GRI index

1 (R7-R8)

Statement of use

About this Sustainability Report | Reporting standards About this Sustainability Report | Period covered and frequency of reporting

LUKB has reported in accordance with the GRI Standards for the period from 1 January 2025 to 31 December 2025.

1 (R7)

GRI 1 used

GRI 1: Foundation 2021

1 (R7)

Applicable GRI sector standards

None

1 (R7)

List of material topics

Approach and areas of focus

LUKB has identified the following topics as material:

• Customer satisfaction
• Economic performance and shareholder value
• Digitisation, information security, data protection and privacy
• Business ethics and compliance
• Investing: Investment policy, advice, and products
• Lending: Credit policy, advice, and products
• Employer responsibility and attractiveness
• Commitment to the region
• Relations with suppliers and partners
• Greenhouse gas emissions and climate protection

2-1

Organisational details

Annual Report | Corporate Governance

• Legal name of the organisation: Luzerner Kantonalbank AG
• Legal form: Public limited company under private law pursuant to Article 620 et seqq. CO
• Ownership structure: 38.5 % of the shares float freely, 61.5 % are owned by the canton of Lucerne.
• Headquarters: Pilatusstrasse 12, 6003 Lucerne, Switzerland
• Countries where the organisation operates: LUKB's branches are all in Switzerland: 22 locations in the canton of Lucerne, 1 in Zurich and 2 sales offices in French- and Italian-speaking Switzerland (Lausanne and Lugano). In line with LUKB's basic strategy, we generally approach relationships with clients domiciled abroad on a reactive basis.

2-2

Entities included in the organisation's sustainability reporting

About this Sustainability Report | System limits Annual Report | Corporate Governance

2-3

Reporting period, frequency and point of contact

About this Sustainability Report | Period covered and frequency of reporting About this Sustainability Report | Contact

2-4

Restatements of information

About this Sustainability Report | Corrections and restatements of information

2-6

Activities, value chain and other business relationships

Annual Report | About LUKB Annual Report | Annual Review

Industry: Banks (GICS Industry Code 401010) Activities, products, services: Distribution of banking products and provision of financial services as a full-service bank. LUKB's core business includes real estate and corporate finance, pensions, asset management and advisory services. It has 23 branches (22 in the canton of Lucerne, 1 in Zurich). Many LUKB services can also be accessed 24/7 via lukb.ch and the LUKB app. Value chain: In order to provide its services, LUKB procures a range of products and services from external suppliers and partners, primarily:

• Information and communication technology (ICT) products and services
• Services for processing payments
• Financial market data/information
• Securities administration services
• Rental of business premises and building maintenance services and products

Other relevant business relationships/network partners: cf. Annual Report | About LUKB Significant changes in activities, in the value chain and in relevant business relationships: no material changes during the reporting period

2-7

Employees

Employer responsibility and attractiveness | Number of employees

Definitions used by LUKB:

• ‘Employees’: Staff in an employment relationship with LUKB
• ‘Permanent employees’: Staff with permanent contracts
• ‘Temporary employees’: Staff with fixed-term contracts
• ‘Employees with non-guaranteed working hours’: Staff with non-guaranteed working hours
• ‘Full-time employees’: Full-time staff
• ‘Part-time employees’: Part-time staff

There were no significant fluctuations in the number of staff during the reporting period or between the reporting periods.

2-9

Governance structure and composition

Annual Report | Corporate Governance | Board of Directors Managing sustainability | Organisation/governance

2-10

Nomination and selection of the highest governance body

Annual Report | Corporate Governance | Board of Directors

2-11

Chair of the highest governance body

Annual Report | Corporate Governance | Board of Directors

2-12

Role of the highest governance body in overseeing the management of impacts

Annual Report | Corporate Governance | Board of Directors Annual Report | Group Financial Report | Consolidated notes Managing sustainability | Organisation/governance | Board of Directors Approach and areas of focus

In the interests of responsible and successful corporate governance, all management functions at LUKB, including the Board of Directors, always address the changing needs of their stakeholders. LUKB is committed to transparent communication and regular and close exchange with all stakeholders. The role of stakeholders and engagement and dialogue with them is discussed in the section «Approach and areas of focus».

2-13

Delegation of responsibility for managing impacts

Managing sustainability | Organisation/governance

2-14

Role of the highest governance body in sustainability reporting

Managing sustainability | Organisation/governance

2-15

Conflicts of interest

Business ethics and compliance | Avoiding conflicts of interest

2-16

Communication of critical concerns

Business ethics and compliance | Critical concerns

2-17

Collective knowledge of the highest governance body

Managing sustainability | Organisation/governance

2-18

Evaluation of the performance of the highest governance body

Annual Report | Corporate Governance | Board of Directors

2-20

Process for determining remuneration

Annual Report | Compensation Report Act and Articles of Association (‘Gesetz und Statuten’): https://lukb.ch/english-window Agenda items, minutes of resolutions and outcome of the Annual General Meetings (in German): https://www.lukb.ch/ueber-uns/investoren/generalversammlung

