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Orchid Ceramics and Corona
1. Devoted to growing partnerships in a marriage of service, ideas, quality, and integrity
2. Who We Are – We are Corona: a well-respected, global company doing business in over 30 countries. Our Service Commitment – Orchid’s service model allows our customers to achieve success Products for Today’s Market & the Future – In a collaborative effort with our customers, we are partnering to compete effectively in a dynamic and evolving market Our Focus – Build market share through a focused effort to target new construction, residential remodel, and commercial market needs by forming valuable partnerships through the independent and private label channels
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4. 1 2 5 1 8 8 5 9 3 8 4 5 2 6 0 6 2 The Antioquia Ceramics Company, dedicated to the production of tableware and glass, is created in Caldas, Antioquia Gabriel Echavarria Misas acquires the company The first tile factory is established Company begins to manufacture sanitary porcelain in Madrid, close to Bogota The first ceramic tile factory is established Electro-porcelain Gamma is created and begins to develop activities using non-metallic minerals In association with American Standard, a plant specialized in the manufacture of bathroom fittings for exportation to the United States, is created +YEARS 125+ YEARS 1881 1935 1948 1952 1956 1960 1962 1963 1980 1989 1994 1998 2001 2002 2004 2006
5. 1 9 6 2 8 0 0 3 9 9 4 8 0 1 2 Factories undergo a modernization process; the most modern factory in Latin America for the production of tiles for floors and walls is established in Sopó The Foundation changes its name to Corona Foundation Corona forms an alliance with Chilean company Sodimac, to create Homecenter retail chain Ceramic Megastores, ceramics stores and Corona showrooms are developed Tableware distributor Lomesa is created in Mexico Tile distributor Orchid Ceramics, is created in the United States Grival, company specialized in the production of metallic and plastic faucets, is created. In addition, a factory specialized in the manufacture of ceramic products is established in association with American company Crossley Machines 2 125+ YEARS 1881 1935 1948 1952 1956 1960 1962 1963 1980 1989 1994 1998 2001 2002 2004 2006
6. 2 0 4 0 6 2 7 8 Corona turns 125! Company creates a new corporate image which integrates all the businesses which make up the Organization Control of Mansfield LLC, American manufacturer and wholesaler of toilets, is acquired Corona opens its porcelain Factory in Sopó Cundinamarca 125+ YEARS 2007 2008 1948 1952 1956 1960 1962 1963 1980 1989 1994 1998 2001 2002 2004 2006
8. 33% / North America 2% / Global Exports United Kingdom France Portugal Spain Russia China Israel Dubai Thailand Vietnam 65% / Latin America 125+ YEARS Global Footprint Percentage of Net Sales by Region
9. Who We Are Strategy, Facts & Corporate Responsibility How we do this Innovation in customer and consumer service, helping simplify the process of enriching homes - making ordinary life extra-ordinary. Profound understanding of our direct customers and end consumers drives our ability to partner with our distribution systems to deliver this promise. Capabilities. We will continue to develop the necessary capabilities to constantly refine and improve our value proposition in those markets we choose to serve. Colombia is the foundation of our business. Innovation is a key driver in fueling our aggressive internationalization in the bath, kitchen and flooring markets in the Americas. Strategic Intent: We are a leading provider of bath, flooring and kitchen solutions in the Americas. Our brands are renowned for enriching consumer’s lives and transforming homes with quality, affordable style solutions for better living. 125+ YEARS
10. Solid Global Player: 125 plus years experience in the ceramics business, with local operations in Colombia, the United States & China. Who We Are Strategy, Facts & Corporate Responsibility 125+ YEARS Facts $USD 1.25 Billion Plus in consolidated group revenue. Privately – held enterprise – family founded and owned. 13,000 employees worldwide. 11 manufacturing facilities worldwide – three in the United States and eight outside the United States. Experienced and export-driven – exports to over 32 countries worldwide. Tiles, Bath, Kitchen, Faucets are core focus.
11. Savvy Retailer: L argest & leading home improvement retailer in Latin America. Who We Are Strategy, Facts & Corporate Responsibility 125+ YEARS How we do this $USD 2.25 Billion Plus in consolidated group retail sales in strategic partnership with the Falabella Group (Chile). 115 rooftops across Latin America. Diverse multi-format Retailer with big box, specialty, & outlet formats. Average big box format is 52,000 square feet. Specialty (Bath, Floor, Kitchen) and outlet formats average 3,500 – 4,000 square feet. A-Z project design, management, installation, & consumer financing.
