"Violations of the Employee Code can result in dismissal of the employee and, as earlier noted, violations of the Supplier Code can result in termination of our relationship with the supplier."

In most instances, where an audit deficiency is identified, corrective action is required on a specified timeline, followedby validation by the Company or its auditor that the deficiency has been remedied, including, if necessary through are-audit of the manufacturing facility. In the case of a serious violation of the Supplier Code, termination of theCompany’s relationship with the manufacturer may occur, particularly where corrective action is either not possibleor determined to be an insufficient remedy

In most instances, where an audit deficiency is identified, corrective action is required on a specified timeline, followedby validation by the Company or its auditor that the deficiency has been remedied, including, if necessary through are-audit of the manufacturing facility. In the case of a serious violation of the Supplier Code, termination of theCompany’s relationship with the manufacturer may occur, particularly where corrective action is either not possibleor determined to be an insufficient remedy

We require that our suppliers must repay these fees to the worker if found to have been paid by workers.3

Pursuant to our factory social compliance program, all of the Company’s direct suppliers are required to certify compliance with the Supplier Codein writing. We also generally require that the terms of any contracts with our suppliers also include an undertaking to comply with our Supplier Code. In the event of a violation of the Supplier Code, we reserve the right to either terminate our relationship with the supplier or to work with the supplier to implement corrective action to remedy the non-conformance.3

In most instances, where an audit deficiency is identified, corrective action is required on a specified timeline, followed by validation by the Company or its auditor that the deficiency has been remedied, including, if necessary through a re-audit of the manufacturing facility. In the case of a serious violation of the Supplier Code, termination of the Company’s relationship with the manufacturer may occur, particularly where corrective action is either not possible or determined to be an insufficient remedy. 4