pg. 6

"The results of the inspections are reported to the various managers so that a corrective action plan (Remediation Plan) can be drawn up in the event of breaches or partial breaches of the criteria standards, and corrective actions are identified that the supplier must implement over a period of time that varies according to the irregularity found. In the event of serious breach, or the supplier's inability to ensure a positive outcome in the prescribed time, termination of the supply relationship is evaluated. The team limited its activity to Italy; it began at the end of 2019 and in just a few months it covered most of the manufacturing suppliers in the Leather Goods Division, both first-tier and second-tier suppliers."