PUBLIC SUMMARY 2019 FOREST STEWARDSHIP PLAN License number: FSC-C021201 License number: FSC-C008495 ÍNDICE GENERAL INFORMATION 3 INTRODUCTION 4 The Company 4 Mission 4 Vision 5 Principles 5 Land and Occupation and Location 6 WOOD PRODUCTION PROCESS 11 Strategic Planning 12 Long-term Planning (21 years) 12 Tatical Planning - Medium Term 13 Operational Planning - Short Term (18 months) 13 Technical, Economic, Environmental, and Social Planning - TEESP 13 Seedling Production 14 Forest Activities 15 Inventory 15 Harvest/Transportation 15 FORESTRY RESEARCH 16 Genetic Improvement 17 Forest Plague Control and Stewardship 17 Soil, Nourishment, and Forest Stewardship 17 FOREST PROTECTION 19 Forest Fire Prevention and Control 19 Property Protection and Community Access to the Company’s Land 22 ENVIRONMENT 23 Environmental Monitoring 23 Vegetation 24 Wildlife 29 Water Resources 33 High Conservation Value Areas – HCVA 36 Environmental Education and Communication 41 HUMAN RESOURCES POLICY 42 Recruitment, Selection, and Compensation 42 Personnel 43 Occupational Health and Safety 44 Benefits 48 Training, Development, and Quality of Life 48 Socioeconomic profile of CENIBRA’s area of influence 48 SOCIAL ASPECTS – CENIBRA INSTITUTE 51 CENIBRA INSTITUTE’s Mission 52 CENIBRA INSTITUTE’s Principles 52 Strategy 50 Areas of Interest 53 CONTACT 58 2 Public Summary of the Forest Stewardship Plan GENERAL INFORMATION Name: Celulose Nipo-Brasileira S.A. - CENIBRA Address: BR-381, km 172 - Belo Oriente - Minas Gerais - CEP: 35196-972 Phone/Fax: (31) 3829 5010 / 3829 5260 E-mail: [email protected] Internet: www.cenibra.com.br State Registation: 063.141486.0136 Taxpayer´s Number (CNPJ/MF): 42.278.796/0001-99 Legal Representative: Júlio César Tôrres Ribeiro / Technical and Industrial Director This document’s version: Version 15, 2019; this is the 15th version after the initial certification in 2005. This document’s revision: Next revision by April 2020 Public Summary of the Forest Stewardship Plan 3 INTRODUCTION THE COMPANY Mission CENIBRA is one of the world’s largest bleached “Generate and distribute wealth in a short-fiber eucalyptus pulp manufacturers. Located sustainable manner by processing planted in Belo Oriente, Minas Gerais, 236 km away from trees” the state capital Belo Horizonte, its production is shipped mainly to foreign markets, particularly Japan, the United States, Europe, Latin America, and Asia. CENIBRA employs the ISO 9001 and ISO 14.001 management systems to provide its customers in the pulp & paper industry with raw material from sustainable forests from the economic, social, and environmental standpoints, while providing safe, healthy working conditions. In 2005, the Company was certified by the Forest Stewardship Council® (FSC®) and Brazil’s Forest Certification Program (CERFLOR), two distinct certification entities with their own principles and criteria, which represent further assurance that CENIBRA pulp is produced from sustainable forests with social and environmental responsibility. CENIBRA manages 253,666 hectares of land in 54 municipalities. More than 98% of this area is within the certification scope, i.e., 249,288.4 hectares of owned and leased land broken down as follows: 129,171.5 hectares of eucalyptus plantations, 102,290.1 hectares of native vegetation, and 17,826.7 hectares for infrastructure and other uses. Regardless of certification, responsible forest stewardship practices follow the same pattern in all the company’s properties. 