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GRI Standard Table of Content
IndicatorDescriptionCorresponding Text/Response Reason for OmissionExternal Checking
1. Organizational Profile
102-1Organization’s nameVeracel Celulose S.A.NY
102-2Activities, brands, products and servicesA Solid CompanyNY
102-3Headquarters’ locationMade in Bahia to BrazilNY
102-4Operations’ locationMade in Bahia to BrazilNY
102-5Ownership and legal formatPrivately held joint stock company.NY
102-6Markets servedA Solid CompanyNY
102-7Organization’s sizeA Solid CompanyNY
102-8Information about employees and other workersA Solid CompanyNY
102-9Supply chainProdutor Florestal program

Giving preference to the neighbor

Increasingly close

Sustainability in the production chain

NY
102-10Significant changes in the organization and its supply chainThere were no changes during the period.NY
102-11Precautionary approach and principleA Solid CompanyNY
102-12External initiativesMember of the University Council of Federal University of South of Bahia and Partnership Agreement (Veracel, Stora Enso, Childhood, city halls of Santa Cruz Cabrália, Eunápolis and Porto.NY
102-13Participation in associationsVeracel Celulose is associated with the Federation of Industries of Bahia (Fieb), Brazilian Association of Cellulose and Paper (Bracelpa) and Brazilian industry of Trees (Ibá).NY
2. Strategy and Analysis
102-14Statement from the organization’s most senior decision-makerCEO’s Message

Leadership’s Message

NY
3. Ethics and Integrity
102-16Values, principles, behavior standards and rulesA Solid CompanyNY
4. Governance
102-18Governance structureNY
5. Stakeholders’ Engagement
102-40List of stakeholders engaged by the organization.Our performance and operations in a few clicksNY
102-41Collective bargaining agreementsOur performance and operations in a few clicksNY
102-42Base used for identification and selection of stakeholders for engagement.Our performance and operations in a few clicksNY
102-43Approach to stakeholder engagementOur performance and operations in a few clicksNY
102-44Key topics and concerns raisedOur performance and operations in a few clicksNY
6. Práticas de Relato
102-45List of entities included in the financial reportsFibria (http://fibria.infoinvest.com.br) and Stora Enso (http://www.storaenso.com/Investors)NY
102-46Process for defining the report’ content
and limit.
Our performance and operations in a few clicksNY
102-47List of material aspectsOur performance and operations in a few clicksNY
102-48Reformulation of informationThere were no reformulations in the period covered by the reportNY
102-49Changes in scope and limitsThere were no reformulations in the period covered by the reportNY
102-50Period covered by the reportCalendar year 2017.NY
102-51Period covered by the last report2016.NY
102-52Reporting cycleAnnual.NY
102-53Contact for questions about the reportContact us
faleconosco.veracel.com.br;
Caixa Postal 23, Eunápolis/BA
CEP: 45820-970
NY
102-54Statement of reporting in accordance with GRI StandardsIn accordance: GRI Standards – CoreNY
102-55GRI Table of ContentIn accordance: GRI Standards – CoreNY
102-56External CheckingExternal Checking statementNY
Specific content GRI Standards
IndicatorAspect / DescriptionCorresponding Text/ResponseReason for OmissionExternal Checking
200 Economic SERIES
GRI201: Economic performance
103-1: Explanation on the materialtopic and its limit
103-2 – Management and its components
103-3 – Review of the management
Commitment to community
201-1Direct economic value generated and distributed.Investments that build

Economic value (in R$)201520162017
Revenue – net sales of products992,6991,018,5221,058,4731
Cost of goods sold-740,811-796,928-812,023
Operation costs -wages and benefits to employees-68,568-76,222-78,868
Operation costs -wages and benefits to employees-32,124-34,938-38,070
Payment to shareholders and financial institution interest-40,159-38,302-24,731
Donation and investment in the community-4,159-4,885-2,099
Other operation expenses/income-80,890-103,673-108,404
Payment to the Government – IRPJ/CSLL-6,304-19,810-6,179
Profit(-) or loss (+) in the year19,685-56,238-11,901
NY
201-4Financial support received from the Government.In 2017, Veracel received the following tax incentives: State-ICMS (R$144.240 million). Federal – Sudene-IRPJ (R$ 11.620 million) and PIS/Cofins (R$ 35.283 million).NY
GRI 202: Market presence
103-1: Explanation on the materialtopic and its limit
103-2 – Management and its components
103-3 – Review of the management
Employment and income generation

