21st May 2012

To our stakeholders:

I am pleased to confirm that FocusPrint Sdn Bhd reaffirms its support of the Ten Principles of the United Nations Global Compact in the areas of Human Rights, Labour, Environment and Anti-Corruption.

In this annual Communication on Progress, we describe our actions to continually improve the integration of the Global Compact and its principles into our business strategy, culture and daily operations. We also commit to share this information with our stakeholders using our primary channels of communication.

Yours sincerely,

George Yap
Business Development Manager

We are adhered to the Universal Declaration of Human Rights.

Our company policy in respect of Human Rights is as follow:-

a) Health and Safety Systems, Protective Equipment and Training
1) Our company has effective health and safety procedures in place, which comply with industry, national and international standards.
2) Workers and managers are trained to respond to workplace emergencies; first aid kits and fire extinguishers are readily available; and escape exits are clearly marked and free from obstruction.
3) Our company workplace is maintained to ensure clean and comfortable conditions including a suitable temperature, ventilation and lighting; suitable washing and sanitation areas appropriate for both genders.
4) Our company provides safe drinking water for all employees and facilities for clean and eating.
5) Our company has a procedure to ensure that all employees are provided, free of charge or deposits, with the protective equipment and training necessary to safely perform their job functions.
6) Employees are kept fully informed, in a language and form understandable to them, of any health and safety risks associated with their job functions, including requirements for protective equipment.

b) Working Hours, Wages, Leave
1) Our company normal working hours are limited to 48 hours per week, or fewer if provided by national law, or industry standards.
2) Overtime is infrequent, remunerated at premium rate, and does not exceed 12 hours in any one week, or 36 hours per month. Where overtime per employee systematically exceeds 12 hours per week, the company increases its workforce to correspond to production targets, or puts in place measures to increase worker productivity and reduce overtime.
3) Our company has a system to plan, record and monitor hours worked by each employee, and regularly evaluates whether the number of employees is sufficient to meet production targets without resorting to overtime.
4) Employees are allowed at least 24 consecutive hours of rest (or more if provided by national law or industry standards) in every seven day period.
5) To provide employees with a living wage sufficient to meet basic food, clothing and housing needs and provide some discretionary income for themselves and their dependents.
6) Our company is aware of whether the legal minimum wage in the country of operation meets the requirement for a living wage.
7) Our company pays wages at regular intervals and does not take deductions from wages for disciplinary measures or other deductions not authorised by national law.
8) Our employees are entitled paid holiday leave and sick leave in accordance with the applicable national labour law.

c) Fair Treatment (Non-Harassment, Employee Privacy, Employee Grievance Mechanism)
1) Our company has a commitment to prevent workplace harassment, and actively informs employees of their obligations to refrain from violent, threatening or abusive conduct.
2) Our company investigates all complaints of workplace harassment and takes appropriate preventative and disciplinary action including reporting of criminal actions to the appropriate authorities.
3) Employees are made aware of all workplace monitoring, including cameras and Internet or e-mail monitoring, and the specific purpose of the monitoring.
4) Employees are able to lodge grievances confidentially and without fear of retribution by management or other employees.

d) Community Impacts (Impact Assessment, Land and property, Security arrangements)
1) Prior operations, our company conduct an impact study to assess the potential environmental and social impacts of the planned activities, including an assessment of the potential human rights consequences for local inhabitants or other affected communities.
2) Prior to buying, renting, acquiring or otherwise accessing land or property, our company identifies all existing owners and users or the land or property.
3) Our company will investigates the past usage and ownership of the land or property to ensure that past users and owners have not been wrongfully removed, and that any expropriations by the authorities have been conducted in accordance with international law.
4) Our company conducts regular security risk assessments, and ensures that company security arrangements, including the deployment of private guards, are proportionate to the security risk.
5) Contracts with private security firms include requirements related to international human rights standards for law enforcement and use of force; require the investigation and discipline of any unlawful or abusive conduct by security guards; and allow for termination of the contract in case of such conduct.

e) Product Stewardship
1) Our company is aware of and complies with relevant national laws, international guidelines and industry standards regarding product manufacturing, design and marketing.
2) The company takes measures to eliminate ingredients, designs, defects that could harm human life and health during manufacturing, usage or disposal of the products.

