QUALITY POLICY

2. SCOPE OF APPLICATION

The Quality Policy applies to all our products, our production- and logistics processes, and up the supply chain to the source of our raw materials.

3. COMMITMENT TO QUALITY

For all relevant private label products, RICHARD BEHR & CO. requires compliance with all legal provisions in the area of quality. For the production and trading of products, the 'four key aspects of quality' need to be considered:

• Quality of materials
• Quality of production processes
• Quality of packaging
• Supply chain orientation
• We are committed to consistent and transparent quality products, packaging and production standards at all stages of the supply chain.

For each of these quality features, we are committed to consistent and transparent quality products, packaging, and production standards throughout all stages of the supply chain. RICHARD BEHR & CO. pursues the goal to actively extend its range of 100% controlled quality products, production, and packaging, sourced from production facilities which demonstrably apply quality standards that exceed legal provisions. Furthermore, our suppliers are obliged to comply with minimum quality standards at all stages of the production chain, i.e. from the fattening farm to the processor to the store (refer to Corporate Governance Principles/BSCI Code of Conduct/ISO quality standards). RICHARD BEHR & CO. is member of all relevant business associations and/or in all their boards and committees relevant for quality standards, especially Verband der Deutschen Federn Industrie VDFI, European Down and Feather Association EDFA, and International Down and Feather Bureau IDFB, and drives their standards and codes of conduct throughout its complete supply chain.

4. REQUIREMENTS AND IMPLEMENTATION

We actively promote compliance with Quality standards and for this purpose, we have already taken precise measures, amongst others, in the following areas:

CLIENT SUSTAINABILITY STANDARDS

Our clients are among the strongest drivers and champions of industrial level convergence of our industry toward Quality standards for products, packaging and production. We work with our clients to help them formulate their standards, goals, and monitor progress toward achieving the goals. We follow our highest client standards.

REQUIREMENTS FOR OUR PRODUCTS AND RAW MATERIALS

RICHARD BEHR & CO. sources products exclusively from producers who are compliant with all local and international quality standards and/or certified accordingly. This enables us to avoid the use of suplly chain elements that do not reliably meet international quality standards for our products.

TEXTILES-RELATED ENVIRONMENTAL TOPICS

RICHARD BEHR & CO. closely follows all textile-related environmental issues and topics and strives to at all time be at the forefront of the newest standards, tests, and labels.

• All our products are Oekotex certified and therefore tested through third party institutions. Our Oekotex certification proves that there is no emission of harmful substances – in neither our fabrics, NOR in our filling materials.
• All natural fillings are Daunasan and Daunafresh certified, which guarantees hygiene according to EN 12935.
• We are third-party DETOX audited, that no toxic water is released into the environment throughout our complete supply chain - which is especially sensitive for bleaching and dyeing processes for the fabrics of our products.
• We are purchasing increasing quantities of organic, GOTS- and Fairtrade certified cotton.
• We lable and describe all naturally filled products according to EN 12934 and follow these quality stadards thoroughly.

THIRD PARTY AUDITS

RICHARD BEHR & CO. uses the following third party audited standards to monitor compliance with these guidelines:

• RICHARD BEHR & CO. is certified to use Oekotex labelled for both its fabrics and fillings
• RICHARD BEHR & CO. issues NOMITE labels for suitability for allergy sufferers
• RICHARD BEHR & CO. issues Downafresh labels for compliance with EU hygiene standards
• RICHARD BEHR & CO. fabrics are certified skin-friendly by Institut Hohenstein
• RICHARD BEHR & CO. and our complete supply chain is IDFL certified and audited

5. ACTIVE IMPLEMENTATION

At RICHARD BEHR & CO., we implement our quality requirements in close cooperation with our suppliers. The implementation of our internal requirements will be conducted by the buying departments with the support of the responsible drivers of Corporate Governance. Specific requirements, goals and measures will also be implemented in close cooperation. We monitor the implementation among our suppliers we conduct risk-oriented evaluations. We reserve us the right to have the requirements of our sustainability policy verified by internal and/or external audits, if necessary. Moreover, we expect our suppliers to ensure that all personnel responsible for the handling of products, machinery, or packaging, with impact on their quality, are effectively trained to carry out routine practices in a way that minimizes risk of quality defects, and, where necessary, is qualified to promote good standards of quality within their areas of responsibility. The present Quality Policy is part of our terms and conditions. Where instances of non-compliance with our policies are detected, suppliers are expected to provide corrective action plans that clearly demonstrate how relevant violations will be resolved within a specific timeframe. The Managing Directors are informed on the status of implementation on a regular basis.

We aspire to continuously improve the quality of our products. In this context, we always consider our customers' wishes and the market environment. The transition to higher quality alternatives includes the following:

• extend the range of certified, organic products
• extend the range vegan products
• extend the range of products with GOTS and Fairtrade certification
• conduct pilot projects to promote high quality standards
• improve quality conditions for conventional products in cooperation with our suppliers.

Since we aim to offer higher quality products, an exchange with external partners is indispensable. Therefore, we are in close contact with NGOs, representatives of the scientific community, and stakeholders.

PILOT PROJECTS AND MEASURES

RICHARD BEHR & CO. is actively implementing sustainable practices in our products, packaging and production processes when opportunities arise. Here are a number of pilot projects that RICHARD BEHR & CO. has implemented today already:

• We have performed a self-assessment according to STeP by Oeko-tex (Sustainable Textile Production)
• We are a member of the board of the Verband der Deutschen Federnindustrie VDFI and a representative of the VDFI in technical committees
• We are member of the European Down and Feather Association EDFA and a member of the board. In technical committees we are representing the VDFI
• We have our own, European Down and Feather Association EDFA accredited laboratory and are audited regularly to meet their standards
• We are a member of the board of the International Down and Feather Bureau. We are the authorized organizing force of the 100 year documentation for the IDFB.
• While the "LGA QualiTesT GmbH - INTERNAL QUALITY SYSTEM" does not exist anymore, we internally still use the system established then to control quality across our complete supply chain

We commit to keeping these measures in place, expanding them, and adding further measures as technology becomes available. We also are part of other pilots and initiatives, that help shape our industry and its quality performance:

• We received highest marks and won in the first ever "oekotest" on down comforters.
• Best marks of any bedding manufacturer in the mcgindex.com for sustainable hospitality vendors
• Partner in the pilot program of the first international hospitality vendors to complete a chemical footprint; resulted in the best position of any bedding vendor
• Completion of the self-assessed STeP-audit for sustainable production

REGULAR ASSESSMENTS

Each year, the current Quality Policy is assessed and, if required, adjusted. In the long-term, this is the only way to guarantee consistent quality products, packaging, and development of our production. In addition, based on this policy, we formulate goals and evaluate the extent to which these goals have been achieved on an annual basis.