Consistent with our strategic corridors, we are placing sustainability at the heart of our organization.

Place Sustainability at the Heart of Our Organization

Starting from within by setting an example and involving our whole organization—across all of the different areas—we integrate sustainability as a strategic pillar that guides our business decisions to continuously create economic, social, and environmental value for our stakeholders.

Working together, we are tackling sustainability challenges in a holistic way—including our people, communities, and transforming operations—on issues such as climate change, water stewardship, circular economy, safety, and community development.

Today, Coca-Cola FEMSA is the largest bottler in terms of sales volume in the entire Coca-Cola System. Without a doubt, this is reflected in the great operational, economic, social, and environmental footprint that we have created from operating throughout nine countries across Latin America.

At Coca-Cola FEMSA, we recognize the great responsibility that comes from the role we play within this ecosystem. That is why we view sustainability as an interrelated system in which every action directly impacts the environment and our society.

We recognize that we can only deal with the internal and external challenges we face through cooperative, equitable, and solid local and international alliances, like UN Women, Inter-American Development Bank and The Global Compact, among others. In this way, our extensive footprint gives us the power to improve socioeconomic and environmental conditions for current and future generations.

Aligned with our company’s strategy, our senior leadership team recently defined six strategic corridors. One of these strategic corridors is to place sustainability at the heart of our organization. Across this strategic corridor, our renewed focus on sustainability seeks to tackle issues that the company depends on in a holistic way, starting from within by setting an example and involving our entire value chain.

CLIMATE ACTION

At Coca-Cola FEMSA, we recognize that climate change is a real, and imminent threat, and we are convinced that a science-based, multi-stakeholder effort is required to address this urgent matter that concerns us all.

Consequently, in 2020, we became the first Mexican company and the third in Latin America to achieve the official approval of our emissions reduction targets by the Science Based Target initiative (SBTi), aligned with the goal of the 2015 Paris Agreement to limit global warming to well below 2°C above pre-industrial levels. Accordingly, our new 2030 commitments (compared with the 2015 baseline) are:

SCIENCE BASED TARGETS INITIATIVE (SBTi)

In June 2020, Coca-Cola FEMSA became the first Mexican company and the third in Latin America to obtain approval from the Science Based Targets initiative (SBTi) for its emissions reduction goals.

Performance on SBTi1

  • Reduce 50% absolute GHG emissions from our operations (scope 1 and 2) by 2030 compared with a 2015 baseline year.

2030

28%

50%

  • Achieve 100% renewable electricity for our operations.

2030

53%

100%

  • Reduce 20% absolute GHG emissions from the value chain by 2030 compared with a 2015 baseline year.

2030

14%

20%

Our absolute emissions targets decouple business growth from GHG emissions. We thereby ensure that, no matter the overall size of our business in 2030, we will make our operations, along with the entire value chain, less carbon intensive than our 2015 baseline.

  1. Performance reflects all of our operations and is calculated based on SBTi.

Consistent with our Climate Action Strategy, we have defined several initiatives to meet our emissions reduction goals. Among the most important initiatives, we worked along with our primary goods and packaging suppliers to reduce their emissions. We will also continue to lighten the weight of our packages and utilize a greater percentage of recycled resin (rPET); increase the energy efficiency of our plants and distribution centers; move our operations to renewable energy sources; focus on sustainable mobility, replacing our secondary trucks and utility vehicles with electric vehicles; and improve the management of refrigerant gases in our sales equipment.

Energy Efficiency, Clean Energy & Emissions Reduction

We strive for energy efficiency across our value chain. We further integrate clean sources of energy and technologies to reduce our GHG emissions—thus contributing to climate change mitigation. Our operations’ energy consumption focuses on a comprehensive strategy that encompasses our value chain.

Clean Energy in Manufacturing

29%
2016
38%
2017
52%
2018
77%
2019
80%
2020
85%
2021

Liters of beverage produced per MJ

4.17
2015
5.66
2021

At the end of 2021, we supplied 85% of the electricity used in our bottling plants with energy from clean sources. We used clean sources of energy for our manufacturing operations in Argentina, Brazil, Colombia, Costa Rica, Guatemala, Mexico, and Panama.

We further aim to improve the energy efficiency of our manufacturing operations, while simultaneously reducing our GHG emissions. To improve our plants’ energy efficiency, we have implemented multiple strategic initiatives:

  • Energy Training – We provide annual training to all of our energy managers in every division, as well as all of the operators of each of our work centers.
  • Energy Assessments – We conduct annual energy assessments to support our operations in Argentina, Brazil, Central America, Colombia, and Mexico.
  • Steam Standard – We focus on the utilization of steam produced in our plants to reduce consumption, ensure safe use, recover steam condensate, and increase the life of our assets.
  • Top 20 Energy Efficiency Strategies – We implement key energy efficiency strategies to minimize each of our plants’ energy consumption.

From 2015 to 2021, we increased our energy efficiency by 1.35 times. We also reduced our energy consumption by 44 million MJ year over year, and we have invested US$16.8 million in energy efficiency.

Manufacturing CO2e emissions

Value chain CO2e emissions

Sustainable MOBILITY

Through our Sustainable Mobility Strategy, we aim to reduce the impact of our fleet on the CO2 emissions of our supply chain (including primary and secondary distribution trucks), and to position ourselves as an industry leader in Latin America in terms of vehicle efficiency, environmental stewardship, and safety.

Aligned with this strategy, our 2030 projects are to:

  • Integrate 45% commercial electric vehicles in our fleet
  • Achieve a 25% increase in efficiency in fuel consumption (MJ)/kilometers of distance covered (Km)

During the year, we continued to execute route optimization strategies to maximize overall vehicle efficiency. With the deployment of KOF Digital Distribution 1.0 platform in Argentina, Brazil, Colombia, Central America, Mexico, and Uruguay, we installed vehicle telemetry systems on 80% of our primary and secondary distribution fleet. Thanks to each truck’s telemetry data—together with the functionality of our mobile delivery devices—we enjoy the ability to identify and correct deviations in distribution route execution versus our route plan. This equipment also enables us to analyze route execution patterns in order to identify an optimal combination of variables to improve our route planning process. As a result, we optimize our fleet’s usage and improve key road safety indicators, while reducing fuel consumption and CO₂ emissions. Indeed, we’ve developed a standardized KPI for fuel use efficiency that will enable us to perform internal benchmarks to improve this indicator moving forward.

