PARLEY SUPPLIER CODE OF CONDUCT

Version updated: April 10, 2018

OUR VISION

PARLEY IS THE SPACE AND NETWORK WHERE CREATORS, THINKERS AND LEADERS COME TOGETHER TO RAISE
AWARENESS FOR THE BEAUTY AND FRAGILITY OF OUR OCEANS AND COLLABORATE ON PROJECTS THAT CAN END
THEIR DESTRUCTION.

Parley for the Oceans addresses major threats towards our oceans, the most important ecosystem of our planet.
We believe the power for change lies in the hands of the consumer when given a choice – and the power to
shape this new consumer mindset lies in the hands of the creative industries.

The oceans generate every second breath we take. They cover seven-tenths of the earth, house 99.9 percent of
the biosphere and comprise this planet’s most vital life support system. We all depend on the sea, and yet our
everyday actions and decisions put them at risk.

Parley values equality, accountability, and the protection of all living species. These values are reflected
across our organization, operations and supply chain.

FACING OCEAN PLASTIC

Parley collaborates on initiatives through the Ocean Plastic Program to end the destruction of our oceans by
marine plastic pollution. Parley understands plastic is a design failure, seeing the long-term solution for
marine plastic pollution in the redesign of the harmful material itself.

In the meantime, Parley created a catalyst innovation that provides an immediate replacement for new, virgin
plastic: Ocean Plastic™, a range of premium materials for the sports, fashion and luxury industries made from
upcycled plastic waste intercepted from oceans, shorelines, and in coastal communities. Together with our
partners, Parley raises awareness for the issue, boosts the image of recycling and established the first global
supply chain for marine and coastal plastic debris.
OUR MISSION
THE PARLEY AIR STRATEGY

The Parley AIR Strategy is simple and easily scaled across households, governments, corporations—and the
creative industries that mold reality through ideas, materials and products. Parley AIR stands for three actions:

A = Avoid plastic wherever possible.

“Avoid” includes initiatives to educate people on the importance of reducing plastic use, how to avoid
unnecessary plastics and the value of replacing new, virgin plastic with Ocean Plastic™. Through
Parley Talks, ocean experts educate youth, creators, thinkers and leaders on the cause to inspire
action. This education phase is the first step to ushering in change.

I = Intercept plastic waste.

“Intercept” is a comprehensive approach to collect existing waste from high seas to coastal
communities. It involves diverting plastics from landfill and preventing it from entering the oceans in
the first place. Removing plastic rubbish from the open sea, where it is broken apart into tiny pieces
and usually submerged, is difficult, expensive and nearly impossible to remove completely. Therefore
Parley puts a strong focus on preventing plastic from entering the oceans by focusing on beaches,
waterways and coastal communities with our global network of partners and operations. It’s never just
about a cleanup.

R = Redesign plastic materials and products.

“Redesign” addresses innovation around materials, products and new ways of using them. With the
name Ocean Plastic™, Parley created an alternative to virgin plastic made from upcycled plastic
waste intercepted from oceans, shorelines, and in coastal communities and introduced this material to
art, fashion and sports communities, setting a strong trend and new standard for the use of recycled
materials. Beyond the intermediate step of replacing virgin plastic, Parley and our partners work
towards our most challenging goal: the development of new materials that can replace plastic for
good.

IMPLEMENTING PARLEY AIR

The Parley AIR Strategy is designed to inspire and facilitate action across all levels: individual, business and
government. There is no magic formula for solutions. We all contribute to the problem; therefore we all share the
responsibility to be part of the solution. Parley works with our partners to develop and implement realistic
roadmaps with achievable objectives in four key areas: Communication and Education, Direct Impact, Research
and Development, and Eco Innovation.

The Parley AIR Pledge

The Parley AIR Pledge is a call to action for individuals to join the movement and own their unique role within it.
All Parley crewmembers and collaborators are expected to answer this call at air.parley.tv:

AVOID plastic wherever possible

INTERCEPT plastic waste
REDESIGN your world.

The AIR Pledge is about rethinking the materials, methods, and products that contribute to the problem, and
harnessing the power of imagination to create change. Creativity and collaboration are the keys.

CREATING CHANGE
FOR PEOPLE

We believe in creating career development opportunities, providing education and developing skills beyond
basic job requirements for supply chain partner employees. Parley commits to working with supply chain
partners to take a leadership approach in making education and training accessible in the areas of language
skills for migrant workers, technology, basic finance, access to banking, environmental stewardship and AIR
implementation.

