INTEGRATED REPORTINTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERBRASKEMSTRATEGIC PLANNING

Contents
A Message from the Business Leader
Braskem

Geographical Footprint
Organizational Culture
Corporate GovernanceBusiness Model
Highlights 2020

Strategic Planning

Risk Management
Challenges of the Covid-19 Pandemic
Focus on Sustainable Development

Capital Performance

Financial Capital
Manufactured CapitalIntellectual Capital
Human CapitalSocial and Relationship Capital
Natural Capital

About the Report
Materiality
ESG Dashboard

Credits

CAPITAL PERFORMANCEABOUT THE REPORTCREDITS

Striving for transparency in our communication toinvestors, customers, suppliers, associates and thecommunities where we operate, this enhanced report
combines our Annual Report, featuring the company's
sustainability indicators, and the Integrated Reportproviding relevant information to investors and otherparties in the financial market. This new model was
designed to communicate our intentions and actions
more clearly and concisely, showing how we generatevalue for the organization, our stakeholders and society.
This report and its annexes present our main results in2020 and the socio-environmental indicators associatedwith our production processes.
Enjoy the read!

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INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERA MESSAGE FROM THE BUSINESS LEADERBRASKEMSTRATEGIC PLANNING

CAPITAL PERFORMANCEABOUT THE REPORTCREDITS

03

A Message from the Business Leader
GRI 102-14

Roberto Simões
Braskem's Business Leader

The year 2020 was marked by uncertainties and atypical volatilities. The global spread of the Covid-19 andthe consequent lower global demand for fuels impacted
oil prices on the international market. While the huge
drop in demand forced us to reduce the capacity of ourfactories during the first half of the year, in later months
the global petrochemical industry bounced back stronger than expected, with strong demand for thermoplastic resins. The combination of higher consumption ofplastic materials, supply constraints and falling naphtha
prices led to healthier spreads.
In this context, we ended the year with strong generation of operating and financial results. Regarding our
focus on people, we worked to combat the pandemic
while seeking to support our entire value chain, and wehave made significant progress related to the geologicalphenomenon in Alagoas. We also renewed our long-termgoals, emphasizing sustainability as a strategic pillar
for our business and maintained our support to the UN
Global Compact and its principles.
Throughout 2020, we continued to focus on our objectives: improving people's lives by creating sustainablechemical and plastic solutions, capturing opportunities

and creating value for all stakeholders in our chain, andaddressing concerns regarding the future of the planetand society.
AGILITY AND COOPERATION IN FIGHTINGTHE PANDEMIC

We have adopted a series of measures to safeguard
people's health, protect the efficiency of our industrial and commercial operations and preserve our cash.
With the safety of employees and third parties in mind,
we took measures to protect those who were at thegreatest risk, operating with small teams and adopting
strict security protocols to prevent Covid-19 transmission. We soon had 100% of our corporate teams working from home, since workplace flexibility practices
have been in place for some years as part of our digitaltransformation.
We worked even closer with our value chain, supportingthem so they can not only survive but come out of thischallenging period safe and strong. Despite the temporary reduction in the use of our capacities, we met theneeds of our customers and the markets in which we
operate thanks to the synergies between our global units.

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERA MESSAGE FROM THE BUSINESS LEADERWe also provided a R$ 1 billion line of credit with special
conditions for our customers, analyzing their needs caseby case. We donated approximately R$ 11 million to surrounding communities and society at large in products orfinancial support in global actions against Covid-19.
Additionally, we adopted measures to preserve our cash,for example, by reducing investments and fixed expenses and optimizing working capital with relevant suppliers.
As shelter-in-place measures were gradually lifted after
the first pandemic wave, the global economy respondedwith strong recovery and increased demand for thermoplastic resins, mostly driven by the sectors of greatest
consumption during the pandemic - packaging and medical applications. In addition, we postponed the start ofoperations of new capacities in the global petrochemicalmarket, given the uncertainties associated with the evolution of the pandemic. These combined factors allowed
us to resume normal manufacturing and commercial
operations by the end of June, closing 2020 with a quarterly record of resin sales in the Brazilian market and sales
growth in the United States, Europe and Mexico, leading
to an operating recurring result of approximately R$ 11.0
billion and R$ 1.3 billion in free cash generation.
FOCUS ON BUSINESS STRATEGY

In corporate strategy, we made important advances
in initiatives related to our defined strategic pillars. In

BRASKEMSTRATEGIC PLANNING

CAPITAL PERFORMANCE

productivity and competitiveness, we reduced the rateof accidents with and without leave by 27% compared
to 2019, reaching the best result in the last four years
and underscoring our non-negotiable commitment toensuring safety for people. This improved safety record
reflects the stronger commitment from all levels of
leadership and the success of our Human Reliability Program, aimed at minimizing failures and losses in operational processes through extensive awareness-raisingand training for internal teams and third parties working
in the plants.

ABOUT THE REPORTCREDITS04

utilization rate by the end of the year. This new capacity reinforces our leadership in the USA polypropylene
market and makes us the largest producer in the Americas. The new plant enhances our balanced profile in raw
materials, featuring propylene as the most relevant raw
material for our global operations.

Regarding feedstock and supplier diversification wemitigated the effects of the shortage of raw materials
for our operations in Mexico through the Fast-Trackproject for importing ethane from the United States,
accounting for 9% of the plant utilization rate and supplying approximately 35,000 tons of imported ethane
in the last quarter of 2020.

Regarding the geological event in Alagoas, we reaffirmed our commitment to the safety of people andcommunities in the areas in which we operate andwe moved forward with the Financial Compensation
and Relocation Support Program. By the end of 2020,
we had relocated about 9,200 families in the neighborhoods affected by the geological phenomenon
and presented approximately 3,500 compensation
proposals, 99.7% of which were accepted. Reaching
agreements with the authorities, we extinguished two
public civil actions against Braskem and provisioned
approximately R$ 9.2 billion to date for the relocationand compensation of families, as well as infrastructure
works and the repair of environmental, urban and social
impacts in the affected areas, among other actions.
On the operational front, we resumed the productionof our chlorine-soda plant in Maceió, and will return
to integrated PVC and caustic soda production in thestate of Alagoas in 2021, now using imported salt as araw material.

We also advanced in geographic diversification, withthe start of operations of the new polypropylene plant(Delta Project) in La Porte, Texas, ramping up to 90%

Aligned with ethical and governance principles, we obtained the independent monitorship certificate issued
by the Brazilian Federal Public Ministry, the United

In addition, we renewed contracts for the supply ofnaphtha, ethane and propane to petrochemical plants in
Brazil and implemented Transform for Value, a program
designed to coordinate, accelerate and focus on thecompany's main process and productivity improvement
initiatives, capturing an estimated cost savings of
US$ 55 million per year in 2020.

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERA MESSAGE FROM THE BUSINESS LEADERStates Department of Justice (DoJ) and the Securities and Exchange Commission (SEC), attesting that
we have complied with the obligations of the global
agreement signed with the authorities and confirmingthat we have implemented an effective and robust
Compliance Program. In fact, the program has beenrecognized by Brazilian public institutions and will serve
as a model for other leniency agreements to be signedin the country.
In relation to financial health and discipline in the allocation of capital, we ended the year with positive cash
generation thanks to our strong operating result androbust cash position (US$ 2.9 billion), with sufficient liquidity to cover debt maturity over the next 84 months.
In parallel, our deleveraging plan reduced corporate
leverage from 4.71x in 2019 to 2.94x in 2020.  
A MORE SUSTAINABLE FUTURE, TODAY

In 2020, we approved our Global Sustainable Development Strategy, which publicly consolidates our medium-and long-term objectives regarding the material topics
for our business and aligned with the UN Sustainable
Development Goals and the Paris Agreement. As part ofthis strategy, we expanded our efforts to intensify ourcontribution to a Circular Carbon Neutral Economy. Our
goals are to achieve carbon neutrality by 2050, reduce
scope 1 and 2 GHG emissions by 15% by 2030, and increase sales of our products with recycled content to 1

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CAPITAL PERFORMANCEABOUT THE REPORTCREDITS05

million tons/year by 2030.

OUTLOOK FOR 2021

We will follow a clear action plan with clearly definedand monitored goals, based on a broad portfolio of investment and research projects related to sustainability. We already made significant progress during 2020,
mainly in combating climate change and eliminating
plastic waste.

Progress in treatments and vaccines against Covid-19
to control the number of cases and new variants will bea key factor for the effective global economic recovery. The likely petrochemical scenario includes healthier resin spreads in 2021, with sustained strong global
demand. Chemical and plastic solutions will remain
essential in 2021 and beyond, and we at Braskem will
move on to implement the initiatives of our strategicpillars. Our key areas of focus will be to ensure safe
operations, advance in actions related to the geological phenomenon in Alagoas, find a definitive solution
for the supply of ethane to our operations in Mexico,
maintain our financial health, accelerate innovationand digital transformation and implement our commitments to sustainable development. We are firmly
committed to delivering value to all our stakeholders,
today and in the future.

We celebrated the 10th anniversary of our Green PE,
internationally recognized for combining a renewable
raw material with CO2 capture capacity, reaching ahistorical sales record of 170,000 tons. Reinforcing ourcommitment to combining sustainability with business,
we announced the expansion of our production of green
ethylene, the raw material made from sugarcane ethanol used to produce Green PE. We also signed contracts
for the purchase of competitive renewable energy,
reaching an estimated 1.5 million avoided CO2 emissions,and we announced partnerships to enable studies oncarbon capture technologies.
On the plastic waste frot, we announced partnershipsthat will make it possible to sort and mechanically recycle such waste, and moved forward in a partnershipfor enhanced chemical recycling technology. In addition, we expanded global sales of resins with recycledcontent, growing 284% compared to 2019 to a total of
7.3 ktons sold.

Roberto Simões
Braskem’s Business Leader

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A MESSAGE FROM THE BUSINESS LEADER

Braskem
Geographical Footprint
Organizational Culture
Corporate GovernanceBusiness Model
Highlights 2020

Braskem SA is a global company that aims to improve
people’s lives by creating sustainable solutions throughchemicals and plastic. Our company was founded in
2002, and today we are the sixth largest petrochemical company worldwide, the leader in the Americas in
the production of thermoplastic resins and the global
leader in the production of biopolymers. GRI 102-1
Cracking large-molecule petroleum derivatives, natural gas and ethanol, we produce basic chemical inputs, such as ethylene, propene, butadiene, benzene,
toluene, paraxylene, cumene, gasoline and caustic
soda; and plastics, such as polyethylene (PE), polypropylene (PP) and polyvinyl chloride (PVC). Our products
are sold to companies in different industries, and thentransformed into a variety of solutions for health,mobility, food, infrastructure and consumer goods.

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INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADER

Our industry GRI 102-2, 103-2, 103-3 | 301

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CAPITAL PERFORMANCE

pensable elements in the production of hospital
items, hygiene products and packing.

Chemicals and plastic are part of a great numberof simple and complex daily activities, and indispensable for many other industries. That is why
the petrochemical sector is considered essential
for the global economy, and even more so during
the pandemic as chemicals and plastic are indis-

Our sector is highly sensitive to global changes insupply and demand, and therefore cyclical - there
are peaks when demand is greater than supply,
leading to higher profit margins. Likewise, slack
periods bring lower margins.

ABOUT THE REPORTCREDITS07

Today our industry is experiencing lower polyethylene prices due to the entry of new petrochemicalplants in the US and Asia, with new capacities affecting the global supply and demand relationship. Our
diversification strategy is designed to mitigate theeffects of this cycle. Find out more about our workin this sector and the competitive scenario in thismarket in our Reference Form Annual Reports.

Propylene

EtheneCrop defensives

PP

Aluminum

UTEC

RubberPCR

Footwear

Chlorine-soda

Automotive fuels

PVC

Construction

EDC
EthenePropylene
Butadiene

CHEMICALS

PropaneGreen PE

Home appliances
Pharmaceutical and hospital items
Lubricants
Furniture and floors

Paraxylene

Packaging and bags

BenzeneSteel mills

TolueneCoversSolvents

Paint
Pipes and fittings

Gasoline
Other chemicals**High Purity Propane, Orthoxylene, Isoprene, Butene1, Hydrogen, ETBE / MTBE, Aromatics, among others.

Household items

Housing andinfrastructure

Performance improvement
and cost reduction

Availability of waterand sanitation

Higher efficiency
at lower cost

HealthGreater durability and impact
resistance, lower costand rejection in the human
body, less contaminationand greater hygiene

Agriculture
and food

Increased productivity,with lower water costs
and reduced food waste

Mobility

Greater passenger safety,
corrosion protection,
fuel economy and lower rateof pollutant emissions into
the atmosphere

BENEFITSVINYLS

EthanePRODUCTSRAW MATERIALS

Ethanol

Adhesives

KEY REQUIREMENTS

NaphthaPE

APPLICATIONSPOLYOLEFINSPRODUCTS FLOWCHARTINTEGRATEDREPORT 2020

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CREDITS

Geographical Footprint
GRI 102-4, 102-6, 102-7

We have a global presence, with
41 industrial units spread overBrazil, Mexico, the United Statesand Europe, and 14 businessoffices worldwide, including our
Head Office in São Paulo.
We achieve results through acommitted team of 8,000 teammembers in 11 countries. Ourannual capacity is 10.7 million tonsof chemicals and 9.3 million tonsof thermoplastic resins. This wideand diversified product portfolio istransformed by our clients in morethan 87 countries.

EuropeUnited States
2 offices• Philadelphia• Houston

Mexico1 office• Rotterdam(The Netherlands)

4 industrial
plants2 industrial plants(Germany)

6 industrial plants

Latin America
5 offices• Lima (Peru)• Santiago (Chile)• Bogota (Colombia)• Cidade do Mexico (Mexico)• Buenos Aires (Argentina)

Brazil4 offices• Salvador• São Paulo• Rio de Janeiro• Porto Alegre
29 industrial plantsAsia
2 offices• Singapore• IndiaINTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADER

Organizational Culture
We are a human-oriented company, and we aim to be recognized as one of the best companies to work for by 2025.
Our culture is based on diversity, inclusion, equity, respect,
trust and empathy. Since 2019, our values have been translated into the seven BeUx pillars that represent our value
proposition to associates:

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GRI 102-16

1. You play the leading role

4. Build your own path

Our relationships are based on trust, and this is the key
to transformation. We encourage our team members
to make a difference every day as they take actions andmake decisions.

There is no single track for personal, professional andcompany growth. Our associates are encouraged tochart their own route and make challenging choices thatwill push them out of their comfort zone.

2. Challenge and be challenged

5. Grow with us

We encourage our associates to question the way things
are done and to challenge themselves and others to do
better every day. We believe that we only grow and learn
by interacting with each other.

There are many opportunities for growth. Our associates are motivated to try and go further and as part of an
ethical, transparent and prosperous company.

3. Co-create your ideas

6. Take pride in what you do

We must work as a team to reach our desired goal ofinnovation. If a team member has an idea, they shouldshare it and then make it happen.

We are part of sustainable solutions that improve people's quality of life and help develop the communities
where we operate.

7. Be free to be you
Our key values include unconditional respect for individuals and diversity. We value each associate and encourage them to be who they are, providing equal opportunities for all.

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Corporate Governance
GRI 102-18

Since our company was founded in 2002, we have beencommitted to aligning the interests and expectations of
all stakeholders within our business through the ethical,
responsible and transparent behavior of all Braskem
associates and governance bodies aiming to ensure we
generate value in the short, medium and long term.

MAIN shareholders
Our main shareholders are Novonor(formerly Odebrecht), which is the
majority shareholder, with 50.1% of thevoting capital shares, and Petrobrás,
which holds 47% of the voting capitalshares. The remaining 2.9% are distributed on the stock market or in treasury.
The company has a free float of 25.5%of total capital, which provides liquidity for shareholders who wish to trade
their shares in B3. Learn more about
Braskem's corporate structure andshareholding structure on our Investors
website. Access here.

To this end, we follow the Brazilian Corporate Governance Code (CBGC), seeking to acomplish with bestpractices in the field: we are listed in the Level 1 corporate segment at B3, also meeting some practices ofLevel 2 and Novo Mercado segments. as 100% tag along
for all shareholders in the event of a transfer of control.
Our bylaws also require that at least 20% of the members of the Board of Directors be independent directors.
See the stock exchanges where Braskem is listed andlearn more about our Corporate Governance practices.

Governance structure
GRI 102-18

The highest governance body is the Board of Directors,
which ended 2020 with its largest number (11 members, including a president and a vice-president), fourof whom are independent members. Our Governancestructure is also composed of a Statutory Executive
Board a Fiscal Council, besides Board of Directors supportive committes, including the Compliance Committee, which is forseen in the Company's Bylaws and iscomposed by 3 independent members. Access here tolearn more about the structure and attributions of each
body, its regulations, training, members and their curriculum vitae and get to know more about our governancestructure. The set of policies approved by our Board isalso available online. GRI 102-19, 102-20, 102-22, 102-23, 10224, 102-25, 102-26, 102-27, 102-28

To learn more about our governance and compliancemanagement, visit:
Governance and Compliance Policies.

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CREDITS

Ethics and Compliance
GRI 102-17, 103-2, 103-3 | 205, 206, 406, 415, 419

We uphold high standards in Internal Controls, Risk Management, Internal Audit and Compliance and we have an Integrity Program aimed at preventing, detecting and remedying
possible deviations. We continuously perform inter-arearisk assessments and carry out internal and external audits
under SOX and ABAC (Anti-Bribery and Anti-Corruption)
rules: 100% of our Braskem operations were subjected tocorruption-related risk assessments. GRI 205-1
Over the course of 2020, we adopted several socioeconomic compliance initiatives, including:• C onclusion of the external and independent monitorship, after recognition of the effectiveness of thecompliance program• Publication of follow-up reports on Braskem's Integrity
Program, submitted to the Transparency and Corruption Prevention Secretariat (STPC) of the Federal
Comptroller General (CGU);

Our compliance practices are
based on a set of measures toprevent, detect and remedy risks• Started ISO 37001 certification process - Anti-Bribery
Management System;• Compliance training;• Engagement in collective actions by institutions suchas the ETHOS Institute, and the UN Global Compact,
besides support to class associations.
We have a robust and modern compliance system tosupport our associates. This system is part of our Global
Compliance System Policy which sets out guidelines,
duties and responsibilities for associates and operations worldwide, and defines the governance instances
responsible for their enforcement.
Thus, our compliance practices are based on a set ofmeasures to prevent, detect and remedy risks. Alongthese lines, 100% of the members of the governancebodies were notified and more than 93% received training on anti-corruption policies and procedures.

Find out more about the members
who also received training in the
GRI Annex. GRI 205-2

Our Compliance System applies to all associates, activities and operations, and must be systematically monitored and enforced by the Board of Directors. We put
in place a series of initiatives and tools to enhance our
ethical commitment. Some key resources:•

Code of Conduct•

 overnance and Compliance Policies
G
that stablished the Ethics Line Channel•

Global Anti-Corruption Policy GRI 205-1

PERSONAL Data
Protection Program
We consolidated the Personal Data Protection program establishing the Privacy Committee, strengthening our service channel,
ensuring data from participants, suppliersand customers is processed on an adequate
legal basis and following the principles established in Braskem's Privacy Policy; we also
reinforced our standards in critical areas
responsible for processing personal data.

To learn more,
click here.

