At Corzen Group, upholding ethical standards is paramount in every facet of our business operations. Our Code of Ethics serves as the cornerstone, encompassing the principles and conduct expected of all employees. We categorically reject any form of corruption, extortion, or bribery without exception.Comprehensive training in our Code of Ethics is mandatory for all personnel, ensuring a thorough understanding of our ethical framework. Additionally, newly hired employees undergo specialized training on the Code, alongside familiarization with various complaint mechanisms available to them. This commitment underscores our dedication to fostering a culture of integrity and accountability across the organization.Complaint Mechanisms GRI: 2-26EthicsGRI: 205-2, 205-3The Code of Ethics addresses the following situations and provides protocols to deal with them: Bribes Conflict of interest Corruption Fraud Money laundering Relations with third parties10We are open to receiving complaints regarding employee violations of our Code of Conduct or our Code of Ethics through one of our emails: cuentanos@multiceras.comethics@aztec-plumbing.comtransparency@corzengroup.comExternal ComplaintsWe have multiple mechanisms that allow employees to provide suggestions, denounce behavior and violations of the Code of Conduct, and give general feedback to the company. For example, we have suggestion boxes located throughout our facilities, and all employees have direct access to Human Resources personnel.Additionally, in 2023 we started our complaints service through Orienta, which can be accessed through: Telephone: (442) 295 30 03 or 800 087 21 60 Web Page: https://orienta-ld.com/CORZEN_GROUP/ Internal ComplaintsWe are open to receiving complaints from any person who detects a violation of our Code of Ethics by any of our employees, through our emails: cuentanos@multiceras.com ethics@aztec-plumbing.com transparency@corzengroup.comDuring 2023 and in previous years, no cases of corruption or breaches of the Code of Ethics have been detected. We remain constantly vigilant through internal mechanisms and with open complaint lines. We are scheduled to carry out a diagnosis of integrity in the company in 2024.To ensure respect for Human Rights and prevent behavior that conflicts with our values, we have established a confidential system for receiving both internal and external complaints. This system guarantees non-retaliation for all complainants.IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
External Initiatives Sustainable Sourcing GRI: 2-23Aligned with our vision of integrating sustainability throughout every facet of our company's operations, we aspire to cultivate a supply chain that shares our values and aligns with the ethical, social, and environmental standards we have defined as a corporate group.As part of our commitment to ethical and sustainable purchasing, we implemented the Supplier Recognition Program, based on delivery efficiency and sustainability criteria.11In October 2012, we adhered to the Ten Principles of the UN Global Compact regarding human rights, labor, environment, and anti-corruption. Since then, we have actively participated in the initiatives of the Global Compact Mexico and in 2023 we reiterate this commitment by sharing our good practices and reporting our actions, understanding our responsibility to achieve the United Nations 2030 Agenda.To adopt international standards regarding ethical trading, we have included the ETI Code in our policies.The Global Reporting Initiative is an independent international initiative that helps companies be more transparent and take responsibility for their impact through a common language, providing a standard for sustainability reporting.United Nations Global CompactEthical Trading InitiativeGlobal Reporting Initiative11 GRI: 308-1 Throughout 2023, we meticulously assessed the sustainability questionnaires of all our suppliers, spanning both Multiceras and Aztec Plumbing. Each supplier received a certificate acknowledging their performance, accompanied by a request to endorse the Supplier Code, signifying their commitment to compliance with our stipulated standards.This initiative not only facilitates a deeper comprehension of our value chain but also fortifies our dedication to sustainable development, empowering us to lead comprehensive projects with significant environmental and social impact.IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
One of our pillars of social responsibility is our employees. Each employee is key to our success and part of what makes Multiceras and Aztec Plumbing leading companies.We value the commitment of our employees and provide awards to those who meet five-year milestones with the company. In 2023, 16 awards were given at Multiceras and 6 at Aztec Plumbing: We respect the right to collective bargaining, and 100% of employees working in operations have a collective labor contract that local authorities have approved.We outsource some security, cleaning, and first aid services to external contractors. Social Performance Our People GRI: 2-7, 2-30, 401-1, 401-3, 405-1Year202183 21 104 38 %1.35 %14.18 %7.30 %2.23 %8 Women and 16 Men34 Women and 4 Men5138 %36 %1041122327818520222023WomenMulticerasAverage monthly rotationAverage monthly absenteeism New hiresParental permitsAztec PlumbingTotalPercentage of personnel with a collective contractMenEmployment data for 2023: 12Multiceras Aztec PlumbingMulticerasYear202119 48 67 84 %89 %91 %66894971171820222023Women TotalPercentage of personnel with a collective contractMenAztec Plumbing8 people3 people2 people1person2 people3 people2 people1 person5 years 5 years10 years 15 years 20 years 30 years 10 years 15 yearsIndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
At Corzen Group, inclusion is part of our culture. We seek the development of our employees without any discrimination. In our policies and internal procedures, discrimination due to gender, religion, ethnicity, and sexual orientation, as well as human rights violations, are prohibited.We support equal opportunities for men and women. In 2023, 35% of the administrative staff were women, and 20% of them were occupying key positions within the organization.In 2023, there were no reported instances of discrimination. We empower our employees with the resources they need to expand their knowledge, drive innovation, and enhance productivity. Through strategic investments in courses and training programs, we cultivate a culture of continuous learning and professional development.In the past year, we proudly facilitated the enrollment of 10 employees in the esteemed Future Leaders course offered by ThePower Business School. This initiative not only enriches their understanding of business dynamics but also deepens their insights into our company's operations.Furthermore, as part of our commitment to fostering growth and excellence, all administrative staff undergo regular performance evaluations. Here are the outcomes for 2023:Equality and No Discrimination GRI: 405-1, 406-1Training and Evaluation GRI: 404-1, 404-2, 404-3 157 Courses2,893Training hours28Average hours of training per year per employee$756,413 MXPTotal investment10English scholarship32 MulticerasAztec Plumbing13105 Courses1,829Training hours18Average hours of training per year per employee$67,944 MXPTotal investment3English scholarship13IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
Numerous facets of our operations entail the handling of chemicals, hot materials, and steam, posing potential risks to our workforce. In a proactive measure to prevent injuries, we conduct meticulous risk analyses in designated areas, involving key personnel in the process. Every incident, whether classified as a minor injury or a major accident, undergoes a comprehensive investigation aimed at uncovering its root causes. The findings of these investigations are meticulously integrated into our internal methodologies to fortify our preventive measures and mitigate the likelihood of future occurrences. During 2023 we carried out evacuation drills on time involving all personnel who work in person. Drills were carried out on the day and night shifts.0 444.84.8040 089,02508.90165,680MulticerasAccidents (major injuries) Incidents (minor injuries)Fatalities as a result of work-related injuryTotal number of hours workedRate of recordable work-relatedinjuriesRate of fatalities as a result of work-related injuryAztec Plumbing14Ensuring the safety of our employees is our top priority. We consistently invest in upgrading our infrastructure and collaborate closely with our personnel to enhance their preparedness for emergencies. Upon joining any of our companies, all staff members undergo comprehensive safety training to familiarize themselves with our protocols and procedures. Additionally, our dedicated brigades and committees receive annual training sessions to further reinforce their expertise in handling emergencies effectively.SafetyGRI: 403-1, 403-2, 403-4, 403-5, 403-9Evacuation Brigade 25 25 24 28 4 14Search and Rescue BrigadeFirefighters Brigade First Aid Brigade Legal Requirements Committee Health and Safety Committee Number of people who received training.Rate of high-consequence work-related injuries (excluding fatalities)In 2023 we had:Our goal:0 Accidents32MulticerasAztec Plumbing0104Accidentes 2021 2022 2023IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
