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2nd Social Responsibility Report Actions with Value At FEMSA, we understand social responsibility as an integral commitment to everything in our surroundings, beginning with our personnel and their families, the communities in which we operate and the preservation of our environment. We thank our colleague Arturo Leduc for allowing us to use the picture of his family on our cover and all fellows who (give life to) make this report alive with their image. 1 2 4 6 10 22 36 48 52 Our Social Responsibility Commitment A Message from Our Chairman of the Board and CEO Our Company’s Profile FEMSA’s Principles, Values, and Culture Integral Development and Quality of Life in the Company Community Development Environmental Care Economic Development A Global Vision of Social Responsibility Our Social Responsibility Commitment Since our origin in 1890, our founders introduced us a social responsibility tradition, whose focus of development has always been the simultaneous generation of economic and social value. FEMSA was the first company in Mexico to offer development programs to its employees and their families in areas such as health, housing, education, recreation, and full development as a whole, a long time before the government granted these type of services by law in the country. For more than 100 years we have built our FEMSA culture, which is translated into the company’s way of living and doing business, supported by values whose core aspect is the respect for human dignity. Therefore, at FEMSA we extend such commitment to all the places where we operate by enriching our corporate culture with each region’s particular initiatives and respect for their own culture and traditions. Our social responsibility scheme is divided into four main areas: Integral Development and Quality of Life in the Company; Community Development; Environmental Care; and Economic Development. At FEMSA, we expect that all our employees, in any part of the world, perform on a daily-basis Actions With Value. »1 We Feel from left to right: : Ma. del Carmen Hernández Bermúdez, from Coca-Cola FEMSA; Arturo Hernández Guzmán, from Coca-Cola FEMSA; José Antonio Fernández Carbajal, FEMSA’s Chairman of the Board and CEO; Hugo Arturo Fuentes Salazar, from FEMSA Cerveza; Jorge Antonio Pérez Solís, from Coca-Cola FEMSA; and Nicolás Martínez Vázquez, OXXO store leader very The last three years were full of intense activity and important progress in our aim at creating economic and social value. Taking into account our expansion, we had the challenge to replicate and enrich our philosophy of social responsibility and sustainable development in all the countries in which we currently operate. We are certain that the full development of a company can only be reached by fostering the full development of its personnel, their families, and the community as a whole, as well as the harmonious work with the environment. In this second Social Responsibility Report, we present the most relevant activities performed during 2005, 2006, and 2007, through which we continue complying with our commitment to generate common progress and well-being. The most important statement was undoubtedly the integration that has occurred between FEMSA’s philosophy of social responsibility and each country’s particular efforts. During the last three years, we undertook important initiatives, such as: 4 We contributed to the establishment of FEMSA’s Biotechnology Center of the Tecnológico de Monterrey (Monterrey Tech), which had an investment of about $470 million Mexican pesos (US$ 43 million), and it is currently operating in Mexico serving Latin America and the world. 4 We established the Responsible Waiter program of FEMSA Cerveza in Mexico; we expanded the Designated Driver and the Responsible Lifestyle Promoters Workshop (VIRE). 4 We supported the Quench Your Reading Thirst and Refresh Yourself Reading programs, in Colombia and Venezuela, respectively. 4 We carried out important reforestation programs such as: The Water Factory Nevado de Toluca in Mexico and Crystal Water Forest for the Future in the Brazilian Atlantic Forest. Such actions were acknowledged by public and private institutions, with awards like: 2« 4 Ibero-American Quality Award 2006 granted to the Cuauhtémoc y Famosa Clinic for its high performance in caring for our employees’ health in Mexico. satisfied with the new Initiatives “We are certain that the full development of a company can only be reached if there is a close bond among employees, customers, suppliers, and society as a whole” 4 Socially Responsible Company during the last three years in Mexico. 4 National Safety Award for FEMSA Logística, our transportation business. 4 The Success Business Award 2007, granted by Latin Business Organization to Coca-Cola FEMSA Venezuela. 4 Entrepreneurial Citizenship Award granted to Coca-Cola FEMSA Argentina, by the American Chamber of Commerce of Buenos Aires. 4 Citizen Company Assurance granted for the fifth consecutive year to FEMSA Cerveza Brazil by the City Council of Jacareí, acknowledging the social responsibility actions. In the area of environmental care, we can highlight the following awards: 4 Environmental Excellence of FEMSA Cerveza in its Tecate plant, which adds to those already won by three of our breweries in Mexico. 4 The Environmental and Natural Resources Department acknowledged for the second consecutive year, FEMSA Cerveza’s Environmental Management System. 4 The Cleanest Production of Coca-Cola FEMSA Nicaragua and the Green Seal, won by our Brazilian operations. 4 As well as some ISO 14001 certifications in Brazil. We acknowledge all the effort and endeavor of our more than 105 thousand employees of different latitudes, cultures, and morals, who share the same work philosophy. We are certain that all of the above wouldn’t have been possible without your devoted and committed participation. Besides, since 2005 we have supported the 10 principles of the United Nations Global Compact, and this second report reflects our progress in this task. Through this account of concrete actions that we have undertaken, we reaffirm our commitment to continue being a company that not only contributes to the economic development, but that is also a factor of positive change to all the communities in which we operate. We hope these examples will stimulate more people to join this way of living, where we seek that every action is an Action with Value. Kind Regards, José Antonio Fernández Carbajal Chairman of the Board and CEO Monterrey, N.L. Mexico April, 2008 »3 Our Company’s Profile Who We Are FEMSA is the leading beverage company in Latin America, with operations in nine countries, serving more than 215 million people in this region, including the most important urban centers like Bogota, Buenos Aires, Caracas, Mexico City, and São Paulo. The company is composed of four Business Units: Coca-Cola FEMSA, FEMSA Cerveza, FEMSA Comercio (OXXO), and FEMSA Insumos Estratégicos, composed of FEMSA Logística and FEMSA Empaques. Origin Our origin dates back to 1890, in Monterrey, N.L. Mexico, when a group of business entrepreneurs led by Isaac Garza, José Calderón, José A. Muguerza, and Joseph M. Schnaider founded the Cervecería Cuauhtémoc and shaped the values that have been the base for the company’s development until today. PAÍS company femsa ownership (%) COLOMBIA VENEZUELA femsa cerveza femsa comercio GUATEMALA NICARAGUA COSTA RICA coca-cola femsa 100 100 30,145(2)(11) — 1,110(3) 198(3) 209(3) 128(3) revenues(4) 39,566(9) 42,103 32,550 6,933 9,785 4,808 income from operations(4) 5,404(5)(9) 2,315(5) 6,569 1,242 572 715 sales volume plants / stores 53.7(1) 6 5,563 13 6 4 5 distribution facilities 347 9 84 37 32 29 distribution routes 2,795 — 3,635 598 429 296 brands 21 1 46 13 10 28 clients(6) 320 3.7(7) 600 346 234 111 22,194 15,824 head count (12) 4« MEXICO Note: Includes only information of core businesses (1) The remaining 31.6% and 14.7% are owned by The Coca-Cola Company and the public, respectively. (2) Thousands of hectoliters. (3) Millions of unit cases (one unit case equals 24 8-ounce bottles). (4) Expressed in millions of Mexican pesos as of December 31, 2007. (5) After management fee. (6) Expressed in thousands. (7) Millions of clients per day. (8) Includes outsourced personnel. (9) FEMSA Cerveza results, includes Mexico and Brazil. (10) The remaining 17% is owned by Heineken. (11) Includes exports. (12) Does not include Corporate Offices nor FEMSA Insumos Estratégicos. 58,122 FEMSA’s value chain is composed of: » 14 brewing facilities: 6 in Mexico and 8 in Brazil. » 32 soft drink bottlers in Latin America. » 13 packaging facilities in Mexico. » More than 5,563 OXXO stores in Mexico. Business Units n Beer and OXXO Coca-Cola FEMSA is the second largest Coca-Cola bottler in the world and the first in Latin America. It produces and markets 10% of the Coca-Cola System’s total volume worldwide, approximately 30% in Latin America and 40% in Mexico. FEMSA Cerveza is the only brewery with operations in three of the most growing markets in the world: Mexico, Brazil and the imported beer sector in the United States. It produces and markets 35 highly regarded brands like the Mexican Tecate, Dos Equis, Sol, Carta Blanca, Superior, Bohemia, Indio, and the Brazilian Sol Pilsen, Kaiser, Kaiser Gold, Bavaria, among others. n Beer, Soft Drinks, and OXXO n Soft Drinks n Beer n Beer and Soft Drinks FEMSA Comercio operates OXXO, the largest and fastest-growing convenience store chain in Latin America. With over 5,563 establishments located throughout Mexico, and 716 new stores opened only in 2007, this means almost two per day. FEMSA Insumos Estratégicos supports the beverage companies with solutions in packaging, refrigeration, and logistics services, which constitutes one of our main competitive advantages. PANAMA ARGENTINA BRAZIL femsa cerveza 83.0(10) 179(3) 296(3) 9,794.8(2) 4,034 11,141 39,566(9) 492 1,857 5,404(5)(9) 1 3 8 5 12 413 283 954 7,150 24 16 14 81 127 400 2,265(8) »5 Principles, femsa’s work culture is based on a set of values that outline our way of being and acting inside and outside the company 6« Values, and Culture Our Values 4Passion for service and focus on the client/consumer 4Innovation and creativity 4Quality and productivity 4Respect, integral development, and personnel excellence 4Honesty, integrity, and austerity These values start from a fundamental principle: the respect for the human dignity. This philosophy has been reinforced throughout time by all our leaders. A great example was the work that Mr. Eugenio Garza Sada, one of the pillars in FEMSA’s development, carried out through the conception and diffusion of the Cuauhtémoc Principles. from left to right: Andrés González, Matías Amores, María Pía Guglielmi, María Ana Lacquaniti, and Verónica Orange, employees of Coca-Cola FEMSA Argentina and Mexico »7 : These values start from a fundamental principle: the respect for the human dignity Since 1891 Cervecería Cuauhtémoc, FEMSA’s foundation, holds Board Meetings Cuauhtémoc Principles I. Recognize the merit of others II. Control your temper III. Never mock anyone IV. Be polite V. Be tolerant VI. Be punctual VII. If you are vain, conceal the fact VIII. Do not change the truth from left to right: José Calderón Muguerza, Isaac Garza Garza, Joseph M. Schnaider, Francisco G. Sada Muguerza, José A. Muguerza Crespo, and Alberto Sada Muguerza, in one of the Directors Meetings of the Cervecería Cuauhtémoc in 1900. IX. Let others have their say X. Express yourself concisely XI. Refine your vocabulary XII. Make sure to enjoy your work XIII. Acknowledge the enormous value of manual labor XIV. Consider the interest of the business rather than your own XV. Analysis above inspiration or intuition XVI. Dedication to work 8« XVII. Be modest We faithfully meet all the requirements of the New York (NYSE) and Mexico Stock Exchanges the business code of ethics rules all our employees’ behavior Business Ethics At FEMSA, we consider the practice of our Business Code of Ethics as essential to ensure the concordant performance of our labor, commercial, financial and social relations, as well as the fulfillment of our institutional values. We operate according to the principle that we are ruled by the laws and orders of each country where we participate, whose compliance and completion are essential to exist and work across all social environments. States; besides that we are one of the leading companies in complying with the Code of Best Corporate Practices established by the Mexican Business Council. We are convinced that only through the compliance with the corporate governance regulations, under the guidance of the Board of Directors; we can consistently reach the results that our shareholders, employees, and other stakeholders expect from us. Transparency At FEMSA, we are committed to maintain the highest corporate governance standards and seriously assume the need of quality and transparency in our information diffusion practices. We faithfully comply with all the requirements of the New York Stock Exchange (NYSE) and the Mexico Stock Exchange, as well as the Sarbanes-Oxley law of the United Our Business Code of Ethics is updated on a yearly basis to be diffused among the over 105 thousand employees »9 1. Integral Development Between 2005 and 2007, we allocated over $1,820 million mexican pesos (us$ 166.7 million) to more than 950 integral development programs, which benefited over 105,000 employees 10« and Quality of Life in the Company At FEMSA, we are convinced that the most important aspect in our social responsibility scheme is the integral development of our employees and their families. We are committed to provide and ensure a healthy, safe, respectful, and inclusive work environment, which stimulates the professional and personal development and well-being of all the company’s employees. We accomplish this through programs oriented towards family development, education, health, training, culture, and recreation. The social development scheme is institutionalized with the Sociedad Cuauhtémoc y Famosa (SCyF), which since 1918, more than 90 years ago, promotes a philosophy of work, savings, equity, unity, and freedom, through a series of health, educational, financial, family, and recreational services. Today, SCyF operates 106 associations and nine recreational centers