The road to a sustainable future

The Road to a Sustainable Future 2022

THE ROAD TO A SUSTAINABLE FUTURE

A SUSTAINABLE BUSINESS

Introduction A sustainable business Our vision of sustainability focuses on a number of areas that are relevant to the company: the people with whom we are connected, the environment in which we live and work and the products we offer.

By launching initiatives within these areas, we are moving step by step towards a more sustainable future.

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LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE 2

LAROY GROUP TODAY

The Road we have Travelled 1962 - 1972

Laroy group & EBI

FOUNDATIONS

The foundations of Laroy group were laid by Carlos Laroy in 1962.

The story began with a grocery business and an operation distributing grain and seeds in East and West Flanders. In 1971, the business moved to larger premises in Vinderhoute.

1989 EXPANSION

The growth of Laroy Group was given an extra boost when it acquired exclusive distribution rights for premium dog- and cat-food brands Eukanuba and Iams. The explosive growth in the years following this acquisition led to the relocation of the business to its current premises in Wondelgem in 1993.

2009 TAKEOVER

The takeover of competitor Deckx took Laroy Group to the next level, allowing for further expansion of product ranges and a logistical capacity of up to 35,000m2. This year also saw brand Duvo+ emerge as a consumer brand for the group.

2015 EBI

In 2015, Laroy Duvo (as it was then known) was re-named Laroy Group – the name which the business still holds today. During this year, we continued to work enthusiastically on international expansion, with the house of brands being further boosted by the takeover of DutchGerman group Europet Bernina International (EBI).

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Laroy Group today

1986

2 production facilities Witte Molen

Expert in the production of mixed food

FIRST TAKEOVERS

The first steps towards producing own-brand pet food were taken in 1986, when the business took over Dutch egg food specialist CéDé.

2003 CAPACITY EXPANSION

The growth continued and soon led to further expansion – in 2003, Laroy Group purchased the buildings located adjacent to the current warehouses. The company now had a total logistical capacity of 22,000m².

2013 WITTE MOLEN

In 2003, we added a strong brand and production business to the group: Dutch mixed feed specialist Witte Molen. This proved to be the perfect springboard to becoming a big international name in the industry.

2016 FLAMINGO PET PRODUCTS

At the end of 2016, as part of the plan for expansion and positive growth, Laroy Group and Erwin Van Tendeloo reached an agreement to allow Flamingo Pet Products NV to continue as a stand-alone business within Laroy Group.

for birds and small animals.

Meet your POWERHOUSE in pet nutrition and accessories • Unique designs & product experience With respect for what animals need • Materials & pet know-how • 22 product developers • +/- 1K new products per year • Trend watchers with an eye for detail • Efficient production techniques • Focus on quality & a long life cycle • Innovative products created with passion for pets • A computer controlled production process for scratching posts > maximum use of the materials

• Made in the Netherlands • Sold in +60 countries • 1.2 ha production site • +1800 available ingredients • +800 formulas • 5 strong brand concepts • 20+ types of packaging • + 100 silos storage capacity • 9 tons per hour production

CéDé Specialist in producing premium egg food for birds

• Own bakery with unique baking process • Homemade egg cake • 4,000,000 chicken eggs per year • Made in Belgium • Sold in +50 countries

LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE

2022, A YEAR OF CHANGE

2022, a year of change Thanks to the trust of our customers, we have been growing strongly in recent years. To manage this growth comes with many challenges. These challenges are addressed with innovations. We invest in new warehouses, the production capacities of Witte Molen and extra attention for customer service.

The newest warehouses Witte Molen Production

Customer Service

On the Wondelgem site, old warehou-

To deal with a larger customer base

ses are being demolished. These will be replaced by brand new warehouses, an investment of 5 million euros, which will be built according to the most modern insights. The new warehouses will be operational by the end of 2022.

Facility

Witte Molen is investing 1.5 million euros in modernized production facilities.