Compensation of the Board of Directors and Executive Board: Art. 21 of the Articles of LUKB determines the key components of the compensation of the Board of Directors, while Art. 24 of the Articles covers the key points of the compensation and employment conditions of members of the Executive Board. These articles also stipulate that the AGM approves, on the proposal of the Board of Directors, the total compensation to be paid to the Board of Directors for the period since the last General Meeting, the fixed compensation to be paid to the Executive Board for the current financial year and the variable compensation to be paid to the Executive Board for the past financial year. The compensation policy and the procedure for determining compensation are described in the Compensation Report of LUKB. The agenda items, minutes of resolutions and outcome of the Annual General Meetings, including the results of votes on the individual agenda items relating to compensation, are published on the LUKB website. Compensation of other employees: The LUKB Board of Directors is responsible for Group-wide compensation policy and systems. Annual compensation (including base salary adjustments and variable pay) is approved by the Personnel and Compensation Committee of the Board of Directors.

2-22

Statement on sustainable development strategy

Foreword Principles: commitment to responsible action | Sustainability strategy Approach and areas of focus

2-23

Policy commitments

Managing sustainability | Organisation/governance LUKB reference framework: Principles: Commitment to responsible action Memberships and initiatives: Managing sustainability | Memberships and initiatives LUKB Code of Conduct: https://lukb.ch/english-window Procurement and waste disposal, LUKB Supplier Code: https://lukb.ch/english-window Commitment to the net-zero target for 2050 and the net-zero interim target for Scope 1 and 2 in 2030: Greenhouse gas emissions and climate protection

2-24

Embedding policy commitments

Responsibilities for implementation: Managing sustainability | Organisation/governance Business ethics and compliance LUKB Code of Conduct: https://lukb.ch/english-window Procurement: Other topics | Procurement and waste disposal Training: Employer responsibility and attractiveness | Sustainability training Employer responsibility and attractiveness | Training in responsible advisory and sales practices

2-25

Processes to remediate adverse impacts

Business ethics and compliance | Critical concerns

2-26

Mechanisms for seeking advice and raising concerns

About this Sustainability Report | Contact Managing sustainability | Organisation/governance | Sustainability Office Business ethics and compliance | Critical concerns

2-27

Compliance with laws and regulations

Restrictions imposed by a duty of confidentiality: Significant breaches of laws and ordinances that must be published under stock exchange rules are made public via the designated publication channels. No reportable events had to be published in the reporting year.

2-29

Approach to stakeholder engagement

Approach and areas of focus

2-30

Collective bargaining agreements

There are no workers or employees in the entire LUKB Group who are subject to a collective bargaining agreement. LUKB's employment conditions are subject to the Agreement on Conditions of Employment for Bank Employees (VAB). The VAB stipulates a number of provisions that must be in the employment contract. These include, for example, provisions on duties of loyalty, working hours, holidays, salary and continued payment of salary. It also governs the co-determination of individual employees, employee representatives (staff committees) and social partners, as well as the procedures for bank closures and redundancies. The VAB applies to all of LUKB's employment contracts with a term of over three months, with the exception of those for members of the Executive Board and the Board of Directors. The VAB is supported by social partners the Swiss Bank Employees Association, Arbeitgeber Banken (the banking employers' association) and the Swiss Association of Commercial Employees.

3-1

Process for determining material topics

Approach and areas of focus | Material topics

3-2

List of material topics

Approach and areas of focus | Material topics

3-3

Management of material topics

Approach and areas of focus | Material topics

See the explanations on each material topic in this sustainability report

3-3

Management of material topics

Economic performance and shareholder value

201-1

Direct economic value generated and distributed

Economic performance and shareholder value | Value creation

201-2

Financial implications and other risks and opportunities due to climate change

Greenhouse gas emissions and climate protection | Risks and opportunities

3-3

Management of material topics

Digitalisation, information security, data protection and privacy

418-1

Substantiated complaints concerning breaches of customer privacy and loss of customer data

Digitalisation, information security, data protection and privacy | Data protection

3-3

Management of material topics

Business ethics and compliance

205-1

Operations assessed for risks related to corruption

Business ethics and compliance | Compliance management Business ethics and compliance | Combating market abuse and corruption

205-2

Communication and training on anti-corruption policies and procedures

Business ethics and compliance

205-3

Confirmed incidents of corruption and actions taken

Restrictions imposed by a duty of confidentiality: Significant breaches of laws and ordinances that must be published under stock exchange rules are made public via the designated publication channels. No reportable events had to be published in the reporting year.

206-1

Legal actions for anti-competitive behaviour, anti-trust and monopoly practices

Restrictions imposed by a duty of confidentiality: Significant breaches of laws and ordinances that must be published under stock exchange rules are made public via the designated publication channels. No reportable events had to be published in the reporting year.

3-3

Management of material topics

Employer responsibility and attractiveness

401-1

New employee hires and employee turnover

Employer responsibility and attractiveness | Employee turnover

401-2

Benefits provided to full-time employees that are not provided to temporary or part-time employees

Siehe Kommentar

Employees are granted the usual company benefits. The same rules apply to part-time employees as to full-time employees. Employees with fixed-term contracts of less than 12 months do not receive preferential terms on mortgages.