Health GRI: 403-3, 403-6, 403-815We also offer safe and clean facilities for all our employees. We have a dining room, infirmary and breastfeeding area.Amid the ongoing recovery from the health crisis precipitated by Covid-19, we are pleased to report a significant decrease in infections in 2023. As a proactive measure, we have continued to uphold the initiatives established in previous years and rigorously implemented protocols designed to minimize the risk of contagion within our facilities, promptly activating them in response to any suspicion or confirmed cases. 100% of staff enjoy the following benefits:Ambulance serviceFirst aidSmoke-free environmentVaccine campaignsVisual health aidYearly health exams Additional Health Benefits At Corzen Group, the well-being of our employees is of paramount importance. For this reason, we have implemented different awareness campaigns and programs around topics such as nutrition, disease prevention, and promotion of physical activities.IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
16To cultivate an atmosphere characterized by transparency and trust, we prioritize ongoing dialogue facilitated by various practices and events aimed at actively listening to all members of our team. Additional BenefitsEmployees receive benefits and incentives beyond those required by law, which allow them to have a higher quality of life: Additional salary bonusesBonus and days off for birth or adoption of children, death of family members, and marriageChristmas bonus for employees’ childrenEducation aid for employees’ childrenFull days and half days off, additional to those required by lawPersonnel transportationCommunication and Well-beingBreakfast with ManagementBreakfasts with Management are an instrument that promotes the interaction and participation of all employees to express their opinions and suggestions to management. In this format, the CEO, the Human Resources Manager, the Operations Manager, and the Union Leader as representative of the workers attend.Orienta PAEDuring 2023, we trained employees in the use and installation of the Orienta PAE platform (Employee Assistance Program). Through this application, employees have access to online consultations with specialists and can schedule appointments, among other things. This system offers the following services: emotional, medical, nutritional, veterinary, legal, and personal finances support. GRI: 403-6Sport Activities To promote the health and well-being of employees, the company sponsors participation in monthly recreational races with distances of 1k, 5k, 10k and 15k.As is tradition, employees from all areas of the organization have come together for several years now to form a soccer team, in which sports and healthy camaraderie are encouraged.IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
We are committed to innovating and improving the efficiency of our operational processes, thus reducing our negative impact on the environment. We have a series of policies that guide our business actions in relation to environmental issues.Corzen Group companies (Multiceras and Aztec Plumbing) commit to reducing Scope 1 and Scope 2 absolute GHG (Greenhouse Gas) emissions by 42% starting from the 2020 base year by 2030; and to measure and reduce their Scope 3 emissions.At Corzen Group, we are committed to protecting and conserving the environment, to preventing injury and illness in the workplace, and to providing a safe working environment by complying with legal requirements and best practices.EnvironmentEnvironmental Goals Environmental PolicyIn 2022, following the recommendations of the Science Based Target Initiative (SBTi), we updated our targets which are now aligned with our commitment to the 2030 Agenda. By 2030, 50% of our energy will come from renewable sources.CO EmissionsEnergy17GRI: 305-5Tons of CO2 equivalentPercentage reduction from base year 20201,71920202021202220231,582- 8 %1,601- 7 %1,450- 16 %MULTICERASTons of CO2 equivalentPercentage reduction from base year 202096202020212022202387- 9 %90- 6 %104+ 8 %AZTEC PLUMBINGMULTICERASEnergy Produced by Solar Panels (MWh)Energy Consumed from CFE (MWh)Percentage of energy coming from renewable sources366645 %20202021202220236566010 %6162310 %6155311 %AZTEC PLUMBINGEnergy Produced by Solar Panels (MWh)Energy Consumed from CFE (MWh)Percentage of energy coming from renewable sources2218912 %20202021202220233019515 %2519113 %3221915 %IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
GRI: 302-1, 302-4, 305-1, 305-2, 305-5Climate Change * Includes Greenhouse Gases: CO, CH y NO18At Corzen Group, we acknowledge the significant adverse effects of Greenhouse Gases (GHG) on the atmosphere and their contribution to global warming. In response, we are committed to obtaining accurate data to assess our climate change footprint effectively. Moreover, we proactively champion initiatives aimed at setting GHG reduction targets across all sectors of our business.Our commitment to the planetEnergy (MWh)Natural Gas (m)LP Gas (l)Fuel (l)Total660505,52433,00054,1552791,109561381,582623472,12530,67995,036553447,33745,11758,851242982761501,4502711,036522421,601Multiceras2021 2022 2023Ton CO Eq*Energy (MWh)Fuel (l)TotalAztec Plumbing2021 2022 2023Ton CO Eq* Ton CO Eq*Ton CO Eq*Ton CO Eq*Ton CO Eq*Our carbon footprint is composed as follows: MulticerasAztec Plumbing1952,155825871912,8502193,09796810483790IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
Reduction InitiativesOperationsIn 2019, we installed solar panels, seeking to promote our own electricity generation from renewable sources. Our carbon footprint by scope is composed as follows:At Multiceras, we have a current capacity of 88 MWh per year. In 2023 the energy production was 61 MWh, representing At Aztec Plumbing, we have a current capacity of 38 MWh per year. In 2023 the energy production was 32 MWh, representing 11 % of the energy consumed15% of the energy consumed19All calculations were obtained through the company's internal measurement system and using the emission factors available in the National Registry of Emissions of the Secretariat of Environment and Natural Resources of the Mexican Government.Direct emissions of greenhouse gases (GHG) Scope 11,303 279 1,582 1,330 271 1,601 Aztec Plumbing 2021 2022 2023Indirect emissions of greenhouse gases (GHG) Scope 2MulticerasTons of CO Equivalent 2021 2022 20231,208 242 1,4505828778390896104GRI: 302-4IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
INDEXVolkom Profile414242424241Mission and VisionLocation ProductsMarketsApplicationsAlkento Profile4343444443Mission and VisionLocationProducts Certifications454646Appendix 45GRI Content IndexAbout This ReportContact CEO Letter 3Corporate Profile 566789101011114History Location Corporate Governance Corporate Values Sustainability Strategy Human Rights Complaint Mechanisms Ethics Sustainable Sourcing External Initiatives Social Performance 1213131415151612Our People Equality and No Discrimination Training and Evaluation Safety HealthAdditional Health Benefits Communication and Well-being171718192020212217Environmental PolicyEnvironmental GoalsClimate Change Reduction InitiativesLogistics and PurchasingWaterCircular EconomyBiodiversity Environment23242425252627282930313233343423Mission and VisionProductsApplicationsLocationMarketsInnovationCertifications, Audits, and AwardsAssociationsSustainability Strategy – MulticerasConsultation with StakeholdersSupply ChainCandelilla Wax Supply ChainAllies in Social ResponsibilityCommunity EngagementCandelillero CommunitiesMulticeras Profile3636373838383940Mission and VisionLocation ProductsMarketsAuditsSupply ChainSustainability Strategy – Aztec PlumbingConsultation with Stakeholders 36Aztec Plumbing Profile