INTEGRATEDREPORT 2020

Free competition
We have internal and regulatory policies
that address this topic, such as the Free
Competition Policy, the Policy on Relationshipwith Trade Associations and Class Entities
and the Investment and Divestment Policy. In
2020, we conducted competitive training in
Brazil, Europe and the United States, including
sessions for the Board of Directors. We
also prepared the Competition Booklet for
Members of the Commercial Areas in Brazil,
describing how we monitor and assess unfair
competition.

We have a sophisticatedIntegrity Program that aims todetect and address possible
deviations in conduct

A MESSAGE FROM THE BUSINESS LEADERBRASKEM
BRASKEMSTRATEGIC PLANNING

CAPITAL PERFORMANCECONCLUSION OF

independent monitorship GRI 205-1

In 2020, after a three-year independent monitorshipprogram, the Federal Public Prosecutor's Office (MPF),
the Department of Justice (DoJ) and capital market
regulatory agency SEC confirmed that our complianceprogram fulfills all obligations defined in the agreements with the corresponding authorities.
The authorities relied on the final report presented
by the independent monitors, which confirmed that
all recommendations related to the structure andoperation of the compliance program were effectively implemented and that the program fully meetsthe standards established in the agreements. The
Prosecutor's Office (MPF) probed the program thoroughly and found that our compliance program wasefficient; it will in fact serve as a model for other
leniency agreements to be signed in the country. Having proven our firm commitment to ethics we havenow successfully concluded the monitoring period
established in the agreements.
Over the course of the independent monitorship audit, we have established even stricter anti-corruption
control policies, putting in place mechanisms to ensure
integrity and providing training on compliance issues.
For more information, visit this link.

ABOUT THE REPORTCREDITS12

INTEGRATEDREPORT 2020

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CAPITAL PERFORMANCEABOUT THE REPORTCAPITAL

Business Model
We are a global, human-centered, future-oriented
petrochemical company that uses valuable capital to produce an ample and diversified portfolioof chemical and plastic products transformed byour clients and applications that meet daily humanneeds and improve people’s lives.
Firmly anchored in our strategy and culture, ourbusiness model creates and distributes value among
all our stakeholders, in the short, medium and longterm, maintaining the financial health of the company and its investments.
Always aware of trends, risks, innovations and opportunities, we have incorporated the circular economy into our business strategy, aiming to contributeto the proper disposal of plastic waste generated bysociety. This new business model was consolidated
in 2020 with the launch of the I'm green ™ portfolio,
which now includes Braskem solutions for a circular carbon neutral economy, including recycled andrenewable origin products.

These are the diverse, multicultural and skilled people who run our business in a more
inclusive and humane manner; who are committed to abiding by the applicable laws
and industry norms on health and safety; who embrace the spirit of integrity andsee ethical behavior as a competitive advantage; who do the right thing out of theirpersonal conviction.

The body of knowledge (patents, technologies, systems,
platforms, brands and copyrights) that allows us toinnovate and seek the technological development of morecompetitive and sustainable products and processes.

INTELLECTUAL

We transform our main raw materials (naphtha,
ethane, propane, propylene, ethanol), as well as waterand electricity, supporting and cooperating with ourcustomer chain to offer solutions for an increasingly
sustainable society.

NATURAL

The bonds of trust with our stakeholders that allow
us to conduct our business, expanding our positivesocio-environmental impact and contributing to thesustainable development of the communities where we
operate.

The fixed assets (industrial units, pilot plants, innovationand technology centers, technical laboratories, logistics
warehouses, train cars and cargo terminals) we deploy
in the development, production and distribution of our
products.

Cash generated by our operations, bank loans andfinancing, and funds raised in the capital market used
to finance our business.

HUMAN

SOCIAL AND
RELATIONSHIPMANUFACTUREDFINANCIALCREDITS13

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERBRASKEM
BRASKEMSTAKEHOLDERSINTELLECTUALFINANCIAL

Researchers
Tech partners
Consultants
Universities
Research centers

NATURAL

Suppliers
Government
Non-governmental organizations
Surrounding communities
Opinion leaders
End users

SOCIAL AND
RELATIONSHIP

Surrounding communities
Government
Non-governmental organizations
Peer companies
Class associations
Opinion leaders

MANUFACTUREDCAPITAL PERFORMANCEINPUTSABOUT THE REPORTOUTPUTS• Diversity• Multiculturalism• Competences• Ethics and ComplianceTeam members
Interns
Third parties
Board members

HUMAN

STRATEGIC PLANNING

Suppliers
Services providers
Clients

Shareholders
Financial institutions
Governments
Debt investors
Rating agencies• Patents• Technologies• Systems• Platforms• Naphtha• Ethane• Propane• Propylene

OUTCOMES• PROFESSIONAL AND PERSONALACHIEVEMENT• TRAINING AND DEVELOPMENT• Brands• Copyrights• Processes• Etanol• Plastic waste• Water• Electricity• Bonds of trust with
our stakeholders•Industrial Units•Pilot plants•Innovation andtechnology centers

14

CREDITS•Technical laboratories•Logistic warehouses•Train cars
•Cargo terminals• Cash generated by our operations• Bank loans and financing• Funds raised in the capital market• DIGITAL TRANSFORMATION• CLEAN TECHNOLOGIES• ECO-EFFICIENT PRODUCTS• OPERATIONAL EFFICIENCY

Portfolio of
innovative andsustainablechemical andplastic products
transformed byour customers into
applications thatmeet daily humanneeds and improve
people's lives• WATER CONSUMPTION• WATER REUSE• ENERGY CONSUMPTION• CLEAN ENERGY• ENERGY EFFICIENCY• CO₂ EMISSION• EMISSION OF POLLUTANTS• WASTE GENERATION• EFFLUENT GENERATION• CO₂ CAPTURE• RECYCLING• COMMUNITY
WELL-BEING• TRANSPARENTRELATIONS WITH
GOVERNMENT• FREE COMPETITION• CLASS AGREEMENTS• DIALOGUE WITH
SOCIETY• CUSTOMER LOYALTY• REPUTATION• RELATIONSHIPS WITH
SUPPLIERS• EFFICIENCY OF INSTALLED CAPACITIES• EXTENDED USEFUL LIFE

• DISCIPLINE IN CAPITAL ALLOCATION• DISTRIBUTION OF ADDED VALUEINTEGRATEDREPORT 2020

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15

Highlights 2020
FINANCIAL CAPITALINTELLECTUAL CAPITALSOCIAL CAPITAL• R$ 11 billion recurring Operating
Income.

• Enhanced technology for the production of renewable PET (green MEG), with the first production ofrenewable MEG on a demonstration scale.

• Action in the pandemic: R$ 1 billion credit line
for plastics, solvents and specialty chains clientes in Brazil.

• Maceio case: approximately R$ 409 million
paid in financial compensation and othertemporary aids to families.

• R$ 1.3 billion Net Cash Generation.

• 20 startups accelerated through Braskem Labs.

• R$ 600 million subordinated bonds
issued, with 50% equity treatment byStandard & Poor's and Fitch Ratings.

• L aunched in the Americas a new portfolio of products for 3D printing as polypropylene (PP) filaments,
powders and pellets.

• Global Volunteer Program mobilized 1,070
volunteers, benefiting about 21,000 people
even during the pandemic.

• 2.94x corporate leverage ratio.

•P articipation in the 100 Open Corps innovation ranking of companies that have the greatest engagementwith startups in Brazil.

• During the pandemic, we made more than
80 donations: more than 40 million masks
and face-shields produced with our resins, 1.2
million packages for gel alcohol, 800 thousand aprons and lab coats for frontline healthprofessionals and support for the construction of a field hospital in Alagoas.

• R$ 58.5 billion Net Revenue.

• Signatory of the CFO Principlesof the United Nations Global Compact.

MANUFACTURED CAPITAL• Pipeline of digital transformation projects set tocapture up to R$ 665 million per year.

HUMAN CAPITAL• 284% increase in global sales of recycled materials (resins and chemicals),reaching 9,000 tons sold.

• 69% of team members participated in the well-being
thermometer survey, used to design action plans forsocial distancing.

• Start of operations of the Delta Project plant, in La Porte, Texas, making
Braskem the largest producer of polypropylene in the United States.

• Flexible workplace with home office, review of shifts,
purchase of personal protective equipment and actions to provide emotional and psychological support
during the pandemic.

• Partnership with Valoren: R$ 67 million
investment in the new recycling line andexpansion of the post-consumer resin
portfolio in Indaiatuba (SP).

•S election of interns adapted to ensure a more inclusive process, with 38% of the job openings filled byblack candidates.
• Reached 30% of women team members in leadership
positions.

• Social action during pandemic: R$11 million
donated globally.

• Our Reputation improved in comparison to2019, especially among our team members,
where it showed a record increase.
• R$ 32.7 million invested in 137 social initiatives(usual donations, pandemic-specific donations, Private Social Investments (ISPs) andvolunteering) and more than 236,000 people
impacted directly.

NATURAL CAPITAL• Commitment: 15% reduction in emissions by
2030 and becoming carbon neutral by 2050.
• Expansion of the I'm green ™ portfolio: reach
300,000 tons of thermoplastic resins andchemicals with recycled content by 2025 and 1
million tons by 2030.
• 10 years of Green PE, recognized by ECLAC(UN) and Chemical Week.
• Partnerships to expand the use of renewableenergy with solar and wind farms in Bahia, Rio
Grande do Norte and Minas Gerais.

ALL CAPITAL• Approval of the Global
Sustainable Development
Strategy focusing on a circularcarbon neutral economy.

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERBRASKEM
BRASKEMSTRATEGIC PLANNING

CAPITAL PERFORMANCEABOUT THE REPORTCREDITSAwards & Recognition
In 2020, we won important awards on sustainability,
diversity, governance and innovation, recognizing ourcommitment to best market practices.

INTELLECTUAL CAPITAL• 100 Open Corps: for the third consecutive year, we areranked among the international 100 Open Corps, andrecognized as one of the companies that most engage
with startups in Brazil. The ranking analyzed more than
1,600 companies to draw up the list of leaders in open
innovation in Brazil.
• United Nations: our production of I'm green ™
biobased polyethylene, plastic from renewable sources
made from sugarcane, has been recognized by the UN
Economic Commission for Latin America and the Caribbean (ECLAC) and by the UN Global Pact Brazil Network as one of the most transformative innovations
in sustainable development in Brazil, in the Industry &Energy category.

HUMAN CAPITAL• 11th CIEE Best Internship Programs Award: we wererecognized as the third best company for interns,
according to CIEE (Company-School Integration Center). This classification was based on a survey with ourinterns on important aspects of the program, such as
career prospects, development and satisfaction.
• E xame Diversity Guide: for the second time in a
row we were recognized as the best company in theChemical and Petrochemical industry for diversity
promotion practices. We obtained above-average
grades in all categories, which include gender, people
with disabilities, ethnic-racial and LGBTI +. The award
is one of the results of our Diversity & Inclusion Program, which aims to promote a discrimination-freework environment.
• Bloomberg Gender Equality Index: Braskem wasselected by this index that considers company actions
to foster women leaders and talents, promoting equal
pay and inclusion. The indicator assesses and recognizes companies for successful gender initiatives. In
all, 380 companies from 44 different countries arefeatured in the index, of which only nine are Brazilian.

• C ompliance on Top 2020: executives from our team
were awarded at Compliance on Top 2020, a major
Brazilian event in the area. Our Chief Compliance Officer, Everson Bassinello, and the Compliance Leader
for South America, Akira Ano Junior, made the list of
the 30 most admired compliance professionals.
• Ethical Company (Braskem Idesa): Braskem Idesa wasrecognized by Amitai and Fortune Magazine as one of
the “Most Ethical Companies 2020” in Mexico.

16

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADER

NATURAL CAPITAL• CDP: we are the leader in three 2020 rankings: Water
Management, Climate Change and Supplier Engagement (Climate and Water). For the fourth consecutive
time, we made A List, the highest ranking in Water
Management, and we were leaders in Climate ChangeManagement for the sixth consecutive time (-A). For
the fifth consecutive time, we were featured amongleaders in Supplier Engagement (Climate and Water),and in 2020 we reached the maximum score A List.
• Chemical Week: we won the first edition of the Sustainability Award from the Financial Week & Sustainability Forum promoted by Chemical Week USA.
The award Best Sustainable Initiative went to our I'm
green™ portfolio of products for the circular economy.
• Carbon Efficient Index (ICO2): since 2011*, we have beenpart of the B3 Carbon Efficient Index portfolio, underscoring our commitment to transparency regarding emissions.

BRASKEM
BRASKEMSTRATEGIC PLANNING

CAPITAL PERFORMANCEABOUT THE REPORTCREDITSMANUFACTURED CAPITAL• ABRE 2020 Award: we won the 20th edition of the
ABRE Brazilian Packaging Award in the Popular Vote
category, for the packaging of the Always Free absorbent made with post-consumer resin. The product ispart of the I'm green™ line and was produced in partnership with Johnson & Johnson and Mega Embalagens, using 33% post-consumer resin and reducing
carbon emissions by 10.25%.
• Plástico Sul Award 2020: we received awards in two
categories of the first edition of the South Plastic Award
for Innovation and Sustainability. This award is granted toinnovative solutions for the environment. Our Reverse
Logistics Project for Bags and Big Bags was selected in the
Sustainability category and the Always Free Packaging produced with post-consumer resin won the Innovation award
in the Film Extrusion category.

FINANCIAL CAPITAL*with the exception of some quarters in which we did not integrate theportfolio due to the liquidity criterion during this period.

• Sustainability Yearbook: for the seventh consecutive
time, we were featured in the Sustainability Yearbook
for our environmental sustainability policies. At least
7,000 companies in the Dow Jones Sustainability Index
were analyzed for this ranking, which is considered areference for investors.

• Corporate Governance Stock Trade Index (IGCT): wewere again included in the IGCT portfolio of publicly
held companies with differentiated corporate governance practices, with additional criteria to the IGC(Differentiated Corporate Governance Stock Index).

17

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADER

Strategic
Planning
Risk Management
Challenges of the COVID-19
pandemic
Focus on Sustainable Development

Our strategic vision features six fundamental pillars as
we continue building a global company that is recognized as a leader in increasingly innovative and sustainable chemical and plastic solutions, focused on humanbeings and positive results for all stakeholders. The
innovation pillar is seen as a cross-organization enabler
for the ambitions of other pillars.
Sustainability was included as our sixth strategic pillar at
the end of 2020 to help us monitor the implementationof projects, partnerships and investments in light of ourcommitment to the 2030 sustainable development goals,
in response to current and future challenges for the planetand society.

BRASKEMSTRATEGIC PLANNING
STRATEGIC PLANNING

CAPITAL PERFORMANCEABOUT THE REPORTCREDITS18

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERBRASKEMSTRATEGIC PLANNING
STRATEGIC PLANNING

CAPITAL PERFORMANCEABOUT THE REPORTCREDITS

19

Strategic Pillars
Pilares

Objective

1. Productivity

2. Sustainability1

Priorities 2021

Aggregate capital• Best security performance in the past three years• Increase reliability and efficiency• Renewal of raw material contracts with Petrobras forof industrial operations
petrochemical complexes in Brazil• Ensure competitive supply of• Increased energy efficiency thanks to Digital Center tools
ethane to Braskem Idesa• Implementation of the "Transform for Value" Program

Manufactured
CapitalHuman CapitalIntellectual
Capital• Launched commitments for 2030 and 2050
• Signed long-term agreements for the purchase of• Advanced in the implementation• Reference in the global
renewable energyof ESG commitments
chemical and petrochemi• Advanced in partnerships for mechanical and• Intensified energy matrix divercal sector for its sustainablechemical recyclingsification, especially in renewable
development• Expanded production and commercialization of Green PE energy and alternative fuels• Expanded sales of products with recycled content

Manufactured
CapitalNatural CapitalSocial and
Relationship
Capital• Braskem as a firstquartile operator

andcompetitivenessActions in 2020

Increase
efficiency ininnovation
and accelerate Manufactured
Capitaldigitaltransformation• Increased diversification inraw materials, markets andproducts, with new operations representing morethan 50% of EBITDA• Started commercial production of the new PP plantin the U.S.
• Accelerated the project to import ethane in Mexico• 40% of the resin production capacity is now locatedoutside Brazil• Reduced dependence on naphtha as a raw material,
reinforcing leadership in PP in Brazil and in the Americas• Structure new growth models
and reduce risks with cooperative models• Expand product portfolio alignedwith business strategy

4. People,• Be recognized as a company that promotes local
development and humanrights• Significant progress in the financial compensation
program and support for the relocation of impacted
families• Diversity and Inclusion in the Internship Program• Conclusion of external monitorship and certification of
the Compliance Program• Advance with the Financial
Compensation and Relocation
Program in Alagoas• Strengthen Braskem's image
among team members, customers, suppliers, investors andsociety in general

Human CapitalSocial and
Relationship
Capital

5. Capital• Braskem as a financially he- • Significant reduction in corporate leverage
althy company that creates • P ositive cash generation, with strong operating results
shareholder value• Robust financial liquidity, with mostly long-term debt

• Reduce leverage and preserve
financial health

Financial Capital

3. Diversification

innovation,
governance andreputation

allocation/
financial rigidity

Innovation
enables allpillars

Safe action is a permanent focus for Braskem operations: it is a non-negotiable value within our strategy¹ The Sustainability pillar was included in our corporate strategy in 2021. Nonetheless, we already made several advances in this regard over the course of 2020, in particular regarding socio-environmental commitments for 2030 and 2050.
**Intellectual Capital is a cross-organization resource for all strategic pillars.

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADER

Risk Management

Risk

BRASKEMSTRATEGIC PLANNING
STRATEGIC PLANNING

Risk Description

CAPITAL PERFORMANCEABOUT THE REPORT

Risk assessment is an essential process at Braskem: itpoints to opportunities and reduces negative impacts
as we strive to achieve our strategic objectives. Our risk
management methodology is based on internationalreferences.
We classify risks into four categories - strategic, operational, financial and regulatory - based on a corporate
Risk Dictionary. Risks are periodically evaluated by thecompany's executives and undergo a Regional and Global
consolidation process, that considers their probability andpotential impact. The result of this analysis is presented
graphically on a Heat Map of priorities that is assessed
and approved by the Board of Directors. Once approved,priority risks are addressed and monitored for mitigationand preparedness to deal with their possible adverse
effects.
In 2020, we continued to implement measures for theprevention and mitigation of the risks assessed as priorities and integrated into the Corporate Risks matrix. In
line with our commitment to promoting best practices,
we highlight here some risks that are being addressed andmonitored by management:

The growing global concern for the environment andgrowing trend to ban single-use plastic

20

Potential Impacts

Responses• Difficulties in adapting our production processes in time, leading to
insufficient recycling levels, inability
to meet demand and consequentloss of market share, with adverse impact on company image andreputation

Since 2018, we have openly supported the “Circular
Economy” (reutilization and reuse of resources), withthe following mitigation efforts:
1. Develop value chain, design of products and theirapplications
2. Engage with consumers
3. Assess life cycle and recycling rates to identify moresustainable options
4. Engage in partnerships to avoid plastic waste in theoceansGRI 102-15, 103-2, 103-3 | 307, 412

Imageof Plastic

CREDITS

ClimatechangePopulations are showing increasing concern for the environment, and governments are aligning with the Paris
Agreement through public policies that encourage thereduction of greenhouse gas emissions• Stressed natural resources usedin our production, such as waterand stricter limits for emissions ofcarbon dioxide and equivalents

Our Climate Adaptation and Mitigation Plan seeks tocontinually increase the safety of industrial activities in response to extreme weather events and to
mitigate the adverse impacts of our operations on
the climate. In 2020 we announced our ambition
to reduce GHG emissions by 15% by 2030 and to
become carbon neutral by 2050, in line with the Paris
Agreement.
See more details in Water Security and Carbon Neutral discussions.

