Sustainability: Focus on Local Products FOCUS Sustainability is one of Delhaize Group's three strategic pillars. We focus on sustainability because it is the right thing to do for our customers, our associates and our communities. We also think it makes good business sense. Our efforts in this area are centered around products, people and the planet. While each of the three elements are important, in 2011 we had a significant number of initiatives related to product. - AWARD WINNING CR REPORT Exclusive Greek products 22 DELHAIZE GROUP ANNUAL REPORT '11 I'liHjiubb Anpivl H rr Delhaize Group won for the second time the prize for its "Corporate Responsibility Progress Report 2010," awarded by the Belgian Institute of Company Auditors, Business and Society, a network of companies promoting corporate responsibility and Kauri, a multi- stakeholder network. Consumers are increasingly thinking about sustainability and as a result, are notably demanding to be able to "buy local". Across our portfolio of brands we made a real effort this past year to provide our customers with high quality, local product offerings. Alfa Beta was among the first food retailers to recognize the importance of local products, making its "Close to Greek Nature" program a powerful guide for customers who value local products. Similarly, Hannaford in the U.S. estab lished a strong "Close To Home" shelf and pro motional program to highlight its robust offer ing of locally-sourced fruits and vegetables. In 2011, Hannaford significantly expanded its "Close to Home" assortment, including more local fruits, vegetables, meat and seafood, and more locally-made products. Hannaford also developed a more consistent and streamlined on boarding process for local vendors. Still in the U.S., Food Lion reached out to its ven dor community to better understand the com modities that are grown in the states in which it operates. As such they were able to identify which local products could be provided and were able to create strong ties with their sup pliers to jointly support providing local quality fruit and vegetables to their stores. At Sweetbay in the South, a new campaign was centered on Georgia peaches "Fresh from our neighbors just to the North". Sales were up 40% over the California peaches usually sold during this cam paign. As a result of the difficult economic environ ment in Greece, Greek consumers increased their already strong appetite for local products as they sought to support local producers and suppliers. Alfa Beta responded by creating

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