TAPA BRAZIL UPDATE

1
TAPA BRAZIL UPDATE

• Alcides Ladislau Acosta
• TAPA Brazil Former Chairman
• Marisa Fernandes Almeida
• TAPA Brazil New Chairman (2008-2010)
• Doral Golf Resort Spa Miami, Florida
• June 04, 2008

2

• TAPA Brazil Chapter New BOD
• Bylaws Review
• Membership Update
• 2008 Plans Challenges
• Cargo Theft Overview
• Protection Measures Trends

3
TAPA Brazil Chapter New 2008 2010 BOD
4
Bylaws Review

• Changed denomination from TECHNOLOGY ASSET
  PROTECTION ASSOCIATION to TRANSPORTED ASSET
  PROTECTION ASSOCIATION
• Added three new functions on BOD
• 1. Administration Support Director
• 2. Technical Director
• 3. Marketing Public Relations Director
• Reviewed and expanded Vice-Chairman duties
• Created BOD Advisory Council to be sat by
  Former Chairman and Vice Chairman, making their
  knowledge/experience available, when needed
• Improved PARTNER members definition to provide
  Honoris Causa membership to outstanding
  collaborators and Law Enforcement
• Extended membership capability to High Valued
  Cos, to include Chemical, Pharmaceutical, Food
  and Fuel companies as members.

5
Membership Update
15 54 03 72 154

• SHIPMENT COMPANIES
• SERVICE PROVIDERS
• PARTNERS HONORARY MEMBERS
• MEMBERS TOTAL
• ONBOARD PROFESSIONALS

6
2008 Plans Challenges

• PARTNERSHIP WITH NATIONAL CARGO TRANSPORT
  ASSOCIATION (NTC) TEMPORARILY POSTPONED
• ACCOMPLISHED ELECTION TO RENEW TAPA BR BOD
  (APRIL 08)
• DELIVER TAPA BRAZIL INTERNAL AUDITOR TRAINING
  3Q
• BE A PROACTIVE CONTRIBUTOR TO CONTROL CHANGE
  BOARD (CCB) ON FSR 2009 DEVELOPMENT PROCESS
• IMPROVE TAPA BRAZIL WEB SITE ON GOING
• EXPAND MEMBERSHIP UP TO 80 MEMBERS INCLUDING LA
  COUNTRIES
• HAVE TAPA USA REPRESENTATIVE ATTENDING A
  TAPA BRAZIL MEETING

7
Cargo Theft Overview

• Currently, Cargo Theft Hijacking figures are
  stable with tendency to decrease
• More than 11,000 cases/Year registered with
  losses estimated nearly to U 417 Million
• On 11 Y. Industry had more than 110,000
  robberies throughout the country, with losses
  reaching US 4.1 billion
• In the same period, 211 drivers and helpers
  were killed by the assailants
• Southeast Region concentrates around 80 of
  robberies in the country
• (Source NTC Logistics Association)

8
Cargo Theft Overview

• Cargo theft is exceeding counterfeiting of
  medicines
• In 2007, State of Sao Paulo registered 531
  stolen loads of drugs, 20 higher than 2006
• A U 18.5 million loss affecting
  Pharmaceuticals
• In 2008, 1st. Quarter, 130 loads of medicines
  were stolen, the 4th. type of cargo more targeted
  by thieves
• In the whole 2007, 133 robberies were recorded
• Theft hit all types of medicine from veteran
  painkiller Cibalena A (Novartis), which 4 tablets
  pack costs 0.59, up to newly approved drug
  Acomplia (rimonabanto), Sanofi-Aventis product,
  marketed to average price of U 119.00.

