Diamond Best Practice Principles (BPP) Training

1. Welcome to the Diamond Best Practice Principles (BPP) Training

2. Agenda 1) What is it? 2) Why is it? 3) What’s in it for SunDiamond? 4) What are thethemes? 5) What is asked from you? 6) Presentations? • Business Policy • Health & Safety • Kimberley Process and AML • Disclosure

3. What is it? • A Code, a set of rules that aim at establishing a standard within the diamond industry on general themes like • Business Responsibility • Social Responsability • Environmental Responsability • The BPP is edicted by the Diamond Trading Company (DTC) as a formal part of the Supplier of Choice Contract 3) The BPP is similar to auto-regulations in other sectors (e.g. BRC)

4. Why is it? • It is a formal obligation for every DTC Sightholder under the Supplier of Choice contractto comply to the BPP 2) Stakeholders of the Diamond Industry expressed a demand for Responsible Practices and auto-regulations 3) The Industry must be able to indicate its genuine efforts to eradicate previous existing practices that tarnished its reputation

5. What’s in it for SunDiamond? • Obligations • Compliance to the BPP • Training and information • Audit internal/external • Subcontractors and clients • Opportunities • Pioneering in Good Business Practices • Accreditation of PurelyNaturalDiamond™ • Differentiation by marketing exploitation

6. What’s in it for SunDiamond? • 3)Expectations • Increase Consumer Confidence • Implement Best Business Practices • Commitment from every actor of the Diamond Industry • Consequences • SunDiamond Business Policy • Certification of Vietnam Factories: ISO 9000, OHSAS 18000, SA 8000 • Local training on BPP • PurelyNaturalDiamond™

7. Themes? • 1) Business Responsabilities • Ethical standards => Business Policy • Anti Money Laundering and Terrorism Financing => PPT presentation • Kimberley Process => PPT presentation • Disclosure => PPT presentation • Pipeline Management

8. Themes? • 2) Social Responsabilities • Employees => Business Policy • Health and Safety => PPT presentation • Diversity => Business Policy • Non-discrimination => Business Policy • Child Labour => Business Policy • Forced Labour => Business Policy • Human Rights => Business Policy • Community => Business Policy 3) Environmental Responsabilities=> Business Policy

9. What is asked from you? • Listen carefully • Ask questions • Read the Business Policy • Remember the essentials • Be able to answer if questionned on any matter of the BPP

10. The SunDiamond Business Policy

11. In general the SunDiamond Group of Companies Adheres to • UN Global Compact(10 principles) • The Universal Declaration of Human Rights • The International Labour Organisation • The United Nations Environment Programme • The United Nations Development Programme • The United Nations Industrial Development Organisation

12. In general the SunDiamond Group of Companies Is committed to • The Kimberley Process • BPP • FATF (40 recommendations) • USA PATRIOT ACT • The Canadian Diamond Code of Conduct • The JA Code of Ethics and Standards of Professional Conduct, the JA Supplier Code of Conduct • CIBJO and its many initiatives

13. Business Policy • Specific themes: • Integrity • People in the workplace • Health and Safety • Environment and Society • Observance of the Business Policy • Compliance Officer/ Chief Compliance Officer • Purpose of the document Read the BP (15 minutes) Sign it!

14. Health and Safety

15. Health & Safety Sources • National Legislations • SunDiamond Business Policy • Rules and Regulations • BPP

16. Health & Safety The Company Safety Manager • Name • How to contact him • He will be responsible to keep the RECORDS of accidents, diseases, absentee • Keep file on all accidents in order to learn and avoid them in the future

17. Health & Safety YOUR CONDITION

18. Health & Safety • Are you dizzy ? • Light headed? • Chilled and sweating? • Shortness of breath ? • Pain in center of chest spreading to neck, shoulder or arms? • Something gets caught in your throat • Sudden weakness/numbness of the face • Loss of speech / trouble talking or understanding speech • Sudden severe headache • Are you diabetic? eating or checking you blood sugar? • Are you allergic to certain things / been stung by a bee before? Get help as quickly as possible Be aware of your own condition

