C banner International : 2016 Environmental, Social and Governance Report

1. BANNER
2. banner International Holdings Limited 千百度國際控股有限公司

   Stock Code 股份代號 : 1028

   2016 Environmental, Social and Governance Report

   C.banner International Holdings Limited 1

   2016 Environmental, Social and Governance Report

   Environmental,

   Social and Governance Report for C.banner International Holdings Limited
3. ABOUT THE REPORT

PRINCIPLES OF REPORTING

The report is prepared in accordance with the Environmental, Social and Governance (ESG) Reporting Guide set out in Appendix 27 to the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the "Listing Rules").

REPORTING PERIOD

January 1-December 31, 2016.

REPORTING SCOPE

The report focuses on the activities carried out by C.banner International Holdings Limited and covers the relevant situations of its listed entities. For convenience of statement and reading, C.banner International Holdings Limited is referred to as "C.banner Group", "C.banner" or "the Group".

DATA SOURCES

The report authentically reflects the ESG activities carried out by the Group. The report adopts the information and data in the internal documents and statistics reports of the Group, and the summaries and statistics of affiliated companies.

DISCLOSURES

The Group believes that favorable environment, society and governance are essential to the company's businesses and the sustainable development of community. C.banner prepared this report in accordance with the ESG Reporting Guide set out in Appendix 27 to the Listing Rules. Key stakeholders including business units and the management participate in the materiality assessment and identification of significant ESG policies in relation to the Group which are included in this report, so as to ensure disclosures in the ESG report can both include the strategic priorities and reflect the concerns of key stakeholders.

2 C.banner International Holdings Limited

2016 Environmental, Social and Governance Report

The report covers key revenue sources of the Group: within the scope of footwear business and toy business sectors from January 1 to December 31, 2016 (reporting period, FY16) in relation to ESG. The data in this report is mainly collected from Mayflower Enterprise (Nanjing) Limited ("Nanjing Mayflower"), Dongguan Mayflower Footwear Corporation Limited ("Dongguan Mayflower"), Nanjing Soft Garment & Footwear Co., Ltd. ("Nanjing Soft"), Xuzhou C.banner Shoes Co., Ltd. ("Xuzhou C.banner") and Hamleys of London Limited. Based on the materiality principle, this report mainly covers the contents in the following guide:

ESG Guide Key disclosures in the report

A. Environmental
A1. Emissions	Emission, greenhouse gas emission and waste
A2. Use of resources	Use of energy, water resources, and packing materials
A3. The environment and natural resources	Energy saving and emission reduction, with a focus on eco-friendly approach
B. Social
B1. Employment	Human resources, compensation and benefit, and working environment
B2. Health and safety	Rules and regulations, technical measures, safety awareness
B3. Development and training	Employee training, career development
B4. Labour standards	Prevention of child and forced labour
B5. Supply chain management	Institutionalization, transparent management and multiple suppliers
B6. Product responsibility	Product design and quality, customer complaint, and privacy protection
B7. Anti-corruption	Anti-bribery and other unethical behaviors
B8. Community investment	Cooperation in charity activities and care for community

REPORTING LANGUAGE

English

ACCESS TO THE REPORT

The report can be downloaded from the website of the Group.

C.banner International Holdings Limited 3