Portfolio optimization: • Completed two transactions in 2022 to reinsure over 80% of our legacy U.S. variable annuity block and released $2.45 billion of capital, significantly reducing our risk, and creating a cumulative one-time 2 after-tax net gain of $806 million • Delivered a total of $9 billion of cumulative capital benefits since 2018 3 • Our long term care (LTC) and variable annuity core earnings contribution reduced to 18%, compared with 25% in 20204 High performing team: 5 • Ranked in the top 6th percentile amongst global financial services and insurance companies on our 2022 employee engagement survey, up from top 14th percentile in 2021 ESG • Recognized as one of the World’s Best Employers by Forbes for the third consecutive year ESG • Named to Bloomberg’s 2022 Gender-Equality Index for the fourth consecutive year, highlighting our commitment to support gender equality through policy development, representation, and transparency ESG ESG: • Achieved net zero operational scope 1 and scope 2 greenhouse gas emissions. Our S&P Dow Jones Sustainability Index score improved by 10 points (Top 10% of our industry peers globally) and received AA MSCI ESG Rating ESG • Established interim science-aligned financed emissions targets within our General Account investment portfolio. Targets will be published in Manulife’s 2022 ESG Report in the second quarter of 2023 ESG • Launched the Global Climate Action Strategy in Europe and Asia, and the Manulife Forest Climate strategy in the U.S., which will promote climate change mitigation by investing in sustainably managed forests that prioritize carbon sequestration ESG For more information about core earnings, assets under management and administration, NBV, and net flows, see Non-GAAP and other financial measures on page 57. For more information about our financial results and our progress on our strategic priorities, please see our 2022 annual report at manulife.com. 2 Consists of a net gain of $846 million in 2022 and a $40 million loss recognized in 2021. 3 Includes core earnings from U.S. long term care and Asia, Canada, and U.S. variable annuities businesses. 4 2020 impact normalized for COVID-19-related LTC gains and $400 million of core investment gains. For the reconciliation of 2020 core earnings see “Non-GAAP and Other Financial Measures” in our 2022 Management’s Discussions and Analysis, which is incorporated by reference. 5 Percentile ranking based on the Gallup global financial services and insurance database. About the equity-based incentives We grant a competitive mix of equity-based incentives every year, which may include restricted share units (RSUs), performance share units (PSUs) and stock options depending on the officer’s position. The proportion of equity-based incentives allocated to performance share units and restricted share units remained the same as the previous year. Stock options have not been granted since 2020. Heads of control functions do not receive performance share units, to ensure their compensation is not tied to the performance of businesses they oversee. The table below shows the mix of equity-based incentives for 2022 and 2023. PSUs RSUs Stock options Chief Executive Officer 60% 40% 0% Other named executives 60% 40% 0% Chief Risk Officer, Chief Actuary, Global Compliance Chief, Chief Auditor 0% 100% 0% 60 Manulife Financial Corporation