Response from Puma

On the elimination of third party employment schemes, PUMA communicated clearly to its suppliers that they are immediately responsible for all terms and conditions of recruitment, employment and workplace environment, including any subcontract work that is being carried out in their facilities. As PUMA sources from countries where there is a heavy use of foreign labor such as in Malaysia and South Korea, the monitoring of recruitment agency practices is also expected to be taken care of by the suppliers themselves. We have recently started auditing a percentage of the total number of second and third tier suppliers, which are essentially materials and process subcontractors of our first tier suppliers. Through this, we have strengthened the standards for subcontractor monitoring of our first tier suppliers.