A bank for communities Making a difference

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A bank for communities Making a difference
A bank for                             Making a
            communities                            difference

2020 Environmental, Social and Governance Report
A bank for communities Making a difference
Introduction   Doing business                 Bringing people                             Working with                                 Protecting our   Using finance        Conclusion     SASB report
                                                                                                  with integrity                 together                                    our communities                              environment      to drive change

Welcome to our first Environmental, Social and Governance Report
Introduction
Welcome from our Chairman and CEO,
Executive Vice President and Director of ESG............ 03
About us ............................................................................... 05
                                                                                                        2020 highlights
Our approach to ESG ..........................................................07
                                                                                                          Our governance                                                                                                                      Our environment
Doing business with integrity

                                                                                                          85%                                                                           40%                                                  $493.3m
Our governance ....................................................................10
 Upholding good governance
 and sound decision-making .............................................. 11
 Being a responsible corporate citizen ............................13
                                                                                                          of Board members were                                                         of members represented                                funded in renewable energy
Bringing people together                                                                                  independent                                                                   diverse groups on our Board                           projects over the past three years
Our people ............................................................................15
Bringing out the best in our people .................................16
Creating an environment where
everyone belongs................................................................ 20                       Our communities                                                                                                                     Our people
Working with our communities

                                                                                                          $34.9m                                                                        $1.299bn                                              60%
Our communities .................................................................23
Nurturing through finance .................................................24
Strengthening our communities ......................................29
Protecting our environment                                                                                contributed to nonprofits by                                                  in affordable housing lending                         of our workforce and 48%
Our environment ..................................................................32                      M&T through corporate giving                                                                                                        of our managers were women
Reducing operational impacts ..........................................33                                 and the Charitable Foundation
Tackling climate change .....................................................35
Using finance to drive change                                                                             Our customers
Our investments ................................................................. 38

                                                                                                          $1.213bn                                                                      $7.0bn                                                Top 10
Expanding sustainable investing .................................... 39
Transforming our services ................................................ 40
Conclusion
Looking ahead to 2021 .......................................................42                           assets under management                                                       of paycheck protection support                        Small Business Administration
About this report .................................................................43                     in ESG strategies at                                                          funded, helping to keep 765,000                       (SBA) lender nationwide
                                                                                                          Wilmington Trust                                                              people employed during COVID-19                       for 12 years consecutively
SASB report ......................................................................... 45

2020 Environmental, Social and Governance Report                                                           Equal Housing Lender. ©2021 M&T Bank. Member FDIC. NMLS# 381076
                                                                                                           The report covers the period of January 1- December 31, 2020 and is as of December 31, 2020 unless otherwise noted.                                                        02
A bank for communities Making a difference
Introduction     Doing business        Bringing people       Working with         Protecting our        Using finance        Conclusion       SASB report
                                                        with integrity        together              our communities      environment           to drive change

Funding bright futures for the communities we serve

Welcome from René Jones, Chairman                                         It is our pleasure to welcome you to
                                                                          our first Environmental, Social and
                                                                                                                   The trusted, credible scientific
                                                                                                                   evidence is clear – many of our
                                                                                                                                                             We are a bank focused on
                                                                                                                                                             communities – advocating for
and CEO, and John D’Angelo, Executive                                     Governance (ESG) Report. We’d like       collective actions are having             and supporting the customers
Vice President and Director of ESG.                                       to share with you some reflections
                                                                          on why we feel this report is so
                                                                                                                   a detrimental impact on the
                                                                                                                   environment, and ultimately
                                                                                                                                                             and constituents who make
                                                                                                                                                             up our ecosystem (see pg 4,
                                                                          important, and to identify our focus     on health and human safety.               A Bank for Communities). This
                                                                          for the road ahead.                      As society’s understanding of             approach is what makes us
                                                                                                                   these impacts grows, expectations         unique. We work to understand
                                                                          The financial system sits at the heart   are changing regarding the                the specific and individual needs
                                                                          of our global economy. This local and    role of the organization and its          of our neighborhoods and interest
                                                                          global ecosystem, moderated by           leadership to encompass a higher          groups so we can work together
                                                                          robust regulation and oversight, has     societal purpose.                         to find solutions to solve particular
                                                                          enabled capitalism to support the                                                  challenges. We empower local
                                                                          sustained growth we’ve seen in the       We understand the world is always         teams to make decisions to support
                                                                          last hundred years. Yet this growth      changing and, throughout our 160‑         our stakeholders. Throughout this
                                                                          has come at a price: costing the         year history, we have demonstrated        report, we will highlight initiatives
                                                                          environment, our communities             our ability to evolve. Although           – like Ignite and Buffalo Promise
                                                                          and individuals too.                     we’re at the start of developing          Neighborhood – and show examples
                                                                                                                   our comprehensive and strategic           of how we tailor our services – such
                                                                                                                   approach to ESG, the concepts are         as accessible checking accounts,
                                                                                                                   in our DNA.                               small business loans, investing in
                                                                                                                   Here at M&T and Wilmington                renewable energy development and
                                                                                                                   Trust, our purpose has always             financing affordable housing across
                                                                                                                   been to make a difference in              our footprint – specifically to meet
                                                                                                                                                             our communities’ needs, translating
                                                      “As a company, and as a society,                            people’s lives. Serving all of
                                                                                                                                                             our philosophy into tangible,
                                                                                                                   our stakeholders: customers,
                                                        we are stronger and more                                   employees, communities, vendors           positive action.
                                                        committed to creating a positive                           and shareholders is just what we
                                                                                                                   do. What’s new is that now we have
                                                        impact than ever before.”                                  decided to formalize the disclosure of
                                                                                                                   our efforts into this single report and
                                                       René F Jones                                                increase our transparency of those
                                                       Chairman and CEO                                            efforts under the umbrella of “ESG”.
2020 Environmental, Social and Governance Report
                                                                                                                                                                                              03
A bank for communities Making a difference
Introduction         Doing business       Bringing people        Working with           Protecting our           Using finance        Conclusion       SASB report
                                                                  with integrity       together               our communities        environment              to drive change

