Vale on the agreement to extend the emergency payments

11/28/2019

Vale on the agreement to extend the emergency payments

Rio de Janeiro, November 28th, 2019 – Vale S.A. (“Vale”) informs that, at the hearing of the 6th Public Treasury Court, the extension for 10 additional months of payments of emergency aid to those affected by the breach of dam I in Brumadinho was ratified. 

The meeting was attended by Vale, the Public Prosecution Office of the State of Minas Gerais, the Federal Public Prosecution Office, the Public Defender's Office of the State of Minas Gerais, the Federal Public Defender's Office and the State of Minas Gerais. 

The amounts agreed in February 2019 with the above-mentioned parties remain the same, that is, 1 minimum wage per adult, ½ per teenager, ¼ per child. The benefit will be fully provided to those people who have been proven to reside in the communities of Córrego do Feijão, Parque da Cachoeira, Alberto Flores, Cantagalo, Pires and along the Córrego Ferro-Carvão banks on the date of the dam breach, as well as those people who are currently taking part of the following support programs developed by Vale: housing, social assistance, agricultural assistance and assistance to local producers. It is estimated that between 10,000 and 15,000 people will continue to receive the full payment of emergency aid. 

Others who are not included in the above-mentioned criteria and who currently receive the full payment of emergency aid agreed in February 2019, estimated between 93,000 to 98,000 beneficiaries, will receive 50% of the emergency payment for 10 months starting on January 25th, 2020. 

The amounts mentioned above will be paid as a new emergency indemnity and will be deducted and considered in any collective indemnity in the future. 

Vale understands that the extension of the emergency indemnification agreement reinforces the company’s commitment to the reparation of the damages caused by the dam rupture, in a swift and comprehensive manner.
 

Ever since the Covid-19 outbreak began, our highest priority is the health and safety of our employees. Our IR team adopted work-from-home, and as we continue to face these new circumstances, we strongly recommend you prioritize e-mail and online engagement.

For further information, please contact:

Vale.RI@vale.com
Ivan Fadel: ivan.fadel@vale.com
Andre Werner: andre.werner@vale.com
Mariana Rocha: mariana.rocha@vale.com
Samir Bassil: samir.bassil@vale.com

This press release may include statements that present Vale’s expectations about future events or results. All statements, when based upon expectations about the future, involve various risks and uncertainties. Vale cannot guarantee that such statements will prove correct. These risks and uncertainties include factors related to the following: (a) the countries where we operate, especially Brazil and Canada; (b) the global economy; (c) the capital markets; (d) the mining and metals prices and their dependence on global industrial production, which is cyclical by nature; and (e) global competition in the markets in which Vale operates. To obtain further information on factors that may lead to results different from those forecast by Vale, please consult the reports Vale files with the U.S. Securities and Exchange Commission (SEC), the Brazilian Comissão de Valores Mobiliários (CVM) and in particular the factors discussed under “Forward-Looking Statements” and “Risk Factors” in Vale’s annual report on Form 20-F.

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Vale on the agreement to extend the emergency payments