ΜΥΛΟΙ ΛΟΥΛΗ ΑΕ

1. Strategic, Analysis & Action

ADMINISTRATIVE PRACTICES

Loulis Mills operates for many decades as an highly socially responsible company, making positive and long-standing contributions to society. Since 2013 in our efforts to integrate our social activity in a more structured and targeted environment we created the Corporate Responsibility Department. Our pillars are the market, our people, society and the environment.

As regards the Market, we examine all development and strengthening potential of our company both in Greece and in foreign markets and implement those that are business opportunities for Loulis Mills.

At the same time, our goal is to continuously provide better and more complete coverage of customer and consumer needs, both in products and services, thereby achieving the preservation and growth of our leadership in the market.

As regards our Product, flour, Loulis Mills’ strategy is the continuous identification of our name with quality, health and safety, innovative products and the creation of added value.

As regards Man, we care for our internal improvement by creating new jobs and departments and by the continuous training of our people.

According to the latest report of the Board, Loulis Mills has no significant concentration of credit risk mainly due to the extensive dispersion of its clientele. Exposure to credit risk is monitored and assessed on an ongoing basis by the organized Credit Control Department, so that the credit granted does not exceed the credit limit set. At the same time, the company has a credit insurance policy with an insurance company for coverage of claims. The bank loans of the company are in Greece, in Euros and subject to floating interest rates. The Company does not use derivative financial instruments to reduce its exposure to the risk of interest rate fluctuation at the balance sheet date. The company's Management believes that there are no significant risks due to possible interest rate fluctuations or exchange rate variations. The company faces no difficulty in servicing its obligations, as it has: a) good cash flow, b) high credit rating by banking institutions and c) financial assets, with value shown in the financial statements that does not differ from their fair value. At Loulis Mills we recognize the importance of collective effort against global or local problems and the need to address them. In this context, we support international initiatives and implement international standards, seeking among other things to promote responsibility in the business world.

More specifically:

• We issue Sustainability reports based on international standards, such as the Global Reporting Initiative Guidelines, version G4
• We follow and pursue the implementation of the ISO 26000 Guidelines on Social Responsibility
• We are a member and support the actions of the Hellenic Network for Corporate Socia Responsibility
• We support the principles of the United Nations Global Compact
• We support the United Nations Sustainable Development Goals
• We follow the Greek Sustainability Code
• We implement Management Systems on the premises and our production facilities for integrated management of our impact in key areas of our operation

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PERFORMANCE INDICATORS

Loulis Mills, as an active member of the Greek business community and the Greek food industry, deems its participation in the following organizations and associations as strategically important:

-Hellenic Federation of Enterprises (SEV)

-Greek Flour Millers Association (GFMA)

-Association of Greek Food Industries (AGFI)

-Association of Industries of Thessaly and Central Greece (AITCG)

-CSR Hellas

-Union of Listed Companies (ULC)

-Hellenic Management Association (HMA)

-Foundation for Economic and Industrial Research (FEIR)

-CEO CLUB

-Magnisia Chamber of Commerce and Industry

Loulis Mills implement Management Systems:

»ISO 14001 for Environmental management

» ISO 9001 for Quality management

» BRC (Global Standard for Food and Safety) for food safety

» IFS Food for food safety management

» ISO 22000 for food safety management

» HALAL on the suitability of products in accordance with the Muslim community regulations

» KOSHER for the suitability of the products in accordance with Jewish law

» Greek Flour certification logo for food safety management and Greek Flour logo management

» Certificate of conformity for production, packaging, storage and trade of organic products

The report is available on the website of Loulis Mills http://www.loulismills.gr/gr/values-goals/corporate-social-responsibility

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2. Materiality

ADMINISTRATIVE PRACTICES

Our goal is to focus, to manage and improve the base of the most important issues related to our operations and Sustainable Development.

In this context and in application of GRI guidelines we have identified the material aspects of our company. In the identification and prioritisation process of these aspects both the Senior Management and executives from all Divisions and Departments of the Company participates, during a special workshop held specifically for identifying and prioritising the company’s material aspects, in accordance with GRI-G4 guidelines.