in Mexico and an affiliated association in Buenos Aires, Argentina, which foster the development and well-being of FEMSA’s employees and their families. Juan Hermilio Ramírez, employee of FEMSA Cerveza Mexico »11 BienSCyF Development Scheme nowadays, scyf operates 106 associations and 9 recreational centers in mexico, as well as an affiliated association in buenos aires, argentina BIENSCYF DEVELOPMENT SCHEME FEMSA’s humanist philosophy promotes its personnel development in aspects such as family, economy, social, labor, education, values and physical and emotional health. Such dimensions are strengthened in a continuous and balanced manner supported by FEMSA’s Social Development programs. Below we present the main programs offered to our employees and their families in the nine countries where we operate. They are organized into relevant themes such as: family development, education, health, safety, training, and equal opportunities. Since 2005, we support the United Nations Global Compact. At the end of each program, we indicate in brackets the Global Compact principle supported. For further information, see the inside of this Report’s back cover. ACTIONS FOR FAMILY DEVELOPMENT 1 We promote Family Festivities on the most traditional and representative dates such as Children’s Day, Mother’s Day, Father’s Day, and Christmas. The attendance to such gatherings, in the nine countries where we operate, exceeded 465 thousand people in the last three years. (GC I, IV and V) 2 We promote a deeper bond between families and the company through programs such as Visits to the Plants, where our companies, on special days, open their doors to its employees’ families in order to visit the facilities and enjoy recreational and formation activities. (GC I, IV and V) 3 We foster parent development, strengthening the couple and parent-children relationship, through academic support programs like Schools for Parents and Learning with Our Children in Mexico, and the Formation Workshops in Argentina. (GC I, IV and V) FEMSA was acknowledged as a Family Responsible Company in 2006 due to the promotion of its personnel and their families’ development 12« Actions With Value Family Day Our employees’ children during the Recreational Summer Camp in Mexico 4 We promote the children’s and youngs’ development through formative and entertainment activities such as courses, summer camps, and excursions carried out in Argentina, Brazil, Mexico, and Panama, reaching an attendance of over 40 thousand people annually. (GC I and V) 5 The Children’s Drawing Contest 2005 in which children of employees from Coca-Cola FEMSA Argentina, aged between 5 and 16 years-old participated. Its purpose is to stimulate, through free expression, the creativity, integration, and knowledge of FEMSA’s culture. Among the 80 participants, three winners were rewarded. (GC I and V) The first Sunday of December, as it became tradition since 2003, marks the celebration of Family Day in Brazil, gathering approximately 23 thousand people every year. In the last two years, the Ibirapuera and Hopi Hari Parks of São Paulo have been chosen as the settings. This celebration is an all-day event dedicated to family integration with activities such as the presentation of orchestras and musical bands, gymnastics for parents and children, sport events, games and formation workshops, movies, and the famous Coca-Cola’s Christmas Caravan. At first, this event was exclusive of Coca-Cola FEMSA; however, in 2005, in light of the importance of promoting family values, authorities of São Paulo decided to join in , inviting the general community and including this celebration in the City’s official calendar of events. Today, other important companies join Coca-Cola FEMSA and FEMSA Cerveza to celebrate Family Day with the community. This event is an example of how FEMSA’s corporate activity with a social focus transcends the community to become part of its traditions. In 2007, six thousand people, among employees and their families, joined this celebration in Argentina. On the other hand, in August 2007, Coca-Cola FEMSA Costa Rica also celebrated Family Day, a traditional festivity that is also celebrated in the Sociedad Cuauhtémoc y Famosa (SCyF) in Mexico. (GC I, IV and V) , people attended various events for family development and integration »13 the centro escolar cuauhtémoc a.c. (cecac) is a project that arose to provide education to our employees’ children 6 The Youngs Camp in Brazil, in which more than 2,100 children of our personnel aged between 9 and 17 years old participated during 2006 and 2007. The purpose is to integrate them through dynamics that reinforce values and their importance in everyday life. (GC I and V) 7 Coca-Cola FEMSA Panama also promotes the program Coca-Cola Summer, designed to allow our employees’ children to spend their vacations carrying out healthy and productive activities. Approximately 400 children participate annually. (GC I and V) 8 The Vacation Delight in Argentina, attended annually by more than 400 children of our employees, aged between 7 and 18 years old. This program seeks to foster integration and the experience of FEMSA’s culture through outdoor recreational and integration activities. In 2006, for instance, the funds collected with the enrollments together with a similar contribution granted by Coca-Cola FEMSA, enabled the donation of 6 thousand liters of milk to charitable associations of Buenos Aires. (GC I and II) 9 The Presidency and the Department of Labor and Social Security of Mexico granted FEMSA the acknowledgment as a Family Responsible Company in 2006, due to the promotion of its personnel and their families’ development under the firm conviction of the importance of an adequate balance between personal life and work. (GC I, IV and V) EDUCATION 4 FEMSA invested over $560 million Mexican pesos (US$ 51.8 million) in supporting education, favoring more than 130 thousand people. (GC I, IV, V and VI) We promote health and sports through more than 250 programs, with an investment of more than $295 million Mexican pesos (US$ 27 million) 14« Actions With Value More than 50 years providing education The Centro Escolar Cuauhtémoc, A.C. (CECAC) of FEMSA and ALFA, is an example of how a project that was designed to offer education to the employees’ children has broadened with time its benefits to the whole community. The CECAC had its origin in 1945, when Colegio Pedro de Gante was founded in Monterrey, Mexico, to offer elementary education to the children of Cervecería Cuauhtémoc employees. Today, the CECAC is composed of five schools, a Language Center, and a Computing Center. Annually, it offers education from kindergarten to secondary school to more than 2,700 students, both from employees’ and general community’s children, having 180 teachers among its personnel. (GC I, V and VI) ACTIONS TO PROMOTE EDUCATION 1 We promote the education of our collaborators and the members of their families that want to continue their studies through scholarships at all academic levels. An example is Coca-Cola FEMSA’s program Excellent Averages, which in Mexico favored 2,500 students that stood out for their good performance. (GC I, IV, V and VI) TRAINING 2 We support the employees’ children with the program School Material Packs, delivering basic school material for the school year. Between 2005 and 2006, such programs favored over 5 thousand students in Brazil, Costa Rica, Guatemala, and Panama. (GC I, V and VI) ACTIONS TOWARDS PERSONNEL DEVELOPMENT 1 All the work centers cover both technical and administrative qualification programs for employees at all levels. (GC I, IV and VI) One of the best ways to stimulate people’s development and productivity is through training. In 1906, FEMSA established the first technical qualification school for its personnel. To date, the support towards education remains effective across all our work centers. million Mexican pesos in education and training programs for employees »15 Actions With Value FEMSA Universities The FEMSA University was inaugurated in September 2007 to facilitate our employees’ individual and professional growth within a global context. With one of the most advanced platforms of Learning Management System (LMS) in the world, this university allows us to provide flexibility to adapt the courses to people’s time and needs anywhere, offering the service to all FEMSA’s Business Units. (GC I, IV and VI) The KOF Virtual University, established in Mexico in 2004, is an ambitious training program designed both online and on-site. This system has allowed the qualification of more than 12 thousand people of Coca-Cola FEMSA in subjects such as management and finances, manufacture and logistics, management skills, FEMSA’s policies and procedures, among others. (GC I, IV and VI) 2 We support our personnel who want to continue their professional studies in areas related to their functions, through scholarships for high school, technical education, undergraduate, and masters’ degrees. These programs comprise more than 400 scholarships annually. (GC I, IV and VI) million Mexican pesos (US$ 9.1 million). Nowadays with a much more solid system, 480 events were held only at the Monterrey plant, where records show that only in one meeting it is possible to have savings of up to $4 million Mexican pesos (US$ 366,400). (GC I, IV and VI) HEALTH 3 Training has also reflected on the participation of thousands of employees in self-managed work teams, an activity that allows each participant to learn and at the same time develop a higher potential. An excellent example is the Kaizen Work System, which is practiced at FEMSA Cerveza Mexico through the formation of teams that meet to find ways of continuous improvement and innovation. In 2005, 322 events were held and reached savings of $99.5 16« We have a firm commitment with our personnel to provide them with the best conditions for their health as well as their families’. Health support at FEMSA arose in 1906, when Cervecería Cuauhtémoc, even when facing an adverse political and economic environment, was the first Mexican company to offer medical support to its employees and their families. In 2007, the third Human Resources Annual Meeting, which gathered 140 executives, was held to discuss FEMSA’s personnel development and cultural integration Actions With Value Cuauhtémoc y Famosa Clinic The Cuauhtémoc y Famosa Clinic became in 2006 the first health institution to be awarded with the Accésit de Plata acknowledgment, for the quality on health service management, within the category of Medium Private Service institutions. The award is part of the Ibero-American Quality Award of the Ibero-American Foundation for Quality Management – (FUNDIBEC for its Spanish initials) , which has been granted since 2000, and counted with the participation of organizations from eight Ibero-American countries, more than 140 examiners from 15 countries, and an International Jury composed of experts from 13 countries. (GC I and IV) Dr. Víctor Manuel Alejandro Quiroga and Diego Alberto Rodríguez Díaz, son of Juan de Dios Rodríguez Díaz, employee of FEMSA Cerveza Mexico and Raquel Díaz Ramírez In 1945, the Cuauhtémoc y Famosa Clinic (CCYF) was founded in Monterrey, Mexico, which has, since then, offered services to employees in virtually all the medical fields. 4 In the last three years, over $295 million Mexican pesos (US$ 27 million) have been allocated to the development of 255 health programs. (GC I and IV) ACTIONS TOWARDS HEALTH CARE 1 The beginning of FEMSA’s Telemedicine System provides, through a virtual system, remote health services to our employees, having the possibility to exchange information for the diagnosis, treatment, and prevention of diseases. (GC I and IV) 2 All the companies carry out Occupational Health programs, which help raise awareness of personal care to prevent diseases. As part of these programs, the more than 105 thousand employees go through annual medical examinations. (GC I and IV) 3 We uphold the celebration of health-promoting events such as Healthy Style in Costa Rica, Ophthalmologic Missions in Venezuela, and Health Fair in Panama, where pediatric, odontology, ophthalmology, and nutrition services are offered to the personnel and their family, as well as Vaccination Campaign against Influenza in Brazil, which has favored more than 3 thousand people. (GC I and IV) , employees are provided with annual medical examinations »17 Actions With Value Acknowledgment For the second consecutive year, the Mexican Center for Philanthropy (CEMEFI) acknowledged FEMSA Cerveza’s plant of Tecate, Mexico for the achievements reached in its Industrial Safety Management System. The system includes the creation of the Processes Safety Management Committee. Moreover, simulations with the participation of local authorities, safety campaigns, and training for fire brigades are performed. This plant has registered a disabling accident rate of 0.29, one of the lowest in the country, in addition to having been certified as a Safe Company by the Secretariat of Labor of Mexico. (GC I and II) Salomón Camarillo Martínez, employee of FEMSA Cerveza Mexico 4 With the participation of more than 9,800 people, FEMSA Cerveza performs every year in Mexico permanent and periodic health campaigns. Information on how to improve quality of life is provided and preventive inspections are carried out, allowing better awareness of the importance of personal care. (GC I and IV) 5 Additionally, FEMSA Cerveza’s work centers and plants in Mexico carry out several activities with the purpose of promoting a healthy lifestyle, better quality of life, and prevention in health matters. Some examples are the Health Week and the Safety and Hygiene Week. These include first-aid courses, conferences about physical conditioning and stress management, conferences about the prevention and control of chronic diseases, as well as courses for the prevention of women diseases and parents and children’s health. (GC I and IV) 6 In 2006, Coca-Cola FEMSA Argentina received the re-certification as a Smoke-Free Company, in recognition to the actions performed to create a healthy culture such as the Smoke Protected Work Environment Policy and the Smoking Prevention Campaign. (GC I) Another way in which we promote health is through sports. In 2006, the Zero Accident program of Coca-Cola FEMSA Argentina helped reduce work accidents by 14% 18« ACTIONS TO FOSTER THE PRACTICE OF SPORTS 1 Coca-Cola FEMSA annually organizes its Soccer Tournament in Mexico, in which more than 4,200 workers participate with the purpose of exercising and attaining better integration. (GC I, IV y VI) 2 During 2006 and 2007, our operations in Argentina, Brazil, and Colombia held soccer, volleyball, and bowling tournaments with the participation of more than 7,200 employees, in which teamwork and integration was promoted. (GC I, IV and VI) 3 In 2007, Coca-Cola FEMSA Argentina celebrated A Healthy Day 2007 a day with activities to promote the personnel’s physical, mental, and emotional health. 