ANNUAL AND SUSTAINABILITY REPORT 2015

Commitment
with our communities

Gentera is a leading socially responsible company in Mexico, according to Mundo Ejecutivo’s ranking of the 50 most sustainable companies

Corporate Social Responsibility Fund

G4-DMA ECONOMIC PERFORMANCE, OVERALL,
G4-EC1 SECTOR ADDITION

Our Corporate Social Responsibility Fund consists of 2% of Gentera’s net annual profits. Led by Fundación Gentera, all companies carry out actions aligned with our strategy of generating social value.

Lines of action:

  • Education: formal, financial, entrepreneurship
  • Volunteering culture
  • Donation culture
  • Contingencies
G4-DMA ANTI-CORRUPTION (GENERIC AND SPECIFIC), AUDIT

According to the 2015 annual audit plan, the Internal Audit Department carried out a verification of the resources of the Fund and the processes for their use. Moreover, the annual external audit was carried out in order to validate the resources of the Fund as well as those of Fundación Gentera.

G4-EC1, G4-EC1 SECTOR ADDITION, G4-EN31
2014 2015
Compartamos Banco Corporate Social Responsibility Fund $45’264,530.00 $60’820,000.00
  • Education
$20’289,712.76 $41’759,068.25
  • Corporate responsibility and volunteering
$10’818,630.89 $10’832,409.86
  • Environment
$1’252,118.79 $1’610,817.54
  • Operational and administrative expenses
$757,635.11 $540,228.38
  • Donations to Fundación Gentera
$12’146,432.45 $6’077,475.97
Compartamos Financial Corporate Social Responsibility Fund $0.00 $2’260,000.00
Aterna Corporate Social Responsibility Fund $0.00 $160,000.00

Fundación Gentera and the Social Responsibility
Fund granted over

77.5 MILLION

pesos for corporate social responsibility actions


G4-EC1 SECTOR ADDITION

2015 Actions:

  • In order to raise awareness and reinforce values in children, their families and teachers, we partnered with Fundación Televisa and other companies to support the publishing of 200,000 books on values and 775,000 guides and calendars for teachers, as well as 18,000 books for our employees.

793,000
PUBLICATIONS


  • Support to communities under emergencies:
    • 2,000 food disaster relief packages delivered in Colima, Jalisco, Oaxaca and Sonora
    • 35,592 water-proof bags delivered to female clients in 91 municipalities of Chiapas in flood risk
    • 674,434 risk-prevention brochures delivered in the 12 states in Mexico considered in high flood risk

8,400
BENEFICIARIES


FS11
  • Donation of 598 pieces of electronic equipment to Civil Society Organizations with an investment of $6’851,935
  • Once this equipment ends its service life, it is returned to Gentera for adequate disposal
  • Sustainable actions for environmental care such as recycling, waste separation, energy and paper saving and the creation of the Greenhouse Gas Inventory*; in addition to proper disposal of used electronic equipment.

71,297
BENEFICIARIES

*For more information about our Greenhouse Gas Inventory visit our website

2016 goals:

  • At least one volunteer activity per branch of Compartamos Banco
  • Support for more than 4,500 people through the 2016 Call for Education*
  • Maintain 40% employee donations to Fundación Gentera
  • Outreach and attention to more beneficiaries

*These beneficiaries are included in the goals of the RSC 2016 strategy.

Fundación Gentera

G4-DMA INDIRECT ECONOMIC IMPACTS, LOCAL COMMUNITIES

True to our roots, we have endeavored to generate social inclusion in the communities where we operate in.

Fundación Gentera is the organization leading the social responsibility efforts of Gentera and its subsidiaries. In order to achieve its objectives, participation of our employees is essential, since it is them who contribute with proposals and donations that allow us to provide value to different causes.

Moreover, the foundation works to raise the awareness of our employees and communities about the social problems in the country. With this, we encourage a culture of donation in support of education, while providing humanitarian aid during natural disasters, volunteering actions and periodic initiatives to encourage participation.

At Fundación Gentera we have managed to strengthen our donation culture, as over 6 thousand of our employees made donations

In April we launched Fundación Gentera to external audiences

54,135
beneficiaries of
Fundación Gentera

G4-EC1 AND SECTOR ADDITION
2014 2015
Revenue $12’568,545 $9’298,593
Corporate Social Responsibility Fund Donations $12’146,432 $6’077,476
Other donations (employees and consultants)
$26,794
$2’892,149
Other income $395,319 $328,968
Disbursements $6’149,991 $20’383,597
  • Dental care projects in communities where we operate in
$1’164,878 $818,960
  • Call for Education 2015
  • Education projects (formal, financial and entrepreneurship)
- $5’664,432
  • Alliances
    Education projects (formal, financial and entrepreneurship)
$1’915,827 $8’072,249
  • Volunteering
$897,512 $2’654,172
  • Operating management and administrative expenses
$2’171,774 $3’173,784
2014 2015
Beneficiaries
  • Health
2,478 2,361
  • Education*
181,803 12,113
  • Volunteering
20,016 31,261
  • Contingencies
- 8,400
Number of volunteers 13,672 13,535
*2015 saw a redefinition in the criteria considered for counting the number of education-related beneficiaries.