We are collaborating closely with energy providers to increase our clean energy consumption. Our goal is to ensure that 50% of the energy consumption of the Corzen Group companies comes from renewable sources by 2030.Logistics and Purchasing As part of our ongoing commitment to measure Scope 3 GHG (Greenhouse Gas) emissions, we have established an indicator to estimate the emissions generated by our strategic input supply chain.In 2021, we successfully decreased Greenhouse Gas emissions by 11% in the pivotal supply routes crucial for our business compared to 2020. This reduction was achieved through strategic measures aimed at optimizing volume and cultivating relationships with key suppliers. However, in 2022, there was a slight increase of 1% compared to the previous year.Furthermore, we conducted a thorough analysis of the supply routes for Candelilla wax, focusing on enhancing the efficiency of our vehicle fleet utilized for procuring wax from the communities.During 2023 we continued to promote these water-saving initiatives:20 GRI: 303-5WaterEnergy produced by solar panels (MWh) 6528 10 % Aztec Plumbing 2021 2022 2023Percentage of energy from renewable sourcesMulticerasTons of CO Equivalent neutralized612710 %301315 %251113 %Water is a vital natural resource for our operations, as it is necessary for its conversion to steam used to heat our production tanks and as a raw material in some of our products. Control of water consumption, diversifying by sources.Use of discharge water from softeners to be used in general services.Establishment of process control equipment to prevent steam leakage and improve boiler efficiency.Innovation in production processes and new technologies to take advantage of water from alternative sources.Investment on the development of new products that require less water, either for their manufacturing or as a raw material.Multiceras5,492These are our consumptions m2021 2022 20233,958 3,415Aztec Plumbing1,017630 1,638612711 %321415 % 2021 2022 2023IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
Recycled waste (tons) We recycle cardboard and pallets.Hazardous waste (tons)Special handling waste (tons) * 70289Multiceras2021 2022 2023Special handling waste (tons) *40 Aztec Plumbing2021 2022 202326 25 During 2023, we continued with several reduction initiatives such as the following: Control of material consumption, as well as responsible provisionNegotiation with suppliers to improve and reduce the packaging of raw materials receivedSeparating, recycling, and quantifying use of plastics*These wastes are handled by a company certified by the local authority.GRI: 306-3, 306-4, 306-5Circular EconomyWe measure our consumption of materials, apply mechanisms to reduce their use, increase waste recycling, and develop projects to reduce the amount of waste in public landfills or hazardous waste. In 2023, we began purchasing boxes made of recycled materials for our wax rings. 2110419739892IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
1952,155825871912,8502193,09796810483790GRI: 101-1, 101-2, 101-4BiodiversityOur Biodiversity policy is seamlessly integrated within our broader Social Responsibility framework. Within this policy, we acknowledge the critical significance of safeguarding biodiversity and pledge to responsibly utilize natural resources.We responsibly harness natural resources in strict adherence to national legal frameworks and relevant regulations, aiming to spearhead holistic sustainable projects that generate positive social and economic impacts for communities.Candelilla is listed in Appendix II of the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES), a designation that governs its international trade. This classification is crucial in preventing harvesting rates that could jeopardize the survival of the Candelilla species.To harvest the Candelilla plant, residents of the communities situated in the plant's region must secure a Harvesting Permit authorized by the Mexican Secretariat of Environment and Natural Resources (SEMARNAT).Multiceras' team of forestry engineers assists communities in obtaining these Harvesting Permits. Furthermore, we offer training to rural producers (Candelilleros) on the specifications outlined in the official Mexican standard (NOM-018-RECNAT-1999 *), which delineates the proper procedures for the sustainable utilization of the Candelilla plant.To lawfully export Candelilla wax, a CITES permit must be obtained from SEMARNAT. This agency oversees the verification of the product's legal origin and ensures compliance with harvesting permits issued to each community. Multiceras only exports Candelilla wax that complies with all regulations. * https://biblioteca.semarnat.gob.mx/janium/Documentos/Ciga/libros2009/DO2264.pdf22IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
Multiceras is a leading Mexican corporation specializing in the design, production, and distribution of natural, synthetic, and petroleum waxes, along with complementary products for diverse industrial applications. Our company is driven by an interdisciplinary team dedicated to fostering innovation and creativity, all while adhering to a sustainability model rooted in ethics, human rights, and environmental stewardship. Our overarching goal is to craft business solutions that enhance the competitiveness of our clients' products and services on a global scale.To provide reliable and personalized solutions that contribute to the competitiveness of our customers.To be a global competitor and a contributor to the success of our customers, employees, suppliers, and community.MissionVisionWe cater to over 30 diverse industries spanning from school supplies, cosmetics, and pharmaceuticals to industrial coatings. This diversity prompted us to establish Strategic Business Units (SBUs) to better serve to customers with similar market segments and needs.Our first SBU, Volkom, specializes in serving clients requiring large product volumes for industrial applications, such as wood boards or drywall. Meanwhile, our second SBU, Alkento, focuses on clients in the personal care, food, and pharmaceutical industries.Other sectors, including Adhesives and Sealants, Packaging and Printing, and School Supplies, among others, continue to receive direct service from Multiceras.23GRI: 2-1IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
ProductsGRI: 2-6ApplicationsOur solutions are used in more than 30 different applications, from cosmetics or pharmaceuticals to industrial coatings.Being aware of the products that reach the final consumer, we are very clear about why we create solutions that transform the world into a more sustainable and efficient one.At Multiceras we focus on developing specific solutions for each client. We offer a broad portfolio in more than 25 countries around the world.Candy coating waxes and gum baseExfoliating agents for skin careFood release agentsSpecialty waxes and esters for cosmeticsCoatings for packaging and paper Formulations for crayons and modeling clayWaxes and resins for pigments and TTR Other Industries24GRI: 2-6IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
Location and Markets MarketsStrategic Allies25GRI: 2-1, 2-6Our production plant is located in García, Nuevo León, Mexico. We have administrative offices in Cuatro Ciénegas and Saltillo, Coahuila. United StatesCanadaColombiaMexicoAdditionally, we have sales representatives in the Bajío Area and Mexico City, as well as different national and international strategic allies: JapanFranceSpainGermanyUnitedKingdomIndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
Circular EconomyThe circular economy is an essential part of various projects. Therefore, we continually explore new sources of materials that we can integrate and give added value, to give them opportunities in the different markets where we are present.Natural alternatives for the cosmetic and personal care industryWe promote various projects with the aim of responsibly taking advantage of what nature offers us, such as extracts from various plants with the potential to be used as multifunctional ingredients for the cosmetic and personal care industry.Platform integrationWe integrate various analysis methods to the new ingredients developed, which focus on demonstrating the safety and effectiveness of these ingredients. This has allowed us to validate the potential and multifunctionality that our innovations can provide to our clients' cosmetic formulations.Innovation26Biodegradable exfoliantsWe develop microspheres made with natural waxes such as Candelilla wax, which can be used as a substitute for polyethylene-based exfoliants.Innovation with impact Our projects aim to create a better world, through the preservation and improvement of the environment. For this reason, we incorporate strategic lines that allow us to develop innovative solutions to generate functional ingredients through natural and sustainable processes. Collaboration with educational, scientific and technological institutions in the regionWe develop projects in collaboration with highly prestigious educational institutions located in our region, such as Tecnologico de Monterrey. Allowing us to open and incorporate new lines of research with the help of experts, to generate new high-value ingredients in different markets, both national and outside of Mexico.IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
