solmax.com

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SOLMAXCODE OF ETHICS

The masculine is used as a neutral gender for ease of reading and should not be construed as discriminatory.

Written or electronic reproduction is prohibited, in whole or in part, without the prior express permission of

Solmax Group (herein called “Solmax”).

2017 SOLMAXCODEOFETHICS 3

Table of contents

Introduction. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...4

Ethical.Standards. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...4

Administration. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...5

Code.of.Ethics. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...7.

1 ... Compliance.with.legislation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...7

. 2 .. Government.relations. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...7

. 3 ... Confidentiality.and.loyalty . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...8

. 4 ... Information.on.competitors. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...8

. 5 ... Conflict.of.interest . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...9

. 6 ... Company.resources. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...9

. 7 ... Compensation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...9

. 8 ... Human.rights.and.harassment.prevention. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .....9

. 9 ... Public.relations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..10

. 10 ...Books. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .10

. 11 ... Information.technology.and.the.Internet. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...1 1

. 12 ...Environmental.Protection. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...1 1

. 13 ...Occupational.Health.and.Safety . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...1 1

. 14 .. Use.of.Alcohol,.Drugs.and.Tobacco . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...1 1

. 15 .. Recourse.to.third.parties.and.agents. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...1 1

. 16 .. Respect.of.the.basic.rights.of.people.and.workers . .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. ....12

Antitrust.Policy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..13

. Antitrust.Policy. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..13.

. Conflict.of.Interest.Policy. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ....17

. Compensation.Policy .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. . .20

. Community.Investment.Policy. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..21

. Information.Technology.and.Internet.Policy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...22

. Environment.Policy. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...26

. Occupational.Health.and.Safety.Policy. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..27

SOLMAX CODE OF ETHICS 20174

IntroductionThe.Solmax.Code.of.Ethics.(the.“Code”).sets.out.the.basic.rules.we.must.comply.with.to.build.and.maintain.our.reputation.as.a.conscientious.company.that.cares.about.its.social.position.in.the..community ..The.Code.applies.to.all.Solmax.employees,.subsidiaries.and.facilities ...Although.Solmax.is.made.up.of.several.legal.entities,.the.law.treats.our.organization.as.an.ordinary.person ..Solmax’s.response.to.different.challenges.must.be.the.same.as.our.own.response.when.faced.with.similar.situations.in.our.private.lives ..One.wrongful.act.can.undermine.all.employees’.efforts.to.build.a.company.we.can.be.proud.of ...While. senior. management. is. responsible. for. the. quality. of. Solmax’s. professional. ethics,. it. is..incumbent.on.all.of.us.to.know.and.comply.with.our.Code ..

Ethical Standards Solmax.strives.to.act.ethically.at.all.times ..To.meet.this.goal,.everyone.who.works.for.Solmax.must.achieve.a.high.degree.of.ethical.probity ..If.you.would.like.to.know.whether.what.you.are.doing.is.ethical,.simply.ask.the.following.questions:.“If.the.general.public.knew.about.what.I.was.doing.in.my.work,.would.I.be.embarrassed?.Would.it.embarrass.Solmax,.my.colleagues.or.family.members?”

Ethics. go. beyond. what. is. required. under. the. law .. They. can. involve. tough. decisions. which..sometimes.require.you.to.consult.your.superior.first ..We.encourage.you.to.ask.for.advice.and.listen.to.another.perspective.before.choosing.a.course.of.action ..Another.principle.guides.our.employees’.decisions:.fairness.toward.the.organization.and.all.of.its.people ..This.principle.is.a.key.element.in.our.work.ethic ..The.question.we.must.ask.ourselves.is:.can.I.apply.this.decision.to.everyone?.Would.the.choice.I.made.regarding.one.person.embarrass.me,.if.it.were.made.public?.Would.I.embarrass.my.organization?.Is.the.decision.I.am.making.being.made.to.the.detriment.of.my.organization?.

Ethics. affect. everything. we. do .. The. ethical. issues. that. are. especially. important. to. Solmax. are..described.herein ..

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Administration.1. CompliancewiththeCode

All. Solmax. employees. are. required. to. abide. by. the. policies. and. standards. described. herein ...Employees.must.respect.both.the.letter.and.spirit.of.the.Code,.and.act.in.a.manner.that.will.allow.their.professional.conduct.to.stand.up.to.a.rigorous.review,.if.circumstances.so.require ...The.Code,.policies.and.guidelines.do.not.deal.with.every.aspect.of.our.operations.specifically;.in.some.situations,.it.may.be.difficult.to.determine.the.proper.course.of.action ..If.in.doubt,.it.is.best.to.consult.Solmax’s.Human.Resources.Department,.which.will.then.advise.you ...Violating. any. provision. of. the. Code,. policies. or. guidelines. may. lead. to. disciplinary. measures,..including.dismissal ..

2. Application

The.provisions.of.the.Code,.and.associated.policies.and.guidelines.apply.to.all.Solmax.employees ..Each.Solmax.subsidiary.is.responsible.for.implementing.and.applying.the.principles/standards.set.out.herein.with.employees ..

3. Amendments

The. Human. Resources. and. Governance. Committee. will. periodically. review. and. assess. the..provisions.of. the.code,. subject. to. the.approval.of.Solmax’s.Board.of.Directors,. to.ensure. their..continued.relevance ...4. Codeavailability

Each.employee.will.receive.a.copy.of.the.code.when.hired ..Copies.of.the.Code.will.also.be.available.for.consultation.at.all.times.at.the.Solmax.Human.Resources.department ..

5. Update

On.a.periodic.basis,.the.management.board.approves.a.revision.to.the.Code.of.Ethics ..The.human.resources.department.will.have.to. inform.our.employees.of. the.changes.made.and.that.a.new..version.of.the.Code.of.Ethics.is.available.for.consultation .

6. Employeeattestation

Each. employee. shall. indicate. that. he. or. she. has. read. and. understood. this. Code. and. the..obligations.arising.from.it.by.signing.the.acknowledgment.of.receipt.and.returning.a.copy.to.the.Human..Resources.Department ..

SOLMAX CODE OF ETHICS 20176

7. Whistleblowing

Since.compliance.with.this.Code.of.Ethics.is.essential.to.preserve.Solmax’s.reputation.and.we.wish.to.ensure.that.all.employees.comply.with.the.Code,.any.employees.who.learn.that.another.Solmax.employee.has.committed.an.offence.against.this.Code.of.Ethics.are.invited.to.inform.the.President.of.Solmax.Group,.the.President.of.Solmax.International.and.Solmax.International.Asia.Pacific.or.the.General.Manager.of.Solmax.Chile ..Voicemail.at.extension.#666.is.also.available.to.employees.if.they.wish.to.leave.a.confidential.message ..

No.reprisals.will.be.taken.against.any.employee.who,.acting. in.good.faith,.reports.questions.of.non-compliance.or.violation.of.this.Code.of.Ethics ..

