Fitesa RS2019 published-EN

SUSTAINABILITY
REPORT 2019
Evolving With Sustainability
SUSTAINABILITY REPORT 2019
2
TABLE OF CONTENTS
01
INTRODUCTION
About the report____________________ 5
04
SOLUTIONS AND
INNOVATION
Letter from the CEO_________________8 Our Technologies__________________ 39
News & Highlights__________________ 10 Awards__________________________ 41
Our Solutions_____________________ 42
Innovation_______________________ 44
05
Quality__________________________ 46
02
THE COMPANY
About Fitesa______________________ 13 RESPONSIBILITY
Global presence___________________ 14 Sustainability_____________________ 49
Engagement with Our Stakeholders_____ 16 Global Compact and SDGs___________50
Our Market_______________________ 18 Suppliers________________________ 51
Corporate governance______________ 19 Efficient use of materials_____________ 52
Ethics and Compliance______________ 21 Energy__________________________ 54
Company Drives and Emissions________________________ 56
Operational Strategy________________ 24 Effluents_________________________ 58
Economic Performance______________ 26 Solid waste_______________________ 59
03
Health and safety__________________ 61
Social investment__________________ 64
Destination of plastics_______________ 66
GROWTH
*
ATTACHMENTS
Expansion________________________ 29
Employment & Diversity_____________ 31
GRI Standards Content Index_________ 69
Training__________________________ 35
Credits__________________________ 74
Safe Harbor Statement______________ 75
1 chapter
About the report
Letter from the CEO

INTRODUCTION
News & Highlights

INTRODUCTION
About the report

GRI 102-1 / 102-5/ 102-21 / 102-45 / 102-46 / 102-47 / 102-49 / 102-50
/ 102-51 / 102-52 / 102-54 / 102-54 / 102-56/ 103-1 / 103-2 / 103-3
W elcome to Fitesa’s 2019 Sustainability Report. This document aims to present how
our management and strategy generated value for our stakeholders, society and the
environment between January 1st and December 31st of 2019.
This report is aligned with our management values and practices, mirroring our pledge to
transparency to build trust between the Company and its stakeholders. We prepared our
report in accordance with the Global Reporting Initiative (GRI) Standards: Core Option issued
by the Global Sustainability Standards Board (GSSB). Employed by corporations worldwide,
GRI Standards are the most up-to-date version of the guidelines and represent global best
practices of reporting. Fitesa publishes a report annually but chooses not to externally assure
our reports.
In order to ensure that the information disclosed throughout this report is the most relevant for
the sustainability of our business, we singled out the company’s Material Topics, in partnership
with Fitesa’s leading executives. Material Topics were selected based on company’s strategy,
direction and purpose. There were no significant changes from the previous reporting period in
regard to the list of Material Topics or the identified Stakeholders.
Material Topics and the taken management approach are explained throughout the report
in each topic’s respective section; however, defined boundaries were not reported. When
applicable, evaluation of the management approach is also covered under each topic’s
respective section.
PO
SI
For the 2019 report, we have also linked our Material Topics to the 17 Sustainable Development
TI VE
T
Goals (SDGs) proposed by the United Nations (defined on page 50). In doing so, we have
AC
I MP identified how our company created positive impact for society through these universally
recognized initiatives with a positive impact icon.
GRI disclosures are notated at the start of each subchapter by the acronym “GRI” and a full list
can be reviewed in the GRI Content Index (on page 69).
5
FITESA’S MATERIAL TOPICS & SDG LINK
ECONOMIC TRAINING AND

EMISSIONS
PERFORMANCE EDUCATION
(Indirectly)
EFFLUENTS
DIVERSITY MATERIALS
AND WASTE
(Indirectly)
OCCUPATIONAL
HEALTH AND ANTICORRUPTION ENERGY
SAFETY
END CUSTOMER
HEALTH AND EMPLOYMENT
SAFETY
(Indirectly)
6
INTRODUCTION
Report Scope
Fitesa is a privately held subsidiary of Evora, a Nonwovens Company Limited, Fitesa Mexico Holidings
Brazilian holding company. This report addresses Limited, FitesaNonwovens Holdings Mexico SA de CV,
the results and initiatives of all Fitesa operations FitesaNonwovens Mexico SA de CV, FitesaNonwovens
worldwide. Accordingly, the following legal entities are Services Mexico SA de CV, Fitesa Peru SAC, Pantex
represented: Fitesa S.A., Mantar Mercedes S.A., Fitesa International SpA, Pantex Mena FZ LLC, Pantex Americas
Naotecidos S.A., Fitesa S.A. Limited, Fitesa Sweden LLC and FitesaCNC.
AB, Fitesa Italy Srl, Fitesa US LLC, Fitesa Washougal
Inc., Fitesa Nonwoven Inc., Fitesa Simpsonville Inc., The 2019 report does not include quantitative data
Fitesa Germany GmbH, Fitesa China Holdings BV, pertaining to the newest acquisition, Jacareí, (São Paulo,
Fitesa (China) Airlaid Company Ltd., Fitesa (Tianjin) Brazil), as the transaction was finalized in 2020.
7
Letter from the CEO

GRI 102-14
T his Sustainability Report was created to present to

you, our reader, how Fitesa’s strategy, operation and
results impacted customers, consumers, employees,
Simultaneously, we continued to expand our global reach
by stepping up the production capacity at our Pantex
facility in Sulmona (Italy) and made the announcement
society and the environment in 2019. The document of our intent to acquire the South American hygiene
shows the major highlights of our business throughout operation from Freudenberg, which was finalized in
the year, from a financial, social and environmental February 2020. In this respect, we will continue to
point of view. grow our geographic presence, product diversity and
production capacity, in pursuit of being the preferred
Throughout 2019, a number of global and local factors choice for supplying our customers globally.
influenced our business, including shifts in commercial
tariffs and in the price of raw materials, such as oil. Facing To broaden our ability to generate value for numerous
this scenario, our net sales amounted to US$ 980 million, stakeholders, sustainability is one of the strategic
a value that does not yet express all of our international guidelines of our business, penetrating many of our
capacity, giving room for continued growth. processes and leading a set of actions to diminish and,
if possible, eliminate any negative impact Fitesa has on
From an operational point of view, the year was the environment and society.
characterized by the consolidation and continuity of
the expansion opportunities that we have experienced For over ten years, we have refined our processes and
in recent years, always governed by the target of being strengthened our knowledge to develop nonwovens
close to where our products are needed. from renewable sources, which replace the use of raw
materials such as oil and natural gas. These efforts have
During the year, the FitesaCNC plants in Rayong (Thailand) been recognized by industry leading organizations,
completed their first year of operation under Fitesa including INDA who awarded Fitesa with the IDEA 2019
ownership, going through a robust process of operational Roll Good Achievement Award focused on the develop
and cultural assimilation. The process was aided by the and launch of 100% BioBase PLA Soft nonwoven fabric,
election of CEO with comprehensive background at made from 100% renewable and compostable resin.
Fitesa to head the local business. As a result, the plant
is achieving the predicted results, giving us access to In an effort to shape our operation with less and less
consumers in Southeast Asia, a booming market. impact on the environment, last year we announced
three goals for 2025, which aim to cut down the relative
We also consolidated the additional capacity realized by utilization of electricity, the relative emission of CO2 and
previous year expansion projects in Simpsonville (United the relative disposal of waste to landfills in our plants. In
States) and Peine (Germany). 2019, we achieved a reduction in energy consumption
per tonne of product by 2% (35.4 kWh/tonne) and
although our emissions per tonne of product remained
relatively flat year-over-year we remain committed to
achieve our previously established goal.
8
INTRODUCTION
EFFICACY
summarizes our 2019
year. We took a big
step forward with our
abilities, efficiency and
successful obtainment
of our intended results.”
In order to further emphasize our commitment to We strongly believe that all injuries are avoidable and
sustainable development, in 2019 we joined the Global no task is so urgent that it can’t be performed safely.
Compact, a UN initiative to encourage companies to
adopt corporate social responsibility and sustainability We continue to strive toward serving our customers with
policies. In doing so, we have started to adjust our higher quality, innovation and sustainable alternatives.
sustainability strategy with international references Our 2019 results were achieved through the devoted
such as the 10 Principles of the Global Compact and the work of our employees and was only possible thanks to
17 Sustainable Development Goals (SDGs). the confidence of suppliers, shareholders and customers.
For this reason, we thank you for your support and
We have already realized positive impacts in key areas welcome everyone to learn more about our operation
and want to encourage our industry customers and and its impacts throughout this Report.
competitors to join us in this mission. Fitesa remains
committed to these initiatives and will show support to Enjoy your reading!
the Global Compact for the coming years.
Safety remains a priority at Fitesa. In 2019 we SILVERIO BARANZANO

dramatically dropped our lost day rate while our CEO
recordable injury rate remained relatively flat at 0.88.
This confirms our actions are making a difference in the
severity of injuries sustained, but we have to continue
working toward a reality with no injuries or lost time.
9
News & Highlights

GRI 102-10
Fitesa Joins UN Global Compact Relaunch of

On April 5, 2019 Fitesa joined the Ethics Reporting Hotlines
UN Global Compact committing (ReportIT and Canal Ético Fitesa)
ainitiative and its principles in the In an effort to conduct our business
areas of human rights, labor, the with utmost level of ethical
environment and anti-corruption. standards and full transparency;
we globally relaunched the
ReportIT hotline service during Q4-
2019. We encouraged employees to
use this system or South American
reporting system, Canal Ético,
for anonymous reporting of any
concerns in ethical, wasteful, illegal
or fraudulent behavior.
Fitesa Awarded
2019 Partner of the Year -
Innovation Award by Ontex
Global Fitesa Buys South American Hygiene
The award was announced during Business From Freudenberg
a ceremony in April, hosted “The acquisition of Freudenberg’s
by Ontex Global, that Fitesa South American hygiene business
delivered a strong partnership provides us with a state-of-the-art
and pragmatic approach in production facility as well as with
supporting innovation, production a professional and well-trained
productivity and problem solving workforce, which will help us to
across the Ontex business. better service the needs of our
Michael Baumgartner, Managing customers” Silverio Baranzano,
VP of EurAsia graciously accepted CEO of Fitesa. The purchase was
the award from Annick De made public in December 2019 and
Poorter, Ontex’s Executive VP R&D approved by legal authorities in
and Quality, on behalf of Fitesa. February 2020.
10
INTRODUCTION
Fitesa Sees Significant 2019 TRAINING HOURS

Improvements in Health
and Safety Indicators 64,436 hrs. (+15.3%)
During 2019, Fitesa implemented
new safety policies which
contributed to an 85.3% reduction
in lost days and we physically
involved 23.5% more employees on
31% (3.4 kg/tonne)
REDUCTION IN MANUFACTURING WASTE
local safety committees. TO LANDFILL COMPARED TO LAST YEAR.
FITESA GLOBAL JOB CREATION 2019
73
Fitesa Introduces New Wave of

Products to Market
331 TOTAL
NEW HIRES Innovation at Fitesa continued to
lead the way for the nonwoven
market with the introduction
of a new wave of products
84 174
following a breakthrough in
100% polyethylene (PE) spunmelt
production.
NORTH SOUTH EURASIA
AMERICA AMERICA
11
2 chapter
About Fitesa
Global presence
THE COMPANY
Engagement with Our Stakeholders
Our Market
Corporate governance
Ethics and Compliance
Company Drives and Operational Strategy
Economic Performance
THE COMPANY
About Fitesa
GRI 102-2 / 102-3 / 102-4 / 102-7 / 102-16
W e are a Brazilian, multinational company with 46 years of history.