Funding bright futures for the communities we serve
continued

Our efforts have also been recognized     It deeply affected our families,         The trust communities place in              We must, and will, do more to make               A Bank for Communities
by the industry. In 2020, we were         communities and local economies          our organization has always been            our society better and empower
awarded 22 Greenwich Excellence           and our many colleagues who fell ill.    key to our business model. Robust           our communities – one community                  We are a bank for communities
Awards and 3 Greenwich Best Brand         We are grateful that the new practices   governance is essential to building         at a time.                                       characterized by:
Awards across Business Banking            and safeguards we implemented            that trust and stability, so ethical                                                         • responsible lending based
and Middle Market, bringing our total     to protect our people and our            business practices and behavior             We are proud of our history of
                                                                                                                               stakeholder capitalism and will                    on the advantages of local
awards to 137 since 2011.                 customers, and to support them           are core to our business. We have                                                              knowledge and scale
                                          financially, emotionally and medically   expanded the diversity of our Board         strive for continuous improvement
We also work to ensure our colleagues     were well received and helped to limit   of Directors and senior leadership          in our actions, as we understand                 • s traightforward products that
feel they belong and can be their         and mitigate negative impacts.           team and remain committed to                how important this is for our                       are easily understood by our
authentic selves at work. While the                                                accountability and transparency but         collective future.                                  customers
pandemic made the job market less         Unfortunately, the hardest burden        we know there is always more work           René F Jones
active in 2020, we believe our focus on   fell on those already struggling the     to be done.                                                                                  • a
                                                                                                                                                                                   philosophy that we compete
                                                                                                                               Chairman and CEO
investing in and supporting our people    most. We’re proud of the leading                                                                                                        on customer experience and
is reflected in their commitment to us,   role we played in ensuring those in      What is good for our stakeholders           John D’Angelo                                      value, not solely on price
as employee engagement has risen          need received Paycheck Protection        is good for the financial services          Executive Vice President and
while staff turnover has fallen every     Program (PPP) payments.                  industry, and vice versa, and we will                                                        • a
                                                                                                                                                                                   n operating belief that
                                                                                                                               Director of ESG
year since 2016.                                                                   join others and use our influence                                                              employees are our most
                                          We know we share the sentiments          to support a collective effort to                                                              valuable strength
No year in modern history has             of our PPP team when we say how          transform the industry.
changed our lives as much as              immensely rewarding it has been to                                                                                                    • p
                                                                                                                                                                                   rudent stewardship of our
2020. The year posed a number of          know that our user-friendly portal                                                                                                      shareholders’ capital
challenges to us as individuals, as       and the passionate dedication of                                                                                                      • a
                                                                                                                                                                                   commitment to our
an organization and as society as a       our staff helped keep nearly 35,000                                                                                                     wide-ranging communities
whole, but we’ve come out stronger.       businesses operating and 765,000                                                                                                        – whether they share a
                                          people in employment during                                                                                                             neighborhood, a belief system
Protecting our employees and our          COVID-19. We shared our automated
customers is always our foremost                                                                                                                                                  or a common interest.
                                          solution, connecting to the SBA’s
concern and we are impressed,             approval systems with five other
but not surprised by, the resilience      banks that had been struggling with
our teams and communities                 a manual process to increase the
have shown in response to the             recovery impact.                                          John D’Angelo
COVID-19 pandemic.                                                                                  Executive Vice President
                                                                                                    and Director of ESG

2020 Environmental, Social and Governance Report
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A bank for communities Making a difference
Introduction   Doing business       Bringing people       Working with          Protecting our      Using finance         Conclusion     SASB report
                                                      with integrity       together              our communities       environment         to drive change

About us

Our purpose
                                                                       Our mission                                Our employees                              Our financials
                                                                       We live and work alongside our             Our 17,373 employees, drawn from
                                                                       customers, developing deep, lasting        the diverse communities we serve,          Assets
                                                                       relationships in communities,              strive to make a difference every

Great companies have an enduring sense
                                                                       supporting local businesses, schools,
                                                                       universities, sports, arts and social
                                                                                                                  day for our customers. We have
                                                                                                                  a concentration of our people in           $142.6bn
                                                                       organizations and government               the mid-Atlantic and Washington
of purpose. Ours is to make a difference                               institutions. Our company supports         DC but have colleagues across the          Loans and leases
                                                                       projects that drive economic growth        nation and internationally too.
in people’s lives. We’re driven to help,
                                                                                                                                                             $98.5bn
                                                                       and commits to causes that make our
encourage and enable our customers and
                                                                                                                  17,373
                                                                       communities better places to live.

communities to thrive. Founded in 1856,                                We succeed when our employees,
                                                                       customers and shareholders succeed.
                                                                                                                                                             Deposits
we have cared deeply about those we                                    We have been pursuing positive social      Employees

                                                                                                                                                             $119.8bn
                                                                       and environmental impact for many
serve. By asset size, we are a top 20                                  years. We deliver the capabilities of a
                                                                                                                  Our footprint
full-service US-based commercial                                       big bank with the care and empathy of
                                                                       a locally focused one. We offer advice,    We have over 750 offices spanning
                                                                                                                  nine states and Washington DC.
bank, with a long history of community-                                guidance, expertise and solutions
                                                                       across the entire financial spectrum,      By tailoring our services to the
                                                                                                                                                             Net income

focused banking.
                                                                                                                                                             $1.35bn
                                                                       combining M&T’s traditional banking        needs of our communities, M&T is a
                                                                       services with the wealth management        hometown institution in every market
                                                                       and institutional capabilities offered     we serve. Wilmington Trust also
                                                                       by Wilmington Trust.                       expands our reach, with a number
                                                                                                                  of small offices abroad including          Total shareholders’ equity
                                                                       We understand the world is always          Europe.

                                                                                                                                                             $16.2bn
                                                                       changing and throughout our history we

                                                                                                                  750
                                                                       have demonstrated our ability to evolve.
                                                                       We put the customer at the center of all
                                                                       that we do, continuing to demonstrate
                                                                       our hallmark care and empathy as           Offices
                                                                       we listen and develop new products
                                                                       and services to meet our customers’
                                                                       evolving needs and expectations.
2020 Environmental, Social and Governance Report
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A bank for communities Making a difference
Introduction         Doing business    Bringing people   Working with          Protecting our                  Using finance                  Conclusion       SASB report
                                                              with integrity    together          our communities       environment                     to drive change

About us
continued

Our performance                                    Our communities across the United States       Our communities in the mid-Atlantic
We have been profitable for 178
consecutive quarters: more than 42
straight years. We were one of two
commercial banks in the S&P 500 at
the start of the 2008 financial crisis
to maintain its dividend through                                                                                                                         NY
the crisis. We have accomplished                                                                                                 2             3
this through a strong credit culture
                                                                                                                                                                                4
(with less than 50% of the industry                                                                                 1
average net charge offs over the last                                                                                                     5
20 years) and strong returns (20.0%                                                                                                                                                   CT      Our communities
                                                                                                                                                    6                       7
ROTCE compared to 13.6% ROTCE
                                                                                                                                                                                              1.    Buffalo
peer median over the last 20 years).                                                                                                                                                          2.    Rochester
                                                     M&T office                                                                                          8
What we do                                                                                                          PA                    9
                                                                                                                                                                                              3.    Syracuse
                                                                                                                                                                                 14           4.    Albany
We served 4.1 million customers                                                                                                      10       12                  13                          5.    Ithaca
last year, offering advice, guidance,                                                                                       11                                                                6.    Binghamton
expertise and solutions across the                                                                                                                                          NJ
                                                                                                                                                                       15                     7.    Poughkeepsie
entire financial spectrum, combining                                                                                                                                                          8.    Wilkes-Barre
M&T’s traditional banking services                                                                                                                           16
                                                                                                                                                        17                                    9.    Lewisburg
with the wealth management and                                                                                                MD                                                              10.   State College
                                                                                                                                                    18
institutional capabilities offered by                                                                                                                                                         11.   Altoona
Wilmington Trust. We do this through                                                                                                                                        DE                12.   Harrisburg
more than 750 offices, nearly 1,800                                                                            WV                                                                             13.   Bethlehem
ATMs and a variety of online and                                                                                                                                                              14.   New York
mobile services.                                                                                                             VA                19                                             15.   Philadelphia
                                                                                                                                                                                              16.   Dover
                                                                                                                                                                                              17.   Baltimore
                                                                                                                                                                                              18.   Washington DC
                                                                                                                                                                                              19.   Richmond