Sector Cyclicity

Historically, international petrochemical products
markets have had periods of limited supply leading tohigher prices and profit margins followed by an expansion in production capacity resulting in excess supply, shrinking prices and slimmer profit margins. Our
net sales revenue and gross margin are increasingly
influenced by global industry conditions over which
we have no control, and which may impact Braskem
operating results and financial situation• Difficulties in adapting the businessto petrochemical market volatility
as we develop our corporate strategies may lead to financial losses
and/or impair our competitiveness:this remains a key concern for
BraskemSeveral actions based on three pillars help us mitigate
the risks associated with downturns:
1. Diversification of raw materials with a focus onsustainability
2. Diversification of suppliers
3. Geographic diversification

Our company and operations are inherently exposed
to environmental, health and safety hazards. As aresult, our business is subject to strict environmental
regulations, among others• Despite our environmental, healthand safety standards, policies andcontrols, our operations remainsubject to incidents or accidents
that may adversely affect ourbusiness or reputation and resultin significant environmental andsocial impacts

We continuously assess the potential impacts of ourindustrial operations and monitor potential scenariosthat may affect the environment and surrounding
communities together with our Board of Directors

Social andEnvironmental
Issues* See other risks factors in Form 20F 2020, Annual ReportsINTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERBRASKEMSTRATEGIC PLANNING
STRATEGIC PLANNING

Transform for Value
Striving for constant evolution, we created in February2020 the Transform for Value Program, aiming to coordinate, accelerate and foster agility and flexibility among
our areas and flows, especially through process improvement. The program has four key objectives:• Consolidate visions and centralize initiatives to improve company processes, monitoring investments
and results.
• Prioritize resources, understanding that they can beshifted or reinvested to maximize returns.

This global program is focused on identifying initiatives
that can bring visible gains by the end of 2023. We will use
phases or stages to better measure, manage and communicate our progress in each initiative.
In its first year, the TFV Program implemented six
initiatives currently in stages four (ramp-up) and five(completed), with estimated savings of US$ 55 million/
year.* The goal for 2021 is to have 20 initiatives in stages 4 and 5, with estimated savings of approximately
US$ 160 million/year.

• Drive the implementation of key value-generating
initiatives.
• Improve the way we communicate our decisions andinvestments, so that all company members and thecommunities where we operate can understand ourintentions and follow our progress.

* Values related to initiatives in stage 4 (ramp-up), in which the values arerecorded when realized and stage 5 (completed), after stabilization and/or internal audit, according to the Transform for Value methodology formonitoring the maturity of program initiatives.

For more information, access our 2020 Management
Report: Annual Reports.

CAPITAL PERFORMANCEABOUT THE REPORTCREDITS21

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADER

Maceió Case
GRI 103-2, 103-3 | 307, 413-2

Regarding the geological phenomenon in Maceió, we reaffirm our commitment to the safety and well-being of
the communities, focusing on Braskem's full support tothe affected families and on the technical assessmentof the situation. For more information on the history of
events and our performance, follow this link.

Understanding the events
In March 2018, there was a 2.4-degree earthquake on
the Richter scale in certain neighborhoods in Maceió(AL), impacting the 35 rock salt wells we had explored
there for at least 40 years. The salt wells belonged
to Salgema, one of many companies incorporated
into Braskem when it was founded in 2002.As aconsequence of the earthquake, cracks appearedin buildings and streets. Soon after the event, werequested studies from independent specialized
institutions to identify the causes of the geologicalphenomenon and indicate measures to be taken.
We shut down the rock salt mining operation andcooperated with the necessary actions to evacuate risk
areas and ensure the safety of the local population.

BRASKEMSTRATEGIC PLANNING
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CAPITAL PERFORMANCEABOUT THE REPORTCREDITS

22

Braskem actions
In 2020, we signed agreements and amendments withthe competent authorities to support the evacuation andcompensation of local residents and property owners in
the areas at risk and to protect and monitor the affectedneighborhoods through our Financial Compensation and
Relocation Support Program (PCF). This Program is basedon the map of risk areas of the Civil Defense of Maceió,
published in december 2020 and independent technicalstudies contracted by the company.
By the end of 2020, we had relocated about 9,200
families and made about 3,500 compensation proposals, with an acceptance rate of 99.7%. This enabled us
to meet the 100% vacancy requirement in the priority
areas established by the agreement. The evacuation of
the remaining areas in still in progress, until we finish
relocating around 15,000 families covered by the program. Additional measures were implemented, such as
the Local Resident Central providing services for inhabitants, and Animal Shelter Program.
We also made progress with the Salt Well Closure andMonitoring Plan, with ongoing actions related to wells
under the recommended measures approved by National Mining Agency (ANM) and other urban structure
measures such as demolition, security and janitorial services in the vacated areas. In 2020, we made significant
progress in installing equipment to monitor salt wells

and surrounding neighborhoods, and we also began tofill the first salt well with solid material.
Finally, we signed the Second Amendment to the
Residents' Compensation Agreement and the Socio-Environmental Reparations Agreement with thecompetent authorities in December 2020. Under the
additional provisions, the Company undertakes to:adopt the necessary measures for the stabilizationof the wells monitoring of the soil; repair, mitigate orcompensate for potential environmental impacts anddamages resulting from rock salt mining in the city ofMaceió; and repair, mitigate or compensate for potential socio-urban impacts and damages resulting
from rock salt mining in the city of Maceió, allocating
the total amount of R$ 1,280 million to the adoption ofactions and measures in the evacuated areas as wellas actions and measures aimed at urban mobility andsocial compensation. Yet, within the agreement with
Federal Prosecutor Officer, we will destine the adicionalamount of R$ 300 million to idemnify collective socialand moral damages and eventual contingencies related to acitions in the vacated areas and urban mobility
actions.
Both agreements made it possible to extinguish public
civil actions against Braskem.

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERBRASKEMSTRATEGIC PLANNING
STRATEGIC PLANNING

VINYL OPERATIONFINANCIAL IMPACT

During the chlorine-soda unit shutdown, we imported
caustic soda and dichloroethane (EDC) to honor ourcommitments to customers. In order to resume ourchlorine-soda operation, we focused on the acquisitionof sea salt from third parties to be used as raw material
for the chlorine-soda plant in Alagoas, replacing brine.
The estimated cost of this acquisition project is approximately R$ 68 million, out of which R$ 64 million was
spent in 2020. We announced plant start-up in February
2021. After completing the commissioning process observing all applicable safety standards, we resumed production of chlorine-soda and EDC at the chlorine-soda
plant in Alagoas, going back to our integrated verticalbusiness model in Vinyl.

Considering the agreements signed, our internal evaluation and assessment by external consultants, andtaking into account the short-and long-term effectsof the technical studies, the existing informationand the best estimate of the expenses for the implementation of the various measures related to thegeological event in Alagoas, we closed the year withapproximately R$ 9.2 billion provisioned to comply
with the obligations resulting from the agreements,
in contrast with the R$ 3.4 billion provisioned in 2019.
Over the course of 2020, approximately R$ 1.2 billion
was spent on PCF-related expenses, on the closureand monitoring of wells and social/urban measures,among other expenses. Approximately R$ 409 million
out of the total was written off from the current account balance intended only for the fulfillment of PCF
obligations.

We ended 2020 with a provisionof R$ 9.2 billion to fulfill thecommitments arising from theMaceió case

Additionally, within the Residents' Compensation Agreement, the Company, DPE, MPF, MPE andDPU agreed to transfer an additional R$ 1 billion to
Braskem's bank account specifically for PCF Funding in 10 monthly installments of R$ 100 million each,starting in January 2021. As of May
5, 2021, the Company had made four deposits of
R$100 million each, with the other six remaining deposits scheduled for the subsequent months.

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INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADER

Our actions are based on technical studies carriedout by independent specialists and comply with therecommendations submitted to competent authorities. The Company is implementing the actions so far
approved by the ANM.
The plans for closure of the wells submitted to ANM
were prepared considering the best knowledge corpus
available to Braskem specialists regarding appropriate
measures to stabilize the geological phenomenon in
the region. The plans will be monitored over time andmay be adjusted according to the results obtained.
Continuous monitoring is crucial to confirm theoutcome of the current recommendations. In addition, the completion of studies to confirm the natural
filling of some cavities and sonar monitoring of cavity
behavior may in the future indicate the need for additional stabilization measures.

IN 2020 we relocated
9,200 families
from the neighborhoods affected by
the phenomenon in Maceió - 100% of
the priority areas have been vacated.

BRASKEMSTRATEGIC PLANNING
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CAPITAL PERFORMANCE

Our provisions are based on current estimates andassumptions and may undergo future updates due
to new facts and circumstances, including changes
in the execution time and extension, effectivenessof action plans and completion of current and futurestudies with new recommendations from experts andother new developments. Braskem still faces and we
may come to face several individual lawsuits filed byindividuals or legal entities that are not served by the
PCF or that disagree with the individual proposals foragreement, in addition to potential claims by public
service concessionaires.
As for the measures related to the mine closure plan,
they are subject to AMN analysis and approval, monitoring of the results of the ongoing measures, aswell as changes related to the dynamics of geologicalevents. The Company is implementing the actions so
far approved by the ANM.
Under the Socio-Environmental Reparations Agreement, the actions to repair, mitigate or compensate
for potential environmental impacts and damages tobe financed by Braskem will be defined after the conclusion of the Environmental Diagnosis to be carriedout by a specialized and independent company. At thepresent time, we cannot predict the outcome of these
Environmental Diagnostic studies or their potential
implication in disbursements in addition to the expenses already provisioned by the Company. In addition, the Socio-Environmental Reparations Agreement

ABOUT THE REPORTCREDITS24

provides for the eventual adhesion of other entities,
including the municipality of Maceió, which will be thesubject of continued negotiations over the next few
months. To date, we have not been able to predict theresults of such negotiations or any associated costs.
Thus, the Company cannot rule out future developments related to the topic or its associated expenses, and the costs to be incurred by Braskem may bedifferent from its estimates.
We are in discussions with insurers about the coverageof their insurance policies. The payment of indemnities
will depend on the technical evaluation of the insurance coverage of these policies, given the complexityof the matter. Accordingly, no indemnity was recognized in Braskem's financial statements.

For other details on the signed
agreements, please access our2020 Financial Statements,
note 26, by clicking here.

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERBRASKEMSTRATEGIC PLANNING
STRATEGIC PLANNING

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Timeline

2018

2019

1. A n earthquake is registered in some

1. B raskem commissions independent

2. A local Crisis Committee is installed

2. D efinitive closure of salt mining

neighborhoods of Maceió.

in Alagoas.

geological studies.

activities.

3. C reation of a protection area

based on a study by the Leipzig
Geomechanics Institute (IFG) in
Germany.

4. T erms of cooperation are signed

We have alloted a total of R$
9.2 billion to compensationand security actions in the
Maceió casewith City Hall to develop a numberof joint actions.

2020

1. W
 e signed an agreement with the

Public Defender's Office of Alagoas,
the Public Defender's Office of theFederal Government, the Federal
Prosecutor's Office and the Public
Prosecutor's Office of Alagoasthat establishes actions for theevacuation of the defined risk areas
and the start of the Compensationand Support Program for theRelocation of affected residents.
We have significantly advanced theimplementation of the plan regarding
residents and also regarding Large
Equipment.

2. P rogress in area monitoring measures, mine closure plan started.

3. A mendments to the agreement

signed with DPE, MPF, DPU and MPE
based on the update of the Maceió
Civil Defense Map, leading by the endof 2020 to the extinction of the ACP
for indemnification of Residents.

4. A greement signed with MPF and MPE
for the extinction of the Social andEnvironmental ACP.

5. A greement signed with MPT4 for theextinction of the Labor ACP.

6. T he brick-and-mortar Resident

Central was created and thenmigrated online due to COVID-19
restrictions.

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INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERBRASKEMSTRATEGIC PLANNING
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CAPITAL PERFORMANCEABOUT THE REPORTCREDITS

26

Challenges of the COVID-19
Pandemic
GRI 403-2

SAFETY FOR PEOPLE

The coronavirus pandemic brought an unprecedented
challenge for people and companies around the world.
At Braskem, we focused on building a robust contingency plan to mitigate the effects of the pandemic while
continuing to pursue our short-, medium- and longterm objectives. This plan had three main fronts:• Safety for people• Support for our value chain• Reliability and resilience for our operations

We quickly adapted our routine tohealth protocols, ensuring participant
safety and engagement

The plan enabled us to adapt to the new concept working safely and cooperatively ensuring fast response
thanks to the engagement of our professionals in the
new model. We soon resumed production and commercial activities, providing support to the plastic chain andcommunities and ensuring our financial health during
this challenging period.

To us, safety is a non-negotiable value. As the pandemic
spread in the first months of 2020, different actions weretaken to enforce social distancing at the company. Our
existing remote work model called Flex Office enabled us
to quickly implement home office for our employees. This
made it possible for 100% of our office teams to work fromtheir homes, reducing contacts and commutes.
Regional support programs helped associates transition
into the new model. In Brazil, online streaming eventsand courses provided assurance and support aroundfive pillars: Mental Well-Being, Physical Well-Being,
Social Well-Being, Support for Remote Work and Professional Improvement. Our 26 live events were attended
by 6,000 team members - 40% of all associates - andreached a satisfaction rate of 96%. In addition, ergonomic and technology kits were provided for associates
in home office mode.

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERIn Mexico, an exclusive website focused on associate
well-being: “Sentirte Bien” provided relevant medical information and psychological support over the phone. Employees migrating to home office mode received an allowancefor the purchase of functional, ergonomic chairs.
Work on the plants observed strict health protocols recommended by health agencies in Brazil and worldwide toensure a safe environment for employees and outsourced
personnel. We kept people at risk in their homes, reduced
our people in operations by 50%, revised shifts, implemented social distancing actions and purchased personal
protective equipment.
We were nominated for the CNN Heroes Award for an
exemplary action by the members of Marcus Hook's polypropylene plant, 20 miles from Philadelphia, Pennsylvania:
during the first months of the pandemic, with an exponential increase in the number of cases in the United States,
the team pledged to remain isolated for 28 days at thefactory to accelerate the production of polypropylene, theraw material used in the manufacture of N95 protective
masks and other medical supplies.

BRASKEMSTRATEGIC PLANNING
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CAPITAL PERFORMANCEABOUT THE REPORTCREDITSSUPPORT FOR THE VALUE CHAIN

DONATIONS GRI 203, 413

In addition to preserving the health and reliability of
our operations, we have also undertaken to support
our stakeholders: we got together with our clients
and with the communities where we operate to check
which of our products could help fight the pandemic.

We work cooperatively to combat the pandemic, dividing our operations into two main fronts: supportingthe communities surrounding our plants and supporting the fight against the pandemic along with ourvalue chain.

As part of the efforts, we granted R$ 1 billion in credit tosolvent clients in Brazil. The loan could be used to purchase plastic resins (PE, PP, PVC), caustic soda, solventsand chemical specialties. The credits were made available in a record 60 days, and were limited to R$ 600,000
per client, with interest rates established as 100% of the
CDI yield. This initiative preserved our production andthe financial stability of our partners, while also ensuringthat there was no disruption in the production of medical equipment for lack of raw materials.

On the first front, we donated hygiene and cleaningproducts to 50,000 families living around our plants in

Our Supplier Support Program featured two actions
with great positive impact. A special fund of R$ 58.9
million was used to advance payment of invoices forservices performed, and another R$ 6.71 million wasused to make partial advance payments to suppliers.

The plastic CHAIN
helps to fight COVID-19
Plastic plays a fundamental role in combating Covid.
Braskem brought together a task force with its value chain
to make donations possible in all locations where we operate.
More than 88 donations were made, with a total of morethan 40 million masks and face-shields produced with ourresins, besides 15 million disposable items such as packaging, cutlery, glasses and garbage bags distributed in hospitals and schools. Other health product donations included
1.2 million packages for gel alcohol, 800 thousand aprons
and lab coats for frontline professionals, 50 thousand hygiene kits, 16 thousand food baskets and 1 Field Hospital in
Alagoas (Brazil).

.

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INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADER

Brazil, provided basic food baskets for 1,200 families
that work in recycling cooperatives and we supported
the government of Alagoas in the construction of the
field hospital urgently needed to save lives during the
pandemic. Also in Alagoas, in April, in partnership withthe state government, we opened a screening center toassist patients with flu symptoms and thus help relieve
public hospitals during the pandemic peaks.
The second action front focused on supporting society
in general: we worked together with our chain to enable
the production of masks, face shields and other hospital and sanitary products. The thermoplastic resin we
donated helped produce at least 60 million masks andat least 1 million aprons, helping to ensure the safety ofhealth professionals and workers fighting COVID-19. In
Europe, we donated 150,000 mask strips to more than
2,500 health institutes. Altogether, we implemented 88
donation projects to combat COVID-19.

Find out more about our actions
against COVID-19 here.

BRASKEMSTRATEGIC PLANNING
STRATEGIC PLANNING

CAPITAL PERFORMANCEABOUT THE REPORTCREDITSRELIABILITY OF OPERATIONSNORMALIZED OPERATIONSIn terms of reliability of operations, the utilization ratesof our plants in Brazil and the United States were temporarily reduced responding to slack demand given
the slumping world economy and initiatives to reduceinventories along the petrochemical production chain.
Production planning considered stock levels along thevalue chain, scheduled maintenance shutdowns, priority products with greater demand in the pandemic
and the allocation of co-products to specific markets
and enabled us to honor our commitment to supply ourcustomers with reliable operations, leveraging synergies
between our global units to meet the needs of society.

As lockdowns lifted in a number of countries and the global
economy regained some strength, demand for chemicals
and thermoplastic resins also recovered. Thus, the utilization levels of our petrochemical hubs in Brazil and ourindustrial units in the USA returned to normal levels in June
2020. Our global sales followed suit, with a quarterly recordin Brazil in the third quarter. With operations and sales backto normal, we pre-paid our revolving credit facility in July
2020.

CASH PRESERVATION

Health and Safety remained a priority, and our members
and third parties are still working from home and/or rotating shifts in certain cases until the COVID-19 transmission
rates show considerable improvement, at which point wewill follow the return plan defined by the company.

Aiming to protect our finances and the resilience of ourbusiness in a scenario of uncertainties, we adopted aseries of measures to preserve our cash reserves. As apreventive measure, we withdrew US$ 1 billion from our
Revolving Credit Facility in May 2020 so we could provide financial support to our chain during the economic
contraction. We also committed to reducing investments and fixed costs, and optimized working capitalwith relevant suppliers.

Resin donated by Braskem in 2020enabled the production of 60 million
masks and 1 million aprons

28

INTEGRATEDREPORT 2020

Focus onSustainable
Development
GRI 103-2, 103-3 | 305

A MESSAGE FROM THE BUSINESS LEADERBRASKEMSTRATEGIC PLANNING
STRATEGIC PLANNINGABOUT THE REPORTCREDITS29

We achieved 85% of our 2009-2020 Macro Objectives
1. Health and Safety
To be recognized as a global chemical industry reference insafety (chemical, work and process)10. Strengthening of Practices
To be recognized in Brazil and worldwide asa chemical company that contributes tosustainable development.

