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supplier management

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chailease holding's various purchasing plans all select 100% local manufacturers as targets. chailease holding exerted greater influence on the supply chain by choosing local manufacturers as partners in all of its procurement cases. in 2014, we developed the supplier csr guidelines, which specify the ethical standards for each supplier, and provide norms for respecting labor rights and maintaining sustainable development. in 2015, a new supplier code of conduct was created, which added a breach of trust covenant requiring major suppliers in taiwan to jointly promote corporate social responsibility to fulfill our common goals of achieving high moral standards, respect for human and labor rights, and promoting environmental sustainability.

the company intends to disclose its supplier social responsibility policy on the company website and csr report in 2020. the purposes of the policy is to require the supplier to follow relevant regulations on certain issues, such as environmental protection, occupational safety and health, or labor human rights. the company shall refuse to engage with suppliers who violate the company's corporate social responsibility policy.

major rules directions:

a.uphold human rights: prohibit the use of child labor (under 16 years old), guarantee employee work hours and salary, and provide a harassment-free, discrimination-free work environment, respect workplace health and safety laws and regulations, establish an emergency disaster response mechanism, and improve protections against work disasters and occupational illnesses. in september 2018, the chailease human rights policy was approved and is a symbol of the company’s dedication to the maintenance of worker rights, opposition to any form of discrimination, commitment to providing a safe, healthy workplace, and establishment of a smooth and transparent communications channel.

b.protect the environment: establish an environmental management system, and set up a system to prevent pollution and energy-saving measures.

c.protect customers: no improper gain, respect for intellectual property laws and regulations, establishment of a confidentiality mechanism, protection of information related to customer business, technology, etc.

company employees are provided boxed lunches from outside sources. to ensure food safety and cleanliness, the company headquarters administrative office sent specialists to the meal providers when food is being prepared from time to time to inspect food preservation, the food production process, boxes, and packaging, to ensure product quality. at present, we are working with 17 meal providers in this way.