19. Health & Safety • Inform of your condition ahead of time and can prepare • Taking medications? - keep a list in your pocket • Let us know any special needs for your condition • Update information and the emergency contact. Time is critical - do what you can before the unexpected happens

20. Health & Safety Inform Immediately • Call ….. In case of emergency • If you aren’t needed - stay out of the way • Keep others away - keep area clear • Help direct emergency personnel • Respect the privacy of others

21. Health & Safety Use of alcohol drugs or tobacco is prohibited in SunDiamond workplaces SunDiamond does not allow working under influence of any illegal substance, drug or alcohol Alcohol-Drugs-Tobacco

22. Health & Safety FIRE

23. Health & Safety The Fire Triangle Fire Safety, at its most basic, is based upon the principle of keeping fuel sources and ignition sources separate.

24. Health & Safety Fuel Classifications Class A: Wood, paper, cloth, trash, plastics—solids that are not metals. Class B: Flammable liquids—gasoline, oil, grease, acetone. Includes flammable gases. Class C: Electrical—energized electrical equipment. As long as it’s “plugged in.” Class D: Metals—potassium, sodium, aluminum, magnesium. Requires Metal-X, foam, and other special extinguishing agents.

25. Health & Safety Fuel Classifications Most fire extinguishers will have a pictograph label telling you which types of fire the extinguisher is designed to fight. For example, a simple water extinguisher might have a label like this… …which means it should only be used on Class A fires.

26. Health & Safety How to Use a Fire Extinguisher It’s easy to remember how to use a fire extinguisher if you remember the acronym PASS: • Pull • Aim • Squeeze • Sweep

27. Health & Safety How to Use a Fire Extinguisher Pull the pin… This will allow you to discharge the extinguisher

28. Health & Safety How to Use a Fire Extinguisher Aim at the base of the fire… Hit the fuel! If you aim at the flames... … the extinguishing agent will fly right through and do no good.

29. Health & Safety How to Use a Fire Extinguisher Squeeze the top handle… This depresses a button that releases the pressurized extinguishing agent.

30. Health & Safety How to Use a Fire Extinguisher Sweep from side to side… .. until the fire is completely out. Start using the extinguisher from a safe distance away, then slowly move forward. Once the fire is out, keep an eye on the area in case it re-ignites.

31. Health & Safety Rules for Fighting Fires Fires can be very dangerous and you should always be certain that you will not endanger yourself or others when attempting to put out a fire. For this reason, when a fire is discovered… • Assist any person in immediate danger to safety, if it can be accomplished without risk to yourself. • Call 911 or activate the building fire alarm. The fire alarm will notify the fire department and other building occupants and shut off the air handling system to prevent the spread of smoke. If the fire is small (and Only after having done these 2 things), you may attempt to use an extinguisher to put it out. However . . . .

32. Health & Safety Rules for Fighting Fires . . . before deciding to fight the fire, keep these things in mind: • Know what is burning. If you don’t know what’s burning, you won’t know what kind of extinguisher to use. • Even if you have an ABC fire extinguisher, there may be something in the fire that is going to explode or produce toxic fumes. Chances are you will know what’s burning, or at least have a pretty good idea, but if you don’t, let the fire department handle it.

33. Health & Safety Rules for Fighting Fires Do not fight the fire if: • You don’t have adequate or appropriate equipment. If you don’t have the correct type or large enough extinguisher, it is best not to try fighting the fire. • You might inhale toxic smoke. When synthetic materials such as the nylon in carpeting or foam padding in a sofa burn, they can produce hydrogen cyanide, acrolein, and ammonia in addition to carbon monoxide. These gases can be fatal in very small amounts. • Your instincts tell you not to. If you are uncomfortable with the situation for any reason, just let the fire department do their job.

34. Health & Safety Rules for Fighting Fires The final rule is to always position yourself with an exit or means of escape at your back before you attempt to use an extinguisher to put out a fire. In case the extinguisher malfunctions, or something unexpected happens, you need to be able to get out quickly. You don’t want to become trapped.

