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Securitas Argentina 1

2013 Corporate Social Responsibility Report

Securitas Argentina


2 Securitas Argentina



2013 Corporate Social Responsibility ReportReporte de Responsabilidad Social Corporativa 2013

This fifth Corporate Social Responsibility Report is part of a continuous process we carry on guided by the cornerstones of our “Road to Follow”: committed employees, loyal clients and sustainable profits. All our actions during 2013 were focused on this vision since all sustainability efforts of the Company were aimed at strengthening these three business' cornerstones and at improving employability conditions, operations' excellence and ethical standards.

Among some of the achievements we point out in this edition we can mention the consolidation of the new Security solution model of Securitas Argentina with a strong technological component through the completion of the process to integrate two new companies, Trailback and Fuego Red, which allows us being closer to our clients and offering them cutting edge security solutions tailored to their needs.

We continue focusing on our employees, extending the education offer so as to give them opportunities to receive training and to spread out their potential. Having qualified personnel allows us offering better services to all our wide range of clients, incorporating competitive technology and adapting our business offer to answer all their needs.

Institutional letterWords from the Country President

In alignment with a global responsible management, we are working to foster sensitivity, training and knowledge of the Values and Ethics Code, through mandatory courses for all our employees available in our e-learning platform. During 2013 the Defensor del Empleado [Ombudsman], a channel to solve queries and complaints from our employees not solved through the line of command that ensures confidentiality and fair solutions of such claims, continued to grow. This communication channel is framed within the global tool SIL (Securitas Integrity Line) that also makes it possible to receive claims on defaults on the Code of Conduct.

As challenge for the following year, we intend to go into details about innovation and advances of technological tools to offer solutions tailored to the needs of each client.

We are convinced that our contribution to the industry is to share our knowledge as global Company in order to improve the development of the Private Security sector in our country; therefore, we intend to continue creating value with sustainability as the strategic cornerstone of our Company.

Christian FaríaCountry President

Securitas Argentina



This Report comprises 2013 Securitas Argentina Fiscal Year and it is the fifth CSR Report published by the Company, again based on the Global Reporting Initiative (G3.1)1.

This edition includes information on Securitas' transactions within the domestic territory for the purposes of complying with the greatest possible number of indicators suggested by GRI, as mentioned in item 7 (GRI Indicators Table) at the end of this document.

The Report is mainly focused on those essential or relevant subjects for the Company: transparence and good governance, responsible management of our human resources and service quality.

The Report was prepared based on information obtained ad hoc by the Report Team composed of representatives of strategic areas of the Company. Furthermore, within

Principles to prepare the Annual Report

the framework of this process we conducted a workshop with the members of such team to strengthen the common vision of the CSR and carried out integration activities related to certain important aspects of relevant interest that must be managed from sustainability.

All information included in this report results from the Company's report processes both at local and global levels, including more detailed information -as compared to the information reported in previous editions- as the result of a policy at group level of favoring information related to material aspects of the Company's businesses and pertinent indicators.

We invite readers to give us their opinions, comments and suggestions to improve future editions through the following email address: [email protected]

(1) 2013 edition and previous editions of Securitas' report are available at www.securitas.com/ar/es-ar/responsabilidad-social-corporativa/Reporte-de-RSC-/



CSR Report Team:

Management and Finance Department:Gastón Corrado - Tax Responsible Person.Brenda Ratto - Purchase Chief.Verónica Solorzano - Accounting Chief.Sebastián Vega - Payroll.

Commercial Department:Natalia Pereyra - Coordinator.

Communication, PA and CSR Department:Vanesa Colaneri - CSR Analyst and Report Coordinator.Carolina Hansen - Image and Brand Analyst.Patricia Sclocco - Director.

Innovation and Technology Department:Bibiana Ferreira - Controller and Management.

Risk and Legal Department:Paola Cámara - National Quality Coordinator.Maximiliano García - Security, Health and Environment Responsible Person.Verónica Loizaga - Risks and Legal.Juan Ratto - Director.

Human Resources Department:Agustín Baeck - School, Personal and Business Development Coordinator.Luis Lagos - Employment, Compensation and Development Responsible Person.Patricia Lindblom - Director.

RR.II. Department:Néstor Cruzado - Director.

General Management:María Laura Paladini - Management Support and Community Program Coordinator.

Contributors to this Report:

Gustavo González, Yanina Marquevich, Florencia Páramos, Leila Rivas, Gladys Rodríguez, Fernando Russo, Claudio Suppa.



Table of Contents1. Introduction 7

1.1. The industry 71.2. Securitas Group 71.3. Securitas in Argentina 8

1.3.1.Social Responsibility in Securitas Argentina 101.3.2. Securitas and its groups of interest 121.3.3. Material Nature 15

2. Corporate Governance 172.1. Mission, Vision and Values 182.2. Board of Directors and Round Table 192.3. Values and Ethics Code 202.4. Declaration of Human Rights 212.5. Defensor del Empleado (Ombudsman) 212.6. Securitas Integrity Line 222.7. Support to initiatives and associations 23

3. Responsible Business Model 253.1. Security Solutions 263.2. The Tool box - The Diamond Box 293.3. Risk Management 303.4. Clients' satisfaction 323.5. Securitas Innova 333.6. Client Welcome 34

4. A Company built by persons for persons 354.1. Securitas Argentina's human capital 36

4.1.1. Diversity map 374.2. Employability 384.3. Diversity management 424.4. Quality of employment 43

4.4.1. Local contracts 434.4.2. Training and development 434.4.3. Benefit programs 444.4.4. Labor environment 45

5. Environment and Labor Health and Safety 475.1. Environmental management 485.2. Labor Health and Safety 51

6. Community 536.1. Support to institutions 556.2. Blog Info Zona Segura 556.3. Program Convivir 566.4. Voluntary action program: Give and Gain Day 57

7. GRI Indicators Table (3.1) 58





1.1. The industry

The private security sector is composed of the following participants:

• Companiesofthesegment.• Theiremployees.• Theirclients.• Thepublicadministrationandtheir

regulatory bodies.• Professionalassociations.• Communicationmedia.

1.2. Securitas Group

1. Introduction

These participants are acknowledged by Securitas at international level as those highlighted relevant participants for the Company. Therefore, cooperation actions carried out are focused on those key players so as to foster relationships and achieve a transparent and growing professional sector.

Securitas is a global Company that offers security solutions in almost all geographical areas, leading almost all markets in which it is present. Each branch has close relationships with its clients that are essential to develop the business. This combination of global Company with strong local presence implies a great added value for clients.

Latin AmericaNorth America

Access through selective acquisitions to cover international clients present in these markets

Security Services Ibero-AmericaSecurity Services North AmericaSecurity Services Europe

Security Services Ibero-America

• 7 Latin America countries, Spain and Portugal.• 15% of the joint business.•57,000employees.

Present in Business units

85% of the joint business

Middle EastAsiaAfrica



1.3. Securitas in Argentina

Securitas Argentina in figures 2013 2012Employees 15,005 14,971Provinces in which operates 23 23Market share 13.8% 13.8%Corporate Buildings (Región Buenos Aires, Región Centro, Región Litoral, Región Sur +Instituto Securitas in Buenos Aires)

5 5

Suppliers 3,673 2,028Local suppliers 3,669 2,024Percentage of local purchases 99.89% 99.80%

Main financial indicators* 2013 Growth vs. 2012 2012Net sales AR$2,089,262,000 37% AR$1,523,717,785Operating costs AR$301,465,612 -17% AR$364,254,000Payment to suppliers AR$500,060,422 21% AR$412,624,916Payroll and social contributions AR$1,535,603,000 53% AR$1,005,139,149Taxes and charges AR$105,699,865 -13% AR$121,900,000

(*) The values informed are nominal values at the closing of each fiscal year.

Other economic indicators 2013

Investments in the community AR$413,345

Sponsorship Law (Ley de Mecenazgo) AR$96,000

Withheld economic value AR$136,816,000

Liabilities AR$866,724,654

Equity AR$171,701,415

Ayudas financieras significativas 2013Employer's contributions due to promotion regime (including contributions corresponding to employees that are part of the program Inclusive Security) AR$13,095,545

Fiscal Incentives/bonus (Program Educating with Taxes) AR$773,828Total subsidized amount in Aysa services (potable water and sewage)* AR$16,775.91Total subsidized amount in Edenor S.A. services (power supply services)* AR$165,008.81

(*) They correspond to corporate office building in Munro.



Services / Clients

Guards / Technicians / Monitoring / Mobile / Escort

Managers Managers Managers Managers Managers Managers Managers Managers

AviationV. Sosa

Supervisors / Service Chief

2013 Organizational Chart

Bs. As. 1

Country PresidentC. Faría

National Support Sectors

Comp. CentersA. Nieto

Innov. and Tech. M. Gómez

CMT C&I

Buenos AiresG. Di Cesare/ A. Castex

CenterL. Magistralli

LittoralM. Tortul

South F. Azpiroz

TrailbackF. González

SystemsM. Goméz

Mobile

Mobile Services

S. Cruzado

Responsible restructuring

As a result of Securitas' acquisition processes, the Company is working to integrate business, employees and directives, towards a gradual two-year transition. The process to integrate the companies Fuego Red and Trailback, that were acquired in 2012 and added to Securitas Argentina's staff more than 4,000 employees, was stronger during 2013.Such companies are deemed essential to Securitas Argentina's new solutions model because they added a high technological component. Upon

the integration of different workforce clients obtain the support and backup of a multinational Company without losing their point of contact and traditional expertise.