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Code of Ethics.The.policies.that.Solmax.adopts.on.specific.issues.dealt.with.in.the.Code.are.set.out.in.the.last..section.of.the.document ..

1. Compliancewithlegislation

Solmax’s.operations.are.subject.to.highly.complex.and.evolving.laws.and.regulations;.employees..must. comply. with. the. spirit. of. the. legislation. governing. its. activities. wherever. Solmax. does..business .. In. the. event. of. a. conflict. between. traditional. practices. and. the. law,. the. law. takes..precedence ..Every.employee.must.make.sure.to.maintain.a.reasonable.knowledge.of.the.legislation.that.applies.to.his.duties.within.Solmax ..Ignorance.of.the.law.and/or.regulations.does.not.exempt.Solmax.or.its.employees.from.their.obligation.to.obey.the.law ...Many.of.the.countries.Solmax.operates.in.have.laws.to.promote.competition.and.protect.consumer.rights ..Solmax.cares.about.operating.in.a.competitive.environment ..Solmax.and.its.employees.must.abstain.from.anything.that.can.be.deemed.an.unfair.business.practice ..These.include.activities.that..unduly. lessen. competition,. such. as. price. fixing,. false. or. misleading. advertising,. or. confusing..information ..

Any.employee’s.breach.of.antitrust.legislation.may.do.substantial.harm.to.Solmax,.causing.legal.proceedings.to.be.instituted.against.the.employee.and/or.Solmax ..

Solmax’s.operations.must.be.conducted.in.compliance.with.the.law,.as.well.as.Solmax’s.Antitrust Policy,.which.we.refer.you.to ..

2. Governmentrelations

Solmax.undertakes.to.respect.the.government’s.authority.wherever.it.has.operations ..Solmax.will.maintain.honest.relations.with.governments.and.their.agencies,.civil.servants.and.employees ..

Employees.who.provide.information.to.governments.on.behalf.of.Solmax.must.ensure.that.such.information. is. accurate.and.complete .. .Errors.and.omissions.can.be.deemed. infractions.of. the..country’s.legislation.and.compromise.Solmax’s.credibility ..

SOLMAX CODE OF ETHICS 20178

3. Confidentialityandloyalty

Confidential,. exclusive. information. on. Solmax’s. operations. is. a. very. important. asset. for. the..company. and. must. be. handled. accordingly .. Employees. must. protect. Solmax’s. confidential,..commercial.and.other.information.pursuant.to.the.legislation.in.force ..The.confidentiality.obligation.survives.the.individual’s.employment.with.Solmax ..

The. information.must.never.be.used.for.personal.purposes ..Confidentiality.clauses.must.appear. in..contracts.with.consultants,.sub-contractors.and.other.Solmax.service.providers.that.have.access.to.such.data ..

Employees.must.also.act.loyally.and.carry.out.their.work.in.a.careful.and.diligent.manner ..The.obligation.of.loyalty.means,.inter.alia,.that.the.employee.must.put.Solmax’s.interests.ahead.of.his.own.and.not.put..himself. in. a. conflict. of. interest. situation .. The. obligation. of. loyalty. also. survives. the. employee’s..employment.with.Solmax ..

“Confidential.information”.includes,.inter.alia,.any.information.that.Solmax.deems.to.be.and.treats.as.secret.and.confidential,.including.documents.and.data.on.strategic,.commercial,.production,.financial.and.scientific.information.and.employee.records ..Employees.who.leave.Solmax.must.return.all.objects,.documents.and.data.belonging.to.Solmax:.computer.hardware.or.software,.databases,.cellular.phones,.credit.cards,.books,.manuals,.etc ..Information.disclosed.on.the.Web.site.must.receive.careful.review.and.all.authorizations.must.be.obtained.before.updating.the.site ..

Only.Solmax’s.President.or.any.other.person.designated.by.him.is.authorized.to.disclose.information.that.is.deemed.confidential ...4. Informationoncompetitors

Solmax.sometimes.gathers.information.on.the.markets.in.which.it.operates,.including.information.on.competitors.and.their.products.and.services ..Solmax.undertakes.to.gather.such. information.with.integrity.and.probity;.employees.must.refrain.from.using.irregular.and/or.illegal.methods.to.collect.the.competition’s.confidential.or.exclusive.information.or.trade ..

To.avoid.any.appearance.of.misconduct.in.gathering.information.on.competitors,.employees.must.refrain.from:.

. Misrepresenting.themselves.in.attempting.to.gather.such.information.

. Attempting.to.acquire.competitors’.trade.secrets.or.other.exclusive.or.confidential.commercial.information.by.illicit.or.unethical.means.such.as.theft,.spying,.burglary,.wiretapping,.deceptive.relationships.with.a.competitor’s.suppliers,.seeking.information.from.a.competitor’s.current.or.former. information,.or.breach.of.a.competitor’s.confidentiality.agreement.by.a.competitor’s.client.or.other.party.

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5. Conflictofinterest

A.conflict.of.interest.exists.when.an.employee’s.personal.activities.or.financial.affairs.conflict.or..appear.to.conflict.with.the.employee’s.responsibility.to.act.in.the.best.interests.of.Solmax ..Decisions.made.by.employees.in.carrying.out.their.duties.must.not.be.influenced.by.personal.interests.that.are.or.appear.to.be.incompatible.with.Solmax’s.interests ..It.is.therefore.important.that.an.employee.never.put.himself.in.a.conflict.of.interest.or.potential.conflict.of.interest.situation.so.as.to.never.lose.his.impartiality.or.hinder.his.judgement ..The.principle.of.integrity.must.always.take.precedence.in.all.our.business.dealings ..For.further.information,.please.consult.the.Conflict of Interest Policy .

6. Companyresources

Employees.must.not.use.Solmax’s.funds,.assets,.equipment.or.other.resources.for.their.personal..benefit .. . Employees. are. responsible. for. the. Solmax. resources. under. their. control,. including..information,.and.for.updating.information.on.the.use.of.said.resources ..

In. general,. fraud. involves. some. kind. of. sharp. practice,. theft,. deceit,. act. of. omission. or. false..pretence,.breach.of.trust.and.culpable.intent.for.the.purpose.of.material.gain ...A.fraudulent.act.may.have.substantial.consequences.for.Solmax.and.individuals ..

Employees.must.always.use.Solmax’s.resources.efficiently.and.within.reason ..Expenses.must.be..reported. accurately. and. in. a. timely. manner .. Employees. must. take. appropriate. precautions. to..prevent.the.theft,.deterioration.or.misuse.of.Solmax.resources ..

7. Compensation

Solmax. undertakes. to. provide. for. a. stimulating. work. environment. that. recognizes. skill. and..performance,.so.as.to.foster.employees’.opportunities.for.advancement.and.the.implementation.of.an.organizational.framework.that.is.compatible.with.a.sense.of.responsibility.and.accountability ..

Solmax’s.compensation.practices.must.comply.with.the.Compensation.Policy.and.local.legislation ..

