We have already announced a series of actions to preserve the health of our employees, and to support the prevention of coronavirus in our operational and administrative areas. The initiatives are aligned with the World Health Organization (WHO) and the Ministry of Health in order to contribute together with efforts of the entire population and authorities to mitigate Covid-19 risks. With the support of a special committee, we are following on a daily basis the evolution of the disease and the need for new measures.
As a function of the Covid-19 pandemic impact and shock on oil prices, we are also adopting actions to preserve our financial health in a scenario of great uncertainty. As a result of the abrupt reduction in prices and demand for oil and fuel, we are now implementing a series of measures to reduce costs and postpone disbursements, in order to reinforce our financial solidity and the resiliency of our business. As a response to the crisis, we also seek the reduction of investments and the capture of new revenue, always prioritizing the safety of people and the environment and focusing on operational efficiency.

Learn about the main measures:
•    Postponement of payment for the Superior Performance Program Prize 2019;
•    Postponement of overtime pay;
•    Postponement of FGTS payments and vacation bonus, according to Provisional Measure no. 927 of 2020;
•    Postponement of payment of 30% of the monthly salaries for president, directors, executive managers and general managers;
•    Canceling of the level advancement and promotion processes for employees and level advancement for remunerated functions in 2020;
•    Reduction in the number of employees on partial standby during the next three months and temporary suspension of all training;
•    Postponement and optimization of R$ 175 million for the investment amount scheduled for 2020;
•    Reduction of operational expenditures in the amount of R$ 333 million;
•    Postponement of new relevant hiring for a period of 90 days.

As a result of the implementation of the described measures, we estimate we can balance our cash flow for 2020.
The Covid-19 crisis has resulted in significant reductions in the demand for oil products, especially diesel, gasoline and QAV in Brazil and worldwide. Regarding our transportation and logistics activity for oil, gas and biofuels, we are continually monitoring the internal and external markets, as well as optimizing the operation of assets and expanding our services and client portfolio.
Reflecting our commitment with transparency, we will maintain our various stakeholders informed of future steps.