Alliance for Success

1. Alliance for Success www.bennettcompany.com

2. Bennett and Company Vision Statement To understand and fulfill the needs of a woman’s demanding lifestyle through the design and manufacture of beautiful, unique, and affordable lingerie

3. Bennett and Company Mission Statement To provide unique lingerie reminiscent of a woman’s inner beauty and individual strengths that allow her to feel harmony & inner balance when wearing our garments, knowing they were produced in a socially responsible way. To design and manufacture garments with impeccable attention to design detail, accentuating beautiful hand embellishments. To service our customers with the highest level of commitment and integrity. Maintain flexibility to allow rapid response to our customer’s changing requirements and growing awareness. Conduct our business according to socially & ecologically responsible principles and positively contribute to local & global communities in which we work. To act as one integrated system with our customers, our vendors and our international partners, creating synergy and global awareness between successful organizations.

4. Bennett and Company Five Principles BE IMPECCABLE WITH YOUR WORDS: Speak with integrity. Say only what you mean. Avoid using words to speak against yourself or to gossip about others. Look deeply at your motivation and be proud of your positive intent. Use the power of Insight with your words in the direction of truth as well as Company loyalty. TRY NOT TO TAKE ANYTHING PERSONALLY: What others do is not necessarily, or even primarily, because of you. What others say and do is a projection of their own reality and personal agendas. When you see clearly the opinions and actions of others, you will avoid needless suffering which perpetuates negative behavior on the part of yourself and others. DO NOT MAKE ASSUMPTIONS OR RASH JUDGMENTS: Find the courage to ask questions and to uncover the truth. Express what you really need to achieve success. Communicate with others clearly and with total respect, compassion, wisdom and understanding. You will avoid misunderstandings, sadness and drama. ALWAYS DO YOUR BEST: Your best will change from moment to moment; it will be different when you are healthy, awake, fully engaged in your work in contrast to being ill or disengaged. Under any circumstance, simply do your best and you will avoid self-judgment, self-abuse and regret. Try to break negative habits and to make a new commitment to yourself to start fresh every day. Life and work will be more enjoyable. WE ARE ONE INTEGRATED SYSTEM: We have our overseas teams, our vendors, our customers and ourselves with whom we interact as a whole. When we expand our hearts to include all beings as equals with exactly the same basic needs, then our business and personal lives will be awakened to the universal principle. All is possible. [With acknowledgement to Don Miguel Ruiz]

5. Bennett and Company Overview Established in 1989 by Jacalyn E.S. Bennett Delivered more than 100 Million garments to the market - estimated retail value of $2.5 Billion Designed more than 60,000 styles across all foundation, lingerie, sleepwear and related product categories Created thousands of prints, laces and embroidery patterns Developed a multitude of textile blends across all relevant fibers, knits and wovens including silk, synthetics and cottons

6. Jacalyn E.S. Bennett Extensive experience and demonstrated talent in all aspects of the apparel industry including: Trend, concept and design Fabric and textile development including copy written textile design Pattern making, marker making, and technical Quota classifying and creating new quota classification opportunities for customers Cost engineering, manufacturing, and marketing

7. Jacalyn E.S. Bennett Youngest winner of the Outstanding Achievement Award Mortimer C. Ritter Award from Fashion Institute of Technology for Business Accomplishments and Global Humanitarian work Accolades as one of the best lingerie designers in the country

