California Transparency in Supply Chain Act of 2012 Disclosure

The California Transparency in Supply Chains Act of 2012 requires parties doing business in California to publicly disclose their efforts to eradicate human trafficking and slavery from their direct supply chains.

Hopkins Manufacturing Corporation and its subsidiaries (Hopkins) are committed to conducting business in a lawful and ethical manner and expect its suppliers to conduct themselves in the same manner. A published set of principles for conducting business with Hopkins has been developed, with which our suppliers are required to abide.

We require, among other provisions, that any party supplying us with services, materials, or finished products must not have used forced or prison labor to create those items. Forced labor includes, but is not limited to, all forms of slavery or practices similar to slavery, bonded labor, involuntary labor resulting from human trafficking, and labor subject to arbitrary abuse.

While we understand that there are different legal and cultural environments in which factories operate throughout the world, we have communicated our expectations to all of our direct suppliers to ensure that materials incorporated into our products comply with all applicable laws, including those regarding slavery and human trafficking. All our qualified suppliers have indicated their acknowledgement of our principles and agreed to abide; further, all new suppliers that are being qualified are required to agree to abide by those principles.

Our employees who have internal responsibility and accountability for supply chain management and procurement are trained to identify and mitigate the risks associated with all forms of forced labor. Additionally all other employees are made aware of our policy and the methods of reporting violations.

We utilize internal resources and third party firms to monitor social compliance to insure that our suppliers are abiding by our principles regarding forced labor; additionally, certain customers will conduct social compliance audits of our suppliers and will advise us of their findings. Audits are conducted on both a scheduled and unscheduled basis. If violations are found, we may, at our discretion, require corrective action measures to be taken or may cease to do business with the supplier.