GRI Content Index

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About this report

G4-DMA

The Annual Report 2016 of Itaúsa presents to all stakeholders information on the company’s strategy and performance in the last year. This report complies with the G4 Guidelines of the Global Reporting Initiative (GRI), Comprehensive option, which enables the focus on the most relevant aspects to the business and stakeholders, emphasizing the statements on governance aspects. G4-29 | G4-30 | G4-32

Information was guided by the company’s materiality matrix, prepared in 2014 based on a formal process of consultation to specialists from the private sector, media, market analysts, civil society, non-governmental organizations, and academia, as well as the view of Itaúsa’s executives. The material topics arising from this process are

presented in the chart below, and further information on consultation may be accessed by this link. G4-18 | G4-24 | G4-25 | G4-26 | G4-37

The information in this report refers to the period from January 1 to December 31, 2016 and is consistent with that of the entities included in Itaúsa’s Financial Statements. This report was approved by the company’s Chief of Office and verified by the independent auditors. The economic and financial data was consolidated in accordance with the Brazilian accounting practices, issued by the Accounting Pronouncements Committee (CPC) and approved by the Brazilian Securities Commission (CVM), and with the International Financial Reporting Standards (IFRS). G4-17 | G4-28 | G4-33

MATERIALITY MATRIX

 

GRI G4 Content Index

G4-32

GENERAL STANDARD DISCLOSURES

  • Description
  • Page/Notes
  • Omission
  • External Assurance
Estratégia e análise
Perfil organizacional
  • G4-11
  • The Conglomerate’s eligible employees are covered by collective bargaining agreements. For further information, see to the subsidiaries’ annual and sustainability reports.
  • Yes
  • G4-12
  • As it is a holding company, Itaúsa does not have material supplier costs.
  • G4-15
  • The main commitments assumed by the subsidiaries include: United Nations Global Compact, Carbon Disclosure Project (CDP), Programa na Mão Certa (On the Right Track program), and Ethos Institute of Business and Social Responsibility. For further information, see to the subsidiaries’ annual and sustainability reports.
  • Yes
  • G4-16
  • The companies actively participate in industry associations, including the Brazilian Federation of Banks (Febraban), Federation of Industries of the State of São Paulo (Fiesp), Forest Stewardship Council (FSC), and the Brazilian Association of the Chemical Industry (Abiquim). For further information, see to the subsidiaries’ annual and sustainability reports.
identified material aspects and boundaries
  • G4-22
  • There was no restatement of previously provided information.
  • G4-23
  • There was no material change in the scope and boundaries of material aspects.
stakeholder engagement
  • G4-26
  • In addition to the engagement carried out by Itaúsa for the materiality process (page 35), subsidiaries have specific relationship channels and engagement actions for each stakeholder group. For further information, see to the subsidiaries’ annual and sustainability reports.
  • Yes
report profile
governance
  • G4-38
  • See the composition of the Board of Directors of Itaúsa here. For further information on this body and the composition of the advisory committees, access the INSTITUTIONAL SITE of Itaúsa.
  • Yes
  • G4-41
  • Itaúsa adopts the best market practices to prevent and manage any conflicts of interest. Itaúsa’s Stockholders’ Agreement defines rules and parameters to prevent conflicts of interest from arising between the company’s controlling parties. The Internal Regulation of the Board of Directors, in turn, states that its members shall not take part in voting in which conflicts of interest may arise. A similar process is applied to the General Stockholders’ Meetings, whenever a stockholder has an interest potentially in conflict with the resolution agenda. In their capacity as members of the subsidiaries’ Boards of Directors, Itaúsa’s representatives are also subject to the specific policies of these companies accordingly. For further information, see to Itaúsa’s Reference Form
  • G4-44
  • Itaúsa recommends that its subsidiaries adopt the self-assessment process of the Board of Directors, and it is considering the adoption of this procedure for its own Board. For further information, see to the Reference Form of Itaúsa and of its subsidiaries.
  • Yes
  • G4-48
  • The CEO is the highest executive to approve the Annual Report.
  • G4-53
  • Stakeholders’ views on compensation are taken into account and submitted to the Ethics, Disclosure and Trading Committee, by way of a channel that ensures the right to anonymity and protection, and later forwarded to the Board of Directors.
  • Yes
  • G4-54
    G4-55
  • The ratio of the compensation for the organization’s highest-paid individual to that of other employees is not material, since Itaúsa operates as a holding company. For further information on the subsidiaries’ remuneration assumptions and practices, see to their respective annual and sustainability reports.
ethics and integrity