51
MILLION

pesos donated by Fundación
Gentera and the Corporate
Social Responsibility Fund to
diverse NGO’s

EducationG4-EC8

During 2015 we continued our work to promote education through our three lines of action: formal education, financial education and entrepreneurship as the factors that drive social and economic development. We achieved the objective through partnerships and donations to Civil Society Organizations (CSOs) that support sustainable projects fostering the development of Mexican families.

202,214
BENEFICIARIES THROUGH DIFFERENT
PARTNERSHIPS

Formal education
11,637 benefitted clients and community individuals

  • Literacy courses
  • Basic education
  • Basic school reinforcement programs
  • Comprehensive maintenance grants

1,167 children benefitted with school supplies

Financial education
105,728 benefitted individuals

  • Literacy courses
  • Financial education

Entrepreneurship
84,382 benefitted individuals

  • Entrepreneurship courses

2015 Call for education

G4-DMA INDIRECT ECONOMIC IMPACTS (SPECIFIC)

We establish synergies with institutions that encourage and contribute to empowerment through the education of children, young people and adults.

We invite our employees to donate part of their salary –for every donated peso Fundación Gentera doubles the donation– or to sponsor or nominate a Civil Society Organization that works with education projects.

In April and May $5'644,432.00 were donated to Civil Society Organizations selected in the Call for the Education-related projects

G4-EC1 AND SECTOR ADDITION

MORE THAN 6,000
employees joined the campaign


$2’832,216
donated, doubled by the
Foundation

AlliancesG4-15

In 2015 we managed to raise the quality of life of several families through a wide range of strategic alliances of Fundación Gentera and our Social Responsibility Fund. Some are the following:

Fundación Gentera

Fundación EDUCA México, A.C.

Start of the Aflatoun program, social and financial education.

Objective: to provide an ethical basis for the use of money in children and teenagers, contributing to their social and financial education to help them create a future patrimony.

Beneficiaries:
346 students
25 teachers
628 parents
In 8 schools

Teach 4 all México, A.C.

Objective: recruit the best graduates from all careers in Mexico to have them teach for two years in schools of communities with a high degree of marginalization in Mexico.

Beneficiaries:
258 graduates

Lazos, I.A.P.

Objective: to transform school community into education institutions which carry out educational intervention through comprehensive scholarships.

Beneficiaries:
2,945 in 5 schools

Federación Mano Amiga, A.C.

Objective: scholarships for children in the Mano Amiga school network, from pre-school to high school.

Beneficiaries:
151 scholarships in 14 states in Mexico

Ver Bien para Aprender Mejor, I.A.P.

Objective: to provide optometric care, carry out coarse-to-fine detection exams, delivery of eye glasses and frames to children in need.

Benefits:
2,532 coarse-to-fine detection tests

Nuestros Pequeños Hermanos, A.C.

Objective: provide maintenance grants –including housing, board, dress, medical attention, sports and cultural activities– for young high-schoolers during the school term also funded by Fundación Gentera for three consecutive years.

Beneficiaries:
37 youngsters in 3rd year of high school

Corporate Social Responsability Fund

FONABEC, A.C.

Objective: to support CODAF Centers –physical spaces in communities where middle and higher education is scarce or non-existent- and its Entrepreneurship Workshop to foster entrepreneurship and awaken capacities that allow students to start their own business or initiative.

Beneficiaries:
689 individuals –students and teachers–

INEA, in partnership with Civil Society Organizations

Objective: to support clients in communities in the state of Puebla to finish basic school studies with the campaign: ¡Voy Por la Secundaria!, part of the pilot program for “Continuidad Educativa”.

Beneficiaries:
455 female graduates

Ojos que sienten, A.C.

Objective: to contribute to the empowerment of adults with visual and motor disability through a comprehensive seven-course education model organized in two modules –emotional intelligence and reinforcement of work tools–.

Beneficiaries:
10 adults

Proeducación, I.A.P.

Objective: to raise education quality in public elementary schools through permanent learning; promotion of reading as a habit; technological development, healthy nutrition and life style; the environment, human prevention and development, and participation and citizenship.

Beneficiaries:
1,678 students
70 teachers
120 parents
In 4 elementary schools –2 in Puebla, 1 in Michoacan and 1
in Zacatecas–

Fundación Quiera

Objective: to support young schoolers in middle school, high school and college, in order to encourage them to continue studying.