Moreover, with the deployment of dynamic routing across our secondary distribution fleet in Brazil, Colombia, and Mexico, we enjoy the flexibility to plan vehicles’ routes on a daily, weekly, and monthly basis, thereby optimizing available fleet resources and distances traveled to serve our customers.

EXPANDING ELECTRIC VEHICLE FLEET

This year, we expanded our fleet of electric vehicles by over 30% to 421 vehicles. We also significantly expanded our supplier base for electric vehicles in the Latin America region to eight leading global suppliers, working with them to develop electric units that meet the bottling industry’s specifications.

Through our sustainable mobility community, we’re working to align the electric vehicle strategy followed across our operations. Within this community, we developed and deployed a total cost of ownership (TCO) and scenarios analysis tool. Moreover, to further align our operations, we developed a standardized protocol to test new electric vehicle technologies—with a standard fuel efficiency KPI to measure fuel consumption by country—to reinforce and improve our migration to electric vehicles. Thanks to these and other initiatives, we’re confident that we will transition our fleet to 45% of electric vehicles by 2030.

Additionally, we leveraged our secondary fleet substitution program in Mexico, Brazil, and Colombia, where we maintain the largest volume of delivery trucks. This year, we invested in 100 new electric vehicles to reach a total of 421 vehicles. Additionally, through our sustainable mobility community, we have been working to align the strategy followed across the different countries. Within this community, we developed an economic-operational feasibility analysis, as well as an analysis of the market conditions and availability of electric vehicles in Latin America.

Over the past five years, we’ve substituted our fleet with new vehicles that meet higher emissions reduction standards. Currently, we’ve 2,934 trucks throughout these operations’ secondary and primary fleet with EPA and Euro V Certification. Thanks to this program, we reduced our fuel consumption, emissions, and maintenance costs, and we reinforced our commitment to eco-efficiency with local environmental authorities.

Through our self-regulation program in the Valley of Mexico, we commit to minimize the local delivery fleet’s emissions through key initiatives, including an efficient maintenance process and ongoing fleet substitution program, fostering our social license to operate.

80%
of our Brazilian operation’s utility vehicles use cleaner, lower emission ethanol biofuel.

WATER STEWARDSHIP

Water is an essential ingredient in the production of our beverages. Therefore, we are committed to ensuring the efficient use of this natural resource in our bottling operations and returning to the environment more water than we take to produce our beverages, while safeguarding this resource not only for the benefit of our company, but also for the access and the enjoyment of our communities and planet now and into the future.

COCA-COLA FEMSA PLACES FIRST SUSTAINABILITY-LINKED BONDS IN MEXICO

In September, 2021, we placed the first sustainability-linked bonds in the Mexican market for a total of Ps. 9,400 million (US$470 million). Recognizing that water is not only an invaluable resource for our company and industry, but also an indispensable element of resilience to climate change, we are focusing this first issuance on the sustainable and efficient use of water. Specifically, as part of these bonds, we are committed to the achievement of a water use ratio of 1.36 by 2024 and 1.26 by 2026.

Consistent with this commitment, we have established a comprehensive water strategy, founded on three pillars:

  1. Efficiency in water use at our plants
  2. Facilitating access to water and sanitation in our communities
  3. Replenishment and water funds.

Aligned with this strategy, our goals and key performance indicators are to:

  • Achieve a water use ratio of 1.26 liters of water per liter of beverage produced by 2026 (total Coca-Cola FEMSA)
  • Replenish more than 100% of the water utilized to produce beverages across our bottling operations, focusing on those determined to have high hydrological stress
  • Conduct a yearly water risk analysis in each plant, including identifying the social risks associated with water
  • Create mitigation and adaption plans in each operation, community or watershed in which we identify some risk

Efficiency

  • Reduce, reuse, and track the water used in the operation (lt water/lt beverage).

2026

1.47

1.26

Hidrological safety

  • Replenish all of the water used in our beverages in the watershed with a focus on high stress areas.

2025

100%

+100%

Water risk assestment

  • Annual water risk assestment.

Annual

100%

100%

Water Efficiency

At the end of 2021, we averaged 1.47 liters of water per liter of beverage produced and used 28 million liters of water. To this end, we have invested US$4.5 million in 2021.

Aligned with our goal to achieve a water use ratio of 1.26 liters by 2026, we are making all of our operations more efficient. Through our continuously improving Top 20 Water Saving Initiatives program, we foster efficient water consumption across all of our plants. To this end, we registered significant progress across our operations, focusing on 20 key measures—from our detection and elimination of leaks to optimal water use in our plants to our water recovery systems.

15% improvement in water use ratio over the last five years

Water efficiency
Liters of water per liter of beverage produced
(less is better)

1.72
2016
1.65
2017
1.58
2018
1.52
2019
1.49
2020
1.47
2021
Liters of municipal water Liters of rainwate Liters of well water Liters of river water Total water consumption (L)
Total General 8,434,437,506.30 5,424,000.00 18,071,077,948.96 1,487,958,647.00 27,998,898,102.26
Liters of water discharged to sewers Liters of water discharged into rivers Total water discharged (L)
Total General 2,761,699,828.84 3,051,539,229.71 5,813,239,058.55

100% of the water we discharge from our manufacturing operations is sent to water treatment plants, which ensure sufficient water quality to foster aquatic life.

Water Risk & Adaptation

This year, we analyzed water risks and established mitigation plans across 100% of our operations.

All of our strategies are aligned with the United Nations' Sustainable Development Goals. Through different alliances, we join efforts to foster adaptability and resiliency in the communities we serve, prioritizing those most vulnerable to climate change and water shortage. In this way, we support the communities where we operate with water treatment and water access projects.

Our aspiration is to return to the environment and our communities more water than we use to produce our beverages where it matters the most. Aligned with this goal, we currently give back to the environment more than 100% of the water we use in the production of our beverages in Argentina, Brazil, Central America, Colombia, and Mexico through the conservation and protection of biodiversity. We also replenished 100% of the water that we use in Colombia, Costa Rica, Guatemala, and Panama through our “Agua para el Futuro” (Water for the Future) conservation projects.

FACILITATING COMMUNITIES ACCESS TO SAFE and SECURE WATER

By 2030, our Water Access Program aims to support 1 million people across our communities in Mexico, so they can secure access to safe and sustainable water through the promotion of collective action and inclusion. Moreover, “Ven por Agua” (Come for Water) is a mobile vehicle through which we provide access to safe, secure water for those communities that need it the most or those declared disaster zones in Colombia and Mexico. In addition, we launched a pilot in Chiapas, where we’re distributing drums to collect water that impacted 5,000 families in small rural communities.