For the last 31 years, we have been manufacturing nonwoven fabrics
for the hygiene, medical and industrial markets.
OUR FIGURES
PRESENT IN
11 COUNTRIES
We manufacture spunmelt, carded and airlaid nonwovens, elastic films,
laminates and other specialty fabrics. We are the world’s second largest
16
spunmelt nonwovens manufacturer.
MANUFACTURING
LOCATIONS
Through Pantex, we offer innovative and refined products to the market.
Since 2018, we have been operating in Southeast Asia through FitesaCNC
— a Joint Venture with CNC International. 4 INNOVATION
CENTERS AND
Our headquarters is located in Gravataí (Brazil) and we have corporate 3 PILOT LINES
offices of Fitesa in Simpsonville, SC (United States), of Pantex in Sulmona
(Italy) and of FitesaCNC in Rayong (Thailand).
#2 SPUNMELT
Our extensive geographic presence stems from an expansion process that NONWOVENS
MANUFACTURER
emerged in 2009, creating opportunities to support our Corporate Vision
WORLDWIDE
of being the preferred choice for the supply of nonwoven solutions to the
global hygiene industry.
OUR OUR
MISSION VALUES
Fitesa develops nonwoven solutions for the hygiene • Trust

and healthcare industries. We manufacture and sell • Simplicity and Frugality
our products across the globe and build our business • Respect for Individuals
on the aligned values of the company and our • Transparency
employees. We are constantly seeking new ways to • Honesty and Integrity
evolve and grow in dynamic and responsible ways.
OUR OUR MANAGEMENT

VISION PRACTICES
To be the preferred choice for the supply of nonwoven • Empowerment and Responsible Autonomy
solutions to the global hygiene and healthcare industries. • Teamwork
• Meritocracy
• Employee Development
• Always Do More and Better with Less
13
Global presence
Washougal, Green Bay,

USA USA
Simpsonville,
USA
San Jose Iturbide,

Mexico
Lima, Peru
Cosmopolis, Brazil
Gravatai,
Brazil
14
THE COMPANY
Norrköping,
Sweden
Peine,
Germany
Trezzano Rosa,
Italy
Sulmona, Tianjian,
Italy China
Tokyo,
Japan
Ras Al Khaimah,
UAE
Rayong,
Thailand
HEADQUARTERS MANUFACTURING Fitesa

OR EXECUTIVE LOCATION
OFFICE
PANTEX
SALES OFFICE INNOVATION

CENTER Fitesa cnc
15
Engagement with Our Stakeholders

GRI 102-40 / 102-42 / 102-43 / 102-44
F itesa values our Stakeholders and the mutual trust and respect that has defined
our relationships built through transparency. We desire to meet their needs
and hopefully exceed their expectations, by engaging with them to understand
what is important and resolve any concerns that need to be addressed.
Below are examples of ways, during 2019, that we engaged with our Stakeholders:
EMPLOYEES CUSTOMERS
Workplace Climate Surveys were Assessment on our performance

conducted to better understand in critical areas of business are
how we compared to previous year routinely gathered from our key
through the eyes of our employees. customers who have dedicated
sales and technical resources from
Fitesa in continual communication.
COMMUNITY INVESTORS
Fitesa partners with local / regional We are a privately held business and
non-profit and outreach program our investors have representation
sponsors in the areas that we have on our Board to help oversee
facilities. We pride ourselves in the the governance of the business.
ability to support needs as they We have open channel of
arise in our communities. communication regularly.
16
THE COMPANY
CONSUMERS SUPPLIERS
We depend on the collaboration Fitesa firmly believes the growth

with our customers and occasional of our business is linked to lasting
marketing research data to relationships that we have with our
better understand the consumers supply chain. Fair negotiation and
changing needs and desires information exchange during review
associated with our products. cycles provide invaluable feedback
We have technical teams that from our suppliers.
work with our key customers in Beyond the global reach, we are
design of new, innovative solutions proud to have local procurement
to meet end consumers and our teams that meet with dedicated
customer’s needs. critical suppliers and stay in the
forefront of improvements in the raw
materials supplied.
Information obtained through Stakeholder engagement We listened to our employees who requested the ability
is collected and discussed to ensure proper addressing to have a more engaging HR platform with cross-facility
of any key topics, issues or opportunities which are opportunities and focus on improved communication.
brought to our attention. Since the 2018 Workplace Climate Survey, a new HR
technology has implemented to meet those needs
A primary example of this was the desire for end and the 2019 Workplace Climate Survey confirmed
users to have access to more environmentally friendly improved overall results. Each Stakeholder offers unique
products. Fitesa devoted itself to the development of perspective and opportunities for Fitesa to engage.
these fabrics resulting in the creation of the largest
biobased portfolio in the spunmelt industry.
17
Our Market
GRI 102-6
F itesa is recognized as a leader of innovation in the

nonwovens industry and our products are commonly
used by companies in many different industries for
We also supply nonwovens for the medical market.
Our nonwovens are specifically used in disposable
medical products, such as surgical gowns, drapes and
various applications. Our target market segments are sterilization wraps. The technology within Fitesa fabrics
hygiene, medical and Industrial applications. provide comfort, safety and reliability to the medical
community and patients.
Our primary market is hygiene which consists
of companies that use our nonwovens for the In the Industrial market, we supply nonwovens for air
manufacturing of disposable baby care, feminine care and water filtration, protective apparel and sorbent
and adult care disposable items. We offer a broad pads for oil and other liquid control, to produce fruit
range of materials that can be used in almost every packaging, crop covers and weed barriers, among
component of these products. others. In some instances, our agricultural fabric can
be used as a physical barrier against pests and can
Through Pantex we offer elastics, perforated or contribute to the creation of a microclimate that
embossed films, composites and laminates. Pantex enables a potential reduction of agrochemical usage.
utilizes a proprietary technology to produce laminates
without adhesive in their composition. Innovative
developments and advances we make with our
nonwoven fabrics have benefited consumers on a
personal level and society as a whole.
18
THE COMPANY
Corporate governance
GRI 102-11 / 102-18 / 102-19 / 102-20 / 102-22/ 102-26
/ 102-29 / 102-30 / 102-33 / 102-34
A s a highly internationalized company, our

governance framework is uniquely structured
for efficient management, transparent actions and
development of Fitesa’s strategy and clear definition of
our Mission, Vision, Values and Management Practices.
Any critical concern related to the business would
accountable results ensuring the needs of all our be elevated to the highest level in our governance
stakeholders are fulfilled. Representation from each structure; however, in 2019 there were zero (0) critical
level within our governance structure plays a part in the concerns reported to the Board of Directors.
BOARD OF DIRECTORS
CEO
CORPORATE CFO AND VICE VICE REGIONAL REGIONAL REGIONAL CEO OF PANTEX CEO OF
CONTROLLER DIRECTOR OF PRESIDENT OF PRESIDENT OF MANAGING MANAGING MANAGING INTERNATIONAL FITESACNC
CORPORATE IT TECHNOLOGY, PROCUREMENT VICE VICE VICE
PPD AND PRESIDENT FOR PRESIDENT FOR PRESIDENT
ENGINEERING EUROASIA LATIN AMERICA FOR USA AND
CANADA
Our governance structure was designed for accountability:
• We are overseen by a Board of Directors, which • Senior Leadership and Managers from all
includes Évora executives and board members, manufacturing locations carry out monthly results
with two year terms; meetings, with their superiors and their teams,
which include reporting critical concerns;
• We maintain a constant connection between
Fitesa’s Board and Évora Executives to discuss • Fitesa has global committees responsible for routine
strategies, as well as, tactical and operational issues; collaboration on best practices and sustainable
efforts; and
• Fitesa’s Executive Team present monthly results
to the Fitesa Board ensuring transparent • We invest in internal audits conducted by reputable
communication and oversight from top-down; companies that assist us with compliance and
governance issues annually.
19
Sustainability governance
Sustainability initiatives are led by Fitesa’s Global Director of QA, HS&E,
MS & Process Improvement with the full support of Fitesa’s Executive
Team and input from all global committees. Using this approach, we are
able to delegate responsibility and some authority for sustainable efforts
throughout all levels of the organization.
Fitesa Executive Management and the Fitesa Board are ultimately

responsible for and intimately involved in evaluating and managing
of economic, environmental and social impacts our business has on
our Stakeholders and society. Thus, participants at each level of our
governance structure are involved in the development of our sustainability
strategy and management.
Consistent with Principal 15 of The Rio Declaration on Environment

and Development, Fitesa’s governing body also supports the use of
precautionary principle in its approach to risk management during its
strategic planning and policy implementation.
DIVERSITY OF FITESA’S CORPORATE GOVERNANCE
BOARD OF DIRECTORS
GENDER NATIONALITY
1 REPRESENTED:
100% MALE 0% FEMALE
AGE
GROUP 100%
Brazilian
<30 YEARS 30 TO 50 YEARS >50 YEARS
FITESA EXECUTIVE TEAM
GENDER NATIONALITIES
4 REPRESENTED:
80% MALE 20% FEMALE
AGE
Brazilian German
GROUP 50% 30%
20%
<30 YEARS 30 TO 50 YEARS >50 YEARS Italian American (US)
20
THE COMPANY
Ethics and Compliance

GRI 102-16 / 102-17 / 103-1 / 103-2 / 103-3 / 205-2
CODE OF CONDUCT
At Fitesa, the fundamental document that guides our actions is the

Fitesa Code of Conduct. The document reinforces the expectation that
all employees must conduct themselves and their work with the highest
standards of integrity and ethics.
Our Code of Conduct further defines our commitment to social

responsibility, non-discrimination with equal treatment of all individuals,
and protection of our local communities and the environment.
The Human Resources (HR) department updates the Code of Conduct

as needed and discusses the content with all new employees during the
on-boarding process. Company Managers are responsible for training at
refresher meetings that happen periodically. In doing so, 100% of our
employees are periodically trained and communicated on our Code of
Conduct, which includes topics on anti-corruption and anti-bribery.
With the support of two confidential reporting agencies, we established

procedures for the handling of any suspected, perceived or potential
unsafe, illegal or unethical conduct. Globally, we use the hotline service
ReportIt with a secondary Ethics Channel, Canal Ético, for South America
employees specifically. Both of these reporting tools accepts complaints
anonymously, have a document procedure for investigation and allow for
Fitesa to take appropriate actions for correction.
PO
In an effort to conduct our business with utmost level of ethical standards
Through these actions, and full transparency; we globally relaunched the ReportIT during Q4-
SI
we contribute to SDG 16 –
TI VE
T
2019. This brought on-board the new facilities in Thailand and updated all
AC
I MP Peace, justice and strong

institutions. postings throughout the facilities in their local language.
Our Code of Conduct also addresses compliance expectations related to

anti-corruption/anti-bribery, political contributions, gifts and conflict of
interest. Routinely, mid-level, top management and also governance bodies
are required to take refresher training on topics related to anti-bribery /
anti-corruption, Competition Law, and Business Ethics. Currently, 100%
of the members of our governance body have been informed about our
policies and procedures on the subject and, at the end of 2019, 64% had
received refresher training.
21
POLICIES
In addition to our Code of Conduct, Fitesa maintains Fitesa has chosen to publish select policies that impact
policies that address topics such as Anti-Harassment all stakeholders. Through the Fitesa website, we have
or Work Place Violence, Employment of Relatives and published policies that govern our everyday work ethics
Equal Employment Opportunity. These and many other addressing Health & Safety, Quality, Efficiency and
policies are inter-company published available to all Sustainability.
employees on the Fitesa Intranet.
HEALTH AND SUSTAINABILITY POLICY