After all, this compound feed manufacturer is making a solid contribution to

while continuing to provide fast, accurate and personal service, we are investing in an"omnichannel customer service platform".

growth. Witte Molen PUUR continued its international expansion and the Country range was also recently redesigned into a modern-nostalgic line that should touch shoppers' hearts.

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Complete food & snacks

A return to simpler times

LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE

INTRODUCTION

Mission

Vision

"Laroy Group wants to

Our love for animals is our passion. Laroy Group wants to We want to become one of the world’s leading producers and

and their owners so they live lon-

they live longer, healthier and happier lives. To this end, we to be a family business on a human scale; a “home” for our

strengthen the bond between pets

strengthen the bond between pets and their owners so that suppliers of high-quality pet products. We want Laroy Group

ger, healthier and happier lives."

research the needs of professionals, animals, pet owners and employees, customers and suppliers and a place where we develop innovative and stylish products tailored to them and all respect each other. invest to the maximum in new initiatives.

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LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE

BUSINESS VALUES

Business Values

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Open communication

Commitment

Respect

Team Spirit

We share best practises and new

Our people – as well as our tra-

We are open to other people

We believe that team effort

developments. We work trans-

ding partners – are committed

and their opinions in terms

is always more productive

parently towards common goals.

and dedicated to providing the

of how we think and what we

than individual effort and we

Open communication – even when

customer with excellent products

do. We strive for honesty and

base all our actions upon this

things are going wrong – ensures

and the best possible product

mutual respect in everything

conviction. This way we can

that people maintain trust in Laroy

experience. We strive to do the

we do.

help each other and share our

Group.

right thing in the right way.

knowledge.

LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE

THE HOMES

Our homes

Home for pets

House of services

House of Brands

The Home for People

A home for pets

A house of services

A house of brands

A home for people

Laroy Group wants to strengthen

There is more to the story than just

At Laroy Group, you will find exclu-

Our business is based on sturdy foun-

the bond between people and their

products and brands. We value the

sive own-brands, strong partner

dations; we believe in the importance of

beloved pets by contributing to their

happiness of our clients more than

brands and international top brands

rock-solid long-term collaborations with

happiness together. This can be

anything else. Investing in our clients

side-by-side under one roof, offe-

colleagues, partners, and others. If we

achieved by the delivery of valued

is good for business in the long term.

ring users and customers a unique

ensure there is good co-operation, open-

products and excellent interaction

That is why good customer service is

selection.

ness, and mutual respect between all

with end-users.

so important at Laroy Group. Our aim

Why? This ensures that our products have added value and that there is plenty of word-of-mouth advertising to attract more people to our brands.

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is to excel in providing outstanding logistical, administrative, and commercial services to all our partners.

Why? This ensures maximum opportunity for everyone invol-

these people, we can all work together to achieve our goals.

ved, from the producers to the

Why? This means that everyone feels

end-users.

involved and wants to do their abso-

Why? We believe that it is very

lute best. It also leads to a culture of

important to have a good reciprocal long-term relationship with our happy customers.

security, trust and better collaboration which in turn brings about new opportunities which benefit everyone.

LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE

THE PEOPLE WITH WHOM WE ARE CONNECTED

The people with whom we are connected "The health and well-being of all our employees are important factors for sustainable growth."

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LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE

THE PEOPLE WITH WHOM WE ARE CONNECTED

Employee well-being

20

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Kalender Vrijdag 14 januari: Donderdag 17 februari:

NJ receptie

The health and well-being of all our employees are important factors for sustainable growth. We are convinced that if employees feel good at work, it will benefit the quality of their work and they will also have a beneficial impact on their environment. In recent years, Laroy Group has invested heavily in the professionalisation of its HR policy, with the support of the ESF.

+

2014-2015: People-oriented entrepreneurship - focus on

Merci chocolade

assessment systems, job profiles, career mapping, employee

Woensdag 16 maar t: Open bar 15-17u

life cycle.

