NEWS FROM AROUND BATA WORLD WEEKLY DIGEST. Bata World Digest April 15, 2016 CORPORATE. Colors and Flavors of South Asia for China SRM

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1 WEEKLY Colors and Flavors of South Asia for China SRM As part of the opening of China's recent April 2016 Shoeline Review Meeting (SRM), a cultural evening was held at the China Footwear Services facilities in Guangzhou. The theme of the event was South Asian culture, and the entire South Asia team was dressed in traditional attire, representing cultures from different parts of their countries. STORE Bata Kenya in Top Form for Christine Bata Schmidt s Visit Bata Retail Run Is a Go in Chile Bata Uganda Scoops Prestigious Consumer Award BCP Chile Shows Commitment to Children at Start of School Year Team Building and Strategy at Pakistan Area Manager Meeting China Africa Africa PERSON OF THE WEEK: Meet Yusuf Wasswa, Bata Awards Winner Bata Zimbabwe Brings Back Sandak: The Right Direction We Are Bata People: Lavender Owako Sends In a Selfie New Thomas J. Bata Scholarship Endowed at Canadian University

2 Colors and Flavors of South Asia for China SRM As part of the opening of China's recent April 2016 Shoeline Review Meeting (SRM), a cultural evening was held at the China Footwear Services facilities in Guangzhou. The theme of the event was South Asian culture, and the entire South Asia team was dressed in traditional attire, representing cultur... The evening was full of colors, music, dance performances, ethnic attire and regional cuisine. In attendance were guests from all Bata companies who had come for the April 2016 SRM at CFS. Also present at the dinner were Group Chairman Chris Kirk and Group CEO Alexis Nasard. The event began with videos from India, Pakistan and Bangladesh, depicting their regions, people, history, traditions, culture and development. This was followed by a parade by each country s team members, who were dressed in their local attire, showcasing their diverse cultures and traditions. The audience thoroughly enjoyed witnessing the various cultures of the South Asia region, and they also enjoyed some delicious South Asian cuisine, with a blend of typical sweet and savory flavors from the region. To conclude the evening, the countries raised the energy levels by presenting their local dance forms coupled with their local music. The Pakistan team danced to a patriotic song, Bangladesh performed a traditional folk dance, and the team from India danced to the latest Bollywood music. The show ended on a high note, as the audience also joined the South Asia team in dancing to the local music. Rajeev Gopalakrishnan, Group managing director of South Asia, commenting on the event, stated: It was an evening full of fun and frolic, and a true window into the lives and colorful cultures of South Asia, a region full of similarities yet much diversity.

3 Bata Kenya in Top Form for Christine Bata Schmidt s Visit In recent years Bata Kenya has implemented innovative production processes and retail strategies to immensely improve both the quality and capacity of production to meet the ever-growing market demands of East and central Africa. With these accomplishments, it proudly welcomed Christine Bata Schmidt... During her tour of the local Bata factory, Schmidt was impressed by the commitment of the factory workers, evident improvement of the factory layout, set up and quality consistency in production. She also interacted with a number of employees and encouraged them to always observe the Bata Core Values in their daily routines. Schmidt stopped by one of Bata Kenya s associated business units, Stitch World. This ABU specializes in the stitching of leather uppers. Schmidt praised the orderliness and workmanship she observed there and, using the words of Bata s vision, urged them to continue making great shoes accessible to everyone. She also visited partners of the Bata Children s Program Kenya, starting with the Bata Nursery. At St. Thomas Barnado s Children s Home and the Starehe Girls Centre, she made donations of shoes. Schmidt also urged the students at Starehe, a secondary school for disadvantaged girls, to work hard and reach for the stars, and she marked her visit by planting a tree there. Finally, as her Kenyan trip drew to a close, Schmidt visited Bata retail outlets in Nairobi s central business district and the surrounding area. One of these, known as Bata MBK, has held the title of largest Bata store in Africa since it opened early last year. Schmidt was impressed by the ample store space, layouts and merchandise displays that meet the need of all customers who walk in the door. Excellent customer service at the store has also been tremendously improved by the newly launched loyalty program. If we all continue practicing our shared core values, we can attain our mission of being the most dynamic and customercentric footwear brand in the industry, Schmidt commented.