People Management

202-1Proportion of the smallest salary paid, by genre, compared to local minimum wageThere are not employees paid by Veracel based on the national minimum wage (R$ 937.00). The lowest wage paid by Veracel is R$ 1,050.00. In 2017, the lowest wage paid by Veracel was 12.05 percent higher than the local minimum wage; 14.55 percent of employees receive the Veracel minimum salary.NY
202-2Proportion of the senior management members hired from the local communitySpecific profile requirements for the functions not always make it possible to find professionals in the region with required qualifications for the job vacancies. Yet 15 of our managers are from the State of Bahia, including the Chief Financial Officer.NY
GRI 203: Indirect economic impacts
103-1: Explanation on the materialtopic and its limit
103-2 – Management and its components
103-3 – Review of the management
Commitment to community
203-1Investments in infrastructure and services providedInvestments that buildNY
GRI 204: Purchasing practices
103-1: Explanation on the material topic and its limit
103-2 – Management and its components
103-3 – Review of the management
Giving preference to the neighbor
204-1The proportion of purchasing from local suppliersGiving preference to the neighborNY
300 Environmental SERIES
GRI 302: Power
103-1: Explanation on the material topic and its limit
103-2 – Management and its components
103-3 – Review of the management
Environment
302-2Power consumed within the organizationClean EnergyNY
302-3Energy IntensityClean EnergyNY
GRI 303: Water
103-1: Explanation on the material topic and its limit
103-2 – Management and its components
103-3 – Review of the management
Entire environmentY
303-1Water consumption by sourceThose who use it should not abuse itNY
GRI 304: Biodiversity
103-1: Explanation on the material topic and its limit
103-2 – Management and its components
103-3 – Review of the management
Check the weather

Our daily water and soil

304-1Own, leased, managed operation units in protected areas or surrounding and areas with high biodiversity located outside of protected areasYes, we have onças!NY
304-2Significant impacts of activities, products and services on biodiversityA reputable biomeNY
304-3Protected or recovered habitatsA reputable biomeNY
GRI 305: Emissions
103-1: Explanation on the material topic and its limit
103-2 – Management and its components
103-3 – Review of the management
Entire environment
305-2Indirect emissions of greenhouse gases (GHG) (Scope 2)CO2: stocked naturally!NY
305-6Emissions of substances that deplete the ozone layer (ODS) (G4-EN20)CO2: stocked naturally!NY
305-7NOX and SOX emissions and other significant air emissionsCO2: stocked naturally!NY
GRI 306: Effluents and Waste
103-1: Explanation on the material topic and its limit
103-2 – Management and its components
103-3 – Review of the management
Entire environment Y
306-1Water disposal by quality and destinationWater and soil monitoring: we do it!NY
306-2RWaste by type and disposal methodEverything is transformedNY
306-3Significant leaksThere were no significant oil and chemical leaks to the environment at Veracel in 2017.NY
GRI 307: Compliance
103-1: Explanation on the material topic and its limit
103-2 – Management and its components
103-3 – Review of the management
307-1Non-compliance with environmental laws and regulationsIn 2016, there was no payment of fines.NY
GRI 308: Environmental assessment of suppliers
103-1: Explanation on the material topic and its limit
103-2 – Management and its components
103-3 – Review of the management
Sustainability in the production chain
308-2Negative environmental impacts on the supply chain and actions takenSustainability in the production chainNY
400 Social SERIES
GRI 401: Employment
103-1: Explanation on the material topic and its limit
103-2 – Management and its components
103-3 – Review of the management
The secret to supercharge the results
401-1New hiring and turnoverReinforcement in the forest

Hiring in 2017 by gender
MaleFemale
Until 30296
31 a 50251
> 5011
Total103
Layoff Evolution
201720162015
Until 301726%513%1929%
30 – 504163%2771%3959%
> 50711%616%612%
Total65100%38100%64100%

 