SAFETY POLICY
Fitesa champions the responsible

For Fitesa, safety is the number one management of resource use and
priority and we are fully committed is committed to working towards a
to having a healthy and safe sustainable society. We will achieve
workplace for all of our employees. this by:
We will achieve this by: • Ensuring company stability and
• Understanding and fully complying profitability, enabling us to share with
with all applicable legal and other society through employment opportunity,
taxation and social contribution.
requirements regarding Health and
Sustainability is reached through
Safety. Following the law is the minimum
progression, not regression.
standard, not the maximum.
• Understanding and fully complying
• Creating a working environment where with all applicable legal and other
all of our employees take responsibility requirements regarding Environmental
for their own health and safety, and for and Social issues. Following the law is the
that of their colleagues. No activity is so minimum standard, not the maximum.
urgent that it cannot be performed in a • Working continuously towards reducing
safe manner. our environmental impact:
• Proactively working towards prevention • Minimizing the amount of material
of work-related injury and ill health sent to landfill from our operations.
through continual improvement. All Reduce, reuse, recycle;
injuries are avoidable. • Improving our energy profile
• Considering health and safety aspects through choice of energy type,
when planning changes in the choice of energy source and
organization, work content and methods, reduction of direct specific energy
work environment and procurement of use. Our energy systems serves our
new equipment and services. We think needs without compromising the
needs of future generations;
before we do.
• Addressing the issue of climate
change by reducing our Green
House Gas footprint. We do not
inherit the earth from our ancestors;
we borrow it from our children.
• Taking social and moral responsibility in the
regions we are present. Do good, be just.
22
THE COMPANY
QUALITY POLICY EFFICIENCY POLICY
Fitesa understands the foundation Fitesa will ensure long term

of reaching our goal of being the success by managing our time and
preferred choice in the market is efforts so investments in people
built through excellence in quality and resources are optimized. We
and customer satisfaction. We will will achieve this by:
achieve this by: • Designing our processes so they deliver
• Creating an environment where all of the required results smoothly and
our employees understand the impact of without stress. Do it right the first time.
their work on Quality and are driven by a • Ensuring flexibility in our processes
culture that every detail matters. We are so we adapt to new realities without
never stronger than our weakest link. overburdening. Adapt to change in a
• Fully understanding the needs and controlled manner.
expectations of our present and potential • Minimizing wastes in our processes
customers. We know our business and by continually improving our working
our products better than anyone else. methods and procedures. Accept the
• Investing in know-how and state of the existence of wastes but always strive to
art assets to be able to provide world reduce them.
class products and quality assurance • Combining discipline, knowledge and
that meet our customers’ requirements creativity in our everyday work. The
and expectations. We deliver what we limits to what we can achieve are set by
promise ourselves.
• Supplying the right product, in the
right amount at the right time.
• Ensuring that our product is free
from contamination and unwanted
component.
• Delivering product that meets
all the requirements for physical
properties.
• Continuously developing and improving
our management processes, products
and services with the aim of being one
step ahead of market demands. We come
with the solution before the customer
comes with the problem.
23
Company Drives and

Operational Strategy
T he Fitesa Management System (FMS) is the

common name for all official policies, procedures,
job descriptions etc managed as controlled documents
defined by one or more Company Drives: Safety,
Quality, Efficiency and Sustainability. These drives
independently are related to our stakeholders while
in corporate or plant-based management systems. collectively they are the basis for our Operational
Jointly with the FMS, daily work routines are Strategy.
COMPANY DRIVE RELATED STAKEHOLDER
Safety
EMPLOYEES
Quality
SUPPLIERS CUSTOMERS CONSUMERS
Efficiency
INVESTORS
Sustainability
COMMUNITY
24
THE COMPANY
OUR OPERATIONAL AND STRATEGIC PYRAMID
DISASTER
FAILURE
SAFETY NET
PREVENTIVE / PREDICTIVE SYSTEM
EMPLOYEES / BEHAVIOR
Best described in a pyramidal structure, our Operational Strategy is comprised of five tiers that serve a specific purpose
with the largest being the base on which we must build upon in order to minimize or prevent focus needed in the upper
tiers. The strategic pyramid can be applied to each of our Drives independently. Ultimately how well we implement the
Operational Strategy and manage our Company Drives will have direct impact our economic performance.
• Employees & Behavior (Tier #5): Our base tier is • Failure (Tier #2): This tier represents a flaw in our
related to our employees and their behaviors. Our strategy or the execution of our strategy, known as
goal is to provide the knowledge and training to a Failure. If we must focus time and attention to this
do things right, the right way, based on the right tier, we have experienced a breach in one or more
values. Business success is established here! of our lower tiers which has to be identified and
corrected.
• Preventative / Predictive Systems (Tier #4):
This tier is connected to our Systems, which are • Disaster (Tier #1): The top of the pyramid is known
designed to predict and prevent unexpected as the Disaster Zone. We want to avoid this area
issues from arising. Having robust and systematic and use the lower tiers of our structure to develop,
approaches will ensure discipline, stability and train, test and improve our processes and habits.
reliability in order to meet our business goals. Longevity and economic vitality of the business is
dependent on never operating in this tier.
• Safety Net (Tier #3): Our mid-level tier focuses
on being a Safety Net, through which we identify
weaknesses in our lower tiers and establish
countermeasures before they lead to the higher
tiers, failures or disasters, negatively affecting our
business health.
25
GRI 103-1 / 103-2 / 103-3 / 201-1
T he economic success of our business is essential to

sustaining long term operational, geographic and
financial growth. Fitesa operates with a clearly defined,
External factors such as governmental regulation and
trade tariff changes, raw material price and supply
fluctuations and regional specific market saturation had
globalized standard of management practices that guide direct impact on Fitesa’s closing performance. Net sales
the running of our business. for 2019 exceeded US$ 980 million, which was much
better than the previous year; however, still not a direct
By applying the same policies, practices and procedures reflection of Fitesa’s full potential.
we operate globally as one company; however, regional
factors can cause variances in economic performance As a privately held business and for strategic reasons, we
from region to region despite our globalized approach. do not disclose details regarding financial data, including
those related to the generated and distributed value.
Net sales for 2019 exceeded US$ 980 million,

which was much better than the previous year;
however, still not a direct reflection of Fitesa’s
full potential.
26
THE COMPANY
27
3 chapter
Expansion
Employment & Diversity

GROWTH
Training
GROWTH
Expansion
F itesa has steadily been expanding operations globally since 2009.

Through capacity increase, joint venture, acquisitions, or green-field
construction, Fitesa’s expansion has continued to broaden the geographic
OUR GEOGRAPHIC EXPANSION
1973
footprint, product diversity and production capacity available.
Our growth strategy is based on a straightforward guideline: being close to

where our products are demanded. By operating in the same regions where FITESA IS FOUNDED
IN BRAZIL
our clients operate, we can provide expedited delivery, local customer
service and innovation that meets regional specific needs, while reducing
our transportation related carbon footprint. Our current operation covers 2009
11 countries with continuous production 24 hours a day, seven days a week.
CAPACITY INCREASE UNITED STATES
To satisfy the rising demand from customers, Fitesa may elect to increase
production capacity through procurement of new machines, modification to
existing lines and, in some instances, new facility construction. MEXICO
During the year, expansion materialized at Pantex’s Sulmona (Italy) plant.

Its production capacity was increased for carded air-through bonded (ATB), 2011
elastics and laminates allowing us to better meet our customer’s needs for
specialized products.
We have further realized additional capacity from recent expansion SWEDEN
processes at our Simpsonville, SC (USA) and Peine (Germany) facilities.
JOINT VENTURE GERMANY
In 2019, we consolidated production and operation of the FitesaCNC joint

venture with CNC International, which was announced in 2018. In addition
to our entry into the Southeast Asian market, one of the fastest developing ITALY
markets in the world, we sought to blend cultures across companies, which
was encouraged by the election of a CEO with considerable experience at
Fitesa to head the business.
CHINA
FitesaCNC’s experience in Japan and SouthEast Asia specifically enrich our
customer portfolio and market understanding. Local results in terms of sales,
production and business integration have been according to projections.
29
2012
FitesaCNC has also initiated PERU
the process of expansion in

Thailand to double production 2017
capacity and meet the growing

demand from local markets. UNITED ARAB
EMIRATES
We predict the new machine to

2018
commence running by 2020,
reaching regular production
capacity mark after 2021. JAPAN
(SALES OFFICE)
THAILAND
ACQUISITION
Our latest announcement in expansion reached the

press in December of 2019. Fitesa confirmed the
purchase of Freudenberg PM’s South American hygiene
business, located in Jacareí, São Paulo, Brazil. This
acquisition adds a state-of-the-art facility to Fitesa’s
portfolio and provides a well-trained, established
employee base at the facility.
On February 3, 2020 the purchase was finalized and

closed, following the approval by anti-trust authorities.
This acquisition increases Fitesa’s production facility
count to 16 globally, 4 within South America.
Jacareí,
Brazil
30
GROWTH
Employment & Diversity

GRI 102-8 / 102-41 / 103-1 / 103-2 / 103-3 / 401-1 / 401-2 / 405-1
C onsidering expansion aforementioned, by early 2020

Fitesa will employ over 2000 employees globally
with diverse ethnic backgrounds and technical expertise.
Our history includes internal promotion of interns
into management positions, temporary or seasonal
employees hired into full time positions and
We believe every employee plays an important role in management level employees promoted into Executive
our overall success so we are committed to develop and positions, leading the company into the future.
retain our people. We value our employees and consider Before the acquisition of Jacarei facility, we had 1944
our primary social contribution to be income generation employees in our global operation.
for improved quality of life in the communities and
regions where we operate.
We have an Equal Employment Opportunity Policy, which supports

recognition based purely on meritocracy.
DISTRIBUTION OF OUR EMPLOYESS
560
472
443
469
GRAND TOTAL OF EMPLOYEES: 1,944
31
EMPLOYEES IN 2019
male female total
By working time
Full time 1,595 332 1,927
Part-time 6 11 17
By contract type
Temporary 122 16 138
Permanent 1,479 327 1,806
Fitesa participates in collective bargaining in multiple ground with Trade Unions and in good faith regulate
countries where either Trade Unions or Employee Unions relations between our employees and the Company.
are present: United States, Europe, Brazil, Mexico and
China to name a few. A total of 66.5% of Fitesa workforce Because we are present in 11 countries, diversity is an
is covered under collective bargaining agreements. intrinsic element in our business and an indivisible part
Fitesa is committed to participate in these negotiations of our culture.
to ensure proper adherence to local laws, find common
DIVERSITY OF FITESA EMPLOYEES
EXECUTIVE MANAGEMENT (10 EMPLOYEES) SENIOR/MIDDLE MANAGEMENT (156 EMPLOYEES)
GENDER GENDER
20% FEMALE 80% MALE 24% FEMALE 76% MALE
AGE 50% 30% AGE 2% 51% 24%

GROUP GROUP
20% 1% 17% 6%
<30 YEARS 30 TO 50 YEARS >50 YEARS <30 YEARS 30 TO 50 YEARS >50 YEARS
OFFICE / CLERICAL (210 EMPLOYEES) OPERATORS (1,274 EMPLOYEES)
GENDER GENDER
AGE 13% 23% 13% AGE 24% 50% 18%

GROUP GROUP
13% 31% 8% 2% 4% 2%
32
GROWTH
PROFESSIONAL (257 EMPLOYEES) SALES (37 EMPLOYEES)
GENDER GENDER
AGE 20% 40% 10% AGE 8% 35% 5%

GROUP GROUP
10% 14% 5% 14% 24% 14%
TOTAL GENDER TOTAL AGE
18% 55% 20%
UNDER 30
YEARS OLD
FEMALE BETWEEN
30 AND 50
MALE YEARS OLD
OVER
50 YEARS OLD
82% 25%
Our Human Resources professionals located across the globe are trained
and specialized in the laws and culture of their countries. We are an equal
opportunity employer that does not discriminate and our policies dictate
recognition based purely on meritocracy.
Our Code of Conduct furnishes guidelines for non-discrimination and equal

PO
Through these actions, we treatment of all employees regardless of gender, gender expression, marital
SI
contribute to SDG - Decent

TI VE
status, sexual orientation, disability, health status, race, color, ethnicity,

T
AC
work and economic growth.

