Petrobras establishes partnerships for technological cooperation and other formal arrangements, involving suppliers, universities and other Centers of Expertise

STAKEHOLDERS assess company image

Petrobras conducts regular opinion polls, in order to monitor the company’s image and reputation among its various groups of stakeholders. 18 indicators are considered, covering management, competitiveness, growth, activities abroad, vision of the future, social support, ethics and social and environmental responsibility.

All the information is consolidated in the Corporate Image Monitoring System (Sismico) and is scrutinized by the company’s management, providing a basis for the planning of communication guidelines and actions and management practices in a variety of areas.

INVESTOR RELATIONS

The year 2008 was marked by a significant increase in the company’s shareholder base, which grew by 40%, to a total of almost 1 million investors. Contributing factors were the stock split, carried out in the first half of the year, and Petrobras’ communication and disclosure policies.

The company held over 500 meetings and conference calls with institutional investors, and participated in more than 40 conferences and other events, in Brazil and abroad. It also carried out road shows in North America, Europe, Asia, the Middle East and Oceania.

More than 20 visits by investors to Petrobras’ operational units and installations in Brazil were organized during the year, and the program for investor participation in sporting events sponsored by the company, notably Formula Truck, Stock Car and Formula 1 races, was maintained.

What is more, some 80 thousand people participated in presentations, open meetings and chats in Brazil and abroad. More than 16 thousand shareholders were assisted over the telephone and approximately 5 thousand letters, faxes and e-mails were answered.

Sticking to its policy of transparency, the company issued about one hundred market releases, with information about acquisitions, discoveries, the stock split and other topics likely to have a direct impact on the share price.

CUSTOMER RELATIONS

Petrobras’ relations with its customers follow the guidelines laid down in the Customer Relations Model. Based on Corporate Governance principles such as fairness, transparency and accountability, the model seeks to encourage a customer oriented culture within the company, giving each one unique treatment in commercial dealings, without cramping the operational freedom of each unit.

Petrobras has a variety of channels available, chief among which is the Customer Channel section on the website, where it is possible to place orders, schedule withdrawals, generate payments and follow the entire commercial process on-line. Launched in 2000, the channel has more than 6.7 thousand registered users and is on the air 24 hours a day.

Another relationship tool is the Customer Satisfaction Survey, which has been conducted by the company since 1997 and measures the customer’s level of satisfaction in regard to product quality and degrees of customer dissatisfaction and loyalty.

Petrobras also hears doubts, complaints and suggestions through its Customer Care Service (SAC), for which the e-mail and telephone contact details are available on the company’s website. In 2008, around 7.7 thousand direct customer contacts were received by the SAC.

SUPPLIER RELATIONS

Petrobras follows the guideline of giving priority to the domestic market whenever such goods and services are competitive and self-sustaining. During 2008, the company’s acquisitions amounted to US$ 45.2 billion – US$ 7 billion in goods and US$ 38.2 billion in services – and 78% of these were made from Brazilian suppliers, an increase of eight percentage points in comparison with 2007. Just 19.4% of the goods and 22.5% of the services were purchased from foreign suppliers.

Another 13 thousand new suppliers joined the Petronect Portal, the Petrobras portal for on-line purchasing, which now has 57 thousand registered users, including suppliers in Brazil, Argentina, Bolivia, Colombia, Ecuador, Singapore , the U.S.A. and Venezuela. Since 2003, the company has conducted 526 thousand purchases and hirings through the Portal, as well as carrying out 298 straight auctions and 537 reverse auctions.

To encourage the development of companies providing new kinds of materials and services, Petrobras establishes partnerships for technological cooperation, and other formal arrangements, involving suppliers, universities and other Centers of Expertise. At the end of 2008, there were 123 development projects in course, representing a total investment of R$ 223 million.

In order to strengthen the small business segment, the company has a formal arrangement with the Brazilian Service for the Support of Small and Medium-Sized Enterprises (Sebrae), to encourage the competitive and sustainable insertion of such companies within the oil and gas chain of production. Six thousand companies in 11 states have already participated in the activities thus developed.

Furthermore, Petrobras has a corporate register of suppliers of goods and services, which establishes specific technical, economic, legal, management and HSE requirements for service providers. Listing around 4.8 thousand companies, the register serves as a basis when selecting suppliers in tendering and hiring processes. The registration requirements are available on the company’s website.

The Conditions for the Supplying of Materials (CFM-2005), determined through dialogue with professional associations, applies to suppliers of goods. Petrobras’ contractual rules and guidelines are drawn up in the Contractual Procedures Manual. These documents may also be found on the website.