400 employees attended chats about health care, medical examinations, sports exercises, and group games. (GC I, IV and VI) SAFETY Offering safe work conditions to our employees is one of our priorities. Significant resources are invested on a yearly basis in accident prevention programs and safety equipment. (GC I and II) Actions With Value Acknowledgments Safety at FEMSA comprises all areas, including its product transportation. FEMSA Logística received ISO 9001:2000 certification in the category of multipoints, from Loyds Register Quality Assurance. This achievement implies the implementation of systems to make certain that the best practices are consistent in the 14 operation centers, situated in different locations of Mexico. As an example, we can mention the Preventive Driving program, which aims at ensuring that operators are in optimal conditions for their functions. We count on procedures that determine the driving journeys, distances, and resting hours for operators, oriented towards offering higher safety levels. Besides, the vehicles are carefully revised in order to ensure the best mechanical conditions. Therefore, in the last two years FEMSA Logística was awarded the National Safety Award in the category of General Cargo Company, from the National Private Transport Association of Mexico. (GC I, II, VI, VII and VIII) Most of the efforts towards our personnel health and safety is canalized through the Occupational Safety and Health Management System (SASSO), intended to detect and mitigate diseases, accidents, and any other factor that may put our employees’ health and physical integrity in risk, as well as to create culture of prevention in order to raise awareness of the importance of health and industrial safety. (GC I and II) »19 over $20 million mexican pesos (us$ 1.8 million) are invested annually in accident prevention programs ACTIONS TOWARDS SAFETY ASSURANCE 1 Efforts such as Zero Accident program in Argentina and Brazil seek to raise awareness of the importance to assume a safe behavior at work. In only one year, this program in Argentina helped reduce work accidents by 14%. (GC I and II) 2 We promote programs such as the Integral Safety Plan at Coca-Cola FEMSA in Mexico, the Unique Work System at FEMSA Cerveza in Mexico, and the Self-care Culture at Coca-Cola FEMSA in Colombia, that reinforce safety measures inside and outside the company. (GC I and II) for every 100 workers. In 2006 and 2007, FEMSA Cerveza presented a rate of 0.82 and 0.42, respectively; Coca-Cola FEMSA reached rates of 0.59 and 0.64 in the same time period. (GC I and II) EQUAL OPPORTUNITIES FEMSA offers work and development opportunities to all people without distinction of gender, age, religion, or condition, including people with different abilities. Through the FEMSA Workplace Integration System, jointly with the Integral Family Development System (DIF), the hiring of people with such conditions is promoted. (GC I, II, IV and VI) 3 FEMSA Cerveza and Coca-Cola FEMSA in Mexico present rates of absence due to work accidents much lower than the national rate, which in 2006 was of 2.9 incapacities Rubén Francisco Osuna Silva, employee of FEMSA Shared Services Center (CSC) 20« The Presidency and the Department of Labor and Social Security of Mexico granted FEMSA the Inclusive Company Award in 2006 for its actions to integrate people with different abilities Other Acknowledgments 4 In 2005, 2006, and 2007, FEMSA was granted the Ethics and Values in Industry award from the Confederation of Industrial Chambers of Mexico (CONCAMIN), for the principles and ethic values focused on the human being’s dignity and the integral development of people promoted by FEMSA. Isidro Lozano De la Garza, employee of FEMSA Shared Services Center (CSC) ACTIONS TOWARDS INTEGRATION 1 At the end of 2007, in the countries in which the company operates, FEMSA employed over 2,082 people with different abilities or belonging to vulnerable groups, who in this manner have the opportunity to contribute with their knowledge and talent, besides growing and developing themselves. (GC I, II, IV and VI) 2 The Presidency and the Department of Labor and Social Security of Mexico granted FEMSA the Inclusive Company award in 2006 for its actions to integrate people with different abilities and belonging to vulnerable groups. (GC I, II, IV and VI) 4 In 2007, FEMSA and its Business Units, for the third consecutive year, and FEMSA Cerveza, for the first time, were awarded with the Socially Responsible Company distinction, granted by CEMEFI, the most important acknowledgment in RSE (Corporate Social Responsibility) of Mexico. 4 In 2005 and 2006, FEMSA was granted the Great Place to Work in Mexico and Great Place to Work in Latin America acknowledgments. 4 In 2006, FEMSA obtained the Best Employers in Latin America acknowledgment. 4 Coca-Cola FEMSA Argentina was granted the Honourable Mention in the category of Social Programs for personnel, for its Actions With Value program within the ninth edition of the Entrepreneurial Citizenship award, delivered by the Chamber of Commerce of the United States in Argentina. (GC I to X) Catarino Gaytán Martínez, employee of FEMSA Cerveza Mexico femsa employs more than people with different abilities »21 2. Community During the last three years, we allocated approximately $196 million mexican pesos (us$ 17.9 million) to more than 660 educational, health, development, social assistance, and cultural programs, among others, to strengthen the communities 22« Development At FEMSA, we have a very clear commitment to contribute to the development and well-being of the communities in which we operate. Our purpose is to generate economic and social value and, therefore, since our origin, we have sought to take an active role in the promotion of initiatives and programs to support the economic, social, cultural, and in general, the development of the society. »23 Actions With Value Tecnológico de Monterrey (Monterrey Tech) Monterrey Tech is one of the cornerstones of FEMSA’s commitment to education. This institution is now a university with more than 60 years of educational labor in Mexico. The history of Monterrey Tech started in 1943 when a group of businessmen headed by Mr. Eugenio Garza Sada, who was then the Managing Director for the Cuauhtémoc Brewery, planned its foundation and promoted its development. Along the years, the institution evolved to become one of the most important and most highly regarded universities in Mexico and Latin America, currently offering excellence in education to more than 90 thousand students, among whom 45.4% are granted some kind of scholarship for their studies. (GC I, IV and VI) EDUCATION Education is the great driver for development, therefore, at FEMSA we have always supported this aspect among all education levels and areas, including continuity in scholar programs for needed children and youngs, improvement on education in marginal areas, and support to higher education Actions With Value FEMSA Biotechnology Center The FEMSA Biotechnology Center at Monterrey Tech is an area for scientific and technological innovation, focused primarily on the development of biotherapeutics, bioengineering and bioprocesses, agro-biotechnology, genomic nutrition, bioenergy development, and the sustainable use of water. The total investment for its construction was nearly $470 million Mexican pesos (US$ 43 million) and it is the only center in Mexico with facilities for the development of new drugs under the guidelines of GMP (Good Manufacturing Practices) and the FDA (Food and Drug Administration. It has 100 research and scientific support personnel, as well as international agreements with universities such as Cornell and the University of California, among others. (GC I) 24« institutions, seeking, thus, the formation of qualified, responsible, and committed citizens to society. Ever since its foundation up to date, FEMSA has been one of the main promoters and benefactors for Monterrey Tech. ACTIONS FOR EXCELLENCE IN EDUCATION 1 In 2006, we supported the expansion of Monterrey Tech through economic resources and school-company bond programs such as the–International Entrepreneurial Leadership Program (PLEI), which sent students in a mission to visit Coca-Cola FEMSA’s facilities in Argentina, or lectures offered by the university. José Antonio Fernández Carbajal serves as the Vice-President of the university’s Board and some of our executives teach on a regular basis. (GC I, IV and VI) Since 1943, Monterrey Tech offers excellence in education. Today, it has 90,000 students Actions With Value Program for the Valuing of the Young in Brazil This program, performed in cooperation with public schools and the Municipal Secretariat of Education of São Paulo, is a great example of the richness of our social responsibility philosophy acquired through our operations in other countries. The Program Marvelous Box, in Guatemala, stimulates reading among children and youngs 2 Through the FEMSA-UDEM Leaders program, FEMSA and the University of Monterrey maintain a scholarship fund to support standout and low-income students in this institution. In 2006, 13 students were benefited by this program. (GC I, II, IV and VI) 3 Other educational projects of FEMSA are directed to reduce school withdrawal and prepare youngs from marginalized areas so that they can have access to the best opportunities in the labor market. Such programs promote self-esteem and the sense of responsibility through the granting of scholarships and qualification programs. Among them, there is Education for Work and Valuing of the Young in Brazil. (GC I, II, IV, V and VI) The program consists in the selection of students from sixth to eighth grade, whose probability of school withdrawal is high, so that they become “tutors or benefactor” of up to three children from first to fourth grade of elementary school. Thus, they commit to help them in their homework and learning processes, always under the supervision of teachers, and feel motivated to continue their studies. Coca-Cola FEMSA and FEMSA Cerveza supply the training materials, technical assistance, and the evaluations of the young “tutors or benefactors”. In the last three years, more than 2,500 children and youngs that participated in the program were benefited. Only in 2007 there were 700 participants in the program, which concluded with a withdrawal rate of only 0.8%. (GC I, II, IV, V and VI) We promote education through more than programs in nine countries »25 Actions With Value Education for Work Program The Education for Work Program is performed in partnership with the Government of the State of São Paulo and the National Service for Commercial Education (SENAC) in Brazil. It is directed to young people aged between 14 and 24 years old that live in the neighborhoods of the Fontes do Ipiranga State Park and belong to families whose subsistence is provided by only two minimum wages. The program aims at providing them with professional qualification through a development course that lasts six months, after which they will have the opportunity to know the work environment through experiences at the participant companies. The outcomes are extraordinary. At the end of the course, 50% of the participants find a job. In the last two years, 1,123 youngs participated in it. (GC I, II, IV, V and VI) 4 FEMSA also promotes the construction of schools, hostels, and the improvement of educational facilities, so that children and youngs can continue their studies. An example for this is the support provided by FEMSA to Coca-Cola Mexico Foundation, which allowed this institution to continue its work in the construction of nine hostels and five schools in native areas, besides promoting campaigns to collect school items, clothes, blankets, and toys, among other things. The Foundation counts with the participation of all the Coca-Cola bottlers in Mexico. (GC I, II, IV, V and VI) 5 Through programs such as Fixing My School and Schools for Change, in Argentina, FEMSA promotes, respectively, the improvement of rural schools’ infrastructure and a better Education for Work was the development choice for , 26« youngs during the last two years teaching quality. In 2006, 170 schools participated in these programs, with more than 70 thousand students benefited. (GC I, II, IV, V and VI) 6 FEMSA companies also open their doors to universities through efforts like the School-Company program, which give students the opportunity to acquire work experience in Mexico. (GC I, IV and VI) 7 Coca-Cola FEMSA Guatemala supports the United Fund program, which is affiliated to United Way International, intended to encourage the education of low-income children and youngs. Approximately 70 children are benefited every year. (GC I, II, IV, V and VI) coca-cola femsa in mexico sponsors school visits of low-income children to educational and leisure spaces 8 Guided Tours to Plants give students an opportunity to get to know the processes in operation and work culture to enrich their knowledge. Clear examples are the Brazilian facilities, which have been visited by more than 100 thousand youngs, and the FEMSA Cerveza plant in Monterrey, Mexico, which welcomes approximately 80 thousand visitors every year. (GC I, IV, V and VI) 9 The University Connection program of FEMSA Cerveza in Guadalajara, Mexico, consists in sharing knowledge about management, quality, safety, and ecology with university students who lack the necessary infrastructure, which allows students to get closer to the best practices that reinforce their knowledge. (GC I, II, IV and VI) 10 La Tora Playroom is a project that FEMSA patronizes in Colombia together with the Children’s Day Corporation and The Coca-Cola Company, to promote the learning processes for 1,600 children disturbed by violence, through recreational activities in new areas for relation and communication. (GC I, II, IV, V and VI) Fixing My School and Schools for Change in Argentina benefited more than 70,000 students from 170 schools 11 Coca-Cola FEMSA Colombia participates in the Computers for Education program, which promotes access to computing for children and youngs, through the donation of computing equipments to public educational institutions in the country. (GC I, II, IV, V and VI) 12 Los Quinchos School Recovery Project supported by Coca-Cola FEMSA Nicaragua, in partnership with The Coca-Cola Company, promotes the improvement of the conditions of this educational institution that serves lowincome students. It provided the cleaning and painting of classrooms and library, which benefited more than 500 students. (GC I, II, IV, V and VI) Actions With Value TransForma: Entrepreneurs Formation The TransForma: Entrepreneurs Formation program supports the enterprising spirit of youngs in Buenos Aires, Argentina, by strengthening their capacities for the creation of small companies that manufacture products from PET bottle remainders. In 2006, this program was extended to Avellaneda and Boulogne. In the last two years, this program qualified more than 600 youngs, and 2,500 products were acquired by the company to offer them to its customers as Christmas gifts. (GC I, II, IV and V) »27 HEALTH Being aware that health is a universal right, we support efforts directed to health care, including campaigns for preventive medicine and addiction control. 