The following table shows the results of the identification process of material/important aspects of Corporate Responsibility for Loulis Mills.

The results have incorporated both the view of the company view (Materiality for the Company/ risk) and the view of stakeholders (Pressure / stakeholders’ expectations).

Loulis Mills defines their key stakeholders people and those entities that have a direct impact or effect on long-term sustainable development, such as employees, customers, consumers, suppliers, shareholders, banks, local communities active media. We chose stakeholders during internal seminar (workshop) in consultation with them and based on the experience of management and company executives.

The local community is interested in the company's actions on issues of common interest, such as environmental protection, social solidarity actions and the labor supply and Loulis Mills communicates through meetings with local authorities periodically as needed. Our customers want to have an excellent cooperation with the company in all areas and to obtain quality and in accordance with approved specifications products. The manner of communication with them is via customer surveys annually visits technical support consultants magazines, participation in exhibitions and also via newsletter every six months.

A key concern of the company is the continuous and intensive communication with our stakeholders for mutual trust and excellent cooperation. The communication and dialogue with each of our recognized stakeholders, has great importance for us to identify the needs and expectations, which are essential for the operation of the company. In this effort, in Louli Mills invest systematically discovering new channels of communication with all our stakeholders.

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PERFORMANCE INDICATORS

The material aspects of our company, as resulted from the procedure followed, have as follows:

Financial issues: Financial Performance, Market presence

Environmental issues: Gas emissions, Environmental compliance

Social issues: Customers’ (consumers) Health and Safety, Compliance with laws and regulations (concerning products and services), Employee Health and Safety, Labour / Management relations, product and service labelling, marketing communications, procurement practices (support of local suppliers), local communities (impact assessment and cooperation).

In determining the content of the Corporate Responsibility Report, we took into account the results of the analysis of material aspects, incorporating both the opinion of our company executives and the opinion of all stakeholder groups with which our company is connected.

The material aspects analysis we made concerns the parent company of the Group, Loulis Mills S.A. and its production units in Sourpi of Magnesia and

Keratsini of Attica. The Group companies included in the annual consolidated financial statements are presented in page 52 of the Annual Financial Report for the year 2015. (Corporate website www.loulisnnills.gr section Investor Relations/ Financial information/'15/ Annual Financial Report of 31 December 2015)

(http://www.loulismills.gr/media/214985/etisia_oikon_ekthesi_2015.pdf).

The report is available in the webpage

http://www.loulismills.gr/gr/values-goals/corporate-social-responsibility

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3. Objectives

ADMINISTRATIVE PRACTICES

Our aim is to constantly improve in all areas on an annual basis. In 2014 we set a number of targets for 2015, which we achieved in full. The following table presents the performance details compared to the targets for 2015 and our targets for 2016.

 

Future Objectives

 » Increase of the market share in the field of blends & exports.

» Participation in exhibitions in Greece and abroad

» Continuation of bakers’ seminars aiming to annually train 5% of all bakers in Greece

» Development of new products

» Systematisation of voluntary programs aiming to increase the participation rate of employees

» Raising children awareness on issues of food, environment and food waste through the Museum

» Complete reorganisation of the Museum - organising the historical archives of Loulis Mills - Saint George Mills