4 STORE Bata Retail Run Is a Go in Chile On April 4, retail teams across Chile took off on the global Bata Retail Run! They have their eyes on the prize, even more so following an awards ceremony for the winners of the 2015 Bata Retail Race. On March 18, the winners of last year s retail competition at the company level were invited to an event hosted by Hernan Vizcaya, company manager of Bata Chile. Representing the top three winning store teams were Nicole Harris and Carolina Maldonado, store managers of the Bubblegummers store at the Arauco Quilicura Mall in Santiago; Rosa Huircán, store manager of the Bubblegummers store at the Paseo Quilín Mall in Santiago; and Luis Cifuentes, store manager of a Bata store in Calama, Antofagasta. The two winning district managers, David Chacón and Cristián Córdova, were also invited. The Bata and Bubblegummers retail managers, Gigiola Casaretto and Rodrigo Hörmann, respectively, circulated to congratulate these deserving team members. Vizcaya remarked, These sales contests are very encouraging, because in addition to promoting team spirit within stores, they stimulate a healthy competition among the stores, which ultimately allows increased sales. Now, we are ready to compete in the 2016 Bata Retail Run. For this year s launch, the Bata Retail Run team developed a set of graphics highlighting important information about the competition. These were ed to every single store in Chile. Early feedback from store staff was positive. Store manager Adolfo Cerecera said, I believe that the Bata Retail Run is a great opportunity to motivate and increase commercial results in the team. It is very exciting to compete with other stores. Sales assistant Carlos Perez added, "I love this contest because we are motivated to sell a lot more, especially considering we can win more also: if we are the best shop in two periods, we can win Twice the Prize extra pay so now I'm full in sales and selling much more with this contest.

5 Bata Uganda Scoops Prestigious Consumer Award Bata Uganda was recently honored with a Consumer Preference Award, in recognition of its work in the country's footwear sector. The awards, presented for the year 2015, are the first of their kind in Uganda. The new awards represent the opinions of consumers and buyers across country, and therefore indicate which companies are most highly regarded in the region. A dinner was held at the Kampala Serena hotel, in the country's capital Kampala, to celebrate those organizations that were deemed to have excelled in the provision of goods and services. Bata Uganda, receiving the award in the Footwear category, was represented at the event by company manager Stephan Ncube; Eunice Mutunga, finance director, and two district sales managers, Dennis Kiire and Bosco Gumisiriza. Olive Z. Kigongo, president of the Uganda Chamber of Commerce and Industry, also attended the dinner, leading proceedings for the evening. The award winners were selected after extensive research by an independent market research firm, in which consumers were asked to select the various companies that have, over the years, provided excellent service. Ncube commented: Bata Uganda is committed to serving consumers diligently, and I would like to thank them for their overwhelming confidence and loyalty that they have bestowed on the Bata brand. He also thanked the organizers of the awards for their work in providing companies with recognition for their efforts to ensure better and more efficient service provision.