4Besides, we focus our efforts on improving food and nutrition, especially for children on marginalized communities. In the last three years, we destined over $45 million Mexican pesos (US$ 4.1 million) to support 87 health and nutrition programs. (GC I, II and IV) ACTIONS FOR HEALTH 1 The Citizens Plaza is a program performed jointly with the local authorities of Jacareí and the Voluntary Labor Center of FEMSA Cerveza Brazil, where, in addition to social development services, we offer medical services free of charge to low-income communities, such as dental services, cholesterol, diabetes, and blood pressure examinations. In 2006, 400 diabetes check ups and 600 blood pressure check ups were carried out. In 2007, in its third edition, 700 people were attended and more than 70 volunteers participated, among FEMSA personnel, members of non-governmental organizations, and doctors, among others. Up to date, more than 2,400 people were benefited. (GC I and II) With the Citizens Plaza more than 2,400 people were benefited from the voluntary labor of our personnel in Jacareí, Brazil 2 The Educational Center for the Prevention of Children Malnutrition, supported by Coca-Cola FEMSA Argentina, seeks to combat and prevent malnutrition by instructing mothers about the suitable care and nutrition for their children. This effort benefited more than 1,650 people in 2006. (GC I, II and V) Actions With Value Popular Meal The Popular Meal program performed by FEMSA Brazil jointly with the government of Mato Grosso do Sul and Veza Zahram Foundation, supplies every day valuable and healthy food to 300 extremely poor people that live in the state suburbs. The people receive food in a clean, proper dinning-hall at a symbolic price of approximately $19 Mexican pesos (US$ 1.7). In 2006, this program served more than 56 thousand lunches and, in 2007, it benefited 109,500 people. Since its implementation, the program has already served more than 180 thousand meals. (GC I, II and V) 28« Actions With Value OXXO Rounding-Off Program (PRO) The OXXO Rounding-Off Program (PRO) aims at collecting economic funds in order to grant them to institutions that help poor people. PRO consists in inviting OXXO customers to round up their bills. The program currently operates in 50 cities in Mexico, and as a result of the customers’ contribution, it has already benefited more than 533 social assistance, health, and educational institutions since its implementation in 2002, collecting over $205 million Mexican pesos (US$ 18.8 million). In 2007, it collected $64.5 million Mexican pesos (US$ 5.9 million), which supported the labor of more than 160 charities. We are proud of selecting the institutions and being the means so that our customers can support the society. (GC I, II, IV, V and VI) 3 FEMSA supports the Food Banks in Colombia and Argentina by donating products and facilitating food transportation. In 2006, 1,361 institutions that support more than 190 thousand people were benefited in Colombia and 292 institutions were supported in Argentina, among nurseries, schools, and dining-halls. (GC I, II and V) 4 We contribute to the promotion of the community health through programs like the Campaign against Dengue Fever in Costa Rica, which aims at reducing this disease’s occurrence among the population. This event was held by Coca-Cola FEMSA in partnership with the Ministry of Health and the Social Security Savings Bank of Costa Rica, and benefited 1,350 people in 2006. (GC I and II) SOCIAL ASSISTANCE FEMSA also contributes to the communities’ development, mainly the ones most marginalized, by supporting social assistance programs. ACTIONS FOR SOCIAL DEVELOPMENT 1 The FEMSA Solidarity program in Brazil benefits more than 30 thousand people every year and includes different activities such as the collection of clothes, blankets, computers, and foods, which are destined to people and schools located in destitute areas. Through the Hope Program, eight institutions are supported on a monthly basis, including Cancer Hospital, Orphanage Santa Terezinha, OXXO customers have donated more than Mexican pesos through PRO »29 we participate in the warm winter campaign, which benefits more than 1,000 children and youngs every year and Café Aprendiz. Through the Health Program, FEMSA companies’ personnel collect medicines and hygiene items which are delivered to institutions registered with the local government. (GC I, II and V) 2 Coca-Cola FEMSA Colombia supports the Minute of God Corporation which holds every year the Million Banquet event, in which it collects funds to build housing for marginalized people. Every year, we provide products to more than 1,200 people that attend the event, besides a cash donation. (PM I and II) 3 Coca-Cola FEMSA Brazil contributes to the project Every Drop is Worth it, from the Coca-Cola System in Brazil, which at a certain period of the year transfers part of the sales to support social development and environmental protection programs. In 2006, it enabled the gathering of over $24 million Mexican pesos (US$ 2.2 million), benefiting 500 thousand people. (GC I, II and VIII) 4 The Solidarity Events program of Coca-Cola FEMSA Argentina aims at putting the company closer to the community through the celebration of events, such as Children’s Day and Christmas. With the money from admission fees and the toys collected, 72 wheelchairs were acquired for children and 50 thousand toys were donated to Cáritas’ children dining-halls. (GC I, II and V) 5 The Warm Winter Campaign, which counts with the participation of The Coca-Cola System bottlers in Mexico, is supported by our partners from Coca-Cola FEMSA of Mexico Valley, through the promotion of the donation of clothes and blankets to the Coca-Cola Foundation’s hostels and schools. Every year almost one thousand children and youngs are benefited with the collected articles. (GC I, II, IV and V) We get closer to the community on important dates through voluntary labor programs and donations in kind 30« Actions With Value FEMSA Monterrey Biennial FEMSA Monterrey Biennial is an initiative that has sought to promote and diffuse the artistic creation in Mexico since 1992, through one of the most highly regarded visual arts contest in the country. Until now, more than 13,400 works of art of approximately 6 thousand artists have participated through the Biennial; that has performed its eighth edition celebrating 16 years of existence. In 2005 and 2006, more than 80 thousand people visited this art exhibition. (GC I) CULTURE 4 FEMSA embraces a long tradition of incentives to support art and culture as a whole. In 2005, 2006, and 2007, almost $80 million Mexican pesos (US$ 7.3 million) were invested to promote cultural activities. (GC I) ACTIONS FOR CULTURE PROMOTION 1 The FEMSA Art Collection, which comprises more than one thousand works of Mexican and Latin-American artists, is exhibited through an annual program of itinerant exhibitions in Mexico and other countries. In the last three years, more than one million and 330 thousand people appreciated this collection in 13 exhibitions, one of which was carried out in Albuquerque, New Mexico. (GC I) 2 In November 2006, Casa Chihuahua was inaugurated with the Latin America’s Selected Masters exhibition, a new cultural space in Chihuahua, Mexico. This exhibition gathered works of great Latin-American artists like Frida Kahlo, Roberto Matta, Joaquín Torres García, among others. (GC I) 3 Quench Your Reading Thirst in Colombia, fosters the children’s reading habit, thanks to the sponsorship of more than 300 collaborators of Coca-Cola FEMSA. The program offers mobile libraries to schools and teacher qualification programs. In 2006, 23 schools from eight cities of the country and more than 16,400 students participated in this program. (GC I, II, V and VI) In Colombia, more than , students participated in the Quench Your Reading Thirst program »31 refresh yourself reading program has already benefited 478,000 people in 15 states of venezuela, creating reading spaces, including the library bus 4 The Refresh Yourself Reading program, in Venezuela, works jointly with the Book Bank from that country and The Coca-Cola Company, holding teachers’, parents’, and librarians’ training workshops, as well as creating reading spaces, including the Library Bus, which visits public schools and squares carrying books and offering reading sessions to open groups. This program has already benefited more than 478 thousand people in 15 states of Venezuela. (GC I, II, V and VI) 5 In Brazil, FEMSA promotes two programs that favor the direct contact of children and youngs with the theater. One of them is called FEMSA Takes you to the Theatre, which promotes pedagogical activities in class and exhibition of theater plays free of charge. More than $980 thousand Mexican pesos (US$ 90,000) are invested every year and more than 38 thousand children aged between 7 and 14 years old participate in the program. In 2007, more than 10 thousand children and youngs attended to see a play for the first time in their lives. (GC I and V) FEMSA Brazil has taken more than 58,000 children and youngs aged between 7 and 14 years old to the theatre. 10,000 of them watched a play for the first time in their lives 32« 6 A project combined with the aforementioned is the FEMSA Award to the Infant and Juvenile Theatre, which promotes and acknowledges the best performances and actors of infants and juvenile theater in Brazil, including the works presented at the FEMSA Takes You to the Theatre program. This is the only program of its kind in Latin America. In 2007, new categories were added to this award, including best supporting actress and actor award, best original and adapted screenplay, best original and adapted song, besides a monetary prize equivalent to $61,600 Mexican pesos (US$ 5,650) to the two performances awarded and $30,800 Mexican pesos (US$ 2,800) to the best ones in the other 15 categories. (GC I and V) 7 Coca-Cola FEMSA Mexico sponsors school visits of low-income children to educational and leisure spaces such as “The Kite Museum” and “The Farm of the Americas”, besides sponsoring events to take entertainment to children admitted in hospitals and daycare centers. (GC I, II, V and VI) Actions With Value Baseball Hall of Fame FEMSA was the founder and has been the main sponsor of the Baseball Hall of Fame in Mexico, which comprises a museum that narrates the history of this sport in the country and a section dedicated to perpetuate the memories of its great representatives. In 2007, this space welcomed 145,718 visitors, which represented 400 visitors per day. (GC I) SPORTS FEMSA promotes sports as a way to support health care, personal development and leisure. We support programs with the most popular sports in each country where FEMSA operates. SPORTS INCENTIVE ACTIONS 1 FEMSA Comercio holds another event of high impact on the community: the 21K OXXO race, organized for 17 years in Chihuahua, Mexico. In 2007, more than 4,500 national and international-level racers participated in this event, which counted with participants from Kenya, members of the Tarahumara community, wheelchair racers, visual disabled people, FEMSA’s collaborators, and employees from the local and state governments of Chihuahua, among others. (GC I) , visits to the Hall of Fame in Mexico during 2007 2 Facilities from FEMSA Cerveza Mexico encourage sports within the local sphere with actions such as Sports Workshops and the Thunder Tournaments in Tecate, in which more than 1,200 athletes participated in 2006; the Children’s Baseball and Football Leagues in Chihuahua, with more than 900 participants and the Children’s Mini Olympic Games at the Northwest Distributor of FEMSA Cerveza, where 150 children competed. (GC I, II, IV, V and VI) Actions With Value Coca-Cola Cup The Coca-Cola Football Cup, in which Coca-Cola FEMSA participates jointly with The Coca-Cola System in the different countries where we operate, has already celebrated its tenth anniversary. These international sports tournaments give the children and youngs, both in the female and male categories, the opportunity to participate and, according to their performance, travel representing their school, state, and country. Besides nurturing and raising talents, it allows fostering a healthy activity between children and youngs. These events count on the participation of over 100 thousand athletes coming from more than 1,100 schools in 20 countries. (GC I, II and V) »33 3 FEMSA Cerveza Brazil, jointly with the Football Federation of São Paulo and the Municipal Secretariat of Sports, promote the Kaiser Cup, in which 208 teams participate every year. The tournament is held from March to December and, for 10 consecutive years, has been considered as one of the most important tournaments in the amateur category. Actually, great players like Ricardo