SPECIFIC STANDARD DISCLOSURES

  • Description
  • Page/Notes
  • Omission
  • External Assurance
Econonmic performance
Economic Performance
  • G4-EC4
  • Subsidiaries received tax incentives for social investments, in accordance with the Rouanet and Sports Incentive laws. For further information on subsidiaries, see to the respective annual and sustainability reports.
Indirect economic impacts
Category: Enviromental
Compliance
  • G4-EN29
  • Itaúsa did not receive any fines or sanctions related to any non-compliance with environmental laws or regulations. For further information on subsidiaries, see to the respective annual and sustainability reports.
Enviromental grievance mechanisms
  • G4-EN34
  • Itaúsa did not receive any environmental impacts grievances. For further information on subsidiaries, see to the respective annual and sustainability reports.
Category Social - Labor practices and decent work
Labor practices grievance mechanisms
  • G4-LA16
  • Itaúsa did not receive any labor practice grievances. For further information on subsidiaries, see to the respective annual and sustainability reports.
Category: Social - Human Rights
Child labor
  • G4-HR5
  • The risk of incidents of child labor in Itaúsa and its suppliers is not material. For further information on subsidiaries, see to the respective annual and sustainability reports.
Forced or compulsory labor
  • G4-HR6
  • The risk of incidents of child labor in Itaúsa and its suppliers is not material. For further information on subsidiaries, see to the respective annual and sustainability reports.
Forced or compulsory labor
  • G4-HR12
  • The risk of incidents of forced or compulsory labor in Itaúsa and its suppliers is not material. For further information on subsidiaries, see to the respective annual and sustainability reports.
Categoria Social - sociedade
Anti-corrupition
  • G4-SO3
  • All Itaúsa’s operations are subject to internal control and governance tools. For further information on subsidiaries, see to the respective annual and sustainability reports.
  • G4-SO4
  • All employees become knowledgeable of the Code of Ethics and Conduct. For further information, see to the subsidiaries’ annual and sustainability reports.
Public policy
  • G4-SO6
  • No donations to politicians or political parties were granted, in conformity with Brazilian legislation.
Anti-competitive behavior
  • G4-SO7
  • No legal actions were filed against Itaúsa in connection with anti-competitive behavior. For further information on subsidiaries, see to the respective annual and sustainability reports.
Compliance
  • G4-SO8
  • Itaúsa did not receive any fines or sanctions related to any non-compliance with social and economic norms or regulations. For further information on subsidiaries, see to the respective annual and sustainability reports.
Grievance mechanisms for impacts on society
  • G4-SO11
  • Itaúsa did not receive any grievances about impacts on society. For further information on subsidiaries, see to the respective annual and sustainability reports.
category: social – product responsibility
Customer privacy
  • G4-PR8
  • This disclosure is not applicable to Itaúsa, since the company does not have clients. For further information on subsidiaries, see to the respective annual and sustainability reports.
Compliance
  • G4-PR9
  • This disclosure is not applicable to Itaúsa, since the company does not have clients. For further information on subsidiaries, see to the respective annual and sustainability reports.

Independent auditor’s limited assurance report on information related to sustainability included in the 2016 Annual Report

To the Board of Directors
Itaúsa - Investimentos Itaú S.A.
São Paulo- SP

Introduction

We were contracted by Itaúsa - Investimentos Itaú S.A. (“Company” or “ITAÚSA”) to present our limited assurance report on the compilation of the information related to sustainability included in the Company’s 2016 Annual Report for the year ended December 31, 2016.

Responsibilities of the Company’s management

The management of ITAÚSA is responsible for the preparation and fair presentation of the information included in the 2016 Annual Report, in accordance with the guidelines of the Global Reporting Initiative (GRI-G4), and for such internal control as it determines is necessary to enable the preparation of information free from material misstatement, whether due to fraud or error.

Independent auditor’s responsibility

Our responsibility is to express a conclusion on the information included in the 2016 Annual Report, based on our limited assurance engagement carried out in accordance with the Technical Communication CTO 01, “Issuance of an Assurance Report related to Sustainability and Social Responsibility”, issued by the Brazilian Federal Accounting Council (CFC), based on the Brazilian standard NBC TO 3000, “Assurance Engagements Other than Audit and Review”, also issued by the CFC, which is equivalent to international standard ISAE 3000, “Assurance engagements other than audits or reviews of historical financial information”, issued by the International Auditing and Assurance Standards Board (IAASB). Those standards require that we comply with ethical requirements, including independence requirements, and perform our engagement to obtain limited assurance that the information included in the 2016 Annual Report, taken as a whole, is free from material misstatement.

A limited assurance engagement conducted in accordance with the Brazilian standard NBC TO 3000 and ISAE 3000 mainly consists of making inquiries of management and other professionals of the entity involved in the preparation of the information related to sustainability, as well as applying analytical procedures to obtain evidence that allows us to issue a limited assurance conclusion on the information taken as a whole. A limited assurance engagement also requires the performance of additional procedures when the independent auditor becomes aware of matters that lead him to believe that the information taken as a whole might present significant misstatements.

