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The Global Compact

"Schneider Electric has endorsed a certain number of principles developed by world organizations :Henri Lachmann has confirmed to the UN General Secretary that Schneider Electric gave its unconditional support to the world contract (GlobalCompact) and adopted the 9 universal principles on human rights, working and environmental standards with the spirit of a responsible and lasting development".

In agreement with the contents of the "Global Compact" program that Schneider joined and with the "Executive Commitee"'s wish that all the suppliers who begin to work with us from now on, meet the indispensable requirement to also join this program, to be part of our base of suppliers, it will be applied to the ones we plan to develop a significant business volume with (equal or toa 60 k€ / year), putting special emphasis on the LCC (Low Cost Country) suppliers.

To join Global Compact impliesthe company's formal commitment to fulfill the nine principles defined by Kofi Annan, UN general secretary, regarding human, labor rights and protection of the environment within business practice.

Global Compact nine principles

Global Compact nine principles in the areas of human rights, work and environment have a universal consent derived from:

The Universal Bill of Human Rights
TheDeclaration of Fundamental Principles and Rights in Work of the Work World Organization
The Declaration of Río on Environment and Development

The nine principles are:

Human rights

Principle 1: Companies must support and respect the internationally proclaimed protection of human rights that are in its area of influence.
Principle 2: Make sure they are not accomplice to human right abuse.

Working conditions

Principle 3: Companies must guarantee freedom of association and the effective recognition of the right to collective negotiation
Principle 4: Elimination of any type of forced and obligatory work
Principle 5:Effective abolition of children's work
Principle 6: Eliminate discrimination in employment and occupation.

Environment

Principle 7: Companies mus support a preventive approach to environmental problems
Principle 8: Take initiatives to boost a greater environmental responsibility
Principle 9: Encourage the development and spreading of technologies that respect environment

(For more information on Global Compact : www.unglobalcompact.org)

Next is attached theletter that potential suppliers should sign before beginning their relation with Schneider;this letter is addressed directly to Kofi Annan. Suppliers will have to sign it and give it to Schneider through the operational purchasor so that Schneider send it to the UN (the signed letter must be in the English version).