O Leather Traceability Project It started in 2022 for the Azzas 2154, with the aim of ensuring that the leather used in the manufacture of shoes, bags and accessories of the group's brands be free from deforestation.

The initiative is part of the company's sustainability strategy and aims to ensure transparency and social and environmental responsibility throughout the entire supply chain, from the origin of the raw material to the final product.

For this, the project adopts the blockchain technology, which records in a way encrypted and immutable data such as invoices, production orders, origin and destination, length and weight of the leather, ensuring traceability and integrity of information.

The project execution comprises several structured stages:

• Formalizing contracts with suppliers;

• Auditing invoices;

• Implementation of QR Codes For transparency to the end customer;

• Development of digital platform integrated with artificial intelligence (AI) for ESG reporting automation;

• Integration with the company's internal systems;

• Automatic calculation of sustainability goals and indicators;

• Regular governance meetings and performance monitoring;

• Communication and engagement across the entire production chain;

• Planning to expand traceability to other raw materials;

• Data modeling for accounting purposes carbon emissions associated with the leather supply chain.

The project reinforces the Azzas 2154's commitment to preserving Brazilian forests. — including Amazon, Caatinga, Cerrado, Atlantic Forest, Pampa and Pantanal — and with the combating illegal deforestation.

The company is only Brazilian signatory in the fashion sector in international commitment Deforestation Free, which establishes rigorous standards for traceability and environmental compliance.