I MP
culture, language, religion, political opinion or other nature, national or
social origin, wealth, birth, or any other condition.
During the year, we hired 331 employees, with a hiring rate of 16.8%. Our
hiring rate is up from previous years directly following expansion realization.
33
JOB CREATION
Total hires Terminations Hire rate Turnover
By region
North America 174 137 37% 29%
South America 84 50 18% 11%
Eurasia 73 54 7% 5%
By gender
Male 284 207 18% 13%
Female 47 34 14% 10%
By age group
Under 30 years old 170 87 36% 18%
Between 30 and 50 years old 146 120 14% 11%
Over 50 years old 15 34 4% 9%
Total 331 241 17% 15%
By generating jobs, we bring development to the employees and their families a series of benefits, in
communities where we operate, boosting their accordance with local legislation, which reinforce our
economy. In addition to payment in salaries, we offer ability to positively impact the entire region.
BENEFITS OFFERED TO FULL TIME EMPLOYEES

Life Health Insurance for parent
Location retirement
insurance insurance disability leave
Green Bay (USA)
Simpsonville (USA)
Washougal (USA)
San Jose Iturbide (MEX)
Gravataí (BRA)
Cosmópolis (BRA)
Lima (PER)
Norrköping (SWE)
Peine (GER) No
Trezzano Rosa (ITA)
Tianjin (CHI) No
Pantex Sulmona (ITA)
Pantex Mena (UAE) No No
Pantex Simpsonville (USA)
FitesaCNC (THA) No No
34
GROWTH
Training
GRI 103-1 / 103-2 / 103-3 / 404-1 / 404-3
A t Fitesa, we believe training our employees

supports the longevity of our business and makes
a significant investment in generating employee Global meeting
happiness with their job leading to higher retention
rates. With that in mind, we promote training Every year in Porto Alegre (Brazil),
opportunities throughout all levels of the organization. Évora holds an Annual Leadership
Meeting, bringing together senior
A wide variety of training is focused at the local level. management from all companies
Each facility has the autonomy to establish training that are part of the Holding, in order
plans that address the needs of its employees and
to exchange experiences and deepen
regional specifics. While other trainings are encouraged
the understanding of the Group’s
on a global scale to share best practices and promote
hands-on experience. We have proven the ability to strategies.
shorten the learning curve for new machinery or facility
start up through hands-on, cross facility training.
AVERAGE TRAINING HOURS BY EMPLOYEE YEAR OVER YEAR

GENDER TYPE OF EMPLOYEE TOTAL HOURS
2017 MANAGEMENT
64,435
21.7 33.4 36.2 +15.3%
55,875
OFFICE/CLERICAL
32.7 MALE 27.8 FEMALE 21.0 31.5 30.5 48,902
2018 OPERATORS
34.6 39.4 30.9
PROFESSIONAL
36.7 MALE 30.7 FEMALE 34.5 27.1 45.0
2019 SALES
26.1 33.2 30.7
GLOBAL AVERAGE
33.0 MALE 33.7 FEMALE 31.9 35.8 33.2
2017 2018 2019
2017 2018 2019
35
Examples of regional training that took place during 2019 include:

• Fitesa Simpsonville partnering with GTC Economic Development
and Corporate Training to conduct Yellow Belt training for 20 select
employees;
• Fitesa Sweden trained employees who are exposed to sensitive data or
personal information on the newest laws and regulations of handling
the data; and
• Fitesa Mexico led software knowledge and training sessions for their
employees following a new ERP system implementation.
Training hours are recorded at each facility by employee and training topic
then audited annually as part of the Fitesa Management Systems internal
audit process. In 2019, we increased our total hours of training globally to
64.4K hours an increase of 15.3% from previous year.
Additionally, we have six committees that meet regularly to share best practices
on issues such as Quality, HSE and Process and Maintenance Efficiency. These
committees have representatives from all facilities and from corporate. The
committees either meet monthly or rotate on a quarterly schedule.
In order to encourage the development of our employees, Fitesa has an

PO
Through these actions, annual procedure for evaluation of performance by the individual and
SI
we contribute to SDG 4 -
TI VE
T
region according to predetermined Key Performance Indicators (KPIs). These

AC
Quality Education.
help evaluate each individual according to the Company's results and their
I MP
personal goals. Operational employees are also evaluated at each plant,

according to the local methodology. 62.6% of our total employee base
received annual performance reviews in 2019.
PERCENTAGE OF EMPLOYEES WHO RECEIVED PERFORMANCE REVIEWS

2017 2018 2019
GENDER TYPE OF EMPLOYEE YEAR OVER YEAR TOTAL
2017 MANAGEMENT
65.9%
49.0% 88.4% 72.3% 63.3%
52.4% MALE 44.2% FEMALE OFFICE/CLERICAL

51.0%
24.5% 80.9% 66.2%
2018
OPERATORS
55.3% 62.5% 55.4%

36.7% MALE 30.7% FEMALE
PROFESSIONAL
2019 51.4% 58.4% 91.4%
SALES
60.1% MALE 78.4% FEMALE 42.9% 87.5% 83.8%

2017 2018 2019
36
GROWTH
37
4 chapter
Our Technologies
SOLUTIONS
AND INNOVATION
Awards
Our Solutions
Innovation
Quality
SOLUTIONS AND INNOVATION
Our Technologies
GRI 102-2
A t Fitesa, we are focused on different technologies

for the production and development of nonwoven
fabrics, with unique properties specific to applications
of consumers by providing our customers with high
quality, innovative raw materials for most of the world’s
absorbent hygiene products, as well as medical and
desired in the market. We improve the daily lives industrial applications.
39
SPUNMELT CARDED
Carded nonwovens are produced from the

Spunmelt nonwovens are produced through
consolidation of a variety of fibers, such
the extrusion of a variety of polymers, such as PP, PP/PE, PE/PET bico, PET, PLA, Rayon
as polypropylene (PP), polyethylene (PE), or and cotton, into a soft, lofty web through
polylactic acid (PLA), into filaments that are chemical, mechanical or thermal processes.
consolidated thermally into a flexible, fabric- Fitesa employs air-through bonding (ATB),
like web with excellent mechanical properties. Resin bonding (RB) or Thermal bonding (TB)
technologies in its production process.
Spunmelt fabrics are used in the hygiene,
medical, and industrial markets, offering a wide Carded fabrics are widely used in hygiene
range of physical and aesthetic properties. products, especially in stretch ears and
acquisition and distribution layers of
We are the second largest spunmelt disposable diapers.
manufacturer in the world. Most of Fitesa
operations manufacture these products, Machines installed in Green Bay (United
with the exception of the facilities in Tianjin States), Simpsonville (United States), Gravataí
(China) and Green Bay (United States), and (Brazil), Sulmona (Italy) and Tianjin (China)
are all focused on Carded production; as well
the recently acquired facility in Jacareí,
as, the recently acquired facility in Jacareí,
(São Paulo, Brazil).
(São Paulo, Brazil).
We have expertise in the production of

bicomponent nonwovens, composed of more
than one raw material (such as PE/PP) and
in the processing of renewable source resins AIRLAID
(such as PLA and Bio PE). We have the largest
installed bicomponent spunbond production
Airlaid nonwovens are produced from fluff
capacity in the world offering multiple colors, pulp and consolidated into a web through
bond patterns and other properties. chemical or thermal methods and can be
further enhanced with Super Absorbent
Additionally, with the startup of the new line Polymer (SAP) for superior absorbency.
in FitesaCNC (Thailand) projected for 2020,
we will be able to produce bico products in all Airlaid fabrics are ideally suited for feminine
four continents where we operate. hygiene and diaper product applications,
high quality dry or pre-moistened wipes, as
well as dry converted products for food pads,
tabletop, and medical substrates due to their
unique combination of physical properties.
Fitesa’s unit in Tianjin (China) produces

several types of airlaid nonwovens, including
Multi-Bond, Latex-Bond, Thermal-Bond and
Hydrogen Bonded Airlaid.
40
OTHER Awards
Fitesa products have been nominated and possess
Elastics, Perforated & Embossed Films, some of the most prestigious awards in the
Composites and Laminates are all available nonwoven’s industry.
through Fitesa. Our Pantex facilities apply
a combination of technologies to produce
specialty products that are designed to meet
specific applications and design requirements in Hygienix Innovation Award
the hygiene and medical markets. Pantex utilizes
a proprietary technology to produce laminates
Fitesa SMS Bico, which combines
without adhesive in their composition.
the strength of polypropylene with
the softness of polyethylene, in an
Pantex facilities in Simpsonville, SC (USA),
SMS configuration was a finalist at
Sulmona (IT) and Ras Al Khaimah (UAE) are
the 2019 Hygienix Innovation Award
all equipped to produce nonwovens using a
Nominee. The award recognizes
subset of these other technologies.
innovations promoting the
expansion in the use of nonwovens
Fitesa Gravataí (Brazil) also operates a
within the value chain of hygienic
lamination line that uses adhesive to join two or
disposables.
more substrates, combining their properties.
Spunbond-film laminates, for example,

are waterproof fabrics, breathable or non-
breathable, with the soft touch of a nonwoven. Rise Innovation Award
They are often used in medical applications.
Also, in Gravataí (Brazil), we produce meltblown The innovative aspects of our
for air filtration and liquid adsorption. 100% BioBase BioPE / PLA
product were recognized by INDA
(Association of the Nonwovens
Industry) through the RISE 2015
Durable Product Award.
Idea Achievement Award
In 2019 we won the IDEA 2019

Achievement Award, Roll Goods
category, for Fitesa 100% Biobase
PLA Soft
The product is manufactured with

100% renewable and compostable
resin, produced from lactic acid
extracted from plant glucose.
41
Our Solutions
O ur diverse product portfolio offers solutions that are tailored to meet
the specific requirements of the different market segments we serve.
Standard Products Visual Differentiation

Conventional nonwoven fabrics Fabrics, Films and Laminates
produced with the highest with the additional benefit of
quality standards. visual distinction.
Softness
Environment Friendly
Nonwoven and laminates
Solutions for all markets that
designed to deliver exceptional
consist of different levels of
softness to a wide range of
renewable content up to 100%.
applications in multiple markets.
Extensible & Elastic

Skin Care Nonwovens, films and laminates
for a wide range of applications
Nonwovens incorporated with
requiring various degree of
beneficial elements such as
stretch and extendability.
moisturizers and antibacterial
Transformed the baby care
predominately for the hygiene
and adult care markets with
market.
extensible waste bands, side
panel and tabs.
42
Medical Protection
High Opacity
High protection nonwoven and
Nonwoven and laminates with
laminates for single-use gowns,
higher opacity and masking
drapes and sterilization wraps
effect used in topsheet feminine
in the medical market offering
hygiene products.
comfort, safety and reliability.
High Tensile Industrial Specialties

Solutions with improved tensile High performance nonwoven
strength used across all markets solutions for a broad range of
and applications. industrial applications.
Fluid Management
UV Protection Nonwovens and films to
address the need for acquisition
Solutions for mulching, crop
and distribution of liquids. Used
cover and fruit packaging in
predominately as absorbent
agricultural applications.
core or ADL in single use hygiene
products.
43
Innovation
GRI 102-21
T he needs of our customers and end consumers are constantly evolving.

