Transparency in Supply Chain Statement

The California Transparency in Supply Chains Act of 2010 (SB 657), and the United Kingdom Modern Slavery Act of 2015 require certain businesses to provide disclosures concerning their efforts to address the issues of slavery and human trafficking in their supply chains, to provide consumers the ability to make better and more informed choices about the products they buy and companies they support. Columbia Sportswear Company (CSC) believes modern slavery and human trafficking are egregious issues; we are committed to doing due diligence within our operations to minimize the risk of these issues in our supply chain.

Founded in 1938 in Portland, Oregon, as a small, family-owned, regional hat distributor and incorporated in 1961, CSC has grown to become a global leader in designing, sourcing, marketing, and distributing outdoor and active lifestyle apparel, footwear, accessories, and equipment. We design, source, market, and distribute outdoor and active lifestyle apparel, footwear, accessories, and equipment for use in a wide range of outdoor and active lifestyle activities 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 EMEA and LAAP regions. A list of our subsidiaries can be found in our 2019 Form 10-K, exhibit 21.1.

CSC does not own or operate 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.

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

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

In 2019, we maintained eight manufacturing liaison offices in seven Asia Pacific countries. Personnel in these manufacturing liaison offices are responsible for overseeing production at our contract manufacturers. We believe that having employees physically located in these regions enhances our ability to monitor factories 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). (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 finished goods suppliers to sign a supply agreement, which specifies that a vendor has read and understands 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 2019, we incorporated performance data from 394 audits and assessments, with 220 being completed by our internal team. 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), in 2019 we were subject to one independent assessment performed by the FLA at a randomly selected CSC finished goods supplier. 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, 2019 to December 31, 2019 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.