The Sustainability Report relates to the operations and Partners of Co-operative Financial services (CFS). CFS, formed in 2002, is an Industrial and Provident society, and the holding company for Co-operative Insurance Society (CIS), The Co-operative Bank plc and its internet bank, smile.

This CFS Sustainability Report has been prepared in accordance with the Global Reporting Initiative’s (GRI) 2002 Sustainability Reporting Guidelines, which provide a globally recognised framework for reporting on an organisation’s economic, social and environmental performance.

The data and commentary in this report is assured by justassurance in accordance with the AA1000 Assurance Standard. This requires the report to be considered in relation to the principles of completeness, materiality and responsiveness.

This is the third year CFS has produced a Sustainability Report. Prior to 2003, CIS and the Bank reported separately on their social and environmental performance. Previous reports relating to CIS’ and the Bank’s sustainability activities can be found at www.cfs.co.uk/sustainability2004, www.cfs.co.uk/sustainability2003, www.cis.co.uk and www.co-operativebank.co.uk respectively (these links open a new window).

Unless otherwise stated, performance relates to the calendar year 2005. Where significant, material events have occurred in the early part of 2006, these are also commented on. Additional guidance on the Report’s structure and definitions used is found on page 8. Any queries regarding the Report should be directed to Jayne Beer, Sustainability Reporting Manager (jayne.beer@co-op.co.uk).