Sustainable Development Report 2007 - 2008

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Sodexo today is a major employer: second-largest in France, sixth in Europe and 22nd globally. Sodexo serves more than 40 million consumers each day throughout the world, representing a diverse array of cultures. To respond to the very different expectations of consumers, we must recruit and promote talent within our own organization that reflects this diversity. Diversity also is an important source of the innovation and creativity required to drive progress in our key service activities. I would like to thank our clients for their loyalty, our shareholders for their continued support and all the employees of the Group for the progress achieved during 2008. Each and every one of them contributes to “Make every day a better day”.

Michel Landel CHIEF EXECUTIVE OFFICER, SODEXO


INDEX

INTRODUCTION

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SODEXO WORLD

We want to be the best partners of development.

20

Mission and Ambition.

21

Geographical display and local involvement.

21

A renovate pursuit of improving life quality all around the world.

4

Two consecutive years of sustained internal growth.

6

Sodexo`s work lines.

6

OUR ACTION LINES

Awards and international commitments.

8

Sustainable development and community progress initiatives.

22

Action Lines:

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SODEXO PERU Ten years creating details that make the difference.

10

Training.

24

12

Suppliers and Local Purchases development.

24

Committed to assure our clients ongoing work. Mission and Values.

Food Education and Philanthropy.

25

Activity Areas and Business Units.

12

Our beneficiaries.

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Main Clients.

12

Main intervention areas: nationwide.

27

Results: Prizes and Certifications.

13 TRAINING

28

ENVIRONMENT 14

SUPPLIERS AND LOCAL PURCHASES DEVELOPMENT

36

All of us committed to a better world. Preserving a world for the future.

16

FOOD EDUCATION AND PHILANTHROPY

40

PHILANTHROPY ACTIVITIES

44

Stop Hunger: Committed to stop hunger and malnutrition.

48

SODEXO FOUNDATION FOR SUSTAINABLE DEVELOPMENT Enrique Mendez: “We adapt all our operations to the local environment of the intervention areas”.

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w INTRODUCTION

WE ARE YOUR STRATEGIC PARTNER To make every day a better day reflects our own experience taken into practice with the knowledge of Sodexo, a company that has been working with high standards of quality for more than 40 years and has adapted perfectly to the needs of our clients and of the community in general. Sodexo operates in 80 countries around the world and we are proud of being recently added to the Big Brands International Book, just one year after renovating our corporate image, showing that we are already part of the affective legacy of thousands of people that recognize us and appreciate us for our service. Each experience counts and in Peru, the leadership of Sodexo has been efficiently carried out with the support of “Sodexo Foundation for Sustainable Development” that has known how to bond with the communities in the areas of influence of our clients’ operations, identifying and selecting their main needs. Thanks to our clients’ trust and commitment nationwide, we have been able to carry out successful economic and social development programs.

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In this Sustainability Report 2007 - 2008, we present an account of the tasks carried out by Sodexo Foundation in the last two years, reflecting Sodexo Group social responsibility philosophy. It is a task made with effort and dedication, gathering Sodexo’s know-how, as a company that works to create value thinking on a long term benefit for the community, as agents of their own success. We work to strengthen each one of the action lines that Sodexo Foundation works in and we seek to link them to Sodexo Peru activities to be able to reach more and more Peruvians each time.

Alfredo GarcĂ­a Pye GENERAL MANAGER, SODEXO PERU

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w SODEXO WORLD

A RENOVATED PURSUIT OF IMPROVING

DAILY LIFE QUALITY ALL AROUND THE WORLD

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SODEXO’S NEW IMAGE IN THE WORLD With a new corporate image, Sodexo has renovated our lasting promise of making each day a better day to all clients and just as Michel Landel, worldwide Sodexo´s CEO, points out, it´s all about a commitment to quality and values to more than 50 millions of people in five continents, that receive some of our company’s services every day. The Service Spirit, Team Spirit and the Spirit of Progress, that have come along with Sodexo for more than four decades, have taken us to a leadership position in Food Services and Management Facilities in Health Care, Education and Seniors segments and to position number 2 in Remote Sites, Companies and Industries and in Vouchers and Cards Service segments. It´s about a trust bond between employees, clients, shareholders and all the groups related to Sodexo’s daily tasks. In Sodexo’s 42nd Anniversary we were no longer Sodexho (with “h”), not only to facilitate the pronunciation and identification of our brand’s name, but also to stop

associating us to hotel services only and give the great step to be recognized as Sodexo Group (even eliminating the word Alliance), a leader brand on services and the benchmark for diversity, corporate citizenship and ethics. The idea of rejuvenating the Sodexo Group’s corporate image, with a unique brand around the world, took two years of work and it was our president and founder, Pierre Bellon, who came up with the idea and who led the vision of becoming the global leaders in outsourcing and the experts in improving life quality. Every strategy follows a target that has been called “Ambition 2015”, which includes the sustained development of six strategic imperatives; one of those is in fact, to make of Sodexo, our brand, a reference point for quality services that improve life quality. Moreover, we count with a special feature: we are 375,000 employees around the world and more than 98% of us have direct contact with our clients, therefore it is up to everyone to keep our motto “Make each day a better day” a valid one.

375,000 EMPLOYEES AROUND THE WORLD

w FOOD SERVICES

No. 1

HEALTH EDUCATION SENIORS

No. 2

REMOTE SITES COMPANIES INDUSTRIES

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w SODEXO WORLD w Two consecutive years of sustained internal growth

TWO CONSECUTIVE YEARS OF SUSTAINED INTERNAL GROWTH

7.7%

In the financial report of 2007-2008, Sodexo Group achieved higher revenues worldwide, bolstered by strategic acquisitions and the Food Vouchers business, reaching an organic growth of 7.7% on the billing volume, as well as an important operative result of 7.8% with US $ 889 million (690 million euros).

US$ 889

The results obtained in the rest of the world (13.5%), especially in Latin America, where there was an increase of 2 digits in markets such as the Peruvian one, also supported the excellent results of Sodexo around the world.

13.5%

Our CEO Michel Landel has stated that the success of Sodexo´s growth was due to the 375,000 employees’ work around the world, making the Group’s growth strategy a possibility.

2007-2008

INTERNAL GROWTH IN SALES TURNOVER

MILLION DOLLARS

GROWTH IN THE REST OF THE WORLD

For the period 2009, we are getting ready to face any effect of the financial crisis that may continue to 2010. We have taken all steps needed in order to prevent eventual drops or growth decreasing in some of the 80 countries we work in.

SODEXO’S WORK LINES Our objective To satisfy our clients’ needs.

Our election Internal growth.

Our vocation To improve daily life quality.

Our ambition To be, for all our clients, the benchmark.

Nº 1 in the world In Food Services and Facilities Management in the Health, Education and Seniors segments.

Nº 2 in the world In Food Services and Facilities Management in the Remote Sites, Companies, Industries and Vouchers and Cards Service segments.

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KEY FIGURES 2007-2008 BUSINESS VOLUME ACCORDING TO SERVICE

375,000 EMPLOYEES IN THE ENTIRE WORLD.

6% REMOTE SITES 22% EDUCATION

38% CORPORATE SERVICES

30,600

6% SENIORS

PLACES IN 80 COUNTRIES FROM FIVE CONTINENTS.

19% HEALTH

17,200

3% 2% DEFENSE PENITENTIARY ESTABLISHMENTS

MILLION DOLLARS IN BUSINESS VOLUMES.

96% Food and Facilities Management. 4% Food Vouchers and Service Vouchers.

BUSINESS VOLUME ACCORDING TO GEOGRAPHICAL AREA

NORTH AMERICA

UNITED KINGDOM AND IRELAND

CONTINENTAL EUROPE

11%

37%

37%

15%

REST OF THE WORLD (Africa, Asia, Oceania And Latin America)

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w SODEXO WORLD w Awards and international commitments

RECOGNITIONS AND INTERNATIONAL COMMITMENTS

ASPI Eurozone Sodexo was included in the sustainability index ASPI (Advanced Sustainable Performance Indexes) in 2004, for its performance and sustainable development management.

Global Sullivan Principles In 2002, Sodexo joins the Global Sullivan principles, assuming its social responsibility in all those countries where it operates.

Global Pact of United Nations (Global Compact) Global Compact is an initiative of a volunteer nature whose goal is to contribute to create a global corporate citizenship. In 2003, Sodexo joins the Global Pact and commits to respect its 10 global principles.

FTSE4Good Index Sodexo has been a member of the FTSE4Good Index (Financial Times Stock Exchange), since its creation in 2001. The companies of the FTSE4Good Index are committed to improve the social, ethical and environmental consequences, besides positioning the capitalisation in the benefits of a responsible business.

Dow Jones Sustainability Index The Dow Jones Sustainability Indexes rates the financial performance of the main companies of the world that operate with sustainability approaches. In 2008, Sodexo was designated for the third consecutive year as the first global company in the fields of Trips and Leisure, as well as for its activities in Massive Restoration, Hotel industry and Leisure.