Accordingly, we invest heavily in research and development, taking
innovation as an essential part of our corporate identity.
Fitesa is the only spunmelt manufacturer with four (4) innovation centers
PO
Through the work of our and three (3) pilot lines capable of replicating the same production
SI
innovation centers, we
TI VE
T
conditions of our commercial lines, which guarantees precision and speed

AC
contribute to SDG 9 -
in the development, testing and commercialization of solutions.
I MP
Industry, Innovation and
Infrastructure.
Our Innovation Centers are located in Peine (Germany), Sulmona (Italy),
Tianjin (China) and Simpsonville (USA). Strategically located, these Centers
have brought innovation closer to our worldwide customers.
OUR INNOVATION CENTERS AROUND THE WORLD:

COVERING 3 MAJOR TIMES ZONES
Fitesa Sulmona,
Fitesa Peine, Germany
Italy (Pantex)
Fitesa Simpsonville,
Fitesa Tianjin, China
United States
Our innovation never sleeps; reaching from China to the US through Europe
there is always an open Fitesa innovation center across the world. We
rely on advanced laboratories, innovative scientists and skilled engineers
for research and development of new solutions and materials in line with
customer needs.
Our pilot line in the United States is the first Reicofil Full High Loft machine
in operation in the world, with capacity to produce soft, bulky nonwovens,
bridging the distance between the spunbond and carded technologies.
Fitesa is proud to be recognized as one of the most innovative companies in

the markets we supply and our products have been nominated or possess
some of the most prestigious awards within the nonwoven industry.
44
NEW PRODUCTS SUSTAINABLE SOLUTIONS
As a result of our innovation process, we bring the For over ten years, we have directed our innovation
most modern and most demanded products to our efforts toward producing nonwovens made from
customers. Fitesa currently holds 195 patents in 22 renewable sources. As a result, we now offer many
countries on 6 continents. solutions which replace the use of non-renewable
resins, based on oil and natural gas, mitigating the
Most recently, Fitesa introduced a new wave of environmental impact from our activity.
innovation to the market with our breakthrough in 100%
Polyethelyene (PE) spunmelt production and expectations Fitesa has launched a series of products made from
are high for future years as this nonwoven transforms Bio PE and PLA, using them in combination with
the hygiene market. Fitesa S 100% PE and Fitesa S 100% our different raw materials applying bicomponent
Green PE are already commercially produced through technology. We have also successfully produced a
FitesaCNC for the SouthEast Asian market. series of 100% biobase products.
Also worth mentioning is the launch of Fitesa SMS

Bico, a nonwoven that broke one of the last barriers
for softness in AHP products: soft leg cuffs for diapers. Bio PE
Fitesa SMS Bico also enables the increase of sustainable POLYETHYLENE FROM SUGAR CANE;
content with the use of biobased resins and improves

bonding with other PE BiCo structures.
Through Pantex, Fitesa offers highly innovative, PLA

specialized and differentiated products to the market. RESIN DERIVED FROM CORN
Pantex reinforces products from other technologies,

customized to meet customers’ needs. Highly technical
diversification of elastics products has allowed Fitesa
and Pantex joint development of a soft polyethylene Over the past three years, our use of renewable raw
elastic with improved elongation commercialized during materials have been steadily increasing and reached
2019 at extraordinary speed. Expectations are up with over 20 million kg annually, about 0.06 kg per kg Q1
this new line of elastics and realization of geographic produced. Sales continue to trend upward on these
growth in areas demanding these new technologies. products as consumers become more aware of need to
use sustainable alternatives. Currently, Fitesa holds the
largest biobased portfolio in the spunmelt industry.
Although, according to the British Plastic Federation,

only 4% of global oil production is destined for plastics,
we continue to work to increase the use of "green" raw
Our innovative materials in our products.
nonwoven solutions
make work easier
and life better. PO
Through these actions,
SI
TI VE
T
AC
I MP Responsible Consumption
and Production.
45
Quality
GRI 102-33 / 103-1 / 103-2 / 403-1 / 416-1
A t Fitesa, we recognize that the most effective way

to carry out our vision of being the preferred choice
in the market is through excellence in the quality of our
processes and products. Our quality policy reinforces
the commitment we have to the customers we serve
and consumers who use products made from our raw
material nonwovens. Our intention is to deliver quality
products every time; therefore, we invest heavily in
quality technologies, assets and training.
To maintain a strong Quality performance, Fitesa has We have a regulatory department dedicated to taking
created several corporate QA-systems to populate care of legal and product safety requirements. We
the fourth tier of the strategic pyramid for Quality - carry out strict product safety tests in the raw material
preventive / predictive systems (learn more on page components in 100% of our products categories, to
25). These must be implemented at each site. evaluate properties ranging from toxicity to irritability
upon skin contact, where there are requirements for this.
• Risk assessment (FMEA);
• Process Control; During 2019, Fitesa spearheaded a pilot project

within our European operations aimed at taking our
• Validation/change control; nonwovens and reducing the content of unwanted
Substances of Interest (SOI). The SOI project builds
• In line QA systems like Web Inspection Systems
on our existing adherence to all applicable legal
(WIS), basis weight measurement or metal
requirements and aims at eliminating the content of SOI
detection systems;
as far as possible. Run in conjunction with key suppliers,
• Standardization, meaning implementing the the project with expected outcomes will become a clear
same procedures and setup within each facility corporate strategy regarding SOI in the near future.
manufacturing the same products. This enables
us to supply the same product from any facility: To ensure our customers have access to the same
“Global products for global customers”; and products, with the same quality, process standardization
is a priority of our management and closely monitored
• Testing and Material Release (traditional QC). based on the growth and capacity increases realized over
the past years. Every year we carry out a stringent internal
Most of our nonwovens are utilized in the composition audit at each plant, through which we verify the fulfillment
of products such as baby diapers and feminine care, of normative and client requirements. This analysis
which come into direct contact with end consumers’ assures conformity with the pertinent safety, quality and
skin. Accordingly, we pay major attention to the safety of sustainability requirements, summed up by our FMS.
our nonwovens, notably with respect to their chemical
composition and the existence of undesired substances. Moreover, some units opt for external certifications,
according to relevance at the local level.
46
Certification Which plants have it?
• Tianjin (CHI)
• Peine (GER)
• Pantex Sulmona (ITA)
• Trezzano Rosa (ITA)
ISO 9001:2015 Product Quality • Norrköping (SWE)
• Washougal (USA)
• Gravataí (BRA)
• FitesaCNC Plants 1 and 2
(THA)
• Peine (GER)
• Pantex Sulmona (ITA)
Environmental management
ISO 14001:2015 • Trezzano Rosa (ITA)
System
• FitesaCNC Plants 1 and 2
(THA)
ISO 45001:2018 Health and safety of employees • Peine (GER)
• Tianjin (CHI)
OHSAS • Trezzano Rosa (ITA)
Health and safety of employees
18001:2007 • Pantex Sulmona (ITA)
• Norrköping (SWE)
ISO 50001:2011 Energy Management • Peine (GER)
• Peine (GER)
Oeko Tex Confidence in fabrics
• Trezzano Rosa (ITA)
Green Label
(ISO 14024 Type 1 Sustainable products • FitesaCNC Plant 2 (THA)
Ecolabel)
To ensure our customers have access to the same

products, with the same quality, process standardization
is a priority of our management and closely monitored.”
JOÃO GUEDES Corporate qa and process improvement manager
47
5 chapter
Sustainability
Global Compact and SDGs

RESPONSIBILITY
Suppliers
Efficient use of materials
Energy
Emissions
Effluents
Solid waste
Healthy and safety
Social investment
Destination of plastics
RESPONSIBILITY
Sustainability
S ustainability is one of our Company Drives

permeating all our processes; from products’
design, material procurement and manufacturing and
sustainable responsibilities and further strengthened
by our Sustainability Policy.
in-house recycling of generated waste. We promote • Economic Responsibility: we are committed to

conscientious handling of resources and believe achieving long-term vitality while adding value for
compliance with environmental regulation is the our stakeholders (customers, suppliers, investors,
minimum standard to be pursued and our locations employees, consumers and our communities).
work jointly with local authorities to enhance the
sustainability of our operations. • Environmental Responsibility: we champion
efforts to reduce our impact on the environment
With solutions containing up to 100% renewable source and find solutions to preserve resources for future
content, we enable our customers to increase the generations.
environment-friendly content of end user products. We
are committed to investing globally in research, sourcing • Social Responsibility: we are committed to
and testing to commercialize new sustainable products. operating with the highest standards of integrity
and ethics in everything we do. Fitesa strives to
The Fitesa Management System is similarly aligned treat all equally and with respect.
with focus on economic, environmental and social
OUR SUSTAINABILITY GOALS FOR 2025
Reduce the Reduce fossil CO2

manufacturing Reduce energy emissions from our
waste sent to consumption operations by 10%
landfill by 50% by 10% (tonne of Scope 1
(kg of MWTL / (kWh / tonne and Scope 2 of CO2 /
tonne of product) of product) tonne of product)
49
Global Compact and SDGs

GRI 102-12
O n April 5, 2019 Fitesa joined the UN Global

Compact, an voluntary initiative encouraging
companies to adopt corporate social responsibility
After joining the initiative, we implemented the UN's
Sustainable Development Goals (SDGs) as a link to our
sustainable efforts.
and sustainability policies through the adoption of ten
principles related to the area of human rights, labor, the The purpose of SDGs is to be a guiding set of national
environment and anti-corruption. policies that encourages companies around the world
towards goals such as poverty eradication, fighting
These practices are applied globally in all regions in climate change and the preservation of natural
which we operate. Adherence to the Global Compact resources. The SDGs bring to nations and humanity as
was a joint decision involving our Board of Directors and a whole the commitments undertaken by companies in
Executives Officers and was adopted by our employees. the Global Compact.
50
RESPONSIBILITY
Suppliers
GRI 102-9
T he consideration to the social and environmental

impact of our business starts even before our
operation: in the supply chain itself. Fitesa is committed
among other topics, the elimination of child labor,
forced labor and discrimination, the health and safety
of employees, freedom of association and environment
to the highest standards of integrity in business in line protection. We focus on a transparent approach to
with the best international practices. The development sourcing by encouraging bidding by any interested
and growth of our business is linked to lasting supplier in an effort to procure in a fair, diverse manner.
relationships in our supply chain. Those relationships
are based on mutual trust and alignment on ethical and Through our local purchasing departments, we
compliance practices. negotiate raw material that are indispensable to our
processes, the proper maintenance of our facilities
As a multinational company, we work with an immense and day-to-day operations. We also employ a global
variety of suppliers, dispersed all over the globe. We Procurement Department which work with long-
ensure we keep an active and honest relationship with term suppliers on critical raw materials, equipment
our vendors and we expect our vendors to follow our procurement and sourcing of company-wide specific
Compliance Laws and Ethical Standards which include, raw materials at cost competitive rates.
The development and growth of our business is linked

to lasting relationships in our supply chain.”
LUIZ DA POIAN
global procurement
51
Efficient use of materials

