How should minor subsidiaries be treated in SASB reporting?

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In SASB reporting the focus is on materiality and the boundary you’ve set for what to include. If a subsidiary is immaterial to the boundary or to the company’s overall materiality, it can be excluded from the standard disclosures. But that exclusion must be transparent: you should disclose how the boundary was determined and which entities were excluded and why. This keeps readers informed about what was considered part of the report and the rationale behind that scope.

Including every subsidiary regardless of materiality would blur the line between material and non-material impacts, making the disclosures less meaningful. Excluding without any disclosure would hide how the boundary was defined, reducing transparency. Limiting the scope only to subsidiaries in regulated industries isn’t how SASB framing works, since the focus is on material sustainability impacts across the boundary regardless of regulatory status.