Global Outsourcing 100 The International Association of Outsourcing Professionals is the global organization that sets up the outsourcing standards and defends its task. In total, more than 37,000 people that work in the outsourcing field are members or subscribers. In 2007, and for the second year in a row, the IAOP classified Sodexo as the second leader company in the Facilities Management market.

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SODEXO EXPERIENCE FORGING A GREAT GLOBAL BRAND Sodexo’s brand name, now without the word “Alliance” and without the “h”, was changed in order to stop being associated to hotel industries and food services only and to reflect our group as a group of services. The new brand is our lever toward an organic and profitable growth of Sodexo Group.

MILESTONES 2007 Sodexo bolsters its leadership and pioneering position in Food and Vouchers Services while announcing several acquisitions around the world.

2008 In July 2008, Sodexo is recognized again by the New York Stock Exchange. Sodexo rejuvenates its corporate visual identity. Their offices are transferred to Issy-les-Moulineaux. Acquisition of VR’s Vouchers and Cards in Brazil. Other acquisitions accentuated Sodexo’s leadership in Food Services (Score Group in France).

Sodexo launches its web page worldwide. In Peru: www.sodexo.com.pe

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w SODEXO PERU

TEN YEARS

CREATING DETAILS THAT MAKE THE DIFFERENCE

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SODEXO PERU We are a Peruvian company that is proud to celebrate its first 10 years of operations in the country. We have not only accomplished to be in 14 regions of the Coast, the Highlands and the Jungle, but also we have increased the number of our clients that nowadays exceeds the amount of 70 companies, industries and organizations in which more than 50,000 people receive our service. After one decade, Sodexo Peru has quickly taken its pioneering position as Services and Facilities Management leader, becoming an active source of development for work and local economies whose labor force has been doubled in the last two years, counting now with 2,700 employees nationwide.

We are Food and multi services leaders in the mining and hydrocarbons industry; nowadays we are also working to lead these services in other segments of the economic activity, such as industry and companies. Sodexo Peru creates added value, integrating management and a services offer that we continually increase. Through our administration of support services “Facilities Management”, Food service and Vouchers and cards, we make every effort to make every day a better day.

The rejuvenated corporate identity allows us to enhance our service operations’ growth, supporting our client companies’ efficiency and integrating the maintenance’s tasks, business support and the workers’ food service in a single specialized supplier. With it, we assure an economic optimization and a quality standard that remains in time. Sodexo has also being recognized for its great team work and effective social responsibility, as the one shown in Pisco after the earthquake in 2007.

SODEXO CELEBRATES 10 YEARS IN PERU ATTENDING 1

3 2 4 5 7 8

6

13 9

14 12

1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14.

14 REGIONS

Piura Cajamarca Amazonas La Libertad Ancash Lima Pasco Junin Ica Arequipa Tacna Puno Cusco Apurimac

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w SODEXO PERU w Committed to assure our client’s work constancy

COMMITTED TO ASSURE OUR CLIENT’S WORK CONSTANCY MISSION AND VALUES

Our values Spirit of service.

Our mission

Team spirit.

To improve daily life quality

Spirit of progress.

Our ambition

Nuestros principios éticos Loyalty.

To be the standard in the services that we offer in each city, in each region, in each country

Respect to people. Honesty. Rejection to corruption and disloyal competition.

ACTIVITY AREAS AND BUSINESS UNITS Our services include: Food Services. Food services through a wide offer of specific concepts and attention.

Facilities management. Strategic outsourcing solutions including services for business, infrastructure and people.

Food and Service Vouchers. A wide variety of benefits to feed, transport, motivate, value and recognize the employees, in order to make everyday life easier at work and in society.

MAIN CLIENTS • • • • • • • • • • • • • • • • • • • • • •

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Andrade Gutiérrez Automotores Gildemeister Perú S.A. Banco de Crédito del Perú Banco Interamericano de Finanzas Barrick (Lagunas Norte, Pierina) British Educational Association of Peru – Markham College CDB Cerámica Lima S.A. Chinalco (Toromocho) Cia. Operadora de Gas del Amazonas S.A.C. Clínica Javier Prado S.A. Compañía de Seguros Pacífico Peruano Suiza S.A. Compañía Minera Antamina Compañía Minera Milpo S.A.A. Cosapi Cotton Knit S.A.C. Devanlay Perú S.A.C Duke Energy Graña y Montero Hochschild (Ares & Arcata) ICM Perú Industrias Vencedor S.A.

• • • • • • • • • • • • • • • • • • • • • •

INIPUCP / Pontificia Universidad Católica del Perú Minsur Norsemont Perú S.A.C. Petrobras Energía Perú S.A. Petrolera Monterrico S.A. Pluspetrol Pontificia Universidad Católica del Perú Prima AFP S.A. Productos Roche Q.F.S.A. Resinplast S.A. Río Tinto Minera Perú Limitada S.A.C. Serpetbol S.A.C. Silver Standard Southern Cooper Corporation Suez Energy Techint Teleatento del Perú S.A.C. Textil San Cristóbal S.A. Tiendas por Departamento Ripley S.A. Trevali Xstrata Perú S.A. Vale do Río Doce (Bayovar)


SODEXO EXPERIENCE Commitment to Stakeholders Sodexo Peru has identified its stakeholders as part of the strategic plan and they belong to Sodexo´s community as strategic partners in the company’s management. The purpose is to exceed their expectations. Communication means used with stakeholders vary from each one and they depend on the stakeholder nature, for instance, our employees get a bulletin published quarterly,

as well as information boards and e-mails. Clients receive magazines and participate in meetings; and both get access to Sodexo Peru TV site.

Sodexo launches its video channel in Youtube: www.youtube.com/user/SodexoPeruTV

RESULTS Prizes and Certifications In Sodexo Peru we are committed to the ongoing development of the products and services’ quality that our clients receive, therefore we constantly design surveys and evaluations to know their satisfaction levels. Our services correspond to the highest international standards, a requirement that we share with all our suppliers. This is why we are proud of each one of the achievements and certifications obtained in the last years.

KEY FIGURES

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REGIONS IN PERU

70

CLIENTS IN THE MINING, ENERGY, INDUSTRY AND COMPANY AREAS. MORE THAN

35,000

FELLOW DINNERS IN ALL OUR OPERATIONS.

2,700

EMPLOYEES NATIONWIDE.

w Sumajg Prize Minera Antamina named Sodexo Peru its best “Excellence Strategic Partner” during the year and for two successive years (2007 and 2008) in recognition for its contribution and its services quality, forging a stronger relationship between Antamina and its suppliers and contractors. w “Luis Hochschild Plaut” Prize Sodexo Peru won the famous prize Luis Hochschild Plaut 2007 in medium sized business category, in recognition for its entrepreneurial contribution to education and culture through the several training programs developed in rural communities by Sodexo Foundation. This prize was awarded by the Peruvian Enterprise Administration Institute (IPAE) during the Annual Executives’ Meeting CADE 2007.

w Peruvian company of the year For the third consecutive time Sodexo received the prize to the Best Company of the Year, it was considered the best company in the “Services” category. The prize was awarded by Peruvian Enterprise of the Year Civil Corporation, a nonprofit organization created to encourage competition among companies. w Prize for Entrepreneurial Creativity Sodexo Peru won the contest Entrepreneurial Creativity 2004 for creating Sodexo Foundation for Sustainable Development in the Philanthropy category. Prize awarded by Universidad de Ciencias Aplicadas (UPC) to the most innovative. w OHSAS 18001 A controlling entity that helps us to reduce the risk associated to our activities, keeping a safe and healthy environment for our employees. w ISO 14001 Referred to environmental management in business practice. Its objective is to standardize procedures to protect the environment. w HACCP It assures hygiene and quality practices during all stages of food preparation, in order to reduce food safety risks.

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w ENVIRONMENT

ALL COMMITTED TO A BETTER WORLD

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PROTECTING THE ENVIRONMENT To reduce our ecologic footprint is one of our main environmental goals in social and entrepreneurial responsibility. This commitment reflects the high standards of service, respecting environmental principles, programs and practices in each one of our activities. The environmental impact of our operations is minimal and it is only associated to fuel, energy and water consumption and to residuals production related to our process. Nevertheless, we recognize our responsibility with the environment and work every day on better practices to protect the surroundings.

In this way, we have taken a course of actions such as responsible purchasing and based on sustainable development policies. In Sodexo, we look for synergies with suppliers that share our responsible environmental approach, trough the control of their products, production residues and recycling policies.

It is a strong commitment throughout the world, the nation and local communities, since we are aware, as well as our clients, of the increasing interest in a better environmental management.

OUR LOGO “TAKING CARE OF THE ENVIRONMENT”, REPRESENTED BY TREE LEAVES, IDENTIFIES ALL THOSE ACTIONS AND INITIATIVES OF THE COMPANY TO REDUCE THE ENVIRONMENTAL IMPACT IN OUR DAILY WORK.

