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EROSKI CONSUMER Mag- Produce Annual Non-financial information report statement 2018 Annual Non-financial information report statement 2018 Letter from1. EROSKI the chairperson p. 4 Key data 2018 p. 6 1 2 3 4 5 6 7 8 Letter from the Chair 102-14 e present this annual report to society and our from a guaranteed responsible source. Certification in sential to our future and ability to respond to what society Wstakeholders as part of a regular and fundamental animal welfare and chain of custody of sustainable fish, expects from us and deserves. We are moving forward in exercise in transparency. For the third year in a row, we are using antibiotics responsibly and eliminating post-harvest the right direction. publishing this report in accordance with the new Global treatments are just some of the criteria the foods sold Reporting Initiative (GRI) standards to continue to improve under this brand meet. I encourage you to read this annual report to learn more the communication of our impacts and improvement about our performance in 2018 and the actions we actions in three areas where we measure our level of sus- We are also committed to the consumption of local foods, have taken as a result of the commitment to sustainable tainability: the economic, social and environmental areas. promoting an agri-food sector that bases its sustainability development we endorsed in 2002 by signing the Global on the fact that its productive fabric is a key element for Compact and which we renew every year. This is how we With the 2018 financial year, we’re at the midpoint of the local economy and culture, and the environment. It are working to meet the 17 UN Sustainable Development our current strategic plan based on differentiation, with is our nature as a cooperative that lead us to commit to Goals that came into force on January 1, 2016. We hope health and sustainability as the main pillars. The good this diversity and to creating collaborative environments you find it interesting and inspiring. results of the "with you" business model has strengthened to work with a large number of suppliers. In this way, our our leadership in the North, where we have concentrat- business offer is more and more specialized and focuses ed the transformation of our network thus far. This has on making a healthier and more sustainable diet possible. included the opening of stores under our own-brand and Thank you. franchises that bolster our position. Consequently, our Our commitment to the environment also translates into operating results have continued to improve significantly continuous improvement of our processes and stores. and confirm good business health and firm stability over Containers and packaging with an ecodesign to prevent recent years. Our roadmap is supported by the benefits plastic pollution, the efficient management of logistics arising from recent transformations in our value chain, and the building and renovation of stores according to from logistics processes and our relationship with suppli- environmental criteria and using eco-efficient equipment ers to our stores and relationship with Client Partners via clearly demonstrate that this line of work also represents Agustín Markaide. EROSKI Club. We must continue developing this roadmap one of our strategic development pillars. Chair of EROSKI Group to become a better business, capable of responding to the needs of constantly evolving consumers. Therefore, In line with environmental sustainability and our social we are now focused on accelerating renovations in our commitment, we have maintained the objective of Zero remaining markets, and we’re making significant progress Waste of food suitable for human consumption in our in the Balearic Islands, as well as Catalonia, to boost our business network. In 2018, we donated 4,928 tons of prod- competitiveness in these regions. ucts to those who need it most through more than 100 social organizations throughout the country, under guar- We have taken an important step with our best customers anteed conditions of food security, gratuity and solidarity. by launching the Gold Programme, which offers stable discounts on all their purchases and which has yielded We also collaborated with the country’s main charity noteworthy results. This initiative was developed by the causes and organizations and dozens of entities of Client Partners Club and has allowed us more opportuni- various types working for different social causes. Many of ties to meet them and offer a more intense, participatory these actions are channelled through the EROSKI Founda- and personalized relationship that we will continue to tion, which manages the 10% of our annual profits that we strengthen. dedicate to social and charity projects. We continue to make progress in our digital transforma- Another of the Foundation’s main axes of work also tion and in 2018, for the second year in a row, we were