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Investor Presentaiton

2016 Braskem | Annual Report 74 LOGISTICS Braskem Logistics (Basic Petrochemicals and Polyolefins) works with Health, Safety, and Environment (HSE) professionals to ensure compliance with all social and environmental requirements critical to the Company's operations. Team Members of the area work with their own evaluation methods, based on Braskem's performance analysis system Abiquim's Safety, Health, Environment, and Quality Assessment System (SASSMAQ). and SAFETY PROCEDURES In 2016, Braskem continued to reinforce Processes Safety in Logistics through a structured program of risk studies involving seven new products with operations classified as average risk, based on the volume transported and its degree of hazard. For the logistics operations involved in these seven products, 144 routes, 17 transportation companies, six loading and unloading areas, the configurations of road equipment, and ten ships were evaluated. Specific inspections based international standards were also carried out at six maritime terminals contracted by Braskem with the purpose of identifying risks and defining preventive control barriers. on Braskem also holds periodic meetings with its service providers to keep them up-to- date on best practices in Health, Safety, and Environment, and, from this, adopts assessment tools and safety controls. The Company also conducts annual audits at the headquarters of the transportation companies, with evaluations and planning of corrective actions for Supplier cases that resulted below the expected in the Supplier Performance Index (IDF). To this end, tools such as the Service Level Agreement (SLA) and the Accident/ Incident Prevention (IP) Index are used. All this caution is reverted in detailed monitoring of the events and indicators of freight transportation: Transport Accident Frequency Rate (by number of trips and per kilometer driven) and Accident Severity Rate. Maintaining partnerships with Brazil's leading risk managers is also part of the Company's strategy, which hires most of its non-hazardous road freight (resins) with electronic trackers. For hazardous products (chlorine soda) and petrochemicals, transportation companies are required to have 100% of the freight tracked, freight must be handled exclusively by the supplier's own fleet, and must carry out the Priority Product Logistics Risk Study (e.g. Benzene and Pygas). Finally, for propylene, in addition to tracking the entire freight, telemetry is required on board the vehicles. The Company also has a contract with Suatrans, the leader in chemical and environmental emergency road response in Brazil, and conducts audits at the service bases and simulations on the main transportation routes.
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