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Logistics of Companhia Vale do Rio Doce
Media Relations - 5/10
 
With a range of different multimodal services, Companhia Vale do Rio Doce (CVRD) stands as one of the national market. main logistic solutions providers. Vale Logistics is responsible for 16% of cargo movement in Brazil, 65% of harbor movement of solid bulk products and roughly 39% of national foreign trade movement.

CVRD's Logistics since 2000 maintains an annual growth rate of 10% in third-party cargo transportation. 9,3 thousand kilometers of a railroad network are encompassed, including eight own harbor terminals, patios and warehouses to cover important segments of the Brazilian economy, such as steel mills, agriculture, construction, forest, chemical, fuel , automobile products and consumer goods.

In the first quarter of 2004, logistics services represented 12,2% of CVRD's revenue, totaling R$ 332 million. The railway transportation revenue totaled R$ 261 million and with harbor services, R$ 71 million. The Estrada de Ferro Carajás (EFC), Estrada de Ferro Vitória a Minas (EFVM) e a Ferrovia Centro-Atlântica (FCA) transported
6,236 billion tons/km (tku) of general client cargo, against 5,622 billion tons/km during 1Q03, with a 10,9% increase.

Metallurgical products and their raw materials (coal, ferroalloy) represented 52,2% of the total operated, agricultural products 26,8% and fuels 10,2%. Harbors and maritime terminals in the States of Pará, Maranhão, Sergipe, Espirito Santo and Rio de Janeiro, operated 6,396 millions of tons of client cargo, with a 14,7% increase vis-à-vis the first quarter 2003.

In 2004, CVRD will invest US$ 182 million in the purchase of locomotives and wagons for EFC and EFVM. Purchases will be made of 6 locomotives and 1.257 wagons for mineral ore transportation and 12 locomotives and 754 wagons for cargo transportation of clients from Vale Logistics. US$ 130,6 million will be invested for the purchase of locomotives (70) and wagons (1.167) for FCA, only for client cargo transportation.

Vale Logistic's operational units are located in the States of Maranhão, Sergipe, Pará, Espirito Santo, Minas Gerais, Rio de Janeiro, São Paulo, Goiás and Brasilia. Main services offered comprise optimization of the logistic chain, logistic information, railroad and intermodal transportation, coastal navigation services, including coasting trade and feeder, harbor operations, warehousing and customs services. Vale Logistics completes its operations with an intense utilization of railroad modal services.
Logistics Services of Companhia Vale do Rio Doce

RAILROADS
Estrada de Ferro Vitória a Minas (EFVM) - one of the most modern and productive Brazilian railroads, transports roughly 37% of the country's entire railroad cargo. With an extension of 905 kilometers and a fleet of 15.376 wagons and 207 locomotives, EFVM transports metallurgical products, coal, fluxing agents, pig iron, fertilizers and Soya bean meal. EFVM connects to Ferrovia Centro-Atlântica (FCA), MRS Railway, to the harbors of Vitória (Terminal of Vila Velha, Paul, Codesa, Terminal of Liquid Bulk Products, Terminal of Praia Mole ) and to the harbor of Barra do Riacho, in Aracruz (ES).

This year, EFVM celebrates one hundred years. Ever since the foundation of Companhia Vale do Rio Doce in 1942, until December 2003 the railway transported over three billion tons of mineral ore and general cargo.

Estrada de Ferro Carajás (EFC) - operating in the country's northern area, connecting the interior to the main harbor of the region, Ponta da Madeira, in São Luis (MA). With an extension of 892 kilometers and a fleet of 5.353 wagons and 100 locomotives, EFC transports pig iron, Soya beans, fuels, vehicles and beverages. EFC connects to the railroads of CFN, Ferrovia Norte-Sul and to the harbor of Itaqui, also in São Luis (MA).

