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SUSTAINABILITY REPORT FOR 2023

Enhancing the beauty of nature, ethically and sustainably

At Pangea, we’re on the leading edge of change in the modern leather industry. Every day, we work to lessen our impact on the planet — by utilizing cattle hides that would otherwise be discarded, reducing our water and energy usage, lowering the waste output of our tanning and finishing processes, and by operating as a fair and equal employer.

Building on our 2021 and 2022 reports, the 2023 Pangea Sustainability Report presents our policies, operational performance, forward-looking targets, as well as future initiatives.

“Communicating openly about our business is vital for building trust and lifelong relationships with our customers, investors, community, and ourselves.”

— Roger Pinto, Director of Sustainability & Innovation

Environmental

Environmental

Interconnected environmental issues are directly related to responsible consumption of materials. Pangea works diligently to tackle this complex set of issues: by collaborating with peers throughout the supply chain, considering action beyond the boundaries of our facilities, and communicating these efforts to customers and suppliers.

The environmental section of the 2023 Pangea Sustainability Report tracks our progress in several areas.

Greenhouse Gas Emissions

Energy

Water

Chemicals & Material Management

Circularity & Waste

Key Takeaways

Chemicals and Material Management

In 2023, we produced 13,965 kg of biopolymers that were recycled into our Recycled Tan substrate

This represents the conversion of about 21.7 metric tonsof what would be considered solid waste converted into chemical feedstock for reuse

Energy

Electricity consumption1.22 kWh/m2

Down 4.7%

Circularity & Waste

Pangea Saved 12,770 mature trees and 14,180 m3 of water

Circular Economy Initiative

At Pangea, we’re on the leading edge of change in the modern leather industry. Every day, we work to lessen our impact on the planet — by utilizing hides that would otherwise be discarded, reducing our water and energy usage, and lowering the waste output of our processes. We strive to improve the planet and the soil that nourishes us. Just as we are reimagining our relationships with each other, we are also reimagining our relationships with the Earth. Our goal of achieving zero waste in leather shaving operations at our León, Mexico plant will be realized in 2024 through a partnership with an agrochemical conglomerate that will use our shaving waste to produce biostimulants. Therefore, waste from our leather tanning process will provide collagen and protein for all-natural fertilizers. This integration of biostimulants fosters a sustainable approach to fertilizer. Let us introduce you to one of our engineers and tanning experts, who can describe the beauty of this initiative even better.

Social

Social

People are at the heart of everything we do here. From our employees to our suppliers to our customers, Pangea is committed to diversity, inclusivity, safety and fairness.

The social section of the 2023 Pangea Sustainability Report tracks our progress in several areas.

Our Employees

Safety & Wellbeing

Inclusive Environment

The Value of Different Minds

Engagement: Community, Employees & Customers

Governance

Governance

Built into our sustainability framework is the goal of increasing transparency and traceability across our value chain. This gives greater oversight of our impacts and allows us to share our performance on areas for improvement, as well as create corporate accountability. We continuously improve our information systems to help reach our ambition of a fully traceable and transparent supply chain.

The governance section of the 2023 Pangea Sustainability Report tracks our progress in several areas.

Macro-risks, Challenges & Opportunities

Materiality Map

Global Code of Conduct

Supplier Management & Sustainable Procurement

Deforestation & Supply Chain Traceability

Animal Welfare

Data Security and Information Management

Industry Governance

Leather Leadership & Industry Relations

Key Takeaways

Animal Welfare

Five basic animal freedoms:

  • 1

    Freedom from hunger and thirst

    by ready access to fresh water and diet to maintain health and vigor.

  • 2

    Freedom from discomfort

    by ready access to fresh water and diet to maintain health and vigor.

  • 3

    Freedom from pain, injury or disease

    by prevention or rapid diagnosis and treatment.

  • 4

    Freedom to express normal behavior

    by providing sufficient space, proper facilities and company of the animal’s own kind.

  • 5

    Freedom from fear and distress

    by ensuring conditions and treatment which avoid mental suffering.

Global Code of Conduct

The Global Code of Conduct cares for:

  • 1

    Complying with all laws and regulations

  • 2

    Promoting safety and wellness

  • 3

    Avoiding conflict of interest

  • 4

    Preserving company assets

  • 5

    Being impartial and acting with fairness

  • 6

    Being transparent and accountable

  • 7

    Valuing diversity and providing equal opportunity

  • 8

    Being environmentally responsible

  • 9

    Being active towards the Code of Conduct

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