Ryobi CSR Procurement Policy
Promote CSR initiatives in areas including environmental preservation andhuman rights throughout the entire supply chain by working closely withsuppliers, processing vendors, customers and distribution companies.

Basic Approach
Ryobi Die Casting (USA), Inc. recognizes CSR initiatives in today’s global
society are increasingly important. They have become more diverse andadvanced in the effort to address climate change, environmental
protection, respect for human rights and improvements to the labor
environment. These initiatives can no longer focus solely on a single
company, and are being extended to encompass the broader supply chain.
To address CSR Supply chain expansion, and ensure stable andsustainable procurement, Ryobi Die Casting (USA), Inc. has establishedthis CSR Procurement Policy This policy specifies Ryobi’s commitment tobuilding a supply chain that not only ensures quality and supply stability,
but also incorporates ethical, environmental, social and human rights
considerations. Accompanying the policies, Ryobi has also formulated a
supplier code of conduct to provide specific, detailed guidelines for action
to further promote CSR throughout the supply chain. Suppliers arerequired to comply with the code of conduct.
CSR Procurement Policy
1. Establish an internal CSR organization to facilitate CSR initiatives
throughout the supply chain.
2. Promote fair transactions grounded in corporate ethics, andcomply fully with all laws and regulations, as well as social norms
when making purchases.
3. Take into account the impacts that purchasing activities have on
the labor environment and health and safety. Also, engage in risk
management by responding swiftly to unexpected situations anddisclosing accurate information.

4. While appropriately managing chemical substances, pursue raw
materials procurement that takes into account impacts on theenvironment such as green procurement and green purchasing.
5. Support customers IMDS Requirements and RMI CMRT
Reporting.
6. Promote dialogue and cooperation with business partners andother stakeholders.
7. Maintain and strive to improve product quality and safety.
8. Respect human rights, eliminate all forms of discrimination, andstrive to improve workplace environments. Additionally, do not becomplicit in the infringement of human rights in the supply chain,such as through forced labor, slave labor, child labor, and unjust
low-wage labor.
9. Do not use minerals from conflict regions or high risk regions, norminerals that clearly contribute to conflicts or infringe upon humanrights.
10. Prevent leaks of confidential information and respect
intellectual property rights.
11. Work to exceed customer Diversity sourcing Requirements.
Incorporate Diversity Suppliers in Purchasing Strategies, RFQ’s,
Sourcing Decisions and Employee Annual MBO Performace
Reviews.
12. Include CSR performance when selecting business partners.
Review CSR initiatives, such as compliance with laws andregulations, respect for human rights, environmental preservation,etc.
CSR Procurement Supplier code of ConductI.

SUPPLIER OBLIGATIONS

Ryobi expects each supplier to1) know and follow this Code2) report and remediate any non-compliance3) enforce a similar code of practice and require that subcontractors do the sameII.

HUMAN RIGHTS & WORKING CONDITIONS

Ryobi believes all people deserve to be treated with respect and dignity, and we expect oursuppliers to share and act upon on this same belief.
Ryobi expects each supplier will1) comply with all applicable laws regulating working hours
2) provide its employees with compensation and benefits that are fair and comply withapplicable laws (work hours)
3) provide workers with a clean and safe work environment
Ryobi expects each supplier will not1) use child labor2) compel individuals to provide work or service through the use of force, fraud, orcoercion
3) allow harassment or discrimination based on age, gender, race, ethnic or social
background, national origin, religion or belief, disability, gender reassignment, unionactivity, political affiliation or any other personal characteristic or status protected bylaw
4) mislead or defraud potential workers about the nature of the work5) ask employees to pay recruitment fees

III.

6)

confiscate destroy, conceal, and/or deny access to employee passports or othergovernment-issued identity document

7)

engage in activities intended to restrict workers freedom of movement

ENVIRONMENT & SAFETY

Ryobi expects the supplier will be a good steward of the environment and will commit toresponsible environmental practices such as waste avoidance, recycling, and energy
conservation.
Ryobi expects each supplier will
1) provide a working environment that meets or exceeds applicable safety, occupational
health, and fire safety requirements set by applicable laws and regulations
2) identify any hazardous materials used in its operations and ensure that they aresafely handled, moved, stored, and disposed as required by applicable laws andregulations
3) minimize the environmental impact of its operations in reasonable and practicable ways4) preserve water resources and reduce water consumption in reasonable andpracticable ways5) minimize emissions that damage air quality in reasonable and practicable ways
IV.

SOURCED MATERIAL

Ryobi expects each supplier will source only raw materials that are responsibly produced andavoid the direct or indirect financing of armed conflict, violations of human rights such as childlabor, forced labor and slavery, unethical business conduct, or environmental damage.
V.

BUSINESS PRACTICESRyobi expects each supplier will
1) create a work environment which encourages employees to abide by all applicablelaws and regulations
2) respect the rules of fair competition and comply with anti-trust laws3) protect the intellectual property rights of its business partners
4) protect the privacy of its employees and business partners
Ryobi expects each supplier will not1) compromise, or appear to compromise, a Ryobi employee’s ability to make objective
business decisions by offering a Ryobi employee gifts, services, or favors2) take part in any form of money laundering3) engage in corruption or bribery
VI.

IMPLEMENTATIONThis Code is part of the contracts entered into between Ryobi and its suppliers, and Ryobi
reserves the right to audit and verify supplier compliance.
Violations or suspected violations of this Code can be reported anonymously via Ryobi’s thirdparty administrator, Ethics Point. Ethics Point is accessible on Ryobi’s website:www.ryobidiecasting.com.
Ryobi will not take any retaliatory actions against individuals who report a violation or who
cooperate in the investigation of a violation reported by someone else.
If a supplier is found to have breached this Code, Ryobi may develop a corrective action planand monitor improvement progress of the supplier. Ryobi may terminate its relationship with anysupplier that repeatedly and knowingly violates this Code and refuses to implement improvement
plans.

CSR Procurement KPI’s
Agree to Supplier Code of Conduct
Environmental Awareness and effectivenessLabor and Huma Rights compliance
Ethics Agreement to Ryobi Policy and response to Ethics questionnaire
Has Sustainable Procurement Policy, Goals and KPI’s
Minimize the number of Suppliers to improve Supplier Control and Leverage
Consider Supplier location when sourcing to minimizes Freight impact
Work only with suppliers that have agreed to our Terms and conditions, including our suppliercode of Conduct

Looking to the Future
In recent years, there has been an increasing demand for companies toaddress social issues such as human rights and environmental problems
throughout the supply chain. Ryobi Die Casting (USA), Inc. believes thatsocially responsible procurement must be pursued together with suppliers.
It will continue to identify and evaluate progress on CSR practices in allprocesses, including the procurement of raw materials and supplies acrossthe entire Group, as well as production activities by contractors andprocessing vendors. Ryobi Die Casting (USA), Inc. will promote greaterawareness of human rights, social, environmental, and other CSR issues
while mitigating risks across the supply chain.