During this integration, the administrative and training processes of all employees were adjusted for the purposes of migrating models used by the acquired companies to the Securitas model as a unique culture.

Securitas Argentina in figures 2013 2012Employees 15,005 14,971Provinces in which operates 23 23Market share 13.8% 13.8%Corporate Buildings (Región Buenos Aires, Región Centro, Región Litoral, Región Sur +Instituto Securitas in Buenos Aires)

5 5

Suppliers 3,673 2,028Local suppliers 3,669 2,024Percentage of local purchases 99.89% 99.80%

Main financial indicators* 2013 Growth vs. 2012 2012Net sales AR$2,089,262,000 37% AR$1,523,717,785Operating costs AR$301,465,612 -17% AR$364,254,000Payment to suppliers AR$500,060,422 21% AR$412,624,916Payroll and social contributions AR$1,535,603,000 53% AR$1,005,139,149Taxes and charges AR$105,699,865 -13% AR$121,900,000





1.3.1. Social Responsibility in Securitas Argentina

For Securitas Group, the Camino a Seguir (Road to Follow) is based on achieving a sustainable business as from three main foundations: employability conditions, operations' excellence and ethical standards.

Social responsibility in Securitas is naturally aligned with this vision since all sustainability efforts of the Company are focused on potentiating these three business foundations.

The Road to Follow

To give our Clients Innovative Solutions,of Excellent Quality and Efficient.

Near toour People

Near toour

Clients

Near toour

Shareholders

Foundation of Securitas Argentina's responsible management

• Transparence.•Employability.•Quality.

Loyal clientsCommitted Employees

Sustainable projects

Focused on the client to provide specialized solutions

Leadership to strengthen our business essence operations

Inspiring a culture of innovation and creation of value for our clients

Developing knowledge on security and share better practices



In Argentina, the CSR strategy is aligned with the strategic foundations at global level set forth by Securitas headquarters.

Alliances at international level

Alliances at National Level

Securitas' sustainability initiatives are based on three main values: integrity, efficiency and helpfulness and are guided by their main corporate policies and principles such as the Values and Ethics Code.

Taking into consideration the particularities of each region, the CSR strategy has national character and it is implemented in the whole territory. Based on the education offer by Instituto Securitas, it is aimed at generating the best employment conditions to more than 15,000 employees. Having qualified personnel allows offering the best services to clients from different segments and sizes, incorporating competitive technologies and adapting the commercial offer to answer all their needs.

The transparence with clients and human resources is included in corporate governance policies that turn Securitas into a transparent Company with its shareholders and environment.

• UnitedNationsDevelopmentProgram(UNPD).

• UnitedNationsGlobalCompact.

• OrganizationfortheEconomicCooperationand Development (OECD).

• InternationalLaborOrganization(ILO).

• UnitedNationsUniversalDeclarationofHuman Rights (UN).



Regional context

The Corporate Social Responsibility Network was created as the way to align programs at Latin American level and to generate a greater impact with the actions carried out by Securitas. All tasks within the Corporate Social Responsibility Network are carried out in cooperation with persons in charge of Social Responsibility areas of the remaining six countries where the Company has presence at regional level: Ecuador, Chile, Colombia, Costa Rica, Peru and Uruguay.

During the year 2013 we carried out a review of all groups of interest in each country, we defined the most relevant issues to be managed by each team and we shared good practices and results from each country's initiatives.

2014 Challenges

• To prepare and launch a local CSE Policy that articulates all initiatives currently exercised and acts as reference framework for future actions.

• ToadvancetowardsthediagnosticandthestepstoimplementanEthicsManagementSystem pursuant to Standard SGE 21.

1.3.2. Securitas and its groups of interest

The review exercise related to the groups of interest included an analysis of their critical nature. This allowed us to detect the degree of influence of Securitas towards each of these actors as well as the influence of each actor in the Company, from a point of view of economic, social and environmental performance.

Main groups of interest for Securitas

•Employees.•Shareholders.•Clients.•Industry.•Community.•Suppliers.



Securitas Argentina's Criticality matrix

Relationship among main groups of interest and ECR foundations

Performance influence

Employees / Collaborators

Shareholders

Human Rights and LaborSociety

Economic and Services

3.8

1.1

2.0

2.7

3.2

3.5

Clients

Industry

Community

Suppliers

Main group of interest

Shareholders

Employees

Clients

Foundations of Securitas Argentina's responsible management

Transparence

Employability

Quality

Level of criticality of each group of interest, where 0 means low criticality to and from the Company and 4 represents maximum criticality.

Employees, shareholders and clients are the main participants, which is consistent with the importance of certain issues related to the labor and Human Rights environment such as aspects that represent risks and opportunities to be managed by the Company.

4.0

3.0

2.0

1.0

24%

19%57%



Groups of interest Communication channels and frequency

Employees

Web page (permanent), SECAR by email (permanent, as needed), Securitas by email in two lines (every two weeks), Defensor del Empleado (Ombudsman) and SIL (permanent), publications in the magazine InfoSecuritas (every two months), Virtual Platform Portal del Guardia (Guard's Portal) (permanent).

ShareholdersWeb page, social networks (Facebook and Twitter), and Blog Info Zona Segura (Info Safe Zone) (permanent), results' report (every month), CSR Report (every year).

Clients

Web page, social networks (Facebook and Twitter), and Blog Info Zona Segura (Info Safe Zone) (permanent), Guards' Books during services (permanent), publications in the magazine InfoSecuritas (every two months), CSR Report (every year).

Industry Web page (permanent), through chambers of security companies Caesi, Caesba, Casel, Casemara (permanent), CSR Report (every year).

Community Web page, social networks (Facebook and Twitter), and Blog Info Zona Segura (Info Safe Zone) (permanent), CSR Report (every year).

Suppliers Web Page (permanent), mails and emails (permanent, as needed).

1.3.3. Material Nature

The contents of Securitas' CSR Report are verified every year by a panel of representatives of different groups of interest. This allows the Company to know their evaluation and perception of the previous report as well as to review expectations, interests and opportunities to improve the following year report.

The contents of this report were defined pursuant to guidelines and suggestions made by such panel.

Furthermore, the CSR Report was recognized as an efficient communication element, which reinforces Securitas' commitment to prepare and publish this report to inform its impacts.



Stages in the analysis of the Material Nature

Chart on Material Nature of strategic issues

Issues that were identified as high priority issues during the material nature analysis made by Securitas Argentina.

Furthermore, more issues can be added to these issues identified as relevant for groups of interest during the dialogue exercise:

• Cooperationwiththecommunityandsupportto social organizations.

• Procedurestocarryoutresponsiblepurchasesand commercial alliances focused on a sustainable value chain.

• Commitmentwithemployeesandtheirpersonal environment.

Economic Aspects, performance and market presence.

Compliance with rules.

Transparence Articulation with the Government

Human Rights and labor aspects: Occupational

health and Safety, diversity and equal opportunity,

security practices, relationship company/

workers.

This report will include all information to answer doubts from groups of interest related to these issues that are essential for Securitas Argentina's activity.

Dialogue session with clients, suppliers, civil society organizations, journalists and guides from the academic environment and ECR in general.

Internal consideration of the Social Responsibility area regarding the meaning of material nature for the Company.

Preparation of the Report on Material Nature.

Inclusion of highlighted issues in this Report.

1.

2.3.

4.



Photograph: Celia Samudio, Authorizations."Camino de Pueblo": road from a town in the province of Misiones.

Winner Buenos Aires Region2014 Photograph Contest for employees "El Camino a Seguir".

Corporate Governance2.



The principles that regulate Securitas' actions are the adequate framework for an ethical and profitable performance that generates value to its groups of interest and the society in which it manages with leadership.

The rendering of accounts is part of the integral business management. Shareholders receive monthly a report with main results through formal channels of Securitas AB -Swedish parent Company- and the Ibero American Region.

The shareholders' structure of Securitas is composed as follows: 80% owned by Securitas Seguridad Holding SL, a Spanish limited liability Company, 19.99% by Securitas AB and 0.0001% (1 share) by the president of Securitas Argentina.

Mission: to protect homes, workplaces and society.

Vision: to turn Private Security into a model of benefits for workers, clients and shareholders.

Values:Integrity: It means to work with honesty, complying with all laws, respecting all obligations undertaken with clients, with security organizations, with tax entities and with the community in general. Securitas always complies with its integrity requirement, openly expressing its own opinions, informing irregularities and not withholding information.

Vigilance: being professional implies seeing, hearing and evaluating. Securitas’ employees are always attentive and alert and notice things other do not. Thanks to their vigilance they are informed of potential risks and incidents that may take place in our clients’ premises.

Helpfulness: Securitas employees will lend assistance when needed even if it is not specifically related to their job.

2.1 Mission, Vision and Values

2. Corporate Governance



2.2 Board of Directors and Round Table

Board of Directors: it defines the policies of the Company, administers the resources, gives support, carries out the follow up and control of objectives.

Chairman / Luis VecchiVice-Chairman / Carlos RinaudoCountry President / Christian Faría

Round Table: it cooperates with the General Management as regards definition and follow-up of the Business strategy.

Country President / Christian FaríaAdministration and Finance Director / Alberto AlesciBuenos Aires Region Director / Gabriel Di CesareBuenos Aires Region Director / Alejandro CastexSouth Region Director / Fernando AzpirozLittoral Region Director / Marcelo TortulCentral Region Director / Luis Magistrali

Having local directors and managers allows strengthening the relationship and communication with clients, having direct knowledge of the needs and context where the services are rendered and offering solutions according to their expectations.