2. Economic and Financial Results

84
94

9. Solution Development
To be recognized as a company that supports clients in the development of environmental and social solutions; to contributeto the perception of plastic as a solution forsustainable development with the potential
to improve people's lives.

8. Local Development

Back in 2009 we launched
our first 10 long-term social,environmental and economic
goals for 2020. We met 85%of the objectives, especiallyregarding climate change.

CAPITAL PERFORMANCE

To be recognized by surrounding communities
and society in general for our contribution tohuman development, demonstrated by theachievement of the “excellent” reputationlevel in the Citizenship Dimensionof RepTrakTM Pulse.

94

3. Post-consumption

99

7. Energy Efficiency

To be recognized as an important agent that
contributes to plastic recycling.

37
100

75

To be among the best large chemicalindustries in the world in terms of energy
consumption intensity and to be an importantuser of renewable energy.

To be among the three largest producers of thermoplastic
resins worldwide and to ensure sufficient profitability tosustain business perpetuity while maintaining Investment
Grade. More details in Growth strategy/Strategic
objectives.

4. Renewable Resources
To be recognized as a leader in the manufacture of chemicals and thermoplastic resins fromrenewable raw materials and to remain the world's
largest producer of thermoplastic resins fromrenewable sources.

75
94

100

5. W
 ater Efficiency
To remain a reference in the use of water resourcesin the global chemical industry.

6. Climate Change
To be among the best large chemical industries worldwide ingreenhouse gas emissions and to be an important sequester of
GHG emissions through the use of renewable raw materials.

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERBRASKEMSTRATEGIC PLANNING
STRATEGIC PLANNING

CAPITAL PERFORMANCEABOUT THE REPORT30

CREDITSNEW challenges: Circular
Carbon Neutral Economy
The year 2020 was the last in the period previously defined for reaching our 10 sustainable development dimensions, so we set out to identify new challenges for the next
decade (2020 to 2030), aligning our targets with new global demands. The definition of new Macro Objectives was alengthy, complex journey, involving more than 500 associates and leaders worldwide. This process materialized in
September 2020, when our Global Sustainable Development Strategy was approved by the Board of Directors.
The approved strategy was based on a comprehensive
analysis that covered global challenges and trends, the GRI
Materiality Matrix, Risk Management analysis for our business and our value chain, and also considered relevant issues
for society. The new targets address all social, economic andenvironmental aspects of sustainable development and arealigned with the 17 Goals of the 2030 United Nations Agenda.
Our priorities are the SDGs we can impact the most, and thecommitments in the Paris Climate Change Agreement.

OUR NEW COMMITMENTS
ARE SHARED IN SEVEN DIMENSIONSHEALTH AND
SAFETYFINANCIAL
AND ECONOMICRESULTSSUSTAINABLEINNOVATIONELIMINATIONOF PLASTIC WASTE

SOCIALRESPONSIBILITYAND HUMAN RIGHTS

As a result, we organized our long-term actions around sevendimensions, focusing on the Circular Carbon Neutral Economy, especially by combating climate change and eliminating
plastic waste.
Read our manifesto to learn more about our new
dimensions at Braskem. A more sustainable future today.

COMBATING
CLIMATE CHANGEOPERATINGECOEFFICIENCYINTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERBRASKEMSTRATEGIC PLANNING
STRATEGIC PLANNING

CAPITAL PERFORMANCE

Our goals and commitments
In line with our new commitments, we set targets for 2025,
2030 and 2050, mainly in combating climate change andeliminating plastic waste.

by2025
1. Expand our I’m green™ portfolio toinclude 300,000 tons of thermoplastic
resins and chemical products withrecycled content.

2. B e one of the best companies
to work for.

by2030
1. E xpand our I’m green™ portfolio

to include 1 million tons ofthermoplastic resins and chemical
products with recycled content.

2. P revent 1.5 million tons of plastic

waste from being incinerated,taken to landfills or discarded in theenvironment.

3. R educe scope 1 and 2 greenhousegas emissions by 15% from ourbaseline 2019 levels.

by2050
1. A chieve carbon neutrality.
2. D eal with social, environmental andhuman rights, and diversity, equality
and inclusion issues as they emerge
in economic, social and governancesituations, acting in an integrated andtransparent manner.

ABOUT THE REPORTCREDITS31

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERBRASKEMSTRATEGIC PLANNING
STRATEGIC PLANNING

CAPITAL PERFORMANCEABOUT THE REPORT32

CREDITS

GovernanceA clear governance structure and our Global Sustainability Development Committee will help us live up to
our commitments and ensure agile, assertive processes.
We created 10 work groups: seven of them are dedicated to the Macro Objectives and three are structuringgroups focused respectively on Governance, Concepts& Tools and Communication. Each work group is typically headed by a company vice-president who receives
direct support from an executive officer.

GLOBAL SUSTAINABILITY
DEVELOPMENT COMMITTEE

Advisory Board

Governance

External members provide guidance and bring new insights into ourstrategy

Concepts& Tools

PMO
Transform for Value +Sustainable Development

Communication

Provide support, flag opportunities
and help mitigate risks

1. Health & safety

2. Financial
and economic results

3. Eliminate
plastic waste

4. Combatingclimate change

5. Operating
ecoefficiency

6. Socialresponsibility
and human rights

7. Sustainable
innovation

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADER

Carbon neutral
circular economy
GRI 103-2, 103-3 | 306

We see Plastic Waste and Climate Change issues as
the main challenges for our business and value chain,and our Global Sustainable Development Strategy isdesigned to make us part of the solution for a carbon neutral circular economy. Read more about it in
Natural Capital.
CIRCULAR ECONOMY

Plastic is present in most people’s daily lives andpreserves the quality of products that come into
our homes. The plastic industry is responsible formillions of jobs, and companies in other industries
also use plastic to reduce production costs and saveenergy in their own production and distribution
processes.

BRASKEMSTRATEGIC PLANNING
STRATEGIC PLANNING

CAPITAL PERFORMANCE

Despite such benefits, the production of plastic is also
associated with significant environmental impacts. We arekeenly aware of our responsibility in this regard and havepublicly committed to strengthening the circular economy.

Our strategy for the transition to a circular economy isbased on mechanical and chemical recycling solutions.
We are partnering with the other players in our value
chain to strengthen mechanical recycling and overcome
technical and logistical barriers to ensure adequate
volumes of high-quality recycled material. We are also
working on enhanced technologies and solutions forchemical recycling. The ultimate objective is to transform plastic waste into chemical inputs, fuel or raw material for the manufacturing of new plastic products.
CIRCULAR ECONOMY STRATEGY

Mechanical and chemical
recycling solutions guide ourtransition towards a circular
economy1

2

3

Mechanical
Recycling

ChemicalRecycling

Projects

Continue to advance in its mechanical and chemical recycling projects.

CREDITSDESIGN for Environment

The circular economy proposes a systemic approach toensure continuous flow of resources, regenerating, retaining or adding value while contributing to sustainable development. This is the direction we will follow in all actions.

PLASTICWASTEABOUT THE REPORTSupport projects toavoid plastic waste.

Responding to society’s growing demands
regarding sustainability and circularity
entails much more than just using recycledmaterials. We need to rethink products
from scratch, from raw materials and inputs
to final consumer experience. Braskem
proposes combining our expertise in polymers
and transformation processes with brandowner insights into consumer behaviors anddesires. Working hand in hand, we can deliver
an incredible experience with the lowest
possible environmental impact. Aiming for
more sustainable and circular packaging,
we have developed an environment-friendly
design methodology that uses Product Life
Cycle Analysis to identify environmental
hotspots over time. Once a gap is identified
based on a scientific analysis, the next stepis to explore the consumer’s world andjourney to maximize product attractivenessand usability. The ideation to prototyping/
testing loop is repeated until we succeed
in combining sustainability, circularity andconsumer experience in a single product.
This methodology is already being used in our
Braskem Design Challenge33

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERBRASKEMSTRATEGIC PLANNING
STRATEGIC PLANNING

CAPITAL PERFORMANCEABOUT THE REPORTCREDITS

34

CARBON NEUTRAL GRI 103-2, 103-3 | 305

Climate change is one of the most urgent and important challenges we must face in the not-so-distantfuture. Carbon neutrality is a core concept within thestrategy to reverse or at least mitigate the problem.
According to the IPCC (Intergovernmental Panel on
Climate Change), carbon neutrality is obtained when
the total amount of greenhouse gases emitted is equal
to the total amount removed on a global scale. Reducing greenhouse gas (GHG) emissions can be doneby changing energy sources and industry processes,
compensating and/or capturing emissions.

In terms of reducing emissions, we are working on expanding the use of renewable energy in our operations
while constantly improving our energy efficiency. As aresult, in the past 13 years, we have reduced the intensity of our GHG emissions by around 17%. This effort
will help us achieve our intermediate target of reducing direct emissions (scopes 1 and 2) by 15%, from 10.8
million in 2019 to 9.2 million tons of CO2e by 2030. GRI

The chemical industry is one of the major sources ofgreenhouse gas emissions (GHE). On a global scale,energy-intensive chemical production processes
release 1.5 billion tons of CO2 into the atmosphere,according to the International Energy Agency.
We fully understand our impact in this respect andhave implemented several actions to foster energy
efficiency and expand the use of renewable energy
sources in order to achieve our goal of carbon neutrality by 2050. Our strategy to face climate change isdivided into three fronts.

305-5 | SASB RT-CH-110a.2.

STRATEGY TO ACHIEVE CARBON NEUTRALITYCARBONNEUTRALITY

Our goal is to reduce total
GHG emissions by 15%
until 2030 ( from 10.8
million tons of CO in baseyear 2019 to 9.2 million)

1

2

Reduction

Compensation

Reduce emissions
with a focus on energy
efficiency, as well as
increasing the use ofrenewable energy incurrent operations, establishing partnerships
aimed at innovationand technology.

Compensation ofemissions with potential investments in the
production of chemicals and polymers fromrenewable sources.

3

The second front is compensation, and it will go hand inhand with the expansion of our activities in the renewable products market. We will increase our output ofGreen Polyethylene with an additional 60,000 tons andplan to diversify our portfolio with new solutions basedon renewable raw materials

CaptureRead more about
Natural Capital.

Capture of carbon
emissions throughresearch and development to use carbon
emissions as a raw
material.

On the third front, our innovation teams are working
tirelessly to develop creative technologies to embedcarbon capture and use in our processes. Read more
about it in Intellectual Capital.
Read more aboutIntellectual Capital.

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERCapitalperformance
Financial Capital
Manufactured CapitalIntellectual Capital
Human CapitalSocial and Relationship Capital
Natural Capital

During this challenging year, we counted on the actionsof the crisis committee to deliver integrated results.
This section contains key information on our projects,
initiatives, results and business performance, organizedby capital and using accurate and reliable indicators. Thisis how we express our commitment to be transparent inour communication to society, our associates, clients,
suppliers and investors, showing how we create andshare value.

BRASKEMSTRATEGIC PLANNING

CAPITAL’S PERFORMANCECAPITAL PERFORMANCEABOUT THE REPORTCREDITS35

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERBRASKEMSTRATEGIC PLANNING

CAPITAL PERFORMANCECAPITAL PERFORMANCE

Financial Capital
GRI 103-2, 103-3 | 201

ABOUT THE REPORTCREDITS

36

Financial Performanceof Operations
RECURRING OPERATING RESULTDIMENSION 2:

Financial and economic results

US$ 2,082 million
38% higher than 2019
Variation justified by:

Our strict financial discipline, careful capital allocation and robust risk management are essential
elements to ensure healthy Financial Capital. In
2020, our recurring Operating Result was R$ 10,975
million and our positive Net Cash Flow totaled R$
1,276 million, with a leverage ratio of 2.94x, significantly lower than in 2019.

• Better spreads for resins and main petrochemicals in
Brazil, PP in Europe and PE in Mexico• Increased resin sales volumes in Brazil with record high inquarterly resin sales in the Brazilian market• Higher sales volumes in the United States, Europe
and Mexico• In local currency, the Adjusted Operating Result was R$
10.975 million, 85% higher compared to 2019 due to thedevaluation of the Brazilian Real (BRL) against the US dollar

Signature of the UN Global
Compact’s CFO Principles
In 2020, as a member of the CFO Task Force, an initiative promoted by the
UN Global Compact, we commited to implementing the CFO Principles for
integrating Sustainable Development Goals (SDGs) into our financial andinvestment management. This initiative will involve the definition of goals
related to our commitments to the SDGs, and is in line with our global strategy
and with the objective of contributing to improving people's lives throughsustainable development.

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERBRASKEMSTRATEGIC PLANNING

CAPITAL PERFORMANCECAPITAL PERFORMANCEABOUT THE REPORTCREDITS

Origin of Financial
Resources

Allocation of Resources

Capital Market

NET CASH FLOW GENERATIONINVESTMENTS:

US$ 555 million

BRKM3

8% below the
US$ 600 million(- 20.04% compared to 2019)

R$ 1,276 million

59% lower than in 2019
• Strong operating result• Monetized PIS/COFINS credits totaling
R$ 1.786 million• Reduced planned investments by 23%• Impacts partially set off by the impact ofworking capital in the cash flow in the firsthalf of the year due to lower purchasedvolumes of imported naphtha
AVERAGE DEBT MATURITY

19 years• 50% of the debt due later than 2030
• Average weighted cost of debt impacted
by exchange rate variation +5.3%
CASH POSITION

US$ 3,940 million• Assures timely payment for debt maturingin the next 84 months• Considers the revolving credit line of
US$ 1 billion, available until 2023

Corporate
leverage RATIO
Despite the adverse scenario resulting fromthe downturn in the petrochemical industry
and the uncertainties stemming from theCovid pandemic, we have been able to preserve and maintain our solid cash positionand long debt profile. In line with our firm
commitment to financial health and costdiscipline, we implemented a number ofmeasures to reduce our corporate leverage
ratio, aiming to return to investment grade.
Since the second quarter of 2020, we wereable to deleverage significantly, down from
7.1x to 2.9x at the end of 2020.
One of the measures taken was the issuance of US$ 600 million in hybrid bonds (subordinated bonds) in July 2020, with 50%
equity treatment by Standard & Poor's andFitch Ratings.

Including:•C onstruction of the new PP plant in
the United States (Delta Project) totaling R$ 802 million (US$ 162 million)

R$ 25.22 per share
BRKM3

R$ 23.57 per share(- 21.04% compared to 2019)• Uncertainties resulting from the
COVID-19 pandemic• Includes investments to restart chlorine-soda production in Maceió through theacquisition of sea salt

• Updates on the geological event in
AlagoasSTATEMENT OF VALUE ADDED (DVA)• Loss of investment grade by rating
agencies

R$ 9,599 million
38% higher than 2019

We aim to distribute our financial capitalin a way that adds value to all our stakeholders. To this end, all funds, whether
provided by third parties or deriving fromthe company’s own cash flow, are invested to generate added value for society.

See complete DVA
in the indicator center.

37• Controlled company Braskem Idesa
in Mexico affected by problems in thetransportation of natural gas and ethane
supplyFor additional information
on Financial Capital, visit ourManagement Report 2020.

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERBRASKEMSTRATEGIC PLANNING

CAPITAL PERFORMANCECAPITAL PERFORMANCE

Manufactured
CapitalABOUT THE REPORT38

CREDITSCAPACITY, PRODUCTION VOLUMEAND USAGE RATES 2020 (KT/YEAR)
2020

Financial and economic results

Brazil(chemicals and specialties)

DIMENSION 3:

DIMENSION 2:

Eliminate plastic waste
Using our fixed assets of R$ 36 billion, in 2020 we produced a wide and diversified portfolio of hundredsof products, with emphasis on thermoplastic resins,
especially polyethylene (PE), polypropylene (PP) andpolyvinyl chloride (PVC), implementing initiatives aimed
at increasing the productivity and competitiveness of
our operations. Our global production capacity in 2020
was approximately 21.4 million tons of chemicals andthermoplastic resins.

See more at Braskem
and Manufactured Capital.

9,468

7,636

81%

Brazil (green ethylene)

200

175

88%

Brazil (PE)

3,055

2,572

84%

Brazil (PP)

1,850

1,569

85%

Brazil (PVC)

710

449

63%

Brazil (caustic soda)

460

9

2%

Brazil (chlorine)

400

6

2%

Brazil (EDC)

520

0

0%

2,020

1,547

77%

Germany (PP)

625

493

79%

Mexico (ethene)

1,050

787

75%

Mexico (PE)

1,050

780

74%

21,40816,02375%

U.S. (PP)

Total*Closing of the chlorine-soda plant activities in Bahia, due to the end of the usefullife of this unit.

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERBRASKEMSTRATEGIC PLANNING

CAPITAL PERFORMANCECAPITAL PERFORMANCEABOUT THE REPORTCREDITS

39

Utilization Rates
and Sales

Renewal of Raw Material
Contracts

New PP Plant in the USA(Delta Project)

Ethylene Supply in Mexico

We aim to increase the utilization of ourpetrochemical plants to dilute fixed costs
and make our operations more competitive. In 2020, our capacity utilization rates
in general were affected by the temporary
reduction in activities with the sluggish
demand amidst the COVID pandemic; byscheduled shutdowns in the United Statesand Europe; and by the temporary interruption of natural gas supply in Mexico.

We renewed the raw material contracts
in Brazil with Petrobras, with guaranteed
supply of naphtha to the industrial units inSão Paulo, Bahia and Rio Grande do Sul, andof ethane and propane to Rio de Janeiro. The
prices in the five-year contracts are basedon international references.

Our polypropylene production was strengthened in 2020 with the
opening of the new PP plant in La Porte, Texas. This is the largest
polypropylene plant in the US (estimated annual production capacity >450,000 tons per year), and makes us the largest PP producer
in the Americas.

Braskem Idesa is a joint venture formed in 2010 inwhich Braskem holds 75% of the capital and Mexican
Idesa holds the remaining 25% under a shareholder
agreement. The company’s petrochemical complex
uses ethane as a raw material and consumes utilities
such as water, energy and natural gas. The operation
has long-term input supply agreements: ethane issupplied directly by Pemex and natural gas mainlyby the same state-owned company, in this casethrough Cenegas.

Yet the strong demand for thermoplastic
resins led to increasing volume of sales
in the Brazilian market, with a historicalquarterly record of resins sold, as well as
higher volume of sales in the United States, Europe and Mexico.

You can checkour 2020
operating result by region in ourManagement Report.

Additionally, to ensure access to the naphtha logistics system in Rio Grande do Sul,
we have also renewed tanking contracts withPetrobras as well as handling and tanking
contracts with Petrobras Transporte S.A.

The Delta Project
became the largest
polypropylene plant in
the United States, with
450,000 tons annual
production capacity

As the first plant built by Braskem in the US, the Delta Projectfeatures the most advanced technology for polypropylene production. Aligned with the principles of sustainability and eco-efficiency, the plant will have lower emission levels and generateless waste, operating with greater energy and water efficiency
and fostering recycling activities. The total investment in the
new facility was US$ 750 million, and the new unit will boost both
exports and domestic sales in the US market. Operations started
in September with significant ramp-up to 101,000 tons and 90%
utilization rate by the end of 2020.
Our modern innovation and technology center in Pittsburgh,
Pennsylvania, enables us to deliver pioneering polymers to ourcustomers. We have also announced the development of ourglobal export center in Charleston, South Carolina, to better serve
international clients.

