Sustainability

ESR 2021 Distinction: On February 26, 2021, the Mexican Philanthropy Center (Cemefi) and AliaRSE awarded RLH Properties the ESR 2021 Distinction, which recognizes and certifies before its stakeholders, companies that voluntarily and publicly assume the commitment to implement and continuously improve socially responsible management systems as part of its culture and business strategy.

The distinction is awarded to Mexican companies that align their business management in four strategic areas:

a) Business Ethics: evaluating the ethical commitment, Code of Conduct, transparency and legality, the prevention of illicit business, among others.

b) Quality of life in the company: evaluating working conditions, family and work balance, training and development, diversity and equal opportunities, occupational health, and safety.

c) Relationship with the community: evaluating the commitment to the community and its development, social investment, corporate volunteering, responsible marketing, the promotion of responsible consumption, among other topics.

d) Care and preservation of the environment: evaluating environmental policies, sustainable investment, training and environmental programs, information and environmental communication, environmental impact management, among others.

Furniture sale to Mayakoba employees: In May 2021, a sale of unsued company furniture was held at affordable/symbolic prices to Mayakoba employees. 30,000 pesos were raised to cover the annual tuition of a student at the Centro Educativo K’iin Beh (a non-profit bilingual school in Playa del Carmen that provides education to more than 300 preschool, elementary and high school students from the region and children of Rosewood Mayakoba employees). K’iin Beh accepts students from all economic levels thanks to its scholarship-based model.

Donation of bed bases to indigenous communities in Quintana Roo: In July 2021, the Fairmont Mayakoba hotel donated 170 double and single bed bases to indigenous communities of Bacalar, Jose María Morelos, and Felipe Carrillo Puerto in Quintana Roo.

Donations to Food Banks of Mexico: At the end of 2020, employees of RLH Properties were invited to participate in Cemefi’s FONDODespensaMX initiative, whose objective was to support families who lost their income due to the health emergency caused by COVID-19. As a result, the employees donated a total of 105,000 pesos and RLH Properties promised to match this amount at 200%, representing a donation of 210,000 pesos by the company. However, because FONDODespensaMX had reached its collection goal, together with Cemefi, it was decided to allocate this last amount to the Food Bank of Mexico (BAMX) during 2021, thus ensuring the delivery of food to Mexican families who continue battling the economic effects of the pandemic.

The amount was equally distributed to BAMX Nayarit (August 2021) and BAMX Quintana Roo (November 2021), with which it was possible to acquire 940 food packages and benefit 470 families for two fortnights.

Additionally, in commemoration of World Food Day (October 16, 2021), employees of RLH Properties were invited to donate 1kg of rice, beans, lentils, or pasta, collecting and donating a total of 1,096 kg of these to BAMX. RLH Properties has committed to donating the monetary equivalent in 2022.

Participation in the “Al Rescate” program of Banco de Alimentos de México, Andaz Mayakoba: Since 2019, Andaz Mayakoba has participated in this program, which aims to rescue food from different sectors such as the hotel industry and allocate it to civil associations that serve vulnerable groups of society. Since joining the program, Andaz Mayakoba has donated a total of 858kg of food, 148kg just in 2021.

Great Place to Work Certification: With the aim of transforming RLH Properties into a better company for the entire team, in mid-2019 the RLH Contigo plan was structured and launched by the General Management, which consisted of 20 initiatives in the areas of Identity and Integration, Communication and Change, Compensation and Benefits, and Development and Human Capital. A little over two years after its launch, the 20 initiatives have been successfully completed and in September 2021 the company obtained the certification as a Great Place to Work 2021-2022, which recognizes companies that prioritize the work experience of its employees, that have a healthy organizational culture and that, therefore, are considered excellent all-round employers.

Donation of hotel stays from RLH Properties: In September 2021 Funds Society organized a fundraising dinner in Miami, Florida for those affected by the collapse of the buildings known as Champlain Towers, in the Surfside neighborhood. RLH properties donated two 2-night stays at the Rosewood Villa Magna Madrid and Rosewood Mayakoba hotels, which were given to participants who attended the event and contributed to the cause.

Likewise, in October 2021, a donation was made for a 3-night stay at the Rosewood Villa Magna hotel at the charity gala organized by the All Hands and Hearts Foundation in Prague. The amount raised in this event is used for the reconstruction of schools affected by natural

Donation of a boat in El Monteón, Nayarit: In October 2021, our company donated a boat and an engine (worth approximately 160,000 pesos) to the El Monteón Fishing Cooperative, in Nayarit.

Likewise, the Cooperative has become a supplier of fish and shellfish to the One&Only Mandarina hotel since January 2021, contributing to the development of the local economy. The goal is for it to continue to be a supplier to this destination.

Blood donation campaign in Mayakoba: In October 2021, Banyan Tree Mayakoba organized a campaign to donate blood to the San Miguel Blood Bank in Playa del Carmen, inviting Mayakoba employees to join forces. As a result, of 31 participants who attended, 16 fulfilled all the requirements requested for the donation. According to data from the San Miguel Blood Bank, this donation will impact 48 lives.

Donation to the DIF of the municipality of Solidaridad, Quintana Roo: In November 2021, within the framework of the PGA Tour golf tournament, World Wide Technology Championship at Mayakoba, RLH Properties donated ten thousand dollars for the rehabilitation of the headquarters of the DIF of Puerto Aventuras in the municipality of Solidaridad, Quintana Roo.

Donation to the Mia’s Miracles Foundation: In November 2021, within the framework of the PGA TOUR golf tournament, World Wide Technology Championship at Mayakoba, RLH Properties donated eight thousand dollars to the Mia’s Miracles Foundation, which helps low-income families have access to treatment for childhood cancer.