2013 Training resultsEmployees that took the Values and Ethics Course. 29.65%Staff employees that took the Values and Ethics Course. 82%Security guards that took the Value and Ethics Course. 24%

Topics included in the Value and Ethics Code

• Compliance with the legal framework.•Respectforhumanrights.•Goodbusinesspracticesandgoodpracticestowardsouremployees.•Protectionoftheenvironment.•Commitmentwiththecommunity.

2014 Challenges

• Preparation of the Compliance Policy related to competition and anti-corruption. By the end of 2014 it was half completed and it is expected to be completed by the first quarter of 2015.

• Preparation of Antitrust Policy related to Corporate Risk adapted to local laws.

2.3. Values and Ethics Code

The Values and Ethics Code of Securitas is the main guideline that sets forth the ethic standard to be applied by all employees and it is closely related to the values of the Company.

At global level, emphasis was given to awareness, training and knowledge of the Code both on the part of administrative as well as operative personnel through on-site courses and the e-learning platform.



Claims Type of claim Claim channel

Received Ended Pending Wrong salary liquidation

Bad treatment Harassment

Ended due to termination of claimant

Mail Tel.

206 177 29 191 15 0 0 41 165

2.4. Declaration of Human Rights

Securitas supports and respects the fundamental human rights set forth in the Universal Declaration of Human Rights from the United Nations and acknowledges its responsibility to foster and comply with such rights while performing its global activities. Its commitment is documented in the Values and Ethics Code and in its participation in the United Nations Global Compact.

In connection with the commitment to uphold the elimination of all forms of forced and compulsory labor (Principle 4 of the Global Compact), the risk existing in the sector is related to shift extension due to lack of replacement of personnel. In this regards, there is a directive which sets forth that a security guard can work up to two eight-hour shift and must enjoy the pertinent day off once his/her shift ends. This is regulated in the Collective Bargaining Agreement 507/07 which sets forth that overtime is contemplated as from 48 hours per week.

Statistics of denounces as of 12-31-2012

During the 2013 fiscal year there were no incidents related to forced labor.

2.5. Defensor del Empleado (Ombudsman)

Securitas created this figure in 2012 as a safe and confidential channel to deal and solve all queries and denounces made by employees with the intent to create a space for all those issues that could not be informed through habitual channels.

During 2013, 206 denounces were received, 86% of such denounces were solved and the main issues were the following: doubts and claims related to wrong calculation of salaries and bad treatment from supervisors. Denounces unsolved yet are under process of resolution.



2.6. Securitas Integrity Line

"To carry out business activities in a responsible manner is good for the business". Alf Göransson, CEO, Securitas AB.

The Integrity Line (SIL) concentrates Securitas' efforts at global level to create a channel that supplements employees' communication with administrative areas in connection with issues directly related to the Values and Ethics Code.

In Argentina, the Integrity Line began to operate in 2013, and employees were given the chance to file denounces and submit doubts through a toll-free number (0-800-555-0906) or the web site www.securitasintegrity.com

Its aim is to protect values of the Company and solve situations that may create risks or problems related to integrity.

During 2013, 7 cases were processed due to claims made to the Securitas Integrity Line. All cases were solved and are now closed.

Securitas Integrity Line 2013

Reported cases Claim type Results

4 Harassment and/or action related to the respect of Main Human Rights. Solved

1 Equal opportunities. Solved2 Salary and employment conditions. Solved

The Defensor del Empleado is represented by the Risks and Legal Director and all persons can contact him through a toll free number, 0800-122-1333, during working hours or by email to [email protected]



2.7. Support to initiatives and associations

Securitas performs its leadership and duties as Company in a responsible manner.

Its participation and support to chambers and other entities is intended to try to improve the industry, foster formality and adequate employment conditions

that generate a better wellbeing for the security personnel, loyal competition and professionalization of personnel. Furthermore, it fosters ethical and responsible management of businesses as a constant challenge in the daily operations of the Company.



Cooperation with Public Administration

From the Institutional Relations Department there is continuous relationship with the Private Security Department of the Government of the City of Buenos Aires and of the Province of Buenos Aires.

Furthermore, there is also a relationship with Repar (Provincial Registry of Firearms of the Province of Buenos Aires) and the Background Department of the Province of Buenos Aires. In addition, there is a relationship with the Ministry of Employment of the Province of

Buenos Aires as well as with the Ministry of Employment of the Nation.

In addition to Securitas' special interest in all issues related to Social Responsibility, during last year we worked together with the authorities from the Security Department of the Province of Buenos Aires in the e-learning program, focused on training personnel in mandatory courses of the activity for all companies of the sector. Its development and commissioning ended. Currently, it is under process of approval by the application authority.

Participation in chambers

• Cámara Argentina de Empresas de Seguridad e Investigación (CAESI). Christian Faría is Deputy Treasurer. Miguel Feroglio is Regular Member of the Directors’ Committee, President of the Academic Issues Committee and Member of the Executive Chair. Carlos Rinaudo is Regular Member of the Directors’ Committee, President of the Economic Affairs Committee and of the Labor Issues Committee.

• Cámara de Empresas de Seguridad de Buenos Aires (CAESBA). Luis Vecchi is the president of such institution.

• Cámara Argentina de Seguridad Electrónica (CASEL).

• ASIS International.

• ForodeSeguridadLatinoamericano.

• CámaradeComercioSuecoArgentina.LuisVecchiistheTreasurerofsuchentity.

• CámaradeComerciodeEstadosUnidosenArgentina(AmCham).

• CámaraEspañoladeComerciodelaRepúblicaArgentina.

• InstitutoparaelDesarrolloEmpresarialdelaArgentina(IDEA).

• CámaradeIndustriayComerciodelaMatanza(CICM).

• CámaraIndustrialdelParqueIndustrialPilar.

• ForéticaArgentinaAsociaciónCivilLuisVecchiisthepresidentofsuchinstitution.

• ConsejoEmpresarioArgentinoparaelDesarrolloSustentable(CEADS).



Photograph: Miguel Delgado, Security Guard."Camino ingreso en Polvorines Mina Veladero”: access road to Polvorines Mina Veladero, Department of Iglesia, province of San Juan.

Winner Central Region2014 Photograph Contest for employees "El Camino a Seguir".

Responsible Business Model

3.



Being the leader is a great responsibility and Securitas undertakes such leadership as a continuous commitment, from the compliance with the legal framework to the consolidation of contributions to society and its environment.

The close relationship with its clients is a key factor to understand their needs, to specialize itself and to offer innovative and useful security solutions. This is achieved if personnel are trained, motivated and always compliant with Securitas' values and its quality policy, which includes all these aspects.

3. Responsible Business Model

3.1. Security Solutions

Security is Securitas' sole business; therefore, it is the leader because of its knowledge. Being close to its clients allows it to understand the market and develop a Security Solution integrating several products adapted to the requirements from its clients.

The Security Solution includes a deep analysis of threats and vulnerabilities of the assets of ìts clients' companies, the determination of risks and a mitigation proposal together with the integration of human resources, technology and procedures. It also includes maintenance of all systems installed, constant advisory activities and, above all, a sole point of contact for reference for the client.



In order to have details on services and cases related to some clients, please access www.securitas.com/ar/es-ar/servicios

Services rendered per segment

Segment Services renderedAviation Specialized SurveillanceConstruction Specialized Surveillance

Private /Gated communitiesSpecialized SurveillanceMobile ServicesCombined ServicesInnovation and Technology

CulturalSpecialized SurveillanceMobile ServicesCombined Services

EducationSpecialized SurveillanceInnovation and TechnologyCombined Services

Events

Specialized SurveillanceMobile ServicesCombined ServicesEscort ServicesInnovation and technology

FinancialSpecialized SurveillanceCombined ServicesEscort ServicesInnovation and Technology

Industry / Manufacture

Specialized SurveillanceMobile ServicesCombined ServicesEscort ServicesInnovation and Technology

Logistics


OfficesSpecialized SurveillanceInnovation and TechnologyCombined Services

Residences Tailored Security Solutions

Retail


HealthSpecialized SurveillanceInnovation and TechnologyCombined Services

Clubs Tailored Security SolutionsMining Specialized Surveillance




Commercial Companies that are part of Securitas Argentina Group and through which services are offered.

•Securitas Argentina S.A. •A.I.P.A.A.S.A.•SeguridadArgentinaS.A.•SecuritasSurS.A.•SecuritasBs.As.S.A.•SecuritasServiciosS.A.•ElGuardiánS.A.

Specializations and Operating Structures

Support Structure (backup sectors)

2013 Challenges Advancement levelTo implement Master Mind Business*. Complied withTo develop the Mining sector. Complied with

•VigilanS.A.•ConsultoraVidecoS.A.•FuegoRedS.A.•SecuritasCountriesS.A.•TrailbackS.A.•FederalResguardS.A.

(*) Mastermind is an integral platform to manage the business through alarm monitoring. It comprises processing of signals by the operator, interaction with the technical department and facilities including registration and dergistration of new clients, their invoices and the external and internal reporting, which may be upon request or automatic.

