A comprehensive and participatory independent social and environmental

SUCOFINDO INTERNATIONAL CERTIFICATION SERVICES Sucofindo ICS FRM 14.05 Issue 00 Rev. 1 25of 34 6.11.2 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 41 point 6.11.2 Conclusion : conform

6.12 No form of forced or trafficked labour are used

6.12.1 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 41 point 6.12.1 Conclusion : conform 6.12.2 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 41 point 6.12.2 Conclusion : conform 6.12.3 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 41 point 6.12.3 Conclusion : conform 6.13 Growers and millers respect human rights 6.13.1 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 42 point 6.13.1 Conclusion : conform 7 RESPONSIBLE DEVELOPMENT OF NEW PLANTINGS The data reviewed during the audit show that at the beginning, PT ISK had to new planting after 2010. However, there are area planted during 2005-2010. Therefore, clause 7.3.1 is applicable Then the company planted about 54 ha during 2015 and thus, allcriteria under principle 7 become applicable.

7.1 A comprehensive and participatory independent social and environmental

impact assessment is undertaken prior to establishing new plantings or operations, or expanding existing ones, and the results incorporated into planning, management and operations 7 This whole Principle is not applicable to this surveillance as there are no new plantings. The commpany is only involved in re-planting programme after felling of old palms and there is no plan for expansion. SUCOFINDO INTERNATIONAL CERTIFICATION SERVICES Sucofindo ICS FRM 14.05 Issue 00 Rev. 1 26of 34 7.1.1 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 42 point 7.1.1 Conclusion : conform 7.1.2 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 42 point 7.1.2 Conclusion : conform 7.1.3 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 42 point 7.1.3 Conclusion : conform Criterion 7.2 : Soil surveys and topographic information are used for site planning un the establishment of new planting and result are incorporated into plans and operations. 7.2.1 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 43 point 7.2.1 Conclusion : conform 7.2.2 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 43 point 7.2.2 Conclusion : conform Criterion 7.3: New planting since November 2005, have not replaced primary forest or any area required to maintain or enhance one or more High Conservation Value 7.3.1 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 43 point 7.3.1 Conclusion : Based on the email of RSPO Technical Director Salahudin Yaacob dated 27 May 2016 to Client, here with the statement : 1. The certification process of the unit shall proceed. 2. The completion of the compensation process shall be evaluated at the next surveillance. 7.3.2 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 43 point 7.3.2 Conclusion : Based on the email of RSPO Technical Director Salahudin Yaacob dated 27 May 2016 to Client, here with the statement : 1. The certification process of the unit shall proceed. 2. The completion of the compensation process shall be evaluated at the next surveillance. 7.3.3 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 43 point 7.3.3 Conclusion : Based on the email of RSPO Technical Director Salahudin Yaacob dated 27 May SUCOFINDO INTERNATIONAL CERTIFICATION SERVICES Sucofindo ICS FRM 14.05 Issue 00 Rev. 1 27of 34 2016 to Client, here with the statement : 1. The certification process of the unit shall proceed. 2. The completion of the compensation process shall be evaluated at the next surveillance. 7.3.4 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 43 point 7.3.4 Conclusion : Based on the email of RSPO Technical Director Salahudin Yaacob dated 27 May 2016 to Client, here with the statement : 1. The certification process of the unit shall proceed. 2. The completion of the compensation process shall be evaluated at the next surveillance. 7.3.5 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 43 point 7.3.5 Conclusion : Based on the email of RSPO Technical Director Salahudin Yaacob dated 27 May 2016 to Client, here with the statement : 1. The certification process of the unit shall proceed. 2. The completion of the compensation process shall be evaluated at the next surveillance. Criterion 7.4: Extensive planting to be determined by SEIA in steep terrain, andor on marginal and fragile soils, including peat, is avoid. 7.4.1 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 44 point 7.4.1 Conclusion : conform 7.4.2 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 44 point 7.4.2 Conclusion : conform Criterion 7.5: No. New Planting are estabilished on local people’land where it can be demonstrated that there are egal, customary or user rights, without their free, prior and informed consent. This is dealt with through a documented system that enables these and other stakeholders to express their views through their own representative institutions. 7.5.1 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 44 point 7.5.1 Conclusion : conform Criterion 7.6: Local people are are compensated for any agree land acquisitions and relinquishment of rights, subject to their free, prior and informed consent and negotiated agreement 7.6.1 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 44 point 7.6.1 SUCOFINDO INTERNATIONAL CERTIFICATION SERVICES Sucofindo ICS FRM 14.05 Issue 00 Rev. 1 28of 34 Conclusion : conform 7.6.2 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 44 point 7.6.2 Conclusion : conform 7.6.3 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 44 point 7.6.3 Conclusion : conform 7.6.4 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 44 point 7.6.4 Conclusion : conform 7.6.5 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 44 point 7.6.5 Conclusion : conform 7.6.6 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 45 point 7.6.6 Conclusion : conform Criterion 7.7: No use of fire the preparation of new plantings other than in specific situations, as identified in the ASEAN guidlines or other regional best practice. 7.7.1 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 45 point 7.7.1 Conclusion : conform 7.7.2 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 45 point 7.7.2 Conclusion : conform Criterion 7.8: New Plantation developments are designed to minimaze net greenhouse gas emissions. 7.8.1 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 45 point 7.8.1 Conclusion : conform SUCOFINDO INTERNATIONAL CERTIFICATION SERVICES Sucofindo ICS FRM 14.05 Issue 00 Rev. 1 29of 34 7.8.2 See SGS report 4666-ID- PT ISK - River View Mill SA2015 - GP7003A page 45 point 7.8.2 Conclusion : conform 8 COMMITMENT TO CONTINUOUS IMPROVEMENT IN KEY AREAS OF ACTIVITY

8.1 Growers and millers regularly monitor and review their activities and develop