                                                                                                                                                                                                M&T office

2020 Environmental, Social and Governance Report
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A bank for communities Making a difference
Introduction   Doing business       Bringing people       Working with          Protecting our          Using finance       Conclusion       SASB report
                                                      with integrity       together              our communities       environment             to drive change

Our approach to ESG

Our
                                                                       The world has not stopped changing        It’s ingrained in the way we’ve                 “Our organizational
                                                                       since we opened our doors more than       built Advisory Councils across our
                                                                       160 years ago. The financial services     footprint to hear from stakeholders,             commitment to
                                                                       industry is evolving, and so are we.      and the way we develop locally                   social responsibility

commitment                                                             In areas where we have insight and
                                                                       expertise, such as helping to grow
                                                                       small businesses, our responsibility is
                                                                                                                 oriented initiatives to support our
                                                                                                                 communities. It’s also integral to how
                                                                                                                 we engage our people to be their best
                                                                                                                                                                  is what attracted
                                                                                                                                                                  me, and so many

to future
                                                                       to help lead the transformation toward    selves at work: we are our people.               of my colleagues,
                                                                       best practice. On issues increasing
                                                                       in importance to our customers            While tracking our progress isn’t                to M&T. This
                                                                                                                 new to us, we’re now focused                     commitment comes

success
                                                                       and communities, such as climate
                                                                       change, we will continue to focus on      on accounting for that progress
                                                                       partnerships and collaboration to         holistically and sharing it transparently.       to life throughout
                                                                       learn best practices that will deliver    This report reflects an enterprise-              the report and I’m
                                                                                                                 wide, cohesive view of our
                                                                       impactful and necessary outcomes.
                                                                                                                 organization so that we can develop
                                                                                                                                                                  honored to help
The enduring purpose of our                                            Our approach                              a focused approach to measuring,                 guide our team into
organization is to make a difference
                                                                       We are proud to publish our inaugural     monitoring and reporting on our                  our next chapter
                                                                       ESG Report, to help tell the story of     ESG efforts.
                                                                                                                                                                  of serving our
in people’s lives. Our local focus is                                  the work that’s already underway
                                                                       in our organization. It details the       We continue to learn from our                    customers and
the cornerstone of our success:                                        passion, commitment and positive
                                                                       social and environmental impact of
                                                                                                                 experience and to consult with
                                                                                                                 diverse stakeholders to help us                  communities.”
we are a part of the glue that binds                                   our people, products and services.        understand what leadership looks
                                                                                                                 like on these evolving issues. We’re             John D’Angelo
our communities together.                                              This report also helps set a firm         inspired and guided by the values we             Executive Vice President
                                                                       ground on which to further build our      share with all our colleagues: integrity,        and Director of ESG
                                                                       ESG efforts in 2021 and beyond. As        candor, collaboration, ownership and
                                                                       we formalize our ESG strategy and         curiosity. These principles underpin
                                                                       begin developing a more transparent,      this journey, guiding us to make a
                                                                       cohesive, enterprise-wide approach,       difference in people’s lives.
                                                                       it has become clear to us that ESG is
                                                                       already deeply embedded in the DNA
                                                                       of our organization.
2020 Environmental, Social and Governance Report
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A bank for communities Making a difference
Introduction           Doing business     Bringing people       Working with        Protecting our           Using finance        Conclusion         SASB report
                                                                  with integrity     together              our communities     environment              to drive change

Our approach to ESG
continued

Our values

1. Integrity                           2. Candor                               3. Collaboration                       4. Ownership                               5. Curiosity
Integrity is core to all that we do.   Providing transparency to our           We’re an integral part of the          We believe in acting responsibly to        Our biggest impact comes via the
Ethical business practices are         stakeholders is crucial, and we         communities we work and live in,       help safeguard our collective future.      solutions, products, services, advice
central to the success of the          aspire to more. We believe that         so supporting our neighbors means      ESG is being deeply embedded and           and guidance that our 4.1 million
entire financial services industry     being open and honest, seeking and      business success. We invest in our     owned across our business model            customers rely on, and how those
and are crucial to retaining the       sharing feedback, and questioning       communities, championing projects      – we don’t see it as a separate or         solutions enable our customers to
trust of our stakeholders. We          behavior that challenges our values     that drive economic growth and         standalone interest. The impact            build their communities, provide
always strive to treat others          improves all our outcomes. We           committing to causes that make         and cost of climate change is clear        for their families and reach their
with respect – and do the right        are open in our ambition for our        our communities better places to       and is affecting our people, our           potential. We strive to approach all
thing – even when no one is            team to more accurately reflect         live. This is what we have always      communities and our economy. So            challenges with curiosity, continually
watching. From the Boardroom           the diversity of the communities        done. We continue to lead because      we are striving to take action to help     learn, encourage creativity, be
to the branch, we incorporate          we serve and in having dialogue to      our work is personal: alongside our    reduce our environmental footprint         empathetic and actively listen. We
our purpose, mission, values and       address challenging issues such as      professional motivation, we are        as a business. M&T is proud to be          constantly explore new ways to
behaviors into everything we do.       unconscious bias. We are looking at     driven to action for our families,     using our financing capacity to            deliver on our mission even more
This means integrating ethical,        the make-up of our own workforce        friends and neighbors too.             help accelerate the transition of          effectively and adapt how we deliver
equitable and responsible              and investing in improving diversity,                                          our broader economy to a more              value. We do this through offering
practices into our day-to-day          equity and inclusion to ensure that     We work together as a team to build    sustainable future.                        ESG investment funds, developing
work. It also means enhancing          everyone works in an environment        relationships and listen to all our                                               innovative financial products for
sustainable growth efforts             where they feel they belong. Our        stakeholders and look for solutions                                               the unbanked or underbanked, and
while being mindful of the             ambition extends beyond our             that provide good outcomes for                                                    supporting minority customers to
environmental and social risks         workforce: it also includes using our   everyone. We facilitate increased                                                 overcome the additional barriers
that exist in our increasingly         supply chain expenditure to help        investment in affordable housing                                                  they face to financial success.
interdependent economy.                support a diverse range of minority-    and community development, and                                                    We use our portfolio to help drive
                                       owned businesses.                       support causes in the communities                                                 positive social and environmental
                                                                               where we operate through the M&T                                                  outcomes, toward a more
                                                                               Charitable Foundation and our                                                     sustainable economy.
                                                                               colleagues’ volunteering efforts.