Certifications, Audits, and AwardsGRI: 2-23In terms of Quality certifications, we have had the ISO 9001 certification since 2000, and in 2021 we obtained the ISO 9001-2015 certificate, which is valid for 3 years. A follow-up audit was carried out in 2023, which was performed remotely in compliance with health security protocols. We seek continuous improvement through periodic internal and external Social Responsibility audits. In 2023 we had a SMETA 6.1 audit of 4 pillars (Labor Standards, Health and Safety, Environment and Business Ethics).In order to provide our customers with a verification process of their value chain, we are voluntarily evaluated annually by Ecovadis, allowing us to integrate continuous improvement into our social compliance processes and generate excellent value for our customers. In December 2022 we obtained a Gold rating. 27In 2023, CEMEFI (Mexican Center for Philanthropy) awarded us the Socially Responsible Company Distinction statuette for the tenth year. This Distinction ratifies our commitment to social responsibility, impacting environmental, social and governance criteria through our work.Socially Responsible Company AwardEcovadisSocial Responsibility Audits ISO 9001-2015IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
AssociationsGRI: 2-28Multiceras participates in various chambers and associations to promote better business practices, share information, and lobby national and international regulatory bodies to support the market.The organizations in which we participate are: 28Like the previous year, with the Mexico Global Compact, we continue to participate in the 2030 Agenda Working Group | Ecosystems and Biodiversity. In addition, during 2023:We regularly attended the sessions of the Nuevo León Agri-Food Cluster, specifically participating in its Sustainability and Social Responsibility Committee. We were also added as members of the IntegraRSE Network to share good sustainability practices between companies in the state of Nuevo León.We were invited to present our program with the Candelilleros to the Najhub Network, a network that is responsible for empowering girls, boys, teenagers, and young people as Agents of Change.IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
Sustainability Strategy – MulticerasGRI: 2-22, 3-1, 3-2At Multiceras, we are aware of the impact that our operations have on value chains, which is why we focus our sustainability strategy on three lines: 29We updated our Materiality Analysis in 2021 to complement our sustainability strategy. This is a process used to identify a company's economic, environmental, and social impacts and its value chains. Subsequently, we had to consult our stakeholders to determine the priority of the issues identified. To achieve this, we invited customers, suppliers, employees, shareholders, and the management team to answer the questionnaire.We continually integrate these principles into company policies and initiatives and analyze and monitor our progress. We promote a corporate culture attached to ethics, respect for human rights, and social responsibility. In addition, we encourage the development of our employees, as well as their health and safety.We promote the sustainable use of Mexico's endemic natural resources and the socio-economic development of communities. Within our facilities, we establish projects to responsibly reduce our use of natural resources.Through our innovation team, we seek the integration of technology and the use of new species to meet the needs of our customers and reduce their environmental impact through our products.CultureSustainable PracticesInnovationIndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
Our vision for 2030 serves as the driving force behind our quest for sustainable growth, essential for achieving our business objectives. This journey involves integrating corporate diversification, fostering innovation, maintaining a relentless focus on client needs, and upholding the principles of Human Rights. Rooted in the United Nations' 2030 Agenda, our vision not only sets ambitious goals but also embraces a robust action framework to guide our path towards a prosperous and ethical future.As the CEO of Corzen Group, I reaffirm our commitment to the Ten Principles outlined in the Global Compact. On behalf of all members of our organization, we are dedicated to advancing these principles within our business strategy, embedding them deeply into our corporate culture, and ensuring they play a fundamental role in our decision-making processes. CEO LETTERDear friends, In 2023, businesses faced formidable challenges given the economic slowdown, geopolitical tensions, and the burdens of elevated interest rates and inflation. These factors greatly affected general consumption patterns and global investment strategies.Our focus for 2023 was to build and develop new opportunities for growth across all our Strategic Business Units (SBUs). Within our SBU AZTEC PLUMBING, we successfully solidified the expansion of our cement products for PVC usage within our domestic market. Additionally, we are actively laying the groundwork to seize opportunities in the USA and Canada starting from 2024.In our SBU ALKENTO, we boosted the promotion of our EVOLVE portfolio, which includes our citric Candelilla wax and very specialized products – such as organic grade Candelilla wax and Fair for Life certified Candelilla wax – which are also certified KOSHER and HALAL. These launches have received a very positive response from our clients.Meanwhile, in the SBU VOLKOM, we developed a solution for the manufacture of cement that makes its production more efficient and improves its performance.Our corporate strategy puts our clients at the center of all our choices and we strive for them to have an experience of unconditional service. Therefore, this year we reinforced our Commercial process, integrating a Corporate Sales Manager. This manager not only designs the commercial operative strategy but also leads the process of customer experience with an integral focus on their interactions with them.GRI: 2-22Sincerely,Francisco DíazCEO3Volkom ProfileAlkento Profile
Consultation with StakeholdersGRI: 2-29StakeholdersExpectationsActions TakenCommunication Channels and FrequencyTo maximize the company's economic value sustainably, to ensure its long-term survival and leadership position in the market, and to comply with the law and ethical considerations.Annual shareholders meetings. Quarterly board meetings. Executive meetings.ShareholdersMateriality consultation. Establishment and execution of the business strategy. Monthly financial statements.CustomersTo provide customers with trustworthy and personalized solutions that help them compete in their markets.Materiality consultation. Customer audits on quality, safety, environment, management, and social responsibility. Following norms and achieving certifications.Biannual customer satisfaction survey. Visits to customer premises. Participation in national and international events, such as In-Cosmetics and Suppliers’ Day.EmployeesTo guarantee a good working environment, to support initiatives that promote personal and professional development, to ensure employee safety, to promote diversity, and to provide equal opportunities for men and women.Materiality consultation. Bonus and awards program. Code of Conduct. Training programs. Scholarship program. Annual working environment questionnaire. Annual evaluations of performance and values. Open channel for complaints.CommunityTo contribute to the quality of life in our Candelillero communities. To become involved in the communities where we operate.Understanding the needs of our Candelillero communities. Volunteering and donations. Getting involved with civic organizations and cooperation with neighboring companies on shared issues.Annual Candelillero survey. Communication with local authorities and Candelilleros through the Department of Agribusiness. SuppliersTo establish long-term relationships with strategic partners in our value chain.Materiality consultation. Communication with key suppliers to ensure quality of products and services. Participation in events coordinated by organizations such as American Fuel & Petrochemical Manufacturers and European Wax Federation.Monthly supplier evaluations. Suppliers visits. Annual Supplier Recognition Program, based on delivery efficiency and sustainability criteria.GovernmentTo ensure all operations comply with the law.Fulfilling municipal, state, and federal safety and environmental requirements. Adhering to SEMARNAT requirements to ensure Candelilla sustainability. Collaboration with local authorities in areas where we operate or have influence.Communication with SEMARNAT personnel to process permits. Communication with municipal, state, and federal government. Participation in governmental forums and committees.30IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
