Supply Chain Transparency - Marc Jacobs

2018 Statement on California Transparency Act and U.K. Modern Slavery Act

Marc Jacobs International, LLC (together with its affiliated companies, "MJI" or "we") is a multinational fashion company with retail and supply chain operations across the globe.

We are committed to conducting business in a lawful, ethical, and responsible manner. We expect our vendors to respect and adhere to the same business philosophy in the operation of their businesses.

In compliance with the requirements of the California Transparency in Supply Chains Act (SB 657) and the U.K. Modern Slavery Act of 2015, this document describes the steps MJI takes to ensure slavery and human trafficking are not occurring in our supply chain and business operations. MJI considers any form of slavery or human trafficking to be abhorrent, and we are committed to acting with integrity and appropriate transparency in our business dealings, including by developing effective controls to safeguard against the risk of slavery or human trafficking. As part of this ongoing commitment, we take the following steps to prevent slavery and human trafficking in our supply chain and business operations:

• Policies: MJI is committed to act with integrity in all of our business dealings, promote ethical conduct, enhance compliance with applicable laws, and provide guidance with respect to business conduct. To such ends, MJI has adopted a human rights policy in the MJI Employee Handbook and the MJI Supplier (i.e., Vendor) Code of Business Conduct and Ethics. In addition, MJI's parent company, LVMH Moët Hennessy Louis Vuitton SE ("LVMH"), has adopted a code of conduct. These polices apply to all MJI employees and vendors and, among other issues, address the prohibition of slavery and human trafficking. These policies also describe our commitments in other ethics and compliance areas, including the elimination of employment discrimination and harassment, abolition of child labor, promotion of health and safety for employees and vendors, fighting corruption, and preserving and respecting the environment.

• Verification: MJI engages in multiple internal and external actions to identify, assess, and manage the risk of slavery and human trafficking in our supply chain and business operations. Our verification procedures include risk assessment of vendors based on their geography, industry, and information gathered from outside organizations such as industry groups.

• Audits: MJI audits certain finished goods and materials vendors for compliance with MJI's Supplier Code of Business Conduct and Ethics. For auditing purposes, MJI engages external third-party compliance firms to perform announced or semi-announced assessments of vendors. Following an audit or re-audit, vendors are required to address any non-compliance deficiencies identified. A vendor's failure to address and correct such deficiencies will result in a re-evaluation of MJI's business relationship with the vendor and possible disciplinary action of up to termination of the vendor's business relationship with MJI.

• Certifications: MJI requests that its finished goods and materials vendors certify their compliance with MJI's Supplier Code of Business Conduct and Ethics. We also request that these vendors complete a questionnaire so that we can further gauge the vendor's risk for slavery or human trafficking abuses. A vendor's failure to adhere to these requirements may result in disciplinary action of up to termination of the vendor's business relationship with MJI.

• Internal accountability: MJI maintains internal accountability standards for its employees. As mentioned, all MJI employees must follow the MJI Employee Handbook and LVMH Code of Conduct. We also have internal and external reporting mechanisms for MJI employees to report on possible compliance and ethics violations, including slavery and human trafficking, such as access to an anonymous reporting hotline.

• Training: MJI provides training to its employees with direct responsibility for supply chain management and to Tier 1 (finished goods) and Tier 2 (materials) vendors. The training is focused on helping MJI employees and vendors prevent, detect, and respond to compliance issues, including slavery and human trafficking violations. In this regard, the training covers evaluating risk based on geography and industry, common indicia for violations, and seeking help when potential violations are detected.

MJI will continue to review and, where possible, improve our efforts to prevent slavery and human trafficking in our supply chain and business operations.