2020 Environmental, Social and Governance Report
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A bank for communities Making a difference
Introduction   Doing business   Bringing people   Working with     Protecting our   Using finance     Conclusion   SASB Report
                                                      with integrity   together          our communties   environment      to drive change

Doing business with integrity

           The right                                                                                                       The right
             thing                                                                                                           way

2020 Environmental, Social and Governance Report
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A bank for communities Making a difference
Introduction          Doing business    Bringing people           Working with                Protecting our              Using finance                Conclusion             SASB report
                                                                  with integrity    together                  our communities             environment                 to drive change

Our governance                                                                                                                                                                          In this section:
                                                                                                                                                                                        Committed to good governance
                                                                                                                                                                                        An independent and engaged Board

Doing business
                                                                                                                                                                                        Fair compensation for our executive management
                                                                                                                                                                                        A culture of integrity
                                                                                                                                                                                        Addressing anti-bribery and anti-corruption

with integrity
                                                                                                                                                                                        Protecting whistleblowers
                                                                                                                                                                                        Managing risk and compliance
                                                                                                                                                                                        Our political activities
                                                                                                                                                                                        Protecting information security
                                                                                                                                                                                        Active against fraud
Our commitment to high standards         Our Code of Business Conduct and                                                                                                               Transparent over tax
of corporate governance is key to        Ethics sets out our expectations of
helping build trust and confidence       honest and ethical behavior for all our
between us and our communities,          employees, officers and directors,
especially during uncertain times.       while our Corporate Governance
Our employees, shareholders,             Standards provide a foundation for
                                                                                                                                                                “We’re proud of our ongoing dedication
customers and communities need           addressing director responsibilities,                                                                                    to sound governance and continue to
to be able to trust the organizations    qualifications, expectations and                                                                                         strive to expand and enhance how we
they rely upon to be fair, transparent   independence. Our Enterprise Risk
and as working for the common            Framework outlines a structure to                                                                                        serve all of our stakeholders.”
good. We hold ourselves to the           identify, assess, monitor and manage
highest ethical standards in all         risk and provides the Board with                                                                                         Laura O’Hara
of our business dealings with            the transparency needed for its risk                                                                                     Executive Vice President and General Counsel
customers, shareholders, regulators,     oversight responsibilities.
communities and business partners.
                                         Other specific policies and frameworks

                                                                                      3                                    40%                                85%
This helps give our customers
confidence that their finances are in    support and promote our culture of
safe and supportive hands, reducing      integrity, including ensuring full, fair
stress and allowing them to seize        and accurate reporting of our financial
                                         performance and establishing rigorous        The Board added                      of our Board                       of our Board
opportunities – such as buying a                                                      three new directors                  members                            members were
home or starting a business.             protocols to safeguard customer
                                         information and manage risk.                 in 2020, including                   represented                        independent
                                                                                      two women and one                    diverse groups
                                                                                      person of color
                                                                                      As of December 31, 2020. Criteria for independence was according to the New York Stock Exchange requirements,
                                                                                      as well as M&T’s Corporate Governance Standards.
2020 Environmental, Social and Governance Report
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Introduction         Doing business        Bringing people         Working with            Protecting our        Using finance        Conclusion        SASB report
                                                            with integrity        together                our communities         environment           to drive change

Upholding good governance and sound decision-making

                                    Commited to good governance               We have embraced these new norms              sexual orientation. Women comprised       The Board and each of the Board
                                    We recognize that robust and              and are committed to increasing our           21% of our Board members as of            committees also reviews their own
                                    effective governance is fundamental       transparency on these issues.                 December 31, 2020. We recognize           performance through annual self-
                                    to helping us deliver sustainable value                                                 that we need to continually strive to     evaluations.
                                    for our stakeholders. To that end, we     We do not see these evolving ESG              be better by regularly reviewing our
                                    have adopted policies, standards and      standards as merely checking a box.           Board to make it more representative      Fair compensation for our
                                    procedures for numerous aspects           Instead, we see them as a pathway to          of the communities we serve.              executive management
                                    of corporate governance. We are           impactful, much-needed change across                                                    A primary objective of an executive
                                    committed to complying with the           many of the major issues of our day.          As of December 31, 2020, 85%              compensation program is to help
                                    highest standards of business ethics                                                    of our directors met the criteria for     attract and retain executives who can
                                                                              An independent and engaged Board              independence required by the New          maximize benefit for their business
                                    and integrity.                            Our Board governance is designed              York Stock Exchange as well as our        and shareholders. We endeavor
                                    Society’s expectations have evolved       to help promote our organization’s            Corporate Governance Standards.           to establish compensation that is
                                    as our collective understanding of        long-term performance; encourage              With nearly half of directors having a    competitive, and around the median
                                    the ways in which we impact the           discipline in taking risk; and help deliver   tenure of five years or less, the Board   of the market for our peer group,
                                    world around us have deepened.            sustainable value to shareholders – all       is subject to strong refreshment          which is also subject to bank, business
                                    This has broadened the role of the        while supporting a culture of openness        practices, balancing new directors        and individual performance. Through
                                    corporation to encompass a higher         and debate. Our directors represent           who have different expertise and          our executive compensation program,
                                    societal purpose under the banner of      a range of backgrounds, professions,          fresh perspectives with experienced,      we strive to create a strong alignment
                                    environmental, social and governance      skills, experiences and communities.          longer-tenured directors who possess      between pay and performance while
                                    standards for corporate conduct.          This variety of viewpoints, skills and        deep organizational knowledge. In         discouraging excessive risk taking.
                                                                              experiences allows for more effective         addition, members on our Board’s          We retain an independent consultant
                                                                              discussions and oversight.                    committees are appointed annually         to advise and support the NCG
    “Delivering long-term value to all stakeholders,                         Just as we strive to foster an inclusive      and the members of the Audit and          Committee and we also conduct
     customers, employees, shareholders and                                   and diverse workplace that respects           Examining Committee, Nomination,          an annual risk assessment of our
                                                                                                                            Compensation and Governance (NCG)         incentive compensation plans.
     communities, is fundamental to our                                       and values individual differences, we
                                                                                                                            Committee, and Risk Committee are
                                                                              also believe it is important that our
     responsibility as directors, and how M&T has                             Board is inclusive and diverse. In 2020,      entirely comprised of independent         Our executive compensation program
                                                                                                                            directors.                                provides for a market-competitive
     been run for the last 30+ years.”                                        we added three new directors,                                                           mix of base salary, short-term cash
                                                                              including two women and one person            The Board provides robust oversight of    incentives and long-term equity-
     Gary Geisel                                                              of color. As of December 31, 2020,            executive management and, through         based incentives that vest over time
     Independent Director                                                     40% of our directors including our            the NCG Committee, conducts an            in alignment with our compensation
                                                                              Chairman, represented diverse                 annual independent evaluation of          philosophy and the objectives
                                                                              constituencies of gender, race or             CEO performance and compensation.         cited above.
2020 Environmental, Social and Governance Report
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Introduction          Doing business        Bringing people       Working with          Protecting our         Using finance           Conclusion            SASB report
                                                                    with integrity        together              our communities       environment            to drive change

