Kustom Kit Our Approach

PAGE TITLE Our approach to better KUSTOM KIT®

02 OUR APPROACH TO BETTER INTRODUCTION Welcome The most sustainable garment is the one you already own Quality garments that last Our environmental policy How we’re reducing our impact 100% OEKO-TEX certified What our garments are made from Using more recycled materials Processing waste water from dyeing Minimising dyeing impact Partners that care Where our garments are made Our supply chain code of conduct Eradicating modern slavery How our factories support their workers BUY LESS, BUY BETTER RESPONSIBLE PRODUCTION SOCIAL RESPONSIBILITY 08 10 12 15 16 18 19 20 04 05 24 25 26 28 04 22 06

03 OUR APPROACH TO BETTER INTRODUCTION We know we’re not perfect, so by evaluating and improving our business operations, we are continuing to reduce our environmental impact in our quest to grow sustainably. Addressing environmental concerns is right at the top of our priorities list. This is our approach to a better and sustainable future.

04 OUR APPROACH TO BETTER For over 30 years, our business has been known for designing and manufacturing clothing that lasts. We believe that high quality, ethically sourced garments are crucial to reducing our environmental impact. Helping to slow down material flow, reducing overconsumption, and encouraging repair over replace. BUY LESS, BUY BETTER the most sustainable garment is the one you already own

05 OUR APPROACH TO BETTER BUY LESS, BUY BETTER Our designers take care to consider each detail of a garment’s construction, optimising stitches per cm, and strengthening the areas that get the most wear. We strive for functionality and durability but never at the expense of style and comfort. BETTER COLOUR- FASTNESS LESS SHRINKAGE LESS PILING OEKO-TEX CERTIFIED FEWER MICROFIBRES BUILT TO LAST WE MAKE qual i ty garments that last

06 OUR APPROACH TO BETTER produc respo

07 OUR APPROACH TO BETTER t i on ns i ble

08 OUR APPROACH TO BETTER RESPONSIBLE PRODUCTION Our overarching stance is to reduce our impact on the environment by producing high-quality, long-lasting garments. This approach seeks to decrease demand from our customers, preventing or reducing the pollution associated with the manufacturing and disposal of clothing. We recognise our operations have an impact on the environment, and we’re on a journey to reduce that through continuous improvement of our systems and processes. our environmental pol icy

09 OUR APPROACH TO BETTER RESPONSIBLE PRODUCTION l Comply with or exceed relevant legislative environmental requirements relating to our operations and products. l Minimise waste by evaluating our operations and ensuring they are as efficient as possible, together with extending the lifespan of our products. l Reduce our transport related environmental impacts by only shipping via sea or land, and never using air freight. l Actively design garments to be long- lasting, durable and repairable, to reduce the need to replace them. l Increase supplier awareness of sustainable manufacturing practices and support them in adopting any new practices. l Require that every component in our products holds a valid OEKO-TEX® STANDARD 100 certificate, guaranteeing chemical safety. l Test all garments for colour fastness, dimensional stability, appearance, durability and strength to ensure garment longevity. To achieve this, we will …

10 OUR APPROACH TO BETTER RESPONSIBLE PRODUCTION It’s the little details that matter Our responsibility starts with the actions we take at home, in the UK. We’re implementing many subtle tweaks to how we operate to reduce our impact. Here’s what we’ve already done... how we're reducing our impact

11 OUR APPROACH TO BETTER RESPONSIBLE PRODUCTION 63% less shirt packaging, now using only 4 components. Our shirts no longer come with any internal plastic packaging. The collar stands in our shirts are now made from recycled card. All our single polybags are made from 100% recycled plastic. Our care labels are now made from 100% recycled fabric. We’ve removed all swing tickets and button tabs from our garments. We never ship by air, only using sea freight. We only ever ship full cartons to make shipping more efficient. Sample garments are donated to local charities and fabric samples are offered to schools and craft groups. The lighting in our UK headquarters is motion sensitive to reduce energy usage. Our brown craft cartons are made from card which is 70% recycled. We have also removed plastic strapping from our cartons. We reuse cartons. Any old or damaged cartons and cardboard are shredded to be reused as packaging in our UK warehouse. We have installed solar panels at our UK headquarters to power the office and warehouse.