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w ENVIRONMENT w Preserving a world for the future

PRESERVING A WORLD FOR THE FUTURE The Environmental Management System of Sodexo Peru works to identify those aspects that can have some impact in the environment, in order to take actions to avoid environmental damages and protect people’s health, especially, in those communities that are close to our activities. Among the main significant environmental aspects that we carry on are the solid residue treatment, oil residue treatment, chemical consumption treatment, as well as energy and water consumption. In the case of waste management, we remove most part of the non-degradable: remove and recapture used oil in a safe and hygienic way, as well as compressing and removing the aluminum, paper, cardboard, steel, plastics and glass. We also work to reduce the loss produced when preparing the food. We would like to point out that our environmental goal in remote sites operation camps is to eventually disappear all waste so we can achieve the goal of “Zero waste in the operation”.

Use of biodegradable bags We are using biodegradable bags since 2008, in the laundry and snacks delivery, replacing the old plastic bags that damaged the environment when storing them up. The new bags are made of a biodegradable high density white polyethylene, and are printed with an ink that does not contain heavy materials. The degradation process of this type of bags starts when they are exposed to oxygen, humidity, light and friction. These agents convert the bag into small pieces as time passes by, becoming a good meal to numerous microorganisms that will change them into organic material.

Re-using Kitchen oil – Bio Diesel Sodexo is carrying out a program to optimize, collect and recover the oil used in all our kitchens. All the oil that was used to fry is kept in special tanks and then transported to our new recycling plant. There, they are converted into Bio Diesel through a transformation process. The main objective of this initiative is to convert the oil used into fuel for all our transportation services.

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Reducing loss in Food Products / Tec Food System Tecfood is a specific operational management system for Food Services management. This system enables us to optimize daily work, reduce costs and loss through automated procedures.

Environment-friendly soaps and glasses The biodegradable soaps for our hotel industry and cardboard glasses in cafeterias and retail operations represent useful tools that do not damage the environment.

Chemical Products We decided to carry out a thorough control of the chemical supplies used in our operations. We are very careful with laundry and cleaning products, using biodegradable and phosphate-free products only.


SODEXO EXPERIENCE WASTE MANAGEMENT The procedures used for waste recycling have been used and tested in several operations of Sodexo in different places around the world. They are described below in three steps. STEP 1 To identify specific places, within the camping area, where the cans will be located according to specific regulations for plastic, paper, waste, etc. and identified by different colors. STEP 2 The design of the waste management system, codified by colors, besides the staff and residents training, will assure that people participate in the recycling process. STEP 3 The waste is ground, compressed and baled, and then it can be transported by legal companies to recycling centers. The amount of recyclable material that is picked up is valuable and significant. So, we not only help to protect the environment, but also all the waste materials are re-manufactured and are used as packages. This process includes mixing all bottles, break them into small pieces and take them to recycling centers. Just as papers, plastic and aluminum will be compressed in the same place and carried out in a similar way.

For the first time Sodexo presents its calendar in a totally recycled paper (December 2008).

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w SODEXO FOUNDATION FOR SUSTAINABLE DEVELOPMENT

SODEXO FOUNDATION FOR SUSTAINABLE DEVELOPMENT

“We adapt all our operations to the local features of the areas of intervention” ¿In your opinion, what has been the key to Sodexo Foundation leadership in the communities in which it operates? One of the success factors, which enabled us to bond with the community, is to have being able to identify the expectations and needs of the people, in order to give a simple and practical proposal to these needs.

¿How was Sodexo Foundation for Sustainable Development created? In spite of acquiring its formal status in 2004, Sodexo Foundation for Sustainable Development carried out its socially responsible activities as well as its community work since it was founded in 1998. What we have done since it was founded is to give Sodexo Group’s social responsibility philosophy, a clear and organized structure that helps us develop a specific job in Peru. The initiative of the Foundation has been repeated in Latin America, and it is considered one of the most interesting experiences in community work among other countries.

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¿Why does it seem that it has been easier to Sodexo than to other companies to put in practice its philosophy “win to win” in the local communities in which it operates? We know about interesting initiatives of other companies; however, Sodexo seeks to do activities that have to do with its know-how. If we talk about food, hotel industry, restaurants or services management we can assure that it will be hard to find someone that knows how to make it better than Sodexo and show its community involvement and its commitment to solve their problems.

¿What plans does Sodexo have for its action lines? We are planning to strengthen each one of our action lines in 2009, since each one of them is necessary in our operations. The employability training is aimed to young people; food education targets children and mothers. Suppliers’ economic and productive development targets small enterprises. Every action line counts for us. We will strengthen each action line, seek to be more efficient in our activities and be confident to reach more areas to operate in. To coordinate Sodexo Foundation work with Sodexo Peru activities represents a major challenge for 2009, and to strengthen our participation in the community.

Enrique Méndez SODEXO FOUNDATION MANAGER

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w “QUEREMOS SER LOS MEJORES SOCIOS DEL DESARROLLO”

WE WANT TO BE THE BEST DEVELOPMENT PARTNERS The Sodexo Foundation started its activities in 2004 with the objective of forging a sustainable development and the progress of the communities, especially in remote sites where Sodexo works for its clients. We work to develop training programs that promote employment and local production, since through education and quality products promotion, we enhance inclusion and better access to opportunities for communities in need . We are an organization whose main objectives are: 1. To promote and manage external financial sources to develop initiatives for sustainable development. 2. To develop useful and efficient training, based mainly on “Sodexo´s know-how”, and also on the current market demand.

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3. To develop training programs for local suppliers of touristy and food services. 4. To develop technical assistance programs and commercial cooperation about improving food products, especially for small and medium sized suppliers. 5.

To help improving food education and follow up nutrition patterns of women and children under six years living in poverty.

6. To develop social and communicative intervention strategies that enable us to forge a good relationship between our clients and the communities we participate in. 7. To carry on supporting actions and welfare programs that strengthen the effort of development mentioned above.


OUR MISSION TO BE AN STRATEGIC PARTNER THAT PROMOTES AND CARRIES OUT ACTIONS THAT LEAD TO LOCAL DEVELOPMENT, IMPROVING LIFE QUALITY IN THE COMMUNITIES IN WHICH SODEXO OPERATES.

OUR AMBITION TO CARRY OUT EFFICIENT AND SELF-SUSTAINABLE PROJECTS THAT HELP TO IMPROVE LIFE CONDITIONS IN THE COMMUNITIES, TAKING ADVANTAGE OF THE INVESTMENT IN MINING AND HYDROCARBON, IN ORDER TO BECOME THE YARDSTICK FOR LOCAL DEVELOPMENT INITIATIVES ACROSS THE NATION AND OTHER COUNTRIES.

GEOGRAPHICAL DISPLAY AND LOCAL INVOLVEMENT The local development programs that we carry out in coordination with clients in remote sites are created after identifying the specific needs and claims of the local people, so the intervention turns out to be a valuable one for them and for the client. Our strategy starts out with a geographical display, in which we contact the community in order to integrate everyone needs. Then, we coordinate with our clients, identify the products and resources of the area, plan our interventions and offer practical ideas that combine the company and the community’s needs. Attending each community’s needs is the base to achieve the sustainability of the local development programs. The fieldwork, the coordination with the communities and identifying their expectations, allows the community to value the intervention and see our clients as economy and social welfare promoters.

Basic criteria for operation Be reliable and trustful: to offer only what we can do. To promote “good neighborhood relationships” in the community. To foment the execution of time sustainable projects. To maximize Sodexo’s job, becoming an entity that unites the community and the operation set up in the area. To plan our annual intervention and prioritize the main needs. To live and share our values.

SODEXO EXPERIENCE Global Commitment Sodexo is committed to Social Responsibility worldwide. This is our inspiration to have signed two humanistic pacts, in which equality and human right principles prevail: GLOBAL COMPACT (United Nations) and GLOBAL SULLIVAN PRINCIPLES.

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w OUR ACTION LINES

SUSTAINABLE DEVELOPMENT

AND COMMUNITY PROGRESS INITIATIVES

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Due to its valuable, simple and easy to replicate proposals to the community specific problems, the original initiative of Sodexo Peru has been repeated in other countries, where Sodexo Group has created similar associations that offer strategic tools to enhance the progress of the host communities. Our intervention approach is based on fieldwork, on every day work with the communities; we know their philosophy and their development expectations. Each one of our projects and operations creates, through its several intervention areas, social and economic expectation in the target communities, especially among young people. Therefore, Sodexo seeks to identify this demand, in order to carry out training programs and assistance to promote employment and quality life in the population. Several people that received these programs have started to work for Sodexo operations or for its clients. We help to improve people and the population’s life quality in the areas that we operate and through the following action lines:

w TRAINING Training on local employability. Training on improving food and hotel services.

w SUPPLIERS DEVELOPMENT AND LOCAL PURCHASE Advising and creating Mypes (Micro and small enterprises). Searching for new markets. Quality certification.

w FOOD EDUCATION AND PHILANTHROPY Training on Nutrition and Food education. Philanthropic actions.

