ENVIRONMENTAL PERFORMANCE

GRUPO SANBORNS

Grupo Sanborns is known as a Company that scrupulously complies with its environmental standards. In every one of the units or sectors in which it operates, the applicable environmental requirements and standards are met and the corresponding authorizations have been obtained, especially in regard to the control and management of residual waters, emissions into the atmosphere and the handling and final disposal of solid residues and dangerous materials whenever the business generates them. Towards those purposes, the services of companies duly authorized by the corresponding sanitary or environmental authorities are contracted. In this sector the Company has a low environmental impact.

ENVIRONMENTAL ACTIVITIES 2022,
GRUPO SANBORNS

GRUPO CONDUMEX

During the year of 2022, as a result of the application of the Corporate Policy of Environmental Protection, the Grupo Condumex companies, consisting of the Cables and Automotive Parts Sector and 18 work centers, have maintained a certification in the ISO 14001:2015 standard. The Grupo Condumex plants carry out procedures in which they take advantage of the various technological advances in the use and care of natural resources that provide substantial savings in water and energy.

Throughout the year, the work centers recorded a total consumption of energy of 145,841,345 kWh, in which the consumption of clean energy was 87,646,720 kWh and in which the self-supply of renewable energy from solar panel systems was 1,915,534 kWh. In the twenty-five (25) work centers the total consumption of water recorded was 392,673 m³.

In the same manner, during 2022 the reutilization and recycling of residues in the Cables and Automotive Parts sector was continued, with a total of 6,937,488.23 kilograms of special-handling residues collected and recycled and with some of the largest work centers propitiating the recycling of 1,065,943.16 Kg of paper and

cardboard. In the CIDEC Jurica 894 Kgs of Special-Handling residues were sent to be recycled and 860.5 Kgs of dangerous residues were collected and sent for recycling. In the CIDEC CT 780 Kg of Special-Handling Residues were generated and sent for final disposal and 9.4 Kgs. of dangerous residues were generated and sent for final disposal. In the automotive parts and cables sectors 666,116.35 Kgs. of dangerous residues were sent for treatment and final disposal. These actions were all in compliance with the provisions established in the General Law for the Prevention and Comprehensive Management of Residues (LGPGIR).

For the eleventh consecutive year the Mexican Philanthropic Center (CEMEFI) awarded the Socially Responsible Company title to Grupo Condumex for its compliance with the standards established in the arena of socially responsible companies.

In 2022, in its commitment to environmental policies in the Cables Sector, the company Latincasa maintained a nursery in its facilities, with a total of 615 specimens of various species of flora, which were utilized in reforestation activities in the industrial zone of San Luis Potosi and in the company itself. The Companies NACEL Vallejo and Latincasa IN THE CIDEC CT 780 KG OF SPECIALHANDLING RESIDUES WERE GENERATED AND SENT FOR FINAL DISPOSAL AND 9.4 KGS. OF DANGEROUS RESIDUES WERE GENERATED AND SENT FOR FINAL DISPOSAL. maintain their Clean Energy title for their adherence to the voluntary program for the improvement of the efficiency of their production processes, their compliance with national and international standards, and for good operational and engineering practices. The Condumex plant in Guadalajara maintains its Environmental Leadership Certificate granted by the Secretariat of the Environment and Territorial Development (SEMADET) of Jalisco for its high standards in the protection of the natural surroundings of Jalisco, and it is the only company with that distinction. Reforestation activities were carried out In the Automotive Parts and Cables Sectors in commemoration of the World Environment Day, during which 93 specimens of various species were planted with the participation of approximately 24 persons.

In the cables and automotive parts sectors, the “Recycling Against Cancer” campaign has been maintained in a permanent manner. During the year of 2022 the said campaign collected 2,219.39 Kgs. of plastic bottle caps, which sere donated to the “Banco de Tapitas A.C.” Foundation, the “Mexican Association for Assistance to Children with Cancer I.A.P. (AMANC),” “Alianza Anticancer”, “Complices A.C.”, and to “DIF Apaseo el Grande,” through which plastic bottle caps, PET and aluminum are collected and recycled, and from the economic resources thus obtained the said associations assist persons with cancer by providing information, orientation, medications and care. In the CIDEC CT 58.3 Kgs. of plastic caps were collected and donated to the “Banco de Tapitas A. C” Foundation.

