7 Leading Industry Associations Join Forces to Launch the Single Largest Initiative to Address Conflict Minerals Compliance Questions
The following is a re-print of a press release issued by Source Intelligence on January 21, 2014.
WASHINGTON, D.C. – Seven of the world’s largest industry associations collaborated with Source Intelligence and Schulte Roth & Zabel LLP to launch the first cross-industry training and resource center, addressing the Securities and Exchange Commission’s (SEC) Conflict Minerals compliance regulation. Source Intelligence has developed the Conflict Minerals Resource Center (CMRC) to support over 15,000 member companies who collectively generate over $3 trillion (USD) in GDP and hundreds of thousands of U.S. jobs.
Key representatives from the American Apparel & Footwear Association (AAFA), the Fashion Jewelry and Accessories Trade Association (FJATA), the National Association of Manufacturers (NAM), the National Electrical Manufacturers Association (NEMA), the National Retail Federation (NRF), the Toy Industry Association (TIA) and the United States Fashion Industry Association (USFIA) worked with Source Intelligence and Schulte Roth & Zabel to align training and resource center priorities to provide member companies with the information they need to comply with the SEC regulation.
The goal of the joint initiative is to deploy easy-to-use Conflict Minerals compliance tools across the seven industry associations. By providing the member companies and their vendors and contractors with the information and resources needed to meet the compliance requirements, all players along the supply chain can spend less time navigating policy, and more time producing the products and services that generate economic growth and jobs.
These tools will help companies understand the complicated requirements of the regulation, recognizing that it is the responsibility of individual companies to identify their specific compliance obligations and handle the real challenges that remain as they design their own programs.
On August 22, 2012, the SEC adopted a final rule to implement Section 1502 of the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank). The rule requires publicly-held companies to disclose whether their products contain conflict minerals as defined by the law: tin, tantalum, tungsten or gold (3TG) originating from the Democratic Republic of the Congo (DRC) and specific adjoining countries.
The first report, covering calendar year 2013, is due to the SEC by May 31, 2014. The SEC and Government Accountability Office estimate that approximately 6,000 issuers and 280,000 non-issuer companies will be directly or indirectly impacted by the rule.
“Source Intelligence is honored to be entrusted with providing the nation’s leading manufacturing and retail companies with the most complete resource for managing conflict minerals compliance,” commented Jess Kraus, CEO and co-founder of Source Intelligence. “Our market leadership servicing global brands has enabled us to build the largest network of suppliers in the world. Source Intelligence and Schulte Roth & Zabel, the premier law firm in conflict mineral compliance, are combining our experience, best practices and resource libraries to provide a comprehensive training and resource center to inform and educate companies in these vital industries.”
Access the conflict minerals training and resource center by registering today.
About the Associations
Representing more than 1,000 world famous name brands, the American Apparel & Footwear Association (AAFA) is the trusted public policy and political voice of the apparel and footwear industry, its management and shareholders, its four million U.S. workers, and its contribution of $350 billion in annual U.S. retail sales.
The Fashion Jewelry & Accessories Trade Association represents the interests of manufacturers, suppliers and retailers of jewelry and accessories. With more than 225 member brands, FJATA serves as the key voice on industry issues to state, federal, and international regulatory agencies, and actively promotes industry safety and compliance initiatives. Our members comprise a highly dynamic and competitive segment of the fashion industry, providing jewelry and accessories to adults and children worldwide.
The National Association of Manufacturers (NAM) is the largest manufacturing association in the United States, representing small and large manufacturers in every industrial sector and in all 50 states. Manufacturing employs nearly 12 million men and women, contributes more than $1.8 trillion to the U.S. economy annually, has the largest economic impact of any major sector and accounts for two-thirds of private-sector research and development.
The National Electrical Manufacturers Association (NEMA) is the association of electrical equipment and medical imaging manufacturers. Founded in 1926 and headquartered in Rosslyn, Virginia, its 400-plus member companies manufacture a diverse set of products used in the generation, transmission, distribution, and end use of electricity as well as medical diagnostic imaging. Worldwide annual sales of products in the NEMA scope exceed $140 billion.
The National Retail Federation (NRF) is the world’s largest retail trade association, representing discount and department stores, home goods and specialty stores, Main Street merchants, grocers, wholesalers, chain restaurants and Internet retailers from the United States and more than 45 countries. Retail is the nation’s largest private sector employer, supporting one in four U.S. jobs – 42 million working Americans. Contributing $2.5 trillion to annual GDP, retail is a daily barometer for the nation’s economy. NRF’s This is Retail campaign highlights the industry’s opportunities for life-long careers, how retailers strengthen communities, and the critical role that retail plays in driving innovation.
Toy Industry Association™, Inc. (TIA) is the not-for-profit trade association representing all businesses involved in creating, producing and delivering toys and youth entertainment products for kids of all ages. The Association represents nearly 750 companies that collectively account for approximately 85% of domestic toy sales. Toy safety is the number one priority for the toy industry. TIA has a long history of leadership in toy safety including the development of the first comprehensive toy safety standard more than 30 years ago, and working with government, consumers and industry on ongoing programs to ensure safe and fun play.
The United States Fashion Industry Association (USFIA) represents the fashion industry: textile and apparel brands, retailers, importers, and wholesalers based in the United States and doing business globally. Founded in 1989 as the United States Association of Importers of Textiles & Apparel with the goal of eliminating the global apparel quota system, USFIA now works to eliminate the tariff and non-tariff barriers that impede the industry’s ability to trade freely and create economic opportunities in the United States and abroad.
About the Contract Award Winners
About Schulte Roth & Zabel LLP (www.srz.com)
Schulte Roth & Zabel ("SRZ") is a full-service law firm with offices in New York, Washington, D.C. and London. The firm's practices include investment management; regulatory & compliance; bank regulatory; business reorganization; distressed investing; employment & employee benefits; environmental; finance; individual client services; intellectual property, sourcing & technology; litigation; mergers & acquisitions; real estate; securities & capital markets; structured products & derivatives; and tax.
SRZ is a leader in global conflict minerals compliance. The firm is actively advising public and private companies and trade associations across a wide range of industries and throughout the supply chain on conflict minerals compliance. As part of its leadership in this area, SRZ has published more articles, Alerts and White Papers, participated in more programs and been quoted in the press significantly more than any other law firm. SRZ is also the only law firm with an Advanced Conflict Minerals Rule Compliance webinar series. This ongoing series features third-party experts and thought-leaders from across the compliance spectrum, including from the upstream, downstream, trade association, NGO, governmental and investor communities. SRZ's conflict minerals practice is part of its global public companies practice, which is headed by New York-based partner Michael R. Littenberg.
About Source Intelligence® (www.sourceintelligence.com)
Source Intelligence® is an information knowledge company that helps customers make informed decisions about business partners to offer products that meet legal, ethical, and environmental standards. Our cloud-based information and analytics platform provides customers with visibility into product supply chains and material sources in order to comply with the law, minimize operational and brand risk, and improve efficiency.
As a leading provider of conflict minerals compliance programs, Source Intelligence protects customers’ interests with private industry’s largest network of suppliers, a platform to manage and connect business partners, and a portfolio of compliance programs for all regulated materials. Founded in 2009 by career experts in environmental solutions, management consulting and analytics, Source Intelligence® has headquarters in Carlsbad, California and operations around the world.
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