Oliveira, Kléber, Zé Roberto, Serginho Chulapa, and César Sampaio, among others, were discovered in this tournament. (GC I and II) 4 Coca-Cola FEMSA Venezuela supported the South-American Football Championship in the Special Olympic Games held on the settings of the Copa America Venezuela 2007. In this tournament, which took place from June 2nd to the 10th in Valencia, Carabobo, 325 athletes with different qualifications coming from 12 Latin-American countries participated, and approximately 10,000 spectators attended the event. (GC I, II and VI) RESPONSIBLE MARKETING 4 FEMSA promotes the responsible consumption of its alcoholic products through programs in which Mexico has been the pioneer. In 2006 and 2007, over $36 million Mexican pesos (US$ 3.3 million) were invested in this effort. Over 100 thousand athletes coming from more than 1,100 schools of 20 countries participated in the Coca-Cola Football Cup ACTIONS TOWARDS THE PROMOTION OF RESPONSIBLE CONSUMPTION 1 FEMSA Cerveza executed the Tracing my Own Future program, designed by the University of Monterrey (UDEM), reaching more than 26,000 youngs in junior-high school. This program aims at developing the abilities for life among the participant children and youngs. World Health Organization’s and UNICEF’s studies evidenced that the development of abilities for life prevents risk behaviors among young people. (GC I, II, IV, V y VI) Actions With Value Responsible Consumption of its Beverages One of FEMSA’s main commitments is the promotion of a responsible consumption of its beverages. In 2002, in cooperation with the University of Monterrey and the Social Research Foundation, FEMSA established the Responsible Lifestyle Workshop – VIRE, intended to promote a responsible lifestyle among young people in all aspects of their lives. The program prepares promoters, which take the message to schools and universities, forums, and means of mass communication. Since its implementation, more than 160 workshops were held and more than 6,500 promoters were qualified. In 2006, over $2 million Mexican pesos (US$ 250 million) were invested in this program and, in 2007, the message was taken to more than 3,900 people. (GC I, II, IV, V and VI) 34« in 2006, approximately $6 million mexican pesos (us$ 549,000) were invested in the designated driver program 2 FEMSA Cerveza was the first Mexican company to promote and sponsor the Designated Driver program starting more than 15 years ago. The purpose is to contribute reducing the number of automobile accidents related to alcohol abuse. In 2006, approximately $6 million Mexican pesos (US$ 549 thousand) were invested in this program. In 2007, there were 29,465 drivers registered and 92,662 people benefited. It is worth mentioning that all the beer brands contributed with part of their budgets to promote the Today is your Turn advertising campaign, of Designated Driver. (GC I and II) different Mexican cities. In 2007, 822 waiters participating in the program were granted diplomas. (GC I and II) 4 The Tour with Responsibility for Success is a program that counts with the participation of successfully and nationally acknowledged characters, which transmit motivational messages at schools, universities, open debates, and other events through the promotion of values, such as talent, effort, character, and discipline. In 2006, these events were held in six cities of Mexico with almost 6 thousand people attending. On the other hand, in 2007, the participation of almost 13 thousand people was recorded. (GC I and II) 3 Through the Responsible Waiter workshop, it is intended to raise awareness among waiters and employees of bars and restaurants of the importance of promoting a responsible consumption of alcoholic beverages. As part of this effort, FEMSA promoted in 2006 the participation of eight institutions, including chambers of commerce and restaurants in , designated drivers enrolled in 2007 »35 3. Environmental femsa’s environmental policy outlines the main actions so that its facilities can operate in a sustainable manner 36« Care FEMSA has the clear commitment to work in harmony with the environment, ensuring suitable conditions for the development of future generations. Traditionally, the company has maintained a sustainable development policy, performing actions and investments intended to attenuate or neutralize its operations’ impact on the environment. All FEMSA facilities comply with the environmental legislations in the countries where it operates, and most of them count on certifications and acknowledgments of public and private institutions in environmental issues. ENVIRONMENTAL POLICY 4 To innovate the operations through environment-friendly technologies. 4 Continuous qualifications to collaborators in techniques towards protecting the environment. 4 To promote among collaborators an attitude of leadership in favor of the environment. 4 The constant search of opportunities to reduce the environmental impacts and the use of natural resources, by means of higher efficiency, innovation, and performance monitoring. »37 Water treatment facility in Coca-Cola FEMSA; Alcorta, Buenos Aires Plant for the treatment of Coca-Cola FEMSA affluents in Alcorta, Buenos Aires ACTIONS FOR ENVIRONMENTAL CARE 1 FEMSA Cerveza Mexico invested more than $246 million Mexican pesos (US$ 22.5 million) in environmental care between 2003 and 2006. (GC VII, VIII and IX) 2 During the first quarter of 2007, comparing with the same period in 2006, Coca-Cola FEMSA saved $20 million Mexican pesos (US$ 1.8 million) with improvements in environmental indicators. (GC VII, VIII and IX) ACTIONS FOR THE SUSTAINABLE USE OF WATER FEMSA makes important efforts to optimize and reduce water consumption. 1 The company operates 32 water treatment plants, 20 of which are located in Mexico. Besides that, it invests in more efficient equipment and systems for the recovery of liquid in its processes. (GC VII, VIII and IX) 38« Coca-Cola FEMSA invested more than $16 million Mexican pesos (US$1.4 million) in the improvement of its processes to reduce consumption and stimulate water recycling in its operations 2 All the beer plants in Mexico operate beyond the industrial international standards for water consumption. (GC VII, VIII and IX) 3 FEMSA Cerveza operations in Mexico reduced 9.13% the water consumption during 2006. (GC VII, VIII and IX) 4 Coca-Cola FEMSA invested more than $16 million Mexican pesos (US$1.4 million) improving its processes to reduce consumption and stimulate water recycling in its operations in Argentina, Brazil, and Mexico. (GC VII, VIII and IX) 5 Through programs of operational efficiency and water saving, the soft drinks operations in Mexico reduced their consumption in 435 thousand cubic meters (m3) during 2006, which is equivalent to the monthly average consumption of 75 million people. (GC VII, VIII and IX) 6 FEMSA Cerveza’s facilities in Jacareí and Araraquara, in Brazil, reduced in 25% and 4% their water consumption respectively, through programs of operational efficiency in 2006. (GC VII, VIII and IX) 7 In 2007 the Jundiaí plant of Coca-Cola FEMSA Brazil, achieved reducing its water consumption to 1.5 liters for every liter of beverage produced, becoming a world icon for the excellent usage of this resource. (GC VII, VIII and IX) 8 In the soft drink facilities in Colombia, new equipments were installed for the recovery of water from the reusable bottle washers. As a result, during 2006 it was possible to recover 152.640 cubic meters (m3) of water. (GC VII, VIII and IX) 9 Another example is FEMSA Empaques in Mexico, which invested in equipment for the recovery of water in retro washing sections, which allowed the saving of 10.891 cubic meters (m3) of water in 2006. (GC VII, VIII and IX) REFORESTATION ACTIONS In the last three years FEMSA stimulated in a particular way the reforestation programs that, by the plantation of trees, contribute to the recovery of the ecological balance, including the ground-water area and wild life in general. Actions With Value Water Factory Nevado de Toluca Nevado de Toluca is one of the highest and most beautiful mountains in Mexico. Located in one of the most populated areas of the country, very close to the capital, this volcano was in the past surrounded by great extensions of fir woods and pine trees. However, along the years, the environment has been affected by deforestation, which has been impacting wild life and in general the ecological cycle. Coca-Cola FEMSA, together with authorities, a group of entrepreneurs, and the Probosque Organization, initiated in August 2006 the project called Water Factory Nevado de Toluca, whose objective is to recover the forest mass in this area, which allows an increase of ground-water. The project consists in the reforestation of 500 hectares with more than 600 thousand pine trees, and the support for the maintenance of the area, together with regional communities. During the first day of activities 380 people, among company collaborators and their families, participated by planting five thousand pine trees. (GC VII and VIII) 1 A reforestation program developed by FEMSA Cerveza Brazil consisted in planting 50 thousand trees on the region of Sierra do Mar. (GC VII and VIII) 2 In Veracruz, Mexico, Coca-Cola FEMSA collaborators and their families participated in the reforestation of the Natura Park, where 500 trees were planted in 2006. Additionally, in the state of Veracruz, collaborators of FEMSA Empaques and FEMSA Cerveza and their families, participated in the recovery of the flora and fauna of the Coca-Cola FEMSA Brazil planted more than , trees in Sierra do Mar »39 region, through the reforestation of the hills of El Gentil, El Borrego, and La Capilla. (GC VII and VIII) 3 FEMSA Cerveza plant in Tecate, Mexico, traditionally collaborates in the reforestation campaigns performed in the city twice a year, in which through a survey, the citizens decide the areas to be reforested. (GC VII and VIII) 4 FEMSA Cerveza in Navojoa, Mexico, actively participates in the Ecological Saturdays, dedicated to instigate an environmental culture of respect in the community through reforestation programs of public places, (parks, squares, streets, avenues, and schools) planting around 600 trees a year. (GC VII and VIII) Actions With Value Brazilian Atlantic Forest Every four minutes an area equivalent to a soccer field is destroyed in the Brazilian Atlantic Forest. Because of that, the operations of FEMSA in Brazil developed two important reforestation programs in partnership with the SOS Mata Atlântica foundation: 4The creation of the ecological corridor Crystal Water Forest for the Future, an extension of 1km of trees along the banks of Jundiaí river, with which it is intended to preserve the large number of sources and water reserves, which are essentially needed for the development of São Paulo, as well as the biological diversity of this region. In this region, the Tietê river drainage basin is located, which is present in 32 cities of the state, affecting more than 26 million people. In 2006 more than 15 thousand trees of 80 different species were planted, while in 2007 this number was increased to 20 thousand trees. 4The second program is the initiative of the Coca-Cola system in Brazil, Back to Nature, in which FEMSA actively participates and has the objective of planting 3.3 million trees in Serra do Japi in the state of São Paulo, along the next five years. This project will have a total investment equivalent to more than $166 million Mexican pesos (US$ 15.2 million). (GC VII and VIII) 40« 5 In order to support the recovery of the forest mass in the woods of La Primavera in Guadalajara, Mexico, FEMSA Cerveza established a partnership with the authorities, becoming responsible for an area of land regarding reforestation and maintenance of this protected natural area. (GC VII and VIII) ACTIONS FOR THE RATIONAL USE OF ENERGY Even the smallest action counts. Following this idea, FEMSA promotes a culture of energy saving in all its workplaces through initiatives that range from very simple programs as turning off the lights, to investments on more efficient equipment with lower electricity consumption. We promote a culture of awareness towards environmental care Actions With Value What is an intelligent OXXO store? It is one where the auxiliary equipment for lighting, cooling, and air-conditioning are managed through a Central Unit of Processes in real time, obtaining significant reduction in energy expenditure. This system was integrated to 1,179 OXXO stores throughout 2007, in addition to the other 1,128 stores in which the system has been installed since the beginning of this project. (GC VII, VIII and IX) 1 The operations of soft drinks in Mexico saved more than 110 million mega joules during 2006, which is equivalent to having 35 thousand houses illuminated by a 100 watts light bulb for a year. (GC VII, VIII and IX) 2 The operations of beer in Mexico reduced the energy consumption in 7.87% and the fuel use in 18.68% during 2006. (GC VII, VIII and IX) 3 The facility of Feira de Santana in Brazil implemented actions that generated savings for 792 thousand kilowatts between July 2005 and July 2006. (GC VII, VIII and IX) 4 FEMSA Insumos Estratégicos invested $10 million Mexican pesos (US$ 916 thousand) in improvements in their production processes for saving electricity and natural gas. As a result, the plants of FAMOSA in Monterrey and Ensenada, Mexico, saved almost 678 thousand kilowatts in 2006. (GC VII, VIII and IX) 5 Coca-Cola FEMSA in Argentina invested during 2006, more than $6 million Mexican pesos (US$ 549 thousand) in more efficient and energy saving equipment such as heat recoverers, cooling systems, and engine starters, among others. (GC VII, VIII and IX) We destined resources and efforts to make our operations more efficient and protect the environment The facility of Feira de Santana in Brazil saved , kilowatts between ‘05 and ‘06 »41 In 2005, Coca-Cola FEMSA, Coca-Cola Mexico, and ALPLA invested more than $218 million Mexican pesos (US$ 20 million) at IMER, a PET recycling plant with food grade quality 6 FEMSA Cerveza facility in Manaus, Brazil, installed new water-cooling towers, which allowed an efficiency increase in the production process, including the reduction of 5% in the energy consumption for every hectoliter produced. (GC VII, VIII and IX) 7 Coca-Cola FEMSA in Nicaragua installed systems for Power Supply Circuits Separation, which promoted the saving of 7.5% in energy consumption in 2006. (GC VII, VIII and IX) 8 FEMSA Cerveza plants in Toluca and Monterrey invested more than $30 million Mexican pesos (US$ 2.82 million) in the Danfoss Energy Optimization Program, dedicated to reduce energy consumption through technological improvements in cooling and pasteurization systems. (GC VII, VIII and IX) , 42« tons of PET recycled in the IMER plant in Mexico during 2007 ACTIONS FOR RECYCLING We promote the recycling culture inside and out of our facilities, mainly those related to the materials we use in our processes, such as PET, glass, and aluminum. 