Regional and National Operating Support(Processes and Tools)

Avia

tion

Gate

d Co

mm

uniti

es

Ports

Mob

ile

Syst

ems

CMT

C&I

Trai

lbac

k

Buen

os A

ires

Regi

on

Litto

ral R

egio

n

Cent

ral R

egio

n

Sout

h Re

gion

Scale Economies, develop and share knowledge

Administrative Processes(Finance, Human Resources, Human Rights, Commercial)

Market Matrix



3.2. The Toolbox - The Diamond Box

1) Values. Our values - integrity, efficiency and helpfulness, are Securitas' cornerstones. 2) Market Matrix. This tool helps us to

remember that all clients are different. There is no general solution applicable to all clients.

3) Chain of Value. The chain of value helps us to ensure that we render the correct service to the correct client and in the correct manner.

4) Flat organization. The knowledge of the market allows us to build an agile and horizontal organization. Decision making processes are simpler. To be close to the client and the security guard is an essential premise for Securitas.

5) Six fingers. The focus on control and follow up of Securitas’ financial development may be simplified through the “six fingers” planning. These elements are the bases of profitability.

6) Risk Management. In order to prevent possible risks and protect clients and employees, Securitas uses this tool that is focused on certain dimensions of the operating activities.

7) Industry. The security sector is composed of the companies of the segment, the clients, the public administration, the labor unions, the communication media and the professional associations. Securitas thinks that dialogue among all of them is essential to create a better market and contribute to its development.

8) Step by Step. In order to improve our operations and attain a sustainable growth we must do things in the right order.

9) Persons. Models and structures are mere tools. Persons are the ones who make the difference. Commitment and dedication are key words for us. Our method to train personnel and transmit values is to do all that we teach.

1

2

3

4

56

7

8

9

Securitas' business is focused on security. The Company strongly respects its corporate values: integrity, efficiency and helpfulness to gain the trust and loyalty of its clients. Securitas' growth is a direct consequence of its innovative products, its responsible management and the proximity to its primary public of interest. This management

model is used by Securitas at global level. It informs values and priorities of the Company with simple tools that generate a shared language. Each area of the Company is represented by an essential tool for the business.



The Diamond Box is a strategic commercial management tool that allows Securitas to be better and to focus on the security business in order to create value for its clients and develop its potential during daily activities

The Diamond Box allows you to know better the market and to know where the client is located. To be close, to participate in their processes and to help him in his/her management creates the difference to offer a security solution in agreement to what is expected from the Company.

The four diamonds represent key concepts ofour business

• Security: you must be a Security professional.

• Client: you must understand the needs of your client.

• Service: you must render an excellent service.

• Business: you must build long term relationships.

2013 Challenge Advancement levelTo develop the Version 2.0 of the Diamond Box. Complied with

3.3. Risk Management

The process to assess risks is an essential part of the business. It is composed of four analysis stages interrelated among them and their purposes are the following:

• Toachieveadequatebalancebetweenrisksand benefits.

• Toidentifyrisksandtheiranswers,tomitigate them or to anticipate to them.

• Tounderstandtheanalysisandmanagerisks in a continuous process.

Records of applicable laws in connection with authorizations and quality are updated and a report is prepared for the Directors with relevant aspects.



2013 Challenge Advancement levelTo design a Crisis Plan in order to ensure Securitas Business continuity. In progress

2014 Challenge

• To prepare a diagnostic as regards implementation of ISO31000 in Securitas so as to prepare the alignment to the new version of ISO 9001:2015 that includes Risk Management as an auditable requirement.

3.4. Clients' satisfaction

In alignment with the Quality Management System of the Company, constant communication with clients is one of Securitas' premises. To know the degree of their satisfaction as regards services received by the client is one of the elements that allow our continuous improvement.

Securitas uses three simultaneous methods to collect data and evaluate clients' satisfaction: •In-siteSurvey.•E-mailSurvey.•Portal del Cliente Survey.

In 2013, the survey was performed with a sample of the biggest region of Securitas Argentina (Buenos Aires Region) that

represents 60% of the business in the country. In turn, the sample was prepared to include 20% of the clients with impact in 80% of results.

The results of the survey represent a 68% satisfaction. *

For the year 2014, the criteria defined was in alignment with the Security Solutions service, so as to include measurement of satisfaction as regards security guards as well as in connection with technicians who install technology, monitoring operators, escorts, supervisors and managers which is more strategic and allows reinforcing main aspects mentioned in the 2013 survey: communication and answer.

(*) Data is not comparable to previously published data because the sample and structure of the survey are different.



2013 Challenge Advancement levelTo digitalize the Client Quality survey. In progress

2014 Challenges

• Prcess Management Center, Projects and Indicators: to develop an information technology platform that allows consolidating all management tools of the Company.

• Policies and Procedures at National level: to cooperate with National Support Sector Department in connection with the preparation of national documents to make it easier and support compliance with strategic objectives of the Company's Business Plan.

• Reengineering of Securitas' Quality Management System: to generate a unique culture as regards process management in all regions through the adaptation of the Quality Management System so as to ensure standardization of such processes and to act as facilitator among National Support Sectors that define and control processes and Regional Sectors that implement such processes.

3.5. Securitas Innova

Securitas Innova is a contest held among employees of the Company since 2012. It fosters generation of innovative ideas in order to benefit clients, employees and shareholders of Securitas.

Projects are classified into four categories:

•Employees.•Technology.•Productivity/processes.•Specialization.

Participants receive training in Project Management, have a mentor that guides them in the development of their ideas and, after presenting the ideas, they defend them before a team of Directors that evaluates the degree of innovation, feasibility and value added to the business.



The project SIDOS is a program created in the data base management system (Access) so as to simplify, speed up and centralize administrative tasks related to a specific service. Statistics and reports can be obtained on different issues such as employee data,

2013 Results

• 6 participants in the final of the Feria de Ideas (Ideas Contest).• Winner: SIDOS, submitted by Pablo Ibalo, Security Guard in charge of Business

Offices Management of Buenos Aires Region.• Databasemanagementsystemprogramcreatedforthepurposesofsimplifying,

making more agile and centralizing administrative tasks in a service.

2013 Results

• 550 clients received this service.• Regions: Buenos Aires, Littoral and

Northern Area of the Country • More than 17% as compared to 2012.

holidays, penalties, absenteeism, etc. Through the use of this system an accurate follow up can be performed and tasks of Supervisors are simpler. Furthermore, goals can be set forth so as to improve performance of services to satisfy clients.

2014 Challenge

• Tochangethecallsystemtostimulateparticipationofallemployees.

3.6. Client Welcome

During 2013 we continued with the program Client Welcome, designed to train clients in the use of the technology hired by them.



A Company built by persons for persons

Photograph: Ariel Santillán, Electronic Security Solutions."Porentraraltúnel":roadtoUspallata,province of Mendoza.

Winner Littoral Region2014 Photograph Contest for employees "El Camino a Seguir".

4.



4.1. Securitas Argentina's human capital

4. A Company built by persons for persons

Challenges of the Security sector in connection with Human Resources

• High turnover.•Informalemployment.•Lowqualificationlevel.•Mostmaleparticipants.

Members of Securitas Argentina 2013 2012Employees* 15,005 14,971Category

Management level 100 137Middle management 511 263Operating Level 14,394 14,571

RegionCity of Buenos Aires and Buenos Aires Suburbs 9,717 10,876South 1,942

4,095Center 1,974Littoral 1,372

Type of employmentPermanent 15,005 14,971Temporary 0 0

Turnover 23.5% 34.68%

(*) Active personnel as of December 31, 2013, considered taking into account pension contributions made as of the closing date of the fiscal year.

The Company is built by persons and it is alive due to each and every person that composes it. Securitas' responsibility begins with those who offer the security services

as the central part of the Company. That is why the strategy of Human Resources and the different programs that compose it are aimed at the development of cooperators



4.1.1. Diversity map

Foundations of the responsible management of Human Resources

• Employability.•Inclusion.•QualityofEmployment.

(*) Information corresponding to 2013 was obtained through a census performed such year among all personnel in order to have knowledge of the education level of each member of the Company.

2013 2013

Men

Low(secondary or lower education level)

Middle (post secondary education level)

High(university or higher education level)

Men Men

Total Payroll Governing Bodies

Physical Disability 2013 Educational Level*

Men93%

79% 81%

100%

90%

80%

70%

60%

50%

40%

30%

20%

10%

0%

100%

90%

80%

70%

60%

50%

40%

30%

20%

10%

0%

94%

7% 6%

21% 19%Women Women

Women Women

2012

2013

23

0.15%

30

20

10

0

16

0.11%

Employees

Employees

2012

2012

fostering their commitment with the work itself and with the Company so as to improve their quality of life both at labor as well as personal levels.

Distribution by Gender

90%

3%7%



Taking into consideration the opportunities to have access to education given to Securitas' personnel, different programs were developed to improve employability of all cooperators.

4.2. Employability

Employability is a central issue in the proposal of Human Resources, it aims to improve knowledge and skills of cooperators so as to contribute to

Pyramid of Knowledge

their professional growth, understanding security as a profession in which training is constant. This is one of the main assets of Securitas and its most important legacy, not only for the industry but also for society in our country.

This is attained through a wide offer of education proposals that allow us implementing the Pyramid of Knowledge model.

