Transparency in Supply Chain Statement

CSC was founded in 1938 in Portland, Oregon, as a small, family-owned, regional hat distributor and incorporated in 1961. We connect active people with their passions by designing, developing, marketing, and distributing our outdoor, active and everyday lifestyle apparel, footwear, accessories and equipment products to meet the diverse needs of our customers and consumers under four primary brands: Columbia®, SOREL®, Mountain Hardwear®, and prAna®.

We operate worldwide through our consolidated subsidiaries in Europe, Korea, Japan, and Canada, our China joint venture, and sales to independent international distributors who operate within the Europe, Middle East and Africa (EMEA) and Latin America and Asia Pacific( LAAP) regions. A list of our subsidiaries can be found in our 2020 Form 10-K, exhibit 21.1.

CSC does not own, operate or manage manufacturing facilities. Virtually all of our products are manufactured to our specifications by contract manufacturers located outside the United States. We seek to establish and maintain long-term relationships with key manufacturing partners who share our values. We manage our supply chain from a global and regional perspective and adjust as needed to changes in the global production environment, including political risks, factory capacity, import limitations and costs, raw material costs, availability and cost of labor, and transportation costs.

In 2020, our apparel, accessories and equipment were manufactured in 12 countries, with approximately 50% of these products produced in Vietnam and China. Five of the largest contract manufacturers accounted for approximately 30% of our apparel accessories and equipment production, with the largest manufacturer accounting for approximately 10%.

In 2020, our footwear products were manufactured in three countries, with the majority of these products produced in Vietnam and China. Five of the largest contract manufacturers accounted for approximately 85% of our footwear production, with the largest manufacturer accounting for approximately 45%.

In 2020, we maintained eight manufacturing liaison offices in seven Asia Pacific countries. Our personnel in these manufacturing liaison offices monitor production at our contract manufacturers’ facilities. We believe that having employees physically located in these regions enhances our ability to monitor contract manufacturers for compliance with our policies, procedures and standards related to labor practices.

CSC is committed to ensuring that our products are manufactured in factories that operate with fair and safe working conditions and sustainable business practices. To demonstrate this responsibility, we value and strive for long term partnerships with factories to monitor and ensure continuous improvement in alignment with our Standards of Manufacturing Practices (SMP) (aka Code of Conduct). CSC’s SMP includes a standard that addresses forced labor, where all suppliers are required to demonstrate that they do not use forced labor, whether in the form of prison, indentured, slave, bonded, trafficked or any other form of compulsory labor. CSC defines slavery and human trafficking as used by U.S. Department of State:

• Human Trafficking: "any recruitment, harboring, transportation, provision, or obtaining of a person for labor services, through the use of force, fraud, or coercion for the purpose of subjection to involuntary servitude, peonage, debt bondage, or slavery."

• Slavery - Involuntary Servitude: "a condition of servitude induced by means of – (A) any scheme, plan, or pattern intended to cause a person to believe that, if the person did not enter into or continue in such condition, that person or another person would suffer serious harm or physical restraint; or (B) the abuse or threatened abuse of the legal process."

We have an internal “Foreign Migrant Worker Policy” which our suppliers are required to abide by. This policy establishes a set of standards based upon ILO Core Conventions, internationally recognized principles and industry best practices that we require our supplier partners to adhere to in order to offer the greatest protection to migrant workers who have traveled from another country to obtain employment.

CSC requires all contract manufacturing partners to sign a supply agreement, which specifies that they have read and understand the Columbia Sportswear Company Standards of Manufacturing Practices Policy and shall ensure that its facilities and the facilities of its subcontractors are maintained in accordance with the SMP Policy standards.

CSC complies with the UN Guiding Principles on Business and Human Rights (UNGPs), which specify that due diligence processes should 'include assessing actual and potential human rights impacts, integrating and acting upon the findings, tracking responses, and communicating how impacts are addressed.’ All finished goods suppliers are subject to performance evaluation of audit or assessment data which include specific criteria around risks for forced labor or human trafficking including the employment of vulnerable worker groups such as foreign migrants, interns and temporary workers and high-risk practices such as payment of recruitment fees or restrictions on freedom of movement. New factories are audited and must meet our minimum standards before production can begin. A re-audit will occur anywhere from 30 days to one year later, depending on the findings in the previous audit or assessment. The majority of SMP performance data comes from unannounced audits completed by our internal SMP auditors as well as designated 3rd party audit firms who are trained to our standards. We also utilize data from audits and assessments performed by ILO’s Better Work program, the Social and Labor Convergence Program, the Fair Labor Association and a handful of other brands with whom we have built a strong relationship. All data is scored according to our SMP grading matrix and local law. In 2020, we utilized data from 314 audits and assessments, which is lower than 2019 due to the constraints on auditor travel during the COVID-19 pandemic. We work with the suppliers to develop a Corrective Action Plan (CAP) to remediate issues identified during the audit or assessment.

As a member of the Fair Labor Association (FLA), we are subject to independent assessments performed by the FLA at a randomly selected CSC finished goods suppliers. In 2020 we did not receive any new assessments but did continue working on remediation of assessments performed in previous years. The FLA validates the quality of our remediation due diligence of the assessments they perform, and publicly posts the results to their website.

CSC regularly trains all internal supply chain management staff on slavery and human trafficking, with a particular focus on mitigating risks, to ensure they are knowledgeable and aware of the issues and concerns surrounding our supply chain. We also provide training on our SMP during new employee orientation, and offer several trainings on our SMP throughout the year for all CSC staff.

This statement covers January 1, 2020 to December 31, 2020 and has been approved and signed by the Sole Director of Columbia Sportswear Company Limited in accordance with the United Kingdom Modern Slavery Act of 2015.