Supply Chain GRI: 2-6The second one is our Agribusiness supply chain, which collaborates with local producers to obtain raw materials from the field, through methods that are friendly to the environment, while creating shared value in the communities of the region. One of the most emblematic products of Multiceras is Candelilla wax, which is extracted by independent producers from the Candelilla plant.Domestic and International SuppliersTransport to MulticerasHigh quality manufacturing products following customers’ specificationSales to Domestic and International customersThe Candelilla wax is obtained through a comprehensive Supplier Development program that provides opportunities for community development through the sustainable use of forest resources. This allows us to offer products that are distinguished from our competition by being processed in Mexico and supported by a unique social responsibility program.31At Multiceras, we have two well-defined supply chains. The first one provides us with most of our products, such as emulsions, petroleum-derived products, synthetic waxes, and specific formulations of wax blends. IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
Candelilla Wax Supply Chain Candelillero OrganizationsCandelilla Plant CollectionCandelilla Wax ExtractionTransportation to MulticerasPermits for Exportation and LogisticsSales and Customer ServiceRefinement and Preparation of the Final Product According to Customer SpecificationsIn some communities, Candelilleros have organized into Rural Production Societies, which allow members to access the Mexican Social Security Institute (IMSS).Our team of forestry engineers supports Candelillero communities, helping them obtain harvesting permits that allow them to collect Candelilla plants without harming the sustainability of the species. The equipment needed for the extraction is installed in the community, and the extracting agent is provided. In some communities, citric acid has been implemented as an extracting agent. Our buyers visit the more isolated communities, providing the Candelilleros with guaranteed purchase quotas. Our R&D and innovation teams work with customers to understand their needs and provide solutions through products that have been tailored for them.The exportation of Candelilla wax requires a CITES permit. Our sales department obtains the permits and organizes the logistics needed for shipments.Sales and Customer Service teams ensure that all requirements are met.32GRI: 2-6IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
Allies in Social ResponsibilityIn preceding years, our esteemed client Yokozeki has significantly contributed to enhancing the quality of life for the residents of the Candelilla communities. Their generous donations have manifested in various forms, including volunteer efforts and the installation of sturdy roofs in Candelilla wax extraction units.In 2023, Yokozeki's contribution was directed towards supporting volunteer initiatives in the Reata Ejido, situated in the state of Coahuila. Specifically, their donation facilitated the rehabilitation of the community hall, providing a vital space for communal gatherings and activities. 33As part of our L’Oreál solidarity-sourcing initiative, we signed the Candelilla Sustainable Sourcing Agreement, which aims to: The number of beneficiaries in the year 2023 was 159 Candelilleros. Provide Candelilleros and their families with access to social security benefits.Improve work safety conditions for Candelilleros through financing the substitution of sulfuric acid with the much safer citric acid in the extraction of Candelilla wax. With the participation of the organizations IntegraRSE and Yo Quiero Yo Puedo, the project consisted of a community diagnosis, as well as the delivery of workshops based on life skills that would provide women with the necessary tools to strengthen their role in decision-making and create support networks. Within the framework of L'Oréal's Solidarity Sourcing program, the Women's Empowerment project was carried out focused on helping nineteen women from the Candelillero communities of Tuxtepec and Reata in the state of Coahuila.GRI: 2-23, 413-1IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
For decades, Candelilla wax has been extracted by the inhabitants of the communities of this region through a process of heating water and adding an extracting agent. All equipment and supplies required for this work are supplied free of charge to Candelilleros, who maintain a buy-sell relationship with Multiceras. The law requires that to harvest the Candelilla plant, it is necessary to submit a technical justification study to the Mexican Environment and Natural Resources Ministry (SEMARNAT), which then issues a harvesting permit. Candelilla wax is extracted from the Candelilla plant, which is native to the Chihuahuan Desert. The plant generates a wax coating to avoid dehydration due to the desert's harsh temperatures. In Mexico, Candelilla is found in the semi-arid areas in the states of Chihuahua, Zacatecas, Durango, Nuevo León, and Coahuila. Coahuila is where the largest number of Candelilleros are dedicated to harvesting Candelilla and the extraction of the plant’s wax. At Multiceras, we are deeply committed to fostering shared value within the communities where we operate and hold influence. Beyond our core operations, we actively engage in initiatives aimed at enhancing empathy, communication, and solidarity with community members.GRI: 413-1Community Engagement GRI: 2-23, 413-134In 2023, we organized a volunteer effort to support the Ejido Reata community in the state of Coahuila. This community, comprising 113 residents, received invaluable assistance through the renovation of their communal hall. This multifunctional space serves as a vital hub, functioning as both a classroom for high school students and a venue for local gatherings. Additionally, it provides a crucial meeting point for agricultural producers and senior citizens alike. The plant naturally generates a wax coating that allows it to avoid dehydration from the harsh conditions of the desert.Candelillero Communities IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
To reduce the risks associated with the Candelilla extraction process and to promote greater economic activity in the region, Multiceras has undertaken various initiatives in the communities:35Financing of Administrative ExpendituresTo support Candelillero communities, we opened a forestry office in 2017. The office has a team of forestry engineers who perform all necessary studies and monitor paperwork. In 2023 expenditures amounted to MXP$ 2,625,737 (USD$ 155,902). Guaranteed PurchaseWe guarantee our purchase of certain levels of Candelilla wax regardless of international demand, providing Candelilleros with a guaranteed income.InfrastructureWe provide Candelilleros with the equipment and tools they need to extract the Candelilla wax. In 2023 we invested MXP$ 794,500 (USD$ 47,173) on the purchase and repair of extraction equipment. Extraction agent In all the communities where we buy Candelilla wax, we provide the Candelilleros with the extraction agent they will need to carry out the extraction beforehand. This can be Citric Acid or Sulfuric Acid. In 2023, thanks to the normalization of supply chains, the investment in extraction agents was reduced, which was MXP $4,753,536 (USD$ 282,238), an amount equivalent to 48% of the investment made in this concept in 2022.31Communities that have replaced the use of sulfuric acid with citric acid 24%Of the total Candelilla wax purchases, it is extracted with citric acid57Candelilleros with access to Social Security $2.6 MDPFinancing to communities for forestry studies$6 MDPInvested in equipment and materials for wax extractionUse of Citric AcidIn 2016, our R&D team introduced citric acid as an extracting agent, reducing the risks associated with the use of sulfuric acid. We currently have 31 communities in which the entire wax production is made using Citric Acid, representing 24% of the total purchases of Candelilla wax. Training of ProducersOur staff provide training to Candelilleros in product quality and sustainable forest use.Social SecurityMulticeras is the only Candelilla wax provider that helps Candelilleros access government social security benefits, such as medical services, financial protection in the case of accidents and injuries, and pensions. In 2023 we assisted 57 Candelilleros access social security benefits, with an investment of MXP$ 860,042 (USD$ 51,069). 