NEWS FROM AROUND BATA WORLD WEEKLY DIGEST. Bata World Digest January 13, 2017 CORPORATE. Group Executives Talk Strategy on Tour of Bata Colombia

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1 WEEKLY Group Executives Talk Strategy on Tour of Bata Colombia Three Bata Group executives recently achieved various goals during a five-day visit to Colombia. They reviewed the business in several cities and held wide-ranging meetings with employees of Bata Colombia. PRODUCT Launching XoRise Phantom: The Latest Running Innovation by Power Bata Thailand Receives Achievement Award from ECommerce Partner Impressive Results for "Fall in Love with Bata" Campaign in Singapore BCP Latam Organizes Volunteer Days to Recognize Their Role in Communities Flashback: Thomas J. Bata Recognized for Responsible Capitalism South Asia Latam Latam Happy Bata Customers: 5-Year-Old Loves Bubblegummers BCP Chile Volunteers Caring for Koinomadelfia Orphans #MoveYourBata Steps Out with Catwalk for Employees Bata in the News: Trendy and Affordable Bata Profiled in the Philippines

2 Group Executives Talk Strategy on Tour of Bata Colombia Three Bata Group executives recently achieved various goals during a five-day visit to Colombia. They reviewed the business in several cities and held wide-ranging meetings with employees of Bata Colombia. The visit began on Dec. 4, when CEO Alexis Nasard, CFO Alberto Toni and CPO Davide Zornetta arrived in the capital city of Bogota. They were met by Justo Fuentes, president for Latam; country manager Claudio Alessi; Nestor Restrepo, retail operations manager; and Juan Carlos Erazo, marketing manager. The Latin American team accompanied the three executives throughout their time in Colombia. On the agenda were three cities: Bogota, Manizales and Cartagena. On Dec. 5, the high-profile visitors stayed in Bogota and made stops at Bata stores in the Calima and Plaza Central shopping centers and at the nearby informal market. The objective was to review collections and familiarize themselves with the market and the competition. The group also met Andrea Serna, the face of Bata in Colombia, for lunch. The company won a 2016 Bata Award thanks to Serna s participation in marketing strategies. The next stop was Manizales, where the company is headquartered. Nasard, Toni and Zornetta were given a tour of the facilities by Patricia Arenas, human resources manager, and Hugo Vargas, finance manager. Then they met with all the Executive Committee managers to go over results and projects for 2017 for each department. To conclude the day in Manizales, Nasard held a town hall meeting with employees from various departments. He communicated his expectations for Bata in Colombia as well as globally. The CEO also discussed the importance of the plan for 2020 and Angela, Bata s target customer. He then took questions from those present, covering, for example, the collections and the importance of digital marketing. Finally, the Group executives made their way to stores in the city of Cartagena, in order to understand the collections appropriate for the diverse climates in Colombia, which includes coastline, hot plains and cold mountains. Unlike Bogota and Manizales, Cartagena has a humid, tropical climate. Alessi reflected, "It was a very important and productive visit for the collection, marketing and visual merchandising to have a senior management team in Colombia. Sharing ideas and experiences is very helpful because we are always open to learn and improve."

3 PRODUCT Launching XoRise Phantom: The Latest Running Innovation by Power It s the final countdown: XoRise Phantom, the latest running innovation by Power, is set to be launched across 12 different markets through an exciting multiplatform marketing campaign beginning this Sunday, January 15. Poised to provide an exceptional running experience, XoRise Phantom spotlights the all-new XoRise technology in its highrebound EVA midsole. To facilitate the visual communication of this idea, Power has developed strong campaign creatives featuring XoRise Phantom as the hero. Among these is a state-of-the-art video that describes the technology in an engaging and entertaining manner. The video and images focus on the midsole and the shoe shown in-stride, contrasting with a colorful energy wave that reinforces the concept of energy return. To achieve the best possible sales results, Power wanted to help its sister companies develop a compelling in-store experience. POP material such as posters, countercards, and shoe risers were shipped to all the countries that bought XoRise. They have also created and shared a Retail Staff Training Package that includes a manual and a video tutorial with Trung Tran, designer of XoRise Phantom, explaining the technical features of the XoRise shoes. The XoRise campaign will also be coming online from January 15 to February 12, with four to six weekly posts on Facebook and Instagram, a YouTube ad, and an exciting Facebook giveaway, where 20 winners will receive a pair of XoRise Phantom shoes. Power will be sending weekly s, with all necessary social media content for the week, starting next Monday, January 16. Josefa Wearmouth, marketing manager at Power, commented: Anticipation is growing as the official launch of XoRise approaches. XoRise, our first true global branding initiative, is about to hit the markets and, with the collaboration of all our sister companies, we look forward to further strengthening the growth of Power as a brand. If you have any questions about how to implement the XoRise campaign in your market, please contact marketing manager Josefa Wearmouth at Power Footwear. The Power team looks forward to helping you make this campaign a great success!

