Pursuant to the United Kingdom Modern Slavery Act 2015 and Section 3 of the California Transparency in Supply Chains Act of 2010 (collectively, the “Acts”), Monster Beverage Corporation (the “Company” or “we”) is disclosing, on behalf of itself and its applicable subsidiaries, certain efforts taken during our last completed financial year to ensure that slavery and human trafficking do not occur in our supply chain for the products that we sell or in any part of our business. The Company is a holding company and conducts no operating business except through its consolidated subsidiaries, which market and distribute energy drinks throughout the United States, United Kingdom and a growing number of international markets. Due to the nature of our business and because we work closely with our suppliers, we believe that our products and suppliers present minimal risk of slavery and human trafficking in our supply chain and in any part of our business.
Our Code of Business Conduct and Ethics (the “Code”) requires our employees, officers and directors to lawfully conduct our business with integrity. The standards of conduct under the Code include equal employment opportunity, providing a safe and healthy work environment, equitable treatment of employees and compliance with laws, rules and regulations applicable to the Company. We interpret these standards broadly and require ethical behavior and compliance with the Code to ensure that slavery and human trafficking do not exist in our supply chain or in any part of our business.
We distribute the Code to each of our employees, officers and directors, and make it available on our corporate website. Employees are required to promptly report any perceived violations of law or the Code, and can anonymously report any such violation of the Code or concerns of possible ethics and compliance violations through our compliance hotline at (800) 506-4310. Any employee who is found to have violated the Code is subject to disciplinary action, including termination of employment. Due to the minimal risk of slavery and human trafficking in our supply chain, we do not require our employees to undergo specialized training applicable to slavery and human trafficking.
We expect our suppliers to comply with all legal requirements of the country or countries in which they are doing business regarding slavery and human trafficking. We survey our suppliers to address any risks of slavery and human trafficking throughout our supply chain and to evaluate the risk profiles of individual suppliers. As part of our survey, we request that each supplier certifies that the materials incorporated into products provided to us comply with applicable slavery and human trafficking laws. We do not conduct independent, unannounced supplier compliance audits because of the minimal risk of slavery and human trafficking in our supply chain.
This statement is made pursuant to Section 54(1) of the United Kingdom Modern Slavery Act 2015 and Section 3 of the California Transparency in Supply Chains Act of 2010, and constitutes the Company’s slavery and human trafficking statement for the 2016 financial year.
Hilton H. Schlosberg
Vice Chairman of the Board of Directors,
President, Chief Operating Officer,
Chief Financial Officer and Secretary