» Creation of scholarships for young people in bakery - confectionery

» Measurement of environmental footprint

» Continuation of contributing to the local communities in which we operate

» Growth in foreign markets

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PERFORMANCE INDICATORS

Market
Objectives for 2015	2015 performance	Objectives for 2016
Operation in the market of ready mixes	Acquisition of Kenfood. Rebranding and creation of corporate identity - initiation of packaging redesign	Completion of packaging change and creation of a new communication profile. Participation in exhibitions abroad.
Increase of training seminars for bakers	9 seminars were held in 2015, compared to 4 held in 2014	Preservation of the same number of seminars
Create a new consumer product category of Easy Bake ready mixes	Developed by the R&D department, the branding and communication were completed and 4 new products were successfully launched	Launch of 7 new products of the Easy Bake series in Super Markets
Development of new innovative consumer and professional products from alternative cereals (oat - spelt)	Creation of the EF ZIN series of professional and consumer products and inclusion of ZIN flour in this series	Enrichment of the EF ZIN consumer series, with development and launching of three new products: Spelt, Oat and Rye flours   New series of professional products Extra rustic
Establishment of the Greek Baking School	The Greek Baking School was established, staffed and set in pilot operation	Start of the first complete school year in September 2016
		Market research with the Focus group method for gluten-free ready mixes, for the needs of people with coeliac disease
		Installation of a CRM software - program for monitoring relationships with our customers Design - Implementation Initiation of software installation
Environment
Objectives for 2015	2015 performance	Objectives for 2016
Reducing emissions	Failure to achieve the objective, due to high increase in milling	Reducing emissions
Information sheet on the environment	A book on environmental risks and their consequences is distributed to teachers and schools
Recycling instructions on packaging	Completed the inclusion of instructions on all packaging

 

 

 

Human Resources
Objectives for 2015	2015 performance	Objectives for 2016
Creation of Blood Bank	Its creation was implemented	Increase of employee involvement in blood bank
Organisation of social responsibility week	The event was held	Repetition of the event
Informing employees of CSR issues and of the company's performance in these	The briefing was held	Repetition of the briefing
Zero accidents	Zero accidents	Zero accidents
Organisation of corporate events and increase of teamwork spirit of employees in Volos and Keratsini	In total 8 events were organised in Volos Keratsini	Organisation of corporate events and increase of teamwork spirit of employees in Volos and Keratsini
Increase of average training time per employee	Increased by 562%	Implementation of 2100 hours of training
Consolidation of procedures	Initiated	To be completed
Creation of a Code of Conduct for stakeholders	The creation of a Code of Conduct was completed.	Communication of the Code of Conduct to employees and associates
Initiation of KPI's creation in all departments	We implemented the completion of production statistics and productivity optimization	Completion of KPI's creation in all departments
		Human resources evaluation
		Installation of defibrillators in all production units
Society
Objectives for 2015	2015 performance	Objectives for 2016
Supporting local community and socially vulnerable groups	Monthly supply to Social Groceries of the local community and occasional support to other bodies and NGOs	Continuation of the monthly supply to social groceries Supporting “To hamogelo tou pediou” Occasional support to other Bodies and NGOs
Extension of the Museum and enriching of the educational program on the environment	Design and offer preparation Start of construction works Installation of an educational Watermill	Completion of works and operation of the new site and programs at the end of 2016 - early 2017

 

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4. Management of Value Chain

5. Responsibility

6. Rules & Processes

ADMINISTRATIVE PRACTICES

The vision, the mission, the values of Loulis Mills are the following:

Our Vision is being pioneers while respecting values, tradition, people and the environment

Our mission is to develop our business, through investment and innovation, ensuring the high quality of our products, excellent customer service and the creation of value for our employees, our partners, our shareholders and society.

Our commitment is to preserve tradition with love for flour, with devotion to society and with a view for achieving sustainable development, based, with respect and responsibility, on our family values, our people, our partners and our customers.

Our values are:

Quality

For the product and its production

Development

Investment and meeting needs

Improvement

Innovation and meeting needs

Love

For products, employees, the environment

Servicing

Customers, consumers

Respect

For tradition, society, humans, customers

 

We operate in an accountable and transparent manner, taking into account in our daily decision - making process, not only the financial parameters associated with our activities, but also social

and environmental parameters too.

As of March 2011, Loulis Mills has adopted the Code of Corporate Governance of the Hellenic

Federation of Enterprises (SEV).

The active presence of Loulis Mills for 234 years in Greek economy and society, and its leadership in the Greek market were the result of fulfilling our mission guided by our vision, faithful to our values and keeping our commitment.

