Risk Appetite

Currently, Vopak has 84 terminals in 31 countries. This extensive network adds value to our internationally operating customers and enables us to spread the risks of political and economic instability in an entrepreneurial manner. Every Vopak location pays considerable attention to environmental risks and attempts to keep safety risks to the absolute minimum. Many products we store and transport are potentially harmful to public health and the environment.

Our focus on safety is reflected in the design of our terminals, the conduct of our employees and in our policy and standards, which meet or exceed local legislation and regulations. Our employees undergo permanent training to keep know-how, skills and conduct up to standard. Key performance indicators are monitored monthly and there are also internal and external audits.

We are prepared to take greater risks in some areas than in others. Taking calculated risks to benefit from exceptional opportunities is part of our growth strategy. To ensure that risks and the loss of opportunities are sufficiently under control, each business decision is supported by a balanced system of selection, prioritization, internal financial and operational reviews and authorization profiles. Our standards and values are set out in the ‘Vopak Values’, which guide our actions. We make no concessions on this. Where it involves our business, we ensure proper funding and have adequate cash and cash equivalents available on time for developing growth projects.

Level of excellence in risk management 2010

For 2010, our level of excellence in risk management remained at least at the same level as in 2009, whereby the divisions have put further emphasis on their leadership role in this area. Defining Vopak’s risk-reward appetite is very much a task for the Executive Board, as it is intimately linked to defining the overall strategy of Vopak. In this balancing act, the Board takes into account the expectations of customers, shareholders, regulators and other stakeholders.