Dinsdag 19 april: Paas

2017: Laroy Group invests in training: training courses for

Maandag 23 mei: Open bar 15-17u

both warehouse staff and office staff to further professiona-

Feel good @ Laroy Group

Vrijdag 24 juni: Zomerevent

Our employees deserve a14 little extra attention on a regular Donderdag juli: Open bar 15-17u

basis. To thank them, we have a ‘feel-good’ team that proviWoensdag 24 augustus:

kar

des a monthly treat. Every year, a real ‘feel-good’ calendar Dinsdag 20 september: Open bar 15-17u

is created in which all employees are rewarded with treats, 17 oktober: an activity,Maandag a useful accessory, and so flappen on. Starting this year, Vrijdag 25 november: Openafter barworking 15-17u hours, an ‘open bar’ will be organised regularly

their own friendly bar where colleagueschocolade can get together.

Donderdag 6 december: This encourages cooperation. Every year, there is a sustaiteam

nable end-of-year gift such as a sturdy lunch box, drinking [info: Queenie & Tony]

lise our processes.

2019-2020: The sustainability policy: stress and burnout policy, career paths and job rotation. Growth conversations, coaching leadership and wage policy. The HR team is expanded to make full use of sustainable investments, implementing and further expanding them.

2022... Further efforts are being made to foster talent within the company. Pigeon-holing is being replaced by the development of personal careers within the company.

cup, breakfast cup, etc.

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LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE

THE PEOPLE WITH WHOM WE ARE CONNECTED

Apart from the legal measures imposed

during the Covid pandemic, working from home will remain possible

Working from home and flexible working hours Working from home, where possible, is now also becoming a permanent feature in the company. Quite apart from the legal measures imposed during the Covid pandemic, working from home will remain possible. This contributes to the well-being of our employees and reduces car use. Flexible working hours and open communication ensure a better work-life balance, and enable colleagues who travel long distances to avoid traffic jams.

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LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE

THE PEOPLE WITH WHOM WE ARE CONNECTED

Team coaches We extend a warm welcome to our new employees: everyone feels immediately at home in the family business. Team coaches ensure better communication, with several easily accessible points of contact; a relationship of trust is quickly established; and solutions are more quickly sought. This is also a positive sign because of opportunities for advancement. In addition, vacancies are first offered internally, and only later advertised externally.

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LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE

A SUSTAINABLE BUSINESS

SUSTAINABLE ENERGY SOURCES AND MATERIALS

The environment where we live and work "For 10 years now, we have been producing local green energy for ourselves and the environment."

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LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE 12

THE ENVIRONMENT WHERE WE LIVE AND WORK

The environment where we live and work

A green car fleet We have started converting our fleet to electric cars. Our colleague Tim has already picked up the keys to the first electric car. Every company car purchased from now on will be

More colleagues using bikes We give all our staff the opportunity to lease an electric bicycle. Good for fitness and the environment! Moreover, leasing an electric bike is tax deductible for employees, which provides extra encouragement.

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an electric or hybrid model. So our fleet will gradually move towards a zero-emissions target. This year, we’re also investing in 10 electric charging stations at our Wondelgem site so that our employees can easily charge their cars while at work.

LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE

SUSTAINABLE ENERGY SOURCES AND MATERIALS

Solar panels since 2012 The roofs on our head office in Wondelgem have been covered by 2400 solar panels since 2012. For 10 years now, we have been producing local green energy for ourselves and the environment, without compromising on space.

These solar panels represent an installed capacity of more than 600 KW.

Latest equipment in the warehouse Last year, we invested in the latest electric transport equipment. This equipment has rechargeable lithium batteries and therefore uses 5 to 6 times less energy. It’s also comfortable and ergonomic for the employees.

Working efficiently with the Lean method The Lean philosophy has cooperation and respect for employees at its heart .Thanks to the Lean method, an organisation is clear and well-organised. Typically, everyone in a Lean organisation works towards improving products and services. Employees also know who is responsible for what, processes run more efficiently and there is more cooperation.