8. 45 Water Street Newburyport, MA 01950 Tel: 978-462-1966 Fax: 978-463-2062 PRESS RELEASE June 8, 2010 Newburyport, Massachusetts – May 27, 2010 – Bennett and Company a business specializing in Design and Manufacturing of Women’s Intimate Apparel, Loungewear and Accessories, received national certification as a Women’s Business Enterprise by the Center for Women & Enterprise, a regional certifying partner of the Women’s Business Enterprise National Council (WBENC). WBENC’s national standard of certification implemented by the Center for Women & Enterprise is a meticulous process including an in-depth review of the business and site inspection. The certification process is designed to confirm the business is at least 51% owned, operated and controlled by a woman or women. By including women-owned businesses among their vendors, corporations, and government agencies demonstrate their commitment to fostering diversity and the continued development of their supplier/vendor diversity programs. To learn more about Bennett and Company please visit www.bennettcompany.com. About Bennett and Company Bennett and Company has a 30 year history of manufacturing and design for leading apparel specialty retailers, department stores, and direct businesses, in both missy and plus size markets. Bennett has expertise in the design and manufacturing that includes special detailing, such as, lace expertise, embroidery, printing, beading and handwork. Bennett and Company owns manufacturing sites in China and Sri Lanka. About WBENC The Women’s Business Enterprise National Council is the nation’s largest third party certifier of businesses owned and operated by women in the United States. WBENC is a resource for the more than 700 US companies and government agencies that rely on WBENC’s certification as an integral part of their supplier diversity programs.

10. Jacalyn E.S. Bennett 30 year history of manufacturing and design for leading apparel specialty retailers Inventive ability to research and develop new product classifications for specific customers Won award from Chinese Government in 1985 for Best Designed Factory for Silk and Handwork. The Chinese Government modeled factories after this design.

11. Bennett and Company Organization Corporate Headquarters: Bennett and Company, USA Design Headquarters: Forest Design Studio, USA International Offices: Bennett Lingerie (HK), Hong Kong John Stuart Bennett Manufacturing (HK), Hong Kong Factory Locations: John Stuart Bennett, Guangzhou Manufacturing, China Guangzhou Bennett Harmony Garments, China Jinadasa Bennett, Sri Lanka Foundation Bennett, Sri Lanka

12. Global Management Team Bennett Lingerie (HK) Ltd, Hong Kong Kitty Cheung, EVP Design/Sampling Iris Law, Controller Bennett and Company Headquarters, USA Jacalyn Bennett, President, CEO, Head Designer Brenda Marchi, COO Jeff Cooper, CFO Charles Fowler, Financial Controller Colette Shoemaker, VP Account Sales Melissa Carrier, SVP Design John Stuart Bennett (GZ), China Paul Bell, Factory Mgr Amy Wong, Asst Factory Mgr Estefania Lago, Director of QA & Merchandising Kitty Cheung, Samplemaking Jacalyn Bennett NY, USA Ellen Lewis, Sales Director John Stuart Bennett, Sri Lanka DK Wijesinghe, Country Manager This team’s collective years at Bennett represents over 175 years of dedicated service to our customers

13. Driven for Success • The Company has turned itself around and is now operating at break even or better. • The Company has realigned to achieve speed to market by moving pre-production functions to the manufacturing site, eliminating redundancy, increasing flexibility and reducing overhead. • The Company operates on a lean manufacturing principal thereby reducing work in process and inventory. • The Company has a well established private label customer base and supply chain with long term relationships . • The Company core competencies in the design and manufacturing of knits and wovens, foundation and key item, allows flexibility in a dynamic economy. • The Company has a strong management team that has been in place for 20 years and has demonstrated the ability to make large profits, weather the storm during turbulent periods, and turnaround the operation from losses to a profit.

14. Product Core Competencies All Intimate Apparel and Related Products Foundations and Corsetry • Special Expertise, including: • Handwork • Beading • Embroidery • Lace Application • Complex Construction Sleepwear and Daywear Underwear Innerwear Bedroom Costumes Loungewear Activewear Accessories

15. U.S. Market for Women's Intimate Apparel (Lingerie) U.S. market for women’s intimate apparel, estimated at $9.6 billion in 2007. In the past 20 years, lingerie has blossomed from a commodity into a huge money-making segment of apparel retailing, thanks in large part to lingerie retailing pioneer and marketing machine Victoria's Secret. Many merchants at major department stores and a slew of catalogs, including Newport News and Spiegel, and e-commerce businesses, including Figleaves.com and Barenecessities.com, are now cashing in on the lingerie bonanza. Even specialty stores that have never done lingerie in the past are developing strong lingerie alliances, whether branded or private label. Other retailers, recognizing that the lingerie market has higher profit margins than regular apparel, are launching new lingerie lines and giving their older products a makeover. Lingerie vendors are focusing more on their alliances with lingerie specialty stores as compared to department stores.