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w ACTIONS LINE w Training

ACTIONS LINE

1. TRAINING Experience has showed us that the beginning of an investment Project, especially in remote sites in our country, creates employment expectations and development interest in the population. That is because one of our main commitments to development is based on boosting human capacities. Our training programs seek to improve people’s opportunities, according to their needs, our experience and “know-how” and the market demand. We have developed two training proposals; one aimed to improve the employability conditions, especially among young people in need, and another one aimed to improve the standards of restaurants and hotel services, through training offered to owners and employees of these establishments.

1.1 Training on local employability. We offer training that seeks to develop competitive young people and able to work in food and hotel services related jobs. Our training proposal enhances local employment and creates a link between our graduates and the working opportunities in our operations all around Peru.

1.2 Training on food and hotel services improvement in the community. We seek to improve the food and hotel services, we offer training and personal assistance to the employees and owners of the restaurants and hotels close to Sodexo´s operations area.

STRATEGY: “Learning by doing”. We develop the training program based on ongoing practice and on the sharing of experiences between students and trainers.

2. SUPPLIERS AND LOCAL PURCHASE DEVELOPMENT We consider the economical and productive development needs of the communities a valuable opportunity for the development of suppliers and local purchase that respond to Sodexo’s demand and enhance the economic and productive progress of the communities we work in. These needs are attended according to priority and they endure the active involvement of the different participants among the community. We improve hygiene and sanitary conditions, as well as quality and management capacities of the local suppliers group, with the objective of getting the best of their selling opportunities with Sodexo and with other high demanding companies. In this program, which forges local purchase and activates the offer of products, we focus on three activities: advising and creating new enterprises or businesses; improving suppliers’ competitive skills in our areas of influence and carrying out purchase programs, which help us guarantee the sanitary quality of the local products.

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2.1 Advising and creating Mypes. We advise small enterprises, productive units and associations, in order to help them improve the quality of their products and business management. Likewise, we create business opportunities for Mypes and we encourage alliances with institutions to develop coordinated and socially oriented projects.

2.2 Searching for new markets. We encourage our suppliers to expand to new markets in order to guarantee medium and long term business viability.

2.3 Quality Certifications. Once the products have reached our quality standards, these small associations of local producers obtain a certificate that ensures their sanitary and hygiene quality, which offers opportunities to new markets.

3. FOOD EDUCATION AND PHYLANTHROPY We consider the communities’ needs as if they were ours. For this reason we know that it is necessary to improve the nutrition and food education, mainly among families at risk. Our proposal attempts to develop good eating habits and to promote awareness of how important nutrition is for children. It does not only prevent mortal illnesses but also ensure a better future with more developmental opportunities.

3.1 Training on Nutrition and Food Education. We promote the well-being of the populations exposed to risk, particularly children and expectant mothers, in the areas that we operate and through programs aimed to overcome nutritional, health and food deficiencies. Therefore, we offer workshops to mothers, where they learn how to make the most of the available resources in their own community. So, they can offer their families a balanced and nutritional diet. The multiplying effect of education assures the further goal of developing more healthy and happy families.

STRATEGY: To promote lasting changes in the communities’ eating habits.

3.2 Philanthropic actions We carry on welfare and philanthropic actions shown by helping others in an unselfish way.

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w ACTIONS LINE w Our beneficiaries

OUR BENEFICIARIES The populations that benefit from our job are those from different age groups that live in extreme poverty in our country and are close to the areas in which our clients operate. We help to create a quiet atmosphere and social peace, which represents the foundation of the manufacturing activities development of our clients, as well as of the communities’ confidence and well-being.

So, Sodexo Foundation is now in: • • • • • • • • •

Ancash (San Marcos, Huari, Huarmey) Apurímac (Challhuahuacho) Arequipa (Iscahuaca y Pampamarca) Cajamarca (Cajamarca, Chota y Querocoto) La Libertad (Quiruvilca, Santiago de Chuco) Lima (Chorrillos y Pamplona) Moquegua (Moquegua) Piura (Sechura) Ica (Pisco)

RESULTS LOCAL EMPLOYABILITY PROGRAM:

812 young people were trained, 90% concluded the program and 65% is working for Sodexo in less than six months.

FOOD EDUCATION PROGRAM:

2,500

mothers were trained in our intervention areas.

800 families were identified and monitored to improve their nutritional habits. 1,500 children were surveyed to be monitored

SERVICE IMPROVEMENT PROGRAM:

400 people were trained and 120 beneficiaries

entities.

50% dof the beneficiaries restaurants and hotels apply new quality and customer service approaches. The number of business run after the training and technical advising from Sodexo Foundation showed a 20% increase.

26

and receive treatment to reduce child malnutrition.


MAIN AREAS OF INTERVENTION 1. Antamina (Ancash)

3. Bayóvar (Piura)

Located in the Region Ancash, 270 Km away from Lima and over 4,300 meters above sea level, Antamina produces several mining products, especially copper and zinc.

The Bayovar Project, carried out by Vale do Rio Doce Company, takes place in the district of Sechura, Region Piura. It is a non-metallic mining project that is in charge of a phosphate deposit mining and its transformation process.

The Antamina operations cover a large area that goes even farther than Callejon de Conchucos, including San Marcos district, Cuenca de Ayash, Fortaleza valley, the cities of Huaraz, Huari, Huarmey, etc.

2. Barrick (La Libertad) Between the impressive Peruvian Andes, Lagunas Norte is located in Quiruvilca district of Santiago de Chuco. It is a mining company that operates between 4,000 and 4,600 meters above sea level, 140 Km away from Trujillo, capital city of La Libertad.

4. Río Tinto – La Granja (Cajamarca) La Granja is a mining Project located in the district of Querocoto, province of Chota, Region Cajamarca. There are five communities around this area: La Granja, Paraguay, La Pampa, La Iraca and El Sauce, among other communities considered part of the project’s area of influence.

5. Xstrata Las Bambas (Apurimac) The mining Project Las Bambas – Xstrata, is located between 4,400 and 4,650 meters above sea level in the district of Challhuahuacho, between the provinces of Grau and Cotabambas, in the Region Apurimac.

Barrick Misquichilca gives Sodexo the Lean Supplier certification (November 2008).

3 4 2

The Sumakj prize is awarded to Sodexo by Antamina (October 2008).

1

5

KEY FIGURES

S/.2.3 millions INVESTED IN THE LOCAL EMPLOYABILITY PROJECT. S/.150,000 INVESTED IN THE SERVICE IMPROVEMENT PROJECT SINCE 2001. S/.200,000 INVESTED IN THE FOOD EDUCATION PROJECT SINCE 2001. S/ 2.6 millions INVESTED BY SODEXO PERU IN SUSTAINABLE DEVELOPMENT PROGRAMS.

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w “QUEREMOS ACTION LINE:SER TRAINING LOS MEJORES SOCIOS DEL DESARROLLO”

Action Line

TRAINING A high percentage of the national population lives in rural areas. Many young people, old enough to work, live in poverty and social exclusion. We believe it is a must to strengthen socially responsible actions that allow their integration to employment and promote their communities’ development. Sodexo Foundation relies on its philosophy of improving people’s life quality and forging social and economic development in which it operates in cooperation with its clients. Our clients’ projects and operations create several expectations that we prioritize, identifying the main needs of the communities we work in, such as training, products exchange advising, service improvement, etc. In this way, we can promote the execution of training programs that improve employability abilities in young people, as well as other that amend hotel and food services in the community.

28


TRAINING ON LOCAL EMPLOYABILITY Sechura (Bayóvar Project)

RESULTS:

400 BENEFICIARIES WERE TRAINED IN THE AREA

We organized the “II Training Conference: Strengthening Capacities” in Sechura Club, as part of the alliance activities between Sodexo and Vale do Rio Doce Mining Company, aimed to enhance the social and economic development of the communities along the mining operation area. We put a lot of effort to give useful information to the local people about the economic opportunities that the Bayovar Project created. We promoted the training of all those audacious people that were decided to take the business opportunities that came after the project. The Training conference counted with a Hotel and Restaurants Service Development Program; Self Development Program for young people and the Small Businesses Development Program.

La Granja (Rio Tinto La Granja Project) We developed training activities through our Hiring for Local Employability Program after considering people’s expectations about finding better job opportunities in the mining operations area. So, we carried out seminars and workshops about hotel services, laundry, cooking and restaurants. Sodexo Foundation was in charge of these activities and received the logistics support from Río Tinto, which offered transportation, settings, accommodation and other facilities to the trainers and beneficiaries of the program. The fact that 90% of the beneficiaries participated in the training was one of the most important achievements of the program. It has shown quick changes in personal hygiene, order and behavior practices among the beneficiaries, and the rooms and settings’ cleaning and presentation.

Quiruvilca (Lagunas Norte Project)

RESULTS:

40

MORE THAN YOUNG PEOPLE RECEIVED TRAINING.

30% LAGUNAS

NORTE - SODEXO OPERATION EMPLOYEES BELONG TO THE PROJECT OPERATION AREA.