1 Through the PET Supply program from Ecology and Entrepreneurial Commitment – ECOCE, promoted by FEMSA, four thousand tons of this material is recycled monthly. More than 100 soft drink and other beverage producers participate in this program. (GC VII, VIII and IX) 2 The Mexican recycling industry (IMER), the recycling plant of PET packaging, built by Coca-Cola FEMSA and Coca-Cola Mexico, together with ALPLA, a plastic packaging producing company, recycled 4,900 tons of plastic bottles between 2005 and 2006. In 2007, the number was 7,200 tons of recycled PET bottles. (GC VII, VIII and IX) we directly participate in initiatives that allow the promotion of an ecological culture in the community and the reduction of pollution in the natural environment 3 In the case of glass and aluminum, our companies recycled, during 2005 and 2006, more than 240 thousand and 9 thousand tons of these materials, respectively. (GC VII, VIII and IX) 4 In Argentina, the program called San Isidro Recycles draws the almost 100 thousand residents of a Buenos Aires region to contribute to the setting apart of residues such as plastic bottles. (GC VII, VIII and IX) 5 FEMSA Cerveza in Orizaba, Mexico performs Glass Collection Campaigns among the students’ community, looking to reinforce the recycling culture. The program involves conferences, donation of containers for disposal, and the granting of benefits to the schools. (GC VII, VIII and IX) ACTIONS FOR A CLEAN AIR We try to protect the purity of air through investments in technologies to reduce the emissions from our processes, including a strict control of the emissions from boilers and other equipments. Besides that, we maintain a program for permanent monitoring and tuning, so that the equipments operate according to established parameters. 1 In areas of intense traffic as downtown Mexico City, we use compact vehicles that operate with an electric battery instead of gas or diesel. We also adapt the transportation equipments so that they can use natural gas as fuel. (GC VII, VIII and IX) 2 Coca-Cola FEMSA in Argentina develops an Annual Program for Technical Verification in all the transportation equipment, including combustion gases emission, and employs biodiesel transportation. (GC VII, VIII and IX) We protect the purity of air with ecological transportation that employs electricity or biodiesel as fuel »43 Actions With Value OXXO Environmental Award The OXXO Environmental Award program in Mexico celebrated two decades of promotion and reinforcement of environmental values, as well as an increase in social awareness among students, teachers, and family men on more than 100 participating schools. Through this program, OXXO recognizes and awards the efforts of students that promote the seeding of trees, cleaning of parks, recycling, garden maintenance, as well as activities of formation in environmental issues. Annually more than $1.5 million Mexican pesos (US$137,400) are invested in this program. (GC VII and VIII) 3 At FEMSA Cerveza Brazil facility in Cuiabá, an investment in vapor boilers was made so that biofuels could be used, which allow the reduction in atmosphere emissions. (GC VII, VIII and IX) ACTIONS TO PROMOTE THE ECOLOGICAL CULTURE We directly participate on initiatives that allow promoting an ecological culture in the community, as well as reducing the contamination on the natural environment. 4 FEMSA Empaques in Mexico maintains a Solvent Recovery Program, which decreases the emission of volatile organic compounds in the environment, besides recycling 42% of the recovered solvent. (GC VII, VIII and IX) 1 The program Coca-Cola Mission, developed by the Coca-Cola System in Mexico, in which Coca-Cola FEMSA participates, takes advantage of guided tours for students in their facilities in order to emphasize to them the importance of taking care of water. The visit becomes a fun experience where children learn about the importance of environmental care. In 2006 more than three thousand children participated in this program. (GC VII and VIII) 5 FEMSA Empaques facilities also count with the Program for the Monitoring of Atmospheric Emissions to guarantee that the equipments operate within allowed limits as defined by present rules. (GC VII, VIII and IX) 44« In 2007, more than 1,400 Coca-Cola FEMSA collaborators participated in the cleaning of beaches, coasts, and rivers; and together collected 11 tons of garbage Actions With Value Planet Mission The project Planet Mission from FEMSA in Nicaragua, Costa Rica, and Panama, jointly with The Coca-Cola Company, was created to promote environmental protection and preservation culture among children and the young generation at schools in these countries and the entire community, through actions as taking care of water, air, and soil, as well as the recycling of plastic bottles. The program also supports the cleaning of public areas, and placing trash cans on beaches and parks in association with local authorities. (GC VII and VIII) 2 Through campaigns such as Add Yourself Up, the collection of batteries, separation and recycling of garbage, and the saving of energy and office material are promoted at FEMSA Headquarters in Mexico. (GC VII and VIII) 3 Learn to Outset in the Environment in Argentina aims to raise students’ awareness about their relationship with the environment, educating about responsible attitudes, and generating changes in ecological matters. (GC VII and VIII) 4 Coca-Cola FEMSA Colombia supported the actions for the protection, cleaning, and recovery of the ground waters of Humedal Capellanía, an important country’s heritage and water source that has been suffering damages in the last years. In 2007 more than $3 million Mexican pesos (US$ 298 thousand) have been invested for the updating of the hydraulic networks and the study of the program Pluvial Waters for Humedal. (GC VII and VIII) 5 In September 2006,Coca-Cola FEMSA Venezuela participated in the World Beach Day program, an event organized by the Defense of Nature Foundation, where the company’s collaborators contributed as volunteers to collect garbage in several beaches in the states of Miranda, Vargas, and Carabobo. (GC VII and VIII) Coca-Cola FEMSA participated in the World Beach Day of Venezuela in »45 since 2002, the plant of femsa cerveza in jacareí, brazil, has had the iso 14001 certification, and in 2006, it received the piraquara award 6 In 2006, Coca-Cola FEMSA in Colombia developed the Beach Cleaning Program in Barranquilla, Cartagena, and Santa Marta. (GC VII and VIII) 9 Coca-Cola FEMSA in Argentina celebrates the Environment Day, in which cleaning actions in public spaces, such as parks and beaches, are performed. (GC VII and VIII) 7 In 2007, Coca-Cola FEMSA collaborators from Colombia, Costa Rica, Mexico, Nicaragua, Panama, and Venezuela participated in the cleaning of beaches, coasts, and riverbanks. In total, more than 1,400 people participated, and together removed more than 11 tons of garbage. (GC VII and VIII) 10 Through the Paper Recycling Workshop, Coca-Cola FEMSA in Mexico promotes, in a friendly way, the recycling of material among students, suppliers, and the community that visits the plants. The workshop teaches participants how to identify and separate the materials that can be used in other processes. (GC VII and VIII) 8 Coca-Cola FEMSA in Mexico celebrates the International Day for the Cleaning of Water Bodies. Collaborators and the community participate in this event collecting garbage along the rivers and lakes like the Pátzcuaro in Michoacán, and Guadalupe, in the state of Mexico. (GC VII and VIII) OTHER ACKNOWLEDGMENTS AND CERTIFICATIONS 1 98% of the facilities of FEMSA Mexico have received the Clean Industry Certification awarded by PROFEPA, the Federal Government’s Environmental Protection Agency in Mexico. (GC VII, VIII and IX) % 46« of femsa facilities in Mexico are certified as Clean Industries four of our brewing facilities in mexico received the environmental excellence award, the utmost ecological acknowledgment in the country 2 In 2006, FEMSA Cerveza Tecate plant received the Environmental Excellence Award granted by PROFEPA, the Federal Government’s Environmental Protection Agency in Mexico, which has also been received by four of our plants due to their actions towards environmental care, going much beyond the minimum established by the law. (GC VII, VIII and IX) 3 In 2007, the Environmental Management System from FEMSA Cerveza Tecate plant in Mexico was recognized for the second time for their best practices of Entrepreneurial Social Responsibility in the category of Care and Preservation of the Environment, granted by CEMEFI. (GC VII, VIII and IX) 4 Several operations of Coca-Cola FEMSA in Argentina and Brazil count with ISO 14001 certification, focused on processes and procedures for environmental care. (GC VII, VIII and IX) 5 FEMSA Cerveza plant in Jacareí, Brazil counts with the ISO 14001 certification since 2002; and in 2006 it was awarded the Piraquara Award for its project of Water Quality Monitoring in the Paraíba do Sul River. (GC VII, VIII and IX) 6 In 2007 Coca-Cola FEMSA Brazil was granted three quality and environmental certifications for the facilities in Jundiaí and Campo Grande, namely: ISO 9001, ISO 14001, and OHSAS 18001. (GC VII, VIII and IX) 7 In 2007 for the second time in a row, Coca-Cola FEMSA Nicaragua won The Cleanest Production Award in the Excellence category for its efficiency in water consumption, reducing 18,873 cubic meters (m3), 214.3 tons of carbon dioxide, and 252.6 tons of plastic a year. (GC VII, VIII and IX) The facilities of FEMSA Cerveza in Jacareí and Coca-Cola FEMSA in Jundiaí and Campo Grande, obtained the ISO 14001 certification »47 4. Economic femsa contributes in several ways for the economic development of the countries where it operates, which is translated into a better quality of life for the communities 48« Development The company not only contributes with the payment of taxes, but also makes strong investments that generate more jobs and supports thousands of small scale entrepreneurs that find in this manner an opportunity of development and progress. We promote our value chain through IDEARSE program, in which FEMSA invited 10 of its SME’s suppliers in Monterrey, Mexico to implement social responsibility measures in their operational processes and share best practices. Through diagnosis made by specialized advisors, the companies elaborated a work plan for which they received several specialized consultancies in areas such as human rights, work conditions, strategic planning, workplace safety and health, among others. Given the importance that the practice of ethics and values in business development has for FEMSA, a workshop was designed and offered to participating companies. As a result, they could elaborate their business code of ethics, values, mission, and vision. This project is an initiative from the Interamerican Development Bank and the Universidad Anáhuac; it started in 2006 and will be finalized in the middle of 2008. (GC I to X) »49 TAXES In 2007, only in Mexico, FEMSA contributed with more than $15,345 million Mexican pesos, in taxes. Actions With Value OXXO Store MICRO-ENTREPRENEURS FEMSA beverage and trade operations supported in 2006 more than 380,000 micro-entrepreneurs related with the production chain, distribution, and product sale in Mexico. Pablo Esquer is one of the store leaders with the longest trajectory at OXXO. This micro-entrepreneur collaborates under a commercial commission system, having under his command a store located in the east side of Monterrey, in Mexico. Pablo counts with the collaboration of his wife and other employees that help him operate the store 24 hours a day, 365 days a year. His work as a commission agent has allowed him to develop a stable economic activity and, for several years, has been the source of his family income, besides contributing to the education of his older son in a private university. Pablo is one among the more than 4,300 commercial commission agents that operate OXXO stores in Mexico. 