9
Cargo Theft Overview

• Air cargo transportation increased 16.7 (from
  147.569 to 172.184 tons) along 2008 1Q, according
  to Government Airport Infrastructure
  Administration (INFRAERO)
• Importation recorded 20.7 growth (from 83.241
  to 100.445 tons)
• Exportation increased 11,5 (from 64.328 to
  71.740 tons)
• INFRAERO also pointed an increment of 4 in
  revenues
• In 2008, 1Q, air transportation carried U 110
  million - including Additional Tax (Ataero)
  compared to U 105 million last year 1Q

10
New GPS small tracking device for Cargo Protection

• Nine centimeters in length, 270 grams and
  battery lasting up to 10 days. That's OnixSpy -
  portable load tracker that OnixSat Co. recently
  launched in Brazil. This product is easily
  attached to the load and allows customers to
  trace it throughout the journey, regardless of
  tracking systems is in the truck.
• "It is an innovative equipment, never seen in
  the market and promises to bring to customers
  safe transport and logistics. It will enable
  loads being monitored within Distribution
  Centers, even before being loaded, and after
  being transported to final destination,
  according to the manufacturer OnixSat.
• Tracked by GPS constellation with data
  transmission through TIM GSM / GPRS network,
  OnixSpy allows cargo monitoring journey by
  OnixSat, 24 hours, 7 days a week.
• This is a discreet product, in case of theft.
  OnixSpy facilitates the recovery of cargo. It
  is small, discreet, efficient. It can be
  accommodated in any type of cargo, and during any
  journey, continuously transmits its position to a
  central.
• Is the PT 200, now being sold to insurance,
  logistics and transportation companies.

11

• S-911 MICROCOVERT HIDE GPS REAL TIME TRACKING ON
  ANY VEHICLE, TRAILER, OR CONTAINER (OTHERS)
• GPRS 850/1900 OR 900/1800MHZ , SIRF III GPS
  CHIPSET 20CH.
• GEOFENCE SETTING, SPEED LIMIT ALERTING AND
  MILEAGE REPORTING OVER THE AIR
• PERIODIC POSITION REPORTS BASED ON TIME INTERVAL
  OR DISTANCE TRAVELLED
• LARGE LI-ION BATTERY FOR EXTENDED TIME USAGE ( 2
  MODELS )
• WATERPROOF, ROBUST AND DISCRETE, NO INSTALLATION
  REQUIRED
• STRONG MAGNETS ALLOW ATTACHMENT TO ANY METAL
  SURFACE ( 80 LB FORCE )
• SUITABLE FOR ASSET AND MERCHANDISE TRACKING,
  PRIVATE INVESTIGATION AND LAW ENFORCEMENT
  APPLICATIONS

12
Cargo Theft Overview

• An effective tool against vehicle theft, the
  GPS tracking, is in danger to become completely
  useless.
• A device capable to prevent its effectiveness
  is on sale in Europe.
• The Anti-GPS Tracker, made in China, is able to
  block signals emitted by GPS sattelites within a
  radius of up to five meters.
• The unit can be connected to a cigarette
  lighter outlet and looks like a plug used to
  recharge cell phones, with a small antenna.
• The target audience for this device is people
  embarrassed by having their footsteps controlled
  by insurance and car rental companies,
  employers, husbands, wives, parents and others
  interested in trace their destination.
• But it is very likely that it will be used by
  car thieves, in an attempt to neutralize the
  possible location of stolen cars.

Anti-GPS Tracker
13
ROAD MODAL, Main Responsible for Cargo
Transportation
14
11,1 of asphalt pavement ruined by holes,
ondulations and depressions (5.175 miles badly
damaged)
15
TRANSPORT CONCERN RUINED ROADS ISSUE
Poor maintenance of Roads causes truck slow down
up to 19.8 miles/h

• Consequence 1 30 Cost Increase on
  Transportation
• Consequence 2 - 38 of Truck Maintenance Cost
• Consequence 3 - 58 More Fuel Consumption
• Consequence 4 - 100 increase on Journey time

16
PAC (Growth Acceleration Program) Resources
brings Hope
Transportation Ministry PAC resources
8.4 bi From 2008, Jan to April
investments 1.8
bi (or only 21,4 of total resources to be spent
in 2008) To be applied on highways/Roads renew
1.4 Bi