We have developed training activities in the traditionally mining district of Quiruvilca (Santiago de Chuco, La Libertad), in coordination with Barrick Mining Company; in this way young people from the community would receive training on food, hotel services and restaurants. We even joined many of the trainees in Sodexo operations and in Barrick. This enhanced the economic development of the area around the Lagunas Norte mining project.

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w ACTION LINE: TRAINING

ANTAMINA PROJECT, HUARAZ

San Marcos (Antamina Project)

SODEXO EXPERIENCE:

Our Training for Local Employability Program, which began in 2000 with the Training Center of San Marcos in Huari, has achieved a successful training job with young people in the Antamina mining project area.

Spirit of Service

In most communities, located near the mining camp, young people in need suffer the lack education and employment opportunities. Antamina – Sodexo’s alliance proposal relies on improving these young men and women opportunities, so they can be more competitive and employable for the new labor market as well as fulfilling their social and economic development needs.

LOCATION: The mining Antamina Project, which belongs to the Antamina Mining Company, is located in Callejon de Conchucos (Ancash) between 4,200 and 4,700 meters above the sea level. Antamina is one of the major producers of copper and zinc concentrations in the country.

Our training program has given instruction for kitchen helpers and room service, waiters and waitresses, who have applied to real job opportunities after their training, not only in Antamina but also in other markets. By now, four groups of graduated each year have become part of the labor market, in the country and even in other countries. The success of this program enabled it to be replicated in other areas around the country.

Students from San Marcos Training Center (CCSM) received instruction about self-esteem and self development, aimed to facilitate their transition to the labor market and assure the job permanency.

RESULTS:

S/. 2 millions INVESTED IN TRAINING AND INSTRUCTION FOR YOUNG MEN AND WOMEN

27 GRADUATED GROUPS

AT SAN MARCOS TRAINING CENTER

MORE THAN

800

YOUNG MEN AND WOMEN FROM SAN MARCOS DISTRICT AND OTHER NEARBY COMMUNITIES FROM HUARI (ANCASH) HAVE BEEN TRAINED ON HOTEL, RESTAURANT AND COOKING JOBS.

Challhuahuacho (Las Bambas Project) We carried out training activities in cooperation with Xstrata Mining in the district of Challhuahuacho (Cotabambas, Apurimac). These activities included training on bakery and pastry, in response to the needs of the communities located around Las Bambas Project.

RESULTS:

70

MORE THAN STUDENTS FROM THE AREA WERE TRAINED IN BAKERY BUSINESS.

50%

OF THE TRAINEES STARTED THEIR OWN BUSINESS BY THE END OF THE WORKSHOP.

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TRAINING ON IMPROVING FOOD AND HOTEL SERVICES

BAYOVAR PROJECT, PIURA

Sechura (Bayovar Project)

LOCATION:

The Service Improvement Program of Vale do Rio Doce – Sodexo operation that took place in the Region Piura and benefitted the community of Sechura, carried out several workshops about Customer Service: Definition, Types of customers, Customer service as a competitive advantage and Customer contact opportunities.

The Bayovar Project, which is in charge of the Vale do Rio Doce Mining Company, takes place in the district and province of Sechura, Region Piura. It is a nonmetallic mining project which activities include: mining a phosphate field, processing and producing concentrates and shipping the products for exporting.

Other workshops tackled topics such as: How to identify business ideas, Market related aspects, Production, Legal topics, Costs, Investment and Financing.

RESULTS:

400

MORE THAN BENEFICIARIES.

70

MORE THAN MEMBERS AND LEADERS OF STOCK FARMING ASSOCIATION WERE TRAINED.

Querocoto (Rio Tinto La Granja Project) We developed a program to improve hotels and restaurants, working with the owners and employees to increase their management and technical abilities. Moreover, we carried out activities related to brickwork and heavy load transportation.

LA GRANJA PROJECT, CAJAMARCA LOCATION: The Rio Tinto La Granja Project is located in the district of Querocoto, province of Chota in the Region Cajamarca. It has five communities around their influence area: La Granja, located 25 Km. away from the camp, Paraguay, La Pampa, La Iraca and El Sauce.

We offered personal technical assistance, identifying and revising the techniques introduced in the training sessions, getting a better understanding and faster improvement of their hotel and local food services. Self-motivation and Leadership sessions were included in order to assure a high percentage of attendance. The employees were trained to develop abilities in the specific areas of their work; moreover they improved their jobs by developing business opportunities. So, each employee would have the tools to develop their own micro enterprise and offer their services to the community, as well as to the Río Tinto – Sodexo operation. The main advantage of the training program is that the beneficiaries “learnt by doing” during the Strengthening Local Abilities Project in Querocoto.

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w ACTION LINE: TRAINING

RESULTS:

Gastronomy Show

25 beneficiaries,

Sodexo Foundation organized the 1st Gastronomy Show in Querocoto, Chota in the month of July, 2008. Owners, authorities and people from the community attended it.

among owners and employees attended the Hotel and Restaurants in Querocoto Program.

More than 10 restaurants attended the show and recognized the fried guinea pig with “cancha”1, “cachanga in granadilla leaves”2 and the delicious “pucanas”3, among the best dishes.

11 food establishments,

“Querocoto, con mucho gusto” Contest

17 transportation services employees and 11 lodging establishments as beneficiaries.

In November 2008, the local Government of Chota and the Río Tinto Mining Company, in coordination with Sodexo, carried out the First Gastronomy Contest called “Querocoto, con mucho gusto”, aimed to bolster their relationship with the community and enhance the local economic and social potential.

36 construction workers were trained, 85% received

The contest sought to encourage local people to be creative when preparing their dishes based on local products, while learning new techniques to handle the products.

brickwork lessons, quality in construction, construction techniques, sanitary facilities, etc.

LAGUNAS NORTE PROJECT, LA LIBERTAD

Tupac Amaru and Antenor Orrego Schools, the Technological Institute from Querocoto and social organizations, such as Farmer patrol, or mothers’ association groups participated in the contest, as well as the beneficiaries that received training on cooking, restaurants and hotel services organized by Río Tinto – Sodexo operation.

Quiruvilca (Lagunas Norte Project) The technical assistance activities for local producers, carried out by Lagunas Norte – Sodexo operation, included the “Communal Training and Participation Program”. It took place in the district of Quiruvilca in November 2007. The workshop on Restaurant Food Services Improvement and the courses aimed to improve the ways to handle food products, stood up from the rest. Customer Service, quality standards and dish preparation courses were given to 30 restaurant owners and representatives. The enthusiasm shown by the trainees was reflected on immediate improvements on sanitary practices and atmosphere appearance of their own businesses.

RESULTS:

30 RESTAURANTS LOCATION:

OWNERS AND REPRESENTATIVES WERE TRAINED.

The Lagunas Norte Mining Project, which the Barrick Misquichilca Mining Company is in charge of, is located in the district of Quiruvilca, in the province of Santiago de Chuco (La Libertad), at 3,700 and 4,200 meters above sea level. 1“Cancha”: Toasted corn that is consumed as accompany of the great majority of Andean meals. 2“Cachanga in granadilla leaves”: A typical dish from Cajamarca. It is a sort of tortilla or home-made bread

consumed by farmers. It is made of flour and lard, served in granadilla leaves. Granadilla fruit, originally from South America, contain seeds that are consumed. 3“Pucana” is a local dessert that takes its name after a fruit, which is very sweet and grows nearby the district of Chota.

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San Marcos (Antamina Project) The Hotel and Restaurants Services Improvement Program in San Marcos and Huari, communities that belong to the Antamina Mining Company area of influence, trained in the first stage 100 owners and employees. They are nowadays experts on hotel, cooking and restaurants services. During the event, training and technical assistance activities on cooking, restaurant and hotel services were given to business assistants and representatives of the region. The success of Sodexo Foundation initiative was shown by the high level of attendance to the Nutrition, Safety, Environment, Hygiene and Sanitary quality Instruction Units. We have also achieved that the beneficiaries are now considered working partners of the community.

“San Marcos con mucho gusto” Festival (Antamina Project) The first Festival of Tourism and Gastronomy called “San Marcos con mucho gusto” took place in San Marcos Main Square in December 2008, due to Sodexo, San Marcos Local Government and Antamina coordinated work.

RESULTS:

23

COMMUNITIES AS BENEFICIARIES.

250

PARTICIPANTS.

In the first 10 years of the Antamina - Sodexo operation in the Region Ancash, we have carried out several activities to improve local Food and Hotel Services, promoting a quality touristic offer that received the ongoing support of the training and technical assistance of San Marcos and Huari. Sodexo initiative of creating a festival, promoted the participation of 23 communities and different agents in the region dedicated to foment responsible tourism, the culture and the touristical potential of Huari: its warm people, its history expressed through dance and delicious and diverse gastronomy.

2000

ATTENDANTS.

“San Marcos con Mucho Gusto” was a festivity that gathered more than 2,000 participants, including 250 people who took part in dance and typical dishes contests.