12 OUR APPROACH TO BETTER RESPONSIBLE PRODUCTION every button, thread, lining, fabric and zip is 100% OEKO-TEX CERTIFIED We wouldn’t have it any other way!

13 OUR APPROACH TO BETTER RESPONSIBLE PRODUCTION Advancing environmental performance with OEKO-TEX® STeP To guide us on the long-term sustainability of our garment production, we use STeP certification. We’re supporting all our manufacturing sites to move onto this auditing scheme. The STeP certification is a comprehensive assessment touching environmental and social conditions. It’s only given to factories achieving the highest level of environmental and social standards. It assesses 6 key areas: 1 Chemical management 2 Environmental performance 3 Environmental management 4 Social responsibility 5 Quality management 6 Health protection and safety at work The fabric used in the majority of our shirts is produced in a STeP certified factory. We test everything to OEKO-TEX® STANDARD 100 And when we say everything, we mean it. From our outer fabric to interfacing, each and every button, zip and label, even the thread. OEKO-TEX is an independent, globally standardised certification body. The STANDARD 100 certification tests for harmful substances in garments. Compliance ensures our products contain no harmful chemicals for the people wearing it. Every single Kustom Kit product is 100% compliant with OEKO-TEX STANDARD 100.

14 OUR APPROACH TO BETTER RESPONSIBLE PRODUCTION Making responsibility traceable MADE IN GREEN labelled products are fully traceable, following the garment from farm to production. All MADE IN GREEN products are tested for harmful substances in line with OEKO-TEX® STANDARD 100 certification and that the production facilities are STeP certified. Each MADE IN GREEN product, comes with a label that customers can scan to see where the garment was made, reassuring your customers that the garment they’re wearing is responsibly produced.

15 OUR APPROACH TO BETTER RESPONSIBLE PRODUCTION POLYESTER 40% ELASTANE / LYCRA 0.2% ACRYLIC 3.8% We seek to balance durability and performance with sustainability. Over 50% of our yarn is from natural, renewable sources, like cotton. We also use polyester in our products as this significantly increases the durability and longevity of the product, adding strength, keeping its colour for longer and allowing it to be washed at a higher temperature for improved stain removal. 56% COTTON Making better clothes that last longer means you need fewer clothes. Less clothes means less manufacturing and ultimately less waste. Less waste is a result of good design. what our garments are made from

16 OUR APPROACH TO BETTER RESPONSIBLE PRODUCTION *Applies to products: KK141, KK142, KK241 and KK242. We’ve started including recycled polyester in some of our shirts. Our Poplin shirts* are manufactured from 65% recycled polyester, and 35% virgin cotton. The recycled polyester is sourced from post-consumer PET bottles in Japan, using a GRS certified process. We only use clear bottles collected in Japan, with no risk of other countries’ waste integrating into the supply. recycled polyester is what our Poplin shirts* are made from virgin cotton is also used in our Poplin shirts* using more recycled materials 65% 35%

17 OUR APPROACH TO BETTER RESPONSIBLE PRODUCTION These shirts currently account for 10% of our shirt sales. With quality at the fore of what we do, we’re monitoring the launch and longevity of these shirts, while assessing how we’ll integrate more sustainable materials into other products in our range. Collected by local government & our supplier Sorted Pulverised Washed Dried Shredded Melted Extruded Made into pellets Spun into yarn Made into the shirts you wear 1 2 3 4 5 6 7 8 9 10 11

18 OUR APPROACH TO BETTER RESPONSIBLE PRODUCTION A crucial step to reducing the impact of dyeing fabric is processing waste water through an effluent treatment plant. This process uses bio-organisms to break down any contaminants present in the water from the dyestuffs, resulting in clean water, ready for re-use. Water from the dye house enters the system. Effluent Treatment Plant The process The water is filtered to remove any solids. Bio-organisms eat suspended and dissolved solids from the dye as it passes through the system. Resulting in clean water, ready to be used again. 1. processing waste water from dyeing 2. 3-5. 6.

