The California Transparency in Supply Chains Act of 2010 requires companies to disclose efforts to eliminate slavery and human trafficking in supply chains. As a socially responsible company, Royalty Carpet Mills strives to comply with all applicable laws and all Royalty Carpet Mills’ employees are required to comply with all applicable laws, rules and regulations in the jurisdictions in which we conduct our business, including laws related to the prohibition of human trafficking and slave labor. We do not currently engage in the actions described in Section 3(c)(1)-(5) of the California Transparency in Supply Chains Act of 2010. We do expect to request material suppliers in our direct supply chain to certify that they comply with the laws regarding human trafficking and slavery. This statement is made in compliance with the California Transparency in Supply Chains Act of 2010 and is not directed, nor is it to be interpreted under any other law or regime.