For tourism in favor of local development

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1 For tourism in favor of local development Club Med Villages are dedicated to collective wellbeing, and it would not have been possible for them to be as well accepted or harmoniously and durably integrated into countries with such different cultures unless they had been introduced on the basis of a deep and real respect for their host countries, and a commitment of responsibility to those countries. This philosophy is embodied in a willingness to respect and avoid spoiling host regions by doing everything possible to protect their people, their environment and their culture, at the same time as sharing the fruits of Village life by making a positive contribution to the development of the community in a spirit of tangible social supportiveness. This also includes helping visitors develop a real affection for the country by letting them discover it... Respecting... 2 Encourage clients to fight against sexual tourism and child exploitation... 2 Inform about responsible tourism: Responsible Travel Guidelines... 3 Contributing... 4 Contributing by employing locally... 4 Contributing by buying locally... 5 Contributing by transferring skills... 5 Contributing by preventing counterfeiting... 6 Supporting entrepreneurship... 6 Beyond contribution : solidarity... 7 Raising Interest... 8 Involving host countries in Village life... 8 Opening the door to discovery

2 Respecting Our concern of respect regards all of the riches found in the countries that host our Villages, starting by the most precious of them, its children Encourage clients to fight against sexual tourism and child exploitation Fighting against sexual tourism In 2005, Club Med committed to combating sexual exploitation of children through tourism by working alongside ECPAT (End Child Prostitution, Child Pornography and Trafficking of Children for Sexual Purposes), the charity founded in With help from ECPAT, Club Med was the first tourism operator to produce its own information and prevention publication on these issues. More than 65,000 of these leaflets have been sent directly to clients prior to their departure. In 2007, Club Med supported and provided prizes for the Say NO competition, which invited Tourism and Hospitality Management students to design information and awareness initiatives that would also raise funds to provide practical support for affected children. 2

3 Avoiding child exploitation In terms of local initiatives, Club Med also provides support to two charities dedicated to helping street children: one in Marrakech, Morocco and the other in Thiès, Senegal. Supporting the Atfalouna charity: The Marrakech-based Atfalouna charity was founded in 2003 to provide aid and support for the city s street children, and ensure their physical and mental health. It works to reintroduce them to society and family life by providing accommodation, medical care, literacy education, training, and awareness of their rights all with the ultimate aim of rebuilding the links between children and their families and bringing them back together. Inform about responsible tourism: Responsible Travel Guidelines For all the happiness in the world, and for the happiness of respecting it... When you show respect, you invite respect. The Discovery Centre (Espace Découverte) in all our Villages offers Responsible Travel Guidelines to encourage GMs to show respect for the host country, from its culture to its environment and local economy. Different versions have been written and published according to the characteristics of every host country, their cultures and environmental issues; all are available in French and English. 3

4 Contributing Naturally, the presence of a Club Med Village generates economic and social spin-off benefits for its host region. The Club considers that acknowledging this stating these positive spin-offs is not enough, and rather seeks to maximize and develop them. Contributing by employing locally The sheer number of activities and services offered in our locations explains why Club Med Villages create and offer more jobs than other travel industry operators. Almost three-quarters of the jobs we create are filled by local people: Aug Local jobs GO/GE 73,30% 74,70% 73,60% 74,64% 76,82% International jobs GO/GE 26,70% 25,30% 26,40% 25,36% 23,18% Increasing the skills and employability of local people (most of whom are GEs working mainly in hospitality, maintenance, and food and beverage services) is a priority, and the Group applies a training policy that encourages geographic and job mobility. 22% of all GEs received training in The use of local subcontractors also makes a major contribution to strengthening the local economic and social fabric, as do indirect jobs, even though these benefits are harder to measure accurately. Assessments carried out in Village Number of GE assessments carried out % of GE positions assessed 71% 70% 68% 52% 65% Training of hired GE % of trained GE 16,20% 19,10% 20,40% 21,88% 22,17% Professional mobility % of GE that changed of service 5,30% 4,70% 5,20% 4,70% % of GE that worked in a country different than their country of origin 10% 11,70% 10,40% 8,90% 9,40% 4