GRI 103-1 / 103-2 / 103-3 / 301-1 / 301-2
M ost of our nonwovens are manufactured from

polymers that are derived from non-renewable
fossil fuels sources, such as natural gas and petroleum.
In an on-going effort to find a viable alternative to these non-
renewable sources, Fitesa has focused efforts on innovation
and products that are made from renewable content,
In order to contribute to the mitigation of the such as sugar cane or corn (learn more on page 45).
environmental impacts from our industry, we seek to
reduce the consumption of these raw materials by In 2019, we used 383.5 thousand tonnes of materials to
developing renewable-source and recycled polymers produce our nonwovens, a value 8.6% higher than the
and using more efficient processes that reduce the previous year. However, when we consider the increase in
amount of waste from the manufacturing process. our production during the year, we reduced the relative
consumption of materials in our operation by 4%.
RATIO BETWEEN THE WEIGHT OF MATERIALS AND THE WEIGHT OF THE PRODUCT PRODUCED
(TONNE/TONNE Q1)
2017 2018 2019
1.11 1.14 1.09
PERCENTAGE OF MATERIALS BY SOURCE
1% 2%
3%
5%
NON-RENEWABLE RAW MATERIAL
RENEWABLE RAW MATERIAL
RAW MATERIAL MADE FROM RECYCLED SOURCES
PROCESSING AIDS AND ADDITIVES
ADDITIONAL COMPONENTS
89%
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CONSUMPTION OF RECYCLED AND RENEWABLE 17,457

RAW MATERIALS (TONNES)* 2017 5,699
23,156
Year after year, we have increased the consumption of
raw material from renewable and recycled sources in
20,181
our processes, following the global increasing demand 2018 6,894
for more sustainable options.
27,075
RENEWABLE RAW MATERIAL 19,796

RAW MATERIAL MADE FROM RECYCLED SOURCES 2019 8,143
TOTAL
27,939
* The volume of materials recycled internally is not counted as raw material from recycled sources.
RECYCLING OF WASTE FROM THE PRODUCTION PROCESS
In order to improve our material efficiency, most of our factories have the
ability to recycle its production waste, making it possible to achieve very
low selling and disposal rates in raw material output.
To track the progress made by our facilities globally, we monitor the percent of
PO
Through these actions, our raw material that is not handled internally. This is recorded and evaluated
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monthly as a key performance indicator called, Scrap Sales Percent. During

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and Production.
2019, Fitesa’s global scrap sales percent decreased by 1.89 percentage points
and was the lowest recorded percentage over the last four consecutive years.
Since our ability to internally recycle certain products is still limited, the
scrap sales percentage number becomes dependent on our sales portfolio
during the year. Similarly, it can be difficult to source external recyclers for
scrap of certain products, which in turn negatively impacts the amount of
waste to landfill (discussed in more detail on page 59).
Our ability to recycle combined with finding external recycling partners are
focus areas for reaching our 2025 goal referring to waste sent to landfill
(learn more on page 59). As evidenced by the datum, Fitesa is progressing
with internal and external recycling to overall reduce waste to landfill and
positively impact our environment.
SCRAP SALES (%)
5.86% 5.91%
4.28% 4.02%
2016 2017 2018 2019
53
Energy
GRI 103-1 / 103-2 / 103-3 / 302-1 / 302-3 / 302-4
O ne of the leading environmental impacts caused by

our production process is the energy consumption
in our facilities and the subsequent emission of CO2 into
TOTAL ENERGY CONSUMPTION (GJ)
the atmosphere. As a result, our power consumption 2,171,549

management strives to cut down the use of polluting fuels,
+10.5%
making our operations more efficient and replacing them
with clean sources.
1,965,626
All of our facilities have representatives on the Energy 1,893,074
Committee, which serves as an opportunity to exchange
knowledge and best practices.
In 2019, we consumed 2.2 million GJ of energy in our

operations, a value 10.5% higher than that recorded in 2018.
When comparing the value to the increase in our production,
however, we recorded a 2% reduction in the relative
consumption between 2018 and 2019. Thus, we continue
to move towards our energy efficiency target for 2025. 2017 2018 2019
RATIO BETWEEN ENERGY CONSUMPTION AND THE WEIGHT OF THE PRODUCT PRODUCED
(GJ/TONNE Q1)
2017 2018 2019
6.278 6.324 6.196
goal for 2025

Reduce energy consumption by 10%
(kWh / tonne of product)*
* based on 2017 values
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RESPONSIBILITY
ENERGY CONSUMPTION BY REGION (GJ/TONNE OF Q1)
2017 2018 2019
North America 6.390 6.569 6.193
South América 5.810 6.007 6.138
Eurasia 6.458 6.346 6.219
Electricity represents 72.7% of the amount of energy consumed in the year,

while 27.3% came from natural gas. Through a series of energy efficiency
initiatives, we reduced our consumption of natural gas by 3,144.5 GJ and
electricity by 5,221.4 GJ at our plants.
Of the total amount of energy consumed in 2019, 40.0% came from

PO
Through these actions, renewable electric energy. The figure is 2.6 percentage points higher than in
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we contribute to SDG 7 – 2018, mitigating the impact of our facilities on the environment.
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CONSUMPTION BY ENERGY SOURCE CONSUMPTION BY TYPE OF ENERGY
27.3% 60.0%
72.7% 40.0%
NATURAL GAS RENEWABLE ENERGY
ELECTRICITY NON-RENEWABLE ENERGY
55
Emissions
GRI 103-1 / 103-2 / 103-3 / 305-1 / 305-2 /305-4 / 305-5
F itesa’s commitment to reduction of our carbon

footprint continues and will remain a dedicated part
of our Sustainable efforts.
TOTAL CO2 EMISSIONS (TCO2E)
176,342
In 2019, 176,341.75 tCO2 were emitted, a value 17.0%
higher than that recorded in 2018. When comparing
our emissions to the expansion of our production
+17.0%
throughout 2019, however, the increase was only 4%.
150,732
148,482
2017 2018 2019
RATIO BETWEEN CO2 EMISSIONS AND THE WEIGHT OF THE PRODUCT PRODUCED
(TCO2/TONNE Q1)
2017 2018 2019
0.49 0.48 0.50
Fitesa remains committed to finding opportunities to supply our

production facilities with cleaner energy sources.
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RESPONSIBILITY
Our emissions are accounted for according to the GHG Protocol standard
and we use DEFRA 2018 for our conversion factors. The primary emissions
from our operations are CO2 and the indicator is normalized for production.
PO
Through these actions, Throughout 2019, we evaluated the necessary changes and initiated
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we contribute to SDG 13 – implementation plans to align with our 2025 sustainability goal. In this
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regard, five of our facilities are already seeing improvements in their
emissions; while the remaining are focused on achieving improvements as
we progress toward our 2025 goal.
The main emissions source in our operation is from burning of fuel to

generate electricity used in our factories (Scope 2), being responsible for
83.1% of the CO2 that we emit into the atmosphere. Burning fuels in our
own operation (Scope 1), was responsible for 16.9% of our emissions.
CO2 EMISSIONS BY ENERGY SOURCE
16.9%
SCOPE 1
SCOPE 2
83.1%
goal for 2025

Reduce fossil CO2 emissions from our operations by 10%
(tonne of Scope 1 and Scope 2 of CO2 / tonne of product)*
57
Effluents
GRI 103-1 / 103-2 / 103-3 / 306-1 / 306-3
E ffluent generation in our facilities is small and does

not represent a significant environmental impact.
Our processes and raw materials are mostly in the solid
TOTAL WATER DISCHARGE (M3)
matter state; therefore, we have a very small risk of

308,329
spills at all of our facilities. In 2019, there were zero
cases of significant spills that effected the environment.
+61.1%
Most of the water consumed in our facilities is used in a
closed loop, with the purpose of cooling equipment, and 191,404
181,123
is not discarded, but returns to the process to be reused
in other steps. In the European region, 8.9 thousand m3
of wastewater was used by other industries.
In 2019, total water discharge represented

308.3thousand m3, an increase of 61.1% over the
previous year. The main reason for the increase was
the inclusion of FitesaCNC data in the calculation and a
change in the production processes carried out in China
and Sweden.
2017 2018 2019
Local actions
Fitesa Mexico and Peru reuse water previously employed in our production
process to irrigate their property grounds.
Front view of Fitesa in

Mexico, San Jose Iturbide.
Front view of Fitesa in
Peru, Lurigancho.
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RESPONSIBILITY
Solid waste
GRI 103-1 / 103-2 / 103-3 / 306-2
F or a sustainable company, the reduction and

management of generated waste is of key importance.
Reduce, reuse, recycle is the order of priority, with
PROPORTION BETWEEN THE TYPES
OF WASTE GENERATED
the primary goal to reuse and recycle waste material
internally. Each local facility manages this by separating
10.2% 7.3% 5.9%
different waste types into well-defined fractions.
These fractions can then be managed by our external

recycling or waste management companies, and they 2017 2018 2019
are presented in this report as the classes: Hazardous
vs Non-Hazardous and sub-classes of Landfill waste,
Reused waste, Recycled waste, Incinerated waste, 89.8% 92.7% 94.1%
Recovery waste and Composting waste.
HAZARDOUS WASTE
During 2019, globally we generated a total of 11.1 NON-HAZARDOUS WASTE
thousand tonnes of waste and sent 2.6 thousand tonnes
to landfill. As classified by local law, 5.9% was deemed
Hazardous and 94.1% Non-Hazardous. We have reduced RATIO BETWEEN THE TOTAL WEIGHT OF WASTE
the amount of hazardous waste a total of 42.2% from our GENERATED VERSUS THE WEIGHT OF THE
baseline year to end of 2019. PRODUCT PRODUCED (TONNE Q1)
Although our total waste generated shows an increase 2017 2018 2019
year over year, our ratio between the total weight of 0.02 0.03 0.03
waste generated versus the total weight of product
produced remained relatively flat at 0.03.
MANUFACTURING WASTE SENT TO LANDFILL
TOTAL WASTE (K TONNES) (THOUSAND OF TONNES)
2017 2018 2019
+18.9%
11.13 North America 1.684 3.043 2.465
9.36
5.97 South America 0.217 0.304 0.122
Eurasia 0.008 0.013 0.021
2017 2018 2019
WASTE SENT TO LANDFILL Within the waste sub-classes, 91.75% of hazardous waste
(K TONNES) was either reused, recycled, recovered, or incinerated
-22.3%
by our facilities. For non-hazardous waste, the volume
3.36 sent to landfill fell 13.4 percentage points by way of
2.61
1.91
exponential growth in the reusing waste and increases in
the amount to recycle, recovery and composting.
2017 2018 2019
59
DISPOSAL OF HAZARDOUS WASTE DISPOSAL OF NON-HAZARDOUS WASTE

(% PER SUBCLASS) (% PER SUBCLASS)
2017 2018 2019 2017 2018 2019
Landfill 9.70% 12.62% 8.24% Landfill 33.40% 37.73% 24.37%
Reuse 0.40% 0.43% 0.00% Reuse 0.00% 0.37% 10.20%
Recycling 2.10% 3.28% 8.17% Recycling 39.69% 48.50% 51.60%
Incineration 86.60% 79.46% 77.67% Incineration 17.39% 7.19% 5.30%
Recovery 1.20% 4.22% 5.91% Recovery 8.70% 5.84% 8.12%
Composting 0.00% 0.00% 0.00% Composting 1.00% 0.36% 0.40%
Overall in 2019 we sent 7.44 kg of manufacturing waste to landfill for every

PO
Through these actions, tonne of product. Although the value is 17% higher than that recorded in
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2017, it is 31% lower than that recorded in 2018, signaling progress towards
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our sustainability goal for 2025.
From a waste perspective, the greatest impact to the environment happens

post-consumer use of products manufactured using our material. Learn
more about this on page 66 of this report.
RELATIONSHIP BETWEEN THE WEIGHT OF THE WASTE GENERATED AND THE WEIGHT OF THE
PRODUCT PRODUCED (KG / TONNE Q1)
2017 2018 2019

6.33 10.81 7.44
Goal for 2025

Reduce the manufacturing waste sent to landfill by 50%
(kg of MWTL / tonne of product)*
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Health and safety

GRI 103-1 / 103-2 / 103-3 / 403-1 / 403-2 / 403-4 / 403-5 / 403-6 /
403-8 / 403-9
A t Fitesa, the safety of our employees is a priority.