8. Humanrightsandharassmentprevention

Because.it.is.an.international.firm,.Solmax.fully.adheres.to.the.spirit.and.principles.set.out.in.the.Universal.Declaration.of.Human.Rights.(UN).and.will.ensure.it.complies.with.its.legal.provisions.wherever.it.does.business ..More.specifically,.Solmax.shall.ensure.that.fundamental.human.rights.are.respected,.with.regard.to.dignity.and.respect,.the.worth.of.the.human.person,.equal.rights.of.men.and.women;.Solmax.is.determined.to.promote.social.progress.and.better.standards.of.life.in.larger.freedom ...

Solmax. represses.all. acts. that.do.not.comply.with. these.principles.and,.more. importantly,. any..exploitation.of.children.whatsoever ..

SOLMAX CODE OF ETHICS 201710

Solmax. has. also. always. expressed. a. firm. determination. to. tolerate. no. form. of. harassment..whatsoever.and.provide.for.a.safe.and.respectful.work.environment ..All.Solmax.subsidiaries.are.responsible.for.implementing.and.applying.an.anti-harassment.policy.and,.more.specifically:

. Defining.its.scope

. Defining.the.responsibilities.of.participants

. Defining.the.process.for.handling.a.complaint

. Penalizing.any.conduct.that.contravenes.the.policy

9. Publicrelations

Solmax. encourages. employees’. participation. in. their. community’s. civic. and. collective. life .. An..employee.who.engages.in.such.activities.does.so.in.his.own.name,.not.on.behalf.of.Solmax ..

As.a.general.rule,.it.is.important.not.to.put.ourselves.in.a.conflict.of.interest.or.potential.conflict.of.interest.situation.so.as.to.never.lose.our.impartiality.or.impair.our.judgement ..The.principle.of.integrity.must.always.take.precedence.in.all.of.our.community.and/or.business.dealings ..Here,.it.is.important.to.consult.Solmax’s.Conflict of Interest Policy .

Donations,.contributions.and.sponsorships.must.comply.with.the.Community Investment Policy .

10.Books

Solmax. establishes. and. applies. rigorous. standards. for. the. accuracy. and. completeness. of. its..records .. The. records. are. the. basis. for. managing. Solmax’s. affairs,. evaluating. and. performing..Solmax’s. obligations. to. shareholders,. employees,. suppliers. and. other. parties,. and. ensuring..compliance.with.fiscal.and.financial.requirements ..Solmax’s.records.are.subject.to.external.audit ..

Solmax’s.primary.objective.for.record-keeping.is.to.provide.a.transparent.and.factual.representation..of. financial. information .. No. posting. shall. be. updated. in. Solmax’s. accounts. in. a. manner. that..misrepresents.or.obscures.the.true.nature.of.any.transaction ..

In.setting.up.and.updating.its.records,.Solmax.employees.must:

. Enter.information.with.accuracy.and.integrity

. Comply.with.generally.recognized.accounting.standards.and.practices.

. Ensure.that.all.postings.are.entered.expeditiously.and.accurately,.and.that.they.are.properly... documented. Sign.only.those.documents.that.are.deemed.to.be.accurate.and.true. Research,. institute. and. maintain. adequate. internal. controls. to. ensure. that. record-keeping..

. objectives.are.met. Show. vigilance. in. the. prevention. of. fraud. and. dishonesty,. and. immediately. notify. the. Vice..

. President,.Finance,.of.any.embezzlement.so.as.to.have.an.inquiry.launched ... Organize.and.store.the.organization’s.information.so.as.to.ensure.its.survival .

.

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11. InformationtechnologyandtheInternet

The.security.of.information.technology.systems.is.critical.to.Solmax’s.success.and.competitiveness ..Access.to.IT.resources.is.limited;.those.who.have.access.to.it.must.keep.their.passwords.secret.and.limit.use.of.IT.systems.to.authorized.business.purposes ..Use.of.the.Internet.is.restricted.to.business.purposes ..In.this.regard,.refer.to.the Information Technology and Internet Policy.

12.EnvironmentalProtection

Solmax.has.undertaken.to.carry.out.its.commercial.activities.in.a.way.that.protects.the.environment,.conserves.resources.and.provides.for.sustainable.development ..It.consistently.strives.to.improve.its.environmental.performance,.pursuant.to.applicable.legislation.and.its.Environment Policy.

13.OccupationalHealthandSafety

Solmax.undertakes.to.provide.its.employees.and.the.employees.of.outside.firms.working.in.our.installations.with.safe.working.conditions,.equipment.and.workplaces.while.encouraging.them.to.participate.in.preventing.workplace.injuries,.pursuant.to.applicable.legislation.and.its.Occupational Health and Safety Policy.

14.UseofAlcohol,DrugsandTobacco

Employee,.client.and.public.safety.are.among.Solmax’s.values ..As.the.use.of.drugs.and.alcohol.may.compromise.compliance.with.and.the.sustainability.of.this.value,.every.Solmax.employee.is..responsible. for. taking. appropriate. steps. to. prevent. workplace. accidents. and. illnesses. and..contributing.to.maintaining.a.safe.and.healthy.work.environment ...Due.to.this.obligation,.Solmax.employees. must. engage. in. responsible. behaviour. in. the. workplace. while. conducting. Solmax’s..business. and. during. Solmax-sponsored. activities .. Moreover,. Solmax. prohibits. the. possession,..exchange.and.use.of.illegal.substances.at.Solmax.facilities,.in.the.context.of.Solmax’s.dealings.or.during.receptions.organized.by.Solmax ..

To.combat. second-hand. smoking.and. the.fire. risk,. the.Solmax. site.has. smokers’. areas.outside.the.buildings ..Smoking.is.only.tolerated.in.marked.smokers’.areas.that.are.all.located.exclusively..outside.Solmax.buildings ..

15. WeaponsPolicy.Employees. may. not,. at. any. time. while. on. any. property. owned,. leased. or. controlled. by. Your..Company,.including.anywhere.that.company.business.is.conducted,.such.as.customer.locations,.client.locations,.trade.shows,.restaurants,.company.event.venues,.and.so.forth,.possess.or.use.any.weapon ..Employees. who. violate. this. policy. will. be. subject. to. . disciplinary. actions,. up. to. and. including..employment.termination .

16. Recoursetothirdpartiesandagents

In.some.countries,.commercial.and.other.practices.require.the.use.of.agents.and.third.parties.to.represent.Solmax’s.interests ..Such.parties.must.be.carefully.selected,.as.inappropriate.conduct.may.harm.Solmax’s.reputation.and.expose.Solmax.and.some.employees.to.legal.or.other.sanctions ...

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As.a.result,.the.process.for.appointing.a.representative.must.include.the.following.steps:.

. The.representative’s.reputation.and.qualifications.must.undergo.an.in-depth.check .

