Ashley Furniture Industries, LLC.
Disclosure Pursuant to the California Transparency in Supply Chains Act of 2010

This is a statement made by Ashley Furniture Industries, LLC (“Ashley”) in accordance with the provisions of Section 3 of the California Transparency in Supply Chains Act of 2010 (the “Act”).

Pursuant to the Act, every retail seller and manufacturer doing business in the state of California, shall disclose its efforts to eradicate slavery and human trafficking from its supply chain for tangible goods offered for sale.

Ashley pays close attention to our supply chain – the network between us and the suppliers involved in producing and distributing quality furniture for our clients. Our global supply chain blends and optimizes both domestic and foreign production efforts to the maximum benefit of our customers.

Ashley constantly assesses risk areas in operations, supply chains and business relationships to the best of our knowledge and will continue to strive to identify emerging risk areas, if the case.

Ashley requires all our suppliers to confirm that the goods that they manufacture (including the inputs and components that they incorporate into their goods) comply with all applicable laws, rules, standards, regulations, bans, and treaties in the countries where we do business, and receive certificates and/or statements from our suppliers proving and/or certifying that they comply with such applicable laws.

Currently, some of our processes include keeping a vendor verification system and only source from those suppliers who can prove compliance with its chain of custody, including requesting our tier one and tier two vendors to sign annually a Vendor Guarantee Letter, which is stored in a quality information system; screening our prospective suppliers against the US Department of Treasury, Office of Foreign Assets Control, Sanctions List and against a third-party licensed software platform; providing and requiring our suppliers to acknowledge and approve our International Purchase Order Standard Terms and Conditions, and our Standards for Vendors, which include prohibiting our suppliers from using of any form of forced labor, including in their supply chains.

Ashley’s quality control inspectors visit our vendors’ facilities regularly, where they can witness in-situ the working conditions of their employees and will report any situation of concern to their managers to define further action if required; and maintain a reliable system to verify the eligibility of all Ashley’s workers, including age eligibility and the legal status of foreign workers.

As Ashley recognizes the importance and evolution that the subject matter has experienced recently, our new Supplier Code of Conduct, training and awareness materials on forced labor and/or child labor, are under development and implementation to reflect those changes.

September 2024.