RESULTS:

Huarmey (Antamina Project)

20 owners and

With Antamina Project we have also developed training activities for restaurants and food establishments in Huarmey (Ancash), within the training program on hotel services, restaurants and cooking. This activity included courses about creativity, innovation and ongoing improvement of the communities in which we operate.

employees of food establishments in Huarmey were trained in topics such as food safety, health and food control.

23

owners and employees of restaurants in Huari were trained on customer service and administration management.

The first training program to food business in the district of Huarmey aimed to improve the food establishments through food safety, health and food quality control courses. On the other hand, the restaurants representatives were trained in customer service and administration management. The training took place in Huarmey Technological Institute.

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w ACTION LINE: TRAINING

LAS BAMBAS PROJECT, APURIMAC LOCATION: Las Bambas Mining Project, operated by Xstrata Company in Peru, is located between the provinces of Cotabambas and Grau, on the south west side of the Region Apurimac, at more than 4,000 meters above sea level.

Challhuahuacho (Las Bambas Project) Xstrata Peru and Sodexo, through Sodexo Foundation, developed a cooperation Alliance to carry out a project that improves technical and enterprising abilities of local suppliers that work in hotel, restaurants and food areas. The Enterprising in Hotel services and Food Program took place in the second semester of 2008 and included training on hotel, restaurants and cooking, and even a workshop about the importance of service quality, as well as units about self development, safety and environment. After the first month of classes, we could see improvements in the participant’s establishments, for instance, the security arrangement, the use of uniforms at work, decoration attempts in hostels and major environmental awareness.

RESULTS:

130

IENTERPRISING ENROLLED ON HOTEL AND RESTAURANTS ACTIVITIES. 60 BENEFICIARIES COMMITTED TO START MAKING IMPROVEMENTS TO THEIR ESTABLISHMENTS.

42 BENEFICIARIES OF THE RESTAURANT AND COOKING PROGRAM. 20 BENEFICIARIES OF THE HOTEL PROGRAM.

35 FAMILIES PARTICIPATED IN THE LOCAL DISHES PREPARATION CONTEST.

34


MOQUEGUA EXPERIENCE (QUELLAVECO PROJECT) TRAINING TO IMPROVE HOTEL AND FOOD SERVICES IN MOQUEGUA Sodexo Foundation in alliance with Quellaveco Anglo American Mining Company and the local government of Moquegua, carried out a training program in November 2008, including workshops for owners and employees of local hotels and restaurants. The conferences, which were attended by more than 260 people, included Quality Customer Service and Good Hygiene Practices courses. Moreover, training workshops were carried out and more than 150 people participated, among owners, employees and enterprising of local hotel business. The courses included were civil defense and security in hotels, housekeeping and quality service. Other workshops covered topics such as service and quality management in restaurants: good hygiene practice, food handling and quality service.

400

GASTRONOMY SHOW MOQUEGUA During the city anniversary celebration, in November 2008, we presented the Gastronomy Show in Moquegua. It was supported by Sodexo – Quellaveco Anglo American Company alliance, so they could help the local economic development.

PEOPLE ORIGINALLY FROM MOQUEGUA, AMONG REPRESENTATIVES AND ENTERPRISING OF HOTEL AND FOOD BUSINESS, ATTENDED THE TRAINING WORKSHOPS.

The II Gastronomy Contest and Show Moquegua 2008 called “Saberes y Sabores de mi Tierra” included diverse activities such as lessons about Moquegua Cooking and Pastry, which Sodexo’s chefs were in charge of, as well as Cooking and Pastry live shows, in which old colonial and traditional recipes were shared, as the well-known “Adobo Moqueguano”4 and the “Chimbo eggs”5 . Through the show, the assistants could appreciate that many recipes can be prepared with local products and at a low price, and promote the purchase of local products.

50

NATIONAL AGREEMENT WITH CENFOTUR CAJAMARCA Thanks to the agreement with Cenfotur (Peruvian Center of training on Tourism), 50 scholarships were obtained by young men from Cajamarca to get training on cooking: Station Chef of national and international cuisine.

STUDENTS OBTAINED SCHOLARSHIPS, WHICH INVESTMENT CAME TO S/. 61,122, AMOUNT AFFORDED BY SODEXO.

WORKSHOPS AT THE NATIONAL UNIVERSITY OF CAJAMARCA (UNC) Students from the last cycles of the Food Industry Faculty at UNC attended the quality and business management workshops, which were developed in coordination with the university.

The most outstanding students obtained work training in our operations and some were hired by sodexo in the operation of yanacocha.

4”Adobo moqueguano”: Adobo is a typical southern dish, made from meat which has been specially marinated and seasoned. The Moquegua style refers to

the preparation used in this region, located in the south of Peru, where adobo is made with pork, simmered sweet potatoes and oregano. 5 Chimbo eggs: Traditional criollo desert made of eggs, butter, nuts, and liquor, which is prepared in the oven.

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w “QUEREMOS SODEXO MUNDO SER LOS MEJORES SOCIOS DEL DESARROLLO” w Segundo año consecutivo de crecimiento interno sostenido

Action Line

LOCAL PURCHASE AND SUPPLIERS DEVELOPMENT We have become partners of local development after starting ours and our client’s operations. We think that promoting local products development is a key aspect to enhance a sustainable development of the communities, as well as to foment a commitment to purchase local products.

business management. Once the product has reached Sodexo’s standard it can be certified by a quality hallmark. So, micro and small enterprises become our “local decentralized supplier”, with the possibility of trading their products in all our operations and other markets as demanding as Sodexo.

We identified a great interest among the population, to get to know the products with major economic potential, its trading and the creation of productive units. So, we keep working on the “Local Purchase and Suppliers Development” program in order to acquire a big amount of resources, products and services in the areas in which we operate.

Moreover, we help to revaluate native food products from Peru, through technical advising sessions aimed to local producers with whom we promote the usage of native resources to improve their quality, for example, “sauco”6 and “aguaymanto”7 jam, cane honey, cheese, fruit yogurt, etc. 6 Sauco: a tree originally from Peru, whose tasty fruit is consumed and

Through training and technical assistance about hygiene and sanitary quality and business management, we raised the quality standards of those products and improve the

36

appreciated because it is rich in vitamin C. It is mainly used in jams. 7 Aguaymanto: A native plant from Peru, extremely rich in vitamin A and

C. The fruits are consumed fresh or canned (jams, etc.). It has diuretic, sedative and rheumatic properties.


OBJETIVES We seek the economic and productive development in order to: Help to improve the levels of production and trading in extreme poor communities, which obtain products for selfconsume and eventually increase their incomes. Promote the development of local suppliers to increase the purchase volume in the areas of influence, as well as to help improving the income levels, employability and social stability. Promote the integration of business units to compete in more demanding and profitable markets.

SODEXO EXPERIENCE Quality guarantee After the technical advising, many of the products obtained the quality guarantee given by Sodexo Foundation, supported by SGS Certifier. We helped new food business opportunities to enter the market and become part of the Peruvian gastronomy offer.

Sechura (Bayovar Project) We have developed training activities for stock farm associations in Sechura, as well as following up the stock improvement program at the communal Foundation San Martin of Sechura.

RESULTS:

460

LOCAL PEOPLE IN SECHURA WERE TRAINED ACCORDING TO THEIR EXPERTISE OR JOB, ON HOTEL AND RESTAURANTS MANAGEMENT, FOOD SAFETY, STOCK FARM AND BUSINESS IDEAS.

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w LOCAL PURCHASE AND SUPPLIERS DEVELOPMENT

Huamachuco (Lagunas Norte Project) By the middle of 2007, we started in Huamachuco (La Libertad) our search for opportunities to develop high demand local products for Lagunas Norte mining operation. Along this journey, we identified possible suppliers for perishable local products, and therefore, enhance the development of the family economy and provide logistic help to the Barrick- Sodexo operation.

In this way, we tried to reach the provinces of Otuzco, Sanchez Carrion, Santiago de Chuco, Quiruvilca and Julcán, located in the area of influence of the Barrick Misquichilca – Sodexo operation.

An important activity carried out between November 2007 and April 2008, was the program called Local Purchase in the communities of Lagunas Norte Project, which helped more than 50 farmers and community people working on aquaculture to be trained on good aquaculture practices, farming, manufacturing and trading.

50

The local purchase program continued during the year 2008 in Huamachuco, seeking to extend the local suppliers area to the communities located around the Lagunas Norte operation.

Cuenca de Ayash (Antamina Project) The local purchase program, which belongs to the technical assistance program for producers in the areas of Cuenca Ayash and Huaraz, provided the acquisition of a major amount of resources, products and services from local decentralized suppliers, previously trained, in the communities close to Antamina - Sodexo operation.

RESULTS:

100

TONS OF POTATOES WERE BOUGHT MORE THAN BY SODEXO FROM LOCALS IN CUENCA AYASH.

38

THOUSAND LITERS OF HONEY WERE MORE THAN BOUGHT BY SODEXO AT LAS MAGNOLIAS APIARY INDUSTRY.