Furthermore, in collaboration with FEMSA Foundation, we carry out projects designed to improve communities’ quality of life by helping to provide them with safe water, improved sanitation, and hygiene education. While the Foundation intervenes significantly at the outset of each project, all of these initiatives utilize the necessary elements to enable communities to adopt them in a sustainable way—enduring over the long term.

For more information about FEMSA Foundation, visit https://www.femsa.com/en/femsa-foundation/

Given the substantial scope, importance, and complexity of water conservation and replenishment, we further work to strengthen water funds and conserve water basins through sustainable initiatives involving partnerships with multiple stakeholders. Through the Latin American Water Funds Partnership—comprised of The Nature Conservancy (TNC), FEMSA Foundation, the Inter-American Development Bank (IDB), and the Global Environment Facility (GEF)—we jointly seek to achieve and sustain water security in the region, ensuring sustainable access to a sufficient quantity and quality of water to sustain human life and socioeconomic development.

To date, the Partnership has developed 26 water funds. Of these funds, eight are in countries where we operate—Brazil, Colombia, Costa Rica, Guatemala, and Mexico. As a result, through 2021, the Partnership has worked to directly benefit approximately 100 thousand people in neighboring communities around the water basins, creating jobs and capabilities training since the projects began.

We replenished
109%
of the water we used and had an average water use ratio of 1.41 liters for our 17 Brazilian, Mexican, and Guatemalan plants located in high water stress areas.

CIRCULAR ECONOMY

At Coca-Cola FEMSA, we are confident that, with the support and co-responsibility of all the actors involved in the value chain, we will fulfill our 2030 goal of collecting 100% of the PET bottles we place in the market through a concerted market-based approach to the circular economy. To accelerate the transition to a circular economy for PET plastic bottles, our focus is on ensuring both a steady and secure supply of recycled resin through the joint development of bottle-to-bottle recycling facilities and closed-loop systems through the development of our own infrastructure or through partnerships with other stakeholders.

Consistent with our long-term commitment to waste management and aligned with The Coca‑Cola Company’s commitment to a “World Without Waste,” our goals are to:

  • Make all consumer packaging 100% recyclable by 2025
  • Certify 100% of our bottling plants as zero waste to landfill by 2025
  • Collect the equivalent of 100% of the PET bottles we place in the market by 2030
  • Use at least 50% recycled resin (rPET) in our PET bottles by 2030
  • Reach 25% reusable packaging by 2030

Industrial waste

  • Zero Waste Certification in all of our operations.

2025

46%

100%

  • % of solid waste recycled.

2025

98%

Packaging

  • Increase the use of recycled resin in our PET bottles.

2030

31%

50%

  • Recycable materials in our packaging.

2025

97%

  • Reusable packaging.

2030

34%

25%

To achieve these goals, we strive to mitigate the environmental impact of our operations’ processes, leading the way in the promotion of a culture of waste management throughout all of our operations and value chain.

KOF Waste Management Strategy

Packaging

Within the beverage industry, our product packaging is mainly comprised of polyethylene terephthalate (PET) plastic, glass, and aluminum. PET, our highest-volume packaging material, is versatile, lightweight, and the most widely recycled of all plastic types2 —which can also be made into new and refillable bottles. We are committed to efficiently using our packaging materials; redesigning our packaging’s components to achieve recyclability; and integrating a growing share of recycled content.

In 2021, we used an average of 31% recycled PET resin (rPET) in our plastic bottles, an increase of more than five times in rPET volume over the past eight years. Recycled PET is part of a closed loop recycling solution for plastic bottles, offering a 60% greenhouse gas reduction and a 75% lower total energy demand over virgin PET.3

  1. The Coca-Cola Company, 2020 World Without Waste Report (June 2021), p. 5.
  2. According to an updated Cradle-To-Resin Life Cycle Analysis of Polyethylene Resin by the National Association for PET Container Resources (NAPCOR), a 60% reduction in greenhouse gas emissions and a 75% lower total energy demand may be achieved by replacing a unit of virgin PET with recycled PET.

Moving forward, our goal is to use at least 50% rPET in our plastic bottles by 2030. Notably, we now offer beverages packaged in 100% rPET across our markets, including all one-way presentations of Crystal brand water in Brazil, Brisa brand water in Colombia, Ciel brand water in Mexico, KIN brand water in Argentina, Vitale brand water in Uruguay, and Alpina and Dasani brand water in Central America. We are also transitioning Sprite’s packaging from green to clear in order to make it easier to recycle; in the meantime, all of our Sprite bottles in Mexico are made of 100% rPET. We further built on the successful launch of our Universal returnable bottle in Argentina, Colombia, Mexico, and Uruguay, significantly expanding coverage and increasing production capacity throughout key franchise territories.

% Recycled content

16%
2016
21%
2017
21%
2018
24%
2019
29%
2020
31%
2021

Consistent with our efficient resource management and optimization of packaging materials, we continued to deploy a wide-ranging light-weighting strategy for our operations’ PET presentations and caps. Thanks to our efficient resource management and packaging optimization, we generated savings of approximately US$6.4 million in 2021.

UPSTREAM INNOVATION: RETURNABLE/REFILLABLE PACKAGING MODEL

Through upstream innovation, we not only avoid the production of billions of new PET plastic bottles every year through our expanding portfolio of refillable PET presentations, but also make our packaging more sustainable while minimizing our use of virgin PET plastic, as exemplified by the growth of our reusable Universal bottle that can be used across multiple beverage categories and brands.

Universal Bottle – Circular System

In this circular system, consumers pay an indirect deposit when purchasing our beverages in a refillable Universal bottle by receiving a discount on their next purchase when they return the empty bottle to the store—a reward feature that ensures a return rate of above 90%. Our retail customers store them and then give them back upon delivery of a new order. We take the multi-branded mix of Universal bottles back to our bottling facility where we wash off the paper labels and clean, refill, and rebrand the bottles with a fresh label before redistributing them.

Universal Bottle - Environmental Benefits

Carbon Emissions Reduction: Greenhouse gas emissions can be reduced by up to 47% compared to single-use PET bottles, taking into account bottle production, increased transport, and water use during washing.4

Water Use Reduction: Even factoring in washing, the reuse model reduces water use by 45% compared to single-use PET bottles.3

  1. According to an updated Cradle-To-Resin Life Cycle Analysis of Polyethylene Resin by the National Association for PET Container Resources (NAPCOR), a 60% reduction in greenhouse gas emissions and a 75% lower total energy demand may be achieved by replacing a unit of virgin PET with recycled PET.
  2. Ellen MacArthur Foundation, Upstream Innovation, A guide to packaging solutions (November 2020), p. 106.