5 Contributing by buying locally The vast majority of goods and materials bought throughout the year by a Club Med Village are purchased from suppliers in the host country (between 75% and 99%; the average being 85%). Even though some of these purchases (we are not currently able to evaluate the precise proportion) may have been imported by our local supplier, the levels of local purchases described above demonstrate the commitment of Club Med to work with local producer and distributor partners wherever possible. Cap Skirring provides an excellent illustration of this commitment: A VIRTUOUS ECONOMIC CIRCLE WAS CREATED AT CAP SKIRRING, WHERE LOCAL COMMUNITIES, SUPPLIERS AND THE ENVIRONMENT ARE ALL WINNERS... Thanks to Club Med s initiative and to the opportunities it provides, the local company Oasis Boucotte has been able to develop two significant business streams close to the Cap Skirring Village. A waste processing centre has been built to store and recycle waste from the Club Med Village and its neighboring communities. Funded by hoteliers, restaurateurs and European residents, this facility benefits the entire community, whose household refuse is collected free of charge. The company employs 12 local people. At the same time, the company has set up an organic market garden growing a very wide range of fruit and vegetables on a 10-hectare site without the use of chemical products or mechanized ploughing. All the organic waste generated by the Club Med Village is composted, and its waste cardboard packaging is used as mulch*. This local producer is now one of the leading suppliers of fruit and vegetables to Club Med, which, in turn, is its largest customer. It currently employs nearly 60 local people. *mulch: organic material applied to cultivated soil to slow down evaporation of water and restrict the growth of weeds. Contributing by transferring skills Its international vision and culture of innovation have often led Club Méditerranée to introduce previously non-existent practices and techniques in certain countries. For example, in 1978, the largest array of solar collectors in Europe was to be found at... the Les Boucaniers Club Med Village in Martinique! The Club was also the first to build a wastewater treatment plant on the island of Mauritius, as part of the project to construct the La Pointe aux Canonniers Village in In 2006, a completely innovative and ecological treatment plant was installed in the second Club Med Village on Mauritius: La Plantation d'albion. The Jardins Filtrants (filtering gardens) purification process approved by the island's Ministry for the Environment is the first in Mauritius, and represents an enormous advance in government thinking. Its simplicity and financial attraction (lower upfront costs than a traditional treatment plant, as well as lower operating costs) make this a model that could easily be duplicated throughout the region. This innovation received the special mention Technology and Sustainable Development in the «Cost-effective Clean Technologies» category of the Prix Entreprises & Environnement, 2009 Edition, awarded by the Sustainable Development Ministry (MEEDDAT) and the French Environment and Energy Management Agency (ADEME). The waste sorting and recycling expertise gained as a result of constructing the Cap Skirring waste processing centre sets the benchmark for West Africa, and could be duplicated in other rural communities in the future. 5

6 Contributing by preventing counterfeiting Buying a fake is never harmless Counterfeiting encourages undeclared employment, stifles the economic growth of the country, inhibits local creativity, and infringes all employment and environmental standards. It is therefore in complete opposition to healthy and sustainable local development. Club Méditerranée is committed to combating this damaging practice, and in June 2007 signed a partnership agreement with UNIFAB (Union des Fabricants), French anti-counterfeiting organization representing more than 400 companies. As a result, Club Med is committed to: - making its clients aware of the implications of counterfeiting by displaying posters in its Villages - conducting trials in one or more pilot Villages in order to explore opportunities for substitute economic activities and encourage their sustainable emergence Supporting entrepreneurship The Group s commitment to playing an active role in the economic development of the regions in which it operates took another step forward in July 2008 with the signature of a partnership agreement between Club Méditerranée and AGRISUD, International Solidarity Organization that has been promoting sustainable development in developing countries since 1986 by fighting poverty through the creation of family-based Very Small Enterprises (VSE). The aim of this partnership is to encourage economic and social links between Club Med Villages and their surrounding communities by supporting the creation of viable and sustainable VSEs close to Club Méditerranée Villages in developing countries. Club Méditerranée has agreed to provide 180,000 to fund research and projects in 6 Villages over a period of 3 years. 6

7 Beyond contribution : solidarity Created in 1978 under the aegis of the Fondation de France as a company foundation, the goal of the Club Méditerranée Foundation is to initiate and develop solidarity projects. It focuses exclusively on supporting ongoing or one-off voluntary solidarity projects put forward by employees, redistributing recycled Group equipment to organizations that need it and, since 2007, giving clients the opportunity to contribute to its work. 7

8 Raising Interest Although Club Med holidays are all-inclusive, that does not mean closed Villages. Quite the opposite, in fact, because the Club Med concept offers choices, and therefore allows every client to discover and learn more about the host country in their own way and at their own pace as they walk through the Village, take part in activities, join excursions or go on a tour. Involving host countries in Village life Villages are the first point of contact visitors have with the country they are visiting; so it is there that the process of discovery begins. The Club has, therefore, always incorporated local culture and customs into the design of its holiday destinations in terms of their architecture, their decorative appearance, and even the way they prepare and present food. For example, the Agadir Village features a traditional hammam and a Moorish tearoom since The program of activities itself is also adapted to reflect local culture, with dance, cooking and language lessons. These include some particularly original activities, such as demonstrations and lessons in the technique of carrying objects on your head in Martinique, and workshops in how to create sculptures from recycled materials in Senegal, led by a local artist. Villages also devote weekly evenings, whole days or special events to celebrate the host country s culture. Opening the door to discovery Most Villages have a Discovery Centre offering a wide choice of excursions and a full range of information about the country. They attract more and more clients interested in going beyond the Village to find out more about the country they have chosen to spend their holiday in. Our 10 Discover New Cultures Villages offer clients many different ways of getting to know their host country. For example, in 2006, our Cancun Yucatan Village introduced an excursion as part of its allinclusive package to give its clients the opportunity to discover the village of El Meco as an introduction to local history and culture. 8

9 Throughout its history, Club Méditerranée has sought to develop tours or combined tour and resort holidays in parallel with its Villages. Club Med Découverte offers a choice of tours for those who wish to take the discovery process further. Every year, nearly 15,000 people enjoy these experiences in small groups accompanied by highly trained guides to discover destinations in a more intimate way by immersing themselves in the country and making personal contact with its people. 9