35. Health & Safety Rules for Fighting Fires • Remember to keep an exit to your back • Only fight a fire in the incipient stage

36. Health & Safety Rules for Fighting Fires NEVER fight a fire if any of the following apply: • Don’t have the proper extinguisher or equipment • Fire has spread beyond its point of origin • Your instincts tell you GET OUT

37. Health & Safety Fundamentals of Electrical Hazards • To flow electricity must have a complete path. • Electricity flows through conductors: water, metal, the human body • Insulators are non-conductors • The human body is a conductor.

38. Health & Safety Do’s and Don'ts • Do plug power equipment into wall receptacles with power switches in the Off position. • Do unplug electrical equipment by grasping the plug and pulling. Do not pull or jerk the cord to unplug the equipment. • Do not drape power cords over hot pipes, radiators or sharp objects. • Do check the receptacle for missing or damaged parts. • Do not plug equipment into defective receptacles. • Do check for frayed, cracked, or exposed wiring on equipment cords.

39. Health & Safety Do’s and Don'ts • Employees should know the location of electrical circuit breaker panels that control equipment and lighting in their respective areas. Circuits and equipment disconnects must be identified. • Temporary or permanent storage of any materials must not be allowed within 3 feet of any electrical panel or electrical equipment. • Any electrical equipment causing shocks or with high leakage potential must be tagged with a Danger tag or equivalent.

40. Health & Safety Myths and Misconceptions • Electricity takes the path of least resistance. • Electricity wants to go to ground. • If an electric tools falls into a sink or tub of water, the item will short out. • AC reverse polarity is not hazardous. • It takes high voltage to kill; 120 volts is not dangerous. • Double insulated power tools are doubly safe and can be used in wet and damp locations.

41. Health & Safety Fire Safety - On-the-Job • Do not block fire extinguishers with equipment • Do not block fire emergency exits and escape routes • Utilize those with electrical expertise/installations/assistance • Do not overload outlets - use a track plug • Practice good housekeeping techniques in the work area • Inspect wires for possible damage and replace as needed

42. Health & Safety Evacuation Planning • Make sure that you know the escape routes . • know how to notify the fire department, and when to call for help. • Never open doors that are hot to the touch. • Remember to stop, drop to the ground and roll if their clothes catch fire. • Never re-enter a burning building • Your life is more precious than the diamonds ...

43. Health & Safety Machine Guarding

44. Health & Safety Machine Guarding Many fatalities have resulted from employees getting caught in rotating shafts such as well boring drills & lathes. Fixed guards: • A permanent part of the machine • Not dependent on any other part to perform the function • Usually made of sheet metal, screen, bars or other material which will withstand the anticipated impact • Generally considered the preferred type of guard. • Simple and durable

45. Health & Safety Machine Guarding This shows a pulleysystem which hascorrectguards to keepfingersand tools awayfrompinch points.

46. Health & Safety Machine Guarding • Robots can be deadly. • Establish a system to keep humans from getting into the robots work area. • Maintenance workers must use a lockout system.

47. Health & Safety What Is Workplace Violence? • Workplace violence • Any act of physical violence • overt aggression • Homicide, physical and sexual assault • Workplace aggression – emotional toll • Expressions of hostility • Gestures, facial expressions and verbal assaults • Threats of physical violence • Harassment, intimidation, bullying • Ostracism/shunning • Obstructionism • Passive/aggressive behaviors that impede job performance or achievement of organizational objectives

48. Health & Safety Behavior Warning Signs of Potential Violence and Their Probability of Occurrence (con’t) • Evidence of drug and/or alcohol dependence • Evidence of depression and withdrawal • A pattern of pathological blaming • Evidence of impaired neurological functioning • An elevated frustration level • An interest/fascination in weapons • Evidence of a personality disorder

49. Health & Safety Behavior Warning Signs of Potential Violence and Their Probability of Occurrence (con’t) • Unexplained increase in absenteeism • Noticeable decrease in attention to appearance and personal hygiene • Has a plan to “solve all problems” • Resistance and over reaction to changes in policies or procedures • repeated violations of the organization’s policies

50. Health & Safety Preventing Workplace Violence (con’t) • Administrative/Organizational • Programs • Workplace Violence Plan • Threat Assessment Team • EAP • Policies • Harassment • Workplace violence • SOPs