Regulatory Compliance

Occidental's operations are governed by hundreds of thousands of health, environment and safety related legal, regulatory and permit requirements. We monitor our performance worldwide through an index that tracks reportable events and citations to the appropriate government agency. Reportable events include spills or releases in excess of a level stipulated by regulatory agencies, or a deviation from a regulatory standard or an established permit condition.

Citations include notices of violation received from a government agency, as well as initiation of government agency proceedings such as administrative orders, consent orders or agreements, civil actions or court orders to enforce HES laws or regulations. Occidental's high level of performance in our increasingly regulated industry sector reflects the company's attention to ensuring compliance.

Citations and penalty data are influenced by the level of enforcement activity, which varies from year to year. Occidental takes proactive measures to identify, report and resolve compliance issues in cooperation with government agencies, which can also serve to mitigate potential penalties. Discussion of Occidental's environmental spending and remediation can be found in our Annual Report on Form 10-K.