20212022202335 35 31Communities producing with Citric AcidPercentage of Candelilla wax produced with Citric AcidThrough innovation and the development of products from Candelilla wax, Multiceras will continue investing in these communities, supporting the use of forest resources in a sustainable way, and promoting economic growth in the region.25 %26 %24 %ÍndicePerfil del CorporativoDesempeño SocialDesempeño AmbientalMulticerasAztec PlumbingVolkom AlkentoAnexos IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
Aztec Plumbing is dedicated to the manufacture of sealants and accessories for toilets, lubricants, soldering pastes, teflon pastes, plumber's putty, leak detectors, as well as the marketing of products within the faucet segment, solvent cements for PVC and CPVC, teflon tapes and cutting oils.As a proud member of the Corzen Group, Aztec Plumbing boasts a formidable presence in international markets. Within our corporate ecosystem, Multiceras, another key entity, supplies the specialized wax blend integral to one of our flagship products. Strategically situated in García, Nuevo León, Mexico, our two facilities form the backbone of our operations. 36Committed to excellence, our company is powered by an interdisciplinary team that champions innovation and creativity. Aligned with our core values, we embrace a sustainability model anchored in ethics, human rights, and environmental stewardship, ensuring that every aspect of our business reflects our unwavering commitment to responsible practices.To supply reliable, private-label products that generate prestige for our customers.To be a global competitor and a contributor to the success of our customers, employees, suppliers, and community.Mission VisionGRI: 2-1IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
ProductsGRI: 2-6We develop a new range of products for the plumbing industry, offering what characterizes us:We have introduced several new products for the plumbing industry to complement our main offering of toilet wax rings. Some were developed by our research staff with our own technology, including our patented Plumbers Putty. Other products are sourced from carefully selected suppliers. Cutting OilLeak DetectorPlumbers Putty PVC cementsPrivate label opportunities Outstanding customer serviceExcellent performanceIn 2021, we launched high-quality sink faucets under the Grifen brand to the Mexican market.37Sealants and screws for installation of toiletsTeflon pasteWax-free IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
38We are committed to fostering continuous enhancement by undergoing regular Social Responsibility audits, as per the requests of our clients. In 2023, we successfully fulfilled the criteria outlined in the RESA (Retail Ethical Sourcing Assessment) standard, valid for a three-year period.Furthermore, Aztec Plumbing upholds and adheres to the rigorous standards set forth by the Customs-Trade Partnership Against Terrorism (C-TPAT). To safeguard the integrity of our customers' products, we have implemented stringent security protocols that span across our entire supply chain. In 2023, we achieved satisfactory compliance with an on-site SCAN (Supplier Compliance Audit Network) audit, affirming our commitment to maintaining robust security measures.MarketsAuditsOur supply chain structure is tailored to the specific requirements of each product category. Take our flagship product, the toilet wax ring, for instance. We source the wax raw materials from Multiceras, conveniently located adjacent to our plant. Supply Chain GRI: 2-6This proximity has facilitated a collaborative environment, enabling us to refine wax-blend formulations and guarantee the consistent quality and reliability of our product. Additionally, we partner with local Mexican companies to produce various other wax ring raw materials. Certain components for alternative products are sourced from either Mexican or international firms, while others are manufactured in-house at our facility. This diversified approach ensures a robust and flexible supply chain ecosystem to meet the demands of our diverse product portfolio.GRI: 2-6IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
Sustainability Strategy – Aztec PlumbingGRI: 2-22, 3-1, 3-239At Aztec Plumbing, we manufacture products for the plumbing industry with each client's brand. We are aware of the environmental impact of creating a product that reaches the final consumer, which is why we focus our sustainability strategy on three lines:We promote a corporate culture attached to ethics, respect for human rights, and social responsibility. In addition, we encourage the development of our employees and their health and safety. Within our facilities, we establish projects to responsibly reduce our use of natural resources.Through our innovation team, we seek to develop products that reduce environmental impacts.CultureSustainable PracticesInnovationTo complement our sustainability strategy in 2021, we updated our materiality analysis. This is a process used to identify companies' economic, environmental, and social impacts and their value chains. Subsequently, we had to consult our stakeholders to determine the priority of the issues identified. To achieve this, we invited customers, suppliers, employees, shareholders, and the management team to answer the questionnaire.We continually integrate these principles into company policies and initiatives and analyze and monitor our progress. IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
4PurposeVision“To create solutions that make the world more sustainable and efficient”“To be a centenary corporate group leader in innovation and sustainability”Corporate Profile GRI: 2-1, 2-2 Founded in 1978, Multiceras offers a diversified portfolio of solutions catering to various industries. Spanning across distinct Strategic Business Units (SBUs), the company serves sectors such as pharmaceuticals, food, personal care, and construction. Additionally, Multiceras extends its expertise to encompass areas like school supplies and industrial solutions for cardboard packaging production and coating.Aztec Plumbing, established in 2000 as an independent enterprise, has steadily grown into a distinguished provider of plumbing solutions, With a diverse portfolio of products, Aztec Plumbing proudly collaborates with renowned brands across various channels, including prominent hardware and home improvement retailers, wholesalers, toilet manufacturers, and cooperatives spanning the globe.Established in the United States in 2008, Arca Chemicals supports corporate companies in matters related to raw material procurement, equipment importation, and access to financing sources. Additionally, Arca Chemicals markets high-quality Mexican products in the United States.Our first SBU, Volkom, develops solutions for the construction industry, such as emulsions and additives for wood and drywall panels, concrete, and asphalt. Volkom also supplies paper sizing and pulp production solutions, applicable in box coatings such as sizers and defoamers. Focused on custom engineering integration, Volkom also offers lubricants and coatings for the automotive and metal mechanics sectors.Corzen Group comprises Multiceras, Aztec Plumbing, and Arca Chemicals, all under the ownership of a Mexican family. While each company caters to distinct markets, they are unified by shared purposes, values, and operational approaches.To enhance our understanding of customer needs and streamline our focus on respective industries, we established Strategic Business Units (SBUs). These units are tailored to address specific markets, clients, and requirements, enabling us to foster comprehensive development and provide optimized attention. Presently, our SBUs include Volkom and Alkento.Alkento, our latest Strategic Business Unit (SBU), caters to the personal care, pharmaceutical and food. These sectors demand adherence to stringent regulations and innovative product solutions. Consequently, our dedicated R&D and Innovation teams are actively engaged in researching and formulating novel raw materials tailored to address the unique requirements of our customers.IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkomAlkentoAppendix
Consultation with StakeholdersGRI: 2-2940IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix StakeholdersExpectationsActions TakenCommunication Channels and FrequencyTo maximize the company's economic value sustainably, to ensure its long-term survival and leadership position in the market, and to comply with the law and ethical considerations.Annual shareholders meetings. Quarterly board meetings. Executive meetings.ShareholdersMateriality consultation. Establishment and execution of the business strategy. Monthly financial statements.CustomersTo provide customers with trustworthy and personalized solutions that help them compete in their markets.Materiality consultation. Customer audits on quality, safety, environment, management, and social responsibility. Following norms and achieving certifications.Biannual customer satisfaction survey. Visits to customer premises. Participation in national and international events.EmployeesTo guarantee a good working environment, to support initiatives that promote personal and professional development, to ensure employee safety, to promote diversity, and to provide equal opportunities for men and women.Materiality consultation. Bonus and awards program. Code of Conduct. Training programs. Scholarship program. Annual working environment questionnaire. Annual evaluations of performance and values. Open channel for complaints.CommunityTo contribute to the quality of life in our Candelillero communities. To become involved in the communities where we operate.Volunteering and donation. Getting involved with civic organizations and cooperation with neighboring companies on shared issues.Monitoring progress of annual work plan.SuppliersTo establish long-term relationships with strategic partners in our value chain.Materiality consultation. Communication with key suppliers to ensure quality of products and services.Monthly supplier evaluations. Suppliers visits. Annual Supplier Recognition Program, based on delivery efficiency and sustainability criteria.GovernmentTo ensure all operations comply with the law.Fulfilling municipal, state, and federal safety and environmental requirements. Collaboration with local authorities in areas where we operate or have influence.Communication with municipal, state, and federal government. Participation in governmental forums and committees.
41Volkom began in 2020 as a Strategic Business Unit within our corporate group, specializing in cutting-edge technology and bespoke solution crafting for industrial sectors. Our focus extends across diverse markets, including construction, automotive, paper, and metal mechanics. With an expansive portfolio, we offer different emulsions engineered for various applications, notably serving as effective moisture barriers among other functions.At VOLKOM we offer personalized solutions and integrated technology that promote the competitive and sustainable development of our customers.To be a global competitor and a reference for the success of our clients, collaborators, suppliers and community.Mission VisionGRI: 2-1IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix Construction - Pulp and PaperCustomized Chemical SolutionsManufacturingIndustries:
42This proximity has facilitated a collaborative environment, enabling us to refine wax-blend formulations and guarantee the consistent quality and reliability of our product. Additionally, we partner with local Mexican companies to produce various other wax ring raw materials. Certain components for alternative products are sourced from either Mexican or international firms, while others are manufactured in-house at our facility. This diversified approach ensures a robust and flexible supply chain ecosystem to meet the demands of our diverse product portfolio.LocationGRI: 2-1ProductsGRI: 2-6The products that Volkom offers are developed to respond to the specific needs of its customers, such as a solution for protection against humidity in the manufacture of wood panels.Volkom products are currently manufactured at the Multiceras facility, located in Garcia, Nuevo Leon, Mexico.AnticorrosiveAntifoamsAsphalt Curing AdditivesBinders Board EmulsionsConcrete Curing Emulsions CoolantsCutting LubricantsDrywall EmulsionsPolyethylene WaxesSynthetic Waxes Thermal Treatments Wax CoatingsWax LubricantsPerfil del CorporativoDesempeño SocialDesempeño AmbientalMulticerasVolkomAztec Plumbing Anexos Markets ApplicationsAt Volkom, we specialize in delivering innovative solutions uniquely crafted to cater to diverse industries and their specific requirements. Our primary focus lies in serving panel and concrete manufacturers within the construction sector, offering tailored solutions to enhance their processes. In the pulp and paper industry, we provide personalized formulas designed for various applications, including paper sizing, pulp production, and specialized products for box coatings like adhesives and antifoams.Moreover, for the manufacturing industry, we excel in developing custom-engineered solutions ranging from lubricants to coatings. These solutions are meticulously formulated to optimize the manufacturing processes of metals, glass, and electrical components. Our offerings span from cooling solutions to effective anticorrosive treatments, ensuring enhanced efficiency and longevity across diverse manufacturing operations.GRI: 2-6 GRI: 2-6IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
43Alkento represents the latest addition to our corporate group's Strategic Business Units, dedicated to pioneering the design, manufacturing, and distribution of raw materials tailored for the cosmetics, personal care, pharmaceutical, and food sectors. These industries demand meticulous attention to certifications, regulatory standards, and the growing preference for natural products. Our SBU is strategically positioned as a hub for innovation and sustainability, driving forward-thinking solutions to meet the evolving needs of these dynamic markets.At ALKENTO we offer personalized solutions and integrated technology that promote the competitive and sustainable development of our customers.To be a global competitor and a reference for the success of our clients, collaborators, suppliers and community.Mission VisionGRI: 2-1IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
Products and CertificationsGRI: 2-644For the Candelilla wax, we have obtained the Organic certificate with the Ecocert Cosmos standard, which is for applications in cosmetics and personal care.Candelilla WaxMulprox WaxRefined ParaffinIn 2022 we obtained new certifications for several products. We currently have Kosher, Natural Process, Halal, Gluten Free and Vegan certifications. Candelilla WaxCandeuba WaxMulprox WaxRefined ParaffinAs part of our commitment to sustainability and our stakeholders, in 2023 we were awarded the Fair for Life certificate by Ecocert for Candelilla wax 7852 Candelilla REAL® Evolve.This certificate guarantees a fair price for the Candelilleros, better working conditions, ensures product traceability and benefits for the communities.Organic CertificateFair for Life Certificate The products that have these certifications are:These products, in addition to the certifications mentioned above, have the vegan product certification:IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
GRI Content IndexAppendix45IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