. Solmax’s. policy. on. financial. incentives. must. be. explained. to. the. agent. or. third. party,. and... accepted.by.the.latter .. The.suggested.honoraria.must.be.reasonable.for.the.services.rendered.and.must.not.be.an..

. incentive.for.inappropriate.conduct ..Judgement.is.essential,.especially.in.places.whose.business..

. practices.are.very.different.from.ours ..Transactions.must.always.be.backed.by.the.appropriate..

. commercial.documents ... Proper.oversight.of.performance.according.to.accepted.criteria.must.be.instituted,.so.that.the..

. representative’s.code.of.ethics.and.trade.performance.always.match.Solmax’s.expectations .. Termination.procedures.must.be.drafted.that.enable.the.contract.to.be.terminated.rapidly.in..

. the.event.of.inappropriate.or.inefficient.performance ... The. President’s. approval. must. be. obtained. prior. to. finalizing. the. contract. with. the. agent..

. or.third.party ..

17. Respectofthebasicrightsofpeopleandworkers.

Solmax. is. equally. concerned. about. respect. for. basic. human. and. worker. rights. and. thereby..undertakes. to.not.knowingly.be.complicit. in.any. forced.displacement.of. individuals,.groups.or..communities ..Solmax.also.undertakes.not.to.choose.child.labour.as.defined.by.the.International.Labour.Organization ...

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Antitrust Policy.Solmax.requires.its.directors,.executives.and.employees.to.abide.by.the.laws,.rules.and.regulations,.and,.in.particular,.antitrust.legislation,.of.any.territory.in.which.Solmax.operates ..Special.emphasis.is.put.on.antitrust.legislation.due.to.its.complexity.and.the.serious.consequences.of.violating.it ...Solmax.has.drawn.up.an.Antitrust.Legislation.Compliance.Program. that. includes. the. following.items;.. The.policy.. Antitrust.legislation.compliance.guide.. Antitrust.legislation.awareness.sessions.. Antitrust.legislation.audits.. Document.conservation.program

All.directors,.executives.and.employees.are.required.(if.applicable).to.familiarize.themselves.with.the.Policy,.compliance.guide.and.document.conservation.program ..Some.directors.and.employees.must.also.attend.antitrust.legislation.education.sessions ..Of.course,.everyone.is.required.to.fully.collaborate.within.any.audit.pertaining.to.antitrust.legislation ...Anyone.who.knows.of.any.activity.with.antitrust. implications.or.who.participates. therein.must..immediately.notify.Solmax’s.Human.Resources.department ..Antitrustlegislationcomplianceguide

1. Introduction

Antitrust.laws.have.been.passed.to.ensure.that.the.goods.available.to.consumers.are.dictated.by.the.play.of.the.free.market’s.dynamic.forces ..The.primary.goals.of.antitrust.legislation.are:.

. To.prevent.the.existence.of.agreements.between.competitors.of.agreements.that.are.likely.to... harm.competition.. To.prevent.the.existence.of.agreements.between.clients.and.suppliers.of.agreements.that.are..

. likely.to.harm.competition.. To.prevent.mergers,.acquisitions.and.the.creation.of.joint.ventures.when.such.transactions.are..

. likely.to.harm.competition.. To.keep.an.organization.from.taking.specific.unilateral.measures.that.could.cause.harm.to.the..

. competition.

.2. Competitorrelations

In.the.course.of.your.duties,.you.will.inevitably.come.into.contact.with.competitors ..However,.you.must.strive.to.limit.such.contacts.as.much.as.possible ...More. specifically,. you.must.never.enter. into.an.agreement.or.discuss. the. following. issues.with..competitors:...

SOLMAX CODE OF ETHICS 201714

. Prices.

You.must.never.enter.into.an.agreement.with.a.competitor.on.prices.or.related.issues,.particularly.with.respect.to.discounts,.rebates,.credit.terms,.rebates.or.shipping.terms,.or.discuss.such.matters.with.a.competitor ..You.may.also.not.discuss.such.issues.as.costs,.output.levels,.inventory.levels.and.short-.and.long-term.plans ..

. Market.and.client.allocation.

Agreements.among.competitors.that.split.markets.up.by.client,.geographical.region.or.product.line.are.illegal ..

. Boycott.of.some.groups.Although,.in.general,.you.can.opt.to.sell.or.not.sell.to.anyone.you.choose,.it.is.not.possible,.without.risk,.to.enter.into.an.agreement.with.other.parties,.especially.competitors,.to.refuse.to.sell.to.one.or.more.parties ...

. Joint.operations.Joint.operations.with.competitors.create.a.dangerous.situation,.as.they.imply.an.agreement.with.a.competitor ..However,.it.is.possible.to.engage.in.some.joint.activities,.such.as.research.activities,.for.example,.without.such.activities.being.deemed.illegal.or.considered.to.hinder.competition ..

. Other.arrangements.Other. arrangements. with. competitors. that. can. result. in. eliminating. a. competitor,. creating. a..monopoly.or.limiting.competition,.such.as.bid.rigging,.are.or.may.be.judged.illegal.and.must.be.avoided.or.at.least.submitted.for.a.legal.opinion.before.a.decision.is.made ..

. Trade.association.A. trade. association. is. an. arrangement. between. competitors .. It. must. be. treated. as. presenting..potential.for.breach.of.antitrust.legislation ..Joining.and.participating.in.any.trade.association.must.be.carefully.considered.to.ensure.that.its.benefits.substantially.outweigh.the.potential.for.problems.under.antitrust.legislation ..Trade.association.activities.must.also.be.periodically.scrutinized.by.the.President,.to.ensure.that.antitrust.legislation.is.being.followed ..Note.that.a.trade.association.is.not.above.the.law ..Any.activity.that.infringes.on.antitrust.legislation.will.be.treated.as.such,.even.if.it.is.performed.through.a.trade.association ..If.you.participate.in.trade.association.meetings,.watch.out.for.potential.situations.that.could. imply. infringement.of.antitrust. legislation.and.avoid.such..situations.at.all.times ..As.soon.as.you.feel.uneasy,.excuse.yourself.and.ask.to.have.your.departure.noted.in.the.minutes ..

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3. Relationswithclientsanddistributors

Most.questions.raised.about.antitrust.legislation.deal.with.relations.with.clients.and.distributors,.which.create.the.greatest.uncertainty.regarding.what.is.permitted.and.prohibited ..In.general,.you.must.carry.out.your.tasks.in.a.way.that.is.fair.to.all.clients,.regardless.of.size ..

. Resale.price.maintenance.Any.agreement,.including.an.agreement.instituted.by.coercion,.regarding.the.price.at.which.your.client.can.resell.products.bought.from.you.is.illegal ..In.Canada.it.is.also.illegal.to.try.to.get.a.client.to.raise.its.prices.or.refuse.to.sell.to.a.client.due.to.its.low.price.policy ..