50« More than 12,700 training courses in administration, marketing, computing, and sales were offered for micro-entrepreneurs between 2005 and 2006 in Mexico. INVESTMENTS FEMSA invested more than US $4,200 millions in the last five years, benefiting activities as the construction and purchase of industrial and transportation equipment. EMPLOYMENT More than 105,000 people work at FEMSA in the nine countries of Latin America in which it operates, being one of the main employers in this region. n Beer and OXXO n Beer, Soft Drinks, and OXXO n Soft Drinks n Beer n Beer and Soft Drinks »51 5. A Global next, we present a summary of the main programs developed during 2005, 2006, and 2007 in each country and, in the case of central america, grouped for the entire region 52« Vison of Social Responsibility Since our origins, at FEMSA we are committed with the simultaneous creation of economic and social value. To reach these objectives, it is fundamental that our collaborators, their families, and all the communities where we operate also develop and grow. Therefore, we proudly export our concept of social development to the nine countries where we are present. Without a doubt, our work culture has been getting enormously richer and stronger due to the variety of cultures, uses, and traditions that we respect and to which we adapt our business strategies. All these have been increasing the value of our perspective in social development and corporate philosophy. »53 Argentina QUALITY OF LIFE IN THE COMPANY A HEALTHY DAY 2007 In 2007, Coca-Cola FEMSA from Argentina had activities to promote physical, mental, and emotional health for its 400 collaborators. They participated in chats about healthcare, medical examinations, sport exercises, and group games. (GC I and IV) FAMILY DAY 2007 More than six thousand people between collaborators and their families got together in the Temaikén Ecological Park to celebrate this day in direct contact with nature. (GC I, IV and V) Argentina Employment 3,408 Investment* in millions of Mexican pesos $ 645 Investment* in US$ millions $ 59.7 Social Programs* 35 Educational Programs 6 Family Development Programs 9 Health and Sport Programs 9 Wastewater treatment plant Investment in the main social programs* Millions of Mexican pesos US$ millions People benefited * Corresponds to the period of 2005, 2006, and 2007 54« 1 $ $ 13.5 1.2 126,707 WIVES’ INTEGRATION MEETING More than 3,300 collaborators’ wives participated in the XII edition of this meeting in 2007. This event promotes family well-being through chats about physical, mental, and emotional healthcare of couples and their kids. (GC I, IV and V) SUMMER ACTIVITIES FOR VACATIONS More than 400 collaborators’ sons and daughters participated in outdoor group recreation activities. In 2006, six thousand liters of milk were donated to community associations in Buenos Aires, thanks to funds collected with the registration costs and a contribution made by Coca-Cola FEMSA. (GC I and II) CHILDREN’S DRAWING CONTEST 2005 Its objective is to stimulate in the collaborators’ children their creativity, integration, and knowledge of FEMSA culture, through free expression. The work of all participants is recognized, and three are chosen to win a prize. (GC I and V) ZERO ACCIDENTS This program achieved to reduce by 14% the occupational accidents in only one year, demonstrating that the culture of safety and prevention has great effects on health, well-being, and productivity. (GC I and II) TRANSFORMA: ENTREPRENEURS FORMATION It supports the enterprising spirits of youngs, by strengthening their capacities for the creation of small companies that manufacture articles starting with PET products remainders. In the last two years, this program qualified more than 600 youngs, and 2,500 products were acquired by the company to offer as a gift to its customers. (GC I, II, IV and V) COMMUNITY DEVELOPMENT FIXING MY SCHOOL AND SCHOOLS FOR CHANGE They promote the improvement of rural schools’ infrastructure and a better teaching quality. In 2006, 170 schools participated in such programs, with more than 70 thousand students benefited. (GC I, II, IV, V and VI) ENVIRONMENTAL CARE We contribute to the economic and social growth of the communities where we operate SAN ISIDRO RECYCLES Coca-Cola FEMSA Argentina draws 100 thousand residents of a region in Buenos Aires to do garbage separation, so it can be recycled and used in other processes. (GC VII, VIII and IX) ENERGY CONSUMPTION SAVING In 2006 alone, more than $6 million Mexican pesos (US$ 549 thousand) were invested in more efficient and energy saving equipments, such as heat recoverers, cooling systems, and engine starters. (GC VII, VIII and IX) Actions With Value Acknowledgments 4Tobacco Smoke-Free Company Thanks to the actions performed to create a healthy culture as the Campaign of Smoking Prevention, Coca-Cola FEMSA Argentina obtained this re-certification. (GC I) 4Honourable Mention for Entrepreneurial Citizenship Award 2007 It was obtained thanks to the Actions with Value program, which aims at the integral development of collaborators and their families. Coca-Cola FEMSA Argentina was granted the honourable mention in the category of Social Programs for human resources, at the Chamber of Commerce of the United States in Argentina. (GC I, II, III, IV, V and VI) We will keep offering our dedication, time, and resources to generate social development and progress »55 Brazil QUALITY OF LIFE IN THE COMPANY YOUNGS CAMPING During 2006 and 2007, more than 2,100 children of our collaborators, aged between 9 and 17 years old, participated on integral dynamics that reinforce values and their importance in everyday life. (GC I and V) FAMILY DAY The Family Day in Brazil is a tradition that has been celebrated for five years and has now become an official festivity in the city of São Paulo. Every year more than 20 thousand people get together for social activities. (GC I, IV and V) COMMUNITY DEVELOPMENT Brazil Employment 9,786 Investment* in millions of Mexican pesos $ 1,648 Investment* in US$ millions $ 152.1 Social Programs* 42 Educational Programs 23 Family Development Programs 56« 9 Health and Sport Programs 10 Wastewater treatment plants 2 Investment in the main social programs* Millions of Mexican pesos US$ millions $ $ People benefited 2,171,949 * Corresponds to the period of 2005, 2006, and 2007 KAISER CUP With the participation of more than 208 teams, FEMSA Cerveza Brazil, the Football Federation of São Paulo, and the Municipal Secretariat of Sports organize the Kaiser Cup, considered one of the most important amateur tournaments. Great players like Ricardo Oliveira, Kléber, Zé Roberto, Serginho Chulapa, and César Sampaio, among others, were discovered in this tournament. (GC I, II and VI) 50 4.5 POPULAR MEAL In 2006 more than 56 thousand lunches were served, and in 2007, 109,500 extremely poor people that live in the city outskirts in Mato Grosso do Sul were benefited. Since the beginning, the program has already served more than 180 thousand meals. It is supported by FEMSA Brazil in association with the government of Mato Grosso do Sul and the Vera Zahran Foundation. (GC I, II and V) VALUING OF THE YOUNG PEOPLE In the last three years, this program has already benefited more than 2,500 children and young people. Through it, students from sixth to eight grades, whose probability of school withdrawal is high, become tutors of up to three children from first to fourth grades of elementary school. Thus, they will commit to help them in their learning process under the supervision of teachers, being motivated to keep studying. In 2007 alone, there were 700 participants, and the records show that only 0.8% of students dropped out of school. FEMSA develops this program with public schools and the Municipal Department of Education of São Paulo. Coca-Cola FEMSA and FEMSA Cerveza supply the training materials, technical assistance, and the “tutors’ or benefactors’” evaluation. (GC I, II, IV, V and VI) EDUCATION FOR WORK It is one of FEMSA’s programs that have the strongest social impact, being developed in partnership with the state government and the National Service for Commercial Education in São Paulo. It qualifies young people for work during six months. After concluding this period, they can participate in professional internships within the participant companies. In 2007, 637 certificates were granted to young people aged between 15 and 24 years old. 50% of them get a steady job after concluding the qualification process. (GC I, II, IV, V and VI) CITIZENS’ PLAZA In 2007, 70 collaborators offered free medical and legal services for about 700 people in Jacareí. Along the three editions, the program has already benefited 2,400 people. (GC I and II) ENVIRONMENTAL CARE WATER CONSUMPTION SAVING In 2006, FEMSA Cerveza plants in Jacareí and Araraquara, reduced their water consumption in 25% and 4% respectively, through programs of operational efficiency. (GC VII, VIII and IX) In 2007, the Jundiaí plant of Coca-Cola FEMSA reduced its water consumptions for 1.5 liters for each liter of product, which made it a world icon for the excellent usage of this resource. (GC VII, VIII and IX) FEMSA Brazil has already obtained 94% of elimination of organic and toxic residues from the water used in their processes, therefore, when the water is given back to the ecosystem, its purity index is higher than before, when it was initially obtained. (GC VII, VIII and IX) EVERY DROP IS WORTH IT Coca-Cola FEMSA contributes to this project of the CocaCola System in Brazil, which at a certain period of the year, transfers part of the sales to support social development and environmental protection programs. In 2006, $24.6 million Mexican pesos (US$2.2 millions) were collected, benefiting 500 thousand people. (GC I, II and VIII) FEMSA TAKES YOU TO THE THEATRE This program promotes theatre through educational activities in the classroom and free exhibition of theatre plays. More than 38 thousand children and young people participate. In 2007, more than 10 thousand participants went to the theatre for the first time in their lives. Every year FEMSA invests almost $1 million Mexican pesos (US$ 90,000) in this program. (GC I and V) FEMSA AWARD TO THE INFANT AND JUVENILE THEATRE It is the only program of this kind in Latin America. It promotes and acknowledges the best performances and actors of infants and juvenile theatre in Brazil, including the works presented in the FEMSA Takes You to the Theatre program. In 2007, a money prize of almost $61,600 Mexican pesos (US$5,650) was established to be given to the two performances awarded; and $30,800 Mexican pesos (S$ 2,800) to the best ones in the other 15 categories. (GC I and V) 18 IS LEGAL In 2007 more than 100 thousand printed materials were distributed in the selling locations, aiming at building consciousness to the importance of the responsible consumption of alcoholic beverages and its prohibition for those younger than 18 years old. (GC I and II) Actions With Value Acknowledgments 4Citizen Company Assurance The City Council of Jacareí has acknowledged FEMSA Cerveza Brazil for its social responsibility actions during five consecutive years. (GC I to X) 4Green Seal This distinction acknowledges the Environmental Management System of all our Brazilian operations. (GC VII, VIII and IX) 4ISO Certifications In 2007, Coca-Cola FEMSA ‘s facility in Campo Grande obtained three certifications in management systems: ISO 9001 for quality, ISO 14001 for environmental preservation, and OHSAS 18001 for health and safety. (GC VII, VIII and IX) »57 Central America QUALITY OF LIFE IN THE COMPANY KOF CUP CENTRAL AMERICA It took place in 2007, and brought together, in regards to soccer, collaborators from Guatemala, Nicaragua, Panama, and Costa Rica, who attended with their families. Panama was the champion team and now the players are getting ready for the KOF Cup Central America that will take place during 2008. (GC I, IV and VI) HEALTHY LIFESTYLE AND HEALTH FAIR At Coca-Cola FEMSA Costa Rica and Panama, more than 1,700 collaborators and their families were benefited every year with pediatrics, odontology, ophthalmology, and nutrition services. (GC I and IV) Central America Employment 5,282 Investment* in millions of Mexican pesos $ 218 Investment* in US$ millions $ 57.8 Social Programs* 153 Educational Programs 30 Family Development Programs 41 Health and Sport Programs 29 Wastewater treatment plant Investment in the main social programs* Millions of Mexican pesos US$ millions People benefited FAMILY DAY On August 26th 2007, collaborators of Coca-Cola FEMSA Costa Rica and their families celebrated the Family Day by participating in recreational activities that stimulated teamwork. (GC I, IV and V) CHRISTMAS PARTY FOR THE FAMILY More than three thousand collaborators of Coca-Cola FEMSA Guatemala and their families get together every year for this party. Integration activities for families and personnel are planned for this day, while values such as companionship and gratitude are reinforced. (GC I, IV and V) 1 $ $ 30.7 2.8 46,732 COCA-COLA SUMMER Every year, more than 400 children of collaborators in Coca-Cola FEMSA Panama learn about the importance of discipline, respect, and environmental care through workshops and healthy and formation activities. (GC I, V and VI) COMMUNITY DEVELOPMENT * Corresponds to the period of 2005, 2006, and 2007 58« A MEAL...A SMILE In 2007, more than 10 thousand low-income students received a meal at no cost every day of the school calendar. Coca-Cola FEMSA Nicaragua jointly with The CocaCola Company and the American Nicaraguan Foundation support this program to decrease school withdrawal rates. (GC I, II, IV, V and VI) CAMPAIGN AGAINST DENGUE FEVER This program carried out by Coca-Cola FEMSA Costa Rica, in partnership with the Ministry of Health and the Social Security Savings Bank of Costa Rica, promoted health in the community and benefited 1,350 people in 2006. (GC I and II) LOS QUINCHOS SCHOOL RECOVERY Coca-Cola FEMSA Nicaragua and The Coca-Cola Company promoted the cleaning and painting of classrooms and library of this educational institution, benefiting more than 500 lowincome students. (GC I, II, IV, V and IV) UNITED FUND PROGRAM Through this program, we stimulate the education of 70 low-income children and youngs every year. Coca-Cola FEMSA Guatemala supports this program, which is affiliated to United Way International. (GC I, II, IV, V and VI) ENVIRONMENTAL CARE PLANET MISSION In 2007, 1,300 tons of plastic were recycled thanks to this program, which Coca-Cola FEMSA Costa Rica has carried out for approximately 10 years to raise the consumers’ awareness about the environmental damages caused by the improper management of wastes. The collected plastic is sent to Coca-Cola FEMSA’s Plastics Division where it is ground and then exported and used in the manufacture of polyester fiber. Besides the collection, there are exhibitions in environmental fairs, chats, and visits of students to the plant. (GC VII, VIII and IX) ENERGY CONSUMPTION SAVING In 2006, Coca-Cola FEMSA Nicaragua saved 7.5% in energy consumption, due to the installation of Power Supply Circuits Separation Systems. (GC VII, VIII and IX) Actions With Value Acknowledgments 4The Cleanest Production Award In 2007, for the second consecutive year, Coca Cola FEMSA Nicaragua won this award in the Excellence category, due to the annual reduction of 18,873 cubic meters (m3) in water consumption, 214.3 tons of carbon dioxide, and 252.6 tons of plastic. (GC VII, VIII and IX) Colombia QUALITY OF LIFE IN THE COMPANY INVESTMENT IN SAFETY, HYGIENE, AND HEALTH In 2006, Coca-Cola FEMSA Colombia invested more than $14 million Mexican pesos (US$ 1.3 million) in safety, hygiene, and health programs. (GC I, IV and VI) MOTHERS’ AND FATHERS’ DAY In order to recognize the effort and dedication of mothers and fathers that work at the company, Coca-Cola FEMSA Colombia celebrated both dates with a magnificent event in 2007. (GC I, IV, V and VI) FAMILY VISITS Every year, 4,600 collaborators and their families