circumstancesbalanced between emerging and developed markets.

• • Business diversification between customer segments

  (individuals, SMEs, mid-market companies and large corporates).

• • This diversification remains a source of great strength and earnings stability.

A. 2021 underlying attributable profit by region. Operating areas excluding Corporate Centre.

Our strong model is reflected in the resilience of our business. It is a competitive strength that continues to differentiate us.

Underlying attributable profit by regionA

North AmericaSouth AmericaEuropeDigital Consumer Bank

Group net operating income (Pre-Provision Profit)

EUR billion

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