12. Active Environmental Champion: Corona is an industry leader and advocate of “Clean & Green” manufacturing practices – long before it was “trendy”. What We Do Strategy, Facts & Corporate Responsibility 125+ YEARS How we do this 53% of all water used is recycled or reused water 68 % of the total waste generated is reused in different manufacturing processes across the Company. Corona Ceramic tiles facilities (Sopo-Prestigio) recycle and reuse 100% of all water employed in the manufacturing our our tile – a total reduction in water consumption of 28.181 m3. Initiatives to reduce electric energy consumption account for 1,462.068 Kw. Initiatives to reduce thermic energy account for 1,077.882 Nm3
13. Who We Are Strategy, Facts & Corporate Responsibility Corporate Responsibility: Education Business Development Environmental Work Institutional & Municipal Accountability Building Social Framework Sustainable Housing Philanthropy 125+ YEARS
14. 1995 – 1998 – 2005 Arcillolita RS Angelópolis Who We Are Strategy, Facts & Corporate Responsibility 125+ YEARS Example - Corporate Responsibility: Sustainable Mine–land Recovery Programs
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17. Independent Ceramic Tile and Floorcovering Distributors Strong CC-RV Support (Unidos) Brand – High Relationship Position with Customers Superior Service Strong Product Value To Price Short Water Times (CC-RV) Distributor Advisory Council Duty Free Colombia (CC-RV) Lower Water Freight Costs (CC-RV) Customer Review Process Customer Design Council Ceramic Know-How, Tech Support B2B US Based Sales Team Mktg Programs US Based DC’s Sales & Ops Planning Customer Driven Design Unidos – Acctg / Finance / IT / HR China Office (China) Our Service Commitment Value Proposal Consistent average water times of 30-40 days & back-up stock in two US DC’s means that Orchid customers are able to keep lower inventory on hand than they can with other offshore manufacturers Orchid’s commitment to working one-on-one with our customers ensures that the products and services provided are directly in line with their needs Orchid helps its customers to further reduce costs through duty-free shipments with lower ocean costs than most competitors, as well as through technology solutions such as B2B Who We Are Our Service Commitment Products for Today’s Market & the Future Our Focus
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24. Our Service Commitment Customer Review Process Performance Compared to the Competition: Service Quality 4.3 Responsiveness 4.4 Communicating Information 4.2 Understanding Your Needs 4.2 Design 3.7 0% Percent Responding 100% MEAN SCORE Below Competitors Somewhat Below Competitors Same as Competitors Somewhat Above Competitors Above Competitors
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27. Our Service Commitment Customer Collaboration on New Products, Bogota Traveling to the State-of-the-Art Port of Cartagena Orchid customers cut the ribbon at the grand opening of the new porcelain factory Customer visits to our facilities in Colombia Enjoying the sites of the harbor of Cartagena by sailboat Cartagena - Oldest Walled City in Western Hemisphere
28. Our Products Partner with our customers to reach multiple market segments in order to grow and gain market share Orchid’s Product Strategy – Market Segments New Residential Construction Commercial Residential Remodel Who We Are Our Service Commitment Products for Today’s Market & the Future Our Focus
29. Porcelain & ceramic tiles serviced from the same supplier in the same container, creates an opportunity for our customers to lower their US inventory investments and consolidate vendors from multiple continents into just one supplier Orchid’s Product Strategy – Product Levels Italian-style products with better pricing Porcelains with affordable design Red body ceramic with excellent quality and value Our Products
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31. 14 Red-Body Series 1 White Body Series 4 Porcelain Series Private Label Our Products
32. Our Products Porcelain Formats Field Tiles 19x19” 18x18” 12x18” 12x12” 6x6” Decorative & Trim Examples 3x6”
33. Our Products Red-Body Formats Field Tiles 18x18” 13x13” 8x12” Wall 6x6” Decorative & Trim Examples 8x8” 3x6” 10x13” Wall
34. CARTAGENA TULSA ANAHEIM Form valuable partnerships with companies like you! Our Focus Who We Are Our Service Commitment Products for Today’s Market & the Future Our Focus