CO2 reductions in the transport of our goods We have chosen to collaborate with future-oriented transport for the delivery of our goods. We work together with sustainable partners who are up to date with the latest technologies and committed to reducing CO2 emissions.

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LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE

SUSTAINABLE ENERGY SOURCES AND MATERIALS

Waste management and recycling

Our warehouse in Gemert is equipped with a machine that shreds old cardboard boxes for reuse as padding for orders. We attach great importance to packing all orders properly so that they reach the customer in the right way, and in the coming period we will be working on even more sustainable solutions for packing all orders with no loss of quality.

Waste management and recycling Step by step, we are moving towards a sustainable business, starting with careful and appropriate waste sorting. On the shop floor, in the warehouses and in the production facilities, we sort all our waste properly, so that it gets a second life directly at the recycling point. Old cardboard boxes are directly reused for packaging new goods.

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“...old cardboard boxes are

shredded and reused as padding for orders”

LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE

A SUSTAINABLE BUSINESS

THE PRODUCTS WE OFFER

The products we offer Sustainability in the product range Laroy Group does not focus on one brand or product group, but is a "house of brands". One house with many rooms, where retailers and their customers can turn for a choice of strong own brands, unique partner brands and international A-brands. The extensive own-brand portfolio calls for a differentiated approach.

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LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE 16

THE PRODUCTS WE OFFER

Every product takes a journey before it arrives on the shelves. The choice of raw materials, product quality, production methods, packaging, logistics and what happens to the product at the end of its life cycle all contribute to its environmental impact. Step by step, we aim to present a sustainable and diverse range of products.

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LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE

DUVOPLUS GOES GREEN

Tino = 10 x 1L bottles

duvoplus goes green The duvoplus range is steadily being expanded with more sustainable products that carry the eco-label. The eco-label focuses on the use of more sustainable raw materials, production processes, and biodegradability.

You can recognise duvoplus ecological products by the green ECO label on the packaging.

Romeo = 36 x 1L bottles

Recycled raw materials It's no news that plastic has become a global problem. We choose to use existing plastics in a more sensible way and to turn them into new opportunities within the ecological range.

Plastics that would otherwise end up in the waste stream after consumption are collected and carefully processed into regenerated plastic for new uses, such as Sleeper Tino eco dog baskets, Romeo eco cat toilets, Gipsy eco transport

Gipsy = 50 x 1L bottles

baskets in different sizes and colours, and so on.

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LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE

DUVOPLUS GOES GREEN

Plant-based Renewable

raw materials

Biodegradable products

and biodegradable products Anyone who has a cat gets through a vast amount of cat litter

As well as ecological dog toys, the eco-label also offers some-

every year. duvoplus ECO corn clumping cat litter is an easy to

The duvoplus ecological range also includes dog toys. They

thing for dog walkers. For example, we now offer fresh green

use, lightweight, clumping cat litter, made using corn and 100%

are made of 40% natural rubber and 48% fibres from bam-

ecological poop bags. These are biodegradable, so whatever

plant-based and renewable. There are no chemical additives,

boo or rice, natural renewable raw materials that contribute

the dog leaves outside can be removed hygienically and in an

so it is biodegradable. Thanks to its natural additives, the litter

to the greening that duvoplus is committed to. The sustai-

environmentally responsible way.

readily forms into clumps and effectively neutralises odours.

nable rubber fetch and pull toys have a natural look and feel

This cat litter can absorb 210% of its own weight in moisture,

that ensures hours of guilt-free fun.

so it is very clean in use.

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LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE

EBI, FOCUSING ON QUALITY AND A LONG LIFE CYCLE

EBI, focusing on quality and a long life cycle EBI knows how to stand out with innovative, contemporary products and still does so today. With its own design department, EBI is at the cutting edge in the dog, cat and aquarium sector.

EBI products are innovative and high quality, but above all developed with a great passion for our pets.

A computer-controlled production process.