In the course of all these years, we have established a prestigious name that represents a

   valuable intangible asset for us. The people of Loulis Mills, employees, suppliers, associates,

are members of a group that work together with dedication, share ideas, concerns and successes and finally, enjoy together the fruits of their joint effort.

Approximately every two years all Loulis Mills employees are invited to participate in satisfaction and engagement survey for the company, through which the implementation of our vision and our values and procedures relating to human resources are examined.

The preservation of Loulis Mills’ good reputation and all actions and operations that support it, is a priority for all of us.

Our vision for sustainable development requires that we act in accordance with our long-term values, namely quality, service, love, respect, and improvement.

Guided by our vision and using our experience, knowledge and passion, always respecting our

values and the Code, we will successfully move in the future

Our values are always an ally in achieving our goals, guide our behaviour on a daily basis and are the heart of the Professional Code of Conduct of Loulis Mills, which was drafted in its present form in 2015 and has been posted on our company website.

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PERFORMANCE INDICATORS

At Loulis Mills we recognize the importance of collective effort against global or local problems and the need to address them. In this context, we support international initiatives and implement international standards, seeking among other things to promote responsibility in the business world.

More specifically:

• We issue Sustainability reports based on international standards, such as the Global Reporting Initiative Guidelines, version G4
• We follow and pursue the implementation of the ISO 26000 Guidelines on Social Responsibility
• We are a member and support the actions of the Hellenic Network for Corporate Social Responsibility
• We support the principles of the United Nations Global Compact
• We support the United Nations Sustainable Development Goals
• We follow the Greek Sustainability Code
• We implement Management Systems in our facilities and production units to achieve integrated management of our impacts in key areas of our operation, such as:

» ISO 14001 for Environmental management

» ISO 9001 for Quality management

» BRC (Global Standard for Food and Safety) for food safety

» IFS Food for food safety management

» ISO 22000 for food safety management

» HALAL on the suitability of products in accordance with the Muslim community regulations

» KOSHER for the suitability of the products in accordance with Jewish law

» Greek Flour certification logo for food safety management and Greek Flour logo management

» Certificate of conformity for production, packaging, storage and trade of organic products

(For more information on the SEV Code visit http://www.sev.org.gr/grafeio-typou/deltia-typou/dimosiefthike-o-ellinikos-kodikas-etairikisdiakyvernisis-gia-to-2013-4-10-2013)

For the code of conduct of Loulis Mills visit http://www.loulismills.gr/media/217515/kodikas_deontologias.pdf

 

 

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7. Monitoring

ADMINISTRATIVE PRACTICES

Loulis Mills record and systematically monitor its performance, and for the purpose of monitoring, inter alia adopted the Annual Report and Sustainability Report. Moreover we implement Management Systems in our facilities and production units to achieve integrated management of our impacts in key areas of our operation, such as:

» ISO 14001 for Environmental management

» ISO 9001 for Quality management

» BRC (Global Standard for Food and Safety) for food safety

» IFS Food for food safety management

» ISO 22000 for food safety management

» HALAL on the suitability of products in accordance with the Muslim community regulations

» KOSHER for the suitability of the products in accordance with Jewish law

» Greek Flour certification logo for food safety management and Greek Flour logo management

» Certificate of conformity for production, packaging, storage and trade of organic products

Loulis Mills issued the second annual Corporate Responsibility Report, which is a record of all actions implemented in 2015 and the determination of future goals. Loulis Mills' strategy and the initiatives presented in this report, are based on dialogue with all social partners and the analysis of the company's Corporate Responsibility substantive issues.

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PERFORMANCE INDICATORS

In 2015 they finalize complete statistical production and productivity optimization.

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8. Incentive and reward systems for Sustainable Development

9. Stakeholder Engagement

ADMINISTRATIVE PRACTICES

Loulis Mills identifies as its key stakeholders all individuals and bodies that have a direct impact or effect on its long-term, sustainable success, such as its employees, customers, consumers, suppliers, shareholders, banks, local communities where it operates and the media.

We selected stakeholders during an internal workshop in consultation with them and based on the experience of the company’s management and executives.