26. Bennett and Company Diverse Customer Base

27. Brands Jacalyn Bennett Lingerie Collection Jacalyn Bennett for Fredericks’ of Hollywood Peace and Love Yoga and Active wear

28. Jacalyn Bennett Lingerie Collection Launched January 2005

29. Jacalyn Bennett Lingerie Collection Sold internationally throughout USA, Europe, Canada and Middle East Featured in Donegar Group Trend Services, Body Magazine and Concepts Paris, Northshore Magazine, Boston Globe, Newburyport Magazine Collection anchored by corsets, foundations, gowns, slips, daywear, panties Extraordinary value of each piece creates a natural bridge between better and designer lingerie

30. Jacalyn Bennett Lingerie Collection Showroom

31. Design HeadquartersForest Design Studio Resources include: Designers Pattern Makers Seamstresses Sample Making Digital Fabric Printing

32. Bennett Lingerie (HK) Ltd. Corporate Buying Office Responsible for: Worldwide Sourcing Technical Services Production Management

33. Factory Code of Conduct Bennett and Company is committed to upholding standard global operating principles and compliance practices including: • Factories abide by applicable local and national laws including, but not limited to: minimum working age, wages and pay practices, standard working hours, freedom of association, benefits, and equality of treatment. • Factories abide by internationally accepted social compliance laws and regulations • Facilities maintain stringent health and safety standards.

34. A Corporation with a Conscience Bennett and Company is built on a corporate philosophy that embraces ecology, human rights and social consciousness. Our Mission Statement includes “Respect and value our employees and supply chain partners by giving back to the communities in which we work.” We are a woman owned company led by a benevolent philanthropist supporting many charities around the world; including local orphanages and schools, organizations for peace, and centers working against domestic abuse and protection of children. This level of social awareness is permeated throughout our organization in the following manner:

35. Eco-minded Manufacturing Protecting the world’s valuable resources in our factory environment: • Energy saving drive on electricity, we have installed an electric power saving campaign switching of unnecessary lighting during daylight hours. • We have identified areas where we do not need lighting during the day and now use less. • Continuous reduction of electrical power reliance by about 5% by promoting employee awareness. • Recycling: We separate and send for recycling all waste deposited into identified waste bins by the factory workforce. Glass bottles and all plastic is separated and sent to be recycled. • Waste fabric and cardboard cartons are sent to a local recycling company.  • All metal and wood shelving and tables are made in house by converting no longer used stock metal/wood tables the factory no longer need • All cartons used for shipping are made from at least 25% recycled material. • Ensuring water filtration systems exist in our dyeing, printing and finishing supply chain. • Waste fabric sent to Sarvodaya Cottage Industries to make patchwork quilts and garments and then sold in the Domestic Market • Cardboard cartons are sent to a local recycling company.

36. Social Responsibility Ms. Bennett is a 30 year member and volunteer of Sarvodaya, a Sri Lankan based Grassroots organization that focuses on the welfare of children. Bennett and Company advocates and protects human rights by maintaining a high Code of Conduct. We are committed to upholding standard global operating principles and compliance practices including: • Factories abide by applicable local and national laws including, but not limited to: minimum working age, wages and pay practices, standard working hours, freedom of association, benefits, and equality of treatment. • Factories abide by internationally accepted social compliance laws and regulations • Employees are provided social insurance that include health, housing, welfare and maternity benefits. • Facilities maintain stringent health and safety standards.

37. GREEN Textile Sourcing Organic and Eco Friendly apparel has been a growing trend in the US market, as an eco-conscience corporation, Bennett and Company supports and promotes this product category. Bennett and Company has designed, developed, and manufactured Eco-friendly product for several major Retailers; including, Hanesbrand Inc., Chico’s, Soma and LaSenza. Bennett and Company has certified sources of fabric and lace comprised wholly or in part of Bamboo, Soybean, Milk Fiber, Charcoal and Recycled Polyester.