Since 2017, Braskem Idesa has received lower volumes of ethane from Pemex than established in the
supply contract. In 2019, in order to increase the useof the petrochemical plant, Braskem Idesa implemented an alternative logistics solution for importing ethane from the United States through a private terminal in Coatzacoalcos, and we are involved inongoing discussions with the state company in the
search for constructive solutions to address the lackof ethane in Mexico.
At the end of 2020, Cenegas, the state agency
responsible for the pipeline and natural gas transportation system in the region, unilaterally interrupted the flow of natural gas to our petrochemicalcomplex, paralyzing our activities due to the lack of

For more information about our new PP plant in
the United States (Delta Project), click here.

INTEGRATEDREPORT 2020

energy inputs. We resumed activities partially in January 2021 under an experimental business model,
following safety protocols and reducing the impact
on our capacity to meet the demand of the Mexican plastic industry.
Aiming to assure continuity of operations in Mexico, in February 2021, we signed a memorandumof understanding with terms and conditions fordiscussing potential additives to the ethane supply
contract with Pemex, as well as for the development of an import terminal for ethane. In addition,
we signed an agreement for natural gas transportation services with Cenegas, with a final term of 15
years. This term is subject to the signature of thedefinitive ethane supply agreement with Pemex.
The ethane supply contract in Mexico is still valid
and in force to date.

For more information, seehere Form 20-F.

A MESSAGE FROM THE BUSINESS LEADERBRASKEMCAPITAL PERFORMANCECAPITAL PERFORMANCESTRATEGIC PLANNING

I’m GreenTM Portfolio

ABOUT THE REPORT40

CREDITS

Performance in Recycling

GRI 103-2, 103-3 | 301, 306, 301-2

Sales of our I'm green biopolymers (PE Verde) andresins with recycled content grew respectively 5% and284% compared to 2019, despite the weaker global demand in the first half of 2020 due to the COVID pandemic. Recycled products reached 9,000 tons sold while
Green PE reached 170,000 tons sold, both historical
records. Regarding recycled products, we have expanded
our partnerships and commercial activities to all regions
where we operate.
TM

I'M GREENTM SALES (TONS.)
2020

2019

VAR

Recycled

9,067

2,261

284%

Brazil

4,490

1,695

165%

Resins

2,765

996

178%

Chemicals

1,725

699

147%

U.S. and Europe

1,810

666

172%

Mexico

2,766

–

n.a.

Green PE

169,632

161,424

5%

87%

78%

9%

Utilization rate
(green ethane)

In all, our recycling efforts in 2020 contributed to more than 5,000 tons ofplastic waste returning to the economy
through resins with recycled content.

One key achievement was our partnershipwith Valoren to build a recycling line andexpand our portfolio of post-consumer
resins in Indaiatuba (SP). We will invest
R$ 67 million in the construction of arecycling line with capacity to transform
250 million packages into 14,000 tons ofhigh-quality post-consumption resin per
year. Operations are expected to start in
the fourth quarter of 2021. GRI 301

In Brazil, we saw a 320% increase in thenumber of clients purchasing resins withrecycled content compared to 2019.
This growing number of clients reflects
the stronger demand for plastic resins,
especially in the retail sector. Anotherimportant factor is the expansion of ourcapacity to produce recycled products
through new partnerships with recyclers,
which leads to greater availability and amore robust portfolio.

In the USA, Braskem entered a long-term
relationship with Encina, a leading provider of solutions for the production ofrenewable chemicals, for the productionof circular recycled polypropylene (PP).
Encina technology can produce renewable chemicals from post-consumer plas-

TOTAL VOLUME OF POST-CONSUMPTION PLASTIC WASTE UTILIZED IN RECYCLED
CONTENTS (TONS.)
2018

2019

2020

Brazil

U.S.

MEX

EUR

Brazil

U.S.

MEX

EUR

Brazil

U.S.

MEX

EUR

107

0

0

0

1,113

666

0

0

2,646 1,598

838

212

TOTAL: 107

TOTAL: 1,779

TOTAL: 5,294

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERBRASKEMSTRATEGIC PLANNING

tic, and the company plans to open a new facility inthe second half of 2021. Additionally, we joined the
Polypropylene Recycling Coalition, a group committed
to increasing PP recycling, to ensure this material is
widely recovered and reused in final markets, including
food and beverage packaging, consumer goods andautomotive parts.
We also made our first sales of recycled resins in Mexico
and Europe, and will soon announce partnerships to boost
our operations in recycled products in those regions.

Plastics in LANDFILLSIn 2020, we closed an agreement with the environmental engineering company
Tecipar through which we created a sorting plant for the separation of solid andorganic waste collected by the municipalities of Barueri and Santana de Parnaíba.
The screened plastic will be directed to a Braskem recycling partner, and therecycled resins they produce will then become raw material for new Braskem plastic
products. The project is expected to prevent 2,000 tons of plastic waste from being
dumped annually at the Santana de Parnaíba landfill. This total is equivalent toapproximately 36 million plastic packaging items.

CAPITAL PERFORMANCECAPITAL PERFORMANCEABOUT THE REPORTCREDITS

41

Some of our recycling projects• ABSORBENTS: A partnership between Braskem, Johnson & Johnson and Mega Embalagens has strengthened our I’m green TM
Recycled portfolio. The flexible packaging of the Always Freeabsorbents are now produced with 33% post-consumption resin
obtained from flexible packaging reverse logistics. This is the firstflexible thin film packaging in hygiene manufactured with 33%
post-consumption resin.
• “ ANA DE AÇÚCAR”: A joint effort with footwear brand Anacapri enabled the launch of a slip-on called, "Ana de Açúcar", made from ourbiobased, I'm green™ EVA derived from sugarcane ethanol. Thanks to
its renewable origin, this widely used material in the footwear industry
captures 2.1 tons of CO2 for each ton produced. I’m green™ EVA is as
flexible, light and resistant as conventional plastic resin, preserving
product quality and design.
•T RAMONTINA ECOLOGICAL LINE: Tramontina's ECO decorationline features products made with I'm green™ materials. The line was
expanded in 2020 with a new model of the Aztec ECO Vase in their
Basic line. Armchairs, chairs, vases, cachepots and watering cans areother items in the ECO line, which grew its market share by 54% in2020 compared to 2019.

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERBRASKEMSTRATEGIC PLANNINGIntellectual
CapitalCAPITAL PERFORMANCECAPITAL PERFORMANCEABOUT THE REPORT

Sustainable innovation

RESULTS

293 team members
2 T echnical Centers focused on

19 n ew polyolefin grades added tothe portfolio in 2020

128 p rojects for the development

polymersof new products, markets andprocesses

2 Technology and Innovation

26 n ew patent applications and 127

1 P rocess Technology Development

patent extensions

Center, Mauá, (Brazil)

1 R enewable Chemicals ResearchInnovation in products, processes and mindset are essential to achieve the objectives of our business strategy. On the innovation front, our efforts are aimed at
Research and Development of new products and clean
technologies, while fostering open innovation and advancing our digital transformation program to improve
processes and operations through data analysis andautomation.
We also encourage all our team members to think outside the box and propose new alternatives for everyday
challenges: we welcome, recognize and forward theideas we receive. Our Digital Challenge, the Innovation
Portal and the programs related to Transform for Valueare all part of this effort.
In 2020, our structure designed to foster innovation andtechnology, consisted of:42

INNOVATION STRUCTURE

Centers, in Triunfo (Brazil)
and Pittsburgh (U.S.)DIMENSION 7:

CREDITS

350+ customers served globally byCenter in Campinas (Brazil)

7 pilot plants
2 labs for 3D printing in the cities of

our Technology Centers, witha total of more than 21,000
analyses

Triunfo (Brazil) and Pittsburgh (U.S.)INVESTMENTS IN INNOVATION 2020
AMOUNT IN R$

DETAILS

R&D investment

242.5 million

Amount related to fixed I&T expenses plus
2020 R&D Capex

Percentage of
fixed Innovation
expenditures
focused onsustainability

36%

Percentage of Opex focused on sustainability in 2020

Tax benefit for
innovation

75.4 millon

62.5 million in Brazil 12.9 million in the UnitedStatesINTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERBRASKEMSTRATEGIC PLANNING

Key Innovations
Today Braskem holds a portfolio of 120 innovation projects with a net present value (NPV) of approximately
R$ 8 billion in different fronts:• Recycling: projects for both mechanical and chemical
recycling.
Objective: to accelerate the shift towards circular
economy solutions, strengthening our reputation as aleader in sustainability.
• Lightweight: seek solutions with less weight in the final
product for the packaging industry and the automotive
sector.
Objective: to contribute to a more sustainable world, reducing waste generation and greenhouse gas emissions.

SUSTAINABILITY INDEXWe developed and implemented the Sustainability Index
for the entire portfolio of Innovation and Technology(I&T) projects, and this is now part of the standard planning process and approval pipeline for I&T projects. The
Index aims to ensure overall alignment with sustainability, and all projects are assessed in terms of sustainability
from the early planning phase. A new project may havea positive, neutral or negative impact on each dimension (water, energy, chemical safety, process/product,
greenhouse gas emissions and circularity). In 2020, 80%of the I&T projects had a positive impact on the Sustainability Index.
GREEN MEG• New design copolymers: production of a new family of
copolymers with customized properties.
Objective: to grow the business in markets having higher added value.
• Cleaner polyolefins: platform that increases the competitiveness of our polyolefin portfolio.
Objective: to anticipate regulatory and chemical safety
trends.
• Activation and prepolymerization: process improvement projects.
Objective: improve productivity or reduce costs.

We have enhanced our Green MEG (monoethylene glycol)
production, a raw material for PET that moves about R$ 25
billion a year. In 2017, we signed a technological cooperationagreement to develop a pioneering path for the production of MEG from sugar, with a demonstration unit startingin 2019 to showcase the key design characteristics of thepioneering technology that transforms sugar into renewable MEG. In 2020, we announced the first production ofrenewable MEG on a demonstration scale, and the next step
includes making samples available for testing and validation
by strategic partners.

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INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADER

3D PRINTING

Another innovation was the launch of a portfolio of exclusive products for 3D printing. Braskem's polypropylene (PP)solutions proved to be attractive and ideal for additive manufacturing for their recyclability, impact resistance, dimensional stability and lower density compared to other types ofplastics, contributing to lighter parts printed in 3D.

Keeping an EYE on Science
Life Cycle Assessment (LCA) is a technique that allows quantifying
and analyzing the environmental impacts of a good or service, fromthe extraction of the raw material to its final disposal. LCA is basedon scientific criteria and the analysis provides accurate information to
support business decisions aimed at reducing environmental impacts
along the entire value chain. In addition to quantitative aspects, LCA
considers carbon footprint, water footprint, toxicity and depletion ofnatural resources, among others.
We use LCA to support strategic decisions in terms of theirsustainability. In 2020, we launched the LCA Platform, a group of teammembers from all regions responsible for disseminating acquired
knowledge and exploring new opportunities. A total of seven life cycle
analysis studies were completed in 2020; another seven were started
and are currently in development. In addition, we have developed ascientific article that is in the final stage of approval by the journal.

BRASKEMSTRATEGIC PLANNING

CAPITAL PERFORMANCECAPITAL PERFORMANCEABOUT THE REPORTCREDITS

Fostering Innovation
BRASKEM LABS

Braskem Labs was created in 2015 to expand and encourage innovations with a positive socio-environmental
impact. The program is designed to accelerate startups
that seek to make the world more sustainable throughsolutions that use chemicals and/or plastic, helping
them move forward through the next stages of maturity.
In the 2020 edition of the program, we invited companies from our value chain to join us. Our clients Ambev,
BRF, AkzoNobel and Grupo Boticário are now mentoring
startups and exploring business opportunities with them.
In the midst of social distancing requirements due to thepandemic, 20 startups selected for the Ignition and Scale
programs went through three months of remote workshops, dynamics and networking to accelerate and build
up their business. The cycle ended with Demo Day, wherestartups made their pitch to investors, executives andbusiness partners. In all, 25% of the accelerated startups entered relationships with Braskem or participatingco-sponsors as customers, suppliers or partners.
Our portfolio has grown to 74 accelerated startups so far,out of which 32% did business with Braskem.

Learn more here.

In all, 25% of theaccelerated startups
became Braskem customers,
suppliers or partners

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INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERBRASKEMSTRATEGIC PLANNING

CAPITAL PERFORMANCECAPITAL PERFORMANCE

CREDITS

45

Digital Transformation

DESIGN CHALLENGE

The Braskem Design Challenge connects professionals,
students and companies in the search for innovative andmore sustainable solutions to real packaging problems
through creativity and design, using concepts such as Design for Environment, Life Cycle Assessment and Circular
Economy.

ABOUT THE REPORTOur Braskem Design Challenge was also taken online in2020. The event gathered designers to solve packaging
problems for our clients Grupo Boticário and BRF following the Design for Environment concept, which seeks to
reduce environmental impacts over the entire product life
cycle. The eighth edition of the Challenge brought together 24 recent graduates, and the best solution received a
R$ 20,000 cash prize. The winning projects are currently inthe planning phase for technical and industrial validation/refinement, involving Braskem and clients in the preparation for a future market launch.

Find out more about
Braskem Design Challenge

The eighth edition of the Braskem Design
Challenge attracted 24 just-graduatedprofessionals; the prize for the winningsolution was R$ 20,000

In 2020 alone, we developed, tested and implemented digital strategies that unlocked recurring
gains of more than R$ 54 million/year, representing
a net present value (NPV) of more than R$ 150 million. Total gains may grow to reach R$ 665 million
per year.
• Industry 4.0 technology
Aiming to maximize the efficiency of the plants, theproject connects and optimizes plants in order toreduce costs, increase efficiency, improve the services provided, analyze data and automate repetitiveor high-risk tasks;• Production and inventory planning
The planning activities are based on an advanced
data analysis system that assesses the drivers for
product demand;• Purchasing procedure
From end to end, we provide applications with intuitive language that streamline services from themoment the customer places an order until delivery
and payment.

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CAPITAL PERFORMANCECAPITAL PERFORMANCEABOUT THE REPORTCREDITS

Human Capital
DIMENSION 1:

Health and safety
DIMENSION 6:

Social responsibility and human rights
Our team members play the leading role in achieving our
results, growth and innovations. We aim to offer them abetter professional experience, in an increasingly diverse
and inclusive environment, guided by our non-negotiablevalue of safety for people.

People Management
In 2020, we put in place measures to ensure opportunities
for growth, training and professional fulfillment, advancing
initiatives that enhance BeUx, our value proposition toteam members.
For additional information, access ourManagement Report.

Human Rights GRI 103-2, 103-3 | 412
We understand that our actions at Braskem havea positive or negative impact on human rights. Oursustainable development efforts are grounded in theinternationally recognized rights expressed in theInternational Charter of Human Rights and in the
Declaration of the International Labor Organization regarding fundamental principles and rights in the workplace. Our commitment to respecting human rights isaligned with the United Nations (UN) Guiding Principles
on Business and Human Rights and covers our own
operations, the surrounding communities, our value
chains and even society as a whole. This commitment
is expressed in the Global Sustainable Development
Strategy approved by our Board of Directors and in
Braskem's Codes of Conduct, both publicly available.
The Global Sustainable Development Strategy esta-

46

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A MESSAGE FROM THE BUSINESS LEADER

blishes Braskem's responsibility to identify, assess andmanage the risks of negative impacts on human rights,
adopting preventive, mitigating or remedial actions.
Our ambition is to be recognized as a company that
promotes human rights and equity throughout ourvalue chain. Our global 2030 goals are to manage 100%of the high and medium risks in human rights and togrow the share of women in leadership positions and of
black people among our team members.

BRASKEMABOUT THE REPORTCREDITS

47

Diversity, Equity and Inclusion
GRI 103-2, 103-3 | 405

Since 2014, our Diversity, Equity & Inclusion Program
has developed actions to make our work environment
increasingly diverse, inclusive and free from prejudice
and discrimination. Besides wide-reaching initiatives
across the organization, actions in five specific areas
have specific strategy and objectives aiming to include and expand the participation of historical minorities at Braskem:

HUMAN RIGHTS
risk assessmentand management
In 2017, 100% of our operations were submitted to
the first human rights impact assessment study, andwe started introducing priority risks in the company's
risk matrix. In 2020, we continued to implement
measures for the prevention and mitigation of thepriority human rights risks, which are now integrated
in the Corporate Risk Matrix and followed up by
the Board of Directors and senior management.
These risks include Dignity and Diversity, Ethics andTransparency, Traditional Peoples, Decent work in thevalue chain and Post-consumption. Our human rights
impact assessment will be updated in 2021 for all
Braskem operations.

CAPITAL PERFORMANCECAPITAL PERFORMANCESTRATEGIC PLANNING

GENDER
EQUITYINDIVIDUALSWITH DISABILITIESRACE &ETHNICITY

LGBTQIA+

SOCIALLY
VULNERABLE

Learn more aboutour Human Rights risk
mitigation actions here.

Dignity and DIVERSITY
In 2020, we finalized a diagnostic analysis
and defined an action plan to strengthen theprevention and remediation of harassment anddiscrimination at Braskem, including betterways to protect and hear affected people, andmeasures to prevent new cases.
Our Ethics Hotline received 473 reports andclosed 578 cases (adding up cases received
in 2021 and previous years). Out of the 37
harassment reports received in 2020, 36 wereresolved, and 10 led to remedial actions.
We received 5 reports of discrimination; 4 havebeen closed and 1 is still being analyzed. GRI 406-1

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Our 2020 Diversity and Inclusion Week was the firstglobal, online edition of the event. Lectures, panels anddebates presented tools our team members can use topromote diversity in their daily lives.
The 2020 edition of Braskem's Internship Program wasalso redesigned to enhance diversity and bring different
types of knowledge into the company. All phases of therecruitment and selection process to fill 300 job openings took place online, and the Logical Reasoning Test
was replaced by the Decision-Making Test. Fluency inEnglish is no longer mandatory for 40% of the openings
and the selection of curricula is blind: recruiters haveno access to information such as applicant age andcollege attended. This helps to ensure candidates areevaluated based on their alignment with our company
culture, and not harmed by the possible need to invest
in their training.

2018

We also implemented actions to grow the number ofwomen in leadership positions within Braskem. In Brazil,
we were one of the signatories of the Equity is Priority
movement launched by the Global Compact Brazil
Network: we pledged to have 30% of women in seniorleadership positions by 2025. Our Braskem organizationin Europe also made progress in this regard, signing the“Charta of Diversity,” a German initiative that encourages local businesses to promote more diverse andinclusive work environments.

2019

2020

Women
in leadership

Women

77%
77%
76%

2018
2020

2019

2020

STRATEGIC PLANNING

Our Braskem Black University Student Week had fivedays of online debates highlighting the importance ofdiversity in the workplace. Different workshops provided hints and tips on how to write up CVs, LinkedIn
profiles, besides practical advice on how to prepare forselection processes.