Beneficiaries:
90 young people

Bécalos

Objective: to support students in middle and high school with excellence scholarships for one year.

Beneficiaries:
417 participants

Cordem, A.B.P.

Objective: to empower women living in Escobedo, Guadalupe and Monterrey, providing them with access to higher and professional education with scholarships complemented with psychotherapeutic aid.

Beneficiaries:
76 women

Worldfund

Objective: to promote a profound change in school culture through training and coaching of elementary school Principals/Directors with workshops that promote significant learning through exercises, real dynamics and practical cases, in order to create group learning.

Beneficiaries:
167 people

FONABEC, A.C. –Binomio–

Objective: to encourage students and parents (clients) to join the Online High School program of the Centros CODAF and/or basic program according to their needs and through the “Juntos Compartamos” project. This will allow finding out if this model manages to impact permanence and graduation of students by having students and parents work together.

Beneficiaries:
50 people

AMNU Jóvenes

Objective: use socio-constructivist methodology Ciencia para Compartir (CpC) to bring children between 6 and 12 closer to themes such as energy, science, technology and engineering, relating global problems addressed by the Objectives of Sustainable Development (OSD) to practical and simple scientific solutions that will empower them as agents of change and allow them to improve their communities.

Beneficiaries:
828 children

Sistema DESEM, A.C. (Impulsa)

Objective: to encourage the participation of people between 15 and 23 years in the Financial Education Program during the ”Parque Financiero Impulsa” tour through a workshop that provides the tools for making a budget based on well-informed decision-making and a model.

Beneficiaries:
18,009 young people

Observa, A.C.

Objective: to build a culture of peace through social and financial education.

Beneficiaries:
208 beneficiaries of the Aflatoun program

Fundación Nemi, A.C.

Objective: to make children reflect on their affective experiences, raise their awareness of good and bad actions, favor constructive thinking and foster good habits and values that will make them better persons, bolstering savings as a habit through the play “Compartamos Aventuras”.

Beneficiaries:
83,850 children

Fundación ProEmpleo / PSM

Objective: to provide training scholarships for clients in order to make their businesses grow through the workshop “Taller Emprende” —imparted by Fundación ProEmpleo—, a benefit offered by Compartamos Banco and Yastás in alliance with Promotora Social México (PSM).

Benefits:
1,472 scholarships

AMNU Jóvenes
AMNU México y Guatemala Scalable Project

Objective: to promote better citizenship since childhood with the educational and civics program “Deportes para compartir”, and the participation, commitment and acceptance of girls and boys as agents of change who will contribute to the solution of challenges in their communities.

Beneficiaries:
1,165 in Delegación Venustiano Carranza, in Mexico City
626 in the departaments of Huehuetenango and Escuintla, in Guatemala

Fundación ProEmpleo Productivo, A.C.

Objective: to provide scholarships for the Emprende workshop, a digital training platform with access to instructors who will solve doubts in real time.

Beneficiaries:
600 clients received the Emprender Workshop
45 people favored by the elaboration of methodology from Taller Emprende for rural training
50 people favored with online training

Procura, A.C.

Objective: to contribute to institutional reinforcement teaching the 100.5 course: Basic principles of fund procurement to people who contribute to civil society organizations.

Beneficiaries:
23 people

Fundación Nemi, A.C.

Objective: to encourage middle school students to discover the need to start building a life project by identifying their personal talents and the traits that favor the development stage they find themselves in.

Beneficiaries:
78,000 middle school students

Universidad del Valle de México

Objective: to benefit Compartamos Banco clients through the project Generación Incubadora UVM for the develeopment of a business plan or the realization of the potential of their current business plan.

Beneficiaries:
40 clients

Sistema DESEM, A.C.

Objective: to impart training conferences and workshops to young people in the Foro Internacional de Emprendedores.

Beneficiaries:
400 young people

Fundación Telefónica / Fundación Nemi, A.C.

Objective: to implement an accompaniment process for middle school students realizing the potential of the actvities and resources of the Aula Fundación Telefónica for acquisition of life skills and competences through development of learning projects.

Beneficiaries:
1,116 students

Sistema DESEM, A.C.

Objective: to achieve full development of people through the transmission of knowledge, skills, and attitudes for securing and creating a job of the Competencias para la Vida project.

Beneficiaries:
20 young people

Volunteer work

Consistent with our institutional values, we promote a culture of service. Our employees act as agents of change in the communities where we operate in.

G4-SO1

All our volunteer programs are a bridge between local needs and the actions of our employees. In 2015, 100% of our Branches in Mexico participated in at least one volunteer activity.