401-3

Parental leave

Employer responsibility and attractiveness | Parental leave

402-1

Minimum notice periods for operational changes

Siehe Kommentar

LUKB informs its employees as early as possible of significant operational changes, such as adjustments to the organisational structure. For contractual changes, the notice periods set out in the contractual agreements are adhered to at a minimum.

403-1

Occupational health and safety management system

Employer responsibility and attractiveness | Occupational health and safety

403-2

Hazard identification, risk assessment and incident investigation

Employer responsibility and attractiveness | Occupational health and safety

403-3

Occupational health services

Employer responsibility and attractiveness | Occupational health and safety

403-4

Employee participation, consultation and communication on occupational health and safety

Employer responsibility and attractiveness | Occupational health and safety

Due to its low importance, there are no specific occupational health and safety committees. The LUKB Personalverein (staff association) represents the interests of employees on these matters vis-à-vis LUKB's management bodies.

403-5

Employee training on occupational health and safety

Employer responsibility and attractiveness | Occupational health and safety

403-6

Promotion of employee health

Employer responsibility and attractiveness | Occupational health and safety

403-8

Employees covered by an occupational health and safety management system

Employer responsibility and attractiveness | Occupational health and safety

External staff (i.e. those who are not employees but whose work and/or workplace is controlled by LUKB, see GRI 2-8) are not covered by occupational health management (OHM). However, these workers are covered by LUKB's management system for occupational safety.

403-9

Work-related injuries

Employer responsibility and attractiveness | Illness and accidents

403-10

Work-related illnesses

Employer responsibility and attractiveness | Illness and accidents

404-1

Average hours of training per year per employee

Employer responsibility and attractiveness | Training and education

404-2

Programmes for upgrading employee skills and transition assistance programmes

Employer responsibility and attractiveness | Training and education

404-3

Percentage of employees receiving regular performance and career development reviews

Employer responsibility and attractiveness | Employee development

405-1

Diversity of governance bodies and employees

Employer responsibility and attractiveness | Diversity

405-2

Ratio of basic salary and remuneration of women to men

Employer responsibility and attractiveness | Equal pay

406-1

Incidents of discrimination and corrective actions taken

Siehe Kommentar

LUKB is not aware of any incidents of discrimination in the reporting period.

3-3

Management of material topics

Relations with suppliers and partners

204-1

Proportion of spending on local suppliers

Relations with suppliers and partners | Status in 2025

3-3

Management of material topics

Greenhouse gas emissions and climate protection

302-1

Energy consumption within the organisation

Greenhouse gas emissions and climate protection | Measure 2.1.1: Reduce energy consumption both at company level and per employee

Table ‘Energy consumption in business operations’

302-2

Energy consumption outside the organisation

Greenhouse gas emissions and climate protection | Measure 2.1.1: Reduce energy consumption both at company level and per employee

Table ‘Energy consumption – leased space’. This takes account of the heating and cooling energy consumption of leased space. The electricity consumption of leased space is not recorded, as tenants are responsible for purchasing their own electricity and it is outside LUKB's operational control.

302-3

Energy intensity

Greenhouse gas emissions and climate protection | Measure 2.1.1: Reduce energy consumption both at company level and per employee

302-4

Reduction of energy consumption

Greenhouse gas emissions and climate protection | Action areas and measures

305-1

Direct (Scope 1) GHG emissions

Greenhouse gas emissions and climate protection | Scope 1 and Scope 2 GHG emissions

305-2

Energy indirect (Scope 2) GHG emissions

Greenhouse gas emissions and climate protection | Scope 1 and Scope 2 GHG emissions

305-3

Other indirect (Scope 3) GHG emissions

Greenhouse gas emissions and climate protection | Scope 3 greenhouse gas emissions Greenhouse gas emissions and climate protection | Scope 3 greenhouse gas emissions - financed emissions

305-4

GHG emissions intensity

Greenhouse gas emissions and climate protection | Scope 1 and Scope 2 GHG emissions Greenhouse gas emissions and climate protection | Scope 3 greenhouse gas emissions Greenhouse gas emissions and climate protection | Scope 3 greenhouse gas emissions - financed emissions

305-5

Reduction of GHG emissions

Greenhouse gas emissions and climate protection

301-1

Materials used by weight or volume

Other topics | Procurement and waste disposal | Consumption of supplies

301-2

Recycled input materials used

Other topics | Procurement and waste disposal | Consumption of supplies

303-1

Interactions with water as a shared resource

Other topics | Procurement and waste disposal | Water

303-5

Water consumption

Other topics | Procurement and waste disposal | Water

306-1

Waste generation and significant waste-related impacts

Other topics | Procurement and waste disposal | Waste

306-3

Waste generated

Other topics | Procurement and waste disposal | Waste

306-4

Waste diverted from disposal

Other topics | Procurement and waste disposal | Waste

306-5

Waste sent for disposal

Other topics | Procurement and waste disposal | Waste