6 INTERVIEWS PERSON OF THE WEEK: Meet Yusuf Wasswa, Bata Awards Winner Bata World News interviewed Yusuf Wasswa, Group project coordinator of e-commerce and the Bata Club for Africa and store operations manager at Bata Kenya. He was eager to share the story behind the mobile app he worked on with his team at China Footwear Services, and is looking forward to discussing... How long have you been with Bata? This is my sixth anniversary in Bata. I started my journey with the organization in April I have known Bata since childhood, and, considering myself an innovator, I had always loved the idea of working for an organization that is leading the future of the industry not only in the production and design of new styles, but also the creation of business models that permit a quick response to dynamic global and emerging markets. Bata has given me this opportunity to make that difference! What has been the highlight of your Bata career so far? There have been a number of highlights in my Bata career. One that stands out, though, is my 2014 selection and transfer to China, to China Footwear Services, as Group product coordinator for Africa. This role was mainly to coordinate price formulations, product design, product selection and product development that best fit the African market. It was also to improve communications as well as bridge the gap between different suppliers and the African companies. During this period, together with the CFS team, we made numerous operational changes, including the launch of the Bata Procurement System and the BPS mobile app, which has to date significantly improved the supply chain networks of CFS and individual companies, improving buyer lead time placement of orders and real time tracking of their orders. What do you credit for your success? My success has to be most accredited to attributes such as continuous learning and training, sharing ideas, flexibility, hard work, sacrifice, passion and, above all, working in an environment of self-reliance and self-motivation. At Bata, I am very fortunate and lucky to work with a vibrant, experienced and ambitious team of people from different parts of the globe. The ability to integrate and work with this set of people from different countries with different cultures, backgrounds, education and aspirations has made me learn a lot and adapt new ideologies that have become part of my day-to-day operating model. Your BPS mobile app project has been named the winner of the 2015 Bata Awards in the "Count on Me" category. How does it feel? I m humbled and extremely excited that what started as an idea is now a reality and, most importantly, a key working tool for all buyers, helping them achieve their quarterly KPIs [key performance indicators]. I want to thank and extend my sincere gratitude to Mr. [Simon] Tidball, Mr. Gary [Yee], the entire CFS team, my fellow Group product coordinators, and, above all, Mr. [Roberto] Longo for initiating, giving us the necessary support and cooperation, and believing in this outstanding project from the initial stages to the final stages of launch and use. What does "Count on Me" mean to you? Taking the lead and leading by example. I personally value accountability, responsibility and the courage to change, with the ultimate drive of achieving desired goals and results. As part of the Bata Core Values, "Count on Me" is one of the important key values in my current roles. What about the BPS mobile app project do you think won over the panel of judges and then your colleagues around the world who voted for it? With no doubt, the BPS mobile app has received tremendous acknowledgement and overwhelming ratings from all buyers and executives across the entire Bata family. This is mainly attributable to the efficiency and effectiveness the app brings with it. The BPS mobile app was mainly introduced to improve the working environment of buyers and link up all buyer-related processes right from the selection stages to the final stages of receiving the orders, each buyer having 100 percent of the information on their mobile phone with just a tap of a button! This was

7 PERSON OF THE WEEK: MEET YUSUF WASSWA, BATA AWARDS WINNER the ultimate goal in developing this app. This was a team project. What was your contribution? I am extremely privileged and proud to have been chosen to lead the group of people behind the success of this project. Leading, mobilizing, coordinating and organizing the team, right from the technical team, the buyers from different countries and the GPCs. I must thank everyone who was part and dearly contributed every single minute to seeing this project through. What was the biggest challenge to completing the project, and how was it resolved? "Change management" was our biggest challenge, especially regarding some end users. It took some time for most users to understand, appreciate and adapt to these new changes and what the app would bring with it. Constant training country by country, and remotely conducted training, played a pivotal role in ensuring that the users understood and embraced innovation and technology in their day-to-day activities to compete favorably in this dynamic market of constant innovation, with the ultimate goal of customer retention and satisfaction. When did you realize the project was going to be such a success? At the first phase of the testing stage. The app went live with a sample of four countries, one each from the different regions worldwide Latam, Asia-Pacific, South Asia and Africa using the mobile app real-time during the fourth-quarter 2015 SRM [Shoeline Review Meeting] to select, commit and place their quarterly buys. The outcome and success rate of this exercise was more than 80 percent, which was a clear indication to me that this project was bound to succeed. Are you looking forward to your upcoming trip to Toronto, Canada? In my five years with Bata, I have had the opportunity to travel across the globe many, many times. But this specific one to Toronto is a special one to me, and I look forward to an amazing trip to meet the Compass Board and present to them my project and the impact of this project on the overall performance of individual BSO [Bata Shoe Organization] companies. The fact that I will be constantly meeting different people from different cultures means this opportunity also not only gives me room to share my work with other award winners but also to learn more from them. And finally, I can't wait to visit the Bata Shoe Museum for the first time and appreciate the great work and legacy left by our forefathers.