Upholding good governance and sound decision-making
continued

In 2020, the COVID-19 global pandemic      Our executive compensation                 It also obligates our CEO and Senior      Concerns relating to fraud, illegal        The Framework incorporates a three
impacted our performance. As a result      program and philosophy, including          Financial Officers to report violations   or unethical conduct, or any other         lines of defense model (business
of reduced earnings, discretionary         specific pay decisions for our             of the Code, and covers actions to be     employment-related concerns, can           areas, enterprise risk management
incentive pools in 2020 were reduced       executives, is discussed in detail         taken should a Code violation occur.      be reported to line managers, Human        and internal audit), which details our
by approximately 30% over 2019 levels      in the Compensation Discussion and                                                   Resources, or the employee hotline.        approach to risk taking, risk oversight,
and the organization funded a more         Analysis section of our annual proxy       Personnel working in the brokerage,                                                  and risk assurance practices.
limited salary increase budget. For        statement, available on our website.       investment and certain other lines of     Complaints can be made anonymously,        It also clearly defines roles and
retention and continued shareholder                                                   business are also subject to additional   24 hours a day, 7 days a week, by phone    responsibilities and risk management
alignment, long-term incentive awards      A culture of integrity                     conduct related obligations including,    or through our dedicated online portal.    policies and procedures, including
for named executive officers in 2020       Our Code of Business Conduct and           in some cases, arising under the law                                                 our Risk Appetite Statement and Risk
                                           Ethics applies to all employees. It sets   of foreign countries.                     Managing risk and compliance
were maintained at 2019 levels or                                                                                               All employees, as well as the Board,       Governance Committee oversight.
incrementally increased.                   out our standards relating to ethical                                                                                           The Risk Governance Committees are
                                           conduct and compliance with the law.       Addressing anti-bribery                   play a vital role in managing risk.
                                                                                      and anti-corruption                       The Risk Committee of the Board,           predominantly chaired by members
Part of our executive compensation         It also covers specific issues such as                                                                                          of Independent Risk Management.
program is an expectation of our           conflicts of interest, insider trading,    We require compliance with all            comprised entirely of independent
                                                                                      applicable anti-bribery and corruption    directors, assists the Board of            All such committees report to the
non-executive and executive                discrimination and harassment. We                                                                                               Management Risk Committee,
management to acquire and retain           expect all employees to act with           laws in all markets and jurisdictions     Directors in its oversight of risk
                                                                                      in which we operate. These laws           management functions. It provides          which is chaired by the Chief Risk
M&T stock. We expect that, within five     integrity and honesty. Our complaints                                                                                           Officer, and serves as the executive
years of becoming eligible under the       procedures support employees               include the UK Bribery Act and the        independent challenge, and reviews
                                                                                      Foreign Corrupt Practices Act. Our        and approves key risk management           level committee responsible for
compensation program, such officers        in navigating potentially difficult                                                                                             the implementation and oversight
achieve and maintain a certain level of    situations and enable employees to         policy regarding anti-bribery and         policies, procedures and practices.
                                                                                      anti-corruption is a component of                                                    of the Framework.
stock ownership that is related to their   submit any concerns, complaints                                                      Our Enterprise Risk Framework
position. For Board members this is        or other information anonymously           our Code of Business Conduct and                                                     The report covers the period of January 1 —
                                                                                      Ethics, available on our website.         (“Framework”), which is reviewed           December 31, 2020 and is as of December 31, 2020
two times their annual retainer amount     (see right).                                                                         and approved by the Risk Committee         unless otherwise noted.
and it increases for senior independent                                               Protecting whistleblowers                 at least annually, is the structure
members and the CEO and Chairman.          Our CEO and Senior Financial Officers
                                           are bound by the Code of Ethics for        Our See or Suspect Something –            through which we identify, assess,
                                           CEO and Senior Financial Officers.         Say Something Framework encourages        monitor, control, communicate and
                                           The code is designed to ensure fair,       and supports employees in reporting       escalate risk. It includes the policies,
                                           accurate, timely and clear disclosure      violations of our code of conduct or      processes, controls and systems
                                           in periodic reports required to be filed   other wrongdoing without fear of          through which risk is managed.
                                           with the SEC.                              retaliation.

2020 Environmental, Social and Governance Report
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Introduction         Doing business       Bringing people      Working with          Protecting our        Using finance       Conclusion        SASB report
                                                                  with integrity       together             our communities       environment           to drive change

Being a responsible corporate citizen                                                                                                                                     “At M&T Bank
                                                                                                                                                                            protecting customers’
                                                                                                                                                                            data is of the
Our political activities                   protect customer and corporate          organizations. Of the teams as of        Additionally, we participate in the IRS
We support our employees in having         information. In this way, our           December 31, 2020, nearly 70%            Compliance Assurance Process to
                                                                                                                                                                            utmost importance.
a voice in their communities through       Information Security Program helps      hold advanced certifications and         collaborate with the IRS to resolve             Confidentiality,
our employee-funded Political Action       M&T strive for compliance with          60% are members of professional          issues prior to filing our tax returns          availability and
Committee (PAC). Employees on the          government and industry regulations     organizations.                           and to help achieve an acceptable level
committee decide how to allocate           while leveraging proven tools,                                                   of assurance for the IRS regarding              integrity of customer
funds appropriately. Distributions from    technologies and practices.             Active against fraud                     the accuracy of the return. M&T has             data are imperative for
the PAC in 2020 totaled $39,550.                                                   As fraud techniques continue to evolve   been accepted into the Compliance
                                           Our program includes several core       and become more sophisticated,           Assurance Process program by the
                                                                                                                                                                            all we do in service
We also have policies and procedures       security principles, such as the        we are committed to ensuring our         IRS for tax years through 2021.                 of our customers.”
for compliance with federal, state and     Principle of Least Privilege, where     technology and staff adapt to keep
local laws and regulations relating to     information is disclosed on a “need-    our customers safe. Our fraud
                                                                                                                                                                           Andrew Hartridge
political contributions, gifts to and      to-know” basis. We also follow the      prevention systems include multiple
                                                                                                                                                                           Chief Information Security Officer
entertainment of public or government      security principle of Segregation of    layers of protection and monitoring
officials, political action committees,    Duties, which is designed to prevent    for various payment methods and
lobbying and participation in political    fraud and errors by sharing the tasks   channels, such as card, checks, online
campaigns or any other activities that     and benefits for a specific business    banking and telephone support.
may involve political influence. Our       process among multiple users. Every     They also include a wide range
approach is detailed in our Political      employee is responsible for properly    of behavioral monitoring tools,
Activities Policy.                         safeguarding all company information.   authentication methods, biometrics
                                                                                   and always-on monitoring.
Our lobbying efforts are disclosed         Our cybersecurity program is aligned
in accordance with the Lobbying            with the five core functions of the     Transparent on tax
Disclosures Act. This includes details     National Institute of Standards and     As strong corporate citizens, we
on issues on which we have lobbied         Technology (NIST) Cybersecurity         disclose all current and deferred
and total expenditure.                     Framework to identify, protect,         federal and state taxes within our
                                           detect, respond and recover.            periodic reports filed with the SEC.
Protecting information security
The protection of our customers’           Cybersecurity and Business Continuity
information is paramount.                  teams attend regular training to help
Our Information Security Program is        ensure competency and to stay
built on a strong foundation of policies   up-to-date. Members of staff also
and procedures designed to help            participate in external professional

2020 Environmental, Social and Governance Report
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Introduction   Doing business   Bringing people   Working with     Protecting our   Using finance     Conclusion   SASB Report
                                                      with integrity   together          our communties   environment      to drive change

Bringing people together

Collaborating,                                                                                                              Creating an
 connecting                                                                                                                environment
                                                                                                                           of belonging

2020 Environmental, Social and Governance Report
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Introduction         Doing business    Bringing people           Working with                 Protecting our               Using finance                Conclusion            SASB report
                                                                   with integrity    together                  our communities              environment                  to drive change

Our people                                                                                                                                                                                 In this section:
                                                                                                                                                                                           Recruiting exceptional talent
                                                                                                                                                                                           Ramping up diversity in recruitment

