Natura engaged with the B Corp movement (System B) because of its commitment to boost a global community of leaders engaged in new forms of business, which balance profit and purpose.

In 2014, Natura became the first publicly- traded company to achieve B Corporation certification, renewed the certification in 2017 and in 2020 we reached the third consecutive certification with the highest score in our historical series (153 points) and became one of the few companies in the world to score in seven impact business models (IBMs). Since the first certification, Natura's overall score has grown 39%, with an increase in scores in all sections evaluated.

In 2020, the score in the seven IBMs refers to themes that seek to reflect the DNA of companies: Employee Development, Reduction and Remediation, Resource Conservation, Soil and Wildlife Conservation, Toxin Reduction and Processes environmentally friendly and innovative manufacturing equipment.

Among the highlights was Natura's positive impact strategy with consultants, especially related to income generation and the rapid mobilization for support and care in the pandemic with the creation of the Emergency Fund and actions against domestic violence.

In a broad and detailed assessment, the certification process is one of the most complete there is, in which companies must prove that they consider the impact of their decisions on issues such as governance, employees, the environment, customers, communities and the supply chain. B Corporations are also required to commit formally in their Bylaws to generating a positive impact on society and not just on shareholders, which Natura did in 2014 and which applies to the Natura &Co group.

More than a certification, the B Corp impact analysis has become a tool for evaluating the performance of our strategy and is part of our integrated management efforts. The diagnosis is an innovation driver of meaning and positive impact in our value chain and is among the inputs we consider to define our priorities and action plans.

The Body Shop's certification as a B Corporation in 2019 was a step towards reinforcing the principles that have guided it since its foundation. “I strongly believe that business can be fun, conducted with love and a powerful force for good”, one of the beliefs of the brand founder, Dame Anita Roddick. Among the highlights of the evaluation is the promotion of customer engagement with activist campaigns, such as “Forever Against Animal Testing”, where the brand plays an important role in influencing legislation and talking to interested parties in this matter, to definitively ban animal testing in the cosmetic industry worldwide.

Other highlights are the recycling project at the stores, the compensation of energy use with green energy, and the volunteer work in which more than 8,000 employees participate. The certification also underscores its commitment to empowering people and communities around the world, through its Community Fair Trade program, and its fair price policy, under which ingredients have been purchased from community producers for over 30 years.

Amid the many challenges faced throughout 2020, we reaffirmed our commitment to guiding our businesses to produce a positive impact. One of these important steps was Aesop’s certification as a B Corporation. The brand has always been recognized for having guided its activities with strict ethical principles, the intention of imprinting maximum lightness on operations, and with an unwavering commitment to quality, excellence and sustainability of its formulas and concepts. Among the highlights of Aesop's certification include the carbon neutral certification granted by Climate Action to its operation in Australia, as well as the continuous effort to favor the use of renewable energies, the improvement of the stock planning tool in order to optimize freight, and the increased use of post-consumer recycled PET in its packaging, among other initiatives.

We have in mind the ability to use our joint power to make a positive impact on people's lives. One of the important advances in this regard was becoming the largest B Corporation in the world, after having completed the first Aesop certification in 2020 and the third Natura certification, with The Body Shop already becoming a B Corporation in 2019, and Avon seeking to achieve certification by 2025.

This collective effort led Natura &Co to mentor the B Movement Builders, which started in 2020 as a coalition of publicly traded multinationals already certified and with more than $1 billion in revenue, with a goal of adopting governance standards that will allow them to conduct businesses practices and decision-making to generate a positive impact for all their stakeholders.

And, thus, we united in the quest to promote a better way of living and doing business, guided by the purpose of generating a positive impact. This combination of forces will significantly increase our potential. Our Commitment to Life – 2030 Sustainability Vision, the first anniversary of which we marked in June 2021 with an update of progress and opportunities (check this progress here), is the starting point. We know that no one has all the answers and the steps we have taken so far can be collectively improved, to help generat the systemic change needed to tackle complex global problems such as inequality and the climate crisis.