Collection & Recycling

We strive to make our beverage packaging part of the circular economy. To this end, we are creating circular solutions for collection throughout our markets, working with key partners across different collection and recycling infrastructures. Through locally appropriate collection and recycling solutions, we can effectively turn old packages into new ones, reduce our carbon footprint, and keep plastic out of the environment.

WORKING WITH KEY PARTNERS TO MULTIPLY OUR SUSTAINABLE COLLECTION CAPABILITIES

By joining efforts, we multiply the effects of our actions. Accordingly, we partner with communities, authorities, industry allies, and NGOs on different initiatives to raise awareness of post-consumer waste management, carry out collection and recycling programs within our communities, and inform consumers about the proper disposal and handling of the waste generated from our products.

Across Latin America, we continued to strengthen our sustainable collection capabilities, including the following collaborative initiatives in our countries of operation:

Argentina – We are focused on reinforcing our recycling capabilities in municipalities through programs such as Ruta Verde, Latitud R, Iguazú, and Red de Innovación Local (RIL).

Brazil – Through SustentaPET, a joint venture created in partnership with The Coca-Cola Company, we have opened four PET collection centers in Belo Horizonte, Cosmópolis, Porto Alegre, and São Paulo, Brazil.

Colombia – We expanded our MovimientoRE program, an industry/business alliance to increase the collection of PET in the cities of Barranquilla, Cartagena, Santa Marta, and Cali (through “Cali Circular”), as well as Reciclave Bogotá with the empowerment of recyclers.

Costa Rica – We use green trucks along our home delivery routes to collect PET from the households to whom we deliver our products. Also, through our Geocycle, Misión Planeta, and industry alliances.

Guatemala – Through our alliances with other developers, we can start the separation and collection process from homes. We also formed an alliance with INGRUP, a local recycled resin provider.

Mexico – We opened five new collection centers, so we can increase recycling in the southeast region of the country. We also aligned with small customers, as well as with larger chains, to collect waste at their stores through “mi tienda sin residuos” (“my zero waste stop”) program.

Nicaragua – Starting in 2021, we established a strategic alliance with Gravita, which operates through a network of base recyclers in several municipalities, guaranteeing the recovery and treatment of PET, so that it can be reused as a raw material again.

Panama – We formed an alliance with Recicladora Nacional to increase the collection and treatment of PET plastic bottles and create a circular economy for the use of these materials.

Uruguay – We have an industry agreement with Crystal PET to close the PET recycling loop through the use of rPET.

Continuing our long-term commitment to collectively address the challenge of waste management and aligned with The Coca-Cola Company’s commitment to a “World Without Waste,” in the main markets where we operate or have strong alliances with packaging collection and recycling mechanisms, we have collected more than 122 thousand tons of PET, putting us well on track to our 2030 goal of collecting 100% of the PET bottles we place in the market.

Since 2002, we have collaborated with other food and beverage companies through ECOCE, a Mexican civil association that promotes collection of waste, creation of a national market for recycling, and development of recycling programs. With an impressive national collection rate of 59% in Mexico under the ECOCE model, we are at the top of collection and recycling practices in Latin America through this collaboration, with levels equivalent to the European Union.

To close the PET plastic recycling loop, we are leaders in PET bottle-to-bottle recycling in Latin America. In 2005, we joined forces to operate the first food-grade PET recycling plant in Latin America, called IMER (Industria Mexicana de Reciclaje or Mexican Recycling Industry), which recycled 19,252 tons of PET during 2021. Overall, we now have a total of nine recycled food-grade resin suppliers across our operations network.

In 2021, we utilized a total of 83,085 tons of recycled materials in our operations in Argentina, Brazil, Central America, Colombia, Mexico, and Uruguay. As a result of these efforts, we avoided the use of more than 460 thousand tons of virgin PET resin since 2010.

BREAKING GROUND ON A NEW FOOD-GRADE PET RECYCLING FACILITY IN MEXICO

Through a joint venture with ALPLA, we recently broke ground on a new food-grade PET recycling facility in Cunduacán, Tabasco, México known as PLANETA (Planta Nueva Ecologia de Tabasco), which is projected to begin operation during the third quarter of 2023. This facility will have the capacity to process approximately 50,000 tons of post-consumer PET bottles annually—resulting in 35,000 tons of rPET pellets—which we plan to supply from 18 collection centers in the southeast region. This new plant, together with the accompanying collect centers, will help us to achieve our goal of using at least 50% rPET in our plastic bottles by 2030, gain greater control of the PET collection and rPET production cycle, expand collection and recycling to states with low activity, and generate approximately 20 thousand direct and indirect jobs.

Industrial Waste Management

In 2021, 22 of our bottling plants earned Zero Waste to landfill certification. Originally designed for our Mexico operations, this initiative establishes specific measures to improve waste management, disposal, and repurposing—resulting in improved waste efficiency per liter of beverage produced. We also extended this program to our distribution centers, with 78% of our Brazilian distribution centers became zero waste to landfill during the year. At the end of 2021, our bottling plants recycled 98% or approximately 116.8 thousand tons of manufacturing waste generated.

To this end, we diligently work to ensure our processes comply with the highest national and international standards and with all applicable laws, avoiding sanctions and fines pertaining to environmental issues, while reaffirming our commitment to efficient operational processes, environmental performance, and competitiveness.

Colombia earned gold certification for
100%
of our seven bottling plants as zero waste facilities this year.


Waste efficiency
grams of waste per liter of beverage produced
(less is better)

8.3
2016
7.5
2017
6.9
2018
6.4
2019
6.2
2020
6.3
2021

SAFETY

Safety is a key priority, a basic principle of action, and a fundamental value for our company. It is of utmost importance to fulfill our purpose as an organization. That is why we are committed to continuously improve our operations by doing everything necessary to prevent workplace injuries and illnesses to safeguard the safety of our employees, strategic partners, and communities.

OUR 2020-2025 SAFETY GOALS

Aligned with our safety strategy, our 2020-2025 goals are to reach:

  • Zero fatalities (avoidable or within the company’s control)
  • Lost Time Incident Rate (LTIR) of 0.4
  • Total Incident Rate (TIR) of 0.8
  • Crash Rate of 6.5
  • Major Crash Rate of 0.5

Safety Performance

This year, we achieved an accelerated reduction of both industrial and road incidents. Like the past five years, we again registered our safest year at the company level.