Bringing people
                                                                                                                                                                                           Developing our teams
                                                                                                                                                                                           Ongoing performance management
                                                                                                                                                                                           Supporting our people

together
                                                                                                                                                                                           Keeping our people safe in 2020
                                                                                                                                                                                           Spotlight: Nurturing tech talent at the Tech Academy
                                                                                                                                                                                           Deepening diversity
                                                                                                                                                                                           Committed to fair pay and equal opportunities
                                                                                                                                                                                           Pay equity

Our people are what set us apart,          The economic and social events of the                                                                                                           Building communities
reflecting our values of integrity,        past year have shown there is an urgent                                                                                                         Focusing on racial equity
ownership, collaboration, curiosity        need for leadership. Our collective                                                                                                             Improving the diversity of our supplier pool
and candor. Many of our dedicated          national reflection on matters of race
team members have been with                and culture must serve as an impetus
us for decades, fostering a deep           for us to reflect on our own corporate
understanding and knowledge of             culture, acknowledging and correcting                                                                                  “We want a workplace where everyone
those we are privileged to call our        any barriers that may stand in the way
customers. We are a family of more         of realizing the full potential of our
                                                                                                                                                                    feels a sense of belonging and where
than 17,000 people who come from           current and potential employees.                                                                                         every unique perspective is valued.”
the communities we serve. This             We strive to unite against injustice of
means our motivation is not only           any kind that affects our stakeholders,                                                                                  Tracy Woodrow
professional, but personal – our           whether our customers, employees,                                                                                        Executive Vice President and Chief Human Resources Officer
                                                                                       M&T volunteers cheering on participants
efforts have an impact on our own          vendors or shareholders.                    in the Ride for Roswell
neighborhoods and networks.
                                           We strive to build an environment in
Our talent is key to how we do business
and differentiate ourselves in the
market. By living, working, volunteering
                                           which the talents and perspectives of
                                           each employee are valued, respected
                                           and leveraged. We invest in career
                                                                                                                           60%
                                                                                                                           of our workforce
                                                                                                                                                                 23%
                                                                                                                                                                 of our workforce
                                                                                                                                                                                                        455,192
                                                                                                                                                                                                        courses completed
and engaging with our communities,         development, education and benefit
                                                                                       Our employee
                                                                                       engagement has                      and 48% of                            and 14% of our                         by employees
we have a deep understanding of the        programs to develop and nurture
                                                                                       continued to rise                   our managers                          managers were
needs of our stakeholders.                 our teams, while identifying and
                                                                                       while staff turnover                were women                            people of color
                                           cultivating exceptional new talent.
                                                                                       has fallen every
                                                                                       year since 2016
                                                                                       The report covers the period of January 1 — December 31, 2020 and is as of December 31, 2020 unless otherwise noted.
2020 Environmental, Social and Governance Report
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Introduction          Doing business         Bringing people         Working with            Protecting our       Using finance            Conclusion              SASB report
                                                                 with integrity         together                our communities         environment          to drive change

Bringing out the best in our people

                                        Recruiting exceptional talent              Many of our leaders have joined us via         Of these, 25% were women, 10% were       partnered with the Thurgood Marshall
Tony Williams, an M&T employee,
volunteers at a nonprofit farm          We take a multi-pronged approach to        these programs, including Chairman             Black and 12% were Hispanic/Latinx.      College Fund, a significant talent pipeline
                                        attracting new talent. This includes       and CEO René Jones and President                                                        for the Black college community and
                                        internal recruiting, leveraging external   and COO Richard Gold. Our Executive            We also recruit and develop talent       other diverse populations.
                                        partners, employee referrals and           Associate (EA) program recruits top-tier       through our Relationship Management
                                        five unique development programs           MBAs into full-time roles at the bank,         Development Program for talent           We built an alliance with William
                                        focused on bringing in top talent          supported with a one-year development          interested in Commercial Lending         Paterson University, a Hispanic-serving
                                        through campus recruiting.                 program including a banking simulation,        and sales and the Operational            institution, and we strengthened
                                                                                   innovation project, networking                 Development Program for talent           relationships with women’s colleges
                                        For over 30 years, our Executive           and communication course. Our                  focused on operations and logistics.     such as Barnard College, Wellesley
                                        Associate and Management                   Management Development Program                                                          College and Smith College. Activities

                                                                                                                                  10%
                                        Development programs have attracted        (MDP) recruits recent undergraduates,                                                   included M&T representation on panels,
                                        and developed talent that was              alongside a cohort of exceptional internal                                              in workshops and at career events.
                                        instrumental to our organization.          talent, into full-time roles with a one-year                                            We’ve had an ongoing partnership with
                                                                                   development program. EAs and MDPs              of Technology Development Program
                                                                                                                                                                           the HBCU, Delaware State University, to
                                                                                   receive ongoing benefits from the strong       participants were Black compared to
                                                                                                                                                                           recruit into our development programs
                                                                                   network of leaders throughout the bank         6.2% industry average1
                                                                                                                                                                           and to offer Executive Mentoring from
      “The Management Development Program                                         and career counseling.                                                                  senior managers at M&T to juniors and
                                                                                                                                                                           seniors of color.
        provided me with critical exposure to                                      In 2019, we launched a Technology              Ramping up diversity in recruitment
                                                                                   Development Program (TDP) focused
        form a deep understanding of M&T’s                                         on recruiting undergraduates with
                                                                                                                                  To help meet our recruiting goals for    To deepen connections with the
                                                                                                                                  diversity, we have launched several      communities we serve, in 2020 we
        culture of leadership and collaboration                                    experience in software engineering.            new initiatives to augment our           engaged in recruiting efforts with The
        along with an immediate network within                                     The aim of the program is to expand            traditional recruiting efforts.          Consortium, the National Black MBA
                                                                                   the pipeline of tech talent into the
        the bank for continued professional                                        organization while increasing diversity.       In 2020, we expanded our relationships
                                                                                                                                                                           Association, Reaching Out MBA, MBA
                                                                                                                                                                           Veterans, Prospanica, the National
        development and mentorship.”                                               TDP is a two-year rotational program           for graduate and early careers
                                                                                                                                                                           Society of Black Engineers, the Society
                                                                                   with a self-directed model allowing            recruitment to 13 Historically Black
                                                                                                                                                                           of Hispanic Professional Engineers,
                                                                                   TDP participants to build essential soft       Colleges and Universities (HBCUs).
        Nigel Smith                                                                                                                                                        Black Is Tech and the Technica
                                                                                   skills as they develop and manage the          These include Bowie State University,
        2019 Management Development Program, Skidmore College                                                                                                              Corporation in 2020.
                                                                                   program in concert with their roles. 2020      Lincoln University and the University
                                                                                   welcomed in our second TDP class.              of Maryland Eastern Shore. We also
                                                                                                                                                                           1A
                                                                                                                                                                             ccording to the Bureau of Labor statistics.

