Statement pursuant to the California Transparency in Supply Chains Act of 2010

Bourns, Inc. (“Bourns”) seeks to use only suppliers which Bourns believes act in a responsible manner, including having no involvement with slavery, human trafficking, forced labor or child labor in violation of international standards. Bourns evaluates suppliers on criteria beyond price. Such criteria include, among others, business history, financial stability, quality, timeliness of delivery, working conditions and compliance with laws.

Bourns requires its direct suppliers to comply with the Bourns Code of Ethics and Conduct which states that:
1. Bourns supports the eradication of slavery and human trafficking worldwide and the effective elimination of all forms of forced labor and child labor in violation of international standards; and
2. Bourns will use this objective as a criterion in the selection and management of its suppliers.

Although Bourns expects compliance pursuant to the Bourns Code of Ethics and Conduct, Bourns presently does not require its direct suppliers to provide written certification that materials incorporated into the supplied product comply with the laws regarding slavery and human trafficking of the country or countries in which they are doing business.

Bourns employees conduct on-site reviews of a majority of significant new direct suppliers which includes personally observing the supplier’s workplace. When evaluating significant new direct suppliers, Bourns typically examines issues associated with the supply chain below that supplier. Beyond these actions, Bourns presently does not engage in verification of product supply chains to evaluate and address risks of human trafficking and slavery or use any third parties for this purpose.

When concerns arise, Bourns visits existing suppliers to observe and assess compliance with Bourns’ standards. Under the Bourns Code of Ethics and Conduct, suppliers are obligated to provide Bourns or its representatives with access to the supplier’s premises to assess the supplier’s compliance with the standards and expectations of the Bourns Code of Ethics and Conduct. Bourns’ policy is not to use any independent third parties to audit its suppliers for compliance with the Bourns Code of Ethics and Conduct, either on an announced or unannounced basis.

Periodically, Bourns provides training regarding the mitigation of human trafficking and slavery to selected employees with supply chain management responsibilities.

Bourns’ policy is to cease doing business with any supplier that fails to meet Bourns’ standards regarding slavery and human trafficking. Any Bourns employee that violates the Bourns Code of Ethics and Conduct is subject to discipline, up to and including termination of employment.

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