39. John Stuart Bennett (GZ) Mfg. Ltd. 美億製衣﹝廣州﹞有限公司

40. John Stuart Bennett (GZ) Mfg. Ltd. 美億製衣﹝廣州﹞有限公司 JSB (GZ) recognizes a market place where Customers are placing smaller orders of varying styles more frequently and have an expectation of quick response in manufacturing turnaround Customer-focused QA Technical Teams oversee and coordinate all Processes from First Proto to Manufacturing Onsite Gerber Marker Making Technology GSD Costing Methods Lean Manufacturing Teams Factory trained and operates on 5S Quality Standards to ensure maximum possible efficiency, quality and cost

41. John Stuart Bennett (GZ) Mfg. Ltd. 美億製衣﹝廣州﹞有限公司 Location: Fu Cheng Industrial Zone, Shi Ji Town, Panyu, Guangzhou, Guangdong, PRC Facility: 8000m2 meters total 3000m2 manufacturing floors 1500m2 cutting and preparation 2000m2 raw materials and finished goods store 1000m2 sampling and development 500m2 administration and production services Staff: 480 direct workers (360 Sewers) 120 indirect support (warehouse, cutting and quality) 50 manufacturing overhead 20 administrative overhead 110 group support (MP, QA, QC, Samples) Capacity: 42,000 Hours

42. John Stuart Bennett (GZ) Mfg. Ltd.美億製衣﹝廣州﹞有限公司 Lean Manufacturing Teams

43. John Stuart Bennett (GZ) Mfg. Ltd. 美億製衣﹝廣州﹞有限公司 Factory trained and operates on 6S Quality Standards to ensure maximum possible efficiency, quality and cost

44. Guangzhou Bennett Harmony Garments Ltd. 廣州美億哈蒙妮製衣有限公司 Location: Li San Industrial Park, Xin Qiao Village, Shi Ji Town, Guangzhou, Guangdong, PRC Facility: 7,200m2 total factory floorage 3,200m2 manufacturing floors 600m2 cutting 600m2 raw material and finished goods warehouse 400m2 sample room and cad marker 400m2 administration office 400m2 computer embroidery centre Capacity: 42,000 Hours

45. Guangzhou Bennett Harmony Garments Ltd.廣州美億哈蒙妮製衣有限公司 Staff: 420 direct workers (370 sewers) 60 indirect support (warehouse, cutting, sampling and quality) 30 administration overhead 20 embroidery center employees Onsite Computer Embroidery Center: Capacity of 10,000 to 15,000 embroidered logos or panels daily 20 highly skilled, experienced workers 7 sets Tajima embroidery machines - up to 15 colors

46. Jinadasa Bennett Manufacturing WRAP Certification Location: Jinadasa Bennett (pvt) Ltd., Klovis Estate, Negombo Road, Uhumeeya, Kurunegala Sri Lanka Facility: approx: 23,000 sq.ft. Staff: Sewing Lines: 10 Sewers: 241  Sewing Helpers: 69 Supervisory and Management staff: 49 Others : 50 (embroidery, sample, cutting, packing, etc..) Training: 11 Total: 420

47. Foundation Bennett Manufacturing WRAP Certification Location: Foundation Bennett (Pvt) Ltd., Lot 3, Denwar Estate, Kandy Road, Mawathagama Sri Lanka Facilities: Fabric Warehouse Gerber Laser Cutting Computerized Embroidery Center

48. Strategic Initiatives Meeting the Changing Demands in Our Market Bennett and Company

49. Strategic ContextChanging Demands in Our Market Shift in market timing • Accelerating concept-to-market timeline • Increasing need for new products more frequently Shift in manufacturing • Shorter cycle times to meet demand • Lower volume per order and increased variety • Increasing need for coordination and transparency upstream and downstream Shift in sourcing • Increasing need to balance low cost and fast response • Increasing need for flexibility, collaboration and responsiveness across the supply chain

50. Strategic Initiatives Continuous Improvement of Collective Intelligence and Rapid Decision Process Enhanced Business Development Process to Reach New Customers and to Deepen Existing Business Continuous Expansion of Wholly-Owned Manufacturing Investment in the Right Technologies Deeper Business Integration with Customers and Vendor Partners