Diversity
Men

BRASKEM

23%

2018

23%

2019

24%

2020

CAPITAL PERFORMANCECAPITAL PERFORMANCE

30%
30%

48

In 2020, we also had significant figuresin our Internship Program:+ 25,000 participants
RACE

GENDER

candidates (11% higher than 2019)filled by women, in line with previous years

38% of the openings filled by black
SOCIAL CLASS

45% of the interns came fromfamilies with a combined income ofno more than R$ 4,000 (8% morethan 2019)54% of the openings wereAGE

we have a 43-year-old trainee
for the first timeBlackin leadership

2018
2019

29%

2018

2019

30%

2019

30%

2020

2020

CREDITSRESULTS from our Internship Program

Black

27%

ABOUT THE REPORT

13%
13%
13%

* leadership positions include coordinators,
managers, directors, vice presidents
and business leader. To find out the % of
women for each hierarchical level, visit
www.braskem.com/esgdashboard

INTEGRATEDREPORT 2020

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CAPITAL PERFORMANCECAPITAL PERFORMANCEABOUT THE REPORT49

CREDITS

Health and Safety at WorkGRI 103-2, 103-3 | 403, 403-1, 403-2, 403-3, 403-4, 403-5, 403-6, 403-7 | SASB RT-CH-320a.2

DIMENSION 1: Health and safety

Safety is not negotiable at Braskem. We care for ourteam members, and adopt practices to ensure theirsafety and health. We have occupational health andsafety committees in every operation: the local committees are responsible for local risk assessments andeducational campaigns and they also participate in incident investigations and other local actions.

To learn more about ourhealth and safety management, visit here.

IMPACTS GRI 403-9 | SASB RT-CH-320a.1.

In 2020, the three activities with major accidents were i.
cargo handling, ii. accidental contact with hazardous chemicals and iii. falls. Accident prevention actions focusedon reducing risks through technologies and equipmentthat can replace workers or minimize their exposure torisks, implementing improvements in engineering controls
and adopting preventive maintenance programs. Administrative measures included enhanced risk analysis tools,
improved planning for the execution of activities, training
programs and more effective individual protection.
Unfortunately, in 2020 we recorded a fatal accident involving an outsourced party due to a leak of a
flammable chemical followed by a fire in our operations
in Alagoas. We have strengthened our safety practices
after the accident, and started a series of studies andacquisitions of state-of-the-art equipment to further
improve our processes.
In spite of the regrettable fatality, we reduced the accident rate with and without lost time by 27% compared to2019, with the best performance in the last three years.

Our goal is to achieve better results in Health and
Safety by strengthening human reliability to reduce
human errors. Other actions include careful planningand risk assessments, training sessions and process
improvements. To this end, in 2020 we continued our
Human Reliability Program, reviewed our SSMA management process for third parties and put the Mechanical Integrity Program into practice, with an emphasis on
efficient management.

ACCIDENT RATE CAF + SAF(1MM/MHW)

1.07

2018

Learn more in our
ESG Dashboard.

TIER 1 ACCIDENT RATE
(1MM/MHW)

0.15

1.31

0.12
0.95

2019

2020

0.07

2018

2019

2020

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CREDITS

Social and Relationship Capital
GRI 102-12, 102-13, 103-2, 103-3 | 203, 413-1, 413-2

PRIVATE SOCIAL INVESTMENTDIMENSION 6:

Social responsibility and human rights

In line with our Global Sustainable Development Strategy,
we seek to promote actions that support social and economic development in the communities where we operate,with a focus on generating positive impacts and mitigating
any negative impacts generated by the operation. We also
maintain a consistent policy of Private Social Investments,
Donations and Sponsorships to build long-lasting relationships with the communities that live near our facilities.
We believe partnerships are essential for reaching our
objectives. We join efforts and cooperate with different
players, both within our value chain and in society at large.

Our priority is to manage plastic consumption and post-consumption practices and to foster innovation, entrepreneurship and local development in all regions where we operate. In
2020, we had an increase of approximately 40% in the amountinvested in socio-environmental projects and donations,
including those related to coping with COVID-19. With severely
restricted face-to-face activities due to the pandemic, most of
the socio-environmental projects supported by Braskem werecompletely paralyzed, so we reached fewer people than in 2019.

For more information on our Private Social
Investment projects, visit here.
Indicator

2018

2019

2020

199,281

533,447

236,944

Donated amount

11,214,187.61

8,886,492.61

25,440,555.98²

Amount invested in PSI

9,570,478.67

14,570,068.26³

7,278,548.78

Numberof people benefited¹

Find out more about ourpartnerships here.

1. Includes PSI beneficiaries, donations and volunteering.
2. Includes donations related to coping with COVID-19.
3. Includes investments related to Maceió (TC1).

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A MESSAGE FROM THE BUSINESS LEADER

Aiming to ensure clear focus and consistency in our interactions, in 2020 we developed a Community Engagement Framework to guide the implementation of specific engagement strategies for each community. The
initiative is still in the pilot phase, and will soon unfold
into actions based on the identified impacts.

MADRE de Deus
Thirty years ago, there was a chemical leak from a tank owned by
Copanhia Carbonos Colloidais (CCC) in the city of Madre de Deus,
Bahia. The leaked product belonged to Tecnor Tecnolumen Química
do Nordeste (Tecnor) and might have been purchased by Companhia Petroquímica de Camaçari, one of the companies that later
formed the Braskem petrochemical conglomerate through a merger in 2002. Braskem has never had any corporate relations witheither CCC or Tecnor.
Given our experience in the petrochemical products, Braskem was
asked to help with analysis, studies and environmental repair of theaffected region, which has been monitored since 2003 by the local
authorities. Through and addendum to the agreement signed between authorities and CCC in 2015, Braskem is supporting the relocation of families as necessary to proceed safely with repairs.

BRASKEMSTRATEGIC PLANNING

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51

GLOBAL VOLUNTEER PROGRAM

GOVERNMENTS AND ASSOCIATIONS

While we had to adapt our actions to the remoteformat, solidarity remained a strong presence among
our team members. At the end of 2020, we had 1,075
mobilized volunteers, of which 817 were team membersand 257 were guests, benefiting about 21,000 people.
At the beginning of the year, the Residents' Center in
Maceió received two groups of volunteers who camefrom all over Brazil to support the people who lived in
the neighborhoods affected by the geological phenomenon. We also joined the World Cleanup Day with AEPW
(Alliance to End Plastic Waste) with volunteers in six ofthe countries where we operate.

Our interactions with government officials and associations must be based on transparency, ethics anddialogue; always initiated for a lawful reason, involving
competent agents and conducted in an appropriate,
professional manner.

Finally, we organized the second edition of the WeCARE
Week, a global week of online activities on the circular
economy, featuring lectures, conversation circles andpractical activities for members and their families.

Get to know more about
our Voluteer Program here.

To ensure that our interactions with third parties, in particular public bodies and associations, follow the criteria
described above, we maintain a strong Government
Relations team and have a robust Public Official Interaction Tool. Our team members can record information
about any type of interaction with public officials using
this tool.
Our interactions with government agencies and publicbanks involve a series of fiscal and tax obligations, tax
incentives, special tax regimes and financing.
This is especially relevant given the fact that we mustnecessarily engage in interactions with government
agencies and public banks regarding fiscal matters, tax
obligations, tax incentives, special tax regimes and financing. Loans from public banks and government agencies fund our growth projects, especially the National
Bank for Economic and Social Development (BNDES)
and the Northeast Bank of Brazil. We also operate withinternational Credit and Export Agencies (CEAs), such as
Nippon Export and Investment Insurance (NEXI), Japan,
Euler Hermes of Germany, and SACE, Italy.

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Supply Chain GRI 102-9, 103-2, 103-3 | 204, 205, 308, 412, 414
In line with our principles of quality and commitment
to environmental responsibility, our supplier management is decentralized, with actions distributed indifferent areas guided by our Code of Conduct for
Third Parties. This internal guideline was built on international reference documents, such as the United
Nations Universal Declaration of Human Rights, anda series of resolutions recommended by the International Labor Organization. Contractors must abideby the Code, which describes their rights and duties
regarding labor and socio-environmental practices, andsuppliers classified as having the highest potential risk
are subject to a due dilligence process.
Several other initiatives focus on increasing efficiency,
mitigating risks, improving user experience and financial return, such as the implementation of our digital
global procurement platform (Coupa), with more than
40,000 online quotations received from approximately
10,000 suppliers leading to 91% of all service acquisitions. We also introduced a new inventory manage-

ment tool to optimize material inventory parametersand storage.
Regarding decent work in the value chain, our awareness-raising actions reached 402 truck drivers, 24 carriers and 102 team members in logistics and transportation companies. The main objective was to preventthe sexual exploitation of children and adolescents on
highways under the Program Na Mão Certa, from Childhood Brazil. Along the same line, we approved a management process to assess and monitor critical suppliers under more comprehensive human rights criteria.
Aiming to engage our supply chain in sustainability
issues, in 2020 we reaffirmed our partnership with CDP
Supply Chain, a program that helps companies identify
environmental risks and opportunities in their supply
chain. We achieved more than 86% engagement for
Climate and 77% for Water, the highest historical index
in nine years, reaching 119 critical suppliers in Water and186 critical suppliers in Climate.

Partnership with CDP Supply Chain
helps to engage supply chain insustainability matters

We also reviewed supplier pre-qualification processes
and supplier SSMA assessments to consider the bidder's safety performance as an important criterium inthe selection of service providers.
ETHANOL SUPPLIERS

Ethanol suppliers go through a very strict admission
process: our Responsible Ethanol Purchase Program isbased on Compliance (mandatory requirements) andExcellence (continuous improvement). By joining the
program, the supplier pledges to uphold high standards
in integrity, environment, human rights of workers andcommunities, management of sugarcane suppliers,
quality and efficiency.
When joining the program, suppliers commit to upholding our code of conduct regarding integrity, environment,
human rights for workers and communities, sugarcane
supplier management, quality and efficiency. They mustalso agree to audit in their mills, including annual visitsby sampling. Our close dialogue with ethanol suppliers
continued in 2020; we carried out remote checks on Bonsucro certification reports while independent monitors
audited the implementation of their management programs to ensure diligent management of ethanol suppliers, especially with regard to socio-environmental issues.
4 units were remotely verified, which represented 31.69%
of the volume supplied in the year.

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53

Customer Chain

Reputation Management

Aiming to map and improve our Clients' overall experience with us, Braskem started measuring CSAT
(Customer Satisfaction Score) weekly to monitor satisfaction and identify opportunities for improving service
quickly and effectively. Weekly CSAT follow-up was implemented in the second half of 2020 for all businesses
in Brazil, complementing the biannual NPS (Net Promoter Score) survey. NPS has been in place since 2017, andits findings led to more than 20 improvement actions
over the course of 2020.

Our annual global reputation survey introduced in 2010
monitors how Braskem is perceived by its key audiences. We use the RepTrak® methodology, created by The
RepTrak Company, to analyze stakeholder perception
under emotional aspects (Pulse®) - degree of esteem,admiration, empathy and trust - and also as rational
indicators in seven dimensions: Products and Services,
Innovation, Work Environment, Governance, Citizenship, Leadership and Performance.

CSAT indicator measures satisfaction
with customer service on a weekly
basis, in addition to the biannual NPS
measurement

In 2020, Braskem’s global Pulse® score ranged between 60 and 69 points, with the largest global
advance in history in the evaluation by participants.
Considering the seven dimensions, governance is still
the most relevant for companies in general, as well asfor Braskem.
Under strict observance of Brazilian Data Protection
law LGPD, the survey heard 7,350 people worldwide ina great effort carried out by several internal areas of
Braskem to glean the perceptions of our diverse audiences, both in relation to Braskem and regarding topics
considered essential to our business, such as Circular
Economy, ESG and Innovation.

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54

Natural Capital
GRI 103-2, 103-3 | 302, 303, 305, 306

Emissions GRI 305
DIMENSION 3:

Plastic waste
DIMENSION 4:

Climate change
DIMENSION 5:

Operational eco-efficiency
We understand the relevance of sustainable development,
and we seek to go beyond compliance with environmental
legislation. We invest in technologies and initiatives to makeour operations increasingly eco-efficient, optimizing theuse of natural resources and reducing negative impacts
on the environment. During the year, our GHG emission
intensity indicators, energy consumption, water consumption, waste and effluent generation were impacted by the
reduction in production caused by the drop in demand dueto the Covid-19 pandemic.

Our ambition is to lead the global petrochemical sector
with the best indicators in GHG emissions, and to be a
key player in capturing carbon through the productionof renewable materials.
Since 2008, when we first structured our internalmanagement for this topic, we have implemented several Mitigation and Adaptation measures to minimize
the impact of GHG emissions from our activities andanticipate potential risks and business opportunities
related to climate change.
Our corporate inventory of GHG emissions considers
100% of our global operations and in 2020 received -for the 10th consecutive year -- the Gold classificationof the Brazilian GHG Protocol Program (PBGHG) for its
2019 reported scopes 1, 2 and 3 emissions verified byan independent third party.

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CAPITAL PERFORMANCECAPITAL PERFORMANCEABOUT THE REPORTDIRECT GREENHOUSE GASEMISSIONS (SCOPE 1) (tCO2e) GRI 305-1

INDIRECT GREENHOUSE GASEMISSIONS (SCOPE 2) (tCO2e) GRI 305-2

INTENSITY OF GREENHOUSE GASEMISSIONS (TCO2E/T PRODUCTION) GRI 305-4

2018

10,214,251

2018

802,590

2018

20191

10,032,221

20191

806,347

20191

2020

10,035,761

In 2020, we continued reducing our absolute emissions(scopes 1 and 2), with a slight decline of 0.62% compared to the previous year, showing our sustained performance even in the face of the Covid-19 pandemic.
We defined our new long-term goals in 2020, and we
also updated the emissions of our base year, so the
new figure now reflects scopes 1 and 2 results in 2019.
Another highlight is that we continue to lead CDP Climate, and we made their A-list.
Scope 1 emissions totaled 10,035,761 tCO2e, about
the same level as the previous year(+0.04%). Scope 2

2020

735,479

emissions totaled 735,479 tCO2e, 8.79% lower than theprevious year, as a result of the reduction in the emission factors of the electricity grid. Approximately 75%of the electricity purchased by Braskem comes fromrenewable sources, especially considering the weightof hydroelectric power plants in the Brazilian National Interconnected System. In addition, since 2019 wehave been obtaining proof of origin for electricity consumption at our units in Brazil (Market-based), representing in 2020 18,969 tCO2e in self-declaration and
10,840 tCO2e with the retirement of renewable energy
certificates, the so-called I-RECs.

1. The result published in the 2019 Report (scope 1, 9,756,560 tCO2e; scope 2, 801,634 tCO2e; and emission intensity, 0.624) was adjusted due to the revision of
the data and premise and is in the certification phase by a third party, following the criteria of the accounting methodology of the GHG Protocol. GRI 102-48

2020

0.609
0.640
0.669

CREDITS55

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADER

Our performance of the carbon intensity indicator(tCO2e/t produced) considers the impact of accumulated Scopes 1 and 2 emissions (Market-based; tCO2e)
compared to the company's total production (tonsproduced). Despite our progress in absolute terms,
Braskem's carbon intensity increased by 4.6% compared to 2019, reaching a value of 0.669 tCO2e / t. This
increased intensity can be attributed mostly to the
5% smaller production volume, leading to lower energy performance in the units, while the events of thepandemic of Covid-19 made it impossible to schedulemaintenance stops in some industrial units.

BRASKEMSTRATEGIC PLANNING

CAPITAL PERFORMANCECAPITAL PERFORMANCEABOUT THE REPORTCREDITS

Reducedour greenhouse gas

emissions by more than 17% between 2008 and 2020.

Reached 94% of our 2020
long-term climate change goals.

This means
we avoided the emissionof almost 30 million tons CO2e, equivalent to planting morethan 200 million trees.
SIGNIFICANT ATMOSPHERIC EMISSIONS (TONS.)GRI 305-7, SASB RT-CH-120A.1.

2018

2019

2020

NOx

10,566

11,52911,908

SOx

4,871

3,982

5,989

Volatile organic compounds (VOC)

9,091

8,753

7,523

Toxic air pollutants¹

595

551

526

Particulate matter (MP)

1,381

932

976

Others²

7,989

6,622

4,810

1. Includes Toxic Air Pollutants and HAP (Hazardous Air Pollutants).
2. Includes total hydrocarbons and carbon monoxide.

The results came from thepurchase and use of renewableenergy sources, besides efficiency
gains in our units56

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERCARBON CAPTURE SASB RT-CH-110a.2

Based on our commitment to sustainable innovation,
we entered a partnership with the University of Illinois,
USA, to research alternatives for the development of
ethylene from the capture and use of carbon dioxide(CO2) emitted in industrial processes, especially fromthe burning of fuels.
The project is still in the early phase of development,
and we will contribute with our know-how in thecommercialization of raw materials and production ofpolymers. The final objective is to evaluate the possibility of capturing CO2 emitted in our operation andconverting it into a raw material for the production ofpolymers.

BRASKEMSTRATEGIC PLANNING

equacy of the existing tools, updating the documents
guiding the process, training all members involved in
the effort and defining KPIs for monitoring.
10 YEARS OFABOUT THE REPORTCREDITScapacity for green ethylene in the Triunfo industrial
unit in Rio Grande do Sul from 200,000 to 260,000
tons per year. The project aiming to keep Braskem at
the forefront of the biopolymers market will start in
2021, with completion planned for the fourth quarterof 2022.

GRI 305

In 2020, we celebrated a decade since operations
started in our green ethylene plant, which uses sugarcane ethanol as a raw material to produce polyethylene. Under the I'm green ™ brand, this resin wasrecognized in 2020 by ECLAC as one of the mosttransformative initiatives in sustainable developmentin Latin America.

CARBON PRICING GRI 305-8

Since 2016, our Internal Carbon Pricing methodology "Shadow Price" supports our investment decision-making with a targeted approach to risk
management that enables us to leverage attractive
opportunities. In 2020, based on what we learned fromthis methodology in Brazil, a marginal abatement cost
curve (MACC) was built with all potential mitigation
initiatives or under implementation. The analysis led to
an update of the carbon price and to the definition ofa global pricing strategy based on "Implied Price" for100% Braskem operations worldwide. The implementation plan for this strategy includes assessing the ad-

CAPITAL PERFORMANCECAPITAL PERFORMANCEOver its 10 years of existence, I'm green ™ has avoided the emission of at least 5.54 million tons of CO2,
which is equivalent to more than a year of automotive
emissions in the city of São Paulo. In addition, this resin
captures up to 3.09 tons of carbon dioxide for each ton
produced, contributing twice to reducing greenhousegas emissions while maintaining the same quality performance as conventional resins.
We have invested US$ 61 million in expanding biopolymer production to meet the fast-growing demand
from society and our partners for sustainable products in recent years. We will expand our production

Climate CHANGE
adaptation plan
In 2014, we developed a study to identify opportunities and climate
risks in 100% of our operations. Based on that study, we createdan adaptation plan with actions to mitigate or reduce all the mostsignificant potential climate risks. Our goal is for all actions to be
implemented by 2023.
In 2020, we achieved 72% compliance with our Adaptation Plan,
with emphasis on the completion of actions related to the threatof severe storms/electrical discharges in all units, which was thegreatest potential impact mapped (in terms of the number ofoperations impacted).
The next steps are to reassess the residual risk of all potential
threats for which 100% of the actions were completed,strengthening the company's resilience in the face of potential
extreme events.

57

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADER

EnergyGRI 103-2, 103-3 | 302, 302-3, 302-4
SASB RT-CH-130a.1, RT-CH-110a.2

BRASKEMCAPITAL PERFORMANCECAPITAL PERFORMANCESTRATEGIC PLANNING

consumed, equivalent to the annual electricity consumption of the entire state of Roraima with its almost 600,000
inhabitants. In addition, the initiatives also reduced 247,000
tons of CO2e in the period, or 8% of the site's emissions.

