ES OPCO Canada II Ltd
D.B.A. Veseris Canada
6375 Shawson Drive
Mississauga ON L5T 1S7
Phone: 866-572-8240
www.veseris.ca

Compliance Report Canada Supply Chain Act Bill S-211

ATTESTION

Company Legal Name: ES OPCO Canada II Ltd
Commercial Name: Veseris
Business Categorization: Corporation
Federal Business Number: 757 384 672
Business ID: BC1235680

Report Prepared by: Jon Froese
Title: Director - Canada
Date: May 31, 2024
Signature:

I have the authority to bind ES OPCO Canada II Ltd.

REPORT DISTRIBUTION PLAN

This report will be distributed as follows:

• To the company board of directors.
• To the CEO, CFO, CCO and VP of Supply Chain.
• To all employees in Canada supply chain related roles.
• Displayed on the companies Canadian website, www.veseris.ca.

COMPANY STRUCUTRE & LOCATIONS

The global company ownership structure can be found in “APPENDIX A – Company Ownership Structure” for reference. The Canadian business operates as its own legal entity, subsequently there are also legal entities for operations in the United States and Mexico. In Canada the company operates out of 3 physical locations in Mississauga, Calgary and Vancouver. Headquarters for the global business are in Austin Texas.

The employee numbers and structure in Canada are shown in “APPENDIX F – Employee Information”.

Our financial year for all data points in this report is January 1, 2023 to December 31, 2023. Our company reports financials on a calendar based year.

COMPANY ACTIVITIES & SUPPLY CHAINS

The company’s primary activity is wholesale and retail distribution of pest management products, and related services. Product primarily consist of chemical solutions for pest management (Insecticides, Herbicides, Rodenticides and Fungicides) and equipment for pest management (traps, sprayers and other devices to aid in pest management). Related services would include training and education, financing and logistical services. Company vision statement is “To be "The Preferred Choice" of customers, suppliers, and employees as we protect and enrich the environments where we live, work, and play.”

The company does not generally produce or manufacture it’s own products, with one exception in Canada where we 3rd party contract a company in Canada to blend and package product components for a unique market need. All other products sold by Veseris are sourced directly from our suppliers which are generally the products producer or manufacturer. A small % of products would be sourced from a “Master distributor or 3rd party sales company” who is not actually producing the finished goods. The overwhelming majority of our products are sourced in Canada and the United states, with a very small % from the Australia, European Union and China. For
a complete listing of our product suppliers, their % of our total product sales in $’s, and the sourcing location of each please refer to “APPENDIX B – Company Supplier Listing and Sourcing Locations”.

Veseris is the importer of record for the majority of goods sourced outside of Canada. We track country of origin of all imported goods through this process and pay all associated duties and tariff fees. For a listing of all countries of origin for imported goods please see “APPENDIX D – Imported Goods Country of Origin List”.

COMPANY POLICIES & DUE DILIGENCE PROCESSES IN RELATION TO FORCED / CHILD LABOUR

The company has an employee code of conduct and ethics policy which all employees must attest to either when starting with the company or on an ongoing basis as updates are made. With regards to forced / child labour, the code of conduct outlines our expectations which is shown as an excerpt in “APPENDIX C – Company Codes of Conduct”.

The company also maintains and distributes a supplier code of conduct policy. With regards to forced / child labour, the code of conduct outlines our expectations which is also shown as an excerpt in “APPENDIX C – Company Codes of Conduct”. The full supplier code of conduct can be found online here
https://veseris.ca/vs_ca_en/supplier.

FORCED / CHILD LABOUR RISK ASSESSMENT

Our organization can affirm that with regards to our own employees and workforce, that all employees are paid, at
least, the minimum wage of the jurisdictions / countries where they are employed. We can also affirm that we are
in compliance with the child labour, human trafficking, and slavery laws of the countries in which we operate.

Our organization can affirm that with regards to our own employees and workforce, that all employees are paid, at least, the minimum wage of the jurisdictions / countries where they are employed. We can also affirm that we are in compliance with the child labour, human trafficking, and slavery laws of the countries in which we operate.

Further down the supply chain is difficult to fully assess for Veseris. Products that Veseris sells, both chemical and equipment, can be made of many components which can be sourced from different parties around the world. Some of our suppliers also use 3rd party companies to manufacture goods in different countries around the world. We can assure that all products sold in Canada are approved to be sold by the necessary regulatory bodies, including the Pest Management Regulatory Agency of Canada. There is however, a lack of visibility for Veseris today into what company policies are further down the supply chain. While we do expect our direct supplier community operates with diligence as it relates to forced / child labour laws with their own suppliers, this could be considered an area of potential risk due to the lack of visibility and the fact that goods procured have a multitude of countries of origin.

MEASURES TAKEN TO REMEDIATE FORCED / CHILD LABOUR IN THE SUPPLY CHAIN

As Bill S-211 is coming into effect, the company has developed a survey for our suppliers to understand and begin to enforce our stance on forced / child labour. We plan to distribute and collect back the responses from our supplier community throughout the calendar year of 2024 after which we will measure the effectiveness of this measure and determine what, if any further actions may need to be taken. A copy of that survey is shown in “APPENDIX E – Survey for Bill S-211 Compliance”.

TRAINING TO REMEDIATE FORCED / CHILD LABOUR IN THE SUPPLY CHAIN

As outlined previously, the company ensures that all employees attest to our code of conduct and ethics policy which outlines our expectations on the subject of forced / child labour. In addition to this, we plan to distribute this document to relevant supply chain employees and leadership team members to reinforce the understanding and education around this subject.

APPENDIX A – Company Ownership Structure

APPENDIX B – Company Supplier Listing and Sourcing Locations

APPENDIX C – Company Codes of Conduct

Veseris Employees

HUMAN RIGHTS

We conduct our business in a manner that respects the human rights and dignity of all, and we support international efforts to promote and protect human rights, including an absolute opposition to slavery and human trafficking.

Each of us can help support efforts to eliminate abuses such as child labor, slavery, human trafficking, and forced labor.

DO THE RIGHT THING

• Report any suspicion or evidence of human rights abuses in our operations or in the operations of our suppliers.
• Remember that respect for human dignity begins with our daily interactions with one another and with our suppliers and customers. It includes promoting diversity, accommodating disabilities, and doing our part to protect the rights and dignity of everyone with whom we do business.

Veseris Suppliers

HUMAN RIGHTS & ANTI-SLAVERY

At Veseris, we conduct our business in a manner that respects the human rights and dignity of all, and we support international efforts to promote and protect human rights, including an absolute opposition to slavery and human trafficking.

What does this mean for us as we work with Veseris?

• You will respect the human rights of your employees and all other parties with whom you interact with.
• You will comply with all applicable labor laws and best practice in your industry.
• You will only employ individuals who are working of their own free-will.
• You will help support efforts to eliminate abuses such as child labor, slave, human trafficking and forced labor.

APPENDIX D – Imported Goods Country of Origin List

APPENDIX E – Survey for Bill S-211 Compliance

APPENDIX F – Employee Information

Canada employee organizational hierarchy and roles are shown below. Total full-time employees in Canada is 25 currently. The chain of command from the Canadian director goes to the CCO who ultimately reports into the CEO and board of directors.

In the United States Veseris employs between 300-400 full time employees and in Mexico another 30–40 full time employees.