The company reports collective bargaining in the supply chain and provides evidence of compliance for the same.

Supplier code of conduct, pg. 3

"Freedom of Association and Collective Bargaining Suppliers shall, in accordance with applicable law, recognize and respect the rights of Employees to associate, organize or join a union organization and bargain collectively in a lawful manner without interference, penalty or retaliation.

Suppliers shall adopt an open and constructive attitude toward union activities."

Non-financial statement 2019, pg. 114

"The monitoring of its supply chain continues with strin - gent ethical, social and environmental audits in order to ver - ify compliance with the applicable laws and the principles set out in the aforementioned Codes. During the year, Moncler further consolidated its auditing activities across the sup - ply chain, going from 60 audits in 2017, to 144 in 2018 and 152 audits in 2019, for a total of 356 audits on suppliers and subcontractors for ethical and social activities carried out in the three-year period 2017-2019. In line with previous years, the audits were conducted by qualified and experienced inde - pendent bodies to ensure maximum impartiality. The audits were centred on fundamental human and workers’ rights, par - ticularly on forced labour, child labour, freedom of associa - tion, working hours, minimum wages and – last but not least – occupational health and safety. The scope of the audits and the suppliers and subcontractors to be audited, were selected based on a risk analysis and on whether a supplier and the related supply chain are considered strategic. In particular, factors such as the amount of orders placed, the type of good and service provided, significance for the business, geograph - ic location and other parameters were taken into account, such as the supplier’s number of employees and plants, and/or the use of subcontractors and their geographic location and any difficulty in quickly replacing the supply chain.

Based on a three-year audit plan, high monitoring cover - age of the entire supply chain has been achieved. During the three-year period 2017-2019, 356 ethical-social audits were carried out (both on suppliers and sub-contractors), equal to approximately 100% of the volumes assigned to outerwear sub-contractors, 90% of the volumes assigned to façon knitwear manufacturers and suppliers of footwear and bags, 81% of the number of down suppliers and tanneries, 44% of the volumes assigned to suppliers of soft accessories. Further - more, in 2019, ethical and social audits were carried out also on service providers in relation to logistics platforms and ex - ternal quality control platforms as well as security suppliers at Moncler offices and stores. The Company aims at maintaining 100% coverage of the façon manufacturers over three years and gradually extending it to other types of supplier."