For more than 4 years Fitesa has focused on use of
Behavior Based Safety programs in all of our facilities. Our
To maintain a strong Health & Safety performance,
Fitesa has created several corporate HSE-systems to
populate the fourth tier of the strategic pyramid for
newest facilities in Thailand, FitesaCNC, will be evaluated Safety - preventive / predictive systems (learn more on
and employees trained according to our standards. page 25). These must be implemented at each site.
Through these programs, we challenge individuals • Safety Risk assessment;

to take responsibility for their own health and safety • Lock Out Tag Out;
and the safety of those around them by determining • General PPE requirements;
potentially risky situations and being proactive in the • Specific guidelines for risk areas; and
avoidance of those situations. Our Health and Safety • Fire protection systems.
management systems cover 100% of employees and
contractors in our operation. Beyond the reporting within Fitesa, our facilities
follow local legislations, such as OSHA 300 / 301
Furthermore, we encourage reporting accidents log management for documenting and reporting
and near misses, utilizing one of our communication of recordable accidents and we follow their
channels, reporting to a safety coordinator which are recommendations for recertification on forklift
located at every facility, or to an immediate manager. operation (every 3 years), crane operation (every
The reported accidents and near miss reports allow us 5 years), and boom and scissor lift training (annually).
to be more proactive in dealing with unsafe working
styles, implement improvement initiatives, and get rid We have Health and Safety Committees in all of our
of potential risks in our operations. factories, with the exception Pantex Mena (UAE),
which meet regularly to discuss topics and evaluate
Each Fitesa facility have procedures in place to record, policy effectiveness. The HS&E Committee makes
manage and investigate HS&E incidents. Following recommendations for policy improvements which are
investigations, safety alerts are shared with all facilities, then evaluated by management and when agreed,
creating a learning and evolving atmosphere. All implemented as new global standards. In total, 162
facilities also have a systematic risk assessment process employees from all over the world participate in these
that includes risk/hazards evaluation for routine and groups, 23.5% more than in the previous year.
non-routine tasks. Based on this, we prioritize risks and
generate action plans.
SAFETY PROGRAMS MENTALITIES
Fitesa believes that Health & Safety training is one
of the keys to achieve a positive safety culture. Every
employee is trained during on-boarding as a new THINK BEFORE WE DO
employee, our facilities have safety briefings monthly
that addresses topics relevant to that month and we
NO ACTIVITIES IS SO URGENT THAT IT
encourage daily communication from line leaders or CANNOT BE PERFORMED SAFETY
managers at shift change.
ALL INJURIES ARE AVOIDABLE
61
PROGRESS IN HEALTH AND SAFETY DURING 2019
Throughout 2019, we invested in improving our security Investment during 2019 in machine safeguarding
policies, including: included studies and implementation of new procedures
for elimination of pinch points, as well as, installation
• reissue of the lockout tagout policy with more of additional safeguarding devices such as barriers,
stringent instructions for employees who may interlocks and light curtains.
exposure with hazardous energy during service or
maintenance work; As a result of the programs and practices implemented
at our facilities, at the close of 2019 we recorded Lost
• crane inspection frequency was increased and
Day Rate of 3.79, a reduction of 85.3% compared to the
additional points of inspection were added; and
previous year. The Recordable Incident Rate was 0.88,
• machine safeguarding global standards were re- remaining at a level similar to that of the previous year.
implemented to bring all new facilities on-board to
Fitesa standards.
HEALTH AND SAFETY INDICATORS
2015 2016 2017 2018 2019

Recordable Incident Rate 1.11 1.23 0.75 0.87 0.88
Lost Days Rate 6.02 25.88 14.23 27.04 3.79
In total, we had 18 recordable accidents, related to:
• lack of safety awareness;

• interaction with moving parts / sharp devices;
• poor risk assessment;
• rushing; and
• machine safeguarding failure.
In response to these accidents, we focused on:
• accident analysis and action plan implementation;

• machine safeguarding improvements;
• safety walks deployment;
• new safety procedures and standards implementation;
• safety reinforcement training; and
• risk mitigation.
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RESPONSIBILITY
HEALTH AND SAFETY INDICATORS
1.20 / .15.62
1.12 / 0.00
0.55 / .14.41.
0.71 / .0.00.
RECORDABLE INCIDENT RATE
LOST DAYS RATE
EMPLOYEE WELL-BEING
Beyond safety at our facilities, Fitesa is focused on overall employee health and
wellness. Over the last few years, great strides have been made with resource
availability, communication of medical health-care services and promotion of
on-site services to assist in the overall wellness of our employees.
In addition to the benefits described on page 34, some local facilities have
implemented, at no charge to the employee, additional well-being options
such as:
• Food Service & Vending with healthy choice options

• Vaccination Campaigns
• Mobile Mammogram Screenings
• Health Fairs (including basic screenings and blood panel analysis)
• Discount to local fitness facilities
• Occupational Therapy
• On-Site Nurse Practitioner for non-emergency treatment
63
Social investment
GRI 102-48 / 201-1
A t Fitesa, we are mindful of our responsibility to the communities where

we operate and we seek to invest in organizations whose values and
practices align with our own. As a multinational company, we understand
the ability to be a positive influence on a large number of people across a
wide range of cultures.
Therefore we focus on social investments in a systematic way: global

contributions and local contributions. Philanthropic giving is guided by our
holding company, Evora’s, strategic philanthropy policy; however, each
operation has the autonomy to define their strategy for social investment
based on the needs within their region.
Global contributions are chosen at the corporate level and voted on by the
PO
Through these actions, we Fitesa Board. Fitesa’s primary partner, the Ling Institute, is an organization
SI
contribute to the above SDG.

TI VE
founded by the Ling family whose primary goal is to contribute to the

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transformation of the Brazilian society through investment in education.
Their work began in 1995, offering scholarship grants, and as of 2014,
establishing a cultural center. In 2019, their activities evolved to encompass
also health initiatives through support of implementation of an Oncology
center. In 2019, Fitesa contributed $350,000 USD to this partner.
Our local contributions are done as financial contributions, enrichment

opportunities, volunteer hours and community outreach that are aligned
with community’s needs. Traditionally, our Human Resource Departments
and Plant Managers play a role in strategy for social investment.
• Financial Contributions: monetary contributions to non-profits (raised

by employees voluntarily), local company monetary contributions to
worthy causes (pre-approved by Fitesa Executive Team)
• Enrichment Opportunities: Occupational training, job creation, open
house / family events
• Volunteer Hours: Food delivery programs for shut ins community
residence, Reforestation events, Community clean up days
• Community Outreach: Food drives, Diaper donations, Clothing drives,
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RESPONSIBILITY
During 2019, Fitesa was globally SOCIAL INVESTMENTS*(IN THOUSANDS OF USD$)

involved in many social investments
across the globe. These investments
601,3
will help improve the overall
future of the communities we
operate and work toward a more
sustainable future: we have invested
379,9
approximately USD$ 357,000 in 357,0
nonprofit organizations, provided
119 hours for volunteering,
donated more than 1.3 tonnes of
food, 200 pieces of clothing and
blankets and 100 wooden pallets;
in addition to having participated
in a reforestation project with
2017 2018 2019
more than 30 volunteers, planting
approximately 1,500 trees in
Rayong, Thailand. * The figure for 2018 was corrected in relation to that reported in the previous year (from 29,9 thousand to 379,9
thousand). The previous report omitted the amount of global contributions.
EXAMPLES OF SOCIAL INVESTMENTS
Our FITESACNC operation participated in a reforestation project

that allowed FitesaCNC employee volunteers to plant trees and
participated in public clean up days in various areas of the city.
FITESA SWEDEN made a financial contribution to help fund

treatment of childhood cancer.
FITESA COSMÓPOLIS employees collected and donated both

food and clothing to local charity organizations.
FITESA SIMPSONVILLE employees volunteered 36 hours delivering

hot meals to community shut-ins through Meals On Wheels.
FITESA GREEN BAY employees donated materials to 5 different

organizations to make blankets and pillows.
65
Destination of plastics
O ne of the major environmental impacts from our business comes after our nonwovens have left the factory at
the end of their life cycle, when they are discarded by the end user.
END OF LIFE OF NONWOVENS
MOST OF OUR PRODUCTS

AFTER BEING USED BY END ARE SENT TO LANDFILLS
CONSUMERS, OUR PRODUCTS OR INCINERATION, IN
ARE DISPOSED. ACCORDANCE WITH LOCAL
LAWS AND PRACTICES.
OUR PRODUCTS ARE MOSTLY AS A RESULT, THEY END UP

MADE UP OF MATERIALS THAT IMPACTING THE ENVIRONMENT
CAN BE COMPLETELY RECYCLED AS SOLID WASTE OR AS CO2
OR COMPOSTED AFTER IN THE ATMOSPHERE.
UNDERGOING A CLEANING
PROCESS.
HOWEVER In the United States, it is

estimated that disposable
MANY LOCAL LAWS PROHIBIT diapers are responsible for up
HYGIENE PRODUCTS OR to 1.5% of the total volume of
MEDICAL SUPPLIES FROM garbage deposited in landfills.
GOING THROUGH THESE
PROCESSES AFTER USE.
The appropriate disposal of plastics has become an In some countries, robust systems for managing plastics
increasingly discussed issue around the world. At waste are already in place, while in other countries the
Fitesa, we believe that the optimal way to take care awareness is just starting to rise. Fitesa believes it is our
of nonwovens’ waste is by recycling it. After multiple duty to be an active party in this important journey.
reuses of the material, when it loses its value, it can
be sent to incineration for energy production, often We will continue to support initiatives like UN Global
replacing fossil fuel energy sources. Compact and we will challenge other customers,
suppliers and competitors, as well as, employees and
The way to achieve this will likely vary from country community businesses we support to take active roles
to country but ultimately it must emanate from a for a more sustainable future.
collaboration between industry, lawmakers and the
society at large.
66
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67
* chapter
ATTACHMENTS
GRI Standards Content Index
Credits
Safe Harbor Statement