19 OUR APPROACH TO BETTER RESPONSIBLE PRODUCTION Using better, so we use less Our main factory uses a low liquor ratio dyeing machine to reduce the amount of water and dyestuffs required. We use dyes that react at lower temperatures to reduce energy usage. All the chemicals used in dyeing, washing and finishing comply to our manufacturing restricted substances list. We use the REACH regulation as our guide. minimising dyeing impact Dyeing and finishing fabrics is, traditionally, a water and energy intensive process. Some dyestuffs are harmful to the environment if not disposed of properly. The dye houses we work with strive to reduce energy consumption and minimise any waste. We use high quality, branded dyes for our fabrics. This means we need less dye to achieve amazing results, and makes it easier to clean up waste water after the dyeing process.

20 OUR APPROACH TO BETTER RESPONSIBLE PRODUCTION

21 OUR APPROACH TO BETTER LED 10k RESPONSIBLE PRODUCTION When we decide to work with someone, it’s not only because they share our obsession for premium quality, they also have a real drive to make a positive impact on the planet and their community. Our factories are doing some amazing work to have a positive impact. They have planted over 10,000 trees, including distributing saplings to the employees for them to plant in their local communities. All our factories are exceeding their waste reduction targets. In fact, our Pakistan factory has reduced waste by 23% year-on-year. All our factories have installed modern boiler systems to increase energy efficiency. Installation of solar panels and LED motion sensor lighting to improve energy consumption in three of our manufacturing sites. BCI cotton is now used as standard in our Pakistan factory. Two of our manufacturer partners run gardening projects to protect local biodiversity and provide recreational space for employees and local communities. These also provide food for a staff shop and canteen. Several of our sites in Pakistan run gardening projects to protect local biodiversity and provide recreational space for employees and local communities. It also provides food for a staff shop. At some of our factories, kitchen waste is composted for use in the gardening projects. trees were planted by our factories year-on-year reduction in waste motion sensor lighting to improve energy consumption partners that care 23%

22 OUR APPROACH TO BETTER respon soc ia

23 OUR APPROACH TO BETTER s i b i l i ty l

24 OUR APPROACH TO BETTER SOCIAL RESPONSIBILITY We work with manufacturers across Asia, with most of our garments being made in Bangladesh. Our focus is on building strong, long-term relationships with our factories, as we believe this ensures high quality products and enhances worker welfare. 9% CHINA 85% BANGLADESH 6% PAKISTAN where our garments are made

25 OUR APPROACH TO BETTER SOCIAL RESPONSIBILITY Naturally, in sourcing from developing countries, there are challenges. We know it’s our responsibility to do all we can to protect the workforce making our garments. This means good working conditions, fair wages, regular employment and no discrimination or harsh treatment. Each of our suppliers is required to comply with our Supply Chain Code of Conduct: 1 Must hold a valid audit from at least one of the following bodies: WRAP, amfori BSCI, or SEDEX. 2 Children must not be employed below the legal minimum age required by the law of the individual country. 3 Employees are to be paid above the legal minimum wage, as required by the law of the individual country. 4 Working hours must not exceed those set out by local legislation. Overtime must always be voluntary and remunerated at a premium rate. 5 Maternity leave must be made available to all female employees. 6 Employment is freely chosen and no discrimination is practised. There is no use of forced or involuntary labour and employees are free to leave their employment after reasonable notice. 7 Good working conditions must prevail. The provision of adequate washroom facilities and a canteen are essential. 8 Primary medical care must be provided on site. 9 Correct procedure and policies should be in place to ensure employee health and safety. 10 Workers’ representatives are not discriminated against and are allowed access to the workplace to carry out their representative functions. 11 Ensure that their own supply chain is compliant to this code of conduct. 12 We do not accept outsourcing or the use of homeworkers. Failure to adhere to this condition will result in breach of contract. 13 Agree to an independent audit as specified by Kustom Kit. our supply chain code of conduct