visit the facilities of Coca-Cola FEMSA Colombia, where family integration and FEMSA’s work culture are promoted. (GC I, IV and V) COMMUNITY DEVELOPMENT FOOD BANKS Every year, 187 thousand people from several foundations, community dining-halls, and children’s homes are benefited through the support granted to 14 food banks. Coca-Cola FEMSA Colombia provides transportation services, product donation, and assistance in legal formalities; besides it invites other companies, suppliers, and customers to take part on this program. (GC I, II and V) MILLION BANQUET In 2006, this effort was supported through the donation of products to more than 1,200 people and a cash contribution. The funds collected are destined to provide housing to the poorest population sectors. We have supported this event organized by “Minute of God Corporation” for several years. (GC I and II) QUENCH YOUR THIRST OF READING 16,400 students and more than 200 teachers from 21 educational institutions have been benefited through this program that fosters the reading habit at public institutions. It has endowed schools with mobile libraries, and qualifies and stimulates the teachers so that they promote reading in their classes. (GC I, II, V and VI) »59 LA TORA PLAYROOM Through recreational activities in new areas for relation and communication spaces, the learning processes of more than 1,600 children disturbed by violence have been encouraged. Collaborators of Coca-Cola FEMSA Colombia patronize this project jointly with the Children’s Day Corporation and The Coca-Cola Company. (GC I, II, IV, V and IV) COMPUTERS FOR EDUCATION During 2006 and 2007, more than 9,500 students from public schools were benefited with the donation of computing equipments, which allow them to support their learning process. This donation is performed in partnership with other companies and the Ministry of Education of Colombia. (GC I, II, IV, V and IV) ENVIRONMENTAL CARE Colombia Employment 7,961 Investment* in millions of Mexican pesos $ 434 Investment* in US$ millions $ 154 Social Programs* 85 Educational Programs 22 Family Development Programs 8 Health and Sport Programs 5 Wastewater treatment plants 6 Investment in the main social programs* Millions of Mexican pesos US$ millions $ $ People benefited 3,523,142 37.2 3.4 XI COASTS CLEANING JOURNEY In 2007, in Bahia de Santa Marta and Riohacha, more than six tons of garbage was collected with the support of 1,300 people. CocaCola FEMSA Colombia performed this activity jointly with The Coca-Cola Company and other companies. (GC VII and VIII) WATER CONSUMPTION SAVING Due to the installation of new equipments in the returnable bottle washing machines at the facilities, it was possible to recover 152,640 cubic meters (m3) of water, in 2006 alone. (GC VII, VIII and IX) HUMEDAL CAPELLANIA In 2007, more than $3 million Mexican pesos (US$ 298 thousand) were invested in this program that aims at updating the hydraulic network plans of Humedal Capellanía. The actions aim at protecting, sanitizing, and recovering this ground-water, the country’s heritage and an importance wellhead that has suffered damages in the last years. (GC VII and VIII) Coca-Cola FEMSA Colombia supports 14 food banks benefiting 187,000 people * Corresponds to the period of 2005, 2006, and 2007 60« Mexico QUALITY OF LIFE IN THE COMPANY FOOTBALL CHAMPIONSHIP In 2006 and 2007, Coca-Cola FEMSA invested more than $1 million 700 thousand Mexican pesos (US$ 155,000) in sport events in which 27 thousand athletes from all the operating units attended. (GC I, IV and VI) HEALTH CAMPAIGNS FEMSA Cerveza performs on a yearly basis both permanent and periodic Health Campaigns. Through such campaigns, more than 9,800 people have been benefited, receiving information to prevent diseases and improve their quality of life. (GC I and IV) Mexico Employment 70,603 Investment* in millions of Mexican pesos $ 22,878 Investment* in US$ millions $ 2,118.2 Social Programs* 1,183 Educational Programs 243 Family Development Programs 220 Health and Sport Programs 372 Wastewater treatment plants 20 Investment in the main social programs* Millions of Mexican pesos US$ millions People benefited $ $ 1,846.8 169.1 7,719,515 KAIZEN WORK SYSTEM Through this program, self-managed work teams are established at FEMSA Cerveza, which meet to find ways of continuous improvement and innovation. In 2005, 322 events were held, achieving a saving of $99.5 million Mexican pesos (US$ 9.1 million). Now that the system has become more solid, 480 events have been held only at the Monterrey plant, where records state that each meeting reaches savings of up to $4 million Mexican pesos (US$ 366,400). (GC I, IV and VI) FEMSA UNIVERSITY AND KOF VIRTUAL UNIVERSITY The FEMSA University started its activities in September 2007 and aims at facilitating the collaborators’ individual development within a global context through online courses. Since 2004, the KOF Virtual University has allowed the online and on-site qualification of more than 12 thousand people of Coca-Cola FEMSA, in subjects like management, finances, manufacture, logistics, managerial skills, FEMSA policies and procedures, among others. (GC I, IV and VI) * Corresponds to the period of 2005, 2006, and 2007 million Mexican pesos invested in the ITESM Biotechnology Center »61 RETIREMENT GUIDANCE PROGRAM FEMSA, through Sociedad Cuauhtémoc y Famosa (SCyF), offers support and guidance to the collaborators who are about to retire, jointly with their spouses, so that they live this new phase with quality. Approximately 1,100 people participate in this program every year. (GC I and II) COMMUNITY DEVELOPMENT 21K OXXO A race organized by FEMSA Comercio starting 17 years ago in Chihuahua, Mexico. In 2007, more than 4,500 national and international-level racers participated in this event, such as participants from Kenya, members of the Tarahumara people, wheelchair racers, visual disabled people, FEMSA’s collaborators, and employees from the local and state governments of Chihuahua, among others. (GC I and VI) OXXO ROUNDING-OFF PROGRAM (PRO) PRO consists in inviting the OXXO customers to round up their bills. Since its implementation in 2002, it has already benefited more than 533 social assistance, health, and education institutions, collecting over $205 million Mexican pesos (US$ 18.8 million). In 2007, it collected $64.5 million Mexican pesos (US$ 5.9 million), which supported the labor of more than 160 charities. (GC III, IV, V and VI) RESPONSIBLE WAITER WORKSHOP This workshop aims at raising the awareness among waiters and employees of bars and restaurants about the importance of promoting a responsible consumption of alcoholic beverages. In 2006, FEMSA Cerveza involved the participation of eight institutions, including chambers of commerce and restaurants in different Mexican cities. In 2007, 822 waiters participating in this program were granted diplomas. (GC I and II) BASEBALL HALL OF FAME FEMSA was the founder and the main sponsor of this place. It narrates the history of baseball in Mexico and preserves the memories of its great representatives. In 2007, it was visited by 145,718 visitors. (GC I) DESIGNATED DRIVER The purpose of this program is to contribute in reducing the number of automobile accidents related to alcohol abuse. In 2006, approximately $6 million Mexican pesos (US$ 549 thousand) were invested, and in 2007, there were 29,465 drivers enrolled and 92,662 people benefited. (GC I and II) FEMSA MONTERREY BIENNIAL Since 1992, this contest promotes and diffuses the artistic creation in Mexico. Until this moment, more than 6 thousand artists have participated with more than 13,400 works of art. In 2005 and 2006, 80 thousand people visited this art exhibition. (GC I) TOUR WITH RESPONSIBILITY FOR SUCCESS In 2006, events were held in six cities of Mexico with almost 6 thousand people attending; in 2007, it recorded the participation of almost 13,000 thousand people. This program invites successful people to transmit motivational messages at schools, universities, and open debates, among other events, through the promotion of values such as talent, effort, character, and discipline. (GC I and II) FEMSA BIOTECHNOLOGY CENTER OF MONTERREY TECH It is a place for scientific and technological innovation focused primarily to the biotherapeutics, bioengineering and bioprocesses, agro-biotechnology, genomic nutrition, bioenergy development, and sustainable use of water. It is the only center in Mexico with facilities for the development of new drug substances under the guidelines of GMP (Good Manufacturing Practices) and the FDA (Food and Drug Administration). FEMSA invested $470 million Mexican pesos (US$ 43 million) in its infrastructure and equipments. (GC I) ENVIRONMENTAL CARE 4,500 athletes participated in the 21K OXXO race that has taken place in Chihuahua for 17 years 62« OXXO ENVIRONMENTAL AWARD In 2006, $1 million and 500 thousand Mexican pesos (US$ 137,400) were invested in this program that promotes and reinforces environmental values and social awareness among students, teachers, and family men of more than 100 schools. OXXO recognizes and awards the effort of students that promote the seeding of trees, cleaning of parks, recycling, and garden maintenance. (GC VII and VIII) THE WATER FACTORY NEVADO DE TOLUCA Coca-Cola FEMSA, jointly with authorities, a group of business people, and the Probosque organization started this project in August 2006, which consists in the reforestation of 500 hectares with more than 600 thousand pine trees, and the support to maintaining the area. On the first day of activity, 380 collaborators and their families participated in the seeding of 5 thousand pine trees. (GC VII and VIII) REFORESTATION OF CUMBRES NATIONAL PARK In 2007, FEMSA supported the Pronatura Noreste association with $315 thousand Mexican pesos (US$ 28,800) to reforest 100 hectares in the public lands of San Antonio de la Osamenta, inside the Cumbres National Park in Monterrey, Mexico. The program also offers the benefit to provide work for the communities that participate in the collection, sowing of seeds, planting of trees, and the construction of fences in the reforested areas. (GC VII and VIII) Our retired employees participate in family, sports, cultural, and leisure activities organized by Sociedad Cuauhtémoc y Famosa (SCyF) IMER, THE PET BOTTLER RECYCLING PLANT IMER, The Mexican Recycling Industry, built by Coca-Cola FEMSA in partnership with Coca-Cola of Mexico and ALPLA, a plastic packaging producing company, recycled in 2005 and 2006 over 4,900 tons of PET packages. In 2007, it was possible to recycle 7,200 tons. (GC VII, VIII and IX) Actions With Value Acknowledgments 4In 2006 Inclusive Company and Family Responsible Company Environmental Excellence Award Ibero-American Quality Award National Safety Award Socially Responsible Company Ethics and Values in Industry 4In 2007 Socially Responsible Company Ethics and Values in Industry ISO 9001:2000 Certification Our social responsibility commitment starts with our collaborators and their families »63 Venezuela QUALITY OF LIFE IN THE COMPANY A REFRESHING COMMITMENT The voluntary labor program composed of more than 100 collaborators and their families provides happy moments to needed children on commemorative dates, such as Christmas and Children’s Day. (GC I, II, IV and V) COMMUNITY DEVELOPMENT SOUTH-AMERICAN FOOTBALL CHAMPIONSHIP IN THE SPECIAL OLYMPIC GAMES From June 2nd to the 10th in Valencia, Carabobo, we supported the accomplishment of this tournament, on the American Cup’s mark of Venezuela in 2007. 325 athletes with different qualifications from 12 Latin American countries participated and approximately 10,000 spectators attended the event. (GC I, II and VI) Venezuela Employment 7,989 Investment* in millions of Mexican pesos $ 729 Investment* in US$ millions $ 68.3 Social Programs* 31 Educational Programs 10 Family Development Programs 8 Health and Sport Programs 5 Wastewater treatment plants 2 Investment in the main social programs* Millions of Mexican pesos US$ millions People benefited $ $ 34.9 3.2 149,402 REFRESH YOURSELF READING It benefited more than 478 thousand people in 15 states of Venezuela. It fosters reading through the organization of libraries, training workshops for librarians and teachers, and the Library Bus, a mobile library that goes around the country. It is performed jointly with The Coca-Cola Company and The Book Bank. (GC I, II, V and VI) ENVIRONMENTAL CARE WORLD BEACH DAY In 2006, about 180 people among collaborators and their families collected garbage through an extension of 800 meters of the coast in Camurí Chico and Marina Grande, in Vargas; Puerto Francés, in Miranda; and Playa La Rosa, in Carabobo. (GC VII and VIII ) Actions With Value Acknowledgments * Corresponds to the period of 2005, 2006, and 2007 64« 4Success Business Award 2007 For its corporate management, leadership, social and labor support, and innovation, Coca-Cola FEMSA Venezuela was awarded with this distinction granted by the Latin Business Organization institution. (GC I to X) FEMSA supports the United Nations Global Compact 10 principles of the Global Compact: Human Rights Principle I: Support and respect the human rights protection. Principle II: Do not be an accomplice of the rights’ abuse. Work Conditions Principle III: Support the principles of freedom of association and the right to collective negotiation. Principle IV: Suppress forced and compulsory labor. Principle V: Suppress any kind of child labor. Principle VI: Suppress discrimination in terms of employment and occupation. Environment Principle VII: Support the preventive focus before the environmental challenges. Principle VIII: Promote a bigger responsibility with the environment. Principle IX: Promote the development and diffusion of environment-friendly technologies. Fight against Corruption Principle X: Act against all forms of corruption, including extortion and bribery. design www.signi.com.mx contacts and information Corporate Communications FEMSA Carolina Alvear Sevilla Ericka De la Peña Ibarra Phone: (52) 81-8328-6046 Fax: (52) 81-8328-6117 e-mail: comunicacion@femsa.com Community Affairs Jaime Toussaint Elosúa Anik Varés Leal Phone: (52) 81-8328-6148 Fax: (52) 81-8328-6117 Actions with Value 2nd Social Responsibility Report General Anaya No. 601 Pte. Col. Bella Vista Monterrey, Nuevo León, Mexico, C.P. 64410 Phone: (52) 81 8328-6000