During 2021, we reported a Lost Time Incident Rate (LTIR) of 0.58, a 20% year-over-year reduction that puts us closer to our 2025 goal of 0.4.

Notably, our manufacturing operations achieved an LTIR of 0.32, below the 2025 goal that we set as an organization. We also reduced our Total Incident Rate (TIR) by 22% year over year to 1.04, remaining on track to achieve our 2025 goal of 0.8. We also formally integrated KPIs for our own employees and third parties:

  • Lost Time Incident Rate (LTIR) of 0.66 for employees and third parties
  • Total Incident Rate (TIR) of 1.06 for employees and third parties

We further achieved 12% and 55% year-over-year reductions in Crash Rate and Major Crash Rate to 9.76 and 0.83, respectively. During 2021, we integrated a new metric tracking the frequency of serious incidents and fatalities (SIF Exposure Rate), effective 2022.

Lost time incident rate-LTIR
(less is better)

1.8
2016
1.33
2017
1.18
2018
1.10
2019
0.73
2020
0.58
2021

Total incident rate-TIR
(less is better)

3.06
2016
2.69
2017
1.99
2018
1.89
2019
1.33
2020
1.04
2021
Indicator KOF Results1
2016 2017 2018 2019 2020 2021
LTIR 1.8 1.33 1.18 1.10 0.73 0.58
TIR 3.06 2.69 1.99 1.89 1.33 1.04
  1. For comparability purposes, this data excludes Venezuela, since Venezuela is a deconsolidated operation.

The numbers in this table reflect rates only for KOF employees and not third parties, which is a number we started integrating this year.

Safety Vision & Strategy

This year, we began implementing our 2021 - 2025 safety strategy, a multi-year effort to update our focus and vision for the whole company. Consequently, we updated our vision, objectives, and strategic initiatives to correspond to our “zero is possible” aspiration.

Additionally, we started implementing five key safety initiatives focused on our main risks and organizational culture. With the success of these programs, we are confident that we will reach our goals and accelerate our safety results, with active employee participation and leadership key to the success of our safety strategy.

SAFETY VISION
Safety is a key priority, a basic principle of action, and a fundamental value for our company. It is of utmost importance to fulfilling our purpose of always finding the most efficient and sustainable way to put the drink of choice in our consumers’ hands anytime, anywhere.
Goals
  • Zero Fatalities & Serious Incidents
  • Best In Class KPIs
  • ZERO External Audit Findings
Strategic Corridors Key Risks and Systems Management Talent and Capability Development Infrastructure, Technology, Digitalization of Processes and Basics Performance Management, Improvement, and Innovation QSE Culture
Key Safety Initiatives Serious Incidents And Fatalities Prevention Model (SIF) Life Saving Rules and Critical Safety Standards Road Safety Program Safety Model for Third Parties Safety Culture & Accountability Program

Key Risks & Systems Management

We aim to provide solid management based on world-class standards, systems integration, operating models, and programs that ensure the control, mitigation, and containment of major risks and their impacts on our people, communities, and company. Among our achievements for the year, we put in place diagnostics and plans for our 14 Life Saving Rules throughout 100% of our manufacturing plants and 60% of our distribution centers.

As part of our Road Safety Program, we updated the road safety strategy and standards, and executed a series of road safety diagnostics and evaluations across all of our operations—which will serve as the base for their strategic, tactical, and operational plans. We carried out strategies and communications plans designed to create awareness among different road actors of the risks present on public roads while educating them on their different roles and responsibilities when driving on a public road. We standardized precursors, risks, and distribution activity controls to manage risks and implement key controls, establishing high-impact activities such as reverse maneuvers, vehicle parking, and offloading on public roads. We also carried out a series of incentive/recognition programs for drivers to reinforce expected behavior, compliance, and road risk management.

Moreover, we began to implement our Safety Incidents Prevention Model, so we can replicate this model throughout our operations during 2022. We updated nine global standards that respond to critical safety risks at the organizational level—from working at height to road safety—with each country executing these standards in accordance with their own risk analysis. We also employed a safety management model where we defined 30 safety processes and requirements that are managed within the organization, with each country complementing this model with applicable local government requirements.

With our strategic partner Solistica, we implemented a safety and environmental management model aligned with our five strategic safety corridors. Begun in 2020, this model led to a 52% reduction in minor crashes, a 72% reduction in major crashes, and zero serious incidents and fatalities (SIF).

Talent & Capability Development

Our aim is to enable a capable and trained team and talent, committed to safety at all levels of the organization. Among our achievements for the year, we worked with our strategic partner Solistica to design a shifting skill development model, with latest generation road simulators, in Brazil and Mexico. Thanks to these simulators and new training methods, we are developing a highly professional team of safe drivers. Moreover, in Brazil, we carried out a training program specifically designed to achieve our company’s defined educational objectives, along with the technical and behavioral capabilities to achieve safe and efficient driving standards.

During 2021, we conducted a companywide study to evaluate our organizational structure, considering operations management and the impact of COVID-19. We also achieved 95% implementation of our new safety organizational structure, which was re-designed in 2020.

QSE ACADEMY & COMMUNITIES COLLABORATIVELY ADVANCE KEY SAFETY INITIATIVES

As part of our company’s skills development, we designed phase one of our QSE Academy. The Academy offers more than 70 subjects—29 of them safety related—to be implemented throughout our operations in the coming years. Additionally, during 2021, we developed safety technical skills, focusing on key risks, involving an annual investment of over 350 thousand hours of virtual and in-person training.

We further strengthened and managed our safety knowledge communities, including those focused on RTM Safety, Third Party Safety, and Serious Injuries and Fatalities (SIF) Management Model. Through these communities, we systematically connect best practices, experiences, and a network of experts from across our operations to collaboratively advance these key safety initiatives.

Infrastructure, Technology & Digitalization of Processes

We are leveraging technological development, process digitalization, and predictive analysis to enable our safety culture and strategy, transforming behavior while fulfilling machinery and vehicular safety standards. To this end, we chronicled the following achievements for the year:

Costa Rica, Guatemala, and Panama – We installed telemetry equipment across 100% of the secondary delivery fleet. We also implemented a behavioral management platform that enables driving traceability through a telemetry system, while identifying and grading operator’s driving habits on a scale from 0 to 100%.

