Performance standards that are found applicable for this investment include: - PS 1. Social and Environmental Assessment and Management System- PS 2. Labor and Working Conditions- PS 3. Pollution Prevention and Abatement, and- PS 4. Community Health Safety and Security

This is a Category B project according to IFC’s Procedure for Environmental and Social Review of Projects because a limited number of specific environmental and social impacts may result which can be avoided or mitigated by adhering to generally recognized performance standards, guidelines or design criteria. The following potential environment, health and safety and social impacts of the projects were analyzed: - Systematic management of quality and environmental affairs; - Food safety standards; - Water and wastewater management; - Absence of air emissions; - Solid waste and hazardous materials management; - Occupational health and safety; and - Employment conditions.

The sponsor has presented plans to address these impacts to ensure that the proposed project will upon implementation of the specific agreed measures, comply with the environmental and social requirements - the host country laws and regulations and the IFC Performance Standards including the environmental, health and safety guidelines. The information about how these potential impacts will be addressed by the sponsor/project is summarized in the paragraphs that follow. The juice plant was established in 2008 at the site of a former state-owned vegetable canning plant in Bobruisk. The company purchased the closed down plant in a privatization transaction with the administration of the Mogilev region. The old vegetable canning plant was built in the early 1990s but had never achieved full capacity and had stopped operation in January 2006. The workers from that operation were offered other jobs by the authorities and were not carried over to the juice factory. PS1: Social and Environmental Assessment and Management Systems: DBJC has implemented management system according to the strict rules applied for food industry in Belarus. This includes significant checking, and double checking, procedures for raw materials and products. - Systematic management of quality and environmental affairs: The company has a demonstrated track record in implementing successful management of quality and environmental affairs in its other IFC-sponsored projects. Upon initiation of the project, the company is expected to implement and integrate in its management systems the necessary procedures and provide resources and staff for ensuring the quality of its environmental management systems and compliance with local regulations and IFC requirements. DBJC has implemented a rigorous food safety system based on the Belarus legislation, further the food safety system has undergone the first audit needed to start the process of an international HACCP certification of the food safety system. This audit was carried out by a German specialist and the first audit report is expected for review late November. Based on the report, potential deficiencies have to be corrected and a final certification audit carried out. According to the attached Environmental and Social Action Plan the full certification will be obtained at the end of the second quarter in 2010. PS2: Labor and Working Conditions: DBJC employment principles are based on non discriminatory and open discussions but DBJC has not yet developed and disclosed a human resource policy to reflect this. DBJC has agreed with IFC that such a written policy will be developed within the next 4 months, and afterwards the implementation will be verified through a labor audit ensuring that all DBJC's employment practices fully comply with the IFC Performance Standard 2, including freedom of association. During the first 19 months of operation there have been a certain turnover of employees, but only 2 employees have been let go on the initiative of DBJC, the reason for these two dismissals were one person arriving to work under the influence of alcohol and the other person having a health issue not suitable for continued employment in a juice factory. The person dismissed due to health issue was given a significant compensation package. The company has developed and implemented a comprehensive system for occupational health and safety and the plant meet all local requirements and international good practices. The system ensures occupational health and safety training for all new employees, and the availability of a safety engineer. With a fairly small organization all employees have direct access to contacting the safety engineer with any concerns. The details of the health and safety system are in the process of being documented according to the principles of OHSAS 18,001. The full implementation will be verified in 2010 through a certification according to STB 18,001-2005, which is the latest Belarus language version of the OHSAS 18,001. By November 1, 2009 the plant had been operating for 19 months and no Lost Day Accidents (LDA) had been reported during this period. During the same period the employees had worked a total of 311,577 Man Hours (0.311 MMH). This means that the effective accident frequency at this time can be calculated to be 0 (< 3.2) LDA/MMH. Life and Fire Safety (LFS) in the operations is provided by the installation of fire hydrants, fire extinguishers, and fire alarms. The production buildings are small with satisfactory egress opportunities. Further the risk of fire is relatively small, as all production equipment is stainless steel based, and all products are liquid. Therefore only packaging materials pose a real fire hazard. PS3: Pollution Prevention and Abatement: DBJC took over the brownfield site with empty buildings and upgraded the infrastructure and installed new modern stainless steel Tetra Pak technology based production and packing lines for its juice plant. The equipment is designed with optimal energy efficiency and automatic cleaning cycles. The heating source for the factory, including its pasteurizing units is provided in the form of steam received from a brewery located on the adjacent site. This steam is generated in natural gas fired boilers. Electricity is provided from the national grid, and with no electricity or heating generating installations on site the company has no direct air emissions. The CO2 emissions (scope 2, indirect emissions) caused by the generation of the electricity and steam received by the company has been estimated to 407 Tons per year. DBJC has a minor container based refrigeration / freezing storage in which juice concentrates and pastes can be kept fresh until they are used in the production. This facility's cooling loop utilizes the R134a coolant, which is one of the approved coolant used in mobile cooling, freezing and air conditioning systems. The company operations is connected to the public drinking water supply system and has own wells for back up supply. Currently the public water supply system is the main source use in the production. The plant discharges storm and process water into the municipal sewer system, and is able to stay within the standard limits for pollutants in this water. The municipality has a functional wastewater treatment plant. As a part of juice production process the company has installed a clean in place (CIP) system. This system, which ensures the food safety of the products, meets local regulations and is operated in accordance with international good practices and IFC requirements. All solid waste generated at the facility is, according to local rules, sorted for recycling and collected by licensed solid waste handlers. PS4: Community Health, Safety and Security: The juice plant is surrounded by a mix of light industry and residences. Due to the nature of the operation no air emissions and only minimal amounts of non toxic solid waste is generated. Water is received from the public distribution systems (with own wells as back up) and waste water is discharged to the municipal sewer for treatment. The noise level of the operation is very low, and mainly relates to the transport of raw materials and final products to and from the site by trucks. All in all, this means that the operation has minimal effect on the community during normal operation. The facilities also do not carry the potential for major emergencies through accidental releases or fires in dangerous materials, as the products are wet solutions of food products contained in stainless steel production equipment, with only exception being the carton based packaging.

The parent company has a successful track record in engaging with the community and in contributing to local development in its investments in Belarus. As part of its presence in the Bobruisk region the company has financed a variety of cultural events and festivals and is engaged with the local government on extending its contribution to regional development and employment. The development of DBJC has been widely recognized by the local and national authorities, who has appreciated DBJC being established in the area and revitalizing the tradition of juice production in the city.

DBJC is preparing a local disclosure of the updated ESAP in Belarussian language and will either use the local library or a local newspaper for this disclosure.