Alliance Data Releases 2020 ESG Performance Report; Provides Update on Three-Year Sustainability Goals

Alliance Data Systems Corporation (NYSE: ADS) a leading global provider of data-driven marketing, loyalty and payment solutions, today released its 2020 Environmental, Social and Governance (ESG) Performance Report. The report showcases progress the Company made against three-year sustainability goals set in 2017, and key findings from its second stakeholder perception survey, or materiality assessment, which will guide the next phase of Alliance Data’s evolving ESG strategy.

“Alliance Data continues to take a principled approach to operating as a responsible global organization, and delivering value to our key stakeholders, including shareholders, associates, customers and our communities,” said Ralph Andretta, president and chief executive officer, Alliance Data. “I am proud of the progress we made in 2020, and that we remain focused on the priorities that drive long-term success for our business and stakeholders alike. As we define the next generation of Alliance Data’s ESG strategy, I am confident it will further fuel our transformation momentum and progress against our business goals.”  The 2020 ESG report details the Company’s actions and impact across areas of critical significance during the three-year period from 2017 to 2020. Key highlights include:

Sustainability Governance: Quarterly updates to the Company’s Board of Directors, driving a high-level of engagement and oversight

Fair & Responsible Banking: Technology upgrades to the Company’s underwriting process, which reduces bias and creates parity; top marks for excellence in customer service, earning BenchmarkPortal’s “Center of Excellence” certification 15-consecutive times (more than any other company in the financial services industry)

Secure & Responsible Use of Data: No data breaches; ongoing investments in training, safeguarding data and technology

Human Capital: Reduced voluntary turnover by three percent, increased investment in training dollars per associate by 35 percent, established DE&I strategic framework

Community Investment: Contributed over $30 million, including nearly $7 million in “Data for Good” initiatives; associates volunteered over 76,000 hours

Environment: Facility upgrades, including energy efficient lighting, LEED certifications and electric vehicle charging stations, along with investments in global conservation initiatives that contributed to a reduction in the Company’s carbon footprint

“We see our ESG strategy as an enabler of our business transformation, ensuring that we mitigate risk and remain competitive in a dynamic marketplace,” said Dana Beckman, head of sustainability, Alliance Data. “While last year brought about much change and uncertainty, we’ve seen our associates rise to the challenge, helping to drive positive impact for our business and the customers and communities we serve.”

Alliance Data’s ESG strategy will continue to center around the Company’s ongoing transformation, which prioritizes delivering stakeholder value, modernizing technology, advancing a diverse and inclusive culture and maintaining a commitment to ethical decision making. These priorities are rooted in the Company’s responsible business practices and sound corporate governance.

Alliance Data conducts an annual evaluation and assessment of evolving ESG standards, which led to the adoption of Sustainability Accounting Standards Board (SASB) Standards in last year’s report. The Company first reported against Global Reporting Initiative (GRI) standards in 2016.