A key concern for the company is the continuous and intensive communication with our stakeholders, aiming at mutual trust and excellent cooperation. Communication and dialogue with each of our identified stakeholders is particularly important for us in order to identify their needs and expectations, which are essential for the company’s operation. In this effort, at Loulis Mills, we invest with consistency, discovering new channels of communication with all our stakeholders.

The company responds to requests that are within its strategy, after considering each case through consultation.

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PERFORMANCE INDICATORS

The major concerns of stakeholders are:

The employees (238 employees) wish to work in a safe environment, to be remunerated with competitive salaries and have development opportunities within the company. Moreover, they wish to be informed of the company’s CSR to participate whenever possible.

Customers (4,000 bakers 135 industries / small business, 3,500 points of sale of consumer products, 600 customers Nutribakes) wish to have an excellent cooperation with the company in all areas and source quality products, conforming with approved products.

The local community (in Volos, in Keratsini & Theva) is interested in the company's actions in matters of common concern, such as the protection of the environmental, actions of social solidarity and jobs

Suppliers (3,310 suppliers in Greece and 147 abroad) wish to have an excellent cooperation with the company in all fields.

The media want to be informed about the CSR activities of the company.

Consumers (all who enjoy Loulis Mills products) wish to always purchase quality products and to be informed about the CSR activities, in order to participate whenever possible.

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10. Product Responsibility and Innovation

ADMINISTRATIVE PRACTICES

In Loulis Mills we want to offer our customers quality, safe and innovative products which are accompanied by our company’s high quality services.

Services such as the technical support, the ongoing education and seminars in the training sites of our company, the continuous information, the tastings and the high quality customer service through our nationwide sales network.

At the same time, we aim through our wide and quality range to provide solutions to our customers, so that they remain on top in a competitive environment where consumer preferences are constantly changing and become more sophisticated.

We wish to remain pioneers, constantly developing new and innovative products and categories designed to meet any consumer and customer need.

Our goal is to only sell products for which we can be proud that they provide added value to our Customers.

Our products’ safety and quality is one of the most material issues for Loulis Mills.

It is the basis for our growth and success as a company, but also for preserving our good reputation. We want to be sure that every consumer can enjoy our products perfectly confident of their safely.

As the high and stable quality of our flour is a key element of our philosophy, quality control is an essential part of our production process. Each production unit features one of the most sophisticated and modern Quality Control laboratories not only in Greece but also internationally. Our team of analysts consists of experienced chemists agronomists, food technologists and bakers who ensure that our final product is always high quality.

Quality control always starts from wheat and its thorough inspection before its acceptance.

Analysis is conducted to verify that the cereals are free from harmful toxins, pesticides, heavy metals or other contaminants. This is achieved through the special machines we have in each production unit and through our cooperation with some of the best Greek accredited laboratories for analysis of this type. Finally flour is monitored and analysed at all stages of milling and processing thus ensuring that the final product reaching consumers and customers is completely safe and has the best quality features to meet their needs. As eating habits are constantly changing and the demands of bakers and consumers alike are growing, since 1990 we have created our product Research and Development Department (R&D).

Our company has the fullest and most modern equipment of its kind and is staffed by experienced food technologists, who along with baking technicians, continuously improve our products while developing new and innovative products.

This department is constantly experimenting on various flour recipes combining cereals with different quality characteristics to always achieve the best possible result for our customers.

Finally, with the guidance of this Department we can select the appropriate cereals for the production of the right cereal blends, which will provide flours of consistently superior quality. Today, under the guidance of the Research and Development Department we produce and distribute in the market 137 different flour recipes, 750 different blends, while in 2015 we developed and placed on the market 13 new products. To reinforce both the Quality Assurance Department and the R&D department we hired two new specialized food technologists.

Aiming at ensuring larger quantities and higher-quality Greek cereals, while at the same time supporting Greek farmers, in 2013, Loulis Mills initiated its own contract farming program and has been investing in it over time.