NY
GRI 403: Occupational Safety and Health
103-1: Explanation on the material topic and its limit
103-2 – Management and its components
103-3 – Review of the management
In search of increasingly better results
403-1Workers’ representation in formal health and safety committees. composed of employees from different hierarchical levelsVeracel seeks to improve the occupational safety and health by encouraging the reporting of any substandard conditions or practices. The company carries out regular and random safety inspections, appreciating the Internal Accident Prevention Commissions (Cipa, in Portuguese acronym) and the Safety and Ergonomics Committees. 100% of the workers are represented by various internal committees associated with the occupational safety and health management. We promote three safety workshops annually, which are attended by the company and partner companies’ all the managers.NY
403-2Types and rates of occupational injuries, diseases, lost workdays, absenteeism and work-related deaths
2017
Veracel
2017
Veracel + Partners
2016
Veracel
2016
Veracel + Partners
Lost-time accident00.3600.37
Male0303
Female0000
Severity rate (CPT+SPT)1.211.092.582.08
Male26414
Female0100
Severity rate04059
Deaths0000
Lost workdays0210481
Male0320481
Female0000
NY
403-4Health and safety-related topics covered by formal agreements with trade unions.Every collective agreements signed by Veracel includes health and safety-related topics. They include initiatives such as medical exams, blood donation and purchase of Personal Protective Equipments (PPE). The variable compensation program also has indicators of occupational health and safety.NY
GRI 404: Training and Education
103-1: Explanation on the material topic and its limit
103-2 – Management and its components
103-3 – Review of the management
The secret to supercharge the results
404-1Average hours of training per year per employeeThe secret to supercharge the resultsNY
404-3Percentage of employees receiving regular performance reviews and career developmentWe evaluate to evolveNY
GRI 406: Non-discrimination
103-1: Explanation on the material topic and its limit
103-2 – Management and its components
103-3 – Review of the management
Sustainability in the production chain
406-1Cases of discrimination and corrective measures takenIn 2017, we received 27 reports related to discrimination (psychological harassment), of which 24 had their investigations completed and three were in progress until the closure of this report. Among the completed investigations, seven were justifiable, and actions were taken, such as dismissals, organizational restructuring, notifications for suppliers and training. The other 17 cases were investigated and closed because they did not evidence proving the fact reported.NY
GRI 407: Freedom of association and collective bargaining
103-1: Explanation on the material topic and its limit
103-2 – Management and its components
103-3 – Review of the management
Sustainability in the production chain
407-1Operations and suppliers for which the right to freedom of association and collective bargaining may be at riskWhen hired by Veracel, the employees are submitted to the on-boarding process, when they are introduced to the unions that represent their categories and may choose one of them. Veracel does not dismiss nor retaliate against employees who assume management positions in trade unions. Labor rights provided by law are guaranteed to these professionals during the period in which they occupy those positions in the unions. The company follows the FSC® (FSC-002560) and Cerflor principles, according to ILO 87 and 98.NY
GRI 408: Child labor
103-1: Explanation on the material topic and its limit
103-2 – Management and its components
103-3 – Review of the management
408-1Operations and suppliers with significant risk of child labor incidentsThe highest risk of child, slave or compulsory labor incidents is in forestry activities, more specifically in areas that are not owned by the company. So, the company has an audit program for all forestry activities with the aim of verifying compliance with environmental and labor standards and procedures. Under the Produtor Florestal program (FFP), we have a planning exclusively focused on these subjects.NY
GRI 411: Rights of indigenous and traditional peoples
103-1: Explanation on the material topic and its limit
103-2 – Management and its components
103-3 – Review of the management
Respect for Tradition
411-1Operations and suppliers with significant risk of forced or compulsory labor incidentsThe highest risk of child, slave or compulsory labor incidents is in forestry activities, more specifically in areas that are not owned by the company. So, the company has an audit program for all forestry activities with the aim of verifying compliance with environmental and labor standards and procedures. Under the Produtor Florestal program (FFP), we have a planning exclusively focused on these subjects.NY
GRI 412: Human Right EvaluationSustainability in the production chain
412-2Training for employees in human rights policies and proceduresValues that guide usNY
GRI 413: Local community
103-1: Explanation on the material topic and its limit
103-2 – Management and its components
103-3 – Review of the management
Educate to transform
413-1Operations and suppliers with significant risk of forced or compulsory labor incidentsThe future is in your hands Here, the dialogue is always activeNY
413-2Operations with significant negative impacts, real and potential, on local communitiesTwo-way streetNY
GRI 414: Social assessment of suppliers
103-1: Explanation on the material topic and its limit
103-2 – Management and its components
103-3 – Review of the management
Sustainability in the production chain
414-2Negative social impacts on supply chain and measures takenSustainability in the production chain

Complaint, criticism, suggestion or question about Veracel: Contact us!

NY
GRI 415: Public policies
103-1: Explanation on the material topic and its limit
103-2 – Management and its components
103-3 – Review of the management
Values that guide us
415-1Political contributionsBy following the shareholders’ guidelines, Veracel does contributions not contribute financially to political parties, politicians or related institutions.NY
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