. Price.discrimination.In.general,.it.is.dangerous.to.discriminate.with.respect.to.price.for.the.sale,.at.reasonably.similar..dates,. of. merchandise. of. like. quality. and. quantity. to. competing. clients. who. are. at. the. same..distribution.level ..Moreover,.any.means.such.as.better.credit.terms.and.rebates.on.advertising.and.promotion.which.results.in.giving.one.customer.a.better.price.than.another.can.be.construed.as.discriminatory.and.illegal ..

There.are.a.number.of.defences.against.an.accusation.of.price.discrimination ..In.the.United.States,.the.main.defences.are.the.need.for.a.“level.playing.field”.and.“cost.justification” ..When.you.give.a.lower.price.to.one.client.in.order.to.match.competitors,.you.must.document.the.transaction.so.as.to.counter.any.later.complaint.regarding.price.discrimination ..The.“cost.justification”.defence.allows.some.cost.savings.achieved.because.of.the.client’s.order.to.be.passed.along.to.the.client ..“Cost.justification”.is.difficult.to.prove,.which.is.why.this.defence.is.not.often.used ..Another.defence.is.“changing.circumstances”,.which.can.justify.setting.another.price.due.to.obsolescence,.termination.of.the.activity,.or.perishable.nature.of.the.goods ..

In.Canada,.the.“level.playing.field”.and.“changing.circumstances”.defences.can.also.be.used.to.counter.a.price.discrimination.accusation,.as.long.as.such.practices.do.not.become.habitual ..There.is,. however,. an. important. difference. between. American. and. Canadian. jurisprudence. in. that,. in..Canada,.quantity.discounts.are.allowed.without.having.to.prove.cost.savings ..

. Exclusive.distribution.agreements.Many.companies.use.exclusive.distribution.agreements.as.a.way.to.distribute.their.products;.this.practice.is.generally.acceptable ..In.some.cases,.however,.an.exclusive.distribution.agreement.may.be.deemed.illegal,.for.instance,.if.there.are.no.substitute.products ..Please.talk.with.the.Solmax’s.Human.Resources.department.before.entering.into.an.exclusive.distribution.agreement ...

SOLMAX CODE OF ETHICS 201716

. Restrictions.on.territory.and.clientele.In.general,.it.is.not.recommended.to.put.restrictions.on.clients.as.to.where.and.to.whom.they.can.resell.products.purchased.from.Solmax ..There.may.be.situations.and.circumstances.in.which.such.restrictions.could.be.desirable.and.lawful ..

. Reciprocal.dealing/Tied.selling.Reciprocal.dealing.is.similar.to.tied.selling.in.that.the.purchase.or.sale.of.the.desired.product.is..conditional. on. something. else .. In. this. case,. there. must. be. a. reciprocal. purchase. or. sale .. One..example.is.when.a.purchaser.will.only.buy.a.product.from.a.supplier.if.the.supplier.also.buys.a..product.from.the.purchaser ..This.type.of.transaction.is.prohibited.where.it.is.done.coercively .

. False.and.misleading.representations.and.deceptive.marketing.practices. When.advertising.is.sent.to.clients,.the.following.points.shall.apply:. -. Ensure.clear.and.complete.disclosure.of.all.material.information.of.an.advertisement;. -. Make.sure.to.use.clear.and.comprehensible.and.words.and.expressions;. -. Be. aware. that. the. provisions. on. false. and. misleading. representations. and. deceptive... . marketing.practices.apply.regardless.of.whether.the.representations.target.an.audience.in... . Canada.or.abroad.and.even.if.they.are.not.disseminated.in.a.public.place;. -. Ensure.that.the.general.impression.and.the.literal.meaning.of.representations.are.not.false... . misleading.on.a.material.point .

4. Monopolization

If.Solmax.has.a.substantial.market.share.in.a.market.for.a.given.product.or.relevant.geographic..market. (monopoly. power),. its. price. practices. or. practices. dealing. with. clients,. suppliers. and..competitors.can.be.construed.as.an.attempt.at.monopolization.and.lessening.the.competition ..

A.Company.can.be.accused.of.monopoly.power.with.a.market.share.as.low.as.35%.if.no.other..company.in.the.industry.holds.a.market.share.over.10-15% ..It.can.be.said.that.a.monopoly.power.exists.if.the.market.under.study.is.not.debatable.or.if.significant.barriers.exist.at.the.entry ..If.Solmax.is. in. position. to. exercise. monopoly. power,. its. decisions. and. market. practices. must. be. closely..scrutinized.to.avoid.accusations.of.monopolization ....5. PenaltiesandRecoursesUndertheAntitrustPolicy

A.breach.of.the.Antitrust.Policy,.whether.civil.or.criminal,.may.result.in.serious.legal.consequences.for.our.company ..Indeed,.it.may:. -. Expose. the. company. to. heavy. criminal. fines,. administrative. monetary. penalties. of. a. civil... . nature,.restitution,.prohibition.orders.and.recovery.of.damages.for.civil.parties ... -. Expose. the. employees. convicted. of. offences. to. fines. and. terms. of. imprisonment,. or... administrative.monetary.penalties.of.a.civil.nature ..

Solmax.and.its.employees.absolutely.must.show.diligence.in.the.observance.of.the.antitrust.laws .

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Conflict of Interest PolicyAuthenticity,.work.and.engagement.are.among.Solmax’s.key.values ..These.values.assume.that.each.employee.acts.in.Solmax’s.best.interests.and.refrains.from.any.conduct.or.activity.that.is.or.could.be.prejudicial.to.Solmax.well-being,.or.could.be.perceived.as.such ..

A.conflict.of.interest.arises.when.an.employee’s.personal.activity.or.financial.affairs.are.or.appear.to.be.incompatible.with.the.employee’s.responsibility.to.act.in.Solmax’s.best.interest.and/or.when.the.employee.puts.himself. in.a. situation. in.which.he.becomes. liable. to.someone. for.a. service ...Decisions.made.by.employees. in. carrying.out. their.duties.must.not.be. influenced.by.personal..interests.that.are.or.appear.to.be.incompatible.with.Solmax’s.interests ..It. is.therefore.important.to.never.put.ourselves.in.a.conflict.of.interest.or.potential.conflict.of.interest.situation.so.that.we.never. lose.our. impartiality.or. impair.our. judgement ..The.principle.of. integrity.must.always.take..precedence.in.all.our.business.dealings ..

A.conflict.of.interest.can.occur.every.time.we.deal.with.someone:

. Supplier.of.a.product.or.service./.buyer

. Client./.representative

. Director./.officer

. Employee./.employee

Here.are.just.a.few.examples.of.conflict.of.interest.situations:.

. Borrowing.money.from.a.supplier,.client.or.competitor.

. Receiving./.giving.a.gift.of.such.value.that.the.recipient.cannot.reciprocate

. Having.dealings.with.a.supplier,.client.or.competitor.outside.of.the.normal.course.of.business.

. Supplying.goods.and.services.to.Solmax.through.a.company.controlled.by.the.employee.or... member.of.his.immediate.family.. Spending.time.during.work.hours.on.activities.that.are.not.directly.related.to.one’s.duties.or..