f) Country Risk (Human rights in country of operation)
1) Our company actively seeks information about the general human rights situation in the country of operation. If operating in a country with systematic human rights abuses, our company tends to avoid the risk of contributing to, or benefiting from such abuses.
2) Where there is risk involvement in systematic human rights abuses owing to government or societal practices, our company seeks to identify solutions through dialogue with other businesses, civil society organisations, experts and other relevant stakeholders, including the authorities.

g) Suppliers and Business Partners
1) Our company will conduct an assessment of supply chain to identify which suppliers have the greatest risk of human rights abuses.
2) Our company will define minimum requirements for the human rights standards of suppliers and communicates these in writing to new and existing suppliers and business partners.
3) Our company's procurement practices, such as pricing and delivery time, encourage improved human rights standards in suppliers and business partners.

Our Company goals on Human Rights:-
1) Promote health and safety issues. Employee safety is our first priority.
2) Prevent workplace harassment effectively, maintain zero incident in this year.

Our company will prepare a suggestion box, affix posters regarding Human rights on employee information board.

We will list out Human resource policies and procedures which support Human Rights, create awareness and provide training for employees on Human Rights.

In addition, our company will assign Human Resource department to monitor and enforce Human Rights within the company.
We will provide consultation with affected parties.

Our company will set a timetable to trace the progress of compliance in Human Rights.

Besides, we will adhere to international Human rights to deal with incidents of Human Rights violations. The procedures will involve investigations, legal cases, rulings and fines.

Our company senior management will evaluate the Human Rights performance periodically.

External audits will be carried out once all the information has been documented.

Our company policies in respect of employee rights and responsibilities, and compensation/ benefits are as follow:-

a) Trade Unions (Association and Bargaining)
1) Our company has a commitment to recognize the rights of its workers to freedom of association and collective bargaining, including the right to freely form and/or join independent trade unions, and this commitment is clearly communicated to all employees.
2) Our company prohibits discrimination or adverse actions against worker representatives or employees for participating or refraining to participate in lawful trade union activities.

b) Forced labour
1) Our company ensures that all employees receive employment contracts prior to starting work, and that contracts are understood by the employees.
2) If letters of release or other documents are needed for the employee to leave employment, our company issues such letters without delay.
3) Overtime work is paid, voluntary and not compelled through threat of pay deductions, termination or other sanctions.
4) All workers are allowed to leave company premises during breaks and at the end of their shifts, and workers in company housing may freely enter and exit their accommodation at any time.

c) Child labour
1) Our company does not employ workers under 18 years of age.

d) Employment discrimination
1) Our company policy ensure that decisions concerning hiring, wages, promotion, training, discipline, retirement and termination are based only on unbiased criteria, and are not linked to any of the discriminatory characteristics listed in the description for this question.
2) Employment advertisements do not reference discriminatory criteria, such as race, gender or age.

e) Suppliers and business partners
1) Our company has a commitment to promote the continuous improvement of labour standards of our suppliers.
2) The commitment is supported by training on labour standards for relevant management and procurement staff.
3) Our company will conduct an assessment of supply chain to identify which suppliers have the greatest risk of abusive labour standards.
4) Our company will define minimum requirements for the labour standards of suppliers and communicates these in writing to new and existing suppliers and business partners.
5) Our company's procurement practices, such as pricing, and delivery times, encourage improved labour standards in suppliers and business partners.

Our Company goals on Labour Rights:-
1) Emphasize in employee rights and responsibilities, strive to improve in staff morale.
2) Provide better welfare for our employees.

Our company will prepare a suggestion box, affix posters regarding Labour rights on employee information board.

We will list out policies and procedures which support Labour Rights, create awareness and provide training to employees. In fact, Human Resource policies and procedures are in line with Labour principles.

Our company has established a grievance mechanism, where employees can safely report incidents of workplace discrimination.

Our company has effective health and safety procedures in place, which comply with industry, national and international standards. Health and safety information and procedures are available to employees in a language they understand.

In addition, we will assign Human Resource department to monitor and enforce Labour Rights within the company. We will provide consultation with stakeholders and affected parties.

Our company will classify our management and employees by gender, ethnicity, age etc for performance evaluation and monitoring.

Besides, our company will adhere to our national labour law to deal with incidents of Labour Rights violations. The procedures will involve investigations, legal cases, rulings and fines.

Our company senior management will review the outcome periodically. Our management will meet regularly with employee representatives to discuss work-related problems and any grievances employees may wish to raise.