FOR COMMUNITIES

Parley encourages supply chain partners to participate in local conservation, community development and
education efforts by engaging in activities that benefit the local communities and environment in which they
operate. Parley partners with NGOs that make a difference for the oceans. We work with partners to develop
and share values that build better communities.

BEYOND THE OCEANS

While the oceans are the life support system for the planet, our commitment to the oceans recognizes that the
planet’s ecosystems are connected. Throughout our operations, Parley strives to implement systems which
maximize protection of the natural environment. To protect all life on this beautiful blue planet, Parley does
not produce any products or materials made from animals.
ONGOING COMMITTMENT

Parley pledges to train our partners in labor and safety standards, eco innovation, ocean conservation, and the
Parley AIR strategy. Parley will work with our partners to implement the Parley AIR strategy to avoid plastic
where possible, intercept plastic waste for recycling or responsible disposal, and redesign the use of plastic in
the workplace to see where it can be replaced with eco-innovative materials.
PARLEY SUPPLIER CODE OF CONDUCT
Preamble

The Parley Supplier Code of Conduct (“Code”) sets the standard for healthy, just and safe working conditions for people
and ensures that Parley and our carefully selected partners have the lowest possible negative impact on the environment,
and create social value.

Scope

Parley’s Code applies to our supply chain from the collection centers and collection partners through to the processing
facilities, spinners, mills and product manufacturers that have a direct production relationship with Parley. If there is a
conflict between standards, the higher standard applies. The Code applies equally to all workers including temporary
and part-time. All supply chain partners must agree to unannounced assessments.

Accountability

All direct partners are held accountable for their own operations, compliance with the Parley Code and ensuring any
subcontractors or third parties in the supply chain follow the same requirements.

Interception Models

Parley utilizes two primary supply chain models for the interception of plastic: active and passive. In an ongoing effort to
illuminate the people who collect plastics for a living and eliminate their exploitation, particularly of children, Parley
works to formalize the supply chain through our AIR network of partners.

Active Interception: Parley employees intercept, sort and aggregate plastics before we send them to our processing
partners for upcycling. By hiring our own operations team, Parley can directly control working conditions and Code
implementation.

Passive Interception: As part of AIR implementation, Parley collaborates with a wide variety of partners to intercept
waste plastics:

Voluntary: Parley utilizes intercepted plastics from voluntary cleanups ups of oceans, shorelines, and coastal
communities. Parley’s global cleanup network includes NGOs with whom we work to remove plastic debris from
coastlines and intercept it, often in remote areas, where no solid waste management exists.

Recycling and Waste Management: Parley partners with public and private recycling and waste management
operations to intercept the plastic for upcycling.
 Drop Off Sites: By creating a network of voluntary drop off sites through schools, businesses and local
governments, Parley collaborates with communities to implement AIR.

Parley also partners with professional recyclers to utilize designated drop off sites for those who make a living
intercepting plastics. We are aware that non-employed work often is prevalent in some of the countries in which
Parley may operate. These informal set-ups pose a risk to the fundamental workers’ rights outlined in the Code
of Conduct, particularly with regard to child labor and below living-wages. We therefore seek to formalize these
systems as far as possible to enforce direct employment. For non-employees who intercept plastic for a living,
we certify them as Interceptors to ensure their age and wage are in line with Parley’s values. A formalized
system combining employees and certified Interceptors ensures traceability of plastic and allows us to monitor
and improve the rights of people participating.
Driving Change

In the industries and communities in which we work, we believe everyone has the potential to be an ambassador of the
ocean cause. To drive meaningful change within the supply chain for the planet and people, particularly in the
interception of materials for recycling, Parley recognizes that this change requires a steadfast commitment to the Code
from Parley and Parley’s partners.

Parley’s Code

GENERAL PRINCIPLE: Business partners must comply fully with all legal requirements relevant to the conduct of their
businesses and must adopt and follow practices which safeguard human rights, workers’ employment rights, safety and
the environment.

HUMAN RIGHTS: Parley values human rights and will refrain from any activity, or entering into relations with any entity,
which supports, solicits or encourages others to abuse human rights. Parley expects our business partners to do the same
and tell us if there are any potential human rights issues. For the purposes of this Code, human rights are a set of rights
which recognize the inherent dignity, freedom and equality of all human beings, as expressed in the United Nation’s
International Bill of Human Rights and in the International Labor Organization’s Declaration on Fundamental Principles
and Rights at Work.

