II-VI offers a diverse portfolio of products which are manufactured with inputs provided by thousands of suppliers, all of which make up II-VI’s global supply chain. At II-VI, we strive to act in an environmentally and socially responsible manner, in compliance with all applicable laws and regulations, while meeting the needs of our customers and shareholders.
On August 22, 2012, the U.S. Securities and Exchange Commission (SEC) approved the final rule regarding the sourcing of “conflict minerals” (i.e. tantalum, tin, tungsten and gold) under Section 1502 of the Dodd-Frank Wall Street Reform and Consumer Protection Act. Under the rule, publicly traded companies, like II-VI, must report to the SEC the presence of conflict minerals originating in the Democratic Republic of the Congo (DRC) or adjoining countries in the products they manufacture or contract to manufacture if the conflict minerals are necessary to the functionality or production of their products. These reports must be filed with the SEC annually by May 31st, beginning in 2014.
II-VI is concerned that the trade of conflict minerals mined in the eastern provinces of the DRC may be fueling human rights atrocities in the region. These minerals are widely used in our products and the end markets served by II-VI. As a result, we support the actions of governments and organizations to increase supply chain transparency and enable companies to source conflict-free minerals.
II-VI is committed to sourcing materials from companies that share our values around human rights, ethics and environmental responsibility. We have initiated a comprehensive process to meet these regulatory requirements, taking steps to increase our supply chain due diligence measures and internal controls for the covered minerals. II-VI also expects its suppliers to develop internal conflict minerals policies, due diligence frameworks, and management systems which are designed to identify and ultimately eliminate from use in products sold to II-VI any conflict minerals which are known to come from sources funding armed groups in the DRC region.
II-VI fully expects our suppliers to cooperate with us and to provide information to support these efforts. Suppliers that do not reasonably comply with II-VI’s Conflict Minerals Policy will be reviewed by II-VI to assess whether we will conduct business with those suppliers in the future. We will disclose our progress in implementing this Conflict Minerals Policy through public reporting, including through our website and SEC filings.