rec- deserves special mention: consumer information and ed- ognized as the best online supermarket, which confirms ucation. We have been involved in consumer education the excellent evaluation we receive from our customers. for 40 years through our news project EROSKI CONSUM- Likewise, we closed the year as leaders of the online order ER, a consumer magazine published in Spanish which delivery service, with 50 pick-up locations, by car or at the receives approximately 50 million visits online per year. In store. addition to this project, we must mention the EROSKI Foun- dation Nutrition School, with its Healthy Eating and Habits At EROSKI, we believe that the store, be it physical or on- Education Programme aimed at schools and which has line, is the ideal place to promote a good, healthier and educated more than 1 million boys and girls since 2013. It more environmentally friendly diet. That’s why in 2018 we is aimed at helping the citizens of tomorrow improve their published 10 new commitments to health and sustainabil- nutrition habits and, like the aforementioned actions, is ity that set the path for us. We have launched more than part of our commitment to health and sustainability. 20 lines of work to meet these commitments. Implement- ing advanced Nutri-Score nutritional labelling on our own- Those of us who make up EROSKI are working together to brand products – which makes us pioneers in Spain – is a strengthen our cooperative project and ensure our place clear example. Moreover, we relaunched our EROSKI Natur in the future. This internal collective strength that has brand, which includes produce with a differential flavour granted us almost 50 years of business is undoubtedly es- 4 | ANNUAL REPORT 2018 | EROSKI EROSKI | ANNUAL REPORT 2018 | 5 Highlights €5.393 5,000 30,048 3,000 billion in turnover tons of food donated, or 9,747 meals employees at the EROSKI Group gluten-free products in our stores, of which... 413,499 €4.698 +43,000 enquiries responded to by our Customer billion in net sales from distribution tons of waste recycled or recovered 541 Service Department, which was awarded following the principles of a circular are EROSKI brand gluten-free product for the seventh year in a row economy 13,000 1,652 Client Partners participated with their ideas 19,509 establishments supplier product analyses and store, platform 4,200 to improve our business offer and stores business suppliers and production plant audits +3,300 869,411 58 2,493 employees in franchises, approximately school children educated through our Healthy new openings small local producers Eating and Habits Education Programme 71% A B C D E Pioneers +6 21,352 of management roles are held by women million Client Partners local product references in adopting Nutri-Score labelling, with advanced nutritional information help consumers eat healthier 6 | ANNUAL REPORT 2018 | EROSKI EROSKI | ANNUAL REPORT 2018 | 7 1 EROSKI 1. EROSKI EROSKI 1. A unique business model 102-1; 102-2; 102-5; 102-7 102-2; 102-6 ROSKI is the leading retail distribution cooperative for way, we can ensure that the entity’s specific strategy and Due to our search for greater quality and excellence in the E mass-consumption goods and services in Spain and the demands of employees and consumers in general is a benchmark in the regions of Galicia, the Basque are linked and coordinated. Our business network is products and services we offer, the EROSKI group includes Country, Navarre, Catalonia and the Balearic Islands. The currently developed and managed through the cooper- various entities specialized in different business lines and group’s parent company is the consumer cooperative ative and the other 26 subsidiary companies that make EROSKI S. Coop., which meets three conditions at once: it up the EROSKI Group and which appear in the financial specific geographical areas: is a distribution company, a consumer organization and a statements. A list of these companies, as well as how cooperative project in which consumers and employees each one stands as regards the aspects presented in this share the spotlight and autonomy. document, can be found in the section on transparency of this report. This unique business model allows both management professionals and our main stakeholders – the clientele – to participate directly in governing the cooperative. In this CAPRABO is the leading supermarket company in Catalo- VEGALSA-EROSKI, a 50-50 joint venture between the nia. Founded in 1959, it is the oldest supermarket compa- González Prieto family and EROSKI, has formed part of the ny in Spain and has a network covering strategic areas of EROSKI Group since 1998 and is a leader in commercial Organizational chart of the 27 EROSKI Group companies and their stake in EROSKI S. Coop.: Catalonia and Andorra. CAPRABO has formed part of the distribution in Galicia. It also operates now in the neigh- EROSKI Group since 2007.
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