• Requiring that its suppliers act in a socially responsible and ethical way and that their business behavior be in compliance with all applicable international, national, and local laws and contractual terms, as well as with generally accepted standards in relation to child labor and safety. • Prohibiting the use of forced or involuntary labor. • Prohibiting the use of child labor below the age of 16 or the applicable minimum legal age, whichever is higher. • Requiring work hours, minimum wages, and overtime hours to be paid to employees, as well as any fringe benefits, in compliance with applicable law. • Prohibiting inhumane treatment or physical punishment of workers. Arxada’s Supplier Code of Conduct applies to both its suppliers and to any subcontractors or other third parties that a supplier may engage in the performance of its contractual obligations. Currently, Suppliers are instructed to implement internal measuring procedures, tools, and indicators required to guarantee adherence to the Arxada Supplier Code of Conduct principles. Suppliers are encouraged to report any violations by sending an e-mail to [email protected] or by using our ethics and compliance reporting hotline www.convercent.com/report. 2. Audit Per the Arxada Sourcing and Purchasing Policy, Arxada reserves the right to ask for a written confirmation of a supplier’s compliance with the Supplier Code of Conduct and to audit its suppliers accordingly. 3. Certification Suppliers that execute Arxada’s supply agreements, warrant that they will comply with Arxada’s Supplier Code of Conduct, which in addition to the principles outlined in Section 1 above, also states that Arxada follows the Principles of the United Nations Global Compact, the International Labour Organization’s Forced Labour Standards, as well as the Pharmaceutical Industry Principles for Responsible Supply Chain Management. In the event that Arxada becomes aware of any actions or conditions not in compliance with its Supplier Code of Conduct, Arxada reserves the right to request corrective actions and the right to terminate any agreement with a non-compliant supplier unless our supplier agreement provides otherwise. 4. Internal Accountability Arxada’s Code of Conduct defines the professional standards Arxada aspires to in all its activities and the standards it expects of its employees. In keeping with the fundamental Arxada values of openness, loyalty, fair dealing, integrity, mutual respect and honesty, Arxada sees the Code of Conduct as a key element of our relationships with employees and third parties. The Arxada Code of Conduct includes a prohibition on discrimination, which states in part that “Arxada does not tolerate any discrimination, harassment or bullying on the basis of ethnicity, national origin, color, religion, sexual orientation, creed, age, sex, disability or any similar characteristic. Nor will Arxada engage in or support, directly or indirectly, child labor, or bonded or forced labor of any kind.”