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Coming now to the specific case of Universal Apparel (UA) in Myanmar, we hold a longstanding relationship with this Korean supplier that has regularly undergone semi-announced social audits (needed under former Covid rules) conducted by third party independent auditors, getting always acceptable ratings and fulfilling the corrective actions that were identified, in an extremely collaborative manner.

As explained in our previous e-mail, based on the very little information and no proven evidence that you provided to us, we have tried to investigate the case you submitted, in the understanding that having no own resources in the country, we have had to rely on third parties.

We have asked our third party independent auditors on the ground in Yangon to review their latest audit report in search of any information that would hint any unobserved finding. They have also tried to gather any information in local or foreign media that would surface any kind of unrest at the factory. No such information has been found.

Further, we have asked this auditing company to perform a new fully unannounced audit at UA in the coming days, asking them to be extremely vigilant concerning all the information and documents related to overtime and remuneration of OT over the last year and making sure that workers' interviews are conducted in a safe environment to guarantee freedom of speech and no oversight by factory management nor supervisors.

As soon as we get the new unannounced audit report, we will have it shared and discussed with the union reps (in cc) as part of our Global Framework Agreement, and then we will let you know the eventual findings.

Further, we have also held an online meeting with the Korean management of the factory. We have made them aware of the allegations raised by BHRRC. They have shown a very collaborative approach at all times and have declared their willingness to make the situation clear as soon as possible, as they claim that no such allegations have ever been raised to them by their workers. In summary, they are ready to provide whatsoever evidence is required:

• UA management is ready to have an online meeting with BHRRC if any evidence concerning the allegations can be proven and provide any due explanations.
• UA can provide documented evidence that overtime is paid at all times according to the law of Myanmar.
• UA is open to have a fully unannounced third party independent audit conducted at any time.

This is the information we have been able to gather so far and of course we will follow up the case and we will make sure that a remediation plan is put in place by the supplier if any evidence or allegation is eventually found, as we are confident UA is acting in good faith as they have always done so in the past.

As next steps, we will proceed as detailed above, sharing both with the union reps and yourselves and in any case, we will welcome any observation you may have in the meantime.

[The full response is attached]