2020 Environmental, Social and Governance Report
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Introduction          Doing business        Bringing people        Working with           Protecting our       Using finance        Conclusion          SASB report
                                                                     with integrity        together               our communities        environment          to drive change

Bringing out the best in our people
continued

Our hunger to find the talent who we        This ensures that a broad range of         due to the pandemic, but we look            To deliver a consistent framework
may not reach through traditional           perspectives shapes our growth             forward to making the state-of-the-art      and guide leadership development,
recruitment channels led us to pilot        and helps us to better reflect and         facility our hub of learning and growth     we’ve defined the leadership qualities
our Talent Acquisition Ambassadors          represent the communities we serve.        again. To ensure training is as powerful,   most highly valued at our organization
program in 2020 which has radically                                                    effective and as time-efficient as          through leadership competencies              An M&T leader:
transformed the diversity in all the        Developing our teams                       possible, in 2020 our Enterprise            (see spotlight). This enables staff to
                                            We want our employees to                                                                                                            • Creates vision
programs that we offer. Forty of                                                       Training Optimization team reassessed       visualize and take concrete steps to
our colleagues across our network           grow and succeed individually, in          course content to streamline it and         progress toward leadership success.          • Inspires followers
divisions were trained and tasked with      high-performing teams and through          remove duplication. Despite these                                                        • Builds alliances
expanding community relationships           the stakeholders they serve. We            changes, we still saw more than
                                            provide opportunities to enhance                                                                                                    • Influences
and promoting awareness of career                                                      450,000 training courses completed.
opportunities at M&T among diverse          knowledge, boost performance               This equates to an average of 21 hours                                                   • Delivers results
talent pools, in particular in campus       and maximize positive impact.              logged on average per employee. This                                                     • Develops talent
environments.                               E-learning and in-person training          compares well to 2019, where the
                                                                                                                                                                                • Innovates
                                            are available via our learning and         average training hours per employee
Our Talent Acquisition Ambassadors                                                     were 24 hours.                                                                           • Grows value
spent 300 hours in 2020 advancing           development program Workday
diversity, equity and inclusion in myriad   Learning. Courses, classes and             Ongoing performance management
ways, including speaking on university      webinars cover personal and                Development doesn’t take place
and college panels, at community            professional development, leadership       just in classes and courses: it’s part
workshops and at conferences such as        skills, technical skills and specialized   of everyday work. We believe that
Black is Tech. They also attended virtual   options for specific roles. Our learning   ongoing performance management
career fairs; 71% of the fairs support      development program is geared to           helps staff excel in their roles while
individuals from diverse backgrounds.       identifying internal high potential        preparing them for next steps.
                                            talent from under-represented              The essential elements of
Through all of these partnerships           groups and accelerating their              performance management are
and programs, plus recruiting events        progression through training and           measurable goals based on our
and networking sessions, we have            sponsorship into leadership positions.     purpose and values; managers being
engaged with Asian American/Pacific                                                    required to provide ongoing, informal
Islander, Black, Latinx and LGBTQ+          We are proud that our Center for
                                            Learning and Development in Buffalo        assessment; and staff requesting
candidates, women, veterans and                                                        and giving feedback.
individuals with disabilities, as well      received a $4 million overhaul in 2018.
as other diverse groups.                    We pivoted to digital delivery in 2020

2020 Environmental, Social and Governance Report
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Introduction   Doing business       Bringing people       Working with          Protecting our         Using finance          Conclusion        SASB report
                                                       with integrity       together              our communities       environment            to drive change

 Bringing out the best in our people
 continued

                                                                        Supporting, motivating, and               These efforts to listen and learn from      • a confidential support program,
“To show their support for my boys,                                    empowering staff increases                our teams have resulted in consistently       online clinic courses and an
                                                                        engagement and productivity.              high levels of engagement and low
  each of my team members went out on                                   So those are the foundations of           levels of turnover. The average tenure
                                                                                                                                                                always-on behavioral health hotline
                                                                                                                                                              • contributions to retirement
  an Autism Walk in their neighborhood                                  our Manager Acceleration Program,         for staff at M&T is 10 years, compared
                                                                                                                                                                savings plans
  with their families and wore blue (which                              which offers comprehensive training       to an average of 4.8 years for financial
                                                                                                                                                              • online budget coaching
                                                                        for any employee moving into a            services2. We track engagement
  is the color we use in the Autism                                     managerial role. A science-based          through our regular Employee                • the Tuition Assistance Program
  Community to show support). They                                      approach to leadership is offered by      Engagement Surveys. In 2020, our              for financial training and certified
                                                                        the Precision Leadership® program.        employee willingness to recommend us          financial planning courses. In 2020,
  surprised me today with a picture                                     As a collaboration with the Aubrey        as an employer hit a high of 88%. This        201 employees benefited from
  during our team meeting. I’m so grateful                              Daniels International consultancy, this   compares to an overall banking industry       the program
  to have all of them on my team! This is                               training uses the science of behavior     average of 87%, according to employee

                                                                                                                                                              $1.5m
                                                                        to turn concepts into practices,          survey experts Perceptyx. Our staff
  one of the reasons I have stayed at M&T                               and those practices into effective        turnover also fell to a historic low of
  Bank. We have the best people!!”                                      leadership habits.                        8%, in part because of the pandemic.
                                                                        Supporting our people                     We believe that happy and healthy
                                                                                                                                                              provided to employees to reimburse
 Claudia Gamero                                                         For the past 20 years we have been        staff are key to exceptional customer
                                                                                                                                                              tuition costs
 Senior Sales Strategy Manager                                          conducting employee engagement            experience and value creation.
                                                                        surveys. We carefully analyze the         We support our colleagues’ well-being
                                                                                                                                                        Keeping our people safe in 2020
                                                                        results and plan actions to improve       with the following benefits:
                                                                                                                                                        Ensuring the health of our employees
                                                                        our people’s experience. This
                                                                                                                  • a medical plan, supported by        and our customers is always our top
                                                                        covers all our team members from
                                                                        executive management through                concierge vendors to help employees priority. At the start of the COVID-19
                                                                                                                    navigate healthcare challenges      pandemic, we acted swiftly. In less
                                                                        to frontline employees. Examples
                                                                                                                  • paid time off, ranging from 15 to   than one week, we rapidly shifted 85%
                                                                        of action over the past few years
                                                                                                                    30 days, depending on job grade     of the workforce to a remote working
                                                                        include launching an initiative on
                                                                                                                    and length of service               environment and began the process
                                                                        job architecture to evaluate and
                                                                                                                                                        of outfitting our essential on-site
                                                                        normalize compensation, developing        • 12 weeks of paid parental leave,
                                                                                                                                                        employees with protective equipment.
                                                                        an equitable Parental Leave policy and      with job reinstatement protection
                                                                        adapting our Paid Time Off benefit.         on return. M&T also offers break
                                                                                                                    time and private rooms for          2 According to the Bureau of Labor statistics.
                                                                                                                    nursing mothers
 2020 Environmental, Social and Governance Report
  Name                                                                                                                                                                                            18
  Occupation
Introduction          Doing business     Bringing people     Working with          Protecting our        Using finance        Conclusion       SASB report
                                                                     with integrity     together            our communities       environment           to drive change