The procedures selected are based on our understanding of the aspects related to the compilation and presentation of the information related to sustainability included in the 2016 Annual Report, other circumstances of the engagement, and our analysis of the areas in which significant misstatements might exist. The following procedures were adopted:

(a) planning the work, taking into consideration the materiality and the volume of quantitative and qualitative information and the operating and internal control systems that were used to prepare the information included in the Annual Report for 2016 of ITAÚSA;
(b) understanding the calculation methodology and the procedures adopted for the compilation of indicators through interviews with the managers in charge of the preparation of the information;
(c) applying analytical procedures to quantitative information and making inquiries regarding the qualitative information and its correlation with the indicators disclosed in the information included in the 2016 Annual Report; and
(d) comparing the financial indicators with the financial statements and/or accounting records.

The limited assurance engagement also included the application of procedures to assess compliance with the guidelines of the Global Reporting Initiative (GRI-G4) applied in the compilation of the information related to sustainability included in the Annual Report for 2016.

We believe that the evidence we obtained is sufficient and appropriate to provide a basis for our limited assurance conclusion.

Scope and limitations

The procedures applied in a limited assurance engagement are substantially less detailed than those applied in a reasonable assurance engagement, the objective of which is the issuance of an opinion on the information related to sustainability included in the 2016 Annual Report. Consequently, we were not able to obtain reasonable assurance that we would become aware of all significant matters that might be identified in an assurance engagement, the objective of which is the issue of an opinion. If we had performed an engagement with the objective of issuing an opinion, we might have identified other matters and possible misstatements in the information related to sustainability included in the 2016 Annual Report. Therefore, we do not express an opinion on these matters.

Non-financial data are subject to more inherent limitations than financial data, due to the nature and diversity of the methods used to determine, calculate and estimate these data. Qualitative interpretations of the relevance, materiality, and accuracy of the data are subject to individual assumptions and judgments. Furthermore, we did not consider in our engagement the data reported for prior years, nor future projections and goals.

Conclusion

Based on the procedures performed, described herein, no matter has come to our attention that causes us to believe that the information related to sustainability included in the 2016 Annual Reportof Itaúsa - Investimentos Itaú S.A. has not been compiled and fairly presented, in all material respects, in accordance with the guidelines of the Global Reporting Initiative (GRI-G4).

São Paulo, April 11, 2017

PricewaterhouseCoopers
Auditores Independentes
CRC 2SP000160/O-5

Washington Luiz Pereira Cavalcanti
Contador CRC 1SP172940/O-6

ADRESSES

G4-5

Itaúsa – Investimentos Itaú S.A.
Head Office: Praça Alfredo Egydio de Souza Aranha, 100
CEP – 04344-902
São Paulo – SP
www.itausa.com.br

Itaú Unibanco Holding S.A.
Praça Alfredo Egydio de Souza
Aranha, 100
CEP – 04344-902
São Paulo – SP
www.itau.com.br

Duratex S.A.
Av. Paulista, 1.938 – Terraço
CEP –01310-200
São Paulo – SP
www.duratex.com.br

Elekeiroz S.A.
Av. Paulista, 1.938 – 5° andar
CEP –01310-200
São Paulo – SP
www.elekeiroz.com.br

Itautec S.A.
Av. Paulista, 1.938 – 5° andar
CEP – 01310-200
São Paulo – SP
www.itautec.com.br

Investor Relations Office Itaúsa – Investimentos Itaú S.A.

Investor Relations Officer:
Alfredo Egydio Setubal
Av. Paulista, 1.938, 5º andar
CEP – 01310-200
São Paulo – SP
Fone: 55 11 3543-4177
Fax: 55 11 3543-4101
e-mail: investor.relations@itausa.com.br

Central Investfone (Investfone Center)
3003-9285 Capitals and Metropolitan Regions
0800 720 9285 Other locations
Working hours: Mondays through Fridays, from 9 a.m. to 6 p.m.

Service to Stockholders

Belo Horizonte - State of Minas Gerais:
Av. João Pinheiro, 195 – Subsolo – CEP: 30130-180

Brasília – Federal District:
SCS Quadra 2 – Edif. Palácio do Comércio, Bloco B, loja 9 – Térreo – CEP: 70300-500

Curitiba – State of Paraná:
R. João Negrão, 65 – Sobreloja – CEP: 80010-200

Porto Alegre – State of Rio Grande do Sul:
R. Sete de Setembro, 1069 – 3º andar – CEP: 90010-190

Rio de Janeiro – State of Rio de janeiro:
Av. Almirante Barroso, 52 – 2º andar – CEP: 20031-000

Salvador – State of Bahia:
Av. Estados Unidos, 50 – 2º andar – Edifício Sesquicentenário – CEP: 40010-020

São Paulo – State of São Paulo:
R. Boa Vista, 176 – 1º Subsolo – CEP: 01092-900

EDITORIAL TEAM

General Coordination | Itaúsa’s Investor Relations Office

Support | Itaú Unibanco’s Investor Relations Team, Duratex’s Investor Relations Team, Elekeiroz’s Investor Relations Team, Itautec’s Investor Relations Team

GRI consulting services, editorial coordination and design | Usina82

Further information can be obtained in the channel “Fale com RI” (talk to IR), at www.itausa.com.br, or upon request by the email address investor.relations@itausa.com.br. G4-31