4 Bata Thailand Receives Achievement Award from E-Commerce Partner On December 21, representatives from Bata Thailand were invited to a special event, organized by online retailer Lazada, at the Intercontinental hotel in Bangkok. The aim of the event was to recognize the top-performing companies on the sales platform, and Bata Thailand was awarded the prize for Bes... Lazada is the biggest and most dynamic online shopping destination in Thailand, and Bata's collaboration with the company, part of its business plan, has allowed it to achieve significant growth in online sales, using a multichannel approach. Bata Thailand began a soft launch with Lazada in August 2016, and the move immediately proved beneficial. In order to maintain its online growth, Bata Thailand then increased its involvement with Lazada, providing full merchandise support and marketing for new collections. This approach enabled the company to double sales revenue, and also led to them winning the Marketing Performance Award, for their strong performance on the ecommerce company's website. Eugenio Olabe, country manager of Bata Thailand, commented: I would like to give a big thank you to the team for a great job they have done. With the good products we have, and strong teamwork, I am confident and really believe that we will continue to grow greater and greater in the online market.

5 Impressive Results for "Fall in Love with Bata" Campaign in Singapore Bata Singapore recently announced the results of its Fall in Love with Bata promotional campaign that took place from September 5 to October 31, The campaign offered customers the opportunity to win a romantic holiday to a European city, by redeeming scratchcards awarded with purchases... The competition, which also included other prizes such as North Star sunglasses, gift vouchers and travel organizers, was eventually won by lucky Bata regular Mohammad Suffendi. His note, written upon learning of his victory, was displayed on the Bata Singapore Facebook page after the end of the campaign. Suffendi wrote: "Firstly, I didn't expect to win anything. I am a regular Bata customer and usually shop at Bata for shoes and sandals for me and my family. I think Bata shoes are of excellent quality and very affordable. I still remember my first pair of Bata shoes bought during my school days. The Bata Brand has indeed evolved through the years to stay current with the trends." On the digital front, the campaign saw over 2,500 participants take part in the online lucky draw via Facebook, and over 1,500 redeemed Facebook scratchcards in stores. Average post reach during the period was over 10,000 per post, and organic page likes increased by 450 percent over the course of the promotional event. The campaign also proved to be a hit in stores, with over 12,500 cards issued during the promotional period. In addition, it created in-store footfall of over 15,000 people, helping to increase the number of visitors to Bata Singapore stores. As part of the campaign, special promotional hangers offering discounts of 10 Singapore dollars upon redemption in store were placed on buses and trains in the region, and 150 of these were redeemed in stores over the course of the campaign. The activity also provided an estimated combined total reach of over two million passengers, helping to raise public awareness of the event. Pierluigi Pontecorvo, country manager of Bata Singapore, commented: We are very happy with the results from the 'Fall In Love With Bata' campaign. This is an allround SoLoMo (Social, Location, Mobile) campaign that helps us to achieve great sales returns as well as reach out to our current and potential Bata customers in an exciting and rewarding way.

6 PRODUCT Happy Bata Customers: 5-Year-Old Loves Bubblegummers The Bubblegummers brand has always been designed with fun details for children. And one very young customer took to YouTube to show her appreciation. Kyra Kanojia of India is 5 years old, but she knows what she likes. In a video her parents posted to YouTube, which has been viewed over 6,700 times, she gives a rave review of her new Bubblegumers sneakers. Today I got a new pair of shoes, she starts. Don t they look beautiful? Her bright eyes sparkle with enthusiasm. Kyra holds up the shoes, which are white with pink trim and soles, from all angles. Using the easy Velcro, she then puts them on by herself. Finally, she walks around to show off what makes these shoes special: They ve got lights! It works when you walk. I think I ll enjoy these shoes. That's one happy Bata customer!