Costa Rica, Guatemala, Nicaragua, and Panama – We implemented an integral system for forklift management that utilizes telemetry equipment for behavior management, team performance optimization, and excellent service. This system increases visibility and real-time alerts, reduces risky behavior, improves impact detection, and lowers corrective maintenance cost, among other benefits.

Mexico – We installed advanced driver assistance and monitoring systems (ADAS) across 100% of our primary distribution fleet. We also deployed an onboard management technology model through the ADAS Mobileye + Eyesight technology that was installed throughout our primary distribution fleet. The ADAS technology consists of auxiliary electronic devices to support drivers in specific driving situations—from fatigue and collision alerts to speed limits—generate a plan, and follow up with each operator to foster safe driving habits. Added to the behavior management model, these technologies have enabled us to drastically reduce the number of road incidents, while following up on key findings.

Brazil – We managed to eliminate 100% of motorcycle crashes as an integral part of our safety risk strategy. Through the development of a motorcycle management model, we were also able to reduce crashes by over 35% in Colombia and Guatemala.

Performance Management, Improvement & Innovation

We aim to provide the required processes and tools for safety performance management, while promoting improvement and innovation that leverages our safety strategy.

Among our achievements for the year, our manufacturing plants received ISO 45001 occupational health and safety certification. We developed a digital preventive observations registry to control and identify behavior across our Central American operations. We digitized the motorcycle documentation process in Colombia, including traffic violation controls, skill and dexterity texts, and personal protective equipment verifications. We conducted the first self-diagnostic evaluation of our company’s safety maturity model. Moreover, we developed phase two of our Control Tower, where all of the safety indicators were standardized and automated, generating reports and business intelligence data analyses.

QSE Culture

We aim to position our QSE culture as a fundamental business strategy, ensuring the ownership, commitment, credibility, consistency, and leadership to support our QSE cultural evolution.

Among our achievements for the year, we carried out communication plans and conducted training of our leadership teams based on psychological safety principles, elements, and behaviors. We conducted a diagnosis of cultural interferences that limit our QSE cultural transformation progress, defining nine key priorities aligned with The Coca-Cola Company’s global human and organizational methodology. We carried out a diagnosis and QSE culture workshops in Colombia, Costa Rica, Guatemala, and Mexico. We further conducted communication plans and recognition programs that leverage expected beliefs and behaviors by acknowledging people and operational units with extraordinary results.

Our “Zero Is Possible” Aspiration

Since 2016, we have consolidated and improved our culture and performance on safety issues, while we have not been able to eliminate fatal and serious incidents involving employees and third parties.

With this in mind, we are now implementing throughout the organization a deeper and more consistent focus on the interaction between people, culture, leadership, teams, work systems, and processes because most of our fatal and serious incidents result from the interaction of these elements. We are also evolving our approach to focus on risks and precursors management, so we can help people make better decisions and prevent damages when things do not go as planned.

Furthermore, we will continue the deployment of our security plan throughout the company, creating an organizational culture where we are convinced that “zero is possible.” This implies a significant change in mentality throughout our global leadership and in our commitment to security, while we reinforce and ensure our fundamental security practices and principles. In this way, we strive to make ZERO a reality, so if there is an incident, our people come out unscathed

Fatalities

Unfortunately, over the past year, 17 people died either through their work for Coca-Cola FEMSA or community members involved in an incident with one of our vehicles. Any fatality is unacceptable, so we will not be satisfied until we fulfill our promise of ZERO incidents. We extend our condolences to all of the families and everyone affected by our operations, and we are committed to implement best practices to prevent any losses in the future.

This report documents the total number of fatalities (with or without legal responsibility where we were somehow involved during 2021). Importantly, we include any fatalities involving our own personnel, third parties, and communities, integrating all of our operations—manufacturing, distribution, and commercial locations operated by our own personnel, contractors, and third parties.

Roughly 95% of these fatal events were related to road accidents (16 events), and 5% were connected to violence on public roads. Of the 17 fatalities, five (29%) were third-party employees/contractors, and 12 (71%) were community members connected to our operations. Five events (29%) were related to logistics/primary fleet; eight (47%) were connected to secondary distribution; and in 5 events (29%), the authorities determined that we were legally responsible, while in the rest of the incidents the community was deemed to be responsible.

Notably, we have reduced the total fatalities involving our own vehicles or personnel by 93% from 2016, and over the same period, we have managed to reduce the total fatalities involving our contractors and third parties by 43%.

Total fatalities
Own employees + third parties + communities

SHARED OPPORTUNITY WITH OUR COMMUNITIES

We work to strengthen and consolidate positive relationships with the communities with which we interact. We identify and develop shared opportunities for our company and communities’ sustainable development, enhancing our ability to serve the marketplace while maintaining our social license to operate.

Sustainable Procurement

At Coca-Cola FEMSA, we work with our suppliers to reduce the environmental and social impacts generated by our commercial interactions and thus improve the conditions of our supply chain. In this way, we not only minimize negative impacts, but also raise standards in key business areas, increase labor efficiency, preserve environmental capital, and reduce risks and costs for all of those involved throughout the value chain.

As part of our company’s sustainable procurement mandate, in conjunction with our defined strategic initiatives, each supplier cooperates to minimize their social and environmental risks over which we have no direct control and which cause the greatest number of impacts throughout our supply chain on a daily basis. The general guidelines that we use to make this happen are:

  1. The Coca-Cola Company’s (TCCC) Supplier Guiding Principles focus on strategic input categories and include areas such as Human Rights Policies, Environmental Protection, and Labor Rights. Through audits that ensure compliance with these standards, TCCC authorizes its bottlers to work with approved suppliers.
  2. Sustainable Agriculture Guiding Principles. Established by TCCC, they include the same areas as the previous principles, but are adapted to suppliers of agricultural raw materials.
  3. Coca-Cola FEMSA’s Supplier Guiding Principles. We apply these principles to mitigate social risks of suppliers for categories that are different from those of the strategic inputs and are relevant to the value chain.