Post Graduate Courses

UniversityEducation

Post SecondaryEducation

High School Education

General purpose conference Securitas Model Course

Development Course - Level 1Planner Course - 01

Team Leader Course - 01Branch Manager Course - 01

Tech Studies in SecurityTech Studies in Health

and Hygiene

SMIT (INTL)

SMIT (ARG) II

SMIT (ARG)

Diamond BoxEnglish

SpecificActivities

InternationalCourses

Degree Courses

Seminars and Conferences

Security Service Chief Course

Update and Speciality Course

Securitas Security Guard Course

Scholar

ship

Pro

gram

Super Studies Department



Professional Development School: it offers activities for the personal and professional growth through different options that allow finishing high school education, post-high school education or university education (through the Scholarship Estímulo), studying languages, taking special courses or participating in conferences on issues related to the business and/or family environment.

Business School: it offers the development of behavioral and management tools in line with the private security business vision contemplated in the Toolbox and Diamond Box and offering knowledge taken into consideration when promoting the team to higher positions.

Courses offered:• DevelopmentLevel1,forsecurityguards

with growth potential.

• TeamLeader,tocreateleaders.• SMITIandII(SecuritasManagement

Innovation Training), for operating or branch managers that want to improve their management through the acquisition of knowledge on business management as well as possible courses of action that contribute to solve the security needs of our clients.

Security Solutions School: it offers basic courses to obtain certification as Security Guard covering related laws in force and widening knowledge on reading and writing and computing. Though the Superior Studies Department, courses, seminars and conferences related to updates and specializations and specifically international courses on private security are given.



This offer grants cooperators the opportunity to train and develop their maximum potential and in turn, grants the Company the possibility to offer the client an added value that differentiates the commercial offer of our Company from offers made by other security companies.

Education Proposal by Securitas Argentina

• Instituto Securitas: it is a space created to develop better skills of our personnel in order to render excellent security services. It is a center for training and education where security guards develop their skills and abilities that improve their employability and possibilities to grow on the Company and, in the future, outside the Company.

• E-learningplatform: it allows equal access by all security guards to training offers because it minimizes the geographical dispersion of a wide payroll countrywide.

• ProgramHéroes: it is an initiative that acknowledges and rewards those security guards whose performance was outstanding through education, highlighted compliance with service directives, perfect attendance and performance causing distinctive impact on the services.

• ScholarshipProgramEstímulo: it finances between 50% and 100% of the total value of all college education, university education and masters of employees pursuant to eligibility standards determined by the Company. This benefit contemplates the actions of the employee and his/her studies performance. The Company also offers scholarships for employees' children, supporting continuity of elementary and high school education.

• ScholarshipMelkerSchörling: this scholarship is offered to employees who are models for the operation (operation managers, supervisors and planners) to develop their professional experience within an international environment. Every year four employees from all group divisions at global level have access to this benefit.



Education Staff Security Guards Total Men Women Total

Education Hours 139,917 363,783 503,700 391,770 111,930 503,700

Education Hours per employee 14.91 18.74 33.65 20.02 13.63 33.65

Employees that took training courses 605 3,013 3,618

Courses and programs offered to employees 20 222 242

She commenced her career as guard and receptionist at services rendered in a laboratory, then, three years after her hiring, she became chief of such service. In 2013 she took the course on Development Level 01 of the Business School, and this made the difference in her career.

"During different modules I learned and incorporated different behavioral and management tools that I tried to apply every day. The course motivated me to continue learning new things. In December 2013, thanks to good performance attained due to the training received I was promoted to the position of Supervisor in the Laboratory management, position I currently hold. I am very happy with my hard daily work".

Analía continues with her training thanks to the scholarship program Estímulo. She has already passed six subjects in Bachelor's

Degree in Business Administration in a private university. At the same time she takes the Team Leaders course and English classes at Instituto Securitas.

"I am completely thankful and I really appreciate to work with the Company because, due to constant training, the possibility to study languages and the scholarship, I have the possibility to grow both at labor and personal levels and it is really rewarding to feel that the Company accompanies my growth."

Analía Rodríguez, 33 years old, 8 years working for Securitas Argentina.



Inclusive Security

Securitas Latam developed the program of inclusive security, in agreement with Securitas Value and Ethics Code and to reinforce its position as a socially responsible Company. Therefore, labor posts are created for persons with physical disability so as to facilitate their access to a job.

The program is implemented in Argentina within the framework of the Labor Insertion Program from the Ministry of Labor and Social Security since 2011; currently the Company has already incorporated 23 persons with physical disability

4.3. Diversity management

Securitas' Value and Ethics Code fosters equal opportunities to all its employees and all decisions related to employment are only grounded in skills, experience and potential. These principles are reflected in actions that articulate diversity in the Company.

Foundations that manage diversity

• Equal salary between men and women.

• Reincorporation to work of all employees that enjoyed maternity and paternity leaves (except in case of voluntary resignation), sometimes with novation agreements being executed in order to reduce the working hours.

• Inclusive Security.

to its payroll (seven incorporations throughout this year). The program is implemented together with clients, based on a specific selection, contracting and follow up methodology. In this way Securitas Argentina is a pioneer in the implementation of an initiative of this kind, articulated also with the cooperation of the public administration that granted the pertinent authorizations and agreements from the corresponding regulatory entities.

This program received in November 2013 a special award during the awards "Emperador Solidario 2013" from the Foro Ecuménico Social, acknowledging Securitas as the Company working in favor of the inclusion when training and giving employment opportunities to persons with motor disability based on principles of equal opportunities, equal treatment and interaction and participation in the labor community.



4.4. Quality of employment

4.4.1. Local contracts

Pursuant to Securitas' Employment Policy, and applicable to all employees of the Company irrespective of the position or rank, there is a criterion of preference to local hiring. In this way the Company reinforces its commitment to create employment in those places where it renders its services, contributing to improve the economic conditions of each locality.

All staff personnel from the Company receives an annual performance evaluation through personal interviews with their direct chief whereat specific skills related to their position are evaluated.

These evaluations are a central element of human resources management because they

4.4.2. Training and development

2013 2012Directives from local community 100% 96%

2013 2012Staff employees that receive performance evaluations 100% 96%

allow detecting talents and identifying key points for improvement. Based on what was detected and to potentiate the career of the employee in the Company, career plans, training through workshops or seminars are prepared that permit to work points of improvement and programs to retain talents.



BenefitsCategories

Director Branch Manager

Support Manager

Support Assistant Supervisor Service

ChiefPerson in

chargeAdminst. Personnel

Op. Tech Guard

Health

Protected Area x x x x x x x x x xHealth Life Plan x x x x x x x x x xMedical Care Team x x x x x x x x x xLabor Union Health Care xHealth Care Plan (OSDE)* The Company pays any difference with the hired plan

x x x x x x x

Health Care Plan (MEDIFE)* The Company pays any difference with the hired plan

x x

Education

Scholarship Estímulo (University, Post Graduate - Master Courses)

x x x x x x x x x x

10 year scholarship (High School) x

English Classes x x x x x x x

Scholarship Merkel Schörling x x x x x x x x x x

Agreements with Universities x x x x x x x x x x

Family Inclusion

Wedding Present x x x x x x x x xBirth Present x x x x x x x x xFamily Day x x x x x x x x x xContest Securitas Family x x x x x x x x x x

Motivation and Acknowledgement

Guards Day xProgram Héroes x x xSnacks Card x x x x x x xDining Area in Panamericana /Catamarca /Pelliza Buildings

x x x x x x x x *

Casual Friday / Summer Clothing x x x x x x x

Performance Bonus x x x x xTelephone xCar - Company x

Working Tools

Car - Company x xTravel Expenses x x xNotebook x x x xMobile Phone x x x x x

Economic AidAdvances to Guards x x x

Extraordinary Aid (Employees / Guards) x x x x x x x x x x

Main benefit programs refer to Health and Education.

4.4.3. Benefit programs


(*) Only for Guards that render services in these buildings.



Health

Protected Area: all buildings of the Company have a medical care service available.

Healthy Life Plan: all buildings have a menu of healthy food and a basket with fruits.

Medical Care Team: composed of doctor, a social worker and a psychologist to help personnel.

Medical Care Plans: the Company pays any economic difference in connection with the hired plan.

Education

Scholarship Estímulo: program aimed at cooperating with college or university education of employees related to the business of the Company.

10 year Scholarship: program aimed at helping sons/daughters of security guards so that they can finish high school education.

English Classes: offered to staff personnel that want to improve their language level.

Agreements with universities: agreements were executed with different universities so that employees can study at such places.

Program Securitas Family

It is being developed and accompanies, educates and creates awareness among employees, analyzing different problems such as health problems that employees

Labor Environment survey

• Last edition: 2013.• Frequency:everythreeyears.• Scope: staff personnel, 55 of the

Company's payroll.

Results obtained:

• 75% participation.

• 80% average satisfaction.

• Positive evaluation of team leaders, working conditions and sense of belonging.

• Areas to improve communication and interaction among working teams.

face daily and offering tools that help them to solve different issues.

4.4.4. Labor environment

Securitas Argentina measures its labor environment so as to have objective, reliable and accurate information that guides the taking of decisions and allows defining policies and courses of action aimed at developing, retaining, motivating and engaging cooperators. The information given by staff personnel to follow up the labor environment is useful not only for the Human Resources Department but also for team leaders and workers at individual level.



2013 Challenges Advancement LevelTo implement level III in the e-learning platform. Complied with

To implement the e-learning course on the Code of Conduct for staff personnel and security guards. Complied with

To implement the Management Course by Processes for Middle Management through the e-learning platform. Complied with

Access by all guards to Portal del Guardia Securitas. Complied withTo implement three innovative ideas. Complied withTo prepare a new edition of the Program Jóvenes con Futuro (Young People with Future). Complied withTo end the project of digitalization of security guards authorizations. In progress

2014 Challenge

• To advance in the preparation of the Human Resources Policy that articulates all initiatives currently pending through a strategic review of all programs, focusing efforts in those initiatives that better answer the expectations and needs of our personnel.