We signed two contracts for the purchase of renewableenergy in 2020: one for solar energy with Canadian Solar,
and the other for wind power, in partnership with Casa dos
Ventos. Since 2018, we have negotiated and signed four
renewable energy purchase agreements that will avoid an
estimated 1.5 million tons of CO2e. These agreements involvethe construction of renewable energy generation farms,
contributing not only to our own sustainable development
strategy, but also improving Brazil's energy matrix, in addition to bringing economic development to the regions where
the solar farms are installed.

While the coronavirus pandemic and the interruption at the Chlorine-soda unit in Alagoas reduced ouroperational capacity, energy efficiency initiatives also
contributed to lower energy consumption.

10.94

20191

11.09
11.23

in addition to other factors such as PCI, etc. The purposes are also different: the first is used to measure theimprovement in energy efficiency at unit level, while thesecond serves accounting and financial purposes, including possible negotiations with the unit energy provider.
The following graphics show consumption, type andsource of energy at Braskem.

PERCENTAGE OF CONSUMPTION BY TYPE OF ENERGY IN RELATION TO TOTAL CONSUMPTION

 Residual Fuels
Natural Gas
Electricity

Our Energy Efficiency Program was created in 2019 to accelerate energy initiatives and boost our competitiveness while reducing our CO2e emissions. The initiatives aim to make Braskem
one of the best chemical industries in energy consumption
worldwide, and even during the pandemic we moved forward
implementing them in several plants. In Bahia, the implementation brought annual recurring savings of 833 GWh in energy

2018

2020

The indicator for energy efficiency at Braskem units is
calculated as the ratio between unit energy consumption for production processes and total unit output.
This indicator is called energy intensity. The sum of theenergy consumption volumes informed for each unit
and the energy consumption reported in spreadsheet
302-1 is not the same. There are differences in thecontrol volume considered in the respective calculation,

58

CREDITSENERGY CONSUMPTION (GJ/T)

ENERGY EFFICIENCY AND RENEWABLE ENERGYReducing energy consumption and using renewable energy are key to reducing our carbon emissions. We invest
in energy efficiency projects in our plants, and we seek
long-term partnerships in our purchase of clean energy.
Currently, at least 74% of all electricity we purchase globallycomes from renewable sources.

ABOUT THE REPORT

4.6%
8.3%

0.1%

Coal
2018

Other Fuels

25.2%

4.2%
7.4%
61.8%

0.5%

2019

25.7%

4.6%
6.8%
62.2%

6.9%

2020

23%

65.5%

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADER

RENEWABLE ENERGY
PURCHASED (%)

2018

7.1

2018

2019

6.4

2019

2020

5.1

12.7
12.2

RENEWABLE ENERGY PURCHASED (%)
2018

74

20191

72

2020

74

CAPITAL PERFORMANCECAPITAL PERFORMANCEABOUT THE REPORTGRI 303, 303-1, 303-2, 303-4, 303-5

15.1

2020

STRATEGIC PLANNING

59

CREDITS

Water and EffluentsPERCENTAGE OF RENEWABLE
ENERGY IN THE BRASKEM ENERGY MATRIXTOTAL RENEWABLE
ENERGY (%)

BRASKEM

CEO Water Mandate

Our annual eco-efficiency targets for water consumption
and effluent generation per ton of products (m³ t) aremonitored monthly by the company's top leadership. At
unit level, effluent management observes local legislationand internal procedures related to the characteristics ofthe operation in the region, including substances of interest and composition of effluents. These substances andtheir respective limits are listed in specific national/regional legislation or established in the operating licenses.

As a result of our efforts in water
efficiency, in July 2019 we joined the
CEO Water mandate, a UN Global
Compact platform that brings together acommunity of more than 150 companies
around the world committed toadvancing water management. In 2020,
we continued our efforts to identify andimplement collective actions to reduce
the water risk of the hydrographic basins
where we are present, interacting withseveral actors, among which there were
no contact with public agents.

In recognition for our water management efforts, for the
fourth consecutive time we made A List in CDP Water,
ranking among the best publicly held companies in water
governance.

COMMITMENTS AND GOALS

In line with our medium-and long-term commitments to
reduce 15% of CO2e emissions by 2030 and achieve carbon neutrality by 2050, our goal for the short term is toachieve a reduction of 250kt/year in 2022 by using energy
efficiency solutions and renewable energy throughout 2021.
In terms of our energy matrix, we are establishing partnerships to raise the percentage of electricity purchased fromrenewable sources to more than 85% by 2030.

Indicator

Total water consumption (m3)water consumption (m3/t)
Total effluent generation (m3)
Effluent generation (m3/t)
Water reuse (%)

2018

2019

2020

75,715,960

72,389,471

69,341,060

4.28

4.31

4.31

20,981,429

21,922,812

19,672,409

1.19

1.31

1.22

26.9%

25.4%

25.8%

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERBRASKEMSTRATEGIC PLANNING

CAPITAL PERFORMANCECAPITAL PERFORMANCEABOUT THE REPORT60

CREDITS

Waste GRI 103-2, 103-3 | 306, 306-1, 306-2, 306-3

Water Security
Our long-term goal is to ensure that all the water usedby Braskem comes from low-risk sources. In a challenging global scenario, our water risk assessment identified
severe droughts as the greatest potential risk in Brazil,
for example. We carry out periodic checks to ensure wehave enough quality water for the operation of our plants
in every region. Diagnostic analyses guide Braskem's
Adaptation Plans, aiming to mitigate availability risks andto allocate investments to safer water sources, such as
reused or desalinated water.
WATER SECURITY INDEX
2018

2019

2020

75%

75%

83%

Compared to 2019, our units in Mexico and Germany
maintained the same Water Security Index - 100%.
The indicator for USA operations was reduced dueto the completion of the Texas River Basin risk assessment pointing to higher long-term water risk(by 2040). In contrast, Brazil operations improved byaround 12% thanks to progress in shifting from surface water abstraction to safer underground water
abstraction, in addition to other internal initiatives toincrease water reuse and recycling. Given the proportion of Brazilian operations within Braskem's total
number of plants, their weight in the indicator is 80%,
which explains why overall corporate results rose from
75% in 2019 to 82.9% in 2020, with a total of 18.86%
of our water consumption coming from areas wherewater stress is high or very high.

We collected 3,000 tons ofpellets, flakes and powders
and reached the OCS Bluelevel of the Operation Clean
Sweep program in 2020

A truly circular economy starts at home. That is why
we have several initiatives to avoid internal waste
generation. Our priorities are: 1. Avoid generation; 2.
Reduce; 3. Reuse; 4. Waste treatment; 5. Final Disposal. Our efforts in the different categories aim to
reduce waste treatment costs, increase eco-efficiency rates and prevent environmental liabilities.
Since 2018, we are members of Operation Clean
Sweep, and we are committed to adopting the bestpractices in the control of pellets, flakes and dust in
all our industrial and logistics units. Our goal was tobecome a member of OCS Blue - the highest level ofparticipation in the program - by 2020, and we celebrate the fact that we are now in this category bothin Brazil and in the United States. Our Pellet Zero
Program combined with other pellet containment
actions at unit level collected approximately 3,000
tons of pellets, flakes and powders, preventing themfrom reaching rivers and seas.

Indicator

Total waste
generation (Kg)
Indicator Waste generation (Kg/t)

2018

2019

2020

37,669,700

37,002,579

35,892,667

2.13

2.20

2.23

INTEGRATEDREPORT 2020

A MESSAGE FROM THE BUSINESS LEADERBRASKEMSTRATEGIC PLANNING

CAPITAL PERFORMANCE

About the Report
The Braskem 2020 Integrated Report presents our financial
and non-financial results from January 1 to December 31,
2020, including the legal entities Braskem has operational
control of and/or entities that have their information consolidated in Braskem financial statements. Released annually, the report relies on data collected globally and engages
different areas of the company, led by Investor Relations,Sustainable Development and Corporate Marketing.
Aiming to ensure the report meets the needs of ourdiverse audiences, we follow the guidelines of the Global
Reporting Initiative (GRI), Standards version, Essential
agreement option; the guidelines of the Sustainability Accounting Standards Board (SASB), as well as theintegrated reporting principles proposed by the International Integrated Reporting Council (IIRC), also abiding by
CVM Resolution No. 14/2020 and fulfilling all mandatory
requirements of Technical Guideline CPC 09. We address
our chosen ESGs in addition to presenting the economic
and financial information provided externally by KPMG
and reviewed by Braskem's governance bodies, including
the Board of Directors. GRI 102-48, 102-49, 102-51

ABOUT THE REPORTABOUT THE REPORTCREDITS

Questions, feedback
and suggestions about
this report can be sent tobraskem-ri@braskem.com.br
GRI 102-53

Materiality
Braskem periodically assesses materiality (the relevance ofsustainability topics) to define its long-term objectives andstrategy for contributing to Sustainable Development.
This structured process includes stakeholder consultation to ensure Braskem maintains a clear focus whilepursuing its purpose of improving people's lives throughplastic chemicals.

The topics contained in this report are material to thecompany's strategy in that they have a positive or negative effect on our ability to generate long-term value, as
defined by our materiality matrix.
The matrix originally defined in 2013 was reviewed internally in 2020; the process and methodology used canbe found here. GRI 102-21, 102-40, 102-42, 102-43, 102-44,
102-47, 103-1

As a petrochemical company and supplier of raw materials for different plastic product chains, Braskem
consistently focuses on the possible impacts causedby its businesses on areas such as health and safety,
economic and financial results, development of members, local development, eco-efficiency of its operations, post-consumer plastic, among others. For more
information about our sustainable performance, see our
Global Policy on Sustainable Development.

61

The internal review considered the corporate risks identified by our risk management procedure and pointed
out the rationale for our 2030 Commitments, as well as
their correlation with UN SDGs.

INTEGRATEDREPORT 2020

MATERIAL TOPICSGRI SUMMARY

Material topic
GRI content summary
Summary of SASB content

SASB SUMMARY

62

INTEGRATEDREPORT 2020

MATERIAL TOPICS
MATERIAL TOPICSGRI SUMMARYSASB SUMMARY

Material topic
Material topic

Sustainability dimension (Braskem global sustainability strategy)

GRI and SASB indicators

REFERENCE BETWEEN THE COMPANY'S MATERIAL THEMES AND GRI AND SABS INDICATORS
Non-renewable resources

Dimension 3: Plastic Waste
Dimension 4: Climate Change

301-1 Materials used by weight or volume403-1 Health & Safety Management System403-10 Work-related health problems
403-2 Hazard identification, risk assessment and incident investigation
403-3 Occupational health services
403-4 Worker participation, consultation and communication on occupational healthand safety403-5 Training in health and occupational safety403-6 Promoting workers' health

Health and safety

Dimension 1: Health and Safety403-7 Prevention and mitigation of impacts on occupational health and safety directly linked
to commercial relations
403-8 Workers covered by the occupational health and safety management system403-9 Work-related injuries
RT-CH-320a.1 - (1) Total recordable incident rate (TRIR) and (2) Fatality rate for (a) direct employees and (b) contract employees
RT-CH-320a.2 - Description of efforts to assess, monitor, and reduce exposure of employees
and contract workers to long-term (chronic) health risks
RT-CH-540a.1 - Process safety incidents count (PSIC), process safety total incident rate (PSTIR) and process safety incident severity rate (PSISR)
RT-CH-540a.2 - Number of transport incidents

63

INTEGRATEDREPORT 2020

Material topic

MATERIAL TOPICS
MATERIAL TOPICSGRI SUMMARY

Sustainability dimension (Braskem global sustainability strategy)

SASB SUMMARY

GRI and SASB indicators
405-2 Ratio of wages and remuneration between women and men
202-1 Proportion of lowest paid wages, by gender, compared to local minimum wage
202-2 Percentage of senior management hired from the local community

Human Rights & Equity

Dimension 6: Social Responsibility and Human
Rights405-1 Diversity in Governing Bodies and Employees
412-2 Employees trained in human rights policies and practices
412-3 Significant investment agreements and contracts that include human rights clauses orthat have been subject to assessment regarding human rights
406-1 Incidents of discrimination and corrective actions taken
414-1 New suppliers selected based on social criteria
416-1 Evaluation of the health and safety impacts of product and service categories
417-1 Product and service information and labeling requirements

Safe use of products

Dimension 1: Health and Safety

RT-CH-410b.1 - (1) Percentage of products that contain Globally Harmonized System ofClassification and Labeling of Chemicals (GHS) Category 1 and 2 Health and Environmental
Hazardous Substances, (2) percentage of such products that have undergone a hazard assessment
RT-CH-410b.2 - Discussion of strategy to (1) manage chemicals of concern and (2) develop
alternatives with reduced human and/or environmental impact
RT-CH-410c.1 - Percentage of products by revenue that contain genetically modified organisms (GMOs)

64

INTEGRATEDREPORT 2020

Material topic

MATERIAL TOPICS
MATERIAL TOPICSGRI SUMMARY

Sustainability dimension (Braskem global sustainability strategy)

SASB SUMMARY

GRI and SASB indicators
303-1 Interactions with water as a shared resource
303-2 Management of impacts related to water discharges
303-3 Water withdrawal
303-4 Water Disposal

Water

Dimension 5: Operational Eco Efficiency

303-5 Water consumption
RT-CH-140a.1 - (1) Total water withdrawn (2) Total water consumed, percentage of each inregions with high or extremely high baseline water stress
RT-CH-140a.2 - Number of incidents of non-compliance associated with water quality permits, standards, and regulations
RT-CH-140a.3 - Description of water management risks and discussion of strategies andpractices to mitigate those risks201-1 Direct economic value generated and distributed

Economic Performance

Dimension 2: Economic & Financial Results

201-2 Financial implications and other risks and opportunities arising from climate change
201-4 Financial assistance received from the government
RT-CH-000.A - Production by reportable segment203-1 Development and impact of infrastructure investments and services offered204-1 Proportion of spending with local suppliers

Social Investments and Community

Dimension 6: Social Responsibility and Human
Rights413-1 Operations with local community engagement, impact assessment and local development programs
413-2 Operations with actual and significant negative impacts on local communities
RT-CH-210a.1 - Discussion of engagement processes to manage risks and opportunities associated with community interests

Free competition

Dimension 2: Economic & Financial Results

206-1 Lawsuits for unfair competition, trust and monopoly practices

65

INTEGRATEDREPORT 2020

Material topic

MATERIAL TOPICS
MATERIAL TOPICSGRI SUMMARY

Sustainability dimension (Braskem global sustainability strategy)

SASB SUMMARY

GRI and SASB indicators
205-1 Operations subjected to risk assessments related to corruption

Corruption

Dimensão 2: Economic & Financial Results

205-2 Communication and training on anticorruption policies and procedures
205-3 Confirmed cases of corruption and measures taken
415-1 Political contributions

Public policies

N/A

Local labor

Dimension 6: Social Responsibility and Human
RightsTransparency & Integrity

Dimension 2: Economic & Financial Results

RT-CH-530a.1 - Discussion of corporate positions related to government regulations and/or
policy412-1 Operations subject to human rights impact analyses or assessments
307-1 Non-compliance with environmental laws and regulations
419-1 Non-compliance with social and economic laws and regulations
302-1 Energy consumption within the organization
302-3 Energy intensity
302-4 Reduction in energy consumption
305-1 Direct greenhouse gas emissions (Scope 1)

Dimension 4: Climate Change
Climate Change and Energy

Dimension 5: Operational Eco Efficiency

305-2 Indirect emissions from energy acquisition (Scope 2)
305-3 Other indirect greenhouse gas emissions (Scope 3)
305-4 Intensity of greenhouse gas emissions
305-5 Reduction of greenhouse gas emissions
RT-CH-110a.1 - Gross global Scope 1 emissions, percentage covered under emissions-limiting
regulations
RT-CH-110a.2 - Discussion of long-term and short-term strategy or plan to manage Scope 1
emissions, emissions reduction targets, and an analysis of performance against those targets
RT-CH-130a.1 – (1) Total energy consumed, (2) percentage grid electricity, (3) percentage
renewable, (4) total self-generated energy66

INTEGRATEDREPORT 2020

Material topic

MATERIAL TOPICS
MATERIAL TOPICSGRI SUMMARY

Sustainability dimension (Braskem global sustainability strategy)

SASB SUMMARY

GRI and SASB indicators
305-6 Emissions of ozone-depleting substances (OSD)

Air

Dimension 5: Operational Eco Efficiency

305-7 NOx, SOx and other significant air emissions
RT-CH-120a.1- Air emissions of the following pollutants: (1) NOX (excluding N2O), (2) SOX, (3)volatile organic compounds (VOCs), and (4) hazardous air pollutants (HAPs)
306-1 Generation of waste and significant impacts related to waste
306-2 Management of significant impacts related to waste

Waste

Dimension 5: Operational Eco Efficiency306-3 Waste generated
306-4 Waste not for disposal
306-5 Waste for disposal
RT-CH-150a.1 - Amount of hazardous waste generated, percentage recycled

Biodiversity

N/A

304-1 Owned, leased or managed operational units within or in the vicinity of protected areas
and other areas of high biodiversity value located outside protected areas
304-2. Significant impacts of activities, products and services on biodiversity304-3. Protected or restored habitats

Post-consumption

Dimension 3: Plastic Waste

301-2. Materials sourced from recycling

Suppliers - Environmental Management

N/A

308-1 New suppliers selected based on environmental criteria

Product development - Environmental

Dimension 7: Sustainable Innovation* Material topic 15 was revised from "Equal Opportunities" to "Human Rights & Equaliity"*

DMA Innovation
RT-CH-410a.1 - Revenue from products designed for use-phase resource efficiency

67

INTEGRATEDREPORT 2020

MATERIAL TOPICS

GRI content summary
GRI Standard

Disclosure

GRI SUMMARYGRI SUMMARY

68

SASB SUMMARYGRI 102-55

Page/URL

Omission

SDGs

GlobalCompact

General disclosures
Organizational Profile

GRI 102: 2016
General Disclosures102-1 Name of Organization

6

102-2 Activities, brands, products and services

78102-3 Location of headquarters

120, Lemos Monteiro street - Butantã - São Paulo/SP.
Zip code 05501-050

8

102-4 Location of operations

88

102-5 Ownership and legal form

Publicly held corporation

8

102-6 Markets served

88102-7 Scale of the organization

8

8

102-8 Information on employees and other workers
102-9 Supply chain
102-10 Significant changes in the organization and its
supply chain
102-11 Precautionary Principle or approach

Available at www.braskem.com/esgdashboard

8

6

52
No significant change during the period covered by the report.
As a principle and in accordance with the Health, Safety, Environment,
Quality, and Productivity Policy, Braskem does not produce, handle,use, market, transport, or dispose of any product if unable to do sosafely, with a minimum impact of the product on the environment.

