Conflict Minerals Policy
The complexity of today's supply chains and the lack of an established system to track conflict minerals back to their source requires an integrated effort by governments, industry groups, and companies to effectively trace the source of conflict minerals.
TestEquity fully supports the goal of the Dodd-Frank Act to prevent armed groups in the Democratic Republic of the Congo and adjoining countries from benefitting from the sourcing of conflict minerals in the region. We are committed to acting in a socially and environmentally responsible manner and complying with the law.
Securities and Exchange Commission rules require certain companies to disclose whether the products they manufacture or contract to manufacture contain conflict minerals tantalum, tin, tungsten and gold, sourced from mines in the Democratic Republic of the Congo or adjoining countries.
Our conflict materials policy
1. Support the aims and objectives of the Dodd-Frank Act concerning conflict minerals sourcing by working to educate the manufacturers of the products we distribute about conflict minerals.
2. Help our suppliers understand the due diligence they can take to investigate the source of any conflict minerals in the products they sell to Techni-Tool.
3. Cease sourcing from a supplier any product that contains conflict minerals if Techni-Tool determines the product is not DRC conflict free and the supplier fails to implement reasonable steps to transition to DRC conflict-free sources.1.
TestEquity supports the humanitarian goals of the Dodd-Frank Act and encourages the manufacturers of the products distributed by TestEquity to adopt that same policy for their businesses.
As a distributor of products manufactured by other companies, TestEquity does not directly purchase any raw conflict minerals from any source and is many levels removed from the mines, smelters, and refiners that produce the metals used in the products manufactured by Techni-Tool's suppliers.
We're committed to working with suppliers to educate them on the steps they can take to for greater transparency around the origin of minerals contained in the products they manufacture and sell to TestEquity.
TestEquity has the following expectations of its suppliers:
- Suppliers should not include any conflict minerals that are not DRC conflict-free in any products sold to TestEquity
- Suppliers should develop conflict minerals policies, due diligence frameworks and management systems to prevent conflict minerals that are not DRC conflict-free from being included in the products sold to TestEquity
- TestEquity's suppliers are expected to source conflict minerals only from sources that are DRC conflict-free
- Implement and communicate policies that are consistent with this policy to their personnel and suppliers, and require direct and indirect suppliers to do the same
- Put in place procedures for the traceability of conflict minerals, working with their direct and indirect suppliers as applicable
- Use reasonable efforts to source conflict minerals from smelters and refiners validated as being DRC conflict-free, and require their direct and indirect suppliers to do the same
- Advise TestEquity of any determination that the supplier either has concluded or has a reasonable basis to believe that products it currently sells or has sold to TestEquity are not DRC conflict-free
- Maintain reviewable business records supporting the source of conflict minerals
- From time to time, at TestEquity 's request, provide TestEquity with information concerning the origin of conflict minerals included in products sold to TestEquity , which TestEquity shall be entitled to use or disclose in satisfying any legal or regulatory requirements or in any customer or marketing communications, notwithstanding the terms of any confidentiality agreements that do not specifically reference this paragraph
Suppliers also are encouraged to support industry efforts to enhance traceability and responsible practices in conflict minerals' supply chains.
Consequences of Supplier Non-Compliance
TestEquity evaluates its relationships with its suppliers on an ongoing basis.
TestEquity reserves the right to evaluate the extent to which a supplier has failed to reasonably comply with this policy.
TestEquity reserves the right to request additional documentation from its suppliers regarding the origin of any conflict minerals included in any products sold to TestEqui.
Suppliers who do not reasonably comply with this policy shall be reviewed by Techni-Tool's supply chain organization for future business.
In the event TestEquity determines that a supplier's efforts to comply with this policy have been deficient and the supplier fails to cooperate in developing and implementing reasonable remedial steps, TestEquity reserves the right to take appropriate actions up to and including discontinuing purchases from the supplier.
Nothing in this policy is intended to in any way to grant any additional rights or expectations to a Techni-Tool supplier or in any way modify or otherwise limit Techni-Tool's contractual or legal rights.
Grievance Mechanism and Reporting
Our employees, suppliers and other parties can report concerns and alleged violations of this Policy as follows:
(i) Write us at TestEquiy: Attn: Conflict Minerals Team, P.O. Box 515047, Los Angeles, CA, 90051
(ii) Email us at: [email protected]
(iii) Call us at: 800-832-4866
Reports can be made anonymously and will be kept confidential to the fullest extent practicable and allowed by law.
We will not take any retaliatory action against our employees, suppliers, or other parties who make a report in good faith.
Our suppliers are encouraged to contact [email protected] if they wish to seek guidance on the application of this policy.
TestEquity fully understands the importance of this issue and is committed to supply chain initiatives and overall corporate social responsibility and sustainability efforts that work towards a DRC conflict-free supply chain. We encourage all of our suppliers to likewise support these efforts.
On July 21, 2010, the Dodd-Frank Wall Street Reform and Consumer Protection Act was signed into law. The Dodd-Frank Act and related 2012 U.S. Securities and Exchange Commission rules require certain companies to disclose whether the products they manufacture or contract to manufacture contain conflict minerals necessary for the production or the functionality of the products that are sourced from mines in the Democratic Republic of the Congo or adjoining countries. Conflict minerals are tantalum, tin, tungsten and gold.
1 Products are "DRC conflict free" if they contain only conflict minerals that did not originate in the DRC or an adjoining country, are from recycled or scrap sources, or have not benefitted the armed groups identified as perpetrators of the abuses that are the subject of the Dodd-Frank Act.