8 MANUFACTURING Bata Zimbabwe Brings Back Sandak: The Right Direction Sandak shoes are remembered fondly in Zimbabwe from a very popular 1990s commercial that implied if you were wearing them, you were going in the right direction. Now they are back in local production! Demand for a quality plastic alternative to comparable versions on the informal market was behind the comeback, as was the manufacturing expertise of company manager Ehsan Zaman. for money, which they believe Bata delivers on. The softer but stronger PVC material used on the Juliana has brought an element of luxury to this icon, which I believe the general public will appreciate. Before the return of this icon to the Gweru factory in January, Sandak shoes were last made there in Tadziripa believes that the new Sandak will reach across the economic divide in the country due to the combination of its price point and quality. Manufacturing personnel worked as a team to resuscitate Sandak machinery and successfully revive the project. Support from Bata Zambia, Kenya and Pakistan was also key, as these sister companies embodied the spirit of the Bata Core Value Count on Me. Zimbabwean Sandak fashion shoes are ideal for multiple occasions. For women there are the summer sandals Sogano, Rock and Susana, and the Nowel was the talk of the town for men back in the day. The Sandak brand is about volume business, and after its success, Bata Zimbabwe went on to manufacture the plastic school shoes Anold and Tonymayo. Now, with an initial daily output target of 1,600 pairs, five articles Janet, Juliana, Grey, Friend and Johnson have been selected for production. The market has responded positively to the reintroduction of these practical shoes. At the convenient price of $2.50 for a pair of women s shoes, they are affordable to most Zimbabweans. Veteran shoemaker Athanas Tadziripa, was previously located at the Sandak factory in Mutare and has been with Bata Zimbabwe for 35 years. He said, It brings back so many fond memories to be producing Sandak again. The market response to the reintroduction of Juliana reassures me that the Zimbabwe public is looking for value Retail manager Augustine Mufute commented, This takes me back to the days of Sandak jingles by Bata, which ring vividly in my mind to this day: You are in the right direction. With the reintroduction of Sandak, customers across the nation have expressed nostalgia, as it has reminded them of the then Zimbabwe. I look forward to good volume sales.

9 INTERVIEWS We Are Bata People: Lavender Owako Sends In a Selfie Lavender Owako recently decided to send in a selfie featuring Christine Schmidt and several Bata Children's Program (BCP) Kenya volunteers during a BCP Kenya event. Bata World News spoke to her to hear how it came about. How do you fit into the Bata world? I am a human resources officer at Bata Kenya. Who is in your selfie? The picture features some of the BCP volunteers from Bata Kenya, namely: Peter Giathi, human resources manager; myself; Tabitha Silapei, category merchandiser; Esther Kute, creative designer, and Josephine Mutai, senior category merchandiser. What does it show? What is the story? Christine Schmidt was posing for a photo at a BCP Kenya function at the Starehe Girls' Centre in Kiambu town, following a request from the students to take a selfie. The team had taken the time to reach out to the school, which is 100 percent dependent on charity, working together with members from different departments. Everyone shouted "Bata" while taking the selfie to mark the end of a joyous day, filled with happiness, wide smiles and great laughter. What do you like most about your job? I am a people person who enjoys interacting with my colleagues. This helps me know them well and understand their respective personalities. This enables me to learn how best to adapt various services to them as the organization s most valued assets. My involvement in BCP programs, under the mission of creating a brighter future for children in the communities in which Bata operates, is both heartening and extremely satisfying. Through this work we get to put smiles on the faces of many orphaned and disadvantaged children. I love dealing with children in general, and giving a helping hand to the vulnerable in our community gives me a great deal of satisfaction and fulfillment. Want to send in your Bata selfie? Just a few photos you take of yourself, alone or with colleagues, to bwn@bata.com. Show off your creativity! Photos must be horizontal, and be sure to use the largest file size allowed on your camera or phone.

