TESCAN Code of Conduct for Business Partners

Introduction

At TESCAN, we are committed to upholding the highest standards of ethics and conduct across all our operations. This Code of Conduct outlines the fundamental principles that guide the actions of our business partners, including suppliers, contractors, and other entities in a business relationship with TESCAN Group of companies (“TESCAN”). We expect all our business partners to conduct themselves in a manner that reflects positively on TESCAN and to avoid any improper behavior.

Objectives of this Code of Conduct

The objective of our Code of Conduct is to inspire our business partners to act with integrity, honesty, and transparency in every situation. We aim to set the gold standard for behavior, ensuring all parties rise to the challenge of excellence. Our goal is to cultivate a thriving, vibrant culture that values respect and inclusivity, creating a safe and welcoming environment for everyone. We seek to protect our brand by embodying the values that make us stand out and by adhering to laws and regulations, minimizing risks along the way. Accountability is key, and our Code of Conduct ensures that we own our actions, building trust and credibility. Ultimately, it empowers us to make decisions that not only feel right but are right, guiding us to stay true to our principles in every scenario.

Conflicts of Interest

Business partners shall avoid any situation where personal, family, or friendly interests might influence their decisions related to conducting business. If a conflict of interest arises, they shall act immediately and strive for transparency. Transparency is required when personal, family, or friendly interests are involved with businesses that have a relationship with TESCAN or with any other businesses..

Fair Competition

We expect our business partners to compete fairly and honestly, avoiding unethical practices such as stealing proprietary information or inducing the disclosure of trade secrets. Business entertainment and gifts should foster goodwill and strong working relationships and not be used to gain an unfair advantage. Business partners must avoid agreements or practices that could improperly influence market conditions and refrain from acquiring confidential competitor information through illegal or unethical means.

Non-Corruption

TESCAN has a zero-tolerance policy towards corruption. Business partners must not offer, provide, or promise any gifts or favours intended to support illegal or unethical conduct. This prohibition extends to all business partners, especially public officials, including officers, politicians, judges, and other government or international institution employees.

Relations with Customers and Suppliers

Business partners must uphold the highest standards of personal and professional conduct in their interactions with customers and suppliers. They must thoroughly assess potential business partners to ensure their trustworthiness and ethical practices. Dealings with customers must prioritize their satisfaction over short-term profit, ensuring a fair and non-discriminatory approach. Business partners must comply with ethical business practices and reject any partners involved in illegal activities, including child or forced labour and conflict (blood) minerals.

Relationship with Employees

Business partners shall create a safe, satisfying, and dignified work environment. They should encourage employee training, innovation, and support for parents balancing work and family responsibilities. A well-functioning team must be fostered through mutual support and trust. Managers are expected to set clear, achievable targets and encourage responsibility. Business partners must uphold human rights, including the prohibition of child and forced labour, and respect workers’ rights to freely associate and collectively bargain. A safe and healthy workplace must be ensured, and employees who raise safety concerns should not fear retaliation.

Discrimination and Harassment

Business partners shall provide equal opportunities and not tolerate any form of discrimination or harassment based on race, colour, religion, national origin, gender, age, sexual orientation, disability, or any other protected status. They must respect human dignity and not tolerate violence, intimidation, or inappropriate behaviour in the workplace. Fair treatment of all employees and associates and equal opportunities for all persons without discrimination on grounds of race, ethnic origin, nationality, sex, sex life, sexual orientation, age, disability, trade union membership, religion, belief, philosophical beliefs, or worldview must be ensured. The presumption of innocence must also be honoured.

Fair Wages and Working Hours

Business partners shall ensure all their employees receive fair compensation for their work, respecting at all times the minimum wage required by law and providing all legally mandated benefits. Employment conditions, including working hours, overtime, vacation time, and leave periods, must comply with applicable laws and regulations. Legal limits on working hours must be adhered to, and workweeks must not exceed the maximum allowed by local laws.

Sustainability

TESCAN and its business partners are committed to protecting the environment and conserving natural resources. Efforts must focus on using resources efficiently, reducing environmental and social impacts, preventing pollution, and protecting natural, historical, cultural, and archaeological heritage. Business partners must comply with environmental protection regulations and actively work towards minimizing their environmental footprint through improved technologies.

Intellectual Property and Data Security

Business partners shall support innovation and the protection of intellectual property. They must respect and uphold property rights and ensure the security, integrity, and confidentiality of information, including business secrets. Unauthorized use of intellectual property or private information is prohibited. Business partners must avoid using unauthorized software or downloading unknown files that could compromise security or infringe on third-party intellectual property.

Personal Data Protection

Business partners shall respect privacy and ensure the protection of personal data. They must comply with all legal obligations regarding data protection. Personal data must be processed only for legitimate purposes and for the minimum time necessary. Sensitive data must be handled with care, and measures must be taken to protect individuals’ privacy.

Compliance

Business partners must address violations of this Code promptly and consistently. TESCAN encourages all business partners to promptly report any instances of unlawful or unethical behaviour, orders to engage in such conduct, or related suspicions. A culture of open and swift communication must be fostered, ensuring issues are identified and addressed in a timely manner. Reports related to TESCAN business can be submitted at https://tescanglobal.whistlelink.com/. Confidentiality of those who report is guaranteed , and each report will be thoroughly investigated. Employees or associates who make reports in good faith must not face any retaliation, punishment, or discrimination as a result of their actions.

Continuous Improvement and Monitoring

Our Code is part of an evolving process. Business partners must continuously improve their practices to meet and exceed these standards. This Code reflects TESCAN’s commitment to ethical conduct, sustainability, and legal compliance, contributing to its reputation as a responsible and trustworthy company. Violations of this Code of Conduct may result in termination of business relationships and could also lead to civil or criminal penalties if they breach applicable laws. Business partners must respect and comply with the laws, rules, and regulations of the cities, states, and countries where they operate.