In addition, Gentera employees participated in activities such as:

  • Día Compartamos con la Comunidad: restoration of public spaces, like parks, sports facilities and schools
  • Ser emprendedor: young people training on entrepreneurship and financial education issues, helping them to fully understand the importance of creating a personal and business plan
  • Socios por un día: employees onsite –at the corporate offices– support high school students by sharing their experiences, in order to help them make a career choice decision
  • Vacaciones solidarias: activity that lasts one week in which help is given to an NGO; employees donate their vacation to construct housing for the needy in rural communities
  • Volunteer work for employees of Service and Corporate Offices at social assistance institutions in the communities where we operate in. Fundación Gentera invests an amount per employee who joins any initiative to purchase materials and supplies for the chosen activity.
  • Activations with cause: our employees carry out an action –physical activation or personal/professional commitments– exchangeable for tangible help for a specific cause or person by the Foundation –toy or school supply kits–.

We foster a volunteer
work culture that will
have an impact on the
communities where we
operate in

8 OUT OF 10
EMPLOYEES DID AT LEAST ONE VOLUNTEER ACTIVITY



62,436 beneficiaries through 731 volunteer actions


G4-EC1 AND SECTOR ADDITION
Volunteer hours 2015
Country Company Hours
Mexico Gentera Servicios 2,963
Compartamos Banco 57,800
Yastás 374
Aterna 128
Peru Compartamos Financiera 118
Guatemala Compartamos S.A. 1,691
Gentera hours 63,074

MORE THAN 80%
OF OUR EMPLOYEES PARTICIPATED
IN VOLUNTEER ACTIONS

Día Compratamos con la Comunidad

G4-DMA INDIRECT ECONOMIC IMPACTS, LOCAL COMMUNITIES G4-EC8

Compartamos, the Gentera subsidiary with most clients, works for the rehabilitation of public spaces like parks, schools and sports centers in order to foster family coexistence in decent spaces and strengthen the social network; moreover, we also provide preventive health services to the communities.

G4-DMA INDIRECT ECONOMIC IMPACTS (SPECIFIC), LOCAL COMMUNITIES (SPECIFIC), AUDIT
G4-SO1

In 2015, together with Fundación Hogares, we implemented a new model for the Día Compartamos con la Comunidad. We started a six-month work plan as part of a social cohesion diagnostic and study to measure the impact of the program. During 2016 we will validate this methodology and will later reinforce community intervention with more Días Compartamos under the Hogares model.

6 OF 26
Días Compartamos con la Comunidad in
Mexico were carried out under this model

We support the communities where we operate in through actions that promote the development and welfare of people and their families

G4-EC1, G4-EC7

Mexico

26
Días Compartamos con
la Comunidad

9.6 MILLION
pesos invested

74,153
beneficiaries of rehabilitated public spaces

17
impacted states in Mexico

2,257 VOLUNTEERS
+ 11,825 volunteer man-hours

4,409 INDIVIDUALS
attended health talks and medical consultations

6,913 INDIVIDUALS
benefitted with film shows

Peru

3
Días Compartamos con
la Comunidad

1.3 MILLION
pesos invested

3
impacted Departments

978
beneficiaries




167
volunteer employees
+835 volunteer man-hours

Guatemala

2
Días Compartamos con
la Comunidad

604,825
pesos invested

116
volunteer employees
+169 family members, clients
and community volunteers

2
impacted Departments

529
beneficiaries

580
volunteer hours*
*employees

InclusoG4-13

The model for healthy and productive inclusion and entrepreneurship formerly called Proyecto Jóvenes, evolved in 2015 to provide improved attention to the needs of this segment.

Thus, there were three main objectives in the development of the platform:

  • Research and study of education models and contact by digital means
  • Finish the contents for the development of social-emotional competences
  • Prove that the contents and the platform work (i.e. it is useful, entertaining and technically efficient)
G4-DMA LOCAL COMMUNITIES (SPECIFIC)

2015 ACHIEVEMENTS:

  • We attended three congresses on the subject of gamified education and technology, as well as one about social inclusion of young people by digital means
  • We finished the contents of social-emotional development competences in a lab with the participation of 15 children of clients between 13 and 21
  • We built a contact platform by means of a gamified mobile application that manages content, works from the cloud, and stores detailed participant information in a data base

57%
CONCLUDED THE 15 HOURS
OF PLATFORM DURATION

In 2016 we will focus on having a second mobile application within the same platform; its objective will be to bolster the development of hard competences to raise the rate of entrepreneurial success of young people. We will strive to attract the children of Compartamos Banco clients (between 18 and 22) in order to include them in an entrepreneurial process that will provide them with a self-employment option that will take into consideration their surroundings and the new digital tools available to them; the resulting project must be viable and life-impacting.

Furthermore, we have the goal of taking the experience of developing Misión Incluso this year to schools, and using it as a free vocational workshop to impact a greater number of Compartamos Banco’s branches.

Young people who finished the program gained knowledge about technological inclusion, financial education and development of the necessary social-emotional competences for their inclusion into a global and digital society