Code of Conduct for Suppliers. For many companies, it is becoming more and more important to respect different countries’ legal demands as well as international organisations’ views of fundamental rights. When choosing supplier this should be of great importance.

For Textilgrossisten Hefa AB it is important to take responsibility for our activities both in Europe as well as in the rest ofthe world. This way, we clarify and show our ethical and moral standpoint. We are convinced that this forms the basis of long-term development and good business relations with our customers.

This code of conduct applies to all factories involved in the manufacture of Products to the Buyer. The Buyer is Textilgrossisten Hefa AB, TGH. The Products include TGH’s brands; Cottover®, D.A.D Sportswear, Graphix, Grizzly and No Problem.

While TGH recognises that there are different legal and cultural environments in which factories operate through out the world, this code sets forth the basic requirements all factories must meet in order to do business with us.

1. General Principles and Legal Demands
Factories that manufacture products for TGH shall operate in full compliance with the laws, rules and regulations of the respective countries, such as labour legislation, working environment regulations, restrictions of environmental pollution, and with other applicable laws, rules and regulations.

• The factories shall operate in full compliance with all applicable laws, rules and regulations, including those relating to labour, workers health and safety.

• The factories shall allow TGH and/or any of its representatives unrestricted access to its facilities and to all relevant records at all times, whether or not notice is provided in advance by Textilgrossisten Hefa AB.

2. Discrimination
Factories shall employ workers on the basis of their ability to do the job, and never on the basis of their personal characteristics or beliefs.

• The factories shall employ workers without any regard what so ever to race, colour, gender, nationality /ethnical background, religion, sexual preferences, maternity, marital status or any other personal characteristics.

• The factories shall pay workers wages and provide benefits without any regard what so ever to race, colour, gender, nationality, religion, age, maternity, marital status or any other personal characteristics.

3. Child Labour
Factories shall not use child labour, in violation with the local laws of the country of manufacturer or by the United Nations convention of the Rights of the Child.

Factories are encouraged to develop a lawful workplace apprenticeship programs for the educational benefit of their workers, provided that all participants meet the minimum legal age requirement.

• Every worker employed by the factory shall meet the applicable minimum legal age requirement.

• The factories comply with all applicable child labour laws, including those related to hiring, wages, working hours, overtime and working conditions.

• The factory shall maintain official documentation for every worker that verifies the workers date of birth.

4. Wages and working hours
Factories shall set working hours, wages and overtime compensation in compliance with all applicable local laws. Workers shall be paid at least the minimum legal or the local industry standard, whichever is greater. While it is understood that overtime work often is required in garment production, factories shall carry out operating in ways that limit overtime to a level that ensures human and productive working conditions.

• Workers are paid at least the minimum legal wage or the local industry standard, whichever is greater.

• The factory pays overtime compensation that meets all legal requirements or the local industry stan dard, whichever is greater.

• The factory does not require, on a regularly scheduled basis, a workweek in excess of 60 hours.

• Workers have at least one day off, of every week of seven days.

• The factories provide paid annual leave, sick leave, maternity leave or other holiday as required by law or which meet the local industry standard, whichever is greater.

• The factories provide workers with wage statement for every period, which include number of days worked, wage or piece rate earned per day, hours of overtime and overtime compensation, bonuses, allowances and legal contractual deductions, if any.

5. Working conditions
Factories must treat all workers with respect and dignity and provide them with a safe and healthy environment. Factories shall comply with all applicable local laws and regulations regarding working conditions. Factories shall not use corporal punishment or any other form of physical or psychological coercion. Factories must be sufficiently and ventilated.

• The factory does not engage in or permit physical acts to punish or coerce workers.

• The factory does not engage in or permit psychological coercion or any other form of non-physical abuse, including threats of violence, sexual harassment, or other abuse.

• The factory complies with all applicable local laws regarding working conditions, including worker health and safety, sanitation, fire safety, risk protection and electrical, mechanical and structural safety.

• The factory is sufficiently ventilated; there are windows, fans and/or air conditioners and/or heaters in all work areas for adequate circulation, ventilation and temperature control.

• There are sufficient, clearly marked exits allowing for the orderly evacuation of workers in case of fire or other emergencies; Exits are kept free from obstructing objects and remain accessible and unlocked during all working hours.

• Fire extinguishers are regularly maintained and charged and kept visible and accessible for all workers.

• The factories provide adequate drinking water for all workers and allow reasonable access to it through out the working day.

• The factories maintain through out the working hours clean and sanitary toilet areas and puts on reasonable restrictions on their use.

6. Freedom of association
Workers are free to join associations of their own choice. Factories must not interfere with workers who wish to lawfully and peacefully associate, organise or bargain collectively. The decision whether or not to do so should be made solely by the workers.