As Limited Brands continues to foster strategic relationships with suppliers, it maintains its commitment to supplier and associate education. For associates, suppliers and factory management, the company hosts annual awareness and training sessions on all compliance standards in multiple countries around the world and uses one-on-one training in conjunction with compliance reviews and corrective action plans. Also, Limited Brands' auditors, accountants and attorneys assure that Limited Brands' associates fully understand and comply with our sourcing policies and procedures. Limited Brands maintains policies and procedures which govern the consequences of non-compliance by associates or suppliers with Limited Brands' sourcing and labor standards. While we recognize that local customs and values profoundly influence individual judgments in many areas covered by these standards, we support the work of international agencies and organizations that seek to implement internationally recognized standards for labor practices.

Our list of qualified suppliers and factories is established and maintained in reliance on specific qualification standards and protocols developed by IPS, a function within our company that implements Limited Brands' standards and compliance protocols. First, the company's sourcing process includes a supplier verification and risk assessment procedure to prevent involvement with high-risk suppliers. Once a supplier has passed the risk assessment, the relationship between Limited Brands and a qualified supplier begins with a written master sourcing agreement wherein the supplier certifies that the factories that it contracts with and its own direct suppliers will strictly adhere to Limited Brands Sourcing and Labor Standards, including those pertaining to slavery and human trafficking. Each supplier must agree to allow Limited Brands, or an independent third party hired by Limited Brands, to conduct an audit of the supplier's business unannounced, without prior notice. Depending on the circumstances, IPS or a third party conducts announced or unannounced audits of each of our approved factories at least annually to ensure compliance. The company may conduct more frequent reviews of suppliers located in countries designated as high risk by the U.S. State Department's Trafficking In Persons Report. Exemptions from annual audits may be granted to highly compliant factories based on the previous year's audit scores.

We participate in a number of multi-stakeholder initiatives (for example, the Business Council for Global Development). Such organizations work to enhance the rule of law and labor standards, support international institutions and advocate for policies that benefit many of the communities in which our products are produced.