Volunteering for the reconstruction of the Guillermo Prieto Elementary School in Santa María del Tule, Oaxaca: In October 2021, employees of RLH Properties were invited to volunteer in collaboration with the Sancus Foundation and the All Hands and Hearts Foundation Mexico for the reconstruction of the Guillermo Prieto school in Oaxaca, which suffered considerable structural damage because of the 2017 earthquakes.

As a result of this initiative, nine RLH Properties employees made two trips to participate in the reconstruction of the school, where all travel expenses were covered by RLH Properties (approximately 110 thousand pesos). Thanks to this action, the Guillermo Prieto school will once again be able to receive its 75 students, playing a very important role in the development of the region.

Sponsor program for students of Centro Educativo K’inn Beh: In 2018, the RLH Management Committee and other directors were invited to sponsor a child from the Centro Educativo K’inn Beh, a non-profit bilingual school established in Playa del Carmen for local underprivileged children. Under this program the annual tuition for a child is covered, six members of the RLH Management Committee participating in this program continue to be sponsors of their students until this day.

Suma de Todos Program: In July 2020, the Suma de Todos Program was implemented at RLH Properties, which invites guests of the hotels to participate by donating one dollar for each night of stay, an amount matched 100% by RLH Properties and 20% by its CEO. The total amount is allocated to various academic and environmental projects through the Sancus Foundation.

In 2020, Banyan Tree Mayakoba, Fairmont Mayakoba, and Rosewood Mayakoba participated. As of 2021, the El Camaleón Mayakoba Golf Course (April 2021), as well as Andaz Mayakoba (May 2021) and One&Only Mandarina (November 2021) hotels have joined this initiative. In 2021 we managed to collect 2.8 million pesos with our guests, representing a total amount of 6.3 million pesos.

It is important to mention that with the opening of the Rosewood Villa Magna Madrid and BLESS Hotel Madrid in the last quarter of 2021 and the recent recovery of the Four Seasons Mexico City after the health emergency, these hotels will be incorporated into the program in 2022.

Donation to the Mexican Red Cross, headquarters Playa del Carmen, Quintana Roo: In December 2021, the Riviera Maya Hotel Association called on its members to participate in the Mexican Red Cross fundraising campaign, a fundamental organization that attends medical emergencies in our country. The Mayakoba Condominium donated 20,000 pesos, supporting the noble work of this institution.

Benefit concert at Four Seasons Mexico City: In December 2021, a charity concert by renowned pianist Jorge Viladoms was held at the Four Seasons Mexico City hotel, raising nearly 30 thousand dollars that were allocated to the artist’s foundation: Growing with Music. His foundation supports children living in vulnerable areas, giving them the chance to be involved with the arts through music.

Job creation: In addition to the economic benefit generated by our hotel and residential assets, RLH Properties contributes to the economic development of the communities in which it operates by generating quality jobs. Our company generated about 3,850 direct jobs, of which 97% are Mexican, and about 6,000 indirect jobs during 2021.

Investment in development projects: During 2021, RLH Properties invested 35.1 million dollars in development projects, mainly in the renovation of the Rosewood Villa Magna and in the Mandarina complex (infrastructure and development of the One&Only Mandarina and Rosewood Mandarina hotels). The development sector contributes to accelerating the economic growth of communities, generating employment, and a pillar of consumption, investment, and added value.

RLH Properties in the Corporate Integrity Ranking 500 (IC500): In 2019, RLH Properties set itself the goal of raising the level of corporate integrity, corporate governance, internal control, processes and procedures, and corporate structure, for which it launched an ambitious action plan. This effort has been reflected again in the position occupied in the Corporate Integrity Ranking 500 (IC500) * in which our company has gone from 5.9 points out of 100 in 2019 to 78.4 in 2020 and 92.2 in 2021, climbing to position 90 of the 500 most important companies in Mexico in the Corporate Integrity Index. RLH Properties will continue to work and coordinate efforts in this regard to achieve the highest standards in corporate integrity and, therefore, continue to improve its position in this ranking.

*Corporate Integrity 500 (IC500) is a joint initiative of Mexicans Against Corruption and Mexican Impunity and Transparency, which verifies the existence and evaluates the quality of the integrity, compliance, and anti-corruption policy programs of the 500 largest companies with a presence in Mexico.

Diversity and Inclusion: Aligned with the company’s Diversity and Inclusion policy whose objective is to promote a culture of respect and encourage diversity, labor equality, non-discrimination, and labor inclusion, by 2021 our company held 47% women in the corporate team of employees, compared to 45% in 2020. Since 2020, 36% of the members of the company’s Management Committee are women.

Development of RLH Properties Sustainability Strategy: In 2021, work began with an independent expert with the aim of defining and implementing the company’s sustainability strategy following the following steps: (i) diagnosis to identify ESG issues relevant to RLH , (ii) materiality analysis of the company to prioritize the relevant issues considering its stakeholders, (iii) identification of the KPIs that will measure the first 10 relevant issues and that will be transversal to all the assets of RLH Properties, (iv ) development of a high-level action plan to address these issues, (v) establishment of a sustainability committee at RLH, (vi) communication to stakeholders through the generation of the company’s first annual sustainability report and, (vii) development of the company’s sustainability policy.

During 2021, the information and documentation available on ESG matters in the company was reviewed and interviews were conducted with the directors of our hotels to understand the current state of the ESG strategy. As a result, a first diagnosis of ESG issues relevant to RLH Properties was obtained. Pending work will continue during 2022.