26 OUR APPROACH TO BETTER SOCIAL RESPONSIBILITY Before we engage with a supplier, we ensure they’ve never been convicted of modern slavery offences and conduct on-site audits including reviewing their working conditions. eradicating modern slavery We’re committed to eradicating modern slavery and forced labour. As such, we audit each supplier to ensure no modern slavery is present.

27 OUR APPROACH TO BETTER SOCIAL RESPONSIBILITY 1 Adhere to our Supply Chain Code of Conduct. 2 Hold current, valid certification from, at least, one of the following factory audits: WRAP, SEDEX or amfori BSCI. 3 Make audit reports available to Kustom Kit. 4 Have documentation proving they have taken steps to eradicate modern slavery within their business. 5 Hold their own suppliers to account over modern slavery. 6 Pay their employees, at least, the local minimum wage. 7 Allow UK employees to audit the factories when requested. 8 Accept that the contract will be terminated at any time should any instance of modern slavery come to light. Each of our suppliers must … The operations of the 2013 Accord agreement was transferred to the RMG Sustainability Council (RSC) in 2020. As such, certification is in a transition period, and we have a combination of both Accord and RSC certification. These are considered one and the same.

28 OUR APPROACH TO BETTER Our manufacturing sites do more than the bare minimum for their employees. We’re proud that all of them offer medical support, many support local education and they’re all invested in supporting their local community. our factories support their workers... SOCIAL RESPONSIBILITY

29 OUR APPROACH TO BETTER SOCIAL RESPONSIBILITY This site has: 1 Registered Doctors and experienced nurses 2 An operation theatre for routine procedures, pathology lab, ECG & X-Ray facilities 3 A pharmacy 4 A company-owned ambulance 5 And it provides public health education. ...with on-site medical facilities All our factories offer doctors, nurses and free health care support and basic procedures. One of our factories in Bangladesh, provides enhanced medical care on-site, to all of its employees.

30 OUR APPROACH TO BETTER SOCIAL RESPONSIBILITY Our largest supplier in Bangladesh runs HERproject™, a collaborative initiative that strives to empower low-income women working in global supply chains. The initiative works to empower women through education and peer-to-peer support. Due to its overwhelming success, this program is being rolled out to another factory we work with. Women are taught about health awareness, financial issues and how to handle family conflict. Women have access to trained councillors for domestic violence issues and funding available if needed. There are sanitary products freely available to all employees. Free on-site childcare is available, with facilities for nursing mothers wishing to continue breastfeeding. ...through empowering women

31 OUR APPROACH TO BETTER SOCIAL RESPONSIBILITY Our factories know the value of quality education, and many provide financial support to local educational facilities. Our primary Bangladesh factory is responsible for two schools and runs scholarship programmes for employees’ children who excel academically. This encourages parents to keep their children in education and to see its importance. Our partner in Pakistan is committed to providing clean drinking water to rural areas and have so far installed 12 facilities to benefit around 10,000 people. During the pandemic the factories acted as essential resources, providing clean water and food to the most vulnerable. One of our partners in Bangladesh manufactured thousands of face masks and distributed them to those who could not afford them. Sample garments and fabric surplus is made up into garments and handed out to those in need in the winter months. facilities for clean drinking water have been installed so far schools supported with scholarships ...with better educat ion 2 ...through generous chari ty 12

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