4 Public Summary of the Forest Stewardship Plan Vision Principles “Be an everlasting company admired by • Ethics: be respectful and truthful in all everyone” relationships; • Commitment to results: value employees engagement, innovation, and personal skills; • Excellence: strive for quality, reliability, and competitiveness; • Sustainability: ensure competitiveness while meeting society’s needs and preserving the environment; • Entrepreneurship: act today while aiming at the future. Public Summary of the Forest Stewardship Plan 5 LAND OCCUPATION AND CENIBRA’s forest lands are located in the mid- eastern portion of the state of Minas Gerais, mostly LOCATION in the Doce River drainage basin and its Piracicaba River, Santo Antônio River, Suaçuí Grande River, Caratinga River, and Piranga River sub-basins, as shown in Figure 1. Figure 1: Location of CENIBRA land in the Doce River basin 6 Public Summary of the Forest Stewardship Plan Table 1: CENIBRA’s performance in the municipalities Areas (hectare) Occupation (%) No. MUNICIPALITY Actual Municipality Total Total Actual plantation 1 ACUCENA 81.159,00 6.476,92 3.114,04 7,98% 3,84% 2 ALVINOPOLIS 59.979,00 4.182,23 1.870,81 6,97% 3,12% 3 ANTONIO DIAS 78.707,00 16.670,02 8.789,47 21,18% 11,17% 4 BARAO DE COCAIS 34.056,00 3.660,54 1.968,64 10,75% 5,78% 5 BELA VISTA DE MINAS 10.852,00 1.131,85 430,04 10,43% 3,96% 6 BELO ORIENTE 33.531,00 15.963,69 9.250,93 47,61% 27,59% 7 BOM JESUS DO AMPARO 19.516,00 721,88 440,01 3,70% 2,25% 8 BOM JESUS DO GALHO 59.312,00 7.169,18 4.467,10 12,09% 7,53% 9 BRAUNAS 37.623,00 1.673,31 720,78 4,45% 1,92% 10 BUGRE 16.162,00 3.171,73 1.465,50 19,62% 9,07% 11 CAETE 54.224,00 1.112,53 644,79 2,05% 1,19% 12 CANTAGALO 14.188,00 232,46 188,56 1,64% 1,33% 13 CARATINGA 125.869,00 13.278,28 6.339,00 10,55% 5,04% 14 CATAS ALTAS 23.821,00 5.507,09 3.194,73 23,12% 13,41% 15 COLUNA 34.828,00 995,65 510,74 2,86% 1,47% 16 COROACI 57.666,00 6.863,45 3.859,43 11,90% 6,69% 17 CORONEL FABRICIANO 22.208,00 5.966,79 2.631,30 26,87% 11,85% 18 CORREGO NOVO 20.645,00 4.173,10 2.616,85 20,21% 12,68% 19 DIVINOLANDIA DE MINAS 13.200,00 1.777,34 929,95 13,46% 7,05% 20 DORES DE GUANHAES 38.173,00 689,86 378,35 1,81% 0,99% 21 FERROS 109.424,00 11.206,75 5.228,32 10,24% 4,81% 22 GONZAGA 20.896,00 1.435,80 730,82 6,87% 3,50% 23 GOVERNADOR VALADARES 234.890,00 164,42 82,84 0,07% 0,04% 24 GUANHAES 107.682,00 11.296,44 5.256,94 10,49% 4,88% 25 IAPU 34.275,00 1.471,37 777,53 4,29% 2,27% 26 IPABA 11.377,00 5.533,65 2.543,45 48,64% 22,36% 27 IPATINGA 16.609,00 2.059,30 736,76 12,40% 4,44% 28 ITABIRA 125.449,00 5.926,36 2.548,92 4,72% 2,03% 29 JOANESIA 23.269,00 524,28 288,54 2,25% 1,24% 30 MARIANA 119.386,00 3.201,94 1.119,67 2,68% 0,94% 31 MARLIERIA 54.368,00 774,18 358,27 1,42% 0,66% 32 MATERLANDIA 28.092,00 858,50 230,75 3,06% 0,82% 33 MESQUITA 27.499,00 1.219,75 567,39 4,44% 2,06% 34 NAQUE 12.644,00 3.044,21 1.872,88 24,08% 14,81% Public Summary of the Forest Stewardship Plan 7 Areas (hectare) Occupation (%) No. MUNICIPALITY Actual Municipality Total Total Actual plantation 35 NOVA ERA 36.001,00 7.993,20 3.695,55 22,20% 10,27% 36 PAULISTAS 22.097,00 2.225,96 1.170,30 10,07% 5,30% 37 PEÇANHA 99.605,00 14.700,69 8.983,33 14,76% 9,02% 38 PERIQUITO 22.766,00 6.937,87 3.555,21 30,47% 15,62% 39 PINGO-D'AGUA 6.685,00 1.816,87 1.062,06 27,18% 15,89% 40 RIO PIRACICABA 37.317,00 595,75 285,37 1,60% 0,76% 41 RIO VERMELHO 98.620,00 3.003,99 608,84 3,05% 0,62% 42 SABINOPOLIS 91.949,00 15.165,40 8.067,46 16,49% 8,77% 43 SANTA BARBARA 68.471,00 9.444,90 5.552,95 13,79% 8,11% 44 SANTA MARIA DE ITABIRA 59.981,00 5.737,28 2.584,21 9,57% 4,31% 45 SANTANA DO PARAISO 27.527,00 10.627,03 6.105,36 38,61% 22,18% 46 SANTO ANTONIO DO ITAMBE 30.497,00 2.716,85 641,17 8,91% 2,10% 47 SAO DOMINGOS DO PRATA 74.637,00 3.682,98 2.014,99 4,93% 2,70% 48 SAO GONCALO DO RIO ABAIXO 36.475,00 7.919,47 3.960,34 21,71% 10,86% 49 SAO JOAO EVANGELISTA 47.829,00 4.524,16 2.781,04 9,46% 5,81% 50 SARDOA 14.179,00 1.277,90 699,35 9,01% 4,93% 51 SEM PEIXE 17.621,00 167,81 66,79 0,95% 0,38% 52 SENHORA DO PORTO 38.220,00 203,56 75,08 0,53% 0,20% 53 VIRGINOPOLIS 44.002,00 4.426,74 2.754,11 10,06% 6,26% 54 VIRGOLANDIA 28.197,00 362,59 184,26 1,29% 0,65% 2.664.255,00 253.665,84 131.032,11 CENIBRA manages 253,666 hectares of land, out Others 7% of which 249.288,4 hectares are covered by the (roads, firebreaks, constructions, etc.) certification scope, corresponding to more than 98% of land certified for forest stewardship. Re- sponsible forest stewardship practices follow the same pattern in all the company’s properties. Eucalyptus plantation 51% Most of the properties were acquired from re- forestation companies and were already used for planting eucalyptus.