102-12 External initiatives

50

102-13 Membership of associations

50

102-14 Statement from senior decision-maker3102-15 Key impacts, risks and opportunities

20

Strategy
GRI 102: 2016
General Disclosures

4

INTEGRATEDREPORT 2020

GRI Standard

MATERIAL TOPICS

Disclosure

GRI SUMMARYGRI SUMMARY69

SASB SUMMARY

Page/URL

Omission

SDGs

Ethics and Integrity
GRI 102: 2016
General Disclosures102-16 Values, principles, standards and norms of
behavior

9102-17 Mechanisms for advice and concerns about
ethics11102-18 Governance structure

10102-19 Delegating authority

10102-20 Executive-level responsibility for economic,
environmental and social issues

10

Governance102-21 Consulting stakeholders on economic,
environmental and social topics
102-22 Composition of the highest governance bodyand its committees
GRI 102: 2016
General Disclosures

Available at https:/www.braskem.com.br/materialissuesassessement
10102-23 Chair of the highest governance body

Available at www.braskem.com.br/corporate-governance102-24 Nominating and selecting the highest
governance body

Available at www.braskem.com.br/corporate-governance102-25 Conflicts of interest

10102-26 Role of the highest governance body in setting
purpose, values and strategy

10102-27 Collective knowledge of the highest governance
body

10

102-28 Evaluating the highest governance body’s performance10102-29 Identifying and managing economic, environmental, and social impacts

Available at www.braskem.com.br/corporate-governance102-30 Effectiveness of risk management processes

20102-31 Review of economic, environmental, and social
topicsAvailable at www.braskem.com.br/corporate-governance

16

GlobalCompactINTEGRATEDREPORT 2020

GRI Standard

MATERIAL TOPICS

Disclosure

GRI SUMMARYGRI SUMMARY70

SASB SUMMARY

Page/URL

Omission

SDGs

GlobalCompact

83

Stakeholder Engagement102-40 List of stakeholder groups
102-41 Collective bargaining agreements
GRI 102: 2016
General Disclosures

Available at https://www.braskem.com.br/material-issuesassessement
Available at www.braskem.com/esgdashboard

102-42 Identifying and selecting stakeholders

Available at https://www.braskem.com.br/material-issuesassessement102-43 Approach to stakeholder engagement

Available at https://www.braskem.com.br/material-issuesassessement102-44 Key topics and concerns raised

Available at https://www.braskem.com.br/material-issuesassessement

Reporting Practice102-45 Entities included in the consolidated financial
statements

Available at www.braskem.com/esgdashboard

102-46 Defining report content and topic Boundaries

Available at https://www.braskem.com.br/material-issuesassessement102-47 List of material topics

Available at https://www.braskem.com.br/material-issuesassessement102-48 Restatements of information
GRI 102: 2016
General Disclosures

55 and 61

102-49 Changes in the reporting

61

102-50 Reporting period

2102-51 Date of most recent report

61

102-52 Reporting cycle

2102-53 Contact point for questions regarding thereport61

102-54 Claims of reporting in accordance with the GRI
Standards

61102-55 GRI Content Index

68

102-56 External assurance82

INTEGRATEDREPORT 2020

GRI Standard

MATERIAL TOPICS

Disclosure

GRI SUMMARYGRI SUMMARY71

SASB SUMMARY

Page/URL

Omission

SDGs

GlobalCompact

Materials
GRI 201: Economic Performance
GRI 103:
Management
approach 2016

GRI 201: 2016
Economic
Performance103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

36103-3 Evaluation of the management approach36

201-1 Direct economic value generated and distributed

Available at www.braskem.com/esgdashboard

8, 9

201-2 Financial implications and other risks andopportunities due to climate change

Available at www.braskem.com/esgdashboard

13

201-4 Financial assistance received from government

Available at www.braskem.com/esgdashboard

16

103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

Available at www.braskem.com/esgdashboard

103-3 Evaluation of the management approach

Available at www.braskem.com/esgdashboard

202-1 Ratio of standard entry level wage by gendercompared to local minimum wage

Available at www.braskem.com/esgdashboard

1, 5, 86

202-2- Proportion of senior management hired fromthe local community

Available at www.braskem.com/esgdashboard

8

6

7, 8

Market presence
GRI 103:
Management
approach 2016

GRI 202: Market
Presence 2016

Indirect Economic Impacts
GRI 103:
Management
approach 2016
GRI 203: Indirect
Economic Impacts
2016103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

Available at www.braskem.com/esgdashboard

103-3 Evaluation of the management approach

Available at www.braskem.com/esgdashboard

203-1 Infrastructure investments and services
supported

Available at www.braskem.com/esgdashboard

5, 9, 11

INTEGRATEDREPORT 2020

GRI Standard

MATERIAL TOPICS

Disclosure

GRI SUMMARYGRI SUMMARY72

SASB SUMMARY

Page/URL

Omission

SDGs

GlobalCompact

Procurement Practices
GRI 103:
Management
approach 2016
GRI 204:
Procurement
Practices 2016

103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

Available at www.braskem.com/esgdashboard

103-3 Evaluation of the management approach

Available at www.braskem.com/esgdashboard

204-1 Proportion of spending on local suppliers

Available at www.braskem.com/esgdashboard

8Anti-Corruption
GRI 103:
Management
approach 2016

GRI 205: Anticorruption 2016

103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

Available at https://www.braskem.com.br/material-issuesassessement103-3 Evaluation of the management approach

Available at www.braskem.com/esgdashboard

205-1 Operations assessed for risks related tocorruption

11 and 12

16

205-2 Communication and training about anticorruption policies and procedures

Available at www.braskem.com/esgdashboard

16

10

205-3 Confirmed cases of corruption and actions
taken

Available at www.braskem.com/esgdashboard

16

10

Anti-competitive behavior
GRI 103:
Management
approach 2016
GRI 206: Anticompetitive
Behavior 2016

103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

11103-3 Evaluation of the management approach11

206-1 Legal actions for anti-competitive behavior,anti-trust and monopoly practices

Available at www.braskem.com/esgdashboard

16

INTEGRATEDREPORT 2020

GRI Standard

MATERIAL TOPICS

Disclosure

GRI SUMMARYGRI SUMMARY73

SASB SUMMARY

SDGs

GlobalCompact

Available at www.braskem.com/esgdashboard

8, 12

8

40

8, 12

8, 19

Page/URL

Omission

Materials
GRI 103:
Management
approach 2016
GRI 301: Materials
2016103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

7 and 40103-3 Evaluation of the management approach

7 and 40301-1 Materials used by weight or volume301-2 Recycled input materials used

EnergyGRI 103:
Management
approach 2016

GRI 302: Energy
2016103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

58 and 59

103-3 Evaluation of the management approach

58 and 59

302-1 Energy consumption within the organization

58

7, 8, 12, 13

302-3 Energy intensity

58

7, 8, 12, 13

302-4 Reduction of energy consumption

58

7, 8, 12, 13

8, 9

Water and effluents
GRI 103:
Management
approach 2016

GRI 303: Water andEffluents 2018

103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

58 and 59

103-3 Evaluation of the management approach

58 and 59

303-1 Interactions with water as a shared resource

59

6, 12

303-2 Management of water-discharge-related
impacts

596

303-3 Water withdrawal

Available at www.braskem.com/esgdashboard

6

303-4 Water discharge

Available at www.braskem.com/esgdashboard

6

59

6

303-5 Water consumption

7, 8

8

INTEGRATEDREPORT 2020

GRI Standard

MATERIAL TOPICS

Disclosure

GRI SUMMARYGRI SUMMARY74

SASB SUMMARY

Page/URL

Omission

SDGs

GlobalCompact

Biodiversity
GRI 103:
Management
approach 2016

GRI 304:
Biodiversity 2016

103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

Available at www.braskem.com/esgdashboard

103-3 Evaluation of the management approach

Available at www.braskem.com/esgdashboard

304-1 Operational sites owned, leased or managed
in, or adjacent to, protected areas and areas of highbiodiversity value outside protected areas

Available at www.braskem.com/esgdashboard

6, 14, 158304-2 Significant impacts of activities, products andservices on biodiversity

Available at www.braskem.com/esgdashboard

6, 14, 158304-3 Habitats protected or restored

Available at www.braskem.com/esgdashboard

6, 14, 15

8Emissions
GRI 103:
Management
approach 2016

GRI 305: Emissions
2016

103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

29, 34, 54, 55, 56 and 57

103-3 Evaluation of the management approach

29, 34, 54, 55, 56 and 57

305-1 Direct (Scope 1) GHG emissions

55

3, 12, 13, 14, 15

8305-2 Energy indirect (Scope 2) GHG emissions

55

3, 12, 13, 14, 15

8305-3 Other indirect (Scope 3) GHG emissions

Available at www.braskem.com/esgdashboard

13, 14, 158305-4 GHG emissions intensity

55

13, 14, 15

8, 9305-5 Reduction of GHG emissions

56

13, 14, 15

8, 9305-6 Emissions of ozone-depleting substances (ODS)

Available at www.braskem.com/esgdashboard

13, 14, 158

305-7 Nitrogen oxides (NOx), sulfur oxides (SOx) andother significant air emissions

56

13, 14, 15

8

INTEGRATEDREPORT 2020

GRI Standard

MATERIAL TOPICSGRI SUMMARYGRI SUMMARY

Disclosure

75

SASB SUMMARY

Page/URL

Omission

SDGs

GlobalCompact

Waste
GRI 103:
Management
approach 2016

GRI 306: Waste
2020

103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

33, 40 and 60

103-3 Evaluation of the management approach

33, 40 and 60

306-1 Generation of waste and significant impacts
related to waste

60

306-2 Management of significant waste-related
impacts

60

306-3 Waste generated

60

8306-4 Waste diverted from disposal

60

8306-5 Waste directed to disposal

60

8Environmental Compliance
GRI 103:
Management
approach 2016
GRI 307:
Environmental
Compliance 2016

103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

20 and 22

103-3 Evaluation of the management approach

20 and 22

307-1 Non-compliance with environmental laws andregulations

Available at www.braskem.com/esgdashboard

Supplier Environmental Assessment
GRI 103:
Management
approach 2016

103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

Available at www.braskem.com/esgdashboard

103-3 Evaluation of the management approach

Available at www.braskem.com/esgdashboard

16

INTEGRATEDREPORT 2020

GRI Standard
GRI 308:
Environmental
Assessment ofSuppliers 2016

MATERIAL TOPICS

Disclosure308-1 New suppliers that were screened using
environmental criteria

GRI SUMMARYGRI SUMMARY76

SASB SUMMARY

Page/URL

Available at www.braskem.com/esgdashboard

Omission

SDGs

16

Occupational Health and Safety
GRI 103:
Management
approach 2016

GRI 403:
Occupational
Health and Safety

103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

49103-3 Evaluation of the management approach49403-1 Occupational health and safety management
systemAvailable at www.braskem.com/esgdashboard

8403-2 Hazard identification, risk assessment andincident investigation

Available at www.braskem.com/esgdashboard

3, 8403-3 Occupational health services

Available at www.braskem.com/esgdashboard

3, 8

403-4 Worker participation, consultation andcommunication on occupational health and safety

Available at www.braskem.com/esgdashboard

8403-5 Worker training on occupational health andsafetyAvailable at www.braskem.com/esgdashboard

8403-6 Promotion of worker health

Available at www.braskem.com/esgdashboard

3403-7 Prevention and mitigation of occupational
health and safety impacts directly linked to business
relationships

Available at www.braskem.com/esgdashboard

8403-8 Workers covered by an occupational health andsafety management system

Available at www.braskem.com/esgdashboard

8403-9 Work-related injuries

Available at www.braskem.com/esgdashboard

3, 8, 16403-10 Work-related illnesses

Available at www.braskem.com/esgdashboard

Diversity and Equal Opportunity
GRI 103:
Management
approach 2016

103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

47 and 48

103-3 Evaluation of the management approach

47 and 48

GlobalCompactINTEGRATEDREPORT 2020

GRI Standard
GRI 405: Diversity
and Equal
Opportunity 2016

MATERIAL TOPICSGRI SUMMARYGRI SUMMARY

77

SASB SUMMARY

SDGs

GlobalCompact

Available at www.braskem.com/esgdashboard

5, 8

6

Available at www.braskem.com/esgdashboard

5, 8, 10

6

5, 8

4, 5

Disclosure

Page/URL

405-1 Diversity of governance bodies and employees
405-2 Ratio of basic salary and remuneration of
women to men

Omission

Non-Discrimination
GRI 103:
Management
approach 2016
GRI 406: Nondiscrimination 2016

103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

47 and 48

103-3 Evaluation of the management approach

47 and 48

406-1 Incidents of discrimination and corrective
actions taken

47

Human Rights Assessment
GRI 103:
Management
approach 2016

GRI 412: Human
Rights Assessment
2016

103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

20, 46 and 52

103-3 Evaluation of the management approach

20, 46 and 52

412-1 Operations that have been subject to human rights reviews or impact assessments

Available at www.braskem.com/esgdashboard

412-2 Employee training on human rights policies andpractices

Available at www.braskem.com/esgdashboard

2, 6

412-3 Significant investment agreements and contracts that include human rights clauses or that underwent
human rights screening

Available at www.braskem.com/esgdashboard

1, 2, 6103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

50103-3 Evaluation of the management approach

50

Local Communities
GRI 103:
Management
approach 2016

1

INTEGRATEDREPORT 2020

GRI Standard

GRI 413: Local
Communities 2016

MATERIAL TOPICSGRI SUMMARYGRI SUMMARY78

SASB SUMMARY

Disclosure

Page/URL

413-1 Operations with local community engagement,
impact assessments and development programs

Available at www.braskem.com/esgdashboard

413-2 Operations with significant actual and potential
negative impacts on local communities

Available at www.braskem.com/esgdashboard

Omission

SDGs

GlobalCompact
10

5, 8, 10Supplier Social Assessment
GRI 103:
Management
approach 2016
GRI 414: SupplierSocial Assessment
2016

103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

52103-3 Evaluation of the management approach

52

414-1 New suppliers that were screened using social
criteria

Available at www.braskem.com/esgdashboard

103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

11103-3 Evaluation of the management approach

11

5, 8, 16

6

16

10

Public Policy
GRI 103:
Management
approach 2016
GRI 415: Public
Policy 2016415-1 Political contributions

Available at www.braskem.com/esgdashboard

Customer Health and Safety
GRI 103:
Management
approach 2016

103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

Available at www.braskem.com/esgdashboard

103-3 Evaluation of the management approach.

Available at www.braskem.com/esgdashboard

INTEGRATEDREPORT 2020

GRI Standard
GRI 416: Customer
Health and Safety
2016

MATERIAL TOPICSGRI SUMMARYGRI SUMMARY79

SASB SUMMARY

Disclosure

Page/URL

416-1 Assessment of the health and safety impacts ofproducts and services

Available at www.braskem.com/esgdashboard

Omission

SDGs

Marketing and Labeling
GRI 103:
Management
approach 2016
GRI 417: Marketingand Labeling 2016

103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

Available at www.braskem.com/esgdashboard

103-3 Evaluation of the management approach

Available at www.braskem.com/esgdashboard

417-1 Requirements for product and service
information and labeling

Available at www.braskem.com/esgdashboard

12

Socioeconomic Compliance
GRI 103:
Management
approach 2016
GRI 419:
Socioeconomic
Compliance 2016

103-1 Explanation of material topic and its Boundary

Available at https://www.braskem.com.br/material-issuesassessement103-2 The management approach and its components

11103-3 Evaluation of the management approach

11419-1 Non-compliance with social and economic laws
and regulations

Available at www.braskem.com/esgdashboard

16

GlobalCompactINTEGRATEDREPORT 2020

MATERIAL TOPICSGRI SUMMARYSASB SUMMARYSASB SUMMARY80

Summary of SASB content
Topic

Metrics

Page/ URL

SDG

RT-CH-110a.1. Gross global Scope 1 emissions,percentage covered by emissions limit regulations

55 and available at https://www.braskem.com.br/material-issuesassessement

13

RT-CH-110a.2. Discussion of the long and short-term
strategy or plan for managing Scope 1 emissions,emission reduction targets and goal performance
analysis34, 57 and 58

13

RT-CH-120a.1. Emissions of the following pollutants:(1) NOx (excluding N2O), (2) SOx, (3) volatile organic
compounds (VOCs) and (4) hazardous air pollutants(HAPs)

56

3, 12

58

7, 9

RT-CH-140a.1. (1) Total water withdrawn, (2) total water
consumed, percentage of each in regions with baselinehigh or extremely high water stress

60 and available at https://www.braskem.com.br/material-issuesassessement

6, 9

RT-CH-140a.2. Number of non-compliance incidents
Water management associated with licenses, standards and regulations forwater quality

Omission: we were unable to consolidate this data globally forthis cycle and Report. We are commited to improving our global
management of this topic and intend to report on it in our 2021
Report.

6

RT-CH-140a.3. Description of water management risks
and discussion of strategies and practices to mitigate
such risks

60

6, 9

RT-CH-150a.1. Amount of hazardous waste generated
and percentage recycled

Available at www.braskem.com/esgdashboard

12

SASB - Chemicals

Greenhouse gas
emissions

Air Quality

RT-CH-130a.1. (1) Total energy consumed, (2)Power Management percentage of electricity from the grid, (3) percentageof renewables, (4) total self-generated energy

Hazardous Waste
Management

INTEGRATEDREPORT 2020

Topic
Community
Relations

Workers' health andsafetySafety andEnvironmental
Management for
Chemicals

MATERIAL TOPICS

Operationalsafety, emergency
preparedness andresponse
Production

SASB SUMMARYSASB SUMMARY

81

Metrics

Page/ URL

RT-CH-210a.1. Discussion of engagement processes
for managing risks and opportunities associated with
community interests50

RT-CH-320a.1. (1) Total recordable incident rate (TRIR)
and (2) fatality rate for (a) direct employees and (b)outsourced employees

49

8

RT-CH-320a.2. Description of efforts to assess,monitor and reduce the exposure of employees andcontracted workers to health issues (chronic disease)49

8

RT-CH-410b.1 (1) Percentage of products that containthe Harmonized System of Classification and Labelingof Chemicals (GHS) Category 1 and 2 Hazardous
Substances for Health and Environment, (2)percentage of such products that have been subjected
to risk assessment1)

Available at www.braskem.com/esgdashboard

12

RT-CH-410b.2 - Discussion of strategy to (1) manage
chemicals of concern and (2) develop alternatives with
reduced human and/or environmental impact

Available at www.braskem.com/esgdashboard

12

Available at www.braskem.com/esgdashboard

12

Genetically
RT-CH-410c.1 - Percentage of products by revenue
Modified Organisms that contain genetically modified organisms (GMOs)
Management of theLegal & Regulatory
Environment

GRI SUMMARY

RT-CH-530a.1 - Discussion of corporate positions
related to government regulations and/or policy
proposals that address environmental andsocial factors affecting the industry

SDG

21

RT-CH-540a.1. Process Security Incident Count (PSIC),
Total Process Security Incident Rate (PSTIR) and
Security Incident Severity Rate for the Process (PSISR) 4

Available at www.braskem.com/esgdashboard

8

RT-CH-540a.2. Number of transport-related incidents
managing risks and opportunities associated with
community interests

Available at www.braskem.com/esgdashboard

8

38

8

RT-CH-000.A - Production by reportable segment

INTEGRATEDREPORT 2020

MATERIAL TOPICSGRI SUMMARYSASB SUMMARY82

INTEGRATEDREPORT 2020

MATERIAL TOPICSGRI SUMMARYSASB SUMMARY83

Credits
Braskem
Carolina Rodrigues Pignata
Gabriela Linhares Bacarin
Isabela Basso
Vittoria Pìcarelli
rpt sustentabilidade
Content: Sarah Fernandes
Project management: Ricardo Duarte
Graphic design and layout: Sergio Almeida
GRI Consultant: Adriana Couto
English Version
Doris Buchmann
ImagesBrand Center Braskem
Gettyy Images
Audit
KPMG GRI 102-56