Finally, with the objective of implanting an environmental culture in the various work centers of the cables and automotive parts sectors, 1,377 talks were held, recording an attendance of 34,701 employees, while in the CIDEC Jurica and CIDEC CT 56 environmental talks were held, with the attendance of 1,402 employees.

CARSO INFRAESTRUCTURA Y
CONSTRUCCIÓN, S. A. DE C. V.

Carso Infraestructura y Construcción, S.A de C.V. and its subsidiaries comply with the provisions established in the corporate policy for the protection of the environment, and therefore persons experienced in environmental management matters are always present in the execution of all their projects. The Infrastructure and Pipelines sectors have maintained their environmental certification in the ISO 14001:2015 international standard since 2021 and they are valid until August 02 of 2024 and December 17, 2024, respectively.

For the twelfth consecutive year the Mexican Philanthropic Center (Cemefi) awarded the Socially Responsible Company title to Carso Infraestructura y Construcción, for its application of actions for the care and protection of the environment and for its contributions to society and to its employees with its business ethics.

In 2022 Carso Infraestructura y Construcción continued with the implementation of the Management of Residues Plan in the infrastructure, pipelines, building and central sectors. This plan allowed the efficient management of residues and to complement the environmental awareness campaigns with actions by the personnel from the various sectors. The activities for the reutilization and recycling of special-handling and dangerous residues were continued, and a total of 1,030,088.71 Kgs. of those residues were withheld from disposal in sanitary landfills, with diverse environmental benefits, including the recycling of 13,775.1 Kgs. of paper and cardboard. Regarding dangerous residues, during 2022 in the Pipelines, Infrastructure and Civil Construction projects, 364,609.56 Kgs. of dangerous residues were disposed of in an environmentally adequate manner. These were some of the actions carried out in compliance with the provisions established in the General Law for the Comprehensive Management of Residues (LGPGIR).

During the year of 2022, the participation in the “Recycle Against Cancer” campaign by the personnel in the Pipelines, Construction, Infrastructure and Central sectors was encouraged, along with the participation by their friends and family. In this campaign plastic bottle caps are collected and recycled for donation to the 46 • ANNUAL REPORT 2022 ANNUAL REPORT 2022 • 47 “Alianza Anticancer, A.B.P”, “Banco de Tapitas” and “Ángeles en Libertad A.C.” associations, all of whom have created an economic resource to support the treatment of persons with cancer and to cover their basic medical, psychological, and nutritional needs as well as other social assistance.

During the year of 2022 the “Pilotón” campaign, which is carried out in a constant manner year after year in the Pipelines, Construction, Infrastructure and Central sectors collected 61.71 Kgs. of used alkaline batteries, which were disposed of by the Company E-Weast, duly authorized for that purpose by the corresponding environmental authority

In the matter of restoration of soil, in the Varas-Vallarta highway project the restoration of 16.6 hectares was carried out in the land bank of the community of Chula Vista, commune of Peñita Jaltemba, while at Km 81+400 in the Mitla-Tehuantepec highway project the restoration of 0.674 hectares of an oak-pine forest with shrub species was carried out.

In July, in coordination with the Secretariat of the Environment of the Government of the State of Mexico and through its department of General Coordination of Ecological Conservation, the Annual Reforestation Campaign was initiated, with the participation of 46 persons consisting of friends and family members of the Group’s employees, an event propitiating family and worker fraternization. This annual reforestation event was realized with the support of the Sierra de Guadalupe State Park Director, and 112 trees of various species were planted (Tecoma stans, Eysenhardtia polystachya y Quercus sp.).

