RESPONSIBLE SOURCING

Compliance

RS is committed to fulfilling our social responsibilities and legal requirements to meet the expectations and standards of our customers. We source and partner with vendors who share the same commitment.

Corporate Code of Vendor Conduct

While RS recognizes that there are different legal and cultural environments in which factories operate throughout the world, our Corporate Code of Vendor Conduct sets forth the basic requirements that all factories must meet in order to do business with us. The Code also provides the foundation for RS's ongoing evaluation of a factory's employment practices and environmental compliance. We monitor closely the practices of our suppliers to ensure compliance at all times. Some key points:

· Laws & Regulations Factories must operate in full compliance with all applicable laws, rules and regulations of their respective countries, including but not limited to those related to Labor Standards, the Environment, Conflict Minerals, C-TPAT, Product Safety and Country of Origin.

· Labor Factories must employ workers on the basis of the ability to do the job without reference to personal characteristics or beliefs, and provide fair compensation and benefits to workers without discrimination. Factories cannot employ child or forced labor, hamper workers' freedom of association, or engage in or permit harassment or abuse.

· Health & Safety Factories must comply with all applicable laws regarding working conditions and dormitory facilities, including worker health and safety, sanitation, fire safety, risk protection, and electrical, mechanical and structural safety. 

Conflict Minerals Policy

Recent US government regulations require an awareness of where our supply chain sources raw materials, and to report that to our customers. Consequently we have increased scrutiny of our suppliers’ business relationships regarding the origin and traceability of minerals contained in our products and instigated a policy to avoid sourcing materials containing conflict minerals (e.g. 3TG from the Democratic Republic of Congo and its adjoining countries). We make this information available to our customers. Should we find non-compliance with our CM Policy we will take appropriate and timely action, including a review of supplier relationships.