Results of the Labor Environment Survey

Satisfaction and general average

Analyst/Admin. Service Sup./ Chief

Participation: 489 persons

Operations

ManagerCoord./Chief/Resp.

Questions were grouped as follows:

Operating e�ectivenessOrganizational leadershipWorking conditionsCulture and values

Total enviromentaverage

My bossCommunicationTotal paymentCommitment and belonging

Total satisfactionaverage

Satisfaction average: represents the degree of satisfaction related to working with Securitas:

Environment average: represents the average of a rmative statements of survey respondent.



Photograph: Guillermo Abregu, In charge of Warehouse."Más allá...": Provincial Road No. 54, towards Abra de la Ventana, District of Tornquist, Province of Buenos Aires.

Winner South Region2014 Photograph Contest for employees "El Camino a Seguir".

Environment and Labor Health and Safety

5.



5. Environment and Labor Health and Security

5.1. Environmental management

Taking into account the activities performed by Securitas, the environmental impact is low; therefore, all actions related to environmental management are focused on alignment with practices of the Company and security personnel and environmental policies of clients so as to contribute to the management they perform in their facilities. Following this line, the e-learning training module "Environment and Ecology" was created as well as specific procedures for suppliers and a Security, Health and Environmental Policy that includes the main principles.

2013 Challenges Advancement LevelTo foster in security personnel the adoption of responsible management behaviors as regards waste that favor the rational use of water, power and recycle at our clients' facilities.

In progress

To keep in a process of continuous improvement the Safety module prepared for Securitas Connect, so as to contribute to the client the most accurate indicators. In progress

To develop 12 general security and environmental modules for education of all security personnel. Complied with

To generate environmental indicators that shall be reported through the responsible person of each region. Pending

To digitalize records used to maintain the Quality Management System so as to minimize the use of paper to record activities. In progress

Main environmental impacts in Securitas

• Office buildings.• Security vehicles.



• Limiteduseofwaterandpowerinoffice buildings.

• Useofrechargeablelanternsinsteadof using common batteries as power source.

• PaperrecyclingthroughHospital Garrahan.

• Useofpaperandleafletsfromresponsible environmental sources.

• Donationofobsoleteelectronicelements.

• Preventivemaintenanceofvehicles.

• Purchaseofvehicleswithlowconsumption and contamination levels in line with Group guidelines related to annual renewal of vehicle fleet (100 units out of 663 units).

Waste managed 2013 2012Tonner 1.12 ton 0.92 tonPaper 2,127 kg. 3.305 kgPlastic caps 84 kg. 89 kgOil * 670 kg. ---

(*) Oil used by security vehicles is taken at the CAS (Securitas Vehicle Center). In 2012 the CAS did not exist and vehicles were taken to different repair shops, therefore we do not have data corresponding to such year.

2014 Challenge

• To implement concrete recycling actions and waste management actions related to materials that are essential to Securitas' activities, such as alarm batteries or other byproducts installed with clients that have significant aspects.

Environmental management in Securitas is mainly focused on these two aspects of the business that generate relevant impacts in environmental terms: corporate buildings and vehicle fleet.

Initiatives implemented to reduce environmental impacts



• Awareness and induction on 27 rules of Safety and Hygiene.

•Onlinetrainingthroughmorethan20courses on Occupational Safety and Health.

• Pocket training manual. •Risksurveythroughamanualpreparedby Company's professionals.

• Definition of services together with the client to foresee the needs related to Safety and Hygiene.

•VisitstoclientbySecuritas'Safety,Healthand Environment personnel to detect deviations related to security personnel job posts.

• Digital material on awareness. •5minutestalksonSafetyandHygienetogether with a manual. •Videoon"SecurityGuards'precautions".

Tools related to the Safety and Hygiene Policy of Securitas Argentina

5.2. Labor Health and Safety

Securitas Argentina offers security solutions that exceed physical security. The Company acknowledges that protection of health and security of its personnel and third parties involved in its operations is essential for the development of the Company, therefore, risk management and prevention and operating management are closely related.



Statistics on Labor Health and SafetyProfessional injuries 880Men 806Women 74Professional illness 0Deaths 1Men 1Women 0Days lost 16,019Men 13,098Women 2,921Absenteeism rate* 3.04%

(*) Hours absent divided by total worked hours.Note: information reported corresponds to 2013. We do not have historic information.

The Collective Bargaining Agreement includes issues related to delivery of uniforms and personal protection equipment, first aid kit and specific training.

Furthermore, Securitas Argentina works together with the labor union in connection with different issues such as inspections to services in order to continuously improve labor conditions.

2014 Challenge

• To prepare a diagnostic in order to implement the Occupational Health and Safety Management System in Securitas Argentina.



Photograph: Andrea Bongioanni, Human Resources Analyst."Un camino claro e infinito para transitar, integro, lineal, eficaz y al servicio de los demás": Provincial Road No. 11, from Pinamar to Villa Gesell, province of Buenos Aires.

Winner National Support Sector2014 Photograph Contest for employees "El Camino a Seguir".

Community6.



6. Community

Securitas Argentina has a strong commitment with the community that it is reflected in a wide variety of social promotion actions and community investment actions. There is important interaction with communities whereat Securitas is present through dialog or projects focused on strategic aspects for Securitas.

Furthermore, Securitas has a donation policy to accompany its Social Network. In line with ethical criteria of the Company, support is given only to organizations recorded before the General Inspectorate of Justice [Inspección General de Justicia] and the Tax Authorities [Admnistración Federal de Ingresos Públicos].

2013 Challenges Advancement Level

To formalize agreements to foster labor inclusion with the Social Development Ministry of the City of Buenos Aires and the Government of the Province of Buenos Aires. In progress

To close the cycle of the Program Convivir for students at schools of the City of Buenos Aires. Complied with

To prepare a workshop with teachers within the framework of the Program Convivir. Complied withTo develop the program Securitas Family. In progress

Foundations of social investment in Securitas Argentina

• Inclusion.•Education.•Training.

More than AR$458,000 of contributions and investments in the community.

• 79% at national level.• 19%BuenosAiresRegion.• 2%CentralRegion.

Our donation policy contributes to work the foundations of social investment and we carry out projects aligned with our priority working point and related to our business. The application of this criteria has impacted in the total funds aimed at investing in the community reducing the budget and ensuring alignment with the business and the strategic character of selected investments.

Thanks to the economic contribution measurement system aimed at CSR Initiatives and particularly at social actions developed in 2012, this year we were able to measure exactly our investment in the community.



More than AR$95,000 of contributions to cultural projects of the City of Buenos Aires.

More than AR$770,000 of contributions to technical professional projects.

6.1. Support to institutions

Within the Sponsorship Law fostered by the Government of the City of Buenos Aires (GCBA) to support cultural projects jointly financed, in 2013 we closed the cooperation agreement with Asociación Rumbo Sur to make the book of photographs of the neighborhood of La Boca. Furthermore, we renewed the support to Juventus Lyrica in connection with concerts and classical music pieces. Contributions were made during 2013 but the book printing and the concerts will take place in 2014.

Furthermore, within the framework of the initiative Educando con Impuestos (Teaching with Taxes) Securitas Argentina sponsors three schools in the provinces of Buenos Aires, and Tucumán. Through the Instituto Nacionial de Educación Tecnológica from the Ministry of Education, the Company contributes to foster education offered at technical high school education, superior education technician and professional education.

More than 6,500 visits per year.

6.2. Blog Info Zona Segura

The blog Info Zona Segura from Securitas is intended to create awareness on safe environments, offering advice and useful tools to prevent unsafe situations in daily activities. In this way we share with the community our expert knowledge on security issues and contribute to a more safe and prepared society.

www.infozonasegura.com



6.3. Program Convivir

In 2010, Securitas commenced, together with Asociación Conciencia, the program Convivir for the purposes of creating at schools spaces to think about and strengthen social and emotional skills of students in order to foster values. The program is aimed at improving coexistence and preventing violence at school.

As it was stated, Convivir was in effect until 2013 because students that were part of the program ended elementary education. During 2014, in order to repeat this initiative in different schools of the country workshops will be conducted for teachers to coordinate the creation of a virtual portfolio. Through this project 20 model teaching practices will be compiled and published in connection with coexistence, that are developed at schools in urban, semi urban and rural areas of Argentina. The systematization and analysis of these practices will allow offering teachers of the country tools that are an example of inspiration and preparation of teaching plans to foster pacific coexistence at school.



6.4. Voluntary action program: Give and Gain Day

In 2013, from March 10 to March 18, we took part for the first time in the Give&Gain Day in Argentina, the International Week of Corporate Volunteering. This global movement fostered by Business in the Community is intended to foster corporate volunteering as a key tool to invest in the community as companies and entities from other sectors that concentrate activities at worldwide level on the same date.

Results of the Program Convivir

• 2 communities.• 4schools.• Public -private alliance: Securitas,

Asociación Conciencia and Undersecretariat of Education of the Municipality of Tigre.

• 24corporatevolunteers.• 42coexistenceworkshops.• 303trainedteachers.• 441directbeneficiaries.• 576indirectbeneficiaries.

Results of the Give & Gain Day

• 31 companies.• 15charityorganizations.

• Morethan700corporatevolunteers.