7 BCP / SUSTAINABILITY BCP Chile Volunteers Caring for Koinomadelfia Orphans On December 6, the Bata Children's Program (BCP) Chile, invited twenty children from the Koinomadelfia children's home, which cares for children who have been abandoned, mistreated or abused, to the headquarters of Bata Chile for a day of fun-filled activities as part of its Volunteer Month. Volunteer Month is an initiative that is undertaken by all BCP Latam countries, and serves to recognize those who willingly devote their time to helping others through the program. In Chile, this activity took place last November, and also served as encouragement to others to become part of the BCP, after witnessing how much these activities mean to the children involved. The children began their day with a tour of the Weinbrenner and branding offices, accompanied by the Bubblegummers character Cat, who was in charge of the day's entertainment. They were greeted by staff who presented them with colorful necklaces and novelty glasses. After this, contests and dances were organized to further capture the children's imagination. Following these games, the children continued their tour with a trip to Bata Chile's retail offices, where a special treasure hunt game had been organized for them. This consisted of looking for delicious treasures hidden in the offices using clues given to them by volunteers, and this event was then followed by a series of riddles, after which the children were given balloons and fruit. To conclude the tour, more volunteers welcomed the children with beautiful gifts, and they were then taken to visit the finance department where they ate popcorn and sang carols. The day ended with a wonderful artistic presentation by the children, which was followed by a snack offered by the volunteers of BCP Chile. Representatives from the Bubblegummers team also attended wearing funny, colorful makeup, much to the delight of the children. Alejandro Bastias, logistics project engineer, and who took part in the day's events, commented: "We were all children once, and for this reason living this moment with them in our work reminds us of when we enjoyed games and learning new things. I hope that the children remember this activity with joy for these holidays."

8 MARKET TRENDS #MoveYourBata Steps Out with Catwalk for Employees An explosion of movement. That was the experience of Bata Chile employees who attended an end-of-the-year gala event which presented a feisty new campaign, #moveyourbata. All eyes were on an extensive and exuberant catwalk, organized by the #moveyourbata team, that highlighted the trends of Bata Chile s new spring and summer collection. As a dance team energized the room and quality products and styles were strutted by models wearing the latest in footwear fashion, Bata people were soon tapping their feet. They were even encouraged to get up, jump, dance and run, as well as to feel the comfort of the new designs that Bata Chile seeks to put on fire in the coming season. The collection is full of character, with materials such as patent leather, denim and studs, and pastels and floral prints. And the participating employees were soon keen on meeting the challenges of the #moveyourbata social network campaign, which seeks to reach youth and enhance brand loyalty. "It is important to let our collaborators and customers know about the change in our collections that we have been working with buyers and product development teams. This way we can show them collections based on trends and fashion, and we can all vibrate with life, along with our products," said Gigiola Casaretto, Bata collection manager. on Instagram, join our campaign using the hashtag #moveyourbata, and feel the attitude that will take the streets in 2017.

9 BCP / SUSTAINABILITY BCP Latam Organizes Volunteer Days to Recognize Their Role in Communities In November and December 2016, the Bata Children's Program (BCP) organized a series of days to celebrate the contribution of BCP Volunteers in the Latam region, in order to give official recognition and thanks to those willing to give their time to help others during the year. The events also provi... BCP volunteers from Bolivia, Chile, Peru, Ecuador, Mexico and Colombia carried out a variety of activities over the two-month period, including the production of recognition videos, and the organization of dances, breakfasts, lunches and visits to foundations to show the work done by volunteers over the year and the amazing results they have achieved. These activities were carried out to show how much the program values the contribution of all its volunteers, and the time they have selflessly given in order to help children and the environment around them. The activities also aimed to help to increase the number of employees and families who want to become part of the BCP program by demonstrating the difference that the program's projects make to children's lives. In addition, on the occasion of the Volunteer Days, small tokens of appreciation were given to all of the program's active volunteers, to recognize their efforts and dedication in giving their time to help others. These gifts included buttons, caps and personalized mugs, all of which bear the logo of the BCP program. Katherine Reyes, junior lawyer and BCP Colombia volunteer, explaining her reasons for being involved in the program, commented: "My experience as a volunteer is to learn to smile, even if I have no reason, and help others without receiving applause." Roberto Tamayo, sub labor relations manager and BCP Bolivia volunteer, added his own thoughts on the matter, stating: "Being a volunteer means being able to give back all the blessings one has received from God, working to see the smile of a child, and knowing that with a little effort, time and love you've changed a life: I think it's priceless."