Finally, with the objective of instilling an environmental awareness in the Infrastructure, Pipelines, Construction and Central sectors, 564 talks on various environmental themes were held in 2022, with the recorded attendance of 41,520 persons.

or greater details on the environmental activities of Condumex and Carso Infraestructura y Construcción please refert to the 2022 report in:

GRUPO SANBORNS

The integration and accompaniment pro gram for the Sanborns, Dax, Sears and ClaroShop companies was consolidated, in which we ensure that new personnel will adapt to the Company in a simple and rapid manner and will learn their principal func tions quickly. The courses for the knowledge of products were continued and programs for sales specializations were established for each department. Programs on customer service and special sales skills were established, to achieve a better development and to ensure a satisfac tory shopping experience in customers. For the Sanborns restaurants the training was focused on the serving of food and beverag es and the development of personal abilities in the serving and decoration of pastries. In Sears the training was on innovative process es for electronic commerce, focusing on the creation of gifts and multi-channel sales and customer services. Additionally, the sales floor personnel were trained in the use of the new Sears digital sales App, Sears.com, in or der to promote it to customers. The training program for the technical service areas was reinforced for the purpose of offering a dif ferentiated service of high quality. Constant training is carried out for the purpose of up dating the inventory systems and sales points in order to expedite the service. In develop mental matters the talent base of sales man agers and supervisors is constructed with training in sales, administration, and the mar keting of products-, with orientation based on results and teamwork abilities. In the Capacitate Carso platform courses continue to be created and delivered for the integra tion of new employees into the Company and to develop their abilities and knowledge in order to improve their performance and thereby complete their development within the Company. 297 courses were created for Sanborns-Dax and 132 courses for Sears. In 2022 specialized training was provided on the various products found in the Mixup and iShop stores, as well as in regard to the up dating of inventory systems and e-commerce systems in order to better control the stock ing of merchandise. The subjects of sales consultation technology, books, Apple prod ucts and leadership were addressed, along with other matters. This training was carried out physically as well as online by means of Zoom, Meet, Webex and Teams.

CONDUMEX AND CARSO INFRAESTRUCTURA Y CONSTRUCCIÓN

In 2022, courses on the improvement of processes, innovation, human development, and health were delivered in Condumex and Carso Infraestructura y Construcción, with a total of 7,396 courses delivered to 568,066 participants.

CIVIL PROTECTION PROGRAM

The training of 5,661 brigade members of Sears, Sanborns and Promotora Musical was carried out in 2022, which was an increase of 92.8% compared to the 2,936 brigade members trained in the previous year. This training was carried out through the internal Civil Protection unit for the purpose of instructing the participants on the actions and functions that should be carried out in the event of emergencies.

THE ASUME PROGRAM (Association for the Progress of Mexico)

This program had a scope of 220 groups and 6,641 collaborators, graduated from Grupo Carso companies.

THE SOCIAL WELLBEING PROGRAM

The program consisted of 3 fundamental aspects: Training, Health, and Culture and Recreation. Virtual conferences were held, with a scope on a national level, reaching 311,050 persons, including family members of Grupo Carso employees, Among the subjects addressed was the answer to questions and concerns from the participants and the sharing of experiences with the specialists who dealt with those matters

THE “TRAIN YOURSELF FOR A JOB” PLATFORM

In the Carlos Slim Foundation’s “Train Yourself for a Job” platform, work was continued, both as a means of attracting new talent as well as in the training of operational, maintenance, and sales personnel for Sears. In the case of Condumex and Carso Infraestructura y Construcción 158 courses were delivered and a total of 21,884 persons completed the course.

The Mexican Philanthropic Center (Cemefi) awarded the Socially Responsible Company title to Carso Infraestructura y Construcción for the tenth consecutive year.

YAMMER

The principal benefits from the use of the “Yammer” tool are in the development of a culture of digital transformation, providing fluid and spontaneous communication in real time, as well as the integration between employees and work centers. In 2022 Carso Infraestructura y Construcción and Condumex distributed 218 Corporate Communications and Publications flyers/videos through Yammer, with 47,112 viewers.

GRUPO SANBORNS SOCIAL ACTIONS

The Company encourages worker inclusion, and therefore intellectually impaired persons are hired through the “Best Buddies” Organization. Additionally, in Mixup we are committed to the assistance of children with hearing problems through the “¡Oye! tú que oyes!” Campaign, urging people to help in the education of hearing-impaired children. For many years we have urged the customers in our Mixup stores and in https://www. mixup.com/ as well as in social networks to make donations, beginning with $10.00 pesos. Promotora Musical also participates in the Campaign and the amounts collected are delivered to the Pedagogic Institute for Language Problems, I.A.P. (IPPLIAP), in which teachers and family members are taught to use sign language. Primary and elementary classes are held for deaf children to help their integration into society.