Mottrol Corporation’s guideline for sustainable supply chain management sets forth the basic rules suppliers and subcontractors who provide products and services to Mottrol Corporation (collectively, the “Suppliers”) must follow. The guideline hereby defines the requirements that Suppliers must follow in terms of labor, human rights, environment, safety and health (EHS), ethics and fair trade; and all the provisions are equally important. Suppliers are required to comply with this Guideline, and include it in their procurement policy to disseminate the guideline throughout the supply chain.

1. Labor and Human Rights

   1.1 Discrimination

Suppliers make efforts to create a workplace void of illegal discrimination or harassment on the basis of race, skin color, age, gender, sexual orientation, ethnicity, disability, health issues, pregnancy, religion, political orientation, trade union membership, nationality, marital status and more in carrying out employment practices including hiring, promoting, giving bonuses, and providing education and training opportunities.

   1.2 Prohibition of Ill Treatment of Employees

Suppliers must treat all employees with respect, and employees shall not be subject to nor be threatened with cruel or inhumane treatments such as sexual harassment, sexual abuse, corporal punishment, physical or mental cruelty, verbal abuse or irrational proposals.

   1.3 Prohibition of Child Labor Abuse

Suppliers shall comply with the minimum working age convention adopted by the International Labour Organization (ILO) and shall not hire employees under the minimum age for employment set forth in the local law.

   1.4 Protection of Basic Condition of Employment

Suppliers shall not force employees to work past the maximum number of working days and working hours as defined by local law, and fully comply with all the provisions of the labor standards act related to wages and benefits to protect the basic condition for employment.

2. Safety and Health

   2.1 Management of Occupational Safety

Suppliers shall eliminate workplace hazards in advance and take preventive measures via appropriate design, engineering and administrative control, preventive maintenance and safety work procedures. Suppliers shall ensure that employees are not exposed to potential safety hazards (e.g., hazards associated with electricity and other power sources, fires, vehicles and falls). In case such hazards cannot be sufficiently reduced by those means, Suppliers shall provide workers with proper personnel protective equipment.

   2.2 Industrial Hygiene Management

Suppliers shall keep the workplace safe and healthy, and comply with relevant laws, regulations and directions. To this end, Suppliers shall provide the basic hygienic facilities that are accessible to all employees, and create a pleasant workplace with adequate lighting and ventilation.

   2.3 Emergency Response Plan

In case of an emergency, Suppliers shall go through the process of detecting and assessing emergency situations to minimize the damage, and establish basic safety procedures such as fire and accident response systems.

   2.4 Accident and Disease Management

Suppliers shall establish a procedure and system to prevent, manage, monitor and report industrial accidents and occupational diseases. With the system, the Suppliers should be able to identify workers’ injuries and diseases, provide the needed treatment and take corrective measures to prevent recurrences.

3. Environment

   3.1 Environmental Permits and Reports

Suppliers shall obtain and maintain environmental permits required to operate and manage the business site, and reflect the latest updates at all times. Suppliers shall also comply with the requirements for operations and reporting that are needed in the process of obtaining the permits.

   3.2 Hazardous Material Management

Suppliers shall identify hazardous materials used in the workplace, and keep historical records of safe handling and transport, preservation, usage and disposal of hazardous materials. Hazardous materials herein are defined as chemical and other materials that pose a threat to the safety of workers when discharged or exposed to humans.

   3.3 Pollutant Emission and Discharge Management

Suppliers shall establish a monitoring system for the emission and discharges of pollutants from facilities, work processes and sanitary facilities at the business site; and comply with the control and treatment methods, and discharge limits set forth in local laws. Pollutant emission and discharges include waste water, waste materials (general/specific), air pollutants and ozone-depleting substances.

   3.4 Eco-Efficiency

Suppliers shall efficiently utilize the resources at the business site through improvement activities such as process efficiency enhancement, conversion to alternative fuels, and recycling and re-use of resources. Resources include raw and subsidiary materials, energy, water and others employed in production activities.

   3.5 Response to Product Environmental Regulations

Suppliers are responsible for compliance with local laws, regulations and customer requirements, including but not limited to, recycling and treatment labeling for products, and the prohibition, approval and registration of specific materials as set forth in local laws.

4. Ethics and Fair Trade

   4.1 Business Ethics and Compliance

Suppliers are required to meet the highest ethical standards in all business relationships. Unethical behavior, including corruption, extortion, an offer or receipt of a bribe and favorable treatments are strictly prohibited. Suppliers are responsible for compliance with the ethical codes by conducting inspections of and crackdowns on unethical behavior.

   4.2 Fair Trade Compliance

Suppliers are prohibited from proposing or accepting an offer to gain economic benefits from unfair or unjust business transactions. Suppliers shall adhere to laws and regulations related to fair trade, and shall not be involved in unfair trading that would disturb orderly business practices.

   4.3 Transparency and Disclosure

Suppliers shall disclose information on business activities, financial positions, business results and more in a transparent manner in accordance with relevant laws and regulations.

   4.4 Protection of Intellectual Property Rights

Suppliers shall not violate or illegally use intellectual property rights, including patents, software, design and trademarks. Suppliers shall respect the intellectual property of others, and the transfer of skills and know-how shall be conducted in a manner that protects the intellectual property rights.

   4.5 Information Security

Suppliers shall do their utmost to protect technology data, information and intellectual property obtained while doing business with Mottrol Corporation. Suppliers shall also arrange and follow a procedure to ensure that employees’ personal information is not distributed or disclosed to third parties.

5. General Business Management

   5.1 Regulatory Compliance and Continuous Improvement

Suppliers shall make efforts to comply with laws, regulations and customer requirements relevant to doing business, and continue to make improvement efforts by conducting a compliance self-assessment.

6. Guideline Accessibility and Compliance Efforts

   6.1 Guideline Accessibility and Training Program

Suppliers shall understand and adhere to this guideline. To this end, this guideline shall be easily accessible to employees, and a compliance training program shall be offered to employees to help them effectively follow the guideline.

   6.2 Feedback and Reporting

Suppliers shall take feedback from employees regarding the standards and conditions applicable to this guideline, and follow procedures to make improvements based on feedback. Contact us at Mottrol Corporation’s Supplier Hotline (080-850-3398) or the Cyber Reporting Center at http://www.doosan.com/kr/csr/csr-code/cyberreport.do )