10 Flashback: Thomas J. Bata Recognized for Responsible Capitalism Ten years ago, Thomas J. Bata received the prestigious FIRST Lifetime Award for Responsible Capitalism. The award was presented by Alistair Darling, then chancellor of the exchequer, at Marlborough House in London on Nov. 20, Mr. Bata received the recognition of his life s work at the helm of the family enterprise at age 93; he died the following year. FIRST is an organization dedicated to fostering dialogue between world leaders in industry, finance and government. Every year since 2000 it has honored a businessperson with extraordinary achievements in both commerce and social responsibility, but Mr. Bata was the first recipient of its Lifetime Achievement Award. In presenting the award, the organization acknowledged Mr. Bata, who, for 70 years, has exemplified the qualities of social responsibility and dedicated service which made his family company a household name throughout the world and which, during his country's earliest days, made him a symbol of hope for Czech patriots who, on his return from 50 years in exile, greeted him as a national hero. The award recognizes not simple philanthropy or application of some aspects of corporate social responsibility, but integration within the business of the needs of the wider community, care for the communities in which the business operates, environmental initiatives and support for the arts and culture. Successful responsible capitalism is practiced by leaders who apply the principles of moral and social responsibility in the running of their business and build a coherent philosophy in which the company s success is judged over the long-term by criteria that include sustainability, equity, and moral justice as well as standard financial benchmarks. Mr. Bata was born in Prague and educated in Czechoslovakia, England and Switzerland. His father Tomáš had founded the Bata company in 1894, and after his sudden death in 1932, Mr. Bata was guided by his late father s moral testament: that the company was to be treated not as a source of private wealth, but as a public trust, a means of improving living standards within the community and providing customers with good value for their money. He dedicated himself to pursuing the entrepreneurial and humanitarian ideals of his father. Mr. Bata saw business as a contributor to human well being internationally. He made it a priority to ensure that his businesses not only contributed to the economies of the new markets he entered but also made a positive difference in the lives of his employees and their communities. Many Bata operations were established with medical, educational and social facilities for Bata employees. Under his leadership the Bata Shoe Organization became the world s largest manufacturer and marketer of footwear.

11 Powered by TCPDF ( BATA IN THE NEWS Bata in the News: Trendy and Affordable Bata Profiled in the Philippines On Dec. 30, the Manila Bulletin published an indepth profile of Bata, which recently expanded to the Philippines. The newspaper has the largest nationwide circulation, so read on to see how the company debuted. The word bata has various meanings in different languages including shoe! In Filipino it means child, which is where reporter Alex Y. Vergara began his article, "Young at Heart: A European footwear brand that s over a hundred years old aims to capture the country s shoe-loving men and women. An edited and condensed version follows. Nope, the Bata brand isn t limited to children, although it offers an extensive line of shoes for kids and tweens under the sub-brands Bubblegummers and North Star. It also carries an extensive line of office staples, casual and formal footwear, and even athletic shoes for men and women. The global brand traces its origins to Zlin, Czech Republic, way back in Its design and production teams are based in Padua, Italy, but a good number of styles are also produced in China. A hundred and twenty-two years and 5,500 stores later, Bata finally arrived in the Philippines when it formally opened its first and latest store in Megamall on Dec. 1. We ve been wanting to go to the Philippines for a long time, but unfortunately we had to deal with legal issues in the past that didn t allow us to open here, said Thomas A. Bata, referring to the misrepresentation done by a Philippine-based company over the use of the brand s short but catchy name. Through the years, Bata had the support of SM. When the time came for Bata to find a local partner in the Philippines, the most logical choice was to partner with SM, which knows a great deal about shoes as well, said Mr. Bata. The savings it normally generates from going to the market directly are passed on to consumers in the form of affordable and dependable shoes that range from classic to trendy styles. Bata also carries a number of men s and women s bags, from backpacks to office handbags. We have more styles this season, said Mr. Bata. Bata is able to deliver new styles to its stores every two to three weeks. Like a fast-fashion clothing brand, Bata draws inspiration from current styles offered by high-end designers. Its merchandising team then mixes these upto-date styles with classic styles to offer more options to a wider market segment globally. What we do is follow trends and bring them while they re hot to customers, Mr. Bata added. We could pass on our products to them at very affordable prices because we control the total supply chain, from manufacturing to retail. Men are still more conservative compared to women when it comes to shoes, Mr. Bata observed. They still prioritize comfort over fashion. But over the years, he has started to see demands and a taste shift not only because of the internet, but because of the liberation of gender roles for men and women. Both have allowed themselves to have more freedom. If women have smart-looking patent stilettos and more earth-bound but nonetheless striking and comfortable slipons to choose from, men have an equally wide range of shoes both dress and casual and sandals they could try on. Bata s Megamall store even has a number of pairs designed for hiking, as well as fitness training. Ladies all over the world tend to have plenty of similarities, they love shoes. But a growing number now want to be trendy longer. We re still learning from Filipinos because this is our first store here, said Mr. Bata, who revealed Bata s plans to initially open 15 branches in Metro Manila in the next 18 months.