ATTACHMENTS
GRI Standards Content Index

GRI 102-55
UNIVERSAL STANDARDS REFERENCE (PG.)
GENERAL DISCLOSURES
Organizational Profile
102-1 Name of the organization Pg. 5
102-2 Primary brands, products, and services Pg. 13 and 39
102-3 Location of the organization’s headquarters Pg. 13
102-4 Number of countries where the organization operates Pg. 13
102-5 Nature of ownership and legal form Pg. 5
102-6 Markets served Pg. 18
102-7 Scale of the organization Pg. 13
102-8 Information on employees and other workers Pg. 31
102-9 Supply chain Pg. 51
102-10 Significant changes to the organization and its supply chain Pg. 10
102-11 Precautionary Principle or approach Pg. 19
102-12 External initiatives Pg. 50
102-13 Membership of associations Pg. 75
Strategy
102-14 Statement from senior decision-maker Pg. 8
Ethics and Integrity
102-16 Values, principles, standards, and norms of behavior Pg. 13 and 21
69
GENERAL DISCLOSURES
A description of internal and external mechanisms seeking
102-17 Pg. 21
advice about ethical and lawful behavior
Governance
102-18 Governance structure Pg. 19
102-19 Delegating authority Pg. 19
Report whether the organization has appointed an executive-

level position or positions with responsibility for economic,
102-20 Pg. 19
environmental, and social topics and whether post holders
report directly to the highest governance body.
Consulting stakeholders on economic, environmental, and
102-21 Pg. 44
social topics
Composition of the highest governance body and its
102-22 Pg. 19
committees
Role of highest governance body in setting purpose, values,
102-26 Pg. 19
and strategy
Highest governance body’s role in identifying and managing
102-29 Pg. 19
economic, environmental, and social topics
Highest governance body’s role in reviewing the effectiveness
102-30 of the organization’s risk management processes for economic, Pg. 19
environmental, and social topics.
Process for communicating critical concerns to the highest
102-33 Pg. 19 and 46
governance body
Total number and nature of critical concerns that were
102-34 communicated to the highest governance body and Pg. 19
mechanism(s) used to address and resolve them
Stakeholder Engagement
102-40 List of stakeholder groups Pg. 16
102-41 Collective bargaining agreements Pg. 31
102-42 Identifying and selecting stakeholders Pg. 16
102-43 Approach to stakeholder engagement Pg. 16
102-44 Key topics and concerns raised Pg. 16
Reporting Practice
102-45 Entities included in the consolidated financial statements Pg. 5
102-46 Defining report content and topic Boundaries Pg. 5
70
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GENERAL DISCLOSURES
102-47 List of material topics Pg. 5
102-48 Restatements of information Pg. 64
Significant changes from previous reporting periods in the list

102-49 Pg. 5
of material topics and topic Boundaries
102-50 Reporting period Pg. 5
102-51 Date of most recent report Pg. 5
102-52 Reporting cycle Pg. 5
102-53 Contact point for questions regarding the report Pg. 75
102-54 Claims of reporting in accordance with the GRI Standards Pg. 5
102-55 GRI Content Index Pg. 69
102-56 External assurance Pg. 5
Management Approach
Pg. 5, 21, 26, 31, 35, 46, 52, 54, 56, 58,
103-1 Explanation of the material topic and its Boundary
59 and 61
Pg. 5, 21, 26, 31, 35, 46, 52, 54, 56, 58,
103-2 The management approach and its components
59 and 61
Pg. 5, 21, 26, 31, 35, 52, 54, 56, 58, 59
103-3 Evaluation of the management approach
and 61
71
TOPIC-SPECIFIC STANDARDS REFERENCE (PG.)
201-1 Direct economic value generated and distributed Pg. 26 and 64
Anti-corruption
Communication and training about anti-corruption policies and
205-2 Pg. 21
procedures
Environmental Disclosures
Materials
301-1 Materials used by weight or volume Pg. 52
301-2 Recycled input materials used Pg. 52
Energy
302-1 Energy consumption within the organization Pg. 54
302-3 Energy intensity Pg. 54
302-4 Reduction of energy consumption Pg. 54
Emissions
305-1 Direct (Scope 1) GHG emissions Pg. 56
305-2 Energy indirect (Scope 2) GHG emissions Pg. 56
305-4 GHG emissions intensity Pg. 56
305-5 Reduction of GHG emissions Pg. 56
Effluents and Waste
306-1 Water discharge by quality and destination Pg. 58
306-2 Waste by type and disposal method Pg. 59
306-3 Significant spills Pg. 58
72
ATTACHMENTS
TOPIC-SPECIFIC STANDARDS REFERENCE (PG.)
Social Disclosures
Employment
401-1 New employee hires and employee turnover Pg. 31
Benefits provided to full-time employees that are not provided

401-2 Pg. 31
to temporary or part-time employees
Occupational Health and Safety
403-1 Occupational health and safety management system Pg. 61
Hazard identification, risk assessment, and incident

403-2 Pg. 61
investigation
Worker participation, consultation, and communication on
403-4 Pg. 61
occupational health and safety
403-5 Worker training on occupational health and safety Pg. 61
403-6 Promotion of worker health Pg. 61
Workers covered by an occupational health and safety

403-8 Pg. 61
management system
403-9 Work-related injuries Pg. 61
Training and Education

Average hours of training per year per employee, by gender
404-1 Pg. 35
and employee category
Percentage of employees receiving regular performance
404-3 and career development reviews, by gender and employee Pg. 35
category
Diversity and Equal Opportunity

Diversity of governance bodies and employees with
405-1 percentage of individuals by gender, age group, minority or Pg. 31
vulnerable groups and other indicators of diversity
Customer Health and Safety

Assessment of customer health and safety impacts of product
416-1 Pg. 46
and service categories
73
Safe Harbor Statement
Fitesa is interested in hearing from you. If you have any feedback or suggestions
related to our reporting data or methodology we encourage you to contact us
via email at fitesamarketing@fitesa.com.
This report includes forward-looking statements. You can identify our

forwardlooking statements by words such as “anticipate”, “believe”, “estimate”,
“expect”, “forecast”, “intend”, “may”, “plans”, “predict”, “project”, “schedule”,
“seeks”, “should”, “target” or other words that convey the uncertainty of future
events or outcomes. Although we believe that the expectations reflected in
those forward-looking statements are reasonable, they have been based on
certain beliefs and assumptions as to future events, and those expectations may
prove to be incorrect.
These statements are not guarantees of future performance and involve certain
risks, uncertainties and assumptions that are difficult to predict. Therefore,
actual outcomes and results may differ materially from what is expressed or
forecast in such forward-looking statements.
Forward-looking statements speak only as to the date of this report. Important

factors that could cause actual results to differ materially from those discussed in
such forward-looking statements include, among other things, general economic
factors; cost and availability of raw materials and labor and other resources;
changes to selling prices to customers which are based, by contract, on an
underlying raw material index; potential inability to maintain sufficient liquidity
to finance our operations and make necessary capital expenditures; ability to
meet existing debt covenants or obtain necessary waivers; ability to achieve
successful or timely startup of new or modified production lines; reliance on
major customers and suppliers; domestic and foreign competition; information
and technological advances; risks related to operations in foreign jurisdictions; and
changes in environmental laws and regulations.
Other factors that could cause actual results to differ materially from those
described in the forward-looking statements in this report include other
economic, business, competitive and/or regulatory factors affecting Fitesa S.A.’s
business generally. Fitesa S.A. is under no obligation (and expressly disclaims any
such obligation) to update or alter its forward-looking statements, whether as a
result of new information, future events or otherwise.
74
ATTACHMENTS
Credits
GRI 102-53 / 102-13
HEADQUARTERS
Fitesa Gravataí
Rua Paul Zivi, 80 - Distrito Industrial
Gravataí, RS, Brazil 94045-430
Telephone: +55 (51) 3489 7000
EXECUTIVE OFFICE
Fitesa Simpsonville
840 South East Main Street
Simpsonville, SC, USA 29681
Telephone: +1 864 967 5600
COORDINATION
Mariana Mynarski | Global Marketing Manager
Anders Fogelberg | Global Director of QA, HS&E, MS and Process Improvement
Rosa Specht | Global HS&E Coordinator
Kimberly Broadway| Sr Risk & Compliance Administrator, Marketing Support
EDITORIAL PROJECT, CONTENT WRITING, GRI CONSULTING AND TRANSLATION

RICCA Sustentabilidade
GRAPHIC DESIGN, ILLUSTRATIONS

AND LAYOUT
RICCA Sustentabilidade
PHOTOS
Fitesa´s Image Bank
CONTACT
fitesamarketing@fitesa.com
Fitesa is proud member of European Disposables and Nonwovens Association (EDANA), Brazilian Association
of Nonwoven and Technical Textiles (ABINT) and Association of the Nonwovens Fabrics Industry (INDA).
75

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SUSTAINABILITY

About the report

Letter from the CEO

News & Highlights

About the report

FITESA’S MATERIAL TOPICS & SDG LINK

ECONOMIC TRAINING AND

Letter from the CEO

T his Sustainability Report was created to present to

Safety remains a priority at Fitesa. In 2019 we SILVERIO BARANZANO

News & Highlights

Fitesa Joins UN Global Compact Relaunch of

Fitesa Sees Significant 2019 TRAINING HOURS

FITESA GLOBAL JOB CREATION 2019

Fitesa Introduces New Wave of

Engagement with Our Stakeholders

Ethics and Compliance

Company Drives and Operational Strategy

W e are a Brazilian, multinational company with 46 years of history.

Fitesa develops nonwoven solutions for the hygiene • Trust

OUR OUR MANAGEMENT

Washougal, Green Bay,

San Jose Iturbide,

HEADQUARTERS MANUFACTURING Fitesa

SALES OFFICE INNOVATION

Engagement with Our Stakeholders

Workplace Climate Surveys were Assessment on our performance

We depend on the collaboration Fitesa firmly believes the growth

F itesa is recognized as a leader of innovation in the

A s a highly internationalized company, our

Our governance structure was designed for accountability:

Fitesa Executive Management and the Fitesa Board are ultimately

Consistent with Principal 15 of The Rio Declaration on Environment

DIVERSITY OF FITESA’S CORPORATE GOVERNANCE

100% MALE 0% FEMALE

FITESA EXECUTIVE TEAM

80% MALE 20% FEMALE

<30 YEARS 30 TO 50 YEARS >50 YEARS Italian American (US)

Ethics and Compliance

At Fitesa, the fundamental document that guides our actions is the

Our Code of Conduct further defines our commitment to social

The Human Resources (HR) department updates the Code of Conduct

With the support of two confidential reporting agencies, we established

I MP Peace, justice and strong

Our Code of Conduct also addresses compliance expectations related to

HEALTH AND SUSTAINABILITY POLICY

Fitesa champions the responsible

QUALITY POLICY EFFICIENCY POLICY

Fitesa understands the foundation Fitesa will ensure long term

Company Drives and

T he Fitesa Management System (FMS) is the

COMPANY DRIVE RELATED STAKEHOLDER

OUR OPERATIONAL AND STRATEGIC PYRAMID

PREVENTIVE / PREDICTIVE SYSTEM

T he economic success of our business is essential to

Net sales for 2019 exceeded US$ 980 million,

Employment & Diversity

F itesa has steadily been expanding operations globally since 2009.

Our growth strategy is based on a straightforward guideline: being close to