• 20employeesofSecuritasArgentinatook part in an awareness workshop on full inclusion of disabled persons organized by CILSA ONG in favor of Inclusion.



Global Compact Principle Pages/Comments

7. GRI Indicators Table (3.1)

Indicators highlighted in light blue correspond to Securitas Argentina’s compliance with the Principles of the United Nations Global Compact. In order to obtain more information on GRI visit www.pactoglobal.org.ar

Strategy and Corporate Governance

1.1Statement from the most senior decision-maker of the Organization (e.g., CEO, chair, or equivalent senior position) about the relevance of sustainability to the Organization and its strategy.

3

1.2 Description of key impacts, risks and opportunities. Not Reported

2.1 Name of the Organization. 1

2.2 Primary brands, products and/or services. 26, 27

2.3 Operational structure of the Organization, including main divisions, operating companies, subsidiaries and joint ventures. 8, 9

2.4 Location of Organization's headquarters. Back cover

2.5Number of countries where the Organization operates, and names of countries with either major operations or that are specifically relevant to the sustainability issues covered in the Report.

7

2.6 Nature of ownership and legal form. 18, 28

2.7 Markets served (including geographic breakdown, sectors served and types of customers/ beneficiaries). 8, 26

2.8

"Scale of the reporting organization, including:•Numberofemployees.•Netsales(forprivatesectororganizations)ornetrevenues(for

public sector organizations).•Totalcapitalizationbrokendownintermsofdebsandequity."

8

2.9 Significant changes during the reporting period regarding size, structure or ownership.

There were no significant changes in 2013 as regards size, structure or ownership of the Organization.

2.10 Awards received in the reporting period. 42

3.1 Reporting period (e.g., fiscal/calendar year) for information provided. 4

3.2 Date of most recent Report (if any). The previous Report included Securitas' 2012 fiscal year.

3.3 Reporting cycle (annual, biennial, etc.). Annual

3.4 Contact point for questions regarding the Report or its contents. 4

3.5

"Process for defining Report content, including:•Determiningmateriality.•PrioritizingtopicswithintheReport.•IdentifyingstakeholderstheOrganizationexpectstouse

the Report."

4

3.6Boundary of the Report (e.g., countries, divisions, subsidiaries, leased facilities, joint ventures, suppliers). See GRI Boundary Protocol 25 for further guidance.

4

3.7 State any specific limitations on the scope or boundary of the Report. There are no scope limitations.



3.8Basis for reporting on joint ventures, subsidiaries, leased facilities, outsourced operations, and other entities that can significantly affect comparability from period to period and/or between organizations.

No information related to joint ventures or subcontracted activities is included because they are not applicable to the Company's business model in the country.

3.9Data measurement techniques and the bases of calculations, including assumptions and techniques underlying estimations applied to the compilation of the Indicators and other information in the Report.

4

3.10Explanation of the effect of any re-statements of information provided in earlier reports, and the reasons for such re-statement (e.g., mergers/acquisitions, change of base years/periods, nature of business, measurement methods).

Not applicable to the reported period.

3.11 Significant changes from previous reporting periods in the scope, boundary, or measurement methods applied in the Report.

There were no significant changes from previous periods in the scope, boundary or measurement methods applied in the Report.

3.12

"Table identifying the location of the Standard Disclosures in the Report. Identify the page numbers or web links where the following can be found:•StrategyandAnalysis,1.1-1.2. •OrganizationalProfile,2.1-2.8. •ReportParameters."

58-66

3.13

Policy and current practice with regard to seeking external assurance for the Report. If not included in the assurance report accompanying the sustainability report, explain the scope and basis of any external assurance provided. Also explain the relationship between the reporting organization and the assurance provider(s).

This Report does not require external assurance.

4.1Governance structure of the Organization, including committees under the highest governance body responsible for specific tasks, such as setting strategy or organizational oversight.

19

4.2Indicate whether the Chair of the highest governance body is also an executive officer (and, if so, their function within the Organization’s management and the reasons for this arrangement).

19

4.3For organizations that have a unitary board structure, state the number of members of the highest governance body that are independent and/or non-executive members.

19

4.4 Mechanisms for shareholders and employees to provide recommendations or direction to the highest governance body. 15, 19, 21, 22

4.5Linkage between compensation for members of the highest governance body, senior managers, and executives (including departure arrangements), and the Organization’s performance (including social and environmental performance).

Not Reported

4.6 Processes in place for the highest governance body to ensure conflicts of interest are avoided.

Regulated in Securitas Argentina Value and Ethics Code: "Business decisions must always be based on objective grounds and criteria, and employees and commercial partners must avoid any conflict of interest or possible conflict of interest between their personal activities and their activities in Securitas”.

4.7Process for determining the qualifications and expertise of the members of the highest governance body for guiding the Organization’s strategy on economic, environmental, and social topics.

Not Reported



4.8Internally developed statements of mission or values, codes of conduct, and principles relevant to economic, environmental, and social performance and the status of their implementation.

18

4.9

Procedures of the highest governance body for overseeing the Organization’s identification and management of economic, environmental, and social performance, including relevant risks and opportunities, and adherence or compliance with internationally agreed standards, codes of conduct, and principles.

Overseeing of social and environmental aspects is carried out through the Communication, Public Affairs & CSR area. Economic performance is evaluated monthly by the Board of Directors and the Round Table.

4.10Processes for evaluating the highest governance body’s own performance, particularly with respect to economic, environmental, and social performance.

Currently, there is no position in Securitas Argentina that evaluates the performance of the highest governance body.

4.11Explanation of whether and how the Precautionary approach or principle is addressed by the Organization. Article 15 of the Rio Principles introduced the Precautionary approach. A response to 4.11 could address the Organization’s approach to environment.

726-33, 48. The Precautionary principle is applicable to environmental practices at Group level, e.g., in connection with purchase of vehicles more efficient and less contaminant.

4.12Externally developed economic, environmental, and social charters, principles, or other initiatives to which the Organization subscribes or endorses.

1-10 11, 23

4.13Memberships in associations (such as industry associations) and/or national/international advocacy organizations in which the Organization participates.

1-10 23, 24

4.14 List of stakeholder groups engaged by the Organization. 12

4.15 Basis for identification and selection of stakeholders with whom to engage. 12, 13

4.16 Approaches to stakeholder engagement, including frequency of engagement by type and by stakeholder group. 12, 13, 15

4.17Key topics and concerns that have been raised through stakeholder engagement, and how the Organization has responded to those key topics and concerns, including through its reporting.

15

Economic Performance

EC1Direct economic value generated and distributed, including revenues, operating costs, employee compensation, donations and other community investments, retained earnings, and payments to capital providers and governments.

8

EC2 Financial implications and other risks and opportunities for the Organization’s activities due to climate change. 7 48

EC3 Coverage of the Organization’s defined benefit plan obligations. Not Applicable

EC4 Significant financial assistance received from government. 8

EC5 Range of ratios of standard entry level wage compared to local minimum wage at significant locations of operation. Not Reported

EC6 Policy, practices, and proportion of spending on locally-based suppliers at significant locations of operation.

Securitas' commercial relationships are mainly with locally based suppliers, 99.89%, although it does not have a formal policy of local purchases.

EC7Procedures for local hiring and proportion of senior management hired from the local community at locations of significant operation.

6 43

EC8Development and impact of infrastructure investments and services provided primarily for public benefit through commercial, in-kind, or pro bono engagement.

Not Applicable

EC9 Understanding and describing significant indirect economic impacts, including the extent of impacts.

There is no information on indirect economic impacts related to Securitas' activities.



Social Performance

SO1Nature, scope, and effectiveness of any programs and practices that assess and manage the impacts of operations on communities, including entering, operating, and exiting.

56

SO2 Percentage and total number of business units analyzed for risks related to corruption. 10 As from 2014 we will work on a Compliance

Policy related to competition and antitrust.

SO3 Percentage of employees trained in Organization’s anti-corruption policies and procedures. 10 20

SO4 Action taken in response to incidents of corruption. 10 No incidents of corruption were registered in 2013.

SO5 Public policy positions and participation in public policy development and lobbying. 10

The Values and Ethics Code states that any public policy or political activity carried out in the name of Securitas must respect the law, ethics and values as well as the policy of Securitas. Participation in relevant aspects for the security sector are dealt with through Business Chambers.

SO6 Total value of financial and in-kind contributions to political parties, politicians, and related institutions by country. 10

No financial or in-kind contributions were made to political parties or related institutions during this period. This figure is also ruled in the Values and Ethics Code.

SO7 Total number of legal actions for anticompetitive behavior, anti-trust, and monopoly practices and their outcomes.

During the 2013 fiscal year there were no actions related to anticompetitive behavior, anti-trust and monopoly practices.

SO8 Monetary value of significant fines and total number of non-monetary sanctions for noncompliance with laws and regulations.

0.06% of total invoicing was used to pay fines and monetary sanctions during this period, which is equivalent to 67 incidents. Non-monetary sanctions amounted to 88.

SO9 Operations with important potential or real negative impact on local communities. Not Reported

SO10 Prevention and mitigation measures applied to operations with important potential or real negative impact on local communities. Not Reported

Labor Performance

LA1 Total workforce by employment type, employment contract, and region. By gender. 36, 37

LA2 Total number and rate of employee turnover by age group, gender, and region. 6 36

LA3 Benefits provided to full-time employees that are not provided to temporary or part-time employees, by major operations. 44

LA4 Percentage of employees covered by collective bargaining agreements. 1, 4

94.39% (only includes security personnel, the collective bargaining agreement is not applicable to staff employees).