130

THOUSAND LITERS OF YOGURT MORE THAN WERE BOUGHT BY SODEXO AT ALIVAGRA EIRL INDUSTRIES.

38

RESULTS:

FARMERS AND TROUT PRODUCERS WERE TRAINED.

1,980

KG OF TROUT WERE PURCHASED.

S/. 19,800

INVESTED IN THE PURCHASE OF TROUT FROM LOCAL SUPPLIERS.


Huari (Antamina Project)

RESULTS:

More than 100 employees were trained on good practices on aquaculture for trout production and we also offered external advising, with the support of SGS, about water quality needed for trout farming. Nowadays, fish farmers are ready to work on the cold chain and preservation of trout, eviscerate techniques and hygiene and washing techniques. We hope to increase the monthly amount of 250 kilos (kg) purchase of trout to 1,000 kg per month; this represents 400% increase of the purchase.

69

THOUSAND KG OF MORE THAN FRESH TROUT WERE BOUGHT BY SODEXO AT CC SANTO DOMINGO DE ACOPALCA IN HUARI.

100

EMPLOYEES FROM MORE THAN FISH FARMING WERE TRAINED IN GOOD PRACTICES ON AQUACULTURE OF TROUT PRODUCTION.

We have helped several small local organizations to achieve economic growth, and benefit local people from the district of San Marcos, Cuenca de Ayash, Valle Fortaleza, Huari and Huarmey.

Arequipa (Ares and Arcata Project)

RESULTS:

The mining operations of Ares and Arcata, both from the Hochschild Group, are located at 4,900 and 4,600 above sea level, respectively; 275 Km away from the city of Arequipa, on the south of Peru.

18,480 KG OF TROUT BOUGHT IN THE

The local purchase program carried out by Sodexo Association, allowed the purchase of a great deal of local products from local suppliers in Arequipa. These suppliers were previously trained and joined Sodexo.

PURCHASE FROM LOCAL SUPPLIERS.

Iscahuaca and Pampamarca communities, located in the district of Cotaruse in the province of Aymaraes, 230 Km away from Ares and Arcata mines, are part of Hochschild Group’s influence area.

COMMUNITY OF TOLCONI.

S/.112,560 INVESTED ON TROUT 598,954 KG OF CHICKEN, PIG AND MEAT BOUGHT IN THE REGION FOR

S/. 734,344.

532,859 AKG AMONG GROCERIES,

VEGETABLES, BOUGHT IN THE REGION FOR

S/. 561,630.

THE MAIN PURCHASES WERE MADE AT ESTABLISHMENTS SUCH AS: CARLOS HELD PONCE, ANA MARIA MONTOYA MOGROVEJO, RICO POLLO S.A., AND CAMAL FRIGORIFICO DON GOYO IN AREQUIPA.

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w “QUEREMOS SER LOS MEJORES SOCIOS DEL DESARROLLO”

Action Line

FOOD EDUCATION AND PHILANTHROPY We contributed to promote a better nutritional education among people, aimed to improve quality life in the communities in which we operate. We also contribute to eradicate extreme poverty and hunger, stated as Millennium Development Goals (MDG) convened by the United Nations. Food Education and Philanthropy developed training on Nutrition and Food Education that consisted of improving habits, costumes and nutritional assessment, as well as to decrease misunderstanding and local myths about food, providing simple information, so their purchase decisions are based on nutritional aspects. We are aware of the fact that these improvements constitute a long term challenge and require the support and commitment of all the community and its authorities.

40

We carried out “Food Education Workshops” that promote the better use of the resources in each community and every family, so they can have a delicious, economic and nutritional food. We offered “Nutritional advising” in order to have a record of the nutritional conditions, especially among children under six years and guide them about what to do to overcome this risk factor. We have carried out “Vitamin Complement Programs”, aimed to fight anemia. We also worked with the mothers on simple and practical ways to do it at home.


SODEXO EXPERIENCE Sechura (Bayóvar Project) Through the food education program carried out by Sodexo - Vale do Rio Doce alliance, we have developed training conferences on Food Safety and Personal Hygiene, good practices on food handling, cleaning and disinfection, plague control, etc. We also developed nutrition courses in the community of Sechura, specially made for mothers: adult eating, children eating, illness prevention, and store maintenance in community kitchen associations.

RESULTS:

400

WOMEN HAVE BEEN TRAINED BY NOW ON SAFETY FOOD AND PERSONAL HYGIENE..

1,000

MORE THAN BENEFICIARIES HAVE BEEN TRAINED IN THE WORKSHOPS.

Quiruvilca (Lagunas Norte Project) We carried out the “II Conference on Food Safety and Nutrition related to cold food preparation” in the district of Quiruvilca, after identifying a great concern among people and authorities about malnutrition related illnesses, in the communities located nearby the Lagunas Norte operation. More than 60 beneficiaries received training on good practices, food safety and nutrition in cold food. The lessons, which covered academic and training aspects, were given by the chef -and nutritionist- from the Quality Department of Sodexo – Barrick operation. Another activity, carried out in November 2007, was the workshop “Bases of good eating” in which 25 mothers from El Sauco community were trained. We also developed the Food Education Plan in the “Centro de Demostracion Agopecuario” of El Sauco landed property.

RESULTS:

60

BENEFICIARIES ATTENDED THE II CONFERENCE ON TRAINING ON FOOD SAFETY AND NUTRITION IN COLD FOOD PREPARATION.

50

MOTHERS FROM EL SAUCO RECEIVED MORE THAN FOOD EDUCATION TRAINING.

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w FOOD EDUCATION AND PHILANTHROPY

Cuenca de Ayash (Antamina Project) In Antamina – Sodexo operation, we have carried out several activities related to Food Education, such as workshops to mothers and their children from 0 – 5 years old. We also carried out “Health Advising” programs, in which mothers, expectant women and children, received advice from a nutritionist.

RESULTS:

Moreover, the “Safety Food” Program gave school lunch to nine educational institutions with the support of Antamina Mining Company, which gave vegetables produced by “La Chacrita” demonstrative smallholding in Pichiu center.

645 BENEFICIARIES FROM CUENCA DE AYASH. 9 COMMUNITIES RECEIVED THE FOOD SAFETY

3,510 MOTHERS WERE TRAINED. 439 CHILDREN RECEIVED MEDICAL ATTENTION.

PROGRAM.

Huancayoc (Antamina Project) We carried out our program called “Cooking in La Cuenca”, considered a success after 70% of participation among mothers in the community of Huancayoc, located near Antamina mining project. A trainer from Sodexo gave lessons about how to prepare nutritional menus, good hygiene practices, and caloric balance for school age children, washing hands techniques, etc. The program includes lessons in the communities of Santa Cruz de Pichui, close to Antamina, where 120 mothers received training on health and nutrition, as well as medical and gynecological attention. Moreover, 270 people received food service.

RESULTS:

1,092 STUDENTS RECEIVED A BETTER LUNCH.

14

MOTHERS AND 187 CHILDREN FROM SANTA CRUZ DE PICHIU RECEIVED TRAINING ON FOOD EDUCATION, WHICH MADE A TOTAL OF 270 BENEFICIARIES.

We also visited “Virgen Peregrina” Child Village in San Marcos (Ancash) and Doris Pineda Venancio, a little girl who suffered from chronic malnutrition.

207 LUNCHES SERVED IN THE COMMUNITY

We organized the “Chocolatada Navideña”8, a philanthropic action carried out in December 2007 in Ayash, where 72 people and children from the community participated.

EMPLOYEES OF SODEXO PARTICIPATED DIRECTLY IN THE PROJECTS AND PROGRAMS WE CARRIED OUT.

OF VISTOSO.

210

8 Chocolatada Navideña: Social reunion specially organized for children during Christmas time, where they drink hot chocolate and receive gifts.

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QUELLAVECO, MOQUEGUA LOCAL GOVERNMENT Moved by our desire of developing Food Education activities in Moquegua, we carried out training sessions in the local communities of Carumas, Colacoa and Cambrune, in November 2008. Some of these activities were Nutrition and Food Safety workshops for 200 women of 15 social organizations, such as Community Kitchen associations and “Vaso de Leche”9 committees.

We carried out two workshops about Good Hygiene Practices and Nutrition in “Virgen de las Peñas”, a mothers association located in Cambrune. The training courses, to which 22 people attended, included a session about Hands Washing. At the end of the workshops, 10 women were invited to participate in the Gastronomy Show of Carumas.

A woman trained on how to give well-balance menus to her family, will help the community’s health and development. Taking this into account, we developed training workshops for mother associations and “Vaso de Leche” committees in the community of Carumas.

Additionally, in all the conferences, we carried out Healthy Food workshops. All the nutritional preparations, which contained local products, were made under hygiene and health standards.

The training sessions encourage them to participate in the Gastronomy Show in Carumas, also promoted by Sodexo and Quellaveco Anglo American Company. We also developed training on Nutrition and Food Preparation in the community of Colacoa, where 30 people participated, many of whom took the courses with their children and learnt about good eating guidelines, such as how to prepare healthy school lunch boxes.

