SUSTAINABILITY REPORT 2021

SUSTAINABILITY REPORT 2021 Main Highlights Portobello Portobello America Portobello Internationalization In 2021, the Board of Directors approved US$ 160 million for the construction of the factory in Baxter (Tennessee), which will occupy an area of 83,000 m² (893,000 ft²), will have a capacity of 7.2 million m2 per year will expand the group's production by 15% - and will start operating in 2023. The region is considered a national pole in the manufacture of ceramic tiles, due to the existence of deposits of clay and feldspar. The enterprise will generate 220 direct jobs and will have annual revenue of over US$ 150 million. Retail expansion Portobello Shop sales increased by 60.6% in the year. This result reflects the organic growth of the market, the opening of stores and the entry into other businesses, such as Lastras (larger pieces that allow innovative applications, such as in facades) and complete solutions. The company closed the year with 138 stores, 18 of which are owned and 120 franchises -compared to 136 units in 2020. The investment plan provides for the continuity of store expansion. Operational efficiency gain In 2021, Portobello operated both factories at the limit of production capacities. This feature led to gains in operational efficiency, as the furnace remained on, without downtime. Thus, the company achieved a high level of productivity. The operation at these levels was only possible thanks to investments in technology in the plants carried out in recent years. The company was prepared and was able to fully capture the benefits of the increased market demand. <弓 MESSAGE FROM THE CHAIRMAN PORTOBELLO STRATEGY GOVERNANCE THE REPORT SUSTAINABILITY AT PORTOBELLO SOCIAL ENVIRONMENTAL ECONOMIC GRI CONTENT INDEX 78

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