About This Report Through this Sustainability Report, we present results, activities, and commitments of the Corzen Group, which includes the companies Multiceras, S.A. de C.V. and Aztec Plumbing, S.A. de C.V., from January 2023 to December 2023. This report is published annually, this being the eleventh edition approved by the Executive Board.The Sustainability department is responsible for gathering and preparing the information presented in this report. This report was made following the guidelines of the GRI (Global Reporting Initiative) published in early 2024, and the publication date of each GRI was added to the index. On this occasion, verification of the Report will not be requested.As Multiceras and Aztec Plumbing are private companies, this Sustainability Report does not include financial statements. Our Management and Finance departments are responsible for keeping all information documented and archived, as well as following all legal requirements.ContactGRI: 2-3Please contact us with any suggestions or to request further information:Mireya MarmolejoSustainability Managermmarmolejo@corzengroup.comRectángulos No. 100 Colonia Arco Vial. CP: 66023García, Nuevo León, México46Multicerashttps://www.unglobalcompact.org/what-is-gc/participants/17892-Multiceras-S-A-de-C-V- Aztec Plumbinghttp://www.unglobalcompact.org/participant/18081-Aztec-Plumbing-S-A-de-C-V-Past reports are published under the companies’ profiles on the Global Compact website.GRI: 2-1, 2-3, 2-4, 2-5, 2-14 IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
HistoryThe company was founded under the name BaldiniThe first production plant was established inSaltillo, CoahuilaThe plant was relocated to SantaCatarina, Nuevo LeónThe company started the production of wax rings for the plumbing industryThe current production plant and corporate offices were built in García, Nuevo LeónAztec Plumbing began as an independent company The company was divided into Multiceras for the manufacture and commercialization of waxes, and Multiquim for the distribution of chemical products1978198119831985199019912000Multiquim was sold to Noveon, Inc.The Candelilla Institute was founded for the research of Candelilla plantArca Chemicals was established in United StatesMulticeras and Aztec Plumbing adhered to the Global Compact and began to present sustainability reports the following yearNew laboratory facilities were created to increase our capacity for R&D and innovationThe Multiceras Group corporate entity was created to include companies Multiceras and Aztec Plumbing, as well as new Strategic Business Unit, VolkomThe name of Grupo Multiceras is changed toCorzen GroupMulticeras received the Socially Responsible Company award from CEMEFI (Mexican Center for Philanthropy)2002200420082012201320182020202120225Alkento was created as the new Strategic Business UnitGRI: 2-2IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
6Corporate Governance GRI: 2-1, 2-9, 2-12The Executive Board of Corzen Group provides our highest level of governance. It is tasked with setting strategic direction, endorsing the annual budget, overseeing internal procedures, and monitoring overall progress. 33% of the Board of Directors is made up of women. Complementing this, our Advisory Council, comprising independent members, offers advice on ethical, legal, and strategic matters.The Chief Executive Officer assumes responsibility for implementing the strategies delineated by the Executive Board, overseeing operations, and approving policies. Supported by the Chief Commercial Officer, Chief Growth Officer, and other executive management, the CEO ensures effective leadership.Further, each Strategic Business Unit (SBU) is led by a dedicated manager, entrusted with executing the unit's bespoke strategy and fostering sustainable growth.6GRI: 2-1The production plants of Multiceras and Aztec Plumbing, as well as their corporate offices and laboratories, are located in García, Nuevo León, Mexico. LocationIndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
Corporate ValuesGRI: 2-23Our corporate values serve as the compass guiding our decision-making processes and the execution of our strategic objectives. Forming the bedrock of our operations, these values underpin our Code of Conduct, which is meticulously crafted to reflect them. Annually, our staff undergoes evaluations, assessing their adherence to these values and the Code of Conduct, ensuring alignment with our organizational ethos. 7CommitmentCreativityHealth and SafetyExcellence ServiceRespectCommitment motivates us to give our all to the team and trust that we can achieve our goals together.Excellence drives us to perform at our highest level.Creativity inspires us to generate ideas, push boundaries, and discover original solutions.Service allows us to anticipate customers’ needs and collaborate with them to create solutions tailored to their business.Our employees are the cornerstone of our business, so their physical and mental health, as well as their safety, are a priority for us.Respect means honoring ourselves, others, and the environment that sustains us all.We live our values with a profound sense of ownership and accountability ingrained within our corporate. IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
Sustainability StrategyGRI: 2-22LFor Corzen Group, sustainability is the integration of our core values with a profound respect for Human Rights and environmental preservation. Our overarching objective is to cultivate businesses that not only deliver value to our customers but also provide them with access to ethically sourced raw materials and high-quality products, thereby aiding in their efforts to minimize their social and environmental footprint.In 2021, we promoted the consolidation of sustainability strategies both at the corporate level and within each company. To achieve this, we undertook a comprehensive update of the Materiality analysis for Multiceras and Aztec Plumbing, leveraging the evolving landscape of our business and the unique strengths of each entity. Throughout 2023, we successfully executed various initiatives, including the attainment of Organic and Fair for Life certifications for Multiceras' Candelilla wax, marking significant milestones in our sustainability journey.Corzen Group operates through a sustainable business model: 8based on creating shared value with our stakeholders, seeking permanence in the market through legal compliance, respect, and concern for the environment and society.Our commitment extends beyond our organizational boundaries as we actively engage with our allies and business partners. This collaborative approach has enabled us to contribute meaningfully to the UN Global Compact's initiatives, particularly those focused on driving action during the Decade of Action:Aligned with the Climate Ambition program outlined by the UN Global Compact, we actively engaged in the Community of Practice of Mexican Companies for the Establishment of Science-Based Targets. Through participation in various courses, we improved our ability to define science-based greenhouse gas emission reduction targets. These targets are meticulously calibrated to align with the overarching aim of the Paris Agreement on climate change, which is to prevent the global average temperature from exceeding 1.5 degrees Celsius above pre-industrial levels.Climate AmbitionCO Emissions GoalCorzen Group companies (Multiceras and Aztec Plumbing) commit to reducing Scope 1 and Scope 2 absolute GHG (Greenhouse Gas) emissions by 42% starting from the 2020 base year by 2030; and to measure and reduce their Scope 3 emissions.IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix
Human RightsGRI: 2-23, 2-30For Corzen group, ensuring respect for human rights is essential. We proactively support international initiatives, adhere rigorously to regulations, and champion human rights across our operations and throughout our value chain.Our Social Responsibility Policy supports initiatives that prohibit child labor and forced labor within our company and with our suppliers and contractors. Likewise, we recognize the right of collective bargaining and the right of association in strict accordance with prevailing laws and regulations, both domestically and internationally.We integrate into our policies and operations a strict adherence to the Code of Conduct to strengthen our team, contributing to the development of a better quality of life at work, equal opportunities for development and an improvement in the well-being of our employees and their families. In the companies of Corzen Group, we reject any incident of discrimination, abuse, and harassment directed towards our employees. It is mandatory that all personnel receive training on human rights during their entry to the organization and at least once a year. Additionally, all employees are trained in the Social Responsibility Policy, the Internal Regulations, the Code of Ethics, and the Code of Conduct. In 2023, we carried out a due diligence in Human Rights to analyze the areas within the company where these rights could be violated. We ensured that the detected risks had action plans for elimination or mitigation. We plan to participate in the Human Rights accelerator organized by the UN Global Compact in 2024. 9IndexCorporate ProfileSocial PerformanceEnvironmentMulticerasAztec PlumbingVolkom AlkentoAppendix