At the same time it secured cooperation with the Contract Farming Program of Piraeus Bank Group. Through the program, our company ensures the financing required for production, offers knowledge so that producers improve the cereal quality and ensures direct liquidity for cultivation expenses. The program started during the cultivation year 2013-2014 with the participation of 50 producers and the cultivation of 3.000 hectares of durum wheat.

In the period between 2014 - 2015, cultivations reached approximately 20.000 sq. metres, producing approximately EUR 1.8 million forthe 273 Greek producers involved.

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PERFORMANCE INDICATORS

The energy sources used in our company facilities consist in electricity from the national grid and petrol. Our main concern is to efficiently use energy and constantly upgrade technologies used for high energy efficiency, leading to the lowest possible energy consumption per ton of produced product.

The total electricity consumption in 2014 amounted to 20,639,978 KWh, and oil respectively to 77.769 lt. Similarly, in 2015, the total electricity consumption was 123,642,076 KWh, and oil respectively to 101,063 lt,.

The report is available in the webpage http://www.loulismills.gr/gr/values-goals/corporate-social-responsibility

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11. Usage of Natural Resources

ADMINISTRATIVE PRACTICES

By implementing optimal, innovative and environmentally-friendly practices throughout all our years of operation, we have so far achieved:

» Zero waste of any form

» Systematic recycling through certified bodies and waste management companies

» Cereal and flour desinsectization under controlled atmosphere conditions, by avoiding the use of chemicals

» Thermal disinsectization methods at the organic mill

» Continuous monitoring for pesticides or other substances both in cereals as well as the final flour produces

»Continued implementation of innovative practices to save energy and reduce relevant emissions

» Avoiding the use of chemical cleaning agents and replacing them by biodegradable agents

» Reduction of noise levels at the Keratsini industrial unit

» Collaboration with CHEP, a company specializing in pallet handling, to adopt environmentally friendly solutions in the field of logistics, creating benefits for the environment, the products and our customers

»Annual noise and dust measurements by a certified company

» Implementation of a marine pollution control plan

» Continuous renewal and development of our reforestation project in the area surrounding our Sourpi unit

» Monthly sea water quality measurements by a certified company

» Continuous staff training on environmental issues

» Emergency, fire and decontamination drills

By publishing the book “We will be starved of bread” and distributing it for free mainly at schools, we tried to raise the new generation’s awareness on the impact of the environment in our life and diet and place focus on ways of addressing the situation.

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PERFORMANCE INDICATORS

The energy sources used in our company facilities consist in electricity from the national grid and petrol. Our main concern is to efficiently use energy and constantly upgrade technologies used for high energy efficiency, leading to the lowest possible energy consumption per ton of produced product.

The company in recent years has invested in energy-efficiency technology, which leads to the production of products with low energy consumption per tonne of product.

The total electricity consumption in 2014 amounted to 20,639,978 KWh, and oil respectively to 77.769 lt ,. Similarly, in 2015, the total electricity consumption was 123,642,076 KWh, and oil respectively to 101,063 lt,.

CO2 emissions incurred in the consumption of electricity and oil are presented in the following table. In 2015, total CO2 emissions fell significantly by 8.7%.

The report is available in the webpage http://www.loulismills.gr/gr/values-goals/corporate-social-responsibility

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12. Resource Management

13. Climate-relevant emissions

ADMINISTRATIVE PRACTICES

For hundreds of centuries the earth has been providing us with the basic ingredient of life: cereals. They are of great importance to us, as they constitute our raw material. In the past decades, violent and excessive human intervention to the natural environment as well as the population surge caused rapid climatic changes and have led to a significant decrease of natural resources. Unsurprisingly this has a negative impact on the quality, the quantity and the price of cereals. We became aware of the problem early enough and we have adopted environmental protection practices to support our raw and basic material, the cereal. Always a pioneer in Greece, Loulis Mills is a company with particular sensitivity to environmental issues- since the early ‘70s we have been implementing wheat dry-cleaning, thus ensuring minimum water consumption and zero liquid waste during grinding to this day. With the help of modern technology, our aim is for all our production units to operate in an environmentally-friendly manner and take relevant actions to reduce emissions.

