Supplier's Code of Conduct

Ethical behaviour is one of the five core values of AEG Power Solutions. We expect that these principles apply to suppliers, their parent entities and subsidiary or affiliateentities, as well as all others with whom they do business including employees, subcontractors and other third-parties.

Supplier Relationships

The provisions of this Code of Conduct set forth the expectations of AEG Power Solutions to all suppliers with whom AEG Power Solutions does business. AEG Power Solutions expects that these principles apply to suppliers, their parent entities and subsidiary or affiliate entities, as well as all others with whom they do business including employees, subcontractors and other third-parties. AEG Power Solutions expects that suppliers ensure that this Code of Conduct is communicated to the employees and subcontractors of all suppliers, and that it is done in the local language and in a manner that is understood by all.

Subcontracting

AEG Power Solutions expects that its suppliers encourage and work with their own suppliers and subcontractors to ensure that they also strive to meet the principles of this Code of Conduct or equivalent set of principles. AEG Power Solutions will agree to Supplier’s Code of Conduct as far as the following basic provisions are included and ensured in an equal manner:

Human Rights

AEG Power Solutions expects its suppliers to support and respect the protection of internationally proclaimed human rights and to ensure that they are not complicit in human rights abuses.

Harassment, Harsh or Inhumane Treatment, Forced Labor

AEG Power Solutions expects its suppliers to create and maintain an environment that treats all employees with dignity and respect and will not use any threats of violence, sexual exploitation or abuse, verbal or psychological harassment or abuse. No harsh or inhumane treatment coercion or corporal punishment of any kind is tolerated, nor is there to be the threat of any such treatment.

AEG Power Solutions expects its suppliers to prohibit any use of forced, bonded or indentured labor or involuntary prison labor.

Child Labor

AEG Power Solutions expects its suppliers not to engage in any practice inconsistent with the rights set forth in the International Conventions on the Rights of the Child. The minimum admission to employment or work shall not be less than the age of completion of compulsory schooling, normally not less than 15 years or 14. Additionally, all young workers must be protected from performing any work that is likely to be hazardous or to interfere with the child’s education or that may be harmful to the child’s health, physical, mental, social, spiritual or moral development.

Discrimination

Supplier ensures equal treatment and will not tolerate any form of discrimination in hiring and employment practices on the ground or race, color, religion, gender, sexual orientation, age, physical ability, health condition, political opinion, nationality, social or ethnic origin, union membership or marital status.

Freedom of Association and Collective Bargaining

AEG Power Solutions expects its suppliers to recognize and respect the rights of employees to freely associate, organize and bargain collectively in accordance with the laws of the respective countries.

Corruption

AEG Power Solutions expects its suppliers to adhere to the highest standard of moral and ethical conduct, to respect local laws and not engage in any form of corrupt practices, including extortion, fraud, or bribery, at a minimum.

Health, Safety and Environment

Suppliers are expected to provide a safe and healthy working environment and to operate in an environmentally responsible and efficient manner and to follow all relevant legislation, regulations and directives in country in which they operate to ensure a safe and healthy workplace or any other location where production or work is undertaken. All required permits, licenses and registrations will be obtained, maintained and kept up-to date. Furthermore, suppliers will fulfill their operational and reporting requirements.

Material safety data sheets containing all necessary safety-relevant information will be made available by suppliers for all hazardous substances and will be provided to AEG Power Solutions in case of a legitimate need. Suppliers will address product-related issues and their potential impact during all stages of the production process; safety management is a minimum requirement. Suppliers will make available safety information on identified workplace risks and suppliers’ employees will be correspondingly trained to ensure they are adequately protected.

AEG Power Solutions expects its suppliers to have an effective environmental policy and to comply with existing legislation and regulations regarding the protection of the environment. Chemical and other materials posing a hazard as well as wastewater, air emissions etc. if released to the environment are to be identified and managed to ensure their safe handling, movement, storage, recycling or reuse and disposal as well as measures of control and monitoring.

Other specific Requirements

AEG Power Solutions is a European listed company and operates worldwide and especially in EU and USA. As such, ensuring compliance with the above standards is a must and creates obligations to AEG Power Solution Group’s suppliers.

2002/95/CE-RoHS, and 2011/65/UE-RoHS2:

Lead, mercury, cadmium, and hexavalent chromium and flame retardants such as poly brominated biphenyls (PBB) or poly brominated di phenyl ethers (PBDE) to be substituted by safer alternatives.
Whenever possible, suppliers should propose any component and/or products that are compliant to RoHS, and if not shall inform AEG Power Solution Group about any exceptions. Delivery notes and conformity certificates shall ensure this compliance.
Any order from AEG Power Solution is supposed to be asking for a RoHS reference, it is then Supplier role to inform in case reference should change.
Supplier shall provide certificate of material composition to any demand, ensuring none of the RoHS substances.

CE no 1907/2006-REACH:

Supplier shall inform AEG Power Solution immediately in case any substance of very high concern (Annex XIV) is used in any delivered components above the threshold by weight, and/or if any of the substances added in the candidate list is part of the delivered components and what the mitigation plan is.
Supplier shall provide certificate of material composition to any demand, ensuring none of the annex XIV substances.

Conflict mineral (Dodd-Frank Wall Street Reform Act, Sec1502):

AEG Power Solutions Group has to ensure towards customers worldwide that all its products that contain electronic components which are eventually known to use very low amount of Gold, Tin, Tantalum, Tungsten do not have the origin in the Democratic Republic of the Congo nor from Central African Republic, South Sudan, Zambia, Angola, Republic Congo, Tanzania, Burundi, Ruanda or Uganda or any other adjoining countries or countries which are under embargo by the US-sanction authorities, the European Authorities or any national authority.
Therefore, as we have to collect the proof of origin of for all the four metals listed even if they don’t contain such critical mineral, Suppliers shall provide report for the deliveries made to AEG Power Solutions with regard of the four metals origin.  

Export Administration Regulations (EAR):

Suppliers must inform AEG Power Solutions Group of any components ordered that falls under the scope EAR (control export of components used or potentially used for military as well as non-military purpose -dual use- if such export could affect adversely the national interests of the USA).

Supplier shall also inform AEG Power Solutions when a product delivered to AEG Power Solutions contains restricted export components and is falling into the scope of EAR.

Quality Requirements

Suppliers will meet generally recognized or contractually agreed quality requirements in order to provide goods and services that consistently meet AEG Power Solution’s needs, perform as warranted and are safe for their intended use.

Supplier's Commitment

In order to ensure that this document is seen as a formal support to AEG Power Solutions policies and as an agreement from your side with the expectations of AEG Power Solution Group, we would appreciate the form to be returned once signed by relevant authority of your organization.

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Supplier's Code of Conduct

Statement on Conflict Minerals