. required.to.carry.out.one’s.duties,.for.people,.associations.or.other.businesses,.with.or.without..

. compensation,.and.which.deprive.Solmax.of.the.employee’s.services ..Exceptions.can.be.made..

. on.an.extraordinary.and.case.by.case.basis,.with.the.express.approval.of.the.immediate.super.

. visor ... With.respect.to.employees.and. immediate.family.members,.accepting.gifts.or.favours.from..

. anyone. whom. Solmax. deals. with,. or. being. associated. with. giving. gifts. or. favours. to. such..

. persons .. However,. standard,. ethical,. widely. accepted. trade. practices,. such. as. meals. and..

. business.events,.are.not.prohibited. Downplaying./.hiding.a.quality.issue. Granting.a.price.or.any.other.preferential.term.that.is.not.justifiable

SOLMAX CODE OF ETHICS 201718

Boardmember

Solmax.acknowledges.that.an.employee.may.be.asked.to.serve.as.a.board.member.for.a.company,.trade,.professional.or.specialized.association ..

Solmax.agrees.in.principle.that.an.employee.may.be.appointed.to.the.board.of.an.organization.as.long.as.such.appointment.creates.no.conflict.and.does.not.injure.Solmax’s.interests,.and.that.such.activities.do.not.unduly.encroach.on.the.time.an.employee.must.spend.on.his.work.for.Solmax ..Before.accepting.such.a.post,.the.employee.must.obtain.the.approval.of.the.President ...

Travel,entertainmentandgifts

During. travel. and. entertainment. events,. employees. must. apply. Solmax’s. ethics. guidelines. and..policy ...Security.standards.must.be.respected.at.all.times ..

Any.personal.travel.that.is.associated.with.a.business.trip.must.be.approved.before.making.the.reservations ...Accompaniment.by.spouses.at.Solmax’s.expense.is.only.authorized.under.certain.circumstances.and.must.first.be.approved.by.the.President ..

Employees.may.have.to.entertain.clients.and.business.partners,.etc ..Valid.entertainment.expenses.include. restaurant.and.entertainment.expenses. that.are. reasonable.under. the.circumstances. in.which.a.business.discussion.occurs.immediately.before,.during.or.immediately.after.the.event ..This.activity.is.dependent.on.the.existence.of.a.business.relationship.which.must.benefit.Solmax ..

When. several. employees. attend. a. business. dinner. or. recreational. event. that. is. eligible. for. a..reimbursement,.the.most.senior.person.must.pay.the.expenses.and.receive.the.reimbursement ..

Employees. must. be. highly. prudent. with. respect. to. business. gifts,. whether. giving. or. receiving.them ...This.applies.to.direct.payments.and.payments.in.kind,.including.the.provision.of.goods.and..services,.personal.favours.and.leisure.activities.(meals,.travel,.etc .) ...The.rule.of.reciprocity.applies,.i .e .,.the.recipient.must.be.able.to.match.the.value.of.the.gift.and.be.able.to.reciprocate ...Moreover,..company. policy. is. to. give. gifts. received. to. all. employees .. Employees. who. receive. gifts. from..suppliers.or.clients.must.give.them.to.the.company,.which.will.hold.a.draw.among.all.employees ....This. includes,. inter.alia,. tickets. to.sporting.events.and.shows ..However,. this.excludes.any. joint..business.activity,.i .e .,.in.which.clients./.suppliers.participate.with.the.Solmax.employee .

Gifts. of. moderate. value. may. be. accepted. or. given. if. this. practice. is. legal. and. consistent. with..local.business.practice.(i .e .,.when.an.exchange.of.gifts.is.customary.and.the.gifts.are.suitable.to.the..occasion) ..However,.employees.must.not.offer.or.accept.any.gifts.whatsoever.under.circumstances.which.could.reasonably.be.construed.as.being.likely.to.unduly.influence.the.recipient.or.create.a.business.obligation.toward.him ..

2017 SOLMAXCODEOFETHICS 19

Employees.must.show.particular.care.with.respect. to.offers.of.any.value.whatsoever,. including..receptions,.recreational.activities.and.gifts.where.these.offers.can.have.a.direct.or.indirect.influence.on.the.outcome.of.a.decision ..It.is.important.not.to.put.yourself.in.a.conflict.of.interest.or.potential.conflict.of. interest.situation.so.as.to.never. lose.your. impartiality.or. impair.your. judgement ..The..rinciple.of.integrity.must.always.take.precedence.in.all.our.business.dealings ..

Pecuniaryincentives

Solmax.condemns.payments.in.kind.(gifts,.favours,.etc .).that.are.intended.to.influence.people.so.that.they.grant.contracts.to.Solmax.or.render.a.decision.in.Solmax’s.favour ..

Regardless.of.the.circumstances,.Solmax.never.approves.a.payment.in.kind.or.irregular.payment.that.is.designed.to.win.a.contract.or.influence.a.decision.in.Solmax’s.favour ...Bribes,.clandestine.commissions.and.similar.payments.are.strictly.prohibited ..They.may.also.expose.Solmax.and.the.employees. involved. to. legal. proceedings. and. serious. penalties. depending. on. the. law. of. other..countries.and.of.the.country.involved ..

It.is.illegal.to.corrupt.civil.servants ...New.agreements.and.legislation.have.been.instituted.in.the.context.of.an.international.effort.to.eliminate.corruption.in.international.trade.and.guarantee.fair.and.open.competition ...This.legislation.allows.each.country.to.proceed.against.its.own.citizens.and.companies.for.corrupting.civil.servants.abroad ..

Moreover,.in.some.countries,.it.is.not.unusual.for.employees.to.be.asked.to.make.relatively.small.payments,.often.in.the.form.of.tips,.to.administration.employees.and.middle.managers ..Solmax’s.policy.is.opposed.to.such.payments.and.no.effort.must.be.spared.to.prevent.them ...Sometimes,.it.is.enough.to.grasp.what.is.behind.a.request.(for.example,.seeking.recognition.or.social.status).to.find.ways.to.handle.it.in.an.acceptable.manner ..Solmax.acknowledges.that.this.is.not.always.possible ...Judgement.is.required.as.to.the.line.of.conduct.to.take.under.such.circumstances,.particularly.in.countries.whose.business.practices.are.very.different.from.our.own ..Regardless,.transactions.must.always.be.backed.by.the.appropriate.commercial.documents ...Requests.for.information.on.this.policy.must.be.submitted.to.the.President ..

SOLMAX CODE OF ETHICS 201720

Compensation PolicyCompensation.is.one.of.the.means.Solmax.uses.to.retain.employees.and.attract.top.candidates.to.its.staff ..The.policy’s.prime.objective.is.to.create.a.feeling.of.recognition.and.fairness.for.current.and. future.employees ..The.policy.must.also.balance.meeting.employees’.demands.against. the..organization’s.capacity.to.pay ..