We have planned to continue developing business opportunities with local suppliers, as part of our job with the community.

RESULTS:

300

PARTICIPANTS OF THE COOKING WORKSHOPS, AMONG AMATEURS AND EXPERTS ON MOQUEGUAN GASTRONOMY.

PARTICIPATIVE WORK, MARKHAM SCHOOL Santa María Reina Project, Pamplona, Lima Location: Community of Pamplona, district of San Juan de Miraflores, Lima.

Program: Food Education Sodexo Association worked in the Human Settlement Cerro Verde, in the district of San Juan de Miraflores, in 2008. A number of 30 mothers from “Santa Maria Reina” community kitchen were trained, after noticing the lack of basic knowledge about food, nutrition and food hygiene used in their daily work at the community kitchen that which benefits their own families. The most important activity carried out by Sodexo Foundation and Markham School was the “Balanced Eating and Food Hygiene Training”. This activity included training on good hygiene practices and nutrition in food preparation. With this program, we trained the mothers from “Santa Maria Reina” community kitchen, in order to improve the family’s eating process and to contribute to reduce health problems and increase life quality.

Sodexo Foundation carries out activities that have to do with closer communities’ involvement, especially on certain dates as Christmas, Mother´s Day, Children’s Day, etc.

9 “Vaso de Leche”: Food supplier Program in Peru, organized by the government to assure milk consumption among children in need.

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w PHILANTHROPY ACTIVITIES

SOLIDARITY AND TEAM WORK:

SHOWING THAT YOU CAN REALLY TRUST SODEXO

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PHILANTHROPY Besides our socially responsible entrepreneurial actions, we also carry out other philanthropy tasks that are expressed as unselfish help to others, without asking anything in exchange. The volunteer work of Sodexo Peru is only an example of our vocation to improve people’s daily life quality. In this way, we carry out solidarity actions by making children and seniors happy in the communities that we work; we contribute to hundreds of communities on Christmas and other festivities and we help to support the community on several projects in cooperation with other institutions. But our major example was being one of the first social welfare organizations that offered immediate help after the earthquake in Pisco, in August 2007. It was not only a rewarding experience after being able to help our Peruvian fellows, but a proof of professionalism of Sodexo’s employees, whose expertise acquired along our operations in the country, was proved by the quick response and efficiency during a period of crisis. Sodexo Peru offered its help just after 24 hours of the disaster and prepared a team of 40 employees of the Remote Sites segment, aimed to set up the first three kitchens to help the victims. We set up in the San Andres de Pisco Stadium, thanks to a coordinated work with the Ministry of Production, in which 6,000 victims, some of whom had not eaten for 48 hours, received food in our kitchen-camp. The food was delivered through tickets and to women and children specially. After a while, the stadium became the first giant shelter in Pisco, even the President of Peru, Alan Garcia, visited the place and stated that he was surprised and touched by the work displayed by organizations such as Sodexo Peru, considering it a model.

A second camp was set up in coordination with the Ministry of Work in the Local Park of Pisco and a third one was set up in Tambo de Mora, in Chincha. The fourth camp was set up in the airport of Pisco, with the purpose of giving attention to the Army’s staff and the fifth one was established in the boulevard of Pisco. The 100,000 free portions delivered by Sodexo Peru were more than doubled -to 215,000 servings- thanks to Antamina and Río Tinto Minining companies and the Hochschild Group’s support. It was precisely our clients’ trust and support, such as contributing Sodexo’s initiative with materials, equipment and food, that made possible to help the victims. Antamina donated 12,000 water containers with 20 liters of water, while the Hochschild Group (Cementos Pacasmayo) and Río Tinto Mining contributed with food provisions for the camps. The effort shown by our employees of Remote Sites and by our employees from Lima, who helped to carry out the plans, logistic and shipping of equipment and food, gave us the satisfaction of being prepared to respond to emergencies and that the community knows they can trust Sodexo. The Human Resources area in Lima was in charge of coordinating farther support from our employees that could not be in the emergency area, and were able to collect money, food and clothes for the victims. Many testimonies and the widely media coverage, assured our satisfaction of being there in the right moment, helping out the government’s action, since it did not have to worry on what we had covered, and could focus on its effort to rebuild the area.

OTHER SOCIAL WELFARE ACTIVITIES August 2007:

December 2007:

Child’s Day celebration in Virgen Peregrina Child Village, San Marcos – Ancash.

Christmas breakfast in the communities that belonged to our client’s influence area in remote sites: Cuenca de Ayash (Antamina), Lagunas Norte (Barrick).

November 2007: Training on Nutrition, for the members of the Maria Reina community kitchen in Pamplona Alta – in cooperation with Markham School.

December 2008: Christmas breakfast in Cuenca de Ayash.

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w PHILANTHROPY ACTIVITIES

THE CHRONOLOGY OF HELP: WHEN EVERY MINUTE COUNTS August 2007 Wednesday 15 6:41 p.m. An earthquake (7.9 on the Richter scale) rocked the south of Peru. The epicenter was 60 Km west from the city of Pisco, in the Region Ica.

Thursday 16 7:00 a.m. Crisis Committee Sodexo 8:00 a.m. First step, to gather information about health conditions of Sodexo’s employees. Second step, to gather information about the event. 9:00 a.m. Evaluation of any damage to Sodexo´s employees. No one died.

Foto: Agencia Andina

An action plan is made to help the company’s employees who were affected, as well as their families.

10:00 a.m. The management Committee decided that Sodexo Peru is able to offer its immediate help. 11: 00 a.m. Carrying out the action plan and evaluate it every two hours.

12:00 p.m. Design and start printing the tickets to receive free portions of food. Gathering camp tents, equipments and kitchen utensils. It is specified that the food portions will be of 370 gr. each one (120 grams of meat and 250 grams of carbohydrates), which constitutes approximately 1,100 calories. Moreover, water will be delivered to each family. Food storage to attend the first three days (15,000 portions).

On September 3rd in 2007, the President of Peru, Alan Garcia, awarded the private companies that showed social welfare attitudes after the earthquake tragedy. The president pointed out, once again, the food contribution given by Sodexo Peru.

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KEY FIGURES 1:00 p.m. The first team is ready to start their job. Phones and other communication systems are arranged. 2:00 p.m. Coordination with authorities in order to install the first camp-kitchen of Sodexo (Pisco).

6:00 p.m. The first supporting team departs to Pisco with vehicles, tents, trucks and food. They had to deal with a harsh and troubled journey and rare security.

215,000

Free food portions were given to the earthquake victims between August 17th and October 31st, 2007.

6,000 Food portions were given to children and women in the first 48 hours.

8:00 p.m. Coordination of the second team departure at 6:00 a.m. on Friday 17th

40 Were the first employees from our Remote Sites segment, who were in the area in less than 24 hours after the tragedy.

5 Production units were set up by Sodexo and with the support of Antamina, Rio Tinto and the Hochschild Group.

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w “QUEREMOS ACTIONS LINE SER LOS MEJORES SOCIOS DEL DESARROLLO” w Training

STOP HUNGER:

COMMITTED TO STOP HUNGER AND MALNUTRITION As a leader company in food services in more than 80 countries around the world and as our commitment to sustainable development, Sodexo works to be a creative source that contribute to forge a world without hunger and malnutrition, a severe problem that affects more than 855 millions of people and which solution is one of the main Millennium goals set by the United Nations Member States in 2000. Since the beginning of the program, more than 10 years ago, it has developed according to four types of interventions:

Volunteer job: we bolster and support the development of the service spirit among Sodexo employees, trough local initiatives to fight hunger.

Training: we offer information about nutrition, food safety, a better food usage and work training, aimed to improve unemployed and homeless people’s life.

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Donation of food: we donate perishable and nonperishable food to food aid organizations.

Financial donation: we support programs that fight hunger and malnutrition. The STOP Hunger programs, Sodexo’s international initiative, are located in the following countries: Germany, Argentina, Australia, Belgium, Brazil, Canada, Spain, The United States, Finland, France, Holland, Hungary, Mexico, Norway, Peru, Poland, Romania, United Kingdom and Ireland, Singapore.


KEY FIGURES STOP HUNGER 2007 - 2008

24

COUNTRIES CARRIED OUT

ALLIANCES WITH

298

GREAT INITIATIVES AND DEVELOPED

223 NGOS, ASSOCIATIONS AND CHARITY ORGANIZATION.

The initiatives developed around the world with the STOP Hunger, allowed to give more than 3 million euro to the organizations committed to fight against hunger and to serve more than 800,000 meals to the neediest people.

SODEXO EXPERIENCE Cooking in La Cuenca Since 2005, Sodexo employees in Antamina Mining Company, including nutritionists, are part of the monthly project “Cooking in La Cuenca”, which offers training on hygiene and food education to the community of influence of Antamina’s operations, located on the north of Lima. Every meal is prepared on training classes by the mothers, while their children are entertained with educational games. Then, the community is invited to try the meals and share all they have learnt. More than 5,000 people received this program.



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