Bringing out the best in our people
continued

During the pandemic, our approach           Learning and Development created                                                          These motivations are at the          It’s focused on people who are
has been to proactively protect and         remote-ready learning courses, while                                                      heart of our thriving Tech            unemployed or underemployed
support staff, while ensuring we            flexibility around scheduling helped                                                      Academy program. Its purpose          due to COVID-19, who are
are listening to their concerns and         those juggling care and working                      Nurturing tech talent                is threefold: to upskill or reskill   entry-level and need to upskill,
responding accordingly – in particular      commitments.                                         at the Tech Academy                  tech professionals; to increase       or who are from underserved
by taking weekly ‘pulse’ surveys. These                                                                                               the technical literacy of our         segments of our communities.
helped to regularly touch base with         Adjustments were made to pay and                     The way customers engage with        workforce; and to nurture new         We’ve already enrolled
our employees to see how they were          benefits with additional paid time off,              financial organizations like M&T     talent from non-traditional           nearly 500 people.
doing and to get feedback on how to         and extensions on the time available                 is being transformed through         backgrounds.
help them feel safe and stay healthy        to use carried-over paid time off.                   technology innovation. In this                                             Candidates from nontraditional
throughout the crisis.                      A temporary 15% pay premium was                      fast-moving world, technology        In 2020, acutely aware of the         backgrounds are the focus
                                            introduced for those working on-site.                skills, experience and expertise     negative impacts of COVID-19          of our other exciting project:
As a result of this feedback, we were       Medical benefits were enhanced to                    are key to ensure that we offer      on employment opportunities,          The Z Development Program
able to change practices to meet            cover COVID-19 diagnostic testing                    the best service, where and          we focused on free learning           Apprenticeship. Focused
the needs of both staff and our             and time off for vaccinations, as well               when the customer wants it.          resources, instructor-led virtual     on building talent for the
customers. We improved working              as stress and mental health support.                 To stay at the forefront of this     courses and remote immersive          Z platform, this collaboration
from home systems and created               Free membership to Care@Work was                     change, it’s crucial we’re able to   courses for those economically        with IBM® and Franklin
better tools and resources to support       provided to help working families                    bring in the best and brightest      impacted by the pandemic.             Apprenticeships® trains
employees with a dedicated New              at home access support for caring                    tech talent, and enhance             We also established the Tech          mainframe developers and
Normal Playbook and New Normal              responsibilities, we sent high quality               the skills base of our current       Learns Teams page as a forum          system programmers via
Hub. We supported employees with            face masks to all employees and                      colleagues.                          where our people can learn not        12 months of virtual classes
wellness resources, conducting              we waived on-site parking fees.                                                           just from experts, but from           and on-the-job mentoring. Ten
a monthly webinar series called                                                                  Perpetually upskilling our people    each other.                           apprentices are participating in
Balancing Your Personal and                 On-site, we modified our delivery                    helps us retain our competitive                                            its first phase.
Professional Life.                          models to improve safety, including                  edge and we also realize             That cooperative spirit drives
                                            adjusted opening hours, drive ups, ATM               that providing technological         the Tech Academy, and it’s given
We created access to our network            and appointment only options. When                   opportunities to those from          rise to two exciting projects.
through secured virtual private networks,   we started a phased re-opening on July               non-traditional backgrounds can      The WNY Tech Skills Initiative –
ensured staff had office equipment.         20, we made mask wearing mandatory                   transform careers and lives.         a collaboration with regional
DocuSign, e-sign capabilities and virtual   in common areas. We installed social                                                      stakeholders and industry
notaries were introduced.                   distancing barriers, increased janitorial                                                 partners such as General
                                            and cleaning services in all buildings                                                    Assembly – is a free,
                                            and branches, and arranged weekly                                                         community-facing program.
                                            PPE and care package deliveries.
2020 Environmental, Social and Governance Report
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Introduction          Doing business        Bringing people       Working with          Protecting our         Using finance       Conclusion         SASB report
                                                                                 with integrity        together              our communities       environment            to drive change

Creating an environment where everyone belongs

Deepening diversity                                     • We aim to have diverse leadership        Initiatives include sponsorship and       We’ve made considerable investments            “At M&T Bank, our Diversity
Visible change is the aim of our                          pipelines at all levels that reflect     mentorship programs, unconscious          in our compensation programs over                Equity and Inclusion 2025
diversity, equity and inclusion                           our broader employee base and            bias training, hiring and promotion       the last few years, including increasing
strategy, driven by the voices of our                     those we serve.                          programs, product and service             our minimum pay rates to $15-18 per              Vision, launched in 2020,
people. Those voices were key to                                                                   development, journey mapping the          hour in 2020, depending on geography,            focuses our efforts around
                                                        To promote a diverse, equitable and
helping us develop our strategy:                                                                   unique experiences of our diverse         twice updating our salary ranges to              three major themes. Creating
                                                        inclusive environment, our Diversity       talent and many more.                     more accurately reflect the market,
• We want to be the bank of choice                      and Inclusion office, led by our Chief                                                                                                an ecosystem where our
                                                                                                                                             and rearchitecting our jobs so that they
  for diverse customers in the                          Diversity Officer, works across the        A key initiative to increase diversity    more precisely articulate the valuable
                                                                                                                                                                                              colleagues and communities:
  communities we serve                                  organization to engage the hundreds        in our leadership is our Rising Leaders   work performed by our colleagues –
• We want our colleagues to truly                       of passionate employees leading            Development Program. The 11-month                                                        •	Can see themselves
                                                                                                                                             resulting in an off-cycle pay increase
  feel like they belong and can be                      change initiatives.                        program seeks high potential diverse      for 7,200 of our colleagues.                      at every level of the
  their authentic selves at work                                                                   candidates to accelerate their careers                                                      organization.
                                                                                                   through skills building, networking,      Pay equity
                                                                                                   mentorship and exposure to                At M&T, we are committed to fair and           •	Are encouraged and
Gender diversity at M&T in 2020                         Ethnic diversity at M&T in 2020            leadership. The benefits continue         equitable pay practices – it is simply            supported to be their best
(Female %)                                              (People of color %)                        long after the program has finished,      the right thing to do. We maintain pay            authentic selves.
                                                                                                   as a strong and vibrant alumni network    guidelines and compensation programs
                                                                                                   drives change across the bank. Since      – such as market-based salary ranges,          •	Are empowered to help
                                                                                                   its launch in 2014, 273 people have       promotional and lateral guidelines and            build, develop and lead
                                                                                                   participated.                             annual compensation cycles with multiple
                                                                                                                                             leadership reviews embedded within the            us to being the bank of
                                                                                                   Committed to fair pay                     process – to help ensure employees are            choice FOR each and every
                                                                                                   and equal opportunities                   paid appropriately for their job.                 one of the many diverse
                                                                                                   Our compensation philosophy
                                                                                                   includes elements designed to             The process does not stop there – we              communities we serve.”
                                                                                                   reinforce our purpose and values,         regularly conduct pay evaluations to
                                                                                                   engage our colleagues and maximize        identify outliers, making adjustments           Glenn Jackson
                                                                                                   long-term organizational performance.     where warranted to address disparities.         Chief Diversity Officer
   Executive                Professional: 51%           
                                                          Executive           Professional: 19%
    management: 21%                                       management: 6%                           We employ various governance tactics
                                                                                                   to ensure that our colleagues are paid    We are familiar with the regulatory
   Non-executive            All other                   Non-executive      All other
    management: 49%           employees: 71%               management: 14%     employees: 29%      fairly based on the job that they hold    landscape and are continuously tracking
                                                                                                   and their performance in that role.       developments in the field that will guide
Categories based on the EEOC job classification guide                                                                                        our path forward in this critical area.

2020 Environmental, Social and Governance Report
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