Solmax’s.competitive.position.is.increasingly.bound.to.its.ability.to.attract.and.retain.skilled.staff ..Among.other.things,.global.compensation.can.have.an.influence.on.attracting.and.retaining.staff,.work.performance,.organizational.flexibility.and.skill.development .

Here,. Solmax’s. compensation. policy. is. designed. to. provide. global. compensation. (base. salary,..benefits,.variable.pay).that.will.secure.superior.corporate.performance ..As.an.international.firm,.Solmax.will.adapt.this.goal.to.the.needs.of.each.market.in.which.it.operates ..

Periodically,.Solmax.will.carry.out.specific.surveys.to.ensure.external.fairness ..It.also.belongs.to.a.number.of.committees.of.representatives.from.its.industry.and.other.manufacturing.sectors;.these.committees.discuss.compensation.policies,.trends.and.practices ..

Solmax.also.places.great.importance.on.team.performance,.which.is.just.as.important.as.individual.performance ..In.its.compensation.policy,.Solmax.will.ensure.it.has.the.compensation.tools.it.needs.to. link. corporate. performance. closely. with. each. employee’s. compensation .. Such. tools. engage..employees. in. the. company’s. success,. encouraging. employees. to. work. together. to. achieve..organizational.goals ..

.

2017 SOLMAXCODEOFETHICS 21

Community Investment PolicyObjectives

. Solmax.will.primarily.encourage.activities.that.involve:. •. The.environment. •. Youth. •. Education. Solmax.will.initially.invest.in.small.projects.that.help.build.its.corporate.image ... Solmax.is.impartial.with.respect.to.political.parties,.pressure.groups.and.lobby.groups ... Solmax.wish.to.invest.the.equivalent.of.about.1,0%.of.its.net.earnings.in.community.activities ..

Theenvironment:asustainedcommitment

Solmax.draws.a.substantial.part.of.its.income.from.activities.relating.to.the.environment.sector ..

As.a.result,.Solmax.plays.close.attention.to.initiatives.that.are.designed.to:.

. Educate.school.age.children.about.the.importance.of.the.environment.

. Promote.the.importance.of.recycling.and.all.other.environmental.activities.to.the.general.public.

Ourreviewprocess

All.requests.must.be.authorized.by.the.President .

Whocansubmitarequest?

Solmax.will.consider.requests.from.organizations.that.match.the.firm’s.goals.and.fall.within.the.scope.of.the.main.groups.of.people.identified ..

Solmaxdoesnotprovidefinancialassistanceto:

. Endowment.funds.

. Individuals.

. Political.and/or.religious.organizations.

. Pressure.or.lobby.groups.

.

SOLMAX CODE OF ETHICS 201722

Information Technology and Internet PolicyThis.policy.aims.to.establish.guidelines.to.govern.the.appropriate.use.of.information.technology.systems.and.the.Internet.by.all.Solmax.employees,.including.part-time.and.temporary.workers ..

Informationtechnology

Information. technology. includes,.but. is.not. limited. to,. computers,.digital.networks,.peripherals,.operating.systems,.email,. intranets,.software,.cell.phones.and.all.combinations.of.the.foregoing.that.Solmax.has.set.up.to.meet.its.goals,.i .e ..to.supply.quality.products.and.services.to.its.clients,.increase.shareholder.value.and.promote.a.fulfilling.work.environment ..

To.protect.the.integrity.of.its.information.technology.systems.from.accidents,.failures.and.improp-er.use,.Solmax.reserves.the.right.to.limit.or.terminate.user.access.and.to.inspect,.copy,.delete.or..otherwise.all.system.data,.file.and.resources ..

These.guidelines.are.intended.to.supplement.rather.than.replace.all.existing.regulations,.legislation,.agreements.and.contracts.that.currently.apply.to.such.resources ..

. Ownership.of.messages.. Solmax’s.electronic.systems.and.all.information.stored.therein.are.the.property.of.Solmax.and... are.supplied.at.its.expense ..All.information.or.messages.created,.sent,.received,.stored.on.or... that.can.be.accessed.via.its.electronic.systems.are.an.integral.part.of.the.company’s.records ... No.confidentiality.guarantee

.

. Employees.must.assume. that.any.communication—personal.or.otherwise—that. they.create,..

. send,.receive.or.store.in.Solmax’s.electronic.systems.can.be.read.or.heard.by.someone.other..

. than. the. recipient .. In. particular,. employees. must. not. transmit. confidential. or. strategic..

. information.via.external.mail.or.the.Internet ..

. Restriction.on.message.content.. In.all.communications.using.Solmax’s.electronic.systems,.employees.must.always:

. -. Uphold.Solmax’s.reputation;

. -. Use.the.Internet.as.a.tool.to.continuously.improve.efficiency.and.performance;

. -. Provide.and.maintain.a.high.level.of.professionalism;

. -. Ensure.that.use.of.the.Internet.can.hold.up.to.public.scrutiny.or.public.disclosure;

. -. Make.sure.not.to.transmit.content.that.may.be.offensive.or.unseemly.with.respect.to.religion,..

. . gender,.sexual.orientation,.disability.or.other;.

. -. In. addition,. in. accordance. with. Solmax’s. Code. of. Ethics,. make. sure. not. to. make. any..

. . comments.that.could.be.viewed.as.harassment .

2017 SOLMAXCODEOFETHICS 23

. Composing.messages.. Employees.must.take.great.care.in.composing.their.email.messages ..Just.as.a.physical.record,.

caution. is.required.when.creating.a.computerized.file,.as. it.could.potentially.harm.Solmax’s.reputation.and.be.used.as.evidence.in.court.proceedings.against.Solmax ..In.general,.users.must.remember.that.accessing.the.Internet.via.Solmax’s.gateway.may.have.legal.implications.and.consequences .

.

. To. optimize. and. reduce. the. number. of. communications. on. Solmax’s. internal. network,. it. is..recommended.that.messages.be.carefully.reviewed.before.they.are.sent,.especially.if.there.are.multiple.recipients .

.

. .Furthermore,.personal.messages.sent.and.received.outside.the.workplace.must.not.give.the.impression.that.they.represent,.provide.opinions.or.contain.statements.on.behalf.of.Solmax,.unless.users.are.authorized.to.do.so .

. Social.media

. With. the. arrival. of. social. media. (Facebook,. Twitter. and. LinkedIn,. to. name. but. a. few),. the...Internet.went.from.being.a.research.tool.to.an.interactive.tool.providing.users.with.a.voice.on.the.web ..

. Although.personal. freedom.prevails. for.all.employees.outside.work.hours,.activities. for.and.outside.of.work.that.affect.performance.at.work,.other.people’s.performance.or.the.company’s.business.interests.must.be.regulated ..

. Solmax.provides.free.access.to.certain.social.media.on.company.computers ..However,.Solmax...expects.that.they.essentially.be.used.for.business.purposes.and.with.good.judgment .

