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Regarding the cases referenced in your email dated 7th September, BESTSELLER's local teams have investigated and we detail our findings below.

Sinoproud Thein Wa Co. Ltd

Status: No business relationship

• In August 2022, it was reported that workers were facing a series of violations at the factory, including denial of leave, excessive production targets, verbal abuse, mandatory and underpaid overtime, denial of social security insurance, denial of permanent contracts for day labourers and wage cuts. Workers also reported a lack of workplace safety, including closed emergency exits, no clean drinking water, limited access to medicine and the factory clinic, lack of adequate toilets, and inadequate arrangements for the workers’ dining hall.

Please note BESTSELLER does not have a business relationship with this factory. If you have any evidence of BESTSELLER products being produced at this unit, please share evidence with us as this would be unauthorised subcontracting, a zero-tolerance CoC violation.

Tianjin Fashion Milestone Co. Ltd

Status: Ongoing business relationship

• In August 2022, it was reported that workers were facing a series of violations, including unfair dismissals, denial of leave, inadequate toilet facilities, high temperatures in the factory, verbal abuse, unpaid wages, and the failure of the worker’s committee to address workers’ concerns.

Since your email, our local team has visited the factory and did not find evidence to substantiate the above claims. We are nonetheless currently engaged with the factory on remediation regarding historic findings related to labour rights risks and the previously noted CoC violations (please see response emailed 7th July 2022). The factory management and the supplier understand the misconduct and have expressed a willingness and intention to improve. The factory is participating in the SMART programme as of August 2022, which aims to improve the labour rights management skills at the factory. The factory has also been enrolled in SmartTag to improve its social dialogue mechanisms. We are closely watching Tianjin's performance as per an agreed corrective action plan and will escalate further if required.

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