LA5 Minimum notice period(s) regarding operational changes, including whether it is specified in collective agreements. 3 If applicable, it is regulated by the provisions of

Employment law.

LA6Percentage of total workforce represented in formal joint management–worker health and safety committees that help monitor and advise on occupational health and safety programs.

1 Securitas takes part in 81 occupational health and safety committees created by its clients.

LA7 Rates of injury, occupational diseases, lost days, and absenteeism, and number of work related fatalities by region. 1 52

LA8Education, training, counseling, prevention, and risk-control programs in place to assist workforce members, their families, or community members regarding serious diseases.

1 45



LA9 Health and safety topics covered in formal agreements with trade unions. 1 52

LA10 Average hours of training per year per employee by employee category. 41

LA11Programs for skills management and lifelong learning that support the continued employability of employees and assist them in managing career endings

40

LA12 Percentage of employees receiving regular performance and career development reviews. 43

LA13Corporate governance bodies and template per employee category, described per sex, age and minority belonging and other diversity indicators.

1-6 37

LA14 Ratio between men base salary and women, divided per professional category and location of significant operations. 1,6 42

LA15 Number of persons that continue working in the Company after maternity or paternity leave per gender. 1, 6 42

Human Rights

HR1Percentage and total number of significant investment agreements that include Human Rights clauses or that have undergone Human Rights screening.

1-6The Value and Ethics Code sets forth Securitas' commitment with Human Resources, this document is shared with clients and suppliers.

HR2 Percentage of significant suppliers and contractors that have undergone screening on Human Rights and actions taken. 1-6

Securitas' business model does not have distributors and contractors; therefore, this indicator is not applicable.

HR3Total hours of employee training on policies and procedures concerning aspects of Human Rights that are relevant to operations, including the percentage of employees trained.

1-6 20

HR4 Total number of incidents of discrimination and actions taken. 1, 2, 6During 2013, 4 claims on discrimination issues were received and managed through the Defensor del Empleado [Ombudsman].

HR5Operations identified in which the right to exercise freedom of association and collective bargaining may be at significant risk, and actions taken to support these rights.

1-3No suppliers' analysis was performed considering such risks. In spite of that, no incident of such nature has been informed in connection with current suppliers.

HR6Operations identified as having significant risk for incidents of child labor, and measures taken to contribute to the elimination of child labor.

Not Applicable

HR7Operations identified as having significant risk for incidents of forced or compulsory labor, and measures to contribute to the elimination of forced or compulsory labor.

1, 2, 4No suppliers' analysis was performed considering such risks. In spite of that, no incident of such nature has been informed in connection with current suppliers.

HR8Percentage of security personnel trained in the Organization’s policies or procedures concerning aspects of Human Rights that are relevant to operations.

1, 2 All security personnel have received pertinent training in Human Rights.

HR9 Total number of incidents of violations involving rights of indigenous people and actions taken. Not Applicable

Product Responsibility

PR1Life cycle stages in which health and safety impacts of products and services are assessed for improvement, and percentage of significant products and services categories subject to such procedures.

Not Applicable

PR2Total number of incidents of non-compliance with regulations and voluntary codes concerning health and safety impacts of products and services during their life cycle, by type of outcomes.

Not Reported



PR3Type of product and service information required by procedures, and percentage of significant products and services subject to such information requirements.

Not Applicable

PR4Total number of incidents of non-compliance with regulations and voluntary codes concerning product and service information and labeling, by type of outcomes.

Not Applicable

PR5 Practices related to customer satisfaction, including results of surveys measuring customer satisfaction. 32

PR6Programs for adherence to laws, standards, and voluntary codes related to marketing communications, including advertising, promotion, and sponsorship.

Securitas' Brand Manual includes guidelines for responsible marketing. This is an internal document fostering marketing within the framework of values and it is focused on transparence and accuracy.

PR7"Total number of incidents of non-compliance with regulations and voluntary codes concerning marketing communications, including advertising, promotion, and sponsorship by type of outcomes."

During 2013, no incidents of non-compliance with regulations related to marketing communications took place.

PR8 Total number of substantiated complaints regarding breaches of customer privacy and losses of customer data. 1

During 2013 no complaints were filed due to breaches of customer privacy and customer personal data.

PR9Monetary value of significant fines for noncompliance with laws and regulations concerning the provision and use of products and services.

During 2013, Securitas clients applied fines for the amount of AR$470,774 due to noncompliance and based on the agreements signed for the rendering of each service.

Environmental Performance

EN1 Materials used by weight or volume. Not Reported

EN2 Percentage of materials used that are recycled input materials. Not Applicable

EN3 Direct energy consumption by primary energy source. Not Reported

EN4 Indirect energy consumption by primary energy source. Not Reported

EN5 Energy saved due to conservation and efficiency improvements. Not Reported

EN6Initiatives to provide energy-efficient or renewable energy based products and services, and reductions in energy requirements as a result of these initiatives.

8, 9 48-50

EN7 Initiatives to reduce indirect energy consumption and reductions achieved. 8, 9 48-50

EN8 Total water withdrawal by source. 8 Securitas Argentina water consumption results from water utility services companies.

EN9 Water sources significantly affected by withdrawal of water. Not Applicable

EN10 Percentage and total volume of water recycled and reused. Not Applicable

EN11Location and size of land owned, leased, managed in, or adjacent to, protected areas and areas of high biodiversity value outside protected areas.

Not Applicable

EN12Description of significant impacts of activities, products, and services on biodiversity in protected areas and areas of high biodiversity value outside protected areas.

Not Applicable

EN13 Habitats protected or restored. Not Applicable

EN14 Strategies, current actions, and future plans for managing impacts on biodiversity. Not Applicable

EN15Number of IUCN Red List species and national conservation list species with habitats in areas affected by operations, by level of extinction risk.

Not Applicable



EN16 Total direct and indirect greenhouse gas emissions by weight. Not Reported

EN17 Other relevant indirect greenhouse gas emissions by weight. Not Applicable

EN18 Initiatives to reduce greenhouse gas emissions and reductions achieved. 7, 8, 9 50

EN19 Emissions of ozone-depleting substances by weight. Not Applicable

EN20 NO, SO, and other significant air emissions by type and weight. Not Applicable

EN21 Total water discharge by quality and destination. Not Applicable

EN22 Total weight of waste by type and disposal method. 8 50

EN23 Total number and volume of significant spills. Not Applicable

EN24Weight of transported, imported, exported, or treated waste deemed hazardous under the terms of the Basel Convention Annex I, II, III, and VIII, and percentage of transported waste shipped internationally.

Not Reported

EN25Identity, size, protected status, and biodiversity value of water bodies and related habitats significantly affected by the reporting Organization’s discharges of water and runoff.

Not Applicable

EN26 Initiatives to mitigate environmental impacts of products and services, and extent of impact mitigation. 7, 8, 9 48-50

EN27 Percentage of products sold and their packaging materials that are reclaimed by category. Not Reported

EN28Monetary value of significant fines and total number of non-monetary sanctions for noncompliance with environmental laws and regulations.

8No fines or sanctions were received due to noncompliance with environmental laws and regulations during 2013.

EN29Significant environmental impacts of transporting products and other goods and materials used for the Organization’s operations, and transporting members of the workforce.

Not Applicable

EN30 Total environmental protection expenditures and investments by type. Not Reported



We have undertaken the commitment to improve year after year our Corporate Social Responsibility Report. And to make advances in connection with this process we place at your disposal this opinion survey. You can give us your feedback and suggestions to make improvements.Please submit this form by e-mail to [email protected] or by mail to Dirección de Comunicación, AP y RSC, Esteban Echeverría 4270, Munro, Province of Buenos Aires.

Readers’ opinion

Stakeholders’ group at which you belong:

Client Employee Supplier

Community Other (Specify)

Mark from 1 to 10 the following attributes of the Report:

Clarity of information

Quantity of information

Report structure

Information distribution

Information relevance

Report design

Which section of the Report resulted more interesting for you?

Securitas Argentina and CSR

Responsible business model

A company based on values

A company built by persons

Solutions at the service of clients

Works focused on the community

Respect for the environment

Additional information that you would like to include in the Report

Full name:Telephone:E-mail

“Being the leading Company in the private security market not only implies big size, important billing or significant number of employees. It means being the company that leads the future, projects the direction of the sector and puts such changes into practice”.

Christian FaríaSecuritas Argentina’s Country President

Prepared by Securitas ArgentinaAdvice and Technical Assistance: ForéticaGraphic Design and Production: Eco Publicidad / www.eco-publicidad.com.ar

Regional Branches

Buenos Aires RegionEsteban Echeverría 4270(B1605DTT) MunroProvince of Buenos AiresTelephone +54 11 4014-3200

Central RegionJosé Roque Funes 1642(X5009LFR) Cerro de las RosasProvince of CórdobaTelephone +54 351 481-4741

Littoral RegionBlas Parera 1280(E3106LZD) ParanáProvince of Entre RíosTelephone +54 343 439-0000

South RegionSarmiento 751(B8000HQA) Bahía BlancaProvince of Buenos AiresTelephone +54 291 455-4433

Produced by the Communication,Public Affairs and CSR of Securitas Argentina.

Securitas ArgentinaEsteban Echeverría 4270(B1605DTT) MunroProvince of Buenos Aires Argentina

Telephone +54 11 4014-3200Fax +54 11 [email protected]

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