. Also,.although.communications.via.social.media.may.be.considered.personal.business.outside.the.office.and.outside.work.hours,.employees.should.not.forget.that.these.conversations.are.never.truly.private.and.that.they.may.be.seen.and.read.by.many.Internet.users ..All.employees.are.responsible.for.what.they.post.on.social.media ..Consequently,.when.using.social.media,.the.principles.of.confidentiality.and.loyalty.to.the.company.and.its.employees.continue.to.prevail.at.all.times ..When.using.such.media,.it.is.important.to.ensure.the.veracity.of.the.information.transmitted,.always.be.respectful.of.other.users.and.the.company’s.interests.and.refrain.from.making.comments.regarding.clients,.suppliers.and.rival.companies .

. Accordingly,.if.you.use.various.social.media,.make.sure.that.you.remain.proper.and.honest.and.use.good.judgment ..

SOLMAX CODE OF ETHICS 201724

. Prohibited.activities

. Employees. may. not,. without. authorization,. use. someone. else’s. user. code. or. password. or..disclose.a.code.or.password,.including.their.own ..Employees.may.not,.without.authorization,.allow.a.third.party.to.access.or.use.Solmax’s.electronic.systems.or.otherwise.compromise.the.security. of. its. electronic. systems .. In. this. regard,. deactivating,. destroying. or. bypassing. any..security.measure.without.authorization.from.the.IT.department.is.forbidden .

.

. It.is.Solmax’s.policy.to.provide.employees.with.software.under.a.user.agreement.or.licence ..Employees.may.not.request.or.make.illegal.copies.of.any.software ..Software.purchases.and.transfers.must.be.coordinated.with.the.IT.department .

.

. Users. must. report. any. attempt. at. unauthorized. access. or. inappropriate. use. of. Solmax..omputers,. networks. and. other. information. processing. equipment .. To. reduce. the. risk. of..intrusion,.employees.who.want.to.connect.to.an.online.network.other.than.Solmax’s.must.do.so.via.a.password-protected.secure.network .

.

. Solmax.forbids.its.computer.users.to.visit.inappropriate.websites.such.as.pornography.or.sites.with.racist.content ..

.

. Solmax.employees.may.not.chat.on.Solmax’s.systems.in.the.normal.course.of.their.work ..

.. Viruses.and.illicit.modifications

.

. All.files.downloaded.from.the.Internet.and.all.external.storage.media.(external.hard.drive,.USB.key,.etc .).not.provided.by.Solmax.must.be.scanned.using.antivirus.software.prior.to.installation ...Employees. must. report. any. virus,. illicit. modification. or. other. infraction. immediately. to. the..network.administrator ..

. .. Oversight.rights

.

. Solmax.reserves.the.right.to.monitor,.access,.recover,.read.and.disclose.to.any.official.authority..or. other. third. party. all. messages. created,. sent,. received. or. stored. on. Solmax’s. electronic..systems.without.notice.to.the.senders.or.recipients.of.these.messages ..

.

. Authorized. personnel. may. monitor. electronic. communications. to. and. from. employees. to..detect.any.legal.infractions,.breaches.of.confidentiality.or.security,.communications.contrary..to.Solmax’s.interests.and.violations.of.these.and.other.company.rules .

.

. Solmax.may.also.monitor.websites.accessed.by.employees.to.help.enforce.this.policy .

. By.using.the.computer.equipment,.users.waive.the.possibility.of.invoking.the.right.to.privacy.with.respect.to.the.use.or.monitoring.by.Solmax.of.its.equipment .

. The. use. of. passwords. and/or. access. codes. does. not. guarantee. the. confidentiality. of..information.or.protect.users’.privacy,.and.in.no.way.limits.Solmax’s..right.of.oversight .

2017 SOLMAXCODEOFETHICS 25

. Breach.. Any.breach.of.these.rules,. including.breach.of.the.rules.on.confidentiality.and.security,.may.

result.in.suspension.of.the.email.privileges,.disciplinary.measures.and.even.dismissal.for.em-ployees.at.fault ..Solmax.reserves.the.right.to.hold.employees.personally.liable.for.any.breach.of.the.rules.contained.herein .

.. Administration.

. The.Vice-President,.Finance,.is.responsible.for.implementing.this.policy ..

.

.

SOLMAX CODE OF ETHICS 201726

Environment PolicySolmax. runs. its. commercial. operations. in. an.environmentally. responsible.manner ..We. strive. to..continuously.improve.our.environmental.performance.by.applying,.monitoring.and.updating.our.environmental.objectives ..

Solmaxiscommittedto:

. Running.its.operations.in.a.manner.that.complies.with.legislation.while.focusing.on.preventing... and.reducing.adverse.impacts.on.the.environment.. Pinpointing,.assessing.and.limiting.potential.environmental.risks.and.implementing.appropriate..

. mitigation.measures.. Promoting.and.fostering.employee.and.management.awareness,.engagement.and.accountability..

. in.the.area.of.protecting.the.environment.. Carrying.out.audits.to.confirm.that.its.management.practices.abide.by.the.objectives.of.this..

. policy,. laws. and. regulations,. and. the. principles. of. sound. management. with. respect. to. the..

. environment,.and.reporting.to.the.Board.at.such.frequencies.as.it.requests.on.the.environmental..

. status.of.its.operations.

The.President.reports.to.the.Board.on.this.policy’s.application ..

2017 SOLMAXCODEOFETHICS 27

Occupational Health and Safety PolicyOccupational. health. and. safety. is. a. key. priority. for. Solmax .. As. such,. it. strives. to. provide. its..employees.and.any.other.employees.of.outside.firms.working.in.our.installations.with.safe.working.conditions,.equipment.and.environment,.and.encourages.and.empowers.employees.to.participate.in.preventing.and.eliminating.workplace.accidents.and.occupational.diseases ..

Workplace. health. and. safety,. product. quality. and. efficient. production. cannot. be. dissociated ...Solmax.believes.that.management.and.employees.must.work.closely.together.in.implementing.this.policy,.which.contributes.to.employees’.health.and.safety.and.to.the.organization’s.success ..

Solmaxiscommittedto:

. Making.employee.health.and.safety.a.priority.that.is.included.in.every.aspect.of.management.

. Establishing,.communicating.and,.with. the.participation.of.employees,.ensuring.compliance... with.safe.work.rules.and.methods.that.are.appropriate.to.the.workplace.. Promoting.and.increasing.employees’.knowledge,.participation.and.accountability.. Measuring.its.health.and.safety.performance.against.established.standards.and.communicating..

. the.outcome.to.employees.. Carrying.out.regular.health.and.safety.audits.to.confirm.that.its.management.practices.abide..

. by.this.policy’s.objectives,.legislation,.and.the.principles.of.sound.management.. Maintaining.a.SST.committee.in.each.of.its.operations .

The.President.reports.to.the.Board.on.this.policy’s.application ...

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SOLMAXCODE OF ETHICS

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