CHILD LABOR: Business partners must not employ children who are less than fifteen (15) years old, or less than the age
for completing compulsory education in the country of manufacture where such age is higher than fifteen (15). Juvenile
workers (ages 15-17) shall not perform work which, by its nature or the circumstances in which it is carried out, is likely
to compromise their health, safety or ethics.

FORCED LABOR: Business partners must not use forced labor, whether in the form of prison labor, indentured labor or
bonded labor, or permit the trafficking in persons for the purposes of forced labor. No employee may be compelled to work
through force or intimidation, or as a means of political coercion or as punishment for holding or expressing political
views.

DISCRIMINATION: Business partners must not discriminate in recruitment and employment practices. Decisions about
hiring, salary, benefits, training opportunities, work assignments, advancement, discipline and termination must be
based solely on ability to perform the job, rather than on the basis of personal characteristics or beliefs, such as race,
national origin, gender, religion, age, disability, marital status, parental status, association membership, sexual
orientation or political opinion. Additionally, business partners must implement effective measures to protect migrant
employees against any form of discrimination and to provide appropriate support services that reflect their special
status.

FREEDOM OF ASSOCIATION + COLLECTIVE BARGAINING: Business partners must recognize and respect the right of
employees to join and organize associations of their own choosing and to bargain collectively. Business partners must
develop and fully implement mechanisms for resolving industrial disputes, including employee grievances, and ensure
effective communication with employees and their representatives.

WAGES + BENEFITS: Parley looks for business partners who utilize wage systems and benefits that exceed legal
requirements and work to improve living standards of their employees. Every worker has a right to compensation for a
regular work week that meets the workers’ basic needs and provide some discretionary income. Wages must meet the
minimum wage required by law or the prevailing industry wage, whichever is higher. Where compensation does not meet
workers’ basic needs and provide some discretionary income, business partners must take appropriate actions to
progressively raise employee compensation and living standards through improved wage systems, benefits, welfare
programs and other services. In addition to compensation for regular working hours, employees must be compensated for
overtime hours at the rate legally required in the country of manufacture or, in those countries where such laws do not
exist, at a rate exceeding the regular hourly compensation rate.

WORKING HOURS: Employees must not be required, except in extraordinary circumstances, to work more than sixty (60)
hours per week including overtime or the local legal requirement, whichever is less. A regular work week must not exceed
48 hours, all overtime work must be consensual and not requested on a regular basis. Employees must be allowed at
least twenty-four (24) consecutive hours rest within every seven-day period, and must receive paid annual leave.

DISCIPLINARY PRACTICES: Employees must be treated with respect and dignity. No employee may be subjected to any
physical, sexual, psychological or verbal harassment or abuse, or to fines or penalties as a disciplinary measure.
Business partners must publicize and enforce a non-retaliation policy that permits employees to express their concerns
about workplace conditions directly to management or to Parley without fear of retribution or losing their jobs.

HEALTH AND SAFETY: A safe and hygienic working environment must be provided, and occupational health and safety
practices which prevent accidents and injury must be promoted. This includes protection from fire, accidents and toxic
substances. Lighting, heating and ventilation systems must be adequate. Employees must have access at all times to
sanitary facilities which should be adequate and clean. Business partners must have health and safety policies which
are clearly communicated to employees. Where residential facilities are provided to employees, the same standards apply.
Employers will proactively implement policies, systems and training to protect worker health and safety.

ENVIRONMENT: Supply chain partners must have written environmental policies and standards and follow all applicable
environmental laws, and agree to be monitored for their environmental responsibility. Facilities that handle chemicals
must meet all requirements related to chemical restrictions, safely labeling, handling, training, storage and disposal of
approved substances.

TRACEABILITY: Parley and our supply chain partners must have a transparent and traceable supply chain from the ocean,
coasts or communities of operation for all Parley material collection.

SUBCONTRACTING: Supply chain partners must ensure subcontractors are following the Code of Conduct.

CODE COMMUNICATION: Employers should have mechanisms in place for workers to raise complaints and have them
resolved. The employer should also provide contact details in local facilities through which any concerns can be
escalated.