We have introduced innovative production processes for our

Scratching posts get a lot of wear and tear over the course high-quality scratching posts, which were previously manuof their life. EBI's 'Dutch Design' scratching posts are very factured manually from MDF and fabric. The wood and fabric sturdy, the fabrics are of the best quality and every part cutting patterns are now computer-controlled, so that the is firmly secured. The platforms are covered with sturdy pieces fit together like a jigsaw puzzle and there are far fewer interior fabrics and extra thick and sturdy sisal rope is used. remnants during the cutting process.

These scratching posts therefore last twice as long.

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LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE

EBI, FOCUSING ON QUALITY AND A LONG LIFE CYCLE

"The residual materials are fabric remnants from previously manufactured dog cushions."

Using residual materials Besides the designer scratching posts, EBI also offers a number of dog toys in its range. The D&D Home line includes sturdy products designed using residual materials. The residual materials are fabric remnants from previously manufactured dog cushions. ‘Bunny’, ‘Tie’ and ‘Iceflower’ are pull toys made in rubber combined with a tough interior fabric. Using these sturdy materials makes the product last longer.

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LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE

RESPONSIBLE PRODUCT PACKAGING

Responsible product packaging Packaging waste is an important concern for us. For several years now, we have been taking a close look at our products and processes to determine where we can reduce packaging or switch to more ecological materials, without compromising safety and quality.

Aqua Della ornaments in a paper package Aquarium ornaments from the Aqua Della brand are very finely finished pro-

duvoplus 2.0

ducts with many details, and must be

We have been working hard since 2020 to give the entire

sary care. To transport them safely,

duvoplus brand new, fresh and attractive packaging. In rel-

they used to be packed in a Styrofoam

aunching the brand, we are looking at all our packaging, item

(polystyrene) outer packaging. Now we

by item, to reduce or avoid single-use plastics and other

pack them in environmentally friendly

packaging materials as much as possible. Less plastic is

cross-fill padding made of recycled and

obviously a good thing, but less useless plastic is even bet-

unbleached paper.

transported to the shop with the neces-

ter. Our Beauty Salon product range is a good example. The packaging was redesigned with a view to reducing the use of plastic. As much plastic as possible has been removed and cardboard packaging is now used.

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LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE

RESPONSIBLE PRODUCT PACKAGING

Our marketing guidelines, product

lines and packaging are designed to

encourage responsible pet ownership

and care by people looking after pets of all types.

Animal welfare in marketing

CO2-neutral catalogue Today, the physical product catalogue

Our marketing guidelines, product lines and packaging are

remains a much sought-after user-

designed to encourage responsible pet ownership and care

friendly tool that helps our customers to

by people looking after pets of all types. Products, photos

find their way around the many products

and icons on packaging indicating, for example, how and how

we offer. This catalogue is published

often a product may be used with a pet are an important part

annually and is used all year round. In

of our marketing. Providing inspiration and explaining why

order to offset the CO2 emissions from

a product has a positive impact on the pet, or on the rela-

the production of this catalogue, we buy

tionship between pets and their people, such as combating

emission rights so that it is produced in

boredom, are also clearly shown on the packaging.

a CO2-neutral way.

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LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE

THE WAY TO THE FUTURE

The way to the future Offering sustainable products is a win-win scenario. In 2022, a large proportion of consumers are aware of their environmental footprint. By bringing in eco products, retailers offer a solution to these consumers. This, of course, also reflects favourably on the retailer's environmental image, which can only benefit both sales and the planet.

Of course, letting go of old habits is not always easy. These innovative measures call for some flexibility to review, abandon and adjust existing procedures. Nor can we ignore the substantial investment that these innovations entail.

But we know that in the long run the advantages will outweigh the disadvantages, for us, for our animals, and for the planet.

For this reason, we will continue to work on a sustainable policy throughout the company in the coming years.

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LAROY GROUP | THE WAY TO A SUSTAINABLE FUTURE