10 BCP / SUSTAINABILITY BCP Chile Shows Commitment to Children at Start of School Year Hernan Vizcaya, company manager of Bata Chile, recently led a group of 35 volunteers from the Bata Children s Program on a visit to the Koinomadelfia Children s Home in Peñaflor. They presented a donation of 146 pairs of shoes for the start of the school year as well as the proceeds from sales... It was a meaningful contribution to the Koinomadelfia Foundation and all of its 87 children. Even the youngest children received sports shoes, while the 59 of school age were each presented with two pairs of shoes: Power shoes for their physical education classes, and Bubblegummers or Teener school shoes. The BCP volunteers helped to sort and classify the footwear bags for each child, and brought and served them breakfast as a gesture of their affection. The check presented to Koinomaldelfia was the equivalent of US$12,000, which came from the sales of the stuffed version of the Bubblegummers Cat character in stores across the country. During the presentation of the donation, Vizcaya reaffirmed the organization s firm and longstanding dedication to education, and Monica Hernandez, the director of the foundation, welcomed this annual tradition, which allows their children to attend school with a new pair of shoes. Paula Moreno is the coordinator of BCP Chile and human resources manager at Bata Chile. "These concrete actions are valuable, as they help the children in a tangible manner and strengthen the ties between the kids and volunteers, she commented afterward.

11 Team Building and Strategy at Pakistan Area Manager Meeting On March 30 and 31, Bata Pakistan held an area manager meeting at the Bata Retail Academy in Batapur, Lahore. The aim of the meeting was to review the business, and identify new market opportunities, as well as recognize the sales team's efforts in the first quarter of the year. All area managers across the country participated in the meeting, which focused on a number of topics including business development through the expansion of agencies, and increasing store business by offering vibrant merchandise and personalized customer service. In addition, the team set goals of increasing UPT to two with the help of cross-selling, and encouraging more customers to sign up to the Bata Club loyalty scheme. The meeting was kept lively thanks to a number of additional activities including team-building exercises, brainstorming sessions and some indoor games. The participants also had the chance to play a friendly game of cricket, and the winning team received the trophy from Muhammad Qayyum, company manager of Bata Pakistan. At the end of the meeting, Qayyum shared inspirational videos on some of the themes from the day. He commented: I believe that everyone has a certain set of skills, and by taking advantage of those skills while working together, nothing is impossible to achieve.

12 Powered by TCPDF ( BATA IN THE NEWS New Thomas J. Bata Scholarship Endowed at Canadian University On April 6, the Peterborough Examiner published an article about the Bata family s establishment of a scholarship in the name of the late Thomas J. Bata. The scholarship will benefit graduate students at the top-ranked Trent University in Ontario, Canada. At a ceremony in the university s renown... Mrs. Bata announced that the new Thomas J. Bata Graduate Scholarship will support a graduate student selected from any country with CA$5,000 per year, beginning in May Trent University is a public institution recognized for excellence in both teaching and research. Around 500 students are enrolled in its 15 graduate programs. It made the 2015 list of Top 1,000 Universities in the World, compiled by the Center for World University Rankings. Mrs. Bata remarked at the ceremony that her husband exemplified leadership, innovation, entrepreneurship, community responsibility and global citizenship the values recognized in this scholarship. Mr. Bata established operations and the company town of Batawa in Ontario after he relocated there from Czechoslovakia in He was active in supporting Trent University in the decade after its founding, and he contributed generously to help build the world-renowned Bata Library, a masterpiece of modernist architecture and of architect Ron Thom s career. University President Leo Groarke said, The Bata family have always been motivated by a heartfelt desire to serve the community. Trent has been lucky to be a part of this, both through their philanthropy and their contributions to our decision-making. Trent and Peterborough are fortunate to be a part of the Bata family s international reach. The Thomas J. Bata Library, at the very heart of our Symons campus, is testimony to their lasting contributions. The portrait of Mr. Bata now hanging near the library doors is by internationally acclaimed photographer Onnig Cavoukian.