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PERFORMANCE INDICATORS

CO2 emissions incurred in the consumption of electricity and oil are presented in the following table. In 2015, total CO2 emissions fell significantly by 8.7%.

The company in recent years has invested in energy-efficiency technology, which leads to the production of products with low energy consumption per tonne of product.

The total electricity consumption in 2014 amounted to 20,639,978 KWh, and oil respectively to 77.769 lt ,. Similarly, in 2015, the total electricity consumption was 123,642,076 KWh, and oil respectively to 101,063 lt,.

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14. Employment Rights

ADMINISTRATIVE PRACTICES

Loulis Mills has a long tradition of operating as a big family. Hence, it is no coincidence that in addition to the management’s composition one will encounter second and third generation employees in the general workforce. This fact has created a common culture and a shared vision based on our tradition, our principles and our love of our product. The open and honest communication between management and employees, helps us ensure a climate of mutual trust and understanding. We operate using an "open door” policy, while all employees have the opportunity to be in direct communication with the company’s management at any time to resolve work-related or other problems. The company believes that internal communication is very important in the relationships, the company philosophy, the views and attitudes as well as the interaction of employees. The contracts signed with all of the company employees do not provide any changes of terms and do not indicate a predetermined notification time for such changes.

At Loulis Mills we see our employees as a significant group of our shareholders. Employee development and training is within our top priorities. Our goal is to see both to their personal development and the development of their skills in order to provide customers and consumers with excellent and high-quality products and services.

At Loulis Mills we constantly acknowledge our people’s contribution to the company’s development as well as to the creation and maintenance of our goodwill for over two centuries. We aim at offering competitive salaries to attract talented executives and ensure a decent standard of living for all our employees. At the same time, our benefits’ policy provides substantial support to our employees and their families. We stand by them at all times, offering help, safety and security. Should our people have specific needs, the company offers the necessary liquidity to help them.

Since 2013 the company has been providing all its employees from all areas free medical tests.

In parallel, a number of employees, mainly executives and people from the Sales Department, are offered accident insurance, which covers them in their daily activities. In addition, the company offers a transportation by company coach to commuting employees who work at the Sourpi industrial unit.

Loulis Mills, in an effort to support its employees in these times of financial and social hardship, has increased free supply of products (flour) to the company’s personnel and has implemented a reduced price list for 2015, to enable employees to purchase additional products.

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PERFORMANCE INDICATORS

The total number of human resources training hours for 2015 increased to 2740 hours. Percentage increase 562%.

With the aim of investing in the continuous development of employees in 2015, we organized 38 training courses for our personnel with the following topics:

» 9 Management seminars

» 9 Health & Safety seminars

» 6 Operations Management seminars

» 4 Sales seminars

» 3 Technical seminars

» 3 Financial seminars

» 2 Production seminars

» 1 IT seminar

» 1 Personal Skills seminar

 

Despite the financial crisis, Loulis Mills made 27 new recruitments, 14 at the Volos unit and 13 at Keratsini. Of the new recruits, 85% are men and 15% women. The average age of the people recruited in 2015 is 32 years. The chart below presents the age groups of recruits for the period analysed in the report.

The company attaches great importance to supporting and developing the local community, detecting the problems that may exist and trying to provide solutions. At the same time, we wish for our personnel to consist of employees who, beyond the necessary qualifications, will be able to balance their work demands with their personal, family and social needs. For the aforementioned reasons we have selected to give priority to recruiting employees from the local community. In 2015, the percentage of managers deriving from communities where Loulis Mills operates reached 67%.

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15. Equal Opportunities

ADMINISTRATIVE PRACTICES

In Louli Mills we believe that no other element of our business can not be more important than the people who contribute to their daily work in the culture and the business performance of our company. For this reason we devote all the necessary energy and attention to the protection of our employees and all those involved in the value chain of our company.