COCA-COLA FEMSA SUPPLIER GUIDING PRINCIPLES

Human Rights

  1. Respect for human dignity
  2. No to discrimination

Fundamental Principles and Rights at Work

  1. No to forced or child labor
  2. Freedom of association and trade-union freedom
  3. Labor relations
  4. Safety and health at work
  5. Human capital development and well-being
  6. Whistleblowing systems

Environment

  1. Environmental impact and compliance

Commitment to the Community

  1. Community development

Information Management and Security

  1. Privileged and confidential information
  2. Intellectual property
  3. Personal data
  4. Information security

Third-Party Relationship

  1. Competition
  2. Government and authorities

Culture of Lawfulness

  1. Regulatory Compliance
  2. Tax Compliance
  3. Anticorruption
  4. Anti-money laundering
  5. Conflict of interest
  6. Gifts, hospitalities, and/or Entertainment
  7. Information update
  8. Corrective measures

For further information you may access one of the following links:

These principles reflect the standards that guide our daily activities to ensure we provide responsible workplaces that protect human rights and comply with environmental laws. Founded on these principles, we follow a comprehensive five-step Sustainable Procurement Strategy:

Prioritization of categories

At Coca-Cola FEMSA, we use a proprietary tool to identify which suppliers are candidates for a development process. Suppliers are prioritized considering factors such as expenditure, environmental, social, and ethical impacts for each product category, dependability, brand association, and operational criticality.

Sustainable purchases

Through this step, we include Coca-Cola FEMSA’s Supplier Guiding Principles in our supplier contracts and requests for information, provide general guidelines for assessment procedures, and conduct training for sourcing and purchasing employees.

Assessment

At Coca-Cola FEMSA, we assess our suppliers continuously through our Sustainable Procurement System, ensuring that they are aligned with our company’s operating principles and values. Carried out online, this assessment focuses on four main areas: Social/Labor Rights; Environment; Ethics and Values; and Community. To ensure the process’s transparency, a third party reviews and verifies the information, and we then provide feedback and create action plans to encourage supplier development, ethics, and sustainability. All suppliers with low scores are subject to improvement plans at their facilities and are evaluated periodically to encourage their continuous improvement. This year, we conducted 699 supplier evaluations based on Coca-Cola FEMSA’s Supplier Guiding Principles. Since 2015, we have carried out 3,215 evaluations under these principles.

Consistent with this strategy, The Coca-Cola Company (TCCC) assesses and ensures compliance with its guiding principles and sustainability standards for specific categories of strategic suppliers; at Coca-Cola FEMSA, we only work with suppliers approved by TCCC in those categories. In 2021, TCCC carried out 253 evaluations of suppliers aligned with their Supplier Guiding Principles and Sustainable Agricultural Guiding Principles.

The Coca-Cola Company

Country 2016 2017 2018 2019 2020 2021
Mexico 52 40 59 37 27 130
Costa Rica 3 7 0 1 7 0
Guatemala 5 8 7 8 7 7
Nicaragua 1 0 0 1 1 0
Panama 0 3 3 2 1 1
Argentina 11 19 10 10 10 25
Brazil 47 102 51 42 57 65
Colombia 7 18 11 4 10 25
Total 126 197 141 105 120 253

Coca-Cola FEMSA

Country 2015 2016 2017 2018 2019 2020 2021
Mexico 100 198 245 172 165 164 143
Costa Rica 30 120 106 34 41 35 47
Guatemala 49 34 36 35 57
Nicaragua 84 94 27 21 15 24
Brazil 45 66 63 245 266
Panama 36 24 30 36
Argentina 31 31 17 42
Colombia 30 51 56
Uruguay 15 27 28
Total 130 402 539 400 426 619 699

In addition to these assessments, Coca-Cola FEMSA is one of the few companies that promoted the application of these assessments to Tier 2 suppliers or the suppliers of our suppliers. Currently, our strategic suppliers are applying the same risk assessment and mitigation mechanisms within their own value chain. This ensures that the knowledge and the drive for greater sustainability not only remains within our direct circle of influence, but also extends to all of those who participate in supplying raw materials, inputs, and services. In 2021, we evaluated 61 indirect Tier 2 suppliers based on Coca-Cola FEMSA’s Supplier Guiding Principles. Since 2018, we have conducted 143 evaluations under these principles.

Year Tier 2 Suppliers Evaluated
2018 26
2019 36
2020 20
2021 61

Capabilities development

To strengthen our suppliers’ business capabilities, we provide them with access to training and growth initiatives on topics such as finance, marketing, and human resources, among others. We also support their growth and build their business skills, improve their companies, and develop high quality products aligned with our principles and values.

In collaboration with GDS Resources, we carry out a Comprehensive Supplier Development Program for strategically selected small- and medium-sized enterprises (SMEs) to improve their business capabilities. Through this program, we collaborate with suppliers to not only improve their sustainable competitiveness, but also forge stronger relationships with our company and other large companies. In 2021, eight suppliers participated in the program, training a total of 263 suppliers from Mexico.

Recognition

The good performance of our suppliers on sustainability issues is very important. Accordingly, we recognize all those suppliers that incorporate sustainability into their own business’s DNA not only as a requirement for doing business with Coca-Cola FEMSA, but also as a competitive advantage and a means to become socially responsible. During 2021, we conducted virtual recognition forums for suppliers to our Brazil, Costa Rica, Guatemala, Mexico, and Panama operations, where we recognized 64 suppliers from over 374 participating companies for their remarkable practices.

Sustainable Community Development

At Coca-Cola FEMSA, we look to provide tools that allow for the sustainable growth and development of the communities within our social and operational footprint. At the same time, we work to develop standardized activities through all of our countries with high social impact to protect and promote the prosperity of all of the people in these communities and to continue to build socially responsible environments throughout our value chain.

Throughout the year, we developed strategies with our communities, prioritizing activities focused on our sustainability pillars—Our Planet, Our Community, and Our People—that benefitted approximately 1.3 million people during 2021. Thanks to our alliances with The Coca-Cola Company, The Coca-Cola Foundation, and FEMSA Foundation, we implemented more than 120 initiatives that contributed to the achievement of the UN Sustainable Development Goals.

Through actions focused on Our Community and Our People pillars, we benefitted more than 400 thousand people throughout our operations, and we worked on more than 2 thousand volunteering activities that impacted over 300 thousand people. Specifically, we prioritized our community integral wellbeing, early childhood development, economic growth, sustainable procurement, and inclusion and diversity initiatives.

1.3 million benefited in neighboring communities that contributed to the achievement of the UN Sustainable Development Goals.

Together with FEMSA Foundation, we carried out actions and achieved long-term benefits focused on early childhood development. Among the highlights, in Brazil, we undertook the Vamos a Brincar and Guia Pela Primeira Infância programs to promote active and healthy lifestyles for children between the ages of three and five with the support of their families and teachers. In Colombia, we helped to reduce gaps in early childhood education for children from vulnerable families through La Mojana. In Nicaragua, in alliance with Glasswing, we delivered family and emotional welfare kits, as well as baskets of food and hygiene products, under the Desarrollo Infantil Temprano program. Additionally, in Costa Rica, our Lazos de Amor initiative trained parents and caregivers to stimulate the development of skills for 100 children from birth through age 5.