External audits will be carried out once all the information has been documented.

Our company policy in respect of Environment is as follow:-

a) Legal compliance
1) Our company complies with all relevant environmental legislation in the country.
2) Our company has obtained the necessary environmental permits to operate from Department of Environment.
3) Our company has a systematic approach in place to ensure knowledge of new environmental legislation, compliance with permits and any other legal environmental requirements.
4) Our company has not received serious or repeated complaints about environmental impacts of company operations or activities from neighbours or other stakeholders.

b) Environmental management
1) Our company has identified the environmental issues related to the business operations and works systematically with these environmental issues.
2) Our company has a formal environmental policy, approved by top management, which includes a commitment to legal compliance and continuous improvements in environmental performance.
3) Our company has sufficient monitoring and documentation to demonstrate continuous improvements of the environmental performance.

c) Environmental impact assessment
1) Prior to new operations, our company identifies and assesses the potential environmental impacts of the planned activities.
2) Our company has a method for identifying environmental impacts of company operations and consults affected individuals, prior to, during and after the start of the operations.
3) Our company develops appropriate impact management plans to prevent any adverse social and environmental impacts.

d) Supply chain management (Suppliers and Business Partners)

1) Our company has a commitment to promote the continuous improvement of the environmental performance of suppliers. The commitment is supported by training on environmental performance for relevant management and procurement staff.
2) Our company has defined minimum requirements for environmental performance of suppliers and communicates these in writing to new and existing suppliers and business partners.
3) Our company's procurement practices, such as pricing, and delivery times, encourage improved environmental performance of suppliers and business partners.

Our Company goals on Environment protection:-
1) Reduce plastic usage, recycle ink, and reduce electricity usage such as fluorescent light.
2) Reduce air-cond usage.

Our company will create awareness among our employees and suppliers on environmental protection. We will also provide training to employees on environmental issues.

Our company intends to avoid environmental damage by regular maintenance of production processes and environmental protection systems (i.e. waste ink treatment systems). Besides, our manufacturing plant is certified by Department of Environment.

Environmental management system is aimed to monitor our company’s environmental performance. In fact, respective personnel are allocated to handle environmental protection in the company.

Our company will adhere to national environmental law to deal with incidents of environment violations. The procedures will involve investigations, legal cases, rulings and fines.

Our company senior management will review the outcome periodically. Our management will meet regularly with responsible personnel to discuss environmental protection progress. It involves recycle ink and reduce energy consumption.

External audits will be carried out once all the information has been documented.

Our company policy in respect of Anti-Corruption is as follow:-

1) We are adhered to the UN Convention Against Corruption.
2) Our company's director has declared that the company will not engage in corruption at any time or in any form.
3) Our company evaluates the potential areas of corruption including factors such as type of transaction, countries of operation, industries, and customers or business partners involved.
4) Our company evaluates the risk of corruption when employees, intermediaries or consultants deal with public officials including employees of state owned companies.
5) Our company evaluates the risk of internal and external conflicts of interest in relation to business partners and government officials including employees of state owned companies.
6) Our company informs all employees about its anti-corruption commitment. We actively seek employee feedback and dialogue on its anti-corruption initiatives.
7) Suppliers, customers, business partners and other stakeholders are made aware of the company's anti-corruption commitment.
8) Our company's procurement practices including pricing, and delivery times, support anti-corruption commitment in suppliers and business partners.

Our company goals in anti-corruption:-

Maintain zero corruption incident in this year.

Our company will create awareness among our employees and suppliers on anti-corruption practice. We will also provide training to employees on anti-corruption issues.

Our company has assigned different individuals to be responsible for handling contracts, placing orders, receiving goods, processing invoices and making payments.

Our company performs internal audits and has checks and balances in place in connection with all anti-corruption commitments.

We will encourages employees or suppliers where they can safely report suspicion of corruption related cases (e.g. email, direct communication to top management) and allocates resources to systematically address the issues that are identified.

Our company will adhere to national anti-corruption law to deal with incidents of corruption violations. The procedures will involve investigations, legal cases, rulings and fines.

Our company senior management will review the outcome periodically. Our management will emphasize anti-corruption commitment to all employees and suppliers. It involves segregation of job function to prevent corruption.

Our company requests external auditors to perform financial checking on any irregularities found.