In Loulis Mills:

- all applicable labor laws relating to wages applicable - promote a work environment of equal opportunities without discrimination and harassment - Evaluation of employees based solely on their job performance - We operate in accordance with the fundamental principles of human rights and labor standards

- Ensure that employees work in a workplace that is safe and protects their health

For 2015 we achieved our goal as there were no incidents of serious injuries from accidents orillness only ordinary diseases in a small number of employees. Lost man hours due to ordinarydiseases are presented in the page’s diagrams. In 2005, 100% of our employees have returned to work following the termination of their maternity and childbirth leaves.

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PERFORMANCE INDICATORS

Analytically lost work time due to normal diseases presented in the graphs of page 75 of the report

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16. Qualifications

17. Human Rights in the supply chain

REFERENCE

Loulis Mills, respects and abides human rights, as Mr. N. Loulis, Chairman of the Board of Directors, considers important for the company. It operates according to the fundamental principles of human rights and labor standards. Supports, respects and protects the internationally accepted human rights within the company and ensures the avoidance of human rights violations.

Loulis Mills completed and put into force in the company's Code of Conduct and compliance demonstration is an integral part of the way in which he carries on business activity .

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18. Corporate Citizenship

ADMINISTRATIVE PRACTICES

Loulis Mills with a history and tradition of 234 years is an integral part of the Greek society and the economy and as such is required and obliged to make positive and long-standing contributions to both.

The Loulis family’s social activity commenced in 1866 and has been continued by Loulis Mills to this day in the same philosophy -its main priority being social responsibility and adjustment to the needs of our times.

We have been supporting numerous social groceries, serenity homes as well as other church bodies, charitable organizations, establishments focusing on education and scientific research as well as NGOs, while we cover the needs of numerous sectoral educational institutions.

Through the model Loulis Museum “from wheat to bread”, visited by more than 5.200 students within 2015, we expose the history and tradition of cereals, milling and bread, highlight the importance of Mediterranean diet and point out the impact of environmental changes.

In 2015, another great vision of ours materialized with the establishment of the Greek Baking School.

This is the first school in the country exclusively specializing in the field of flour both for baking as well as for confectionery purposes.

Our main purpose is to provide professional education and training as well as organize educational seminars, programs and courses.

Numerous months and studies were required form the creation of the school.

The school aims at supporting the training of sector professionals.

The school is a Non-Profit organization as 50% of the profits will be given to charity and the remaining 50% will be re-invested to the school to improve its facilities.

In our times, we are experiencing the culmination of a humanitarian crisis that mainly threatens the most vulnerable groups of the population. We all need to join forces to help our fellow citizens and create a safety net for the weak. For this reason we need to demonstrate humanity and solidarity at a local and collective level.

For our company, local communities are among the most important stakeholders. We have invested in the development of local communities and listen to their needs so that we can always stand beside them. During 2015 Loulis Mills proceeded to implementing initiatives based on the needs of the local communities in which we operate.

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PERFORMANCE INDICATORS

Having examined their needs, through consultation with local authorities, we continue our commitment to supplying community groceries stores in our area throughout the year and for the second consecutive year we provide:

- 500 kilos per month to the community groceries stores of the municipality of Volos

- 500 kilos per month to the community groceries stores of the municipality of Keratsini-Drapetsona

- 150 kilos per month to the Unesco community groceries stores of Piraeus and the neighbouring islands

At the same time, we occasionally supported the community groceries stores of the Municipality of Athens, the Municipality of Egaleo, the Municipality of Haidari, the Municipality of Thessaloniki, the Municipality of Rigas Feraos, the Municipality of Sparti, the Municipality of Farsala.

Moreover, Loulis Mills supported to 147 bodies out of which 53 were Foundations & NGOs, 54 were Church-related bodies (Holy Archdioceses, Churches, Temples, & Peace homes (for soup kitchen events), 27 of them were Baking and Confectionery Schools, 8 were Municipalities and 5 were Authorities.

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19. Initiatives and Political Influence

20. Corruption prevention and alleviation