To promote healthy lifestyles and a positive family environment, we continued activities that promote exercise—like Vive Bailando - Somos Sabor and Me Gozo la Vida in Colombia—where we use dance and movement to artistically express emotions, thereby achieving a healthier physical and mental state. Moreover, through the Fiesta Navidad Calle Blancos and Natal Sem Fome initiatives in Costa Rica and Brazil, respectively, we deployed luminous caravans to distribute and donate more than 4,000 baskets of basic goods. Furthermore, in Venezuela, we continued the Red de Entrenadores program, which has trained 800 coaches, positively impacting more than 60 thousand young people in vulnerable communities across the country since its creation in 2016.

Economic development and empowerment

At Coca-Cola FEMSA, we strive to positively impact society by investing and supporting small business owners because they can transform their communities.

Consistent with our commitment to support communities and achieve a more sustainable environment focused on inclusion and diversity, we developed activities to create resilience and reactivate local economies. To this end, we deployed economic development projects to support the rentability and sustainability of more than 17 thousand people’s businesses, mainly in the traditional channel, through entrepreneurship and economic empowerment training with innovation and digitalization components.

Consistent with our commitment to support communities and achieve a more sustainable environment focused on inclusion and diversity, we developed activities to create resilience and reactivate local economies.
Furthermore, we are promoting women’s resilience to emerge from the pandemic and reinvent their business to adapt to the new normal.

In Mexico, we joined forces with The Coca-Cola Company, FUNDES, and Pro Mujer to implement the Programa Mujeres en el Canal Tradicional, through which we carried out individual training in areas such as client development and sales, business management, digital abilities, and financial health. This program’s goal is to bolster the development of women and small businesses, so they can recover from the recent economic crisis and adapt to the new digital business reality. With the State of Chiapas’ Secretary of Gender Equality, we also developed the Juntas Crecemos tu Negocio initiative, which looks to empower vulnerable women with the strengths and skills to get their businesses to take off.

Similarly, in South America, we worked on programs focused on gender equality, inclusion, and diversity. In Brazil, together with The Coca-Cola Company, we developed the Coca-Cola dá um gás no seu negócio initiative, in which we trained Afro-descendent women entrepreneurs in small stores and economic kitchens through the Camellia Institute. In Colombia, we strengthened small businesses long term, while promoting responsible financial models under the Finsotienda y Ruta Tenderos program. Moreover, in Venezuela, we provided training for the development of women’s collective leadership, with a psychosocial component, through the Red de Empoderamiento program.

Furthermore, we are promoting women’s resilience to emerge from the pandemic and reinvent their business to adapt to the new normal.

With an investment of over US$9 million, projects focused on the Our Planet pillar prioritized activities in the areas of circular economy, water stewardship, climate action, and environmental education. In collaboration with The Coca-Cola Company, we have also been working with non-governmental organizations (NGOs), local governments, and consumers to define a roadmap that will reduce our environmental impact.

This year, we collected over 70 thousand tons of waste in a holistic, transversal way. Some of our most important initiatives include: Movimiento Re and Reciclar Tiene Valor in Colombia, a collaboration of several environmentally committed companies to strengthen recycling organizations and thereby increase their collection capabilities; Limpieza de Playas in Guatemala, a volunteer initiative to create a reduce, reuse, recycle culture; Mi Tienda sin Residuos in Mexico, a program to place PET plastic recycling bins in Oaxaca; and Misión Planeta in Costa Rica, a 25-year recycling program focused on PET plastic and Tetra Pak recycling.

We have further established important alliances with West Coast Waste, Geocycle, GRAVITA, ECOCE, Recicladora Nacional, FEMSA Foundation, and The Coca-Cola Company Mexico’s Reciclatón.

Finally, in conjunction with the water funds we operate in collaboration with FEMSA Foundation, through 2021, we benefitted approximately 100 thousand people in neighboring communities around the water basins through job creation and capabilities training since the projects began.

COVID-19 actions

Aligned with our comprehensive management framework, we continued to prioritize the safety and wellbeing of our employees, customers, consumers, and communities throughout the COVID-19 pandemic. By prioritizing their health and safety, we reinforce our company’s commitment to delivering economic value, while generating social and environmental wellbeing.

As a leading beverage company, we have made our resources available to build on the actions of the communities where we operate. In solidarity with our communities in 2021, we have offered our company’s support through our donation of more than 2 million liters of beverages to medical personnel and vulnerable families across our markets.

We have further collaborated with government authorities to leverage our marketing spaces and delivery trucks in the communication of prevention measures, including fliers to spread messages of prevention and care. We have also played an important role in vaccine rollouts across some of the countries in which we operate.

Moving forward to a new ESG strategy

We are committed to place sustainability at the heart of the organization, fostering an ESG-centered culture. In pursuit of this goal, we will update our ESG strategy, looking to rise to leadership status in our industry, as reflected in our performance in evaluations, indexes, and rankings. In addition, this strategy will be aligned with both The Coca-Cola Company’s and FEMSA’s efforts.

The following objectives for sustainability/ESG were defined:

  • Strategy and priorities: define the company’s sustainability strategies and priorities.
  • Public pledges: optimize the revision and approval of public commitments and policy related to sustainability topics.
  • Management and assignment of resources: develop a mechanism to revise and approve budgets, resources, and investments to carry out our sustainability strategies and fulfill public commitments.
  • Monitoring and supervision: ensure that our public commitments are fulfilled, financed, executed, and communicated appropriately in the manner that was approved by senior leadership.
  • Risk mitigation: analyze external social and environmental dynamics, trends and emerging risks, and possible strategic alternatives. Oversee sustainability efforts to mitigate risks that may have a significant impact on the business.
  • Redefine and prioritize Social/Community programs at country and operation level.
  • Inclusion and Diversity.

To ensure we are able to reach these objectives in an efficient manner, during 2021 we agreed to establish an ESG Committee, starting on 2022, which will be composed of members of our senior leadership team—to ensure that all of the relevant areas of our business and all of the countries in which we operate are fully involved in the creation of ESG initiatives and decisions. Aligned with our strategy, our aim is to continually reinforce our commitment to create value in the areas of social, environmental, and corporate governance, while generating economic value across all of the communities we serve.