The military coup in Myanmar on February 1, 2021 is a cause of deep concern to us. The military is risking the country's democratic and economic reforms, which only began in 2011 and have since helped Myanmar overcome its international isolation.

We urge the full and immediate restoration of democratic rights and institutions. This crisis must not be used to halt or reverse the progress that Myanmar's citizens have been working to achieve for the past 10 years. Responsible business requires an environment where human rights are respected.

Against the backdrop of growing civil protests, we called on our suppliers in Myanmar on February 3^rd to implement the following:

• full wage payment for all workers,
• respect of their basic, human and labor rights as well as their right to freedom of association and strike,
• avoid layoffs during the crisis period.

To ease the burden on suppliers, producers and workers during this uncertain time, we have, amongst other measures, extended our delivery times.

As part of our membership in ACT on Living Wages, we joined 10 companies and IndustriALL Global Union on February 19 to take a stand on the developments in Myanmar.

Our business relationship with suppliers in Myanmar began in 2015. We have been very sensitive of the specific involvement of the military and the vulnerability of fundamental rights in Myanmar. We therefore have supported our purchasing with multiple human rights due diligence measures.

All the producers from which we source in the country are investigated for possible ties to the military before starting business. In case of connections, the producer is blacklisted for sourcing. Since 2017, we have been implementing a social dialogue project with the (GIZ) and the largest trade union in the national textile industry, the Industrial Workers Federation Myanmar (IWFM), in which our producers had to participate as a requirement for sourcing. Because trade union rights are under particular pressure in Myanmar, we are working intensively with ACT on Living Wages and its member brands, IndustriALL Global Union, IWFM and local employers. As a result, the Myanmar Guideline on Freedom of Association and an attached grievance and dispute resolution mechanism were launched in 2020. They are mandatory for all producers of ACT member brands.

Tchibo is closely monitoring the development of events in Myanmar and will take appropriate decisions in line with the principles of human rights due diligence and the German National Action Plan on Business and Human Rights.