Ferrovia Centro-Atlântica (FCA) - is the country's largest railway in extension, with 7.080 kilometers. It acts in seven Brazilian States. Minas Gerais, Goiás, Rio de Janeiro, Espírito Santo, Bahia, Sergipe and Distrito Federal, passing through 285 counties.. With a fleet of 10.498 wagons and 435 locomotives, FCA transports metallurgical products, fluxing agents, cement, Soya bean meal and pig iron. It connects to the railways Estrada de Ferro Vitória a Minas (EFVM), MRS, CFN and Ferroban, in addition to the harbors of Vitória (Terminal of Vila Velha, Paul, Codesa), Angraporto (Angra-RJ), Terminal of Aratu and Harbor of Salvador (BA), as well as the Dry Harbor of Cerrado (Uberlândia).

Intermodal Express Train Service - connects the main economic centers of the country: Vitória, Belo Horizonte, Uberlândia, Brasília, Anápolis, Goiânia, Ribeirão Preto, Campinas, Três Corações and Salvador. It is utilized for transportation of consumer goods, such as beverages, food, electro-electronical items, hygienic products, cleaning products amongst others. The features of the Express Train are door-to-door services, utilizing containers to stock cargoes transported on the railway and at the highway routes, the regularity of the train schedules and commitment vis-à-vis timing of clients.

HARBORS AND TERMINALS
Vale Logistics features eight terminals, 13 berths, 11 warehouses/silos for grains and fertilizers with a capacity of 418 thousand tons and three covered warehouses for general cargo, totaling an area of 22.200 square meters. Solid grain transportation is being made at the Terminal Praia Mole (TPM), Terminal of Different Products (TPD), Ponta da Madeira, Tubarão and Paul. Liquid granary is being hauled through the Liquid Granary Terminal (TGL). Container and diversified cargo transportation is being accomplished through the Vila Velha Terminal (TVV) and Inácio Barbosa (TMIB) Maritime Terminal.

Vila Velha (TVV) Terminal - (ES) - transports containers, general cargo and vehicles, utilizing areas rented from Codesa. The main products are containers and granite. TVV is linked to Estrada de Ferro Vitória a Minas, to Ferrovia Centro-Atlântica and to highways BR 262 and BR 101.

Praia Mole Terminal (TPM) - (ES) - is being utilized to unload coal to supply the metallurgical plants along the Southern Corridor and also iron ore from Carajás for pellotizing purposes. TPM is linked to Estrada de Ferro Vitória a Minas and highways BR 262 and BR 101

Terminal of Different Products (TPD) - (ES) - has two piers: one for grains and another for fertilizers. TPD is linked to Estrada de Ferro Vitória a Minas and highways BR 262 and BR 101
Liquid Granary Terminal (TGL) - (ES) - specializes in hauling oil derivatives, such as diesel oil, MF380, fuel oil and gasoline. TGLis linked to Estrada de Ferro Vitória a Minas and highways BR 262 and BR 101

Cais de Paul - (ES) - specializes in hauling pig iron.
It is linked to Estrada de Ferro Vitória a Minas and highways BR 262 and BR 101
Harbor Terminal Ponta da Madeira - (MA) - is located at the eastern margin of São Marcos Bay, at the Island of São Luis (MA). Main products handled in Ponta da Madeira are pig iron and Soya beans.

Maritime Terminal Inácio Barbosa (TMIB) - (SE) - located in Barra dos Coqueiros (SE)< is operated by Vale do Rio Doce since 1994. The main products handled are wood, coke/coal and wheat. TMIB links up with BR 225.

HIGHWAY SERVICES
Vale Logistics utilizes the highway modal service to offer door-to-door solutions to clients, completing logistic operations.

COASTAL NAVIGATION
Coastal navigation services are offered by Docenave, a shipping company of Companhia Vale do Rio Doce.

Coastal services & Mercosul covers the harbors of Buenos Aires to Fortaleza, passing through Rio Grande, São Francisco do Sul, Santos, Vitória, Salvador, Maceió and Suape. The service counts with four vessel, scheduled at the rate of one

vessel every six days.
Feeder with two vessels, the service offers ports of call every two weeks